New Jersey Assembly Panel Approves Expansion of Film Tax Credit Program
Posted by
Tax Analysts Editorial Staff
The New Jersey Assembly Budget Committee has approved a bill that would expand the state's film tax credit if the program is reinstated.
A 2905, sponsored by Assembly Democrats, would increase the tax credit from 20 percent to 22 percent for eligible film production expenses. It would also increase the film production tax credit annual cap from $ 10 million to $ 50 million and increase the annual cap for the digital media production tax credit from $ 5 million to $ 10 million, according to a December 16 release.
Gov. Chris Christie (R) suspended the program until at least July 1, 2011, as part of his budget cuts for fiscal 2011. He said in June that he needs time to evaluate the effectiveness of the program.
In a December 16 statement, sponsors of the bill praised the program and criticized its suspension.
View the entire article on LexisNexis Tax Center
Friday, December 31, 2010
Thursday, December 30, 2010
From Michigan Public Radio
Film industry backers hope to keep credit in place
by Sarah Hulett (2010-12-29)
DETROIT, MICH. (Michigan Radio) - Supporters of Michigan's budding film industry are hoping a new governor and legislature don't spell the end of the state's generous tax credits.
Governor-elect Rick Snyder has expressed some concern that the credits could be unsustainable. Michigan offers the most generous film incentives in the country, refunding as much as 42 percent of production costs.
But Carrie Jones, who heads the Michigan Film Office, says skeptics need only look around the state to see the benefits the credits bring.
"Jobs are being created, young people are staying here, we're reshaping our image, and I think as that's investigated further and as more numbers come out and as this program has time to take root a little bit, I think that will all become clear," Jones said.
New reporting rules take effect in January that will require production companies to disclose the people employed and money spent shooting in Michigan.
by Sarah Hulett (2010-12-29)
DETROIT, MICH. (Michigan Radio) - Supporters of Michigan's budding film industry are hoping a new governor and legislature don't spell the end of the state's generous tax credits.
Governor-elect Rick Snyder has expressed some concern that the credits could be unsustainable. Michigan offers the most generous film incentives in the country, refunding as much as 42 percent of production costs.
But Carrie Jones, who heads the Michigan Film Office, says skeptics need only look around the state to see the benefits the credits bring.
"Jobs are being created, young people are staying here, we're reshaping our image, and I think as that's investigated further and as more numbers come out and as this program has time to take root a little bit, I think that will all become clear," Jones said.
New reporting rules take effect in January that will require production companies to disclose the people employed and money spent shooting in Michigan.
Monday, December 20, 2010
PolitiFact.Com Article by C. Eugene Emery, Jr.
Reports offer multiple takes on the benefit of film tax credits like Rhode Island's
By C. Eugene Emery Jr.
Published on Sunday, December 19th, 2010 at 12:01 a.m.
Want to turn a $1 investment into an $8 return in a matter of a few months? Just offer the money in the form of a tax break for movie and television production companies.
Talk about movie magic!
That's what happens, said Senate President Teresa Paiva Weed when she spoke Dec. 3 during a State House reception for the production company behind "Body of Proof," the TV drama filmed in Rhode Island and scheduled to be aired on ABC. The state's tax credit helped make that happen by subsidizing movie and television productions.
"I was one of the skeptics when the film tax credit came out. I was one of the folks that said, 'How does this work?' 'I'm not sure.' 'Will this really work?' And I have come, through much education from my colleagues over the years, to become a real believer because we now know that it works, for all the reasons I've already said. A recent study showed that the film tax credit generates $8 for every $1 of investment in our state. And I can't think of a better investment that also builds on our tourism industry."
We were curious about whether the $1 becomes $8 rate of return was really that high.
Paiva Weed said the source of her comment comes from an April 2010 report by Edward M. Mazze, professor of business at the University of Rhode Island, who concluded that from 2005 to 2009, Rhode Island gave up $56.7 million in revenue in the form of tax credits to 46 productions projects. In return, the projects generated $466 million, direct and indirectly, in wages and taxes. Dividing $466 million by $56.7 million gives you the 8-to-1 ratio.
The credit system allows a production company to get a tax credit equal to 25 percent of its Rhode Island production costs if it spends at least $300,000 on items "directly attributable to activity within the state."
Mazze's estimate comes from looking at how much the production companies claimed they spent on products and services in Rhode Island, along with wages and salaries paid in Rhode Island. To gauge the indirect benefits -- such as extra wages paid out to hotel, restaurant and catering employees hired to support the production -- he turned to the U.S. Department of Commerce, which estimates how much the direct benefit spills over into other sectors. For motion picture and TV production, the feds say that's about 84 percent of the direct benefit. Then Mazze took those estimated wages and salaries and estimated that 10.2 percent of that went toward state and local taxes, based on annual figures from The Tax Foundation, a business-backed tax policy group.
If you restrict yourself to tax revenue directly raised through the credit program, Mazze's study suggests that the state gets 60 cents in taxes for every dollar spent on the credits. (Over the past five years, the amount has fluctuated from 50 cents in 2006 to 94 cents in 2009.)
But other studies that have tried to assess the value of the credits have reached very different conclusions, and some of the numbers vary widely.
Connecticut said the credits were worth 8 cents on the dollar. A Massachusetts study pegged the number at 16 cents.
In New Mexico, one of the states with the longest history of using subsidies to attract the film industry, researchers at New Mexico State University concluded that the rate of return was just 14 cents per dollar invested. Yet five months after that August 2008 study was released, the New Mexico State Film Office issued a report by the accounting firm Ernst & Young saying that the state's film tax credit had generated $1.50 in revenue for every dollar spent.
The results are dramatically different because "when you're comparing studies, the methodologies are different, and that makes it very very tough" to compare, said Mazze.
So this is like the blind men and the elephant -- each study "sees" something different depending on what they choose to look at.
