Guidelines

1. GENERAL FUNDING PRINCIPLES

1.1 Purpose of Funding

1.1.1 Funding is intended to contribute to enhancing the artistic and cultural quality of film and television production and the performance of the Bavarian production industry, and to ensure a diverse cultural landscape. Additionally, funding is also intended to help strengthen the audiovisual sector in Europe.

1.1.2 Criteria for artistic and cultural quality include the content, historical, contemporary, creative, social or societal relevance of the material, the narrative and linguistic development of the screenplay or treatment and the dialogues, the expected creative and visual realization of the work, as well as the competence of the participating film artists, especially in the areas of directing, acting, image design, editing, scenography, production design and music. A balanced ratio of women and men among the participating film artists is to be strived for.

1.2 Objects of Funding

Funding may be granted in the following categories:

- story and project development (Section 2)

- production of theatrical films or television films and series (Section 3)

- other innovative audiovisual projects and immersive audiovisual content (Section 4)

- distribution and sales (Section 5)

- cinema programs and investments (Section 6)

- other funding measures (Section 7).

1.3 Funding Recipients

1.3.1 In principle, all natural persons and legal entities as well as partnerships are eligible to apply, regardless of their registered office or place of business.

1.3.2 Public and private broadcasters are not eligible to apply under these guidelines.

1.3.3 More detailed requirements regarding application eligibility for the individual objects of funding are set out in Sections 2 to 7.

1.4 Funding Prerequisites

1.4.1 All application documents and scripts must be submitted in German, unless otherwise specified in these guidelines. The conclusion of a funding contract in accordance with Section 8.4 and the disbursement of funding is subject to proof of the overall financing of the project for which funding is requested. In the case of loans, the interest rate is based on the capital market rates at the time of approval. The relevant interest rate will be communicated to the recipient of the funding in the funding contract.

1.4.2 The project must not have been started at the time of application. In justified cases, LfA Förderbank Bayern (hereinafter: LfA) may allow exceptions in agreement with FFF Bayern if at least a preliminary application has been submitted. Approval for early commencement of the project is generally granted upon receipt of the complete funding application by FFF Bayern.

1.4.3 Projects funded under these guidelines must be expected to be worthy of funding according to the criteria of quality and economic efficiency. Projects that are expected to be a project that violates the Constitution or laws, or offends moral or religious sensibilities, or depicts sexual events or brutalities in an obtrusively coarse and exploitative manner will not be funded. Moreover, industrial, advertising or image films are also not eligible.

1.4.4 Unless otherwise stipulated in these guidelines, an Allocation Committee decides on the recommendations for the individual funding measures.

1.4.5 Insofar as these guidelines do not contain any separate provisions, the provisions of the German Film Law (FFG) and the guidelines issued on the basis of the FFG apply accordingly to theatrical film projects. Separate guidelines may be issued for international co-productions and television projects.

1.4.6 Support measures under Sections 2, 3, 4, 5 and 7.2 are granted in accordance with the EU General Block Exemption Regulation (Commission Regulation (EU) No. 651 / 2014; GBER) determining the compatibility of certain categories of aid with the internal market in application of Articles 107 and 108 of the Treaty on the Functioning of the European Union (OJ 2014 L 187, 1, corrected OJ 2014 L 283, 65, amended by Regulation (EU) 2017 / 1084, OJ 2017 L 156, 1), in particular Article 54 GBER.

1.4.7 Funding according to Section 6 is provided in accordance with Article 53 GBER.

1.4.8 Funding pursuant to Section 7.1 is provided in accordance with the “De Minimis Regulation” (Commission Regulation (EU) No. 1407 / 2013 of December 18, 2013 on the application of Articles 107 and 108 of the Treaty on the Functioning of the European Union to de minimis aid, OJ 2013 L 352, 1), unless funding is possible via Article 53 of the GBER.

1.4.9 Companies that have not complied with a recovery order based on a decision of the EU Commission determining the illegality and incompatibility of aid with the common market are not eligible for support pursuant to Article 1(4)(a) GBER. Likewise, companies in difficulty are not eligible for support pursuant to Article 1 para. 4 lit. c) in connection with. Article 2 No. 18 GBER. The publication of the approval of projects is carried out in accordance with Article 9 (1) in conjunction with Annex III GBER. According to Article 9 (1c) GBER, every individual grant of more than 500,000 euros must be published on a national or regional website with 28 the information specified in Annex III (including the recipient and the amount of the grant) from 1 July 2016 at the latest.

