Production incentive

The Production Incentive consists of two streams:

Foundation Stream

Productions spending $3 million or less of their project budget in the province can apply to the Legacy Stream via the Arts Culture NB Grant Portal. All-Spend Incentive or Labour-Based Incentive described in these guidelines will be available to qualified producers applying to this stream. Priority will be given to projects with a complete financing structure at the time of application or a reasonable timeline by which financing will be secured from all financial partners. Only projects that meet eligibility requirements and that present realistic timelines will be considered for funding.

NB Growth Industry Stream

Productions spending $3 million or more in New Brunswick will be directed to the NB Growth Industry Stream. The All-Spend Incentive or Labour-Based Incentive described in these guidelines will be available to qualified producers applying to this stream. Only projects that meet eligibility requirements and that present realistic timelines will be considered for funding. Applicants for this stream must contact Laura Oland for further details.

The objectives of the program are to:

• contribute to the development and production of quality film, television and new media products that contribute positively to New Brunswick’s cultural and artistic image
• foster the stability and success of the industry
• maximize opportunities to leverage development
• support the maintenance and creation of jobs, the attraction of external investment, the contribution to the GDP and tax revenue

This program does not have deadlines.

To support the industry with their production projects, the province offers two types of incentives:

The first is a Labour-Based Incentive, to a maximum of 40 per cent of eligible salaries paid to New Brunswick residents. However, eligible salaries and wages cannot exceed 50 per cent of the eligible production costs.

The second incentive is an All-Spend Incentive, which is to a maximum of 25 per cent of all New Brunswick expenditures for variety and service productions, or a maximum of 30 per cent of all New Brunswick expenditures for New Brunswick based productions or co-productions. Eligible expenses include labour, service contract expenditures, and costs for renting or acquiring related materials.

Disbursement:

Approved production funding support will be issued at 80 per cent upfront and 20 per cent upon project completion and approval of appropriate materials.

Both New Brunswick and external companies may apply for the Production Incentive. 

New Brunswick companies are defined as a company that has a permanent establishment in the province and can demonstrate 50% of its shareholders are New Brunswick residents. When the applicant to the Production Incentive is a New Brunswick company entering a co-production agreement with an external company, the incorporated New Brunswick company must have a permanent establishment in the province, with a minimum of 50% of voting shareholders being New Brunswick residents.

Eligible projects

• animation
• children’s programming
• documentaries
• educational
• experimental 
• feature films
• non-theatrical genres
• reality and lifestyle series
• television content (MOWs, sitcoms, dramatic series, docu-series)
• television movies
• variety and capitations

Projects submitted to the program must be undertaken in the current fiscal year. Projects slated for production in future fiscal years will not be accepted and must be re-submitted in the appropriate fiscal year.

Ineligible projects

• films and videos of a promotional or instructional (how-to) nature for commercial, industrial or institutional purposes
• gala and/or award presentation shows
• productions containing explicit sex, excessive violence, sexual violence or sexual exploitation or any matter which is libelous and obscene or in any other way unlawful or which does not respect provincial and/or federal civil or criminal laws
• sporting events, news, weather and current affairs reporting
• technical instruction videos, music promotional videos and how-to-do videos

Allowable expenses for labour-based incentive

Gross salaries and wages paid to eligible employees by the corporation for the various stages of production, from the final script stage to the end of the post-production stage. 

Allowable expenses for all-spend incentive

Expenditures in the province for labour, service contract expenditures, and expenditures for the rental or acquisition of related materials. Interpreting these expenses' eligibility is at the department's discretion.

As per the guidelines of the Canadian Media Fund, the department allows for up to 10% of (B+C) of the production budget to be allocated for producer's fees and corporate overhead for budgets exceeding $500,000 and up to 15% for budgets of $499,999 or less.

Exemption to residency requirement (deeming)

An exemption or deeming of the residency may be granted if the three following conditions are met:

• there is no qualified New Brunswicker available to perform the specific function
• the proposed out-of-province employee is providing on-the-job training and mentoring to a New Brunswicker
• in the opinion of the department, the overall economic/cultural benefits to the province warrant it

The application for such deeming must be submitted and approved before the first day of principal photography. If unforeseen circumstances arise after the shooting has started, an exception may be made at the department's discretion. One waiver may be granted for all non-dramatic productions and up to three for dramatic productions.

Applications submitted to this program are evaluated according to the program objectives and criteria, including general and contextual information about the organization, the nature and quality of the work outlined in the application and potential impacts.

Please refer to the guidelines on the Arts Culture NB Portal, which contain essential information about the criteria of this program.

In the case of disagreement concerning the interpretation of policies and programs, the department reserves the right to final interpretation of the intent and implementation of a program. The department reserves the right to revise programs at any time without notice. The department is subject to the Right to Information and Protection of Privacy Act.