Those who look for short-term tax income usually find that the tax credit system actually costs a state money, which, earlier this month, prompted the left-leaning Center on Budget and Policy Priorities in Washington, D.C., to liken the belief that the subsidies are a cost-effective tool for creating jobs and income to "a Hollywood fantasy."
Mazze believes the tax credit system is more than simply calculating how many tax dollars are immediately returned to the state's coffers. "I think, down the road, you're paying less taxes."
"Any type of government spending is going to generate jobs," said Anthony V. Popp, one of the authors of the New Mexico State University study. "But from an economic development point of view, you want to develop jobs that will stay there and generate revenues over a long period of time. Because of the footlooselessness of the [film] industry, they're not developing things and staying. They're going to the state that gives them the best deal."
"The real question is, where do you spend the money so it's the best bang for the buck," Popp said. "And the fact is, if you left that with the taxpayer, what would be the net effect?"
Taking Popp's question a step further, would a tax cut of $56.7 million do more for the Rhode Island economy? As far as we know, that study hasn't been done.
So, in the end, Paiva Weed is speaking the truth when she says that a study has concluded that the state gets back $8 for every $1 invested in tax breaks for motion picture and television production. But the Masse report is one of several studies that cast the costs and benefits of film credits all over the map.
For that reason, we decided not to issue a ruling on her statement. Perhaps at some point we'll be comfortable saying whether film tax credits are a pot of gold, or just another Hollywood special effect.
By C. Eugene Emery Jr.
Published on Sunday, December 19th, 2010 at 12:01 a.m.
Want to turn a $1 investment into an $8 return in a matter of a few months? Just offer the money in the form of a tax break for movie and television production companies.
Talk about movie magic!
That's what happens, said Senate President Teresa Paiva Weed when she spoke Dec. 3 during a State House reception for the production company behind "Body of Proof," the TV drama filmed in Rhode Island and scheduled to be aired on ABC. The state's tax credit helped make that happen by subsidizing movie and television productions.
"I was one of the skeptics when the film tax credit came out. I was one of the folks that said, 'How does this work?' 'I'm not sure.' 'Will this really work?' And I have come, through much education from my colleagues over the years, to become a real believer because we now know that it works, for all the reasons I've already said. A recent study showed that the film tax credit generates $8 for every $1 of investment in our state. And I can't think of a better investment that also builds on our tourism industry."
We were curious about whether the $1 becomes $8 rate of return was really that high.
Paiva Weed said the source of her comment comes from an April 2010 report by Edward M. Mazze, professor of business at the University of Rhode Island, who concluded that from 2005 to 2009, Rhode Island gave up $56.7 million in revenue in the form of tax credits to 46 productions projects. In return, the projects generated $466 million, direct and indirectly, in wages and taxes. Dividing $466 million by $56.7 million gives you the 8-to-1 ratio.
The credit system allows a production company to get a tax credit equal to 25 percent of its Rhode Island production costs if it spends at least $300,000 on items "directly attributable to activity within the state."
Mazze's estimate comes from looking at how much the production companies claimed they spent on products and services in Rhode Island, along with wages and salaries paid in Rhode Island. To gauge the indirect benefits -- such as extra wages paid out to hotel, restaurant and catering employees hired to support the production -- he turned to the U.S. Department of Commerce, which estimates how much the direct benefit spills over into other sectors. For motion picture and TV production, the feds say that's about 84 percent of the direct benefit. Then Mazze took those estimated wages and salaries and estimated that 10.2 percent of that went toward state and local taxes, based on annual figures from The Tax Foundation, a business-backed tax policy group.
If you restrict yourself to tax revenue directly raised through the credit program, Mazze's study suggests that the state gets 60 cents in taxes for every dollar spent on the credits. (Over the past five years, the amount has fluctuated from 50 cents in 2006 to 94 cents in 2009.)
But other studies that have tried to assess the value of the credits have reached very different conclusions, and some of the numbers vary widely.
Connecticut said the credits were worth 8 cents on the dollar. A Massachusetts study pegged the number at 16 cents.
In New Mexico, one of the states with the longest history of using subsidies to attract the film industry, researchers at New Mexico State University concluded that the rate of return was just 14 cents per dollar invested. Yet five months after that August 2008 study was released, the New Mexico State Film Office issued a report by the accounting firm Ernst & Young saying that the state's film tax credit had generated $1.50 in revenue for every dollar spent.
The results are dramatically different because "when you're comparing studies, the methodologies are different, and that makes it very very tough" to compare, said Mazze.
So this is like the blind men and the elephant -- each study "sees" something different depending on what they choose to look at.
Those who look for short-term tax income usually find that the tax credit system actually costs a state money, which, earlier this month, prompted the left-leaning Center on Budget and Policy Priorities in Washington, D.C., to liken the belief that the subsidies are a cost-effective tool for creating jobs and income to "a Hollywood fantasy."
Mazze believes the tax credit system is more than simply calculating how many tax dollars are immediately returned to the state's coffers. "I think, down the road, you're paying less taxes."
"Any type of government spending is going to generate jobs," said Anthony V. Popp, one of the authors of the New Mexico State University study. "But from an economic development point of view, you want to develop jobs that will stay there and generate revenues over a long period of time. Because of the footlooselessness of the [film] industry, they're not developing things and staying. They're going to the state that gives them the best deal."
"The real question is, where do you spend the money so it's the best bang for the buck," Popp said. "And the fact is, if you left that with the taxpayer, what would be the net effect?"
Taking Popp's question a step further, would a tax cut of $56.7 million do more for the Rhode Island economy? As far as we know, that study hasn't been done.
So, in the end, Paiva Weed is speaking the truth when she says that a study has concluded that the state gets back $8 for every $1 invested in tax breaks for motion picture and television production. But the Masse report is one of several studies that cast the costs and benefits of film credits all over the map.
For that reason, we decided not to issue a ruling on her statement. Perhaps at some point we'll be comfortable saying whether film tax credits are a pot of gold, or just another Hollywood special effect.