1.4.10 In addition, the eligibility requirements for the individual funding areas are set out in Sections 2 to 7.

1.5 Type and Scope of Funding

1.5.1 Funding is granted in the form of project funding, for the funding of story development (see Sections 2.1 to 2.3) by way of fixed-amount funding, and otherwise by way of share funding.

1.5.2 The costs of the project for which funding is requested are to be calculated in accordance with standard industry practice and on the basis of cost-efficient business management. The German share of financing or, if this is higher, the German share of the costs is decisive for the calculation of maximum funding limits.

1.5.3 Applicants are required to employ the personnel deployed in the projects under socially acceptable conditions. The implementation of the projects under the aspects of sustainability and environmental protection is to be strived for. Resulting costs in the production of cinema and television projects are eligible for funding. Applicants must submit a self-declaration on compliance with minimum wage and minimum ecological standards. 

1.5.4 Eligible costs are all necessary costs associated with the project, unless otherwise specified in Sections 2 through 7.

1.5.5 Funding under these guidelines can be cumulated with funding from other funding institutions. In this context, the aid intensity may not exceed 50% in the case of productions and 60% in the case of European co-productions. This does not apply to difficult audiovisual works such as short films, first and second films by directors, documentaries, low-budget productions or other commercially difficult works.

2. STORY AND PROJECT DEVELOPMENT FUNDING 

2.1 Story Development for Theatrical Feature Films

2.1.1 Object of the Funding; Type of Funding

A conditionally repayable, interest-free loan may be granted as fixed-amount financing for the development of scripts for fictional feature films.

2.1.2 Funding Recipients

Authors are eligible to apply. Producers with a registered office, branch or business premises in Bavaria are also eligible to apply. Authors are eligible to apply if the material was developed by the author him/herself or by a third party and the author has acquired the filming and exploitation rights. A producer is eligible to apply if he /she intends to film the material him / herself and it is material developed by the producer him / herself or material from a third party whose filming and exploitation rights the producer has acquired him / herself.

2.1.3 Funding Prerequisites

The application must be accompanied by a treatment with at least one elaborated cinematic dialogue scene, which gives reason to expect a film of high quality worthy of support. The application from authors must state the producer with whom the film project is to be realized. A corresponding letter of intent from a producer based in Bavaria must be included. If the grant recipient is an author, he /she undertakes to offer the screenplay to the producer named in the application or to another producer based in Bavaria for the production of a feature film. If possible, the film should be produced in Bavaria.

2.1.4 Scope of the Funding

The loan should not exceed 30,000 euros in any individual case. It can be increased if the author already has at least two full-length feature films to his or her credit, or if a particularly high level of research is demonstrated, or if the screenplay is also intended to form the basis for the creation of a multimedia story world. In the case of a funding recommendation, an increase for the costs of a dramaturgical consultation/supervision is also possible upon application. The maximum rates are up to 5,000 euros per increase possibility, cumulatively not more than up to 10,000 euros. 

2.1.5 Processing and Payment of the Funding

The loan is disbursed in two installments: 70% after conclusion of the funding contract, 30% after submission of the completed screenplay. The Allocation Committee decides on the funding recommendation; the management decides on the payment of the second installment as well as on the funding of a dramaturgical consultation, and reports to the Allocation Committee on such decisions.

2.1.6 Deadlines

If the funding contract is not concluded in a legally binding manner no later than six months after the funding recommendation, the funding recommendation expires. The deadline for submission of the completed screenplay is nine months from payment of the first installment. In justified exceptional cases, the management may extend these deadlines upon request; the request must be received before the deadline expires.

2.1.7 Repayment

If the recipient of the grant exploits the screenplay, he /she is obligated to repay half of the exploitation proceeds, but no more than the disbursed loan. Fees for the further development of the screenplay up to an amount of 50% of the funding amount do not count as exploitation proceeds. If the recipient of the grant is a producer and films the screenplay him/ herself, the full amount of the loan paid out must be repaid when filming begins. If the recipient is granted production funding for the project, the loan amount paid out is credited against the first installment of the production funding. The repayment obligation exists as long as proceeds are generated from option or exploitation contracts concluded within five years of disbursement of the last loan installment.

