From The Tundra Drums.Com

Legislators want to extend film industry tax credits for 10 years

Published on January 7th, 2011 10:03 am

By ALASKA NEWSPAPERS STAFF

Today, Sen. Johnny Ellis, D-Anchorage, and Reps. Bob Herron, D-Bethel, and Chris Tuck, D-Anchorage, pre-filed legislation to extend the tax credits that have played a major role in the early success of Alaska's burgeoning film industry, a press release said.

"The recent film industry boom in Alaska has benefited Alaskans and local businesses across the state, and it could grow much more," said Senator Ellis. "Extending these incentives shows film producers Alaska is serious about building this industry for the long run."

In addition to hiring hundreds of Alaskans as cast and crew, film productions such as Everybody Loves Whales hire a wide variety of local businesses for services from rental vehicles, catering and security to construction, plumbing and engineering. Crew members stay in local hotels, eat and drink at local establishments and spend their days off taking in Alaska's many tourism experiences.

"It's very good economically to see more film productions coming to Alaska. Film industry business continues to be a growing part of our business. It's very important to support a growing industry that is a perfect fit for Alaska," said Brian Williams, CEO of Sixth Avenue Outfitters in Anchorage, whose company provides cold weather gear for film production crews.

"As a new small business owner I was thrilled with the opportunity to work with the Ghost Vision film project. It kept me working during a normally quiet business period. I look forward to more opportunities to offer my services to the film industry," said Kylee Hickok, owner of Perks Espresso Catering Company.

According to the Alaska Film Office, film productions applying for the Alaska tax incentives since its inception in 2008 could add over $100 million to Alaska's economy when they are all completed.

"These tax credits encourage the industry to hire Alaskans and set up productions around the state," said Rep. Herron. "This industry provides an opportunity to leverage all that Alaska has to offer, both urban and rural, cultural and scenic, to create jobs and bring investment into the state.

"Filming in Alaska can lead to more business and job opportunities for Alaskans," said Rep. Tuck. "The benefits of this new industry to Alaskans are just beginning, and it's a step toward a more diverse economy for the state."

In 2008 Senator Ellis sponsored and worked with a broad coalition of Alaska businesses to support the passage of Senate Bill 230 to re-establish the Alaska Film Office and create the Alaska Film Production Incentive Program. The new legislation proposes extending the incentives for 10 years past their existing sunset date of July 1, 2013 and continuing the funding level of $100 million in incentive funding for each 5 year period.