Sunday, December 19, 2010
From Beverly Lewis at the Sacramento Bee
By Beverly Lewis
Published: Sunday, Dec. 19, 2010 - 12:00 am | Page 3E
Re "You get red ink with that popcorn" (Forum, Dec. 12)
In his column, Dan Morain ignores the point that the Film & TV Tax Credit Program is a jobs program. Productions hire hundreds of workers and spend millions of dollars that support small businesses. In the first two years of the program, participating productions are estimated to bring $2 billion in direct spending to California, including $740 million in wages paid to "below-the-line" crew – electricians, drivers, etc. – generating much needed California tax revenue.
Why a tax credit at all? In 2000 a 14-month study determined $10 billion exited the Hollywood film industry due to incentives elsewhere, when three states were offering credits. Now 42 states have credits. California's new program targets those productions most likely to leave the state.
Ever watch the credits at the end of a film? Those names were mostly Californians; now they're not because incentives elsewhere require filmmakers to hire residents in those states in order to get their tax credits. By 2000 almost every American TV movie was shot in Canada. Since 1997, more than 36,000 California film jobs disappeared as well as dollars to our local communities from location production. New Mexico legislators aped Canada's success and more by integrating their incentives with their university infrastructure. This includes technical post-production and computer jobs which can start at $65,000.
Productions in the California program are selected by lottery not content. While it's easy to disparage provocative titles like "Walter the Farting Dog" – a noted children's book written by a National Magazine Award winner – we all have favorite films, cars or clothes we prefer to buy over others. This does not make a valid argument for ignoring a major industry at risk. Other productions qualifying for tax credits this year include one on Hemingway and one for the Hallmark Channel. Because of the lottery, studios don't influence selection process. Ten percent of the funds go to independent films; this year 39 percent of the selectees are independents.
As for efforts that resulted in this legislation, after nine years of educating Sacramento legislators to the impact of disappearing production, stakeholders like union representatives, employers and film commissioners representing communities all over the state can say this tax credit program was a long time coming, and it is a modest one at that.
Producers, like General Motors, will still make their product somewhere, but if they shoot here the dollars stay here. It's that simple.
Read more: http://www.sacbee.com/2010/12/19/3266408/hollywood-tax-credit-keeps-jobs.html#ixzz18Z0CJhCG
Published: Sunday, Dec. 19, 2010 - 12:00 am | Page 3E
Re "You get red ink with that popcorn" (Forum, Dec. 12)
In his column, Dan Morain ignores the point that the Film & TV Tax Credit Program is a jobs program. Productions hire hundreds of workers and spend millions of dollars that support small businesses. In the first two years of the program, participating productions are estimated to bring $2 billion in direct spending to California, including $740 million in wages paid to "below-the-line" crew – electricians, drivers, etc. – generating much needed California tax revenue.
Why a tax credit at all? In 2000 a 14-month study determined $10 billion exited the Hollywood film industry due to incentives elsewhere, when three states were offering credits. Now 42 states have credits. California's new program targets those productions most likely to leave the state.
Ever watch the credits at the end of a film? Those names were mostly Californians; now they're not because incentives elsewhere require filmmakers to hire residents in those states in order to get their tax credits. By 2000 almost every American TV movie was shot in Canada. Since 1997, more than 36,000 California film jobs disappeared as well as dollars to our local communities from location production. New Mexico legislators aped Canada's success and more by integrating their incentives with their university infrastructure. This includes technical post-production and computer jobs which can start at $65,000.
Productions in the California program are selected by lottery not content. While it's easy to disparage provocative titles like "Walter the Farting Dog" – a noted children's book written by a National Magazine Award winner – we all have favorite films, cars or clothes we prefer to buy over others. This does not make a valid argument for ignoring a major industry at risk. Other productions qualifying for tax credits this year include one on Hemingway and one for the Hallmark Channel. Because of the lottery, studios don't influence selection process. Ten percent of the funds go to independent films; this year 39 percent of the selectees are independents.
As for efforts that resulted in this legislation, after nine years of educating Sacramento legislators to the impact of disappearing production, stakeholders like union representatives, employers and film commissioners representing communities all over the state can say this tax credit program was a long time coming, and it is a modest one at that.
Producers, like General Motors, will still make their product somewhere, but if they shoot here the dollars stay here. It's that simple.
Read more: http://www.sacbee.com/2010/12/19/3266408/hollywood-tax-credit-keeps-jobs.html#ixzz18Z0CJhCG
Saturday, December 18, 2010
by Jessica Beym/Gloucester County Times
Tax credits for film and digital media would expand under proposed legislation
Published: Friday, December 17, 2010, 1:44 PM
Jessica Beym/Gloucester County Times By Jessica Beym/Gloucester County Times
Legislation to expand New Jersey’s film and digital media production tax credit once it’s restored in 2011 was released this week 7-0-4 by an Assembly panel.
The bill (A-2905) as of July 1, 2011 increases the annual program cap for the film production tax credit from $10 million to $50 million and for the digital media production tax credit from $5 million to $10 million.
The bill also provides for a tax credit equal to 22 percent, instead of the current 20 percent, of eligible production expenses if the expenses represent purchases of goods from businesses located in Urban Enterprise Zones or purchases of services performed by residents of a UEZ.
The measure is part of the Legislature’s Back to Work NJ job creation and economic development package.
An Ernst & Young study of the economic and fiscal impacts of the New Mexico film production tax credit concluded that 2007 film productions generated 9,209 jobs in New Mexico, $487.5 million in additional income and $891.8 million in additional economic activity.
A June 2009 study of Pennsylvania’s Film Production Tax Credit conducted by Economic Research Associates yielded similar positive results. The bill was released by the Assembly Budget Committee.
Published: Friday, December 17, 2010, 1:44 PM
Jessica Beym/Gloucester County Times By Jessica Beym/Gloucester County Times
Legislation to expand New Jersey’s film and digital media production tax credit once it’s restored in 2011 was released this week 7-0-4 by an Assembly panel.