2.2 Development for Internationally Marketable Series

2.2.1 Object of the Funding; Type and Scope of Funding

A conditionally repayable, interest-free loan of up to 30,000 euros can be granted as fixed-amount financing for the development of material for series that can be marketed internationally in terms of content and style and that are designed for at least six continuous episodes with a running time of at least 40 minutes per episode (at least 10 minutes for children’s and youth animation series).

2.2.2 Funding Prerequisites

The application must be accompanied by a series concept, a treatment for the first episode with at least one elaborated cinematic dialogue scene, and ideas for the subsequent episodes.

2.2.3 Payment

For payment of the second installment, the completed script for the first episode and the outlines for the subsequent episodes must be submitted.

2.2.4 Miscellaneous

In all other respects, Sections 2.1.2 to 2.1.7 shall apply accordingly.

2.3 Development for Documentary Feature Films

2.3.1 Object of the Funding; Type and Scope of Funding

A conditionally repayable, interest-free loan of up to 20,000 euros can be granted as fixed-amount financing for the development of filmable material for documentary feature films, including research.

2.3.2 Funding Prerequisites

The application must be accompanied by an exposé and a concept for the cinematic realization.

2.3.3 Payment

For the disbursement of the second installment, a filmable shooting draft including research results must be submitted.

2.3.4 Miscellaneous

In all other respects, Sections 2.1.2 to 2.1.7 shall apply accordingly.

2.4 Project Development

2.4.1 Object of the Funding; Type and Scope of Funding

A conditionally repayable, interest-free loan can be granted for the development of theatrical feature films or television films and series (including associated additional innovative digital narrative forms). The loan can amount to up to 70% of the calculated project development costs, up to a maximum of 100,000 euros per project in the case of theatrical feature films and television films, and 150,000 euros per project in the case of series.

2.4.2 Funding Recipients

Producers with a registered office, branch office or operating facility in Germany are eligible to apply.

2.4.3 Funding Prerequisites

The application must be accompanied by a script, in the case of series by a series concept, a script for the first episode and outlines for the subsequent episodes, and in the case of documentaries by a filmable script. Furthermore, the calculation of the production preparation costs and a realization concept must be attached to the application. The applicant must provide an appropriate contribution of his or her own. To the extent possible, the funding amount is to be used in Bavaria. In the case of television projects, producer fees and calculated profits are not recognized as project development costs.

2.4.4 Deadlines

If the funding contract is not concluded in a legally binding manner no later than six months after the funding recommendation, the funding recommendation expires. Twelve months after signing the contract, a final report on the project development measures must be submitted to the management. In justified exceptional cases, the management may extend these deadlines upon application; the application must be received before the deadline expires.

2.4.5 Payment

The loan will be disbursed in the following installments: 50% upon completion of the funding contract, 25% upon project progress, and 25% upon submission of the final report.

2.4.6 Repayment

The disbursed loan must be repaid in full no later than the start of shooting and, in the event of exploitation or sale of rights to the funded material, from the proceeds received therefrom pari passu in accordance with the financing shares between the borrower and FFF Bayern. If production funding is granted for the project, the loan will be credited against this. The repayment obligation exists as long as proceeds are generated from option or exploitation contracts concluded within five years after disbursement of the last loan installment.

3. PRODUCTION FUNDING FOR THEATRICAL FILMS OR TELEVISION FILMS AND TELEVISION SERIES

3.1 Object of the Funding; Type of Funding

Conditionally repayable and interest-bearing loans may be granted for the production of theatrical feature films or television films and series (including related additional innovative digital narrative forms) if it appears possible for the producer to recoup the loan from the marketing of the theatrical feature films or television films or series on the national and international market, or if the funding is expected to result in the long-term production of series, serials or similar such productions in Bavaria. Theatrical films must be of feature film length.

3.2 Funding Recipients

Producers with a registered office, branch office or operating facility in Germany are eligible to apply.

3.3 Scope of Funding

3.3.1 Scope of Funding for Theatrical Feature Films

The production of theatrical feature films can be funded with up to 30% of the eligible production costs in accordance with Sections 1.5.2 to 1.5.4, up to a maximum of 2 million euros.

