California Code of Regulations › Title 10 - Investment › Chapter 7.75 - California Film Commission › Article 3 - California Film and Television Tax Credit Program 3.0 › Section 5525 - Approved Applicant Responsibility-Phase III

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) An
				applicant issued a credit allocation letter shall be required to comply with
				the following during the production period:
(1) On the first day of principal photography
				and after a hiatus period, if applicable, submit by email to the CFC the daily
				call sheet, signed by the production manager or equivalent position, in PDF or
				equivalent format.
(2) Each week or
				as available, submit by email to the CFC the final production reports for each
				day of principal photography, signed by the Unit Production Manager or
				equivalent position, in PDF or equivalent format.
(3) If applicable, submit an email
				notification to the CFC indicating any significant changes to the project
				including anticipated changes in the estimated qualified expenditures, change
				of start date, shooting location, number of television episodes ordered, title
				change of project, financing, key personnel or any other factors that have
				significantly changed since issuance of the CAL.
(4) Participation in career-based learning
				and training programs and public service opportunities approved by the CFC in
				consultation with the California Department of Education (CDE) and/or
				California Community College Chancellor's Office (CCCCO) aimed at exposing
				career-based learning program, high school, community college, and California
				State University students to jobs in the entertainment industry. To demonstrate
				compliance with this requirement the applicant must submit the applicable form
				for Career Readiness verification, Form CR1, CR2, CR3, CR4, or CR5 (July 28,
				2023), hereby incorporated by reference, to the CFC as soon as the career-based
				learning and training program or public service opportunity has concluded. To
				meet the requirements of this section, the applicant may do any of the
				following:
(A) Provide to students enrolled
				within the past twelve months in an accredited California high school,
				community college, California State University, or career-based learning
				program three (3) paid internship positions for a minimum of one hundred (100)
				hours each or a combination of internships or internship with a minimum of one
				hundred (100) hours per student and three hundred (300) hours in total. Interns
				must be 18 years of age or older. Internship experience must include working
				with professionals in the film industry and hands-on work assignments;
				or
(B) Provide to students enrolled
				within the past twelve months in an accredited California high school,
				community college, California State University, or career-based learning
				program classroom workshops, panels, or demonstrations on aspects of the film
				industry, which may include but is not limited to set operations,
				post-production and specific technical crafts conducted by entertainment
				industry professionals; or
(C)
				Provide to students enrolled within the past twelve months in an accredited
				California high school, community college, California State University, or
				career-based learning program a minimum of eight (8) hours of professional
				skills tours, which may include visits to observe set operations, set
				construction, wardrobe department, art department and editorial department;
				or
(D) Provide a minimum of eight
				(8) hours of continuing education for educators and/or faculty to observe the
				set operations, post-production, and other specialized departments in the film
				industry; or
(E) Make a financial
				contribution to a specific local or state educational agency or higher
				education institution specializing in arts, media, and entertainment career
				oriented programs. The contribution shall be based on 0.25 percent of the
				estimated tax credit reservation with a minimum financial contribution of
				$5,000 and a maximum required financial contribution of $12,000. (Note: An
				applicant may contribute an amount in excess of the maximum); or
(F) Provide a learning opportunity or
				financial contribution of equal time or value through other arts, media, and
				entertainment programs, workforce programs, etc. which are not affiliated with
				CCCCO or CDE and is approved by the CFC.
(5) Make a financial contribution to fund a
				pilot career pathways training program to a non-profit fiscal agent as
				determined by CFC.
(A) The contribution shall
				be based on 0.25 percent of the estimated tax credit reservation as stated on
				the CAL.
(B) The contribution shall
				be submitted to the CFC with the career pathways program form, Form CPP (New.
				July 28, 2023), hereby incorporated by reference, no later than thirty (30)
				business days after the CAL date; failure to submit the contribution within
				this time frame will result in revocation of the CAL.
1. An applicant facing a technical or
				funds-related barrier to meeting the deadline may request an extension of up to
				ten (10) business days and the CFC will grant the extension if the applicant
				requests such an extension prior to the expiration of the timeframe specified
				in subparagraph (B) above and provides supporting documentation.
(C) The contribution is refundable
				if the project does not receive a tax credit certificate. A portion may also be
				refundable if the tax credit amount is significantly reduced due to reasonable
				cause as per Section
				5520(y).
(D) A qualified motion picture that receives
				an increase in allocated tax credits, causing an additional contribution sum to
				become due, shall make a payment of that additional sum within thirty (30)
				business days of notification of that increase in allocation.
(E) The contribution must be made by business
				or personal check. No other payment options will be accepted.