The bill (A-2905) as of July 1, 2011 increases the annual program cap for the film production tax credit from $10 million to $50 million and for the digital media production tax credit from $5 million to $10 million.
The bill also provides for a tax credit equal to 22 percent, instead of the current 20 percent, of eligible production expenses if the expenses represent purchases of goods from businesses located in Urban Enterprise Zones or purchases of services performed by residents of a UEZ.
The measure is part of the Legislature’s Back to Work NJ job creation and economic development package.
An Ernst & Young study of the economic and fiscal impacts of the New Mexico film production tax credit concluded that 2007 film productions generated 9,209 jobs in New Mexico, $487.5 million in additional income and $891.8 million in additional economic activity.
A June 2009 study of Pennsylvania’s Film Production Tax Credit conducted by Economic Research Associates yielded similar positive results. The bill was released by the Assembly Budget Committee.
Wednesday, December 15, 2010
From RealFilmCareer.Com
Pennsylvania attracts star power thanks to the state’s film tax credit
Pennsylvania towns might be landing on more star maps these days.
The state’s film tax credit, which was adopted in 2007, has attracted some big business, including 20th Century Fox, to the area.
“Unstoppable” – the Denzel Washington drama which barreled through the box office last month – was filmed throughout Central Pennsylvania.
Jane Saul of the Pennsylvania Film Office works with studios that are interested in using The Keystone State as a backdrop. She helps them save money through the tax credit, which gives feature films, television films and television shows intended for national audiences a 25-cent credit for every dollar of qualified expenditure.
“If a movie has a $100 million budget, they are going to get back $25 million,” Saul said.
To be eligible, production companies have to use 60 percent or more of their budgets in Pennsylvania.
Before cameras start rolling, Saul said the film office helps the studio scout locations.
For “Unstoppable,” she researched the state’s railroad history as well as towns that would be able to accommodate the film’s cast and crew. Since the movie was an “extremely large project,” Saul said it was filmed in a large area.
Unfortunately for local film buffs, none of the movie was shot in York County. But the economic effects can be felt through many communities.
Saul said most people have the perception that the tax credit only helps movie studios.
“The reality is that for the commonwealth it’s putting people to work,” she said.
From hotels to restaurants to dry cleaners, local businesses see a boom when film crews are in town.
According to the state Department of Community and Economic Development, the program paid for itself in the first year by generating $524.6 million in total statewide economic impact, including 4,000 new jobs with total wages of $146.4 million.
The tax credit isn’t about Hollywood glamour, Saul said, but having Washington on a local set is a nice side effect.
Pennsylvania had one of the first tax credits, but Saul said more states have started offering similar programs.
“We still have one of the best incentives,” she said.
And, since most people support job creation, Saul said, the tax incentive is supported by both Democrats and Republicans.
The state’s 2010-11 budget included $60 million for the film tax credit. If there is no vote to change the incentive in the 2011-12 budget, it will get $75 million, Saul said.
The film tax credit helped draw other recent releases – the Anne Hathaway and Jake Gyllenhaal romantic comedy “Love and Other Drugs” and the Russell Crowe action flick “The Next Three Days” – to The Keystone State.
Saul said the movie “Safe” is being shot in the Philadelphia area, and Fox has its sights on Pittsburgh for the new television series “Locke & Key”.
I have to admit that I haven’t seen “Unstoppable” yet. (“Some Like It Hot” is a train film that’s much more my speed.)
But I wouldn’t mind bumping into stars like Washington, Crowe and Jake Gyllenhaal on the streets of York someday soon. POPeye is a bi-weekly column focusing on the ever-changing landscape of popular culture. To reach writer Erin McCracken, call 771-2051 or send an e-mail to emccracken@ydr.com.
Local filmmaker uses crowdfunding to finance new project:
Jeff Crawford of Transdimensional Films is working on his first full-length feature “Making It Through.”
The movie is about an alcoholic actor, who must decide if he wants to reconnect with his estranged daughter. It features many local actors, including some faces from York Little Theatre, and is being shot in York County.
About $5,000 is privately financed for the movie, but Crawford wrote in an e-mail message that he’s trying to raise more money for the film. He decided to use the crowdfunding site IndieGoGo. People and organizations post information about their creative projects or causes on the site in order to raise awareness and funds.
Crawford’s goal is to raise $9,000 in about 100 days.
For details, visit www.indiegogo.com/MakingItThrough.
A runaway train in York County?
“Unstoppable,” which hit theaters Nov. 12, is based on actual events. A train engineer (Denzel Washington) and conductor (Chris Pine) have to stop a runaway train before it barrels into a populated area.
York Daily Record/Sunday News editor Jim McClure brought up a mysterious case of a runaway train in York County on his blog www.yorkblog.com/yorktownsquare. The story isn’t nearly as dramatic, but it’s still intriguing.
One night in August 1996, a train car weighing 135 tons thundered 9.5 miles from New Freedom to Seven Valleys on the old Northern Central Railroad. Heritage Rail Trail County Park was closed that night and the 1954 Western Maryland Fast Freight Line No. 1689 drifted harmlessly to a stop. No arrests were ever made.
Here is an excerpt form the 1996 York Daily Record story:
Bill Elmer’s telephone rang at just after 9 (p.m. Aug. 15, 1996).
Seven Valleys fire company authorities told him a runaway train car was heading down the tracks. They asked him to go outside to the Northern Central Railway behind his store and make sure nobody was in the way.
Children often play near the rails. In fact, the grocer said he found several little ones playing nearby that night.
“I made sure all the kids were moved away from the tracks,” he said.
Then, the tracks rumbled. Elmer said he thought he heard the roar of a diesel, but Northern Central officials later told him the engine hadn’t been running. It was dark. No lights beamed from the approaching locomotive.
“It was like a ghost train coming along,” Elmer said. “I didn’t see anyone on the train.”
Pennsylvania towns might be landing on more star maps these days.
The state’s film tax credit, which was adopted in 2007, has attracted some big business, including 20th Century Fox, to the area.