3.3.2 Scope of Funding for Television Films

The production of television films can be funded with up to 30% of the eligible production costs in accordance with Sections 1.5.2 to 1.5.4. The maximum amount of funding for individual projects is 600,000 euros. The cost share of the broadcaster(s) shall generally be 60%.

3.3.3 Scope of Funding for Television Series

The production of television series can be funded with up to 30% of the eligible production costs in accordance with Sections 1.5.2 to 1.5.4. Television series can be funded up to a maximum of 1 million euros. The cost share of the broadcaster(s) shall generally be 60%.

3.3.4 Promotion of Young Talent

3.3.4.1 Consultation Meeting

An application for the special promotion of young talent must be preceded by a consultation meeting with FFF Bayern.

3.3.4.2 Graduation Films

Graduation films by students of the University of Television and Film Munich (hereinafter: HFF) and the Macromedia University of Applied Sciences in Munich (hereinafter: Macromedia) can be funded with a total amount of up to 820,000 euros per year. Funding can be provided either as a grant or as a conditionally repayable and interest-bearing loan. Graduation films do not have to be of feature film length. The application must be accompanied by a confirmation from the university. In exceptional cases, the university itself may submit an application.

3.3.4.3 First Films

First films by graduates of the HFF and Macromedia can be funded with a total amount of up to 850,000 euros per year. Funding can be provided either as a grant or as a conditionally repayable and interest-bearing loan. Applications for funding for a first film can only be submitted within five years of graduation. First films do not have to be of feature film length. The application must be accompanied by a certified copy of the university’s graduation certificate.

3.3.4.4 Additional Promotion of Young Talent

In addition, projects by upcoming young talent with industry experience can be funded with a total amount of up to 330,000 euros per year. Funding can be provided either as a grant or as a conditionally repayable and interest-bearing loan. Other up-and-coming talent films do not have to be of feature film length. Funding for school pupils, students as well as film school graduates is excluded under this section. For animation projects, the management may allow for deviating regulations.

3.4 Financing and Calculation

The applicant must make an appropriate contribution of his/ her personal resources to the financing commensurate with net assets, liquidity and earnings situation. Personal resource contribution may be in the form of private funds, deferred personal services and deferred third-party services, distribution and sales guarantees, as well as television and home entertainment interests and licenses, insofar as they are contributed during the production of the film. Personal funds include the producer’s own funds as well as third-party funds provided to the producer in the form of loans with an unconditional repayment obligation (e.g. bank loans) and participatory loans (e.g. crowdinvesting, crowdfunding, Bavarian Bank Fund). Personal funds should amount to at least 2.5%. Deferred personal services can additionally be used as a financing component up to a maximum of 10% of the production costs with the standard market monetary value. Personal resources also include the producer’s customary market fees if the producer acts as production manager or director or lead actor or cinematographer in the film project. In the case of theatrical films, a producer’s fee may be calculated. For television films and series, a reasonable profit can be calculated. Film subsidies and prize money, insofar as they are granted for specific projects, may not be credited towards the personal contribution of budget calculation. Exceptions are possible in the area of promoting young talent in accordance with Section 3.3.4.

3.5 Funding Prerequisites

Applications must be accompanied by a script, a cast and crew list, a cost estimate and a financing plan. The application documents must also include a detailed exploitation concept. All contracts must clearly indicate the exploitation rights remaining to the producer. As a rule, funding for theatrical feature films can only be granted if a legally effective distribution agreement is submitted. In the case of television films and series, a contract with a television broadcaster for the broadcast of the film or series must be submitted. If no broadcasting contract has been concluded, a key data document or deal memo signed by both parties must be submitted, showing the amount of financial participation by the broadcaster and the division of exploitation rights, in particular the license period and the license area for the broadcaster. Exceptions may be made in the area of promotion of young talent in accordance with Section 3.3.4.
At least 150% of the loan amount granted is to be used in Bavaria (Bavarian effect). If a higher Bavarian effect is stated in the funding application, this must actually be provided.
During the production of the film, the applicant shall ensure film professional training and further vocational education to an appropriate extent.

3.6 Deadlines

The funding recommendation expires if proof of total financing is not provided within nine months after the Allocation Committee’s decision is announced. It also expires if filming does not begin within twelve months after the Allocation Committee’s decision is announced. In justified exceptional cases, the management may extend these deadlines upon application. The application must be received before the deadline expires. If management does not wish to grant the application, it shall refer the matter to the Allocation Committee.

