From Katherine Yung, Detroit Free Press

BY KATHERINE YUNG
DETROIT FREE PRESS BUSINESS WRITER


Michigan's biggest productions in 2010

Here are the top five films and TV shows that shot in the state last year, in terms of tax credits awarded and total spending.


Production Tax credit awarded Total spending in Michigan
"Real Steel" $18.4 million $48.9 million
"Detroit 1-8-7" $13.6 million $32.7 million
"Scream 4" $11.3 million $28 million
"Harold and Kumar 3" $8.4 million $21.8 million
"30 Minutes or Less" $6.8 million $17.9 million
Source: Michigan Film Office 2010 Annual Report.

The number of movies shot in Michigan and production-related spending in the state reached record levels last year, according to a report released Tuesday by the Michigan Film Office.

The report shows that incentives have successfully lured Hollywood productions to the state. Last year, 58 movies and TV shows filmed in Michigan, up from 52 in 2009. The state awarded $115 million in tax breaks to these projects. But these production companies spent $293 million, up 31% from $224 million in 2009. They also created 5,310 temporary production jobs and 8,179 positions for extras.

Since April 2008, Michigan has offered filmmakers the most generous tax breaks in the country, paying up to 42% of their production costs.

The report details the benefits and costs of the nearly three-year-old incentives:

• So far, 136 movies and TV shows have completed filming in the state.

• The Film Office and Michigan Treasury Department have approved film tax credits for 207 projects.

• The cost of the tax breaks total $361 million, though $98 million has been paid out so far.

• Production companies are expected to spend $922 million in the state from 2008 through 2011.

• The state now has five film studios, including the new $80-million Raleigh Michigan Studios in Pontiac.

• Eleven projects, including the $105-million "Oz," are scheduled to film this year in the state.

The report comes as the movie industry is fighting for its survival. Gov. Rick Snyder wants to eliminate the movie tax credits and allocate $25 million in new incentives each of the next two fiscal years.

Filmmakers say the proposed $25-million cap would cripple the industry's growth in Michigan. But Snyder and his team have said the incentives are too costly for a state facing a$1.8-billion budget deficit.

Movie industry supporters plan a massive lobbying campaign to save the tax breaks. The industry is planning to hold another meeting on Thursday evening at the Troy Marriott. And a rally at the state Capitol is planned for March 22.

The situation has left many production companies in limbo. This year, the Film Office has approved only $74,000 in tax credits for two small-budget films. It has 31 applications pending.

"The applications that have been received since Jan. 1 will continue to be reviewed, and we hope to have responses issued very quickly," said Geralyn Lasher, a spokeswoman for Snyder.