“Unstoppable” – the Denzel Washington drama which barreled through the box office last month – was filmed throughout Central Pennsylvania.
Jane Saul of the Pennsylvania Film Office works with studios that are interested in using The Keystone State as a backdrop. She helps them save money through the tax credit, which gives feature films, television films and television shows intended for national audiences a 25-cent credit for every dollar of qualified expenditure.
“If a movie has a $100 million budget, they are going to get back $25 million,” Saul said.
To be eligible, production companies have to use 60 percent or more of their budgets in Pennsylvania.
Before cameras start rolling, Saul said the film office helps the studio scout locations.
For “Unstoppable,” she researched the state’s railroad history as well as towns that would be able to accommodate the film’s cast and crew. Since the movie was an “extremely large project,” Saul said it was filmed in a large area.
Unfortunately for local film buffs, none of the movie was shot in York County. But the economic effects can be felt through many communities.
Saul said most people have the perception that the tax credit only helps movie studios.
“The reality is that for the commonwealth it’s putting people to work,” she said.
From hotels to restaurants to dry cleaners, local businesses see a boom when film crews are in town.
According to the state Department of Community and Economic Development, the program paid for itself in the first year by generating $524.6 million in total statewide economic impact, including 4,000 new jobs with total wages of $146.4 million.
The tax credit isn’t about Hollywood glamour, Saul said, but having Washington on a local set is a nice side effect.
Pennsylvania had one of the first tax credits, but Saul said more states have started offering similar programs.
“We still have one of the best incentives,” she said.
And, since most people support job creation, Saul said, the tax incentive is supported by both Democrats and Republicans.
The state’s 2010-11 budget included $60 million for the film tax credit. If there is no vote to change the incentive in the 2011-12 budget, it will get $75 million, Saul said.
The film tax credit helped draw other recent releases – the Anne Hathaway and Jake Gyllenhaal romantic comedy “Love and Other Drugs” and the Russell Crowe action flick “The Next Three Days” – to The Keystone State.
Saul said the movie “Safe” is being shot in the Philadelphia area, and Fox has its sights on Pittsburgh for the new television series “Locke & Key”.
I have to admit that I haven’t seen “Unstoppable” yet. (“Some Like It Hot” is a train film that’s much more my speed.)
But I wouldn’t mind bumping into stars like Washington, Crowe and Jake Gyllenhaal on the streets of York someday soon. POPeye is a bi-weekly column focusing on the ever-changing landscape of popular culture. To reach writer Erin McCracken, call 771-2051 or send an e-mail to emccracken@ydr.com.
Local filmmaker uses crowdfunding to finance new project:
Jeff Crawford of Transdimensional Films is working on his first full-length feature “Making It Through.”
The movie is about an alcoholic actor, who must decide if he wants to reconnect with his estranged daughter. It features many local actors, including some faces from York Little Theatre, and is being shot in York County.
About $5,000 is privately financed for the movie, but Crawford wrote in an e-mail message that he’s trying to raise more money for the film. He decided to use the crowdfunding site IndieGoGo. People and organizations post information about their creative projects or causes on the site in order to raise awareness and funds.
Crawford’s goal is to raise $9,000 in about 100 days.
For details, visit www.indiegogo.com/MakingItThrough.
A runaway train in York County?
“Unstoppable,” which hit theaters Nov. 12, is based on actual events. A train engineer (Denzel Washington) and conductor (Chris Pine) have to stop a runaway train before it barrels into a populated area.
York Daily Record/Sunday News editor Jim McClure brought up a mysterious case of a runaway train in York County on his blog www.yorkblog.com/yorktownsquare. The story isn’t nearly as dramatic, but it’s still intriguing.
One night in August 1996, a train car weighing 135 tons thundered 9.5 miles from New Freedom to Seven Valleys on the old Northern Central Railroad. Heritage Rail Trail County Park was closed that night and the 1954 Western Maryland Fast Freight Line No. 1689 drifted harmlessly to a stop. No arrests were ever made.
Here is an excerpt form the 1996 York Daily Record story:
Bill Elmer’s telephone rang at just after 9 (p.m. Aug. 15, 1996).
Seven Valleys fire company authorities told him a runaway train car was heading down the tracks. They asked him to go outside to the Northern Central Railway behind his store and make sure nobody was in the way.
Children often play near the rails. In fact, the grocer said he found several little ones playing nearby that night.
“I made sure all the kids were moved away from the tracks,” he said.
Then, the tracks rumbled. Elmer said he thought he heard the roar of a diesel, but Northern Central officials later told him the engine hadn’t been running. It was dark. No lights beamed from the approaching locomotive.
“It was like a ghost train coming along,” Elmer said. “I didn’t see anyone on the train.”
Saturday, December 11, 2010
From GBP News...
Film Industry Confident Tax Breaks Will Stay
By Orlando Montoya
Updated: 22 hours ago
SAVANNAH, Ga. —
Filming at Medin Studios in Savannah. Film officials say the new studios are a good example of how Georgia's tax credits have produced private investment.
While Georgia's overall economy remains stagnant, the state's film industry is booming.
Film industry officials believe that will keep them in good stead with state lawmakers who are reviewing all of Georgia's tax credits next year.
Georgia's film industry received a boost when lawmakers a few years ago approved tax breaks of up to 30% to bring film projects to the state.
A tax commission, however, is meeting to decide the future of all Georgia tax breaks.
Savannah Film Office director Jay Self says, he's confident film tax credits will survive because of the jobs they bring.
"I believe the Georgia incentive will stay where it is," Self says. "I believe that our advantage then begins to grow because our crew base grows, our infrastructure grows."
The Georgia Department of Economic Development's Film Office interim director Greg Torre says, film activity in Georgia stagnanted before the current tax credits went into effect.
"We think they're working," Torre says. "We've seen over a 400% increase in economic impact since late 2008 when they were signed into law."
The tax commission hasn't yet said which tax breaks are going or staying.