3.7 Payment

The loans are disbursed in installments according to the proven progress of the project.

3.8 Repayment

The loan is to be repaid from the domestic and foreign exploitation proceeds of the funded film. After priority repayment of the recognized producer priority, 50% of the proceeds accruing to the applicant from the exploitation of the film are to be used to repay the loan. The priority set forth in the funding contract shall apply. If a lower priority and / / or repayment corridor is agreed upon with another funding agency involved in the project, these shall also apply to the loan under these guidelines. If the film has been funded by more than one funding agency, repayment should be made according to the respective funding shares. In this case, the 50% rule of Section 2 applies to the share attributable to Bavaria. Interest shall cease to be paid after the end of the 18th month following the German premiere of the funded film. As a rule, the obligation to repay the loan ends ten years after the initial screening of the film in the case of theatrical feature films and ten years after the initial broadcast in the case of television films and series. In the case of projects for which a longer exploitation period can be expected owing to producer’s legal rights situation, the repayment period can be extended accordingly. For the repayment of subsidized loans pursuant to Sections 3.3.2 and 3.3.3, an appropriate repayment corridor shall be provided for all proceeds.

3.9 Success Loans 

Within a period of three years from repayment of the first loan installment, the applicant may apply for a new loan for story and project development or for production in the amount of the repaid principal (repayment and interest). The success loan is to be granted if the new project is expected to produce a film worthy of support according to the criteria of quality and profitability. It is to be used in its entirety in Bavaria. The recommendation to grant the success loan is made by the management. In addition to the success loan, project funding may also be granted through the Allocation Committee. No success loans are granted for the repayment of loans from earmarked funds.

3.10 Premiere

The premiere of funded films shall take place in Bavaria. The management may allow exceptions to this if the state funding claimed in Bavaria falls short of any other state funding claimed.

3.11 Exploitation

Funded theatrical films may not be released for television exploitation before the expiration of one year after the start of the usual regular exploitation in theaters in German-speaking countries. The management may shorten this period at the producer’s request.

3.12 Specimen Copy

In the case of theatrical films, an archivable copy of the funded film must be made available to the Federal Archive free of charge for archiving purposes before the final installment is disbursed. For all films funded under Section 3, a specimen DVD or Blu-ray must be provided to FFF Bayern free of charge.

3.13 Reference to Promotion

In the opening or closing credits of films funded under these guidelines, clear reference must be made to the funding provided by FFF Bayern.

4. FUNDING OF OTHER INNOVATIVE AUDIOVISUAL PROJECTS AND IMMERSIVE AUDIOVISUAL CONTENT

4.1 Object of the Funding

To strengthen the creative potential of the film and media industry and develop a diverse cultural landscape in Bavaria as a media location, producers and filmmakers are to be given the opportunity to break new ground in terms of content while maintaining special quality. For this reason, other innovative audiovisual projects intended for alternative, usually non-linear reception (e.g. web series), as well as immersive audiovisual content whose focus is on a linear-narrative rather than interactive approach (e.g. 360-degree films), can be funded as follows:

4.2 Funding Recipients

Producers and filmmakers with a registered office, branch office or operating facility in Germany are eligible to apply.

4.3 Type and Scope of the Funding

4.3.1 Type and Scope of the Funding for Web Series

A conditionally repayable and interest-bearing loan can be granted for the production of web series. The loan can amount to up to 60% of the production costs, but not more than 50,000 euros per project. The applicant must provide an appropriate contribution of personal resources, of which the personal funds should amount to at least 2.5%. The funding amount is to be spent in full in Bavaria.

4.3.2 Type and Scope of the Funding for Immersive Audiovisual Content

- A conditionally repayable, interest-free loan can be granted for project development. The loan can amount to up to 70% of the project development costs, up to a maximum of 25,000 euros per project. The applicant must make an appropriate contribution of his/ her own funds. The funding amount is to be used as far as possible in Bavaria.

- A conditionally repayable and interest-bearing loan can be granted for the production of the project. The loan may amount to up to 60% of the production costs, but not more than 75,000 euros per project. The applicant must provide an appropriate personal financial contribution, of which the personal funds should amount to at least 2.5%. The subsidy amount is to be spent in full in Bavaria.

