PROGRAM QUALIFICATIONS
For Feature Films and Television Programs:
- Minimum in-state spending of $1 million (for episodic television series,
$1 million per season).
- At least 80% of production days must be completed in Texas.
- At least 70% of the total number of paid crew must be Texas residents.
- At least 70% of the total number of paid cast, including extras, must
be Texas residents.
For Commercials and Video Games (including series of commercials, infomercials,
interstitials and music videos):
- Minimum in-state spending of $100,000.
- At least 80% of production days must be completed in Texas.
- At least 70% of the total number of paid crew, cast and extras combined
must be Texas residents.
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UNDERUSED AREAS
Projects that complete at least 25% of their total production days in
an underused area may receive an additional 1.25% of in-state spending,
for a total payment equal to 6.25% of eligible in-state spending. The
additional 1.25% applies to all spending in Texas, not just the spending
in the underused area. An underused area is defined as any area of Texas
outside a 30-mile radius from Austin City Hall or Dallas City Hall. View
our Austin and Dallas Zone Maps.
MAXIMUM INCENTIVE AMOUNT
The maximum payment a project receives cannot exceed:
- $2 million for feature films.
- $2.5 million for television programs (for episodic television series,
$2.5 million per season).
- $200,000 for commercials (including series of commercials, infomercials,
interstitials and music videos).
- $250,000 for video games.
INELIGIBLE PROJECTS
The following types of projects are not eligible to receive funds from
this program:
- unscripted television productions, such as reality shows;
- pornography, as defined by Section 43.21, Texas Penal Code;
- news, current event, or public programming; or programs that include
weather or market reports;
- talk shows, game shows, questionnaire or contest shows;
- sporting events or activities;
- awards shows, galas, or telethons;
- educational, corporate, or training videos;
- films intended for undergraduate or graduate course credit;
- application software, system software, or middleware; or
- casino-type video games directly used in a gambling device, as defined
by Section 47.01, Texas Penal Code.
The State of Texas is also not required to make payments to projects
that include inappropriate content or content that portrays Texas or Texans
in a negative fashion.
ELIGIBLE EXPENDITURES
- Wages and per diems paid to Texas residents, including SUI and union
P&W payments. Workers compensation payments may be included only
if the premiums are paid to a Texas-based company. Payroll company service
fees may be included only if a Texas payroll company is used.
- For the purpose of calculating the grant amount for feature films,
television programs (excluding episodic television series), video
games, and commercials; only the first $50,000 in wages in a 12-month
period to each Texas resident, and only the first $200,000 in wages
in a 12-month period of each Texas resident working as a department
head, will be included.
- For the purpose of calculating the grant amount for episodic
television series, only the first $100,000 in wages in a 12-month
period to each Texas resident, and only the first $200,000 in wages
in a 12-month period of each Texas resident working as a department
head, will be included.
- Payments made to Texas companies for goods and services domiciled
in Texas that are directly attributable to the physical production of
the feature film, television program, commercial or video game. In the
case of video games, the amount attributed to pre-production and research
and development costs will be limited to an amount not to exceed 30%
of the project's overall in-state spending.
- Payments for shipping on items shipped from or within Texas.
- Air travel to and from Texas on a Texas-based airline, including American
Airlines, Continental Airlines and Southwest Airlines, or on a Texas-based
air charter service.
- Rentals, leases and purchases of vehicles registered and licensed
in the State of Texas.
- Music that is specifically created for the project and fees paid to
Texas residents hired to create, orchestrate and perform the music.
- Legal fees directly attributable to the production.
INELIGIBLE EXPENDITURES
- Wages, fringes and per diems paid to non-Texas residents.
- Fees for story rights, music rights or clearance rights.
- Expenses related to distribution, publicity, marketing or promotion
of the project.
- Rental, lease or mortgage payments, to include utilities and insurance,
on facilities that are part of a permanent/continuous business operation.
- Payments made to pass-through companies.
QUALIFYING PROCESS
The following must be received by the Texas Film Commission no earlier
than 30 days and no later than 5 PM Central Time on the business day prior
to the principal start date (first day of production):
- a Qualifying Application,
to be completed and submitted online;
- an itemized budget detailing only estimated Texas expenditures, submitted
via email; and
- a content document, submitted via email.
- Feature films and television programs should submit a complete
script (episodic television series should submit a complete script
for the first episode).
- Commercials, infomercials, interstitials and music videos should
submit a complete script(s) and/or storyboard(s).
- Video games should submit a game design document.
All application materials should be submitted electronically. Budget
and content documents must be submitted as Adobe PDF, Microsoft Word or
Microsoft Excel documents.
Upon proper submission of the online application, the applicant will
receive confirmation that the application was received and be provided
with an email address to submit the budget and content document.
The application is not complete until all required documents have been
received.
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DURING PRODUCTION
Within 5 business days after the start of production (the principal start
date listed on the application), the applicant must submit an email to
the Texas Film Commission confirming the production began on time.
The Texas Film Commission may periodically review production activity
including, but not limited to, in-state spending, shooting locations and
the number of Texas residents hired; and may request documentation for
all of the above.
VERIFICATION PROCESS
Within 60 days of completing Texas expenditures, final documentation
must be submitted to the Texas Film Commission in either hard copy or
digital format. Required documentation includes, but may not be limited
to, the following:
- an expended budget or master ledger report that reflects all eligible
in-state spending;
- an accounts payable or purchase order report, sorted by vendor, that
reflects only eligible in-state transactions and includes copies of
all checks, invoices and receipts for each vendor;
- a Petty Cash report, sorted alphabetically by name, that reflects
only eligible in-state transactions and includes copies of the petty
cash envelope fronts and all receipts;
- a payroll report, sorted alphabetically by name, that reflects only
payments made to Texas residents and includes copies of the payroll
company invoices and the payroll company registers that detail wages
and fringes paid to Texas residents;
- a copy of each Texas resident crew and cast member's I-9 Form. If
the I-9 shows a Texas address, was verified with a valid Texas driver
license or identification card and the license/card information is recorded
on the I-9; no further documentation is needed. If the I-9 was verified
using a form of identification other than a Texas driver license or
ID card, a copy of one of the following documents must also be submitted:
- A current Texas driver license or ID card.
- A current Texas voter registration card.
- A utility bill in the employee's name that verifies residency
at a Texas address at least 120 days prior to the principal start
date.
- A current student ID from a Texas Academic Institution (if the
employee is a full-time student).
- copies of all call sheets or, for video games, the production calendar;
- a copy of the complete crew list that includes both Texas resident
and non-resident crew members;
- a copy of the complete cast list that includes both Texas resident
and non-resident cast members;
- a copy of the vendor list; and
- a copy of the final content of the project.
- Feature films and television programs should submit a copy of
the final shooting script (episodic series should submit the final
shooting script for each episode).
- Commercials and video games should submit a copy of the final
project.
PAYMENT PROCESS
Following a review by the Texas Film Commission, the final documentation
will be submitted to the Governor's Office Financial Services Division
for a compliance audit. Disbursement of funds will not occur until the
production has paid all financial obligations incurred in the State of
Texas, and the final compliance audit has been completed and approved.
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The
Texas Moving Image Industry Incentive Program offers qualifying feature
films, television programs, commercials and video games the opportunity
to receive a payment equal to 5% of eligible in-state spending, including
wages paid to Texas residents, upon completion of an audit of Texas expenditures.
Both live-action and animated projects are eligible. This incentive program
is in addition to Texas'