Lawmakers will vote up-or-down on their package of recommendations in the legislative session that begins next month.
By Orlando Montoya
Updated: 22 hours ago
SAVANNAH, Ga. —
Filming at Medin Studios in Savannah. Film officials say the new studios are a good example of how Georgia's tax credits have produced private investment.
While Georgia's overall economy remains stagnant, the state's film industry is booming.
Film industry officials believe that will keep them in good stead with state lawmakers who are reviewing all of Georgia's tax credits next year.
Georgia's film industry received a boost when lawmakers a few years ago approved tax breaks of up to 30% to bring film projects to the state.
A tax commission, however, is meeting to decide the future of all Georgia tax breaks.
Savannah Film Office director Jay Self says, he's confident film tax credits will survive because of the jobs they bring.
"I believe the Georgia incentive will stay where it is," Self says. "I believe that our advantage then begins to grow because our crew base grows, our infrastructure grows."
The Georgia Department of Economic Development's Film Office interim director Greg Torre says, film activity in Georgia stagnanted before the current tax credits went into effect.
"We think they're working," Torre says. "We've seen over a 400% increase in economic impact since late 2008 when they were signed into law."
The tax commission hasn't yet said which tax breaks are going or staying.
Lawmakers will vote up-or-down on their package of recommendations in the legislative session that begins next month.
Thursday, December 9, 2010
From the AP: Missouri Film Rally
Film industry supporters rally to preserve Missouri tax credits
THE ASSOCIATED PRESS
Associated Press
Wednesday, December 8, 2010
Film industry boosters urged state lawmakers yesterday to refrain from shouting “cut” when it comes to a tax credit program targeted for elimination in Missouri.
The $4.5 million annual program is among $220 million worth of incentives proposed for elimination by the state’s Tax Credit Review Commission. The panel was created by Gov. Jay Nixon to find ways to reduce Missouri’s array of income tax credits.
Members of the Missouri Motion Media Association said the commission underestimated the economic benefit of the state’s film industry. They pointed to the recent success of Oscar-hopeful “Winter’s Bone,” which was filmed in southwest Missouri, and the George Clooney movie “Up in the Air,” filmed in St. Louis.
“Without the state tax credits, we will have no film industry in Missouri,” said Shawn McClaren, a film producer based in Kansas City.
The tax credit commission recommended that the film industry’s share be redirected to a new tax credit program that would encourage “angel” investments in early-stage, technology-based Missouri companies.
“This tax credit serves too narrow of an industry and fails to provide a positive return on investment to the state,” the commission concluded.
That recommendation will be considered by Missouri lawmakers in the upcoming legislative session.
Missouri was among the first states to offer tax credits to the movie industry, but its incentive program was quickly eclipsed but other states such as Louisiana and New Mexico that offer either higher caps on tax credits or have no limits at all.
Jerry Jones, who directs the state’s film commission, said Missouri ranks 32nd among the 42 states that offer credits in terms of available fiscal relief. The state caps payments at $1.5 million per project.
Sen. Kurt Schaefer, a Columbia Republican and a board member of the statewide industry group, opposes elimination of film industry tax credits. “At a time when we’re not only losing the jobs we have here but are also not attracting any new ones, it’s a dangerous proposition to take off the table economic incentives that we know work,” he said. “The message we’re sending is that we’re not going to be competitive with other states.”
THE ASSOCIATED PRESS
Associated Press
Wednesday, December 8, 2010
Film industry boosters urged state lawmakers yesterday to refrain from shouting “cut” when it comes to a tax credit program targeted for elimination in Missouri.
The $4.5 million annual program is among $220 million worth of incentives proposed for elimination by the state’s Tax Credit Review Commission. The panel was created by Gov. Jay Nixon to find ways to reduce Missouri’s array of income tax credits.
Members of the Missouri Motion Media Association said the commission underestimated the economic benefit of the state’s film industry. They pointed to the recent success of Oscar-hopeful “Winter’s Bone,” which was filmed in southwest Missouri, and the George Clooney movie “Up in the Air,” filmed in St. Louis.
“Without the state tax credits, we will have no film industry in Missouri,” said Shawn McClaren, a film producer based in Kansas City.
The tax credit commission recommended that the film industry’s share be redirected to a new tax credit program that would encourage “angel” investments in early-stage, technology-based Missouri companies.
“This tax credit serves too narrow of an industry and fails to provide a positive return on investment to the state,” the commission concluded.
That recommendation will be considered by Missouri lawmakers in the upcoming legislative session.
Missouri was among the first states to offer tax credits to the movie industry, but its incentive program was quickly eclipsed but other states such as Louisiana and New Mexico that offer either higher caps on tax credits or have no limits at all.
Jerry Jones, who directs the state’s film commission, said Missouri ranks 32nd among the 42 states that offer credits in terms of available fiscal relief. The state caps payments at $1.5 million per project.
Sen. Kurt Schaefer, a Columbia Republican and a board member of the statewide industry group, opposes elimination of film industry tax credits. “At a time when we’re not only losing the jobs we have here but are also not attracting any new ones, it’s a dangerous proposition to take off the table economic incentives that we know work,” he said. “The message we’re sending is that we’re not going to be competitive with other states.”
Monday, December 6, 2010
from Examiner.com
Georgia film tax cuts spark movie boom
* December 5th, 2010 1:02 pm ET
Georgia’s tax incentives for film companies provide an example of how low tax rates can spark an economic boom. In 2008, Governor Sonny Perdue signed the Georgia Entertainment Industry Investment Act (http://www.georgia.org/SiteCollectionDocuments/Industries/Entertainment/...) into law to create incentives for motion picture filming in Georgia.
The heart of the law is a 20% tax credit for companies that spend a minimum of $500,000 on production or post-production of films in Georgia. Companies can also get an additional 10% tax credit for including a Georgia logo on the finished project (subject to qualification). The credit is transferrable in the case that the company has little or no tax liability in Georgia. In some cases, companies can also get a sales tax exemption for goods and services bought in Georgia, an incentive introduced in 2002.