4.4 Payment

For loans under Section 4.3.1 and 4.3.2, second indent, payment shall be made in installments in accordance with the progress of the project. In all other respects, Sections 3.6, 3.8, 3.9, 3.12 and 3.13 apply accordingly.

4.5 Micellaneous

For section 4.3.2. first indent, sections 2.4.4 to 2.4.6 apply accordingly.

5. FUNDING OF DISTRIBUTION AND SALES

5.1 Object of the Funding; Type of Funding

A conditionally repayable and interest-bearing loan may be granted for the distribution and sale, in particular, of theatrical feature films funded in Bavaria.

5.2 Funding Recipients

Distribution and sales companies with a registered office, branch office or permanent establishment in Germany are eligible to apply for funding.

5.3 Scope of the Funding; Funding Prerequisites

The loan may amount to up to 50% of the proven distribution preliminary costs or distribution costs, up to a maximum of 205,000 euros. If the distribution or sales measure is funded by several funding institutions, the total funding should not exceed 50%. In the case of distribution or sales projects as defined in Section 1.5.5 sentence 3, it is possible to exceed the 50% limit for the cumulative funding. In these cases, a grant may be awarded instead of a loan.
At least the granted loan amount shall be used in Bavaria. If a higher Bavarian effect is specified in the funding application, this must actually be provided.

5.4 Deadlines

The funding recommendation expires if proof of overall financing is not provided within nine months after the decision of the Allocation Committee is announced or the German theatrical release does not take place within twelve months after the decision of the Allocation Committee is announced. In justified exceptional cases, the management may, upon application, extend these deadlines. The application must be received before the deadline expires. If the management does not wish to grant the application, it shall refer the matter to the Allocation Committee.

5.5 Repayment

The loans granted are to be repaid from the exploitation proceeds of the film to which the applicant is entitled after covering the distribution preliminary costs or sales costs not financed from subsidies and distribution and sales guarantees shown in the funding contract. The applicant’s liability is limited to the exploitation proceeds of the funded film. The repayment obligation ends five years, and the obligation to pay interest 18 months, after the German premiere or five years after the first exploitation in another medium in Germany. Applicants who have repaid the loan in full may also receive funding for the next project in excess of the maximum amount specified in Section 5.3, up to a maximum of 250,000 euros.

5.6 Further Funding Measures

In order to expand existing markets and open new market possibilities for Bavarian producers, grants can be awarded for suitable projects within the framework of distribution and sales support (e.g. for advertising campaigns in connection with Oscar or Golden Globe nominations or for participation at internationally recognized festivals).

5.7 Micellaneous

Sections 3.10, 3.11 and 3.13 shall apply accordingly. Upon request, FFF Bayern shall be provided with a specimen DVD or Blu-ray.

6. CINEMA PROGRAM PREMIUMS, STRUCTURAL AND INVESTMENT FUNDING

6.1 Cinema Program Premiums; Structural Funding

Cinema program premiums may be granted to Bavarian commercial cinemas that have presented a qualitatively outstanding film program during the past year, including an appropriate share of German and European films, in accordance with a funding framework to be determined by the Supervisory Board. In individual cases, special innovative comprehensive measures to strengthen the cinema industry in Bavaria, such as workshops, studies or marketing measures, can also be funded.

6.2 Investment Funding

Investments by operators of commercial cinemas located in Bavaria which submit to voluntary self-regulation can be supported from budgetary funds of the Free State of Bavaria as follows.

6.2.1 Type and Scope of Funding

Funding is provided in the form of a grant of up to 30%, up to a maximum of 100,000 euros (250,000 euros for new installations) of the eligible costs. Personal services do not count as eligible costs. The following are eligible for funding:

- Investments for the modernization and improvement of cinemas up to an investment amount of 2.5 million euros. If the total costs (structural measures, technical equipment and facilities) exceed the limit of 2.5 million euros, only investments in technical equipment and facilities can be recognized as eligible costs. If the investment costs for cinematic equipment and facilities also exceed 2.5 million euros, the project is not eligible for funding.

- in exceptional cases, also the relocation of existing operations or the establishment of new operations.

The items procured with the grant are bound for the purpose of the grant for a period of five years.

