Maybe it's the confusion between "fan film" and "no budget film". Phase II and other fan films is certainly not "no-budget".
What I also don't like it when people say they made this film with no budget, but then you look at who was involved and it's semi-professionals who have access to equipment worth a couple of thousand bucks in either renting or owning. Other people have access to a camcorder and to a free copy of Adobe CS 2. Those can claim they did their stuff without a budget.