1. (a) A project may be eligible for a grant under the Texas Moving Image Industry Incentive Program if it is a permitted project listed in subsections (b) - (h) of this section that meets the minimum requirements.

2. (b) Feature Films.

   1. (1) A feature film is defined as any:

      1. (A) live-action or animated for-profit production, narrative or documentary;
      2. (B) that is more than 30 minutes in length; and
      3. (C) that is produced for distribution in theaters or via any digital format, including, but not limited to DVD, internet, or mobile electronic device.

   2. (2) Minimum Requirements:

      1. (A) Feature films must have minimum in-state spending of $250,000.
      2. (B) 60% of the filming days must be completed in Texas.
      3. (C) 70% of the total number of paid crew must be Texas residents unless it is determined and certified by the Texas Film Commission that qualified crew are not available and every effort has been made by the production to meet the requirement by the principal start date.
      4. (D) 70% of the total number of paid cast, including extras, must be Texas residents.
      5. (E) Animated or documentary feature films must have 70% of the combined total of paid crew and cast, including extras, be Texas residents unless it is determined and certified by the Texas Film Commission that qualified crew are not available and every effort has been made by the production to meet the requirement by the principal start date.

      6. (F) For the purpose of calculating the 70% Texas resident ratio needed to qualify, certain individuals will be excluded from the Cast or Crew calculation. This includes, but is not limited to, individuals participating or appearing in the following manner:

         1. (i) Documentary subjects or interviewees; or
         2. (ii) Musicians performing as part of a music performance production.

3. (c) Television Programs.

   1. (1) A television program is defined as any:

      1. (A) live-action or animated for-profit production, narrative or documentary, including, but not limited to:

         1. (i) an episodic television series;
         2. (ii) a miniseries;
         3. (iii) a television movie ("MOW");
         4. (iv) a television pilot;
         5. (v) a television episode;
         6. (vi) an interstitial television program;
         7. (vii) a music performance production; or
         8. (viii) a webisode;
      2. (B) that is produced for distribution via broadcast, cable or any digital format, including, but not limited, to cable, satellite, internet, or mobile electronic device.

   2. (2) Minimum Requirements:

      1. (A) Television programs must have minimum in-state spending of $250,000.
      2. (B) 60% of the filming days must be completed in Texas.
      3. (C) 70% of the total number of paid crew must be Texas residents unless it is determined and certified by the Texas Film Commission that qualified crew are not available and every effort has been made by the production to meet the requirement by the principal start date.
      4. (D) 70% of the total number of paid cast, including extras, must be Texas residents.
      5. (E) Animated or documentary television programs must have 70% of the combined total of paid crew and cast, including extras, be Texas residents unless it is determined and certified by the Texas Film Commission that qualified crew are not available and every effort has been made by the production to meet the requirement by the principal start date.

      6. (F) For the purpose of calculating the 70% Texas resident ratio needed to qualify, certain individuals will be excluded from the Cast or Crew calculation. This includes, but is not limited to, individuals participating or appearing in the following manner:

         1. (i) Documentary subjects or interviewees;
         2. (ii) Musicians performing as part of a music performance production; or
         3. (iii) Litigants and witnesses in court room programs.

4. (d) Reality Television Projects.

   1. (1) A reality television project is defined as any:

      1. (A) live action for-profit production using unscripted content including, but not limited to:

         1. (i) a reality series;
         2. (ii) a contest or game show, to include individual episodes; or
         3. (iii) a talk show, to include individual episodes;
      2. (B) that is produced for nationally syndicated distribution via broadcast, cable or any digital format, including, but not limited, to cable, satellite, internet, or mobile electronic device.

   2. (2) Minimum Requirements:

      1. (A) Reality television projects must have minimum in-state spending of $250,000.
      2. (B) 60% of filming days must be completed in Texas.
      3. (C) 70% of the combined total of crew and cast, including extras, must be Texas residents.

      4. (D) For the purpose of calculating the 70% Texas resident ratio needed to qualify, certain individuals will be excluded from the Cast or Crew calculation. This includes, but is not limited to, individuals participating or appearing in the following manner:

         1. (i) Talk show guests;
         2. (ii) Game or contest show contestants;
         3. (iii) Reality series participants;
         4. (iv) Documentary subjects or interviewees; or
         5. (v) Litigants and witnesses in court room reality programs.

5. (e) Commercials.

   1. (1) A commercial is defined as any:

      1. (A) live-action or animated production;
      2. (B) that is an individual commercial, series of commercials, music video, infomercial, or interstitial advertisement;
      3. (C) that is made for the purpose of entertaining or promoting a product, service, or idea; and
      4. (D) that is produced for distribution via broadcast, cable or any digital format including but not limited to cable, satellite, internet, or mobile electronic device.

   2. (2) Minimum Requirements:

      1. (A) Commercials must have minimum in-state spending of $100,000.
      2. (B) 60% of the filming days must be completed in Texas.
      3. (C) 70% of the combined total of paid crew and cast, including extras, which are paid by the incentive applicant or production company, must be Texas residents.

6. (f) Video Games.

   1. (1) A video game is defined as any:

      1. (A) piece of software that provides a user or users with a game to play for the purpose of entertainment or education, such as for military or medical simulation training; and
      2. (B) that is created for a game console, personal computer, handheld console, mobile electronic or stand-alone arcade machine.

   2. (2) Minimum Requirements:

      1. (A) Video games must have minimum in-state spending of $100,000.
      2. (B) 60% of the filming days must be completed in Texas.
      3. (C) 70% of the combined total of paid crew and cast which are paid by the incentive applicant or production company, must be Texas residents unless it is determined and certified by the Texas Film Commission that qualified crew are not available and every effort has been made by the production to meet the requirement by the principal start date.

7. (g) Educational or Instructional Videos.

   1. (1) An educational or instructional video is defined as any:

      1. (A) live action or animated production;
      2. (B) that is an educational or instructional video or a series of educational or instructional videos; and
      3. (C) that is produced for distribution in an educational or instructional setting.

   2. (2) Minimum Requirements:

      1. (A) Educational or instructional videos must have minimum in-state spending of $100,000.
      2. (B) 60% of the filming days must be completed in Texas.
      3. (C) 70% of the combined total of paid crew and cast, including extras, which are paid by the incentive applicant or production company, must be Texas residents.

8. (h) Visual Effects Projects.

   1. (1) A visual effects project is defined as the stand alone finishing of:

      1. (A) a live-action or animated feature film, television program, educational or instructional video, or commercial;
      2. (B) that is completed with the inclusion of visual effects including, but not limited to, editing, visual effects, sound effects, music or animation; and
      3. (C) that is produced for distribution in theaters, in educational or instructional settings, via broadcast, cable or any digital format, including but not limited to, cable, satellite, DVD, internet, or mobile electronic device.

   2. (2) Minimum Requirements:

      1. (A) Feature film and television program visual effects projects must have minimum in-state spending of $250,000.
      2. (B) Commercial and educational or instructional video visual effects projects must have minimum in-state spending of $100,000.
      3. (C) 60% of filming days must be completed in Texas.
      4. (D) 70% of the combined total of paid crew and cast which are paid by the incentive applicant or production company must be Texas residents unless it is determined and certified by the Texas Film Commission that qualified crew are not available and every effort has been made by the production to meet the requirement by the principal start date.

Source Note:The provisions of this §121.3 adopted to be effective March 10, 2008, 33 TexReg 2019; amended to be effective November 22, 2009, 34 TexReg 8029.