6.2.2 Financing

The applicant must use an appropriate amount of his/ her personal funds or other borrowed funds for the financing in accordance with asset, liquidity and earnings situation. Applicants for whom the possible financial assistance is economically insignificant with regard to the financial and earnings situation or the amount of the project cannot be considered. Investment costs which do not exceed 5,000 euros will not be funded.

6.2.3 Processing

The management decides on the recommendations according to Section 6.2 within the framework of the subsidies made available specifically for this purpose by the Free State of Bavaria.

6.2.4 Deadlines

The funding recommendation expires if the project is not started twelve months after it is announced. The start of the project is deemed to be the first order placement. The grant must be claimed in full no later than 18 months after the funding rate is announced, otherwise the unused grant amount is forfeited.

7. OTHER FUNDING MEASURES

7.1 Strengthening and Cultivation of Bavaria as a Media Location

For other funding measures which aim to cultivate Bavaria as a media location, the management board can make recommendations in accordance with a funding framework to be defined by the Supervisory Board. In particular, funding can be provided for measures to promote continuing education, young talent, networking within the industry and across industries, and measures to increase the visibility of Bavaria as a media location and preserve its cultural diversity.

7.2 Bavarian Film Festivals

Bavarian film festivals of supra-regional importance can be supported with grants from funds of the Free State of Bavaria. The management decides on the funding recommendation in accordance with the funding principles and in consultation with the Free State of Bavaria.

8. PROCESSING

8.1 Granting Authority

The loans, grants and cinema program premiums are approved by the LfA on the recommendation of FFF Bayern.

8.2 Application

Funding is only granted upon application. Applications must be submitted using the forms available from FFF Bayern and the Internet portal provided. Applications can generally only be submitted once to the Allocation Committee. FFF Bayern may refuse to accept applications for which documents relevant to the decision are missing. If FFF Bayern accepts applications, they will be submitted to the Allocation Committee for a decision. Applications must be submitted by the deadlines announced by the management.

8.3 Allocation Committee

8.3.1 The Allocation Committee is elected by the Supervisory Board of FFF Bayern in accordance with its statutes. When appointing members to the Allocation Committee, care shall be taken to ensure a balanced ratio of women and men. The Allocation Committee is chaired by the management of FFF Bayern.

8.3.2 The Allocation Committee has a quorum if at least two thirds of its members are present.

8.3.3 Recommendations of the Allocation Committee require the approval of two-thirds of the members present. Exceptional decisions from these guidelines are only possible in particularly exceptional cases if all members present agree to the recommendation.

8.3.4 Committee members are independent and not bound by orders or instructions. They are obliged to maintain confidentiality regarding the content of application documents, deliberations and recommendations. Members of the Allocation Committee do not take part in deliberations and recommendations if they themselves or relatives are affected by the subject matter of the deliberations. 

8.3.5 The Allocation Committee makes recommendations for funding in individual cases. With regard to the overall scope of its recommendations, the committee is bound by the funds made available for this purpose.

8.3.6 In cases which cannot be postponed, the management has the right to make urgent decisions on individual recommendations. The management shall report on this at the next meeting of the Allocation Committee.

8.4 Granting and Processing of the Funding

In accordance with the recommendations of the responsible bodies of FFF Bayern, the LfA decides on the funding applications and processes the funding. For this purpose, it concludes corresponding loan or funding contracts with the funding recipient. FFF Bayern announces the content of its recommendations directly to the applicant.

8.5 Financing Review

In the case of applications under Sections 2.4, 3., 4. and 5. which the Allocation Committee has recommended for funding, the LfA or an auditor commissioned in consultation with FFF Bayern and the Free State of Bavaria will review the calculation and financing plan. If the review reveals reservations about the calculation or the financing plan, the LfA will forward the application again to FFF Bayern for a decision.

8.6 Special Committees

For the granting of production funding for international co-productions, a special committee may be formed with the approval of the Supervisory Board, which shall be convened at short notice – no later than four weeks after receipt of the complete application. The documents for this special committee may also be submitted in English.

8.7 References; Audit Rights of the Supreme Audit Office and the EU Commission

The information provided in the application and in the supplementary documents submitted in connection therewith is relevant to the subsidy within the meaning of Section 264 of the German Criminal Code in conjunction with Section 2 of the Subsidy Act of July 29, 1976 (BGBl I p. 2037) and Article 1 of the Bavarian Criminal Law Implementation Act of December 13, 2016 (GVBl. p. 345).

