W. Va. Code R. § 144-1-6

Current through Register Vol. XLI, No. 50, December 13, 2024

Section 144-1-6 - Eligible and ineligible expenditures of grant funds

6.1. Grant funds may only be used to pay for eligible expenditures for direct advertising. Eligible expenses for direct advertising include, but are not limited to the following:

6.1.1. The costs of advertising on television, radio, or other telecommunications media, in newspapers, magazines or other print media, direct mail advertising, internet media, and outdoor advertising or any combination thereof;

6.1.2. The costs of purchasing and using mailing lists for direct mail promotions;

6.1.3. The costs for United States postage used for direct mail only. Reimbursement will be limited to the standard bulk mail rate;

6.1.4. The costs of printing travel related literature: Provided, That sixty percent (60%) of such literature is used as fulfillment for direct advertising within the approved application or approved request for modification of an approved application, and that all requests for printing are accompanied by three written bids, with written justification provided in the event that the lowest bid is not selected; or

6.1.5. Registration fees for consumer and trade shows: Provided, That the participation in such shows is for the purpose of attracting visitors to the state.

6.2. Seventy-five percent (75%) of a project's direct advertising must be directed toward areas outside of the local market or in major out-of-state markets, except for direct advertising for a fair or festival grant authorized by subsection 7.3 of this rule. The Commission reserves the right on a case by case basis to allow local market media in excess of 25% of a project's direct advertising that cost effectively reaches a well-researched target market.;

6.3. Notwithstanding the provisions of subsection 6.2 of this rule, all direct advertising in the form of billboards must be directed toward areas outside of the local market or in major out- of-state markets, except billboards for a fair or festival grant authorized by subsection 7.3 of this rule.

6.4. All direct advertising in the form of billboards must have a creative concept or layout approved by the Division in order for any of its cost to be considered an eligible expenditure.

6.5. Any direct advertising related to real estate must be for vacation rentals only. No direct advertising for real estate sales or realty agencies are permitted within cooperative advertising, unless such ads are specifically and clearly delineated as vacation rentals only.

6.6. Direct advertising may be in the form of cooperative advertising which is advertising that represents a community, region, county, multi-county or statewide organization and may include tourism businesses or organizations that enhance the destination for which the grant is to cover. Cooperative advertising must be entirely directed toward areas outside the local market or in major out-of-state markets. All cooperative advertising must have a creative concept approved by the Division in order for any of its cost to be considered an eligible expenditure.

6.7. Eligible expenses may include production expenses for direct advertising in the media categories provided in this subsection. The total cost of such production expenses may not exceed fifteen (15%) of the total cost of the direct advertising and in no event may the total cost of such production expenses exceed $10,000, for any one of the following media categories:

6.7.1. Printed material, including the printing of direct mail and travel related literature;

6.7.2. Print media;

6.7.3. Television and radio;

6.7.4. Internet media; and

6.7.5. Billboards.

6.8. Eligible expenses may include web site development, design, and upgrades to the applicant's web site. The total cost of such production expenses may not exceed $22,500 per applicant, per year as defined by the Division. An itemized breakout of requested expenses must accompany the application or modification. Web site development, design and upgrades may not include any applicable ineligible expenditures as listed under the provisions of sections 6.5 and 6.9 of this rule.

6.9. Grant funds may not be used to pay for ineligible expenditures. Ineligible expenditures include, but are not limited to the following:

6.9.1. Regular and ordinary business costs of the applicant including, but not limited to, supplies, personnel, phone, normal postage, distribution and shipping expenses or travel costs;

6.9.2. Any costs associated with preparation of the direct advertising grant application;

6.9.3. Costs for the rental or purchase of real estate;

6.9.4. Construction costs;

6.9.5. Costs of political or lobbying activities of any kind;

6.9.6. Membership fees or dues to any organization, or solicitation of membership to any organization through advertising within a grant program authorized by this rule;

6.9.7. Costs associated with the start up of any business or publication even if the business or publication may be totally or partially devoted to the promotion of tourism in the state;

6.9.8. The cost of purchase of audio/visual equipment;

6.9.9. Costs of alcoholic beverages;

6.9.10. Costs for any expenditure not identified in the application, unless the Commission grants prior approval in writing;

6.9.11. Costs of any public relations or research expense;

6.9.12. Costs for key rings, bumper stickers, mugs or any other similar promotional item;

6.9.13. Event production expenses, including costs for audio equipment, awards, entertainment, portable restrooms, labor or refreshments;

6.9.14. Costs relating to fundraising activities;

6.9.15. Costs associated with retail advertising, except for destination shopping which is able to produce verification that said destination attracts a minimum of eighty-five (85%) of its visitors from outside the local market: Provided, That no retail advertising may include price point advertising;

6.9.16. Costs of Tourist Oriented Directional Signs (TODS) and logo signs for gas, food, lodging and camping;

6.9.17. Costs of sponsorships;

6.9.18. Costs of items for resale;

6.9.19. Costs for monthly or annual server/web host fees, web maintenance fees, and training;

6.9.20. Costs for domain name registration, internal email addresses; or

6.9.21 Costs associated with pay-per-click or paid search advertising, except for statewide tourism associations which represent entire segments of the tourism industry of the state, including, but not limited to the WV Association of Convention and Visitors Bureaus, WV Ski Areas, WV Professional River Outfitters, Mountain State Association of B&B's, and only those associations as a whole.

W. Va. Code R. § 144-1-6