15.517 Iowa film production incentive program.
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/ia/chapter-15-economic-development-authority/15-517A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
1. As used in this section:
a. “Fund” means the Iowa film production incentive fund.
b. “Program” means the Iowa film production incentive program.
c. “Qualified expenditure” means an allowed expense, as determined by the authority by rule, that is incurred by a qualified production facility on or after July 1, 2025, but before July 1, 2027, for producing a qualified production.
d. “Qualified production” means a feature film, television series, documentary, or unscripted series that is rated G, PG, PG-13, or R by the classification and ratings administration of the motion picture association of America or the TV parental guidelines monitoring board.
e. “Qualified production facility” or “facility” means any of the following:
(1)A dedicated studio located in this state at which qualified productions can be produced.
(2)A studio located in this state at which all preproduction and film production take place for a qualified production filmed on location in this state.
(3)A company that has, in the three consecutive years immediately preceding an application for a rebate, had the company’s principal place of business in this state and produced a qualified production.
2. a. The authority shall establish and administer an Iowa film production incentive program for the purpose of providing rebates to qualified production facilities for qualified expenditures.
b. The authority shall establish eligibility criteria for the program by rule.
(1)The eligibility criteria for qualified production facilities must require that a facility have an agreement between the authority and the facility that the phrase “filmed in Iowa” appears noticeably in the credits of the qualified production.
(2)The eligibility criteria for a qualified production must include:
(a)A total production budget of at least one million dollars, including at least five hundred thousand dollars in qualified expenditures, and evidence that the total production budget is fully funded.
(b)Availability to the public for viewing at a venue where admission is charged, or availability for purchase, for rental, or through a streaming service that requires a subscription.
(3)The eligibility criteria for qualified expenditures must include the following:
(a)The requirements for substantiation of expenses and submission of expenses for industry standard activities including expenses for cast members, equipment, studio production facilities, hospitality services, certified public accountant services, per diem payments, payments to businesses located in this state, accommodations, and any other expenses allowed by the authority. Qualified expenditures shall not include expenses for entertainment, studio executive airfare, royalties, and publicity for the qualified production.
(b)Documentation that all qualified expenses were incurred following approval of the application for rebate by the authority.
3. An application for a rebate under the program shall be submitted by a qualified production facility to the authority for approval in the form and manner prescribed by the authority. In determining whether to approve a rebate, the factors the authority may consider include but are not limited to all of the following:
a. The extent to which the applicant will participate in training, education, and recruitment programs that are organized in cooperation with interested Iowa colleges and universities, and that are designed to promote and encourage the training and hiring of Iowa residents.
b. Whether the rebate will incentivize a qualified production facility to choose an Iowa location for its qualified production rather than an out-of-state location.
c. The likelihood that approval of the rebate will result in an overall long-term positive impact to the state.
4. a. If a qualified production facility’s application is approved by the authority, the maximum rebate paid to the facility under the program shall equal thirty percent of the
§15.517, ECONOMIC DEVELOPMENT AUTHORITY 2
facility’s documented qualified expenditures excluding any sales, use, and hotel and motel taxes paid.
b. Prior to disbursement of the rebate, a qualified production facility shall submit all of the following to the authority at the expense of the facility:
(1)An examination of the qualified expenditures completed by a certified public accountant, as defined in section 542.3, in accordance with the currently effective statements on standards for attestation engagements established by the American institute of certified public accountants.
(2)A statement of the final amount of qualified expenditures.
(3)Any other information the authority deems necessary to ensure compliance with this section.
5. a. An Iowa film production incentive fund is created in the state treasury under the control of the authority. The fund shall consist of moneys appropriated to the authority and any other moneys available to, obtained by, or accepted by the authority for placement in the fund. The fund shall be used to provide rebates under the program.
b. The cumulative value of rebates claimed by qualified production facilities pursuant to this section shall not exceed four million dollars.
c. Notwithstanding section 8.33, moneys in the fund that remain unencumbered or unobligated at the close of the fiscal year shall not revert but shall remain available for expenditure for the purposes designated until the close of the succeeding fiscal year. Notwithstanding section 12C.7, interest or earnings on moneys in the fund shall be credited to the fund.
6. The authority shall not use more than five percent of the moneys in the fund at the beginning of each fiscal year for purposes of administrative costs, technical assistance, and other program support.
7. The authority shall adopt rules pursuant to chapter 17A to administer this section.
8. This section is repealed July 1, 2027.
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