The relevant provisions of budgetary law will be incorporated mutatis mutandis into the contracts between the LfA and the grantees, unless these guidelines contain provisions to the contrary and special provisions of the German Film Law take precedence. In particular, the adoption of No. 3 ANBest-P is excluded from this.

Funding according to these guidelines is excluded if funding is provided from other funds of the Free State of Bavaria.

The Bavarian Supreme Audit Office is entitled to audit the funding recipients (Art. 91 BayHO).

The EU Commission is entitled to conduct audits of the funding recipients with regard to compliance with the GBER or the “De Minimis Regulation” (Art. 12 GBER or Art. 6 “De Minimis Regulation”).

8.8 Securities/Collaterals

The loans granted by the LfA for production, distribution and international sales must be secured in a suitable manner. In this context, the borrowers must grant the LfA or the trustee appointed by the LfA security rights to the exploitation rights pursuant to sections 15 et seq. of the German Copyright Act in respect of the film in question in accordance with a special security agreement, or assign claims arising from the contracts concluded in connection with the exploitation of the film, in particular the claims to the exploitation proceeds to which the borrowers are entitled; additionally, claims arising from insurance contracts shall be assigned.

8.9 Disposition Statements/Proof of Use

The simple proof of use is permitted. The proof of use for the loans or grants granted must be provided to the LfA or the trustee appointed by the LfA, who also monitors the use for the intended purpose. In the case of multiple funding, the LfA may agree on a joint audit with other funding institutions.

8.10 Costs

The grant recipients must pay an audit fee of 3% of the funding amount to the LfA. No audit fees are charged for funding under Section 2, Section 6 and Section 7.

8.5  ALLOCATION COMMITTEE

8.5.1  The Allocation Committee is elected by the supervisory board of FFF Bayern in accordance with its statutes. When appointing members to the Allocation Committee, a balanced ratio of women and men must be ensured. The Allocation Committee is chaired by the management of FFF Bayern.

8.5.2  The Allocation Committee has reached a quorum enabling it to make decisions if at least two thirds of its members are present.

8.5.3  Recommendations by the Allocation Committee must be endorsed by two thirds of the members present. Exceptions to these guidelines are possible in circumstanced exceptional cases if all members present are in unanimous agreement.

8.5.4  The committee members are free and autonomous and not bound to any orders or directions. Committee members are sworn to secrecy regarding the contents of the applications as well as of their deliberations and recommendations. Members of the Allocation Committee may not participate in deliberations and recommendations concerning issues or applications pertaining to either themselves or members of their family.

8.5.5  The Allocation Committee makes grant recommendations based on a case-by-case basis. As to the total extent of its recommendations, the Allocation Committee is limited to the budgetary means available for this purpose.

8.5.6  In urgent or time-sensitive cases, the managing director has the right to expedite proceedings and make decisions on individual recommendations. In such instances, the managing director must inform the members of the Allocation Committee about such decisions during the subsequent meeting.

8.6  LfA makes its decisions for funding based on the recommendations by the relevant bodies of FFF Bayern and handles the disbursement of funds. LfA draws up the respective loan or grant agreement with funding recipients. FFF Bayern will inform the applicants immediately about the decision of their grant recommendations.

8.7  Based on Paragraphs 2.4, 3, 4 and 5, cost calculations and financing plans of applications which are recommended for funding by the Allocation Committee are audited either by the LfA or by an appointed auditor or auditing company.

Should the audit give rise to any doubts as far as the calculation or financing plan are concerned, LfA may refer the particular application back to FFF Bayern for resolution, if necessary.
 
8.8  For the awarding of funding for international co-productions, a special committee may be formed, upon approval by the supervisory board, which will be convened at short notice – at the latest, four weeks after the submission of a complete application.  Documentation for this special committee may also be submitted in the English language.

8.9  With the approval of the supervisory board, a special committee may be formed to award grants for other innovative audiovisual projects and immersive audiovisual content.

9. EFFECTIVE DATE AND VALIDITY PERIOD

These guidelines are in effect from 1 January 2022. They shall be applied and remain valid until 31 December 2024. Section 7.2 applies until independent funding guidelines for film festivals come into force.