Two years after the act became law, Georgia’s film industry is booming (http://www.11alive.com/news/local/story.aspx?storyid=166286&catid=3). Georgia is one of the top five locations to film (http://www.11alive.com/news/local/story.aspx?storyid=166286&catid=3) and the most popular in the southeast. The increasing number of films being made in Georgia has led to more jobs for Georgians. These jobs range from acting in bit parts to casting to providing logistical support for film crews. Although many of these jobs are part-time or temporary, they do provide relief for those who are unemployed from full-time jobs. In total, Georgia’s film industry provides almost 25,000 jobs (http://www.georgia.org/GeorgiaIndustries/Entertainment/FilmTV/Pages/Film...) and $1.28 billion (http://www.mpaa.org/policy/state-by-state) in wages for Georgia workers. Even part-time jobs are valuable since the national unemployment rate recently rose to 9.8% in December (http://www.gpb.org/news/2010/12/03/unemployment-rate-rises-to-9-8) and Georgia’s unemployment was last reported even higher at 9.9% (http://www.dol.state.ga.us/).
In addition to the tax incentives, film crews are also attracted by Georgia’s diverse locations. The state has everything from beaches to mountains, farm fields to swamps, and small towns to major cities. Production companies can also draw on experienced local actors for bit parts and background.
Many of the films made in Georgia (http://www.georgia.org/GeorgiaIndustries/Entertainment/FilmTV/Pages/Geor...) have received critical and popular acclaim. Some of the movies recently made in Georgia include The Blind Side starring Sandra Bullock and Tim McGraw, Zombieland starring Woody Harrelson, and Due Date with Robert Downey, Jr. and Zach Galifianakis. Tyler Perry has also made a number of movies in Georgia that were also set in the state.
The economic impact of the tax incentives goes beyond the film industry however. Property owners are paid when the studios use their property as a set. In many cases, this includes government property as well. Additionally, local hotels and restaurants sell food and rent rooms to on-location production crews. Other Georgia businesses that deal with the production companies also earn sales revenues and, in the case of popular films, old production sites could lead to new tourism.
Unlike the film companies, which get tax credits, the other businesses and local workers pay their state and local taxes in full. By giving film companies a break on their taxes, the General Assembly helped Georgia’s film industry to grow. As more film money comes into Georgia, jobs are created and Georgia companies do more business. This translates into more tax revenues for the state.
It might be tempting to say that large movie corporations don’t need a generous tax break, but without these incentives many of the companies would have filmed elsewhere. Along with them would have gone the jobs and other assorted revenues. However, in Georgia the General Assembly realized that when it comes to taxes, if you cut it, they will come.
* December 5th, 2010 1:02 pm ET
Georgia’s tax incentives for film companies provide an example of how low tax rates can spark an economic boom. In 2008, Governor Sonny Perdue signed the Georgia Entertainment Industry Investment Act (http://www.georgia.org/SiteCollectionDocuments/Industries/Entertainment/...) into law to create incentives for motion picture filming in Georgia.
The heart of the law is a 20% tax credit for companies that spend a minimum of $500,000 on production or post-production of films in Georgia. Companies can also get an additional 10% tax credit for including a Georgia logo on the finished project (subject to qualification). The credit is transferrable in the case that the company has little or no tax liability in Georgia. In some cases, companies can also get a sales tax exemption for goods and services bought in Georgia, an incentive introduced in 2002.
Two years after the act became law, Georgia’s film industry is booming (http://www.11alive.com/news/local/story.aspx?storyid=166286&catid=3). Georgia is one of the top five locations to film (http://www.11alive.com/news/local/story.aspx?storyid=166286&catid=3) and the most popular in the southeast. The increasing number of films being made in Georgia has led to more jobs for Georgians. These jobs range from acting in bit parts to casting to providing logistical support for film crews. Although many of these jobs are part-time or temporary, they do provide relief for those who are unemployed from full-time jobs. In total, Georgia’s film industry provides almost 25,000 jobs (http://www.georgia.org/GeorgiaIndustries/Entertainment/FilmTV/Pages/Film...) and $1.28 billion (http://www.mpaa.org/policy/state-by-state) in wages for Georgia workers. Even part-time jobs are valuable since the national unemployment rate recently rose to 9.8% in December (http://www.gpb.org/news/2010/12/03/unemployment-rate-rises-to-9-8) and Georgia’s unemployment was last reported even higher at 9.9% (http://www.dol.state.ga.us/).
In addition to the tax incentives, film crews are also attracted by Georgia’s diverse locations. The state has everything from beaches to mountains, farm fields to swamps, and small towns to major cities. Production companies can also draw on experienced local actors for bit parts and background.
Many of the films made in Georgia (http://www.georgia.org/GeorgiaIndustries/Entertainment/FilmTV/Pages/Geor...) have received critical and popular acclaim. Some of the movies recently made in Georgia include The Blind Side starring Sandra Bullock and Tim McGraw, Zombieland starring Woody Harrelson, and Due Date with Robert Downey, Jr. and Zach Galifianakis. Tyler Perry has also made a number of movies in Georgia that were also set in the state.
The economic impact of the tax incentives goes beyond the film industry however. Property owners are paid when the studios use their property as a set. In many cases, this includes government property as well. Additionally, local hotels and restaurants sell food and rent rooms to on-location production crews. Other Georgia businesses that deal with the production companies also earn sales revenues and, in the case of popular films, old production sites could lead to new tourism.
Unlike the film companies, which get tax credits, the other businesses and local workers pay their state and local taxes in full. By giving film companies a break on their taxes, the General Assembly helped Georgia’s film industry to grow. As more film money comes into Georgia, jobs are created and Georgia companies do more business. This translates into more tax revenues for the state.
It might be tempting to say that large movie corporations don’t need a generous tax break, but without these incentives many of the companies would have filmed elsewhere. Along with them would have gone the jobs and other assorted revenues. However, in Georgia the General Assembly realized that when it comes to taxes, if you cut it, they will come.
