(a) Section
235-17(d)(6),
HRS, requires that a production provide to the department of business, economic
development, and tourism evidence of financial or in-kind contributions or
educational or workforce development efforts, in partnership with related local
industry labor organizations, educational institutions, or both, toward the
furtherance of the local film, television, and digital media
industries.
(b) Only one
contribution is necessary to satisfy the requirement under section
235-17(d)(6),
HRS. However, a production may make multiple contributions to multiple
qualified entities.
(c) Refundable
contributions do not satisfy section
235-17(d)(6),
HRS. Any term allowing for refundability disqualifies a contribution from
satisfying section
235-17(d)(6),
HRS, including refundability contingent only upon a production failing to
qualify to claim the credit under section
235-17,
HRS.
(d) Contributions do not
satisfy section 235- 17(d)(6), HRS, if a charitable deduction is taken for the
contribution under section 170 of the Internal Revenue Code of 1986, as
amended, or under conformity to such section.
(e) Contributions are not qualified
production costs for purposes of claiming the tax credit under section
235-17,
HRS.
(f) The following
contributions qualify for purposes of section
235-17(d)(6),
HRS:
(1) Financial contributions to state
public or charter schools totaling at least 0.1 per cent of a production's
qualified production costs or $1,000, whichever is higher. Financial
contributions must be made in cash specifically to an arts or media program at
a state public or charter elementary school, middle school, high school, or
post-secondary school, preferably to a school in the same community in which
the production takes place. Arts programs may include film, video, radio,
performing arts, theater, music, and visual and fine arts;
(2) In-kind contributions to state public or
charter schools totaling at least the equivalent value of 0.1 per cent of a
production's qualified production costs or $1,000, whichever is higher.
Contributions of in-kind property or services must be made specifically to an
arts or media program at a state public or charter school, preferably in the
same community in which production takes place. The in-kind contribution must
include production-related property or services, such as cameras and sound
equipment, editing/post-production equipment, grip/ electric equipment,
computer hardware/software, props/set dressing, costumes, or other property or
services previously agreed to by school administrators;
(3) Educational programs provided to state
public or charter schools consisting of at least one on-set or post-production
internship arrangement with a state public or charter high school or
post-secondary school, preferably in the same community in which the production
takes place. The internship must include a total of at least eight hours of
arts or digital media education-related volunteer services, such as teaching
acting classes, directing a school play, participating in animated student
projects, or giving craft seminars. The internship may be arranged with any
cast or crew. The minimum time requirement, at the discretion of the Hawaii
film office, may be reduced based upon the value of services;
(4) Educational programs provided to local
labor union chapters consisting of at least one on-set craft apprenticeship
arranged with one of the local labor union chapters. The apprenticeship must
include a total of at least eight hours of education-related volunteer
services, such as giving a craft-related seminar. The apprenticeship may be
arranged with any cast or crew. The minimum time requirement, at the discretion
of the Hawaii film office, may be reduced based upon the value of services;
and
(5) Any other financial or
in-kind contributions or any other educational or workforce development
approved by the Hawaii film office.
