(a) A performer's total valuation per demonstration year (DY) for DY9 and DY10 is calculated as follows:
  (1) If a performer has a DY8 total valuation that is less than or equal to $1 million, its total valuation for each demonstration year of DY9 and DY10 is equal to its total valuation for DY8. These valuations are subtracted from the DY9 and DY10 DSRIP pool amounts.
  (2) If a performer has a DY8 total valuation that is greater than $1 million, its total valuation for each demonstration year of DY9 and DY10 is calculated as follows:
    (A) The remaining DY9 and DY10 DSRIP pool amounts are divided by the DY8 valuation for all performers with a DY8 total valuation greater than $1 million to determine the percentage reductions for DY9 and DY10;
    (B) The performer's DY8 valuation is multiplied by the percentage reduction in valuation from DY8 for the applicable DY to determine the total valuation for each demonstration year of DY9 and DY10; and
    (C) The performer's total valuation for each demonstration year of DY9 and DY10 is not reduced to less than $1 million.
  (3) If a performer withdrew from participating in DSRIP during DY8 or withdraws during the RHP Plan Update for DY9-10, the performer's valuation is proportionately distributed among the remaining performers in its RHP based on each performer's percent share of DY8 valuation in the RHP.
(b) A performer's valuation must comport with the following funding distribution for DY9 and DY10:
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Source Note: The provisions of this §354.1747 adopted to be effective November 12, 2019, 44 TexReg 6854