Saturday, December 4, 2010
Have Faith: Things Are Not Dead, Just Winged
Do not give up hope, fellow Iowa actors, and crew. There is a warm ray of hope shining and our governor-elect is on our side.
photo: me with fellow actor, Neil Wells in "The Banshee", filmed several years back...
From Projo.com
‘Body of Proof’ filming injects $30 million into state economy
By Jenna Pelletier
Journal staff writer
PROVIDENCE –– They like us –– they really like us.
The cast and crew of the new ABC series “Body of Proof,” gushed at the State House Friday about their experiences filming in Rhode Island for the last five months. No doubt the comments were just the sort of good publicity the Rhode Island Film and TV Office and other advocates of the state’s film and TV production tax credit like to hear.
Stars Dana Delany and Jeri Ryan joined Film and TV Office executive director Steven Feinberg and elected officials in celebrating the near completion of filming the premiere season’s 13 episodes. Though the drama is set in Philadelphia, it is being filmed entirely in Rhode Island.
“Having produced ten feature films and two hundred hours of television all over the United States and out of the country, I can tell you this has been my best experience to date,” said executive producer Matt Gross. “The state supports the needs of production like no other I have ever been to.”
Gross credited the state’s film and television production incentive for drawing the project to Rhode Island. The law provides a 25-percent transferable tax credit for all production-related spending in Rhode Island. “Body of Proof” has spent about $30 million in Rhode Island so far, according to Feinberg.
The tax incentive isn’t the only advantage of filming in the state, Gross said.
He raved about the food, including restaurants Bacaro, Nick’s on Broadway and Al Forno.
Other draws? Rhode Island has diverse landscapes, is easy to navigate and residents and law enforcement have been more than willing to make way for the cameras, he said.
“In L.A., people don’t always have a lot of patience for film crews shooting on location,” said actress Ryan, who plays Delany’s boss on the show. “I’ve never been anywhere where people are so genuinely happy to see you shooting on their streets.”
The production has led to the creation of about 170 (temporary) full-time jobs, said state Senate President M. Teresa Paiva Weed, who was joined at the celebration by elected officials including Speaker of the House Speaker Gordon D. Fox, Attorney General Patrick C. Lynch and Secretary of State A. Ralph Mollis.
“I was one of the skeptics when the film-tax credits came out ... but have come ... to be a real believer because we now know that it works,” said Paiva Weed. She cited a recent study showing film-tax credit generates $8 for every $1 of investment from the state, adding, “I don’t think there’s a better investment that also builds on our tourism industry.”
Delany, who plays neurosurgeon-turned-medical examiner Dr. Megan Hunt, is a Connecticut native. She said she hadn’t been to Providence in decades but was pleasantly surprised to discover the city’s rich creative culture. Delany has been living in Downcity Providence during filming.
Shooting is expected to wrap in mid-December, said ABC publicist Marsha Smith.
The series is scheduled to premier on Tuesday, March 29, at 10 p.m. If the show is renewed, Feinberg said he is hopeful the cast and crew will return for more filming next year.
“I’m learning that people don’t leave — or they come back,” said Delany. “I just want to say, I hope that I’ll be back.”
By Jenna Pelletier
Journal staff writer
PROVIDENCE –– They like us –– they really like us.
The cast and crew of the new ABC series “Body of Proof,” gushed at the State House Friday about their experiences filming in Rhode Island for the last five months. No doubt the comments were just the sort of good publicity the Rhode Island Film and TV Office and other advocates of the state’s film and TV production tax credit like to hear.
Stars Dana Delany and Jeri Ryan joined Film and TV Office executive director Steven Feinberg and elected officials in celebrating the near completion of filming the premiere season’s 13 episodes. Though the drama is set in Philadelphia, it is being filmed entirely in Rhode Island.
“Having produced ten feature films and two hundred hours of television all over the United States and out of the country, I can tell you this has been my best experience to date,” said executive producer Matt Gross. “The state supports the needs of production like no other I have ever been to.”
Gross credited the state’s film and television production incentive for drawing the project to Rhode Island. The law provides a 25-percent transferable tax credit for all production-related spending in Rhode Island. “Body of Proof” has spent about $30 million in Rhode Island so far, according to Feinberg.
The tax incentive isn’t the only advantage of filming in the state, Gross said.
He raved about the food, including restaurants Bacaro, Nick’s on Broadway and Al Forno.
Other draws? Rhode Island has diverse landscapes, is easy to navigate and residents and law enforcement have been more than willing to make way for the cameras, he said.
“In L.A., people don’t always have a lot of patience for film crews shooting on location,” said actress Ryan, who plays Delany’s boss on the show. “I’ve never been anywhere where people are so genuinely happy to see you shooting on their streets.”
The production has led to the creation of about 170 (temporary) full-time jobs, said state Senate President M. Teresa Paiva Weed, who was joined at the celebration by elected officials including Speaker of the House Speaker Gordon D. Fox, Attorney General Patrick C. Lynch and Secretary of State A. Ralph Mollis.
“I was one of the skeptics when the film-tax credits came out ... but have come ... to be a real believer because we now know that it works,” said Paiva Weed. She cited a recent study showing film-tax credit generates $8 for every $1 of investment from the state, adding, “I don’t think there’s a better investment that also builds on our tourism industry.”
Delany, who plays neurosurgeon-turned-medical examiner Dr. Megan Hunt, is a Connecticut native. She said she hadn’t been to Providence in decades but was pleasantly surprised to discover the city’s rich creative culture. Delany has been living in Downcity Providence during filming.
Shooting is expected to wrap in mid-December, said ABC publicist Marsha Smith.
The series is scheduled to premier on Tuesday, March 29, at 10 p.m. If the show is renewed, Feinberg said he is hopeful the cast and crew will return for more filming next year.
“I’m learning that people don’t leave — or they come back,” said Delany. “I just want to say, I hope that I’ll be back.”
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