Thursday, April 28, 2011

A Golden Ray of Hope: TV-8 KCCI Film Office Report

http://www.kcci.com/video/27710322/detail.html

A Very Brief Thought

Jay Villwock and I were talking yesterday about our Iowa film community. In our regular visits to the Iowa Capitol Building we always see many lobbyists who are there to make their pitches for various industries in Iowa. They are paid to be the spokesmen and spokeswomen and meet with legislators in order to influence bills and funding to their clients' benefit.

Jay and I are lobbyists who speak for the Iowa film industry. We also meet legislators, sit in on committee meetings, and also meet with members of the governor's staff - even the governor himself on a couple of occasions. The difference is that we don't get paid. We do it for the actor, the crew member, the communities that benefit from movie-making.

Neither of us made much money in the films we worked on, but we have friends and family who were doing rather well before the movie program was killed and those people need to get back to work. We want our voices to keep the ball rolling, and to make sure the Iowa Film Office is revived and re-strengthened.

We have reason to believe that the Iowa Film Office may likely return this late summer, and that tax incentives won't be talked about for a couple of years, although when the new Iowa Partnership for Economic Progress (IPEP) is put in place, it may facilitate a return to some extent of moviemakers coming back to our state.

Tuesday, April 26, 2011

Rainy But Successful, A Good Capitol Visit Today


Jay Villwock picked me up and we parked behind the Iowa Historical Building, not exactly a short walk to the Capitol Building, a walk in a steady rain. It didn't take long for us to find Representative Peter Cownie, who discussed the entity that will replace the scandal-ridden IDED. This new entity is the IPEP, the Iowa Partnership for Economic Progress. Peter's wife, Mary, is the new director of the Iowa Department of Cultural Affairs, where we thought the revamped Iowa Film Office would be housed, but after speaking with the very friendly and kind David Roederer, Director of the Iowa Department Management, we sensed that the IFO may be destined to exist within IPEP, which would consist of both private and public directors, and be run like a business and with more flexibility, maybe something like a non-profit organization. From my research I know that some states already have this public-private organization running, such as in Ohio and Indiana, something Mr. Roederer touched upon in our conversation. We also spoke with Speaker of the House, Craig Paulsen, who believes the IPEP plan will move forward. And we spoke with Senator Matt McCoy, Vice Chairman of the Appropriations Committee and member of the Ways and Means Committee. I believe Senator McCoy suggested that the chances of IPEP passing may require some give and take, such as the matter of a desired two per cent increase in appropriatations for education. In addition, we also spoke with Senator Bill Dotzler, Jr., but just a warm hello. We popped in on the governor's office manager, Leo Hough, just to briefly bring him up-to-date and exchange a couple of fun stories. When we are at the Iowa Capitol Building we also speak with lobbyists. Today we met lobbyist Jim Kersten, who said he would be eager for us to meet with him again and to keep him updated on the film office situation. It was a good day, despite the gloomy weather outside. The long and cold walk back to Jay's car didn't seem so bad because we were still glowing with the satisfaction of connecting with several key people today.

Sunday, April 24, 2011

From Joe Vardon at The Columbus Dispatch

Tax credits bringing Hollywood back to Ohio

Nickelodeon star in Paramount project to shoot in Cleveland
Saturday, April 23, 2011 03:06 AM
By Joe Vardon
THE COLUMBUS DISPATCH

More movie cameras will roll in Cleveland this summer, thanks to a tax credit offered through the Ohio Film Office.

And the Ohio Film Office will roll on as well, regardless of what happens to its umbrella organization, the Ohio Department of Development.

Yesterday, the Department of Development announced that an unnamed Paramount Pictures film starring Nickelodeon's Victoria Justice will shoot in Cleveland beginning this spring, with the help of a $4.7million tax credit.

The credit, awarded under the Ohio Motion Picture Tax Credit program facilitated by the Film Office, already has drawn Unstoppable, starring Denzel Washington, and snagged The Avengers for Cleveland this summer.
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Gov. John Kasich's two-year budget proposal appropriates $10 million a year for the tax credit in 2012 and 2013. Development officials said yesterday that it remains to be determined where the Film Office will be once JobsOhio - the governor's privatized development entity that will take over many functions of the state's Development Department - is up and running.

But their rhetoric and actions suggest that the Film Office and the tax credit itself will live on.

"This is the third major motion picture to be filmed in Ohio since the Ohio Motion Picture Tax Credit began last year," Development Director James Leftwich said in a statement. "We have seen Unstoppable hit theaters, secured The Avengers to shoot in Cleveland, and now Paramount has committed to shooting in Ohio. These are all important indicators the tax credit is doing what it is designed to do: grow Ohio's film industry."

The Department of Development said Unstoppable received a $3.8million tax credit and The Avengers, starring Robert Downey Jr., will get an $8.1million credit.

To receive the tax credit, production companies must show reviewable progress to the Film Office within 90 days of approval for the tax credit. Tax credits are awarded upon the completion of production.

About $2.8million of the $30million appropriated for 2010 and 2011 is still available under the program. Credits are awarded up to 35 percent for Ohio cast and crew members' wages and up to 25 percent for other expenditures.

The unnamed Paramount flick, which will also shoot in other areas of Ohio, will be directed by The O.C. creator Josh Schwartz.

The Department of Development said the plot centers on a sarcastic teenage girl who is forced to take her little brother trick-or-treating and then loses him and must find him before their mother finds out.

The film, scheduled to be released in October 2012, is expected to employ about 545 Ohioans as part of the production crew and extras.

Development officials are continuing to determine which functions should be incorporated into JobsOhio and which should remain under the state, even though a lawsuit was filed with the Ohio Supreme Court this week, claiming that several aspects of JobsOhio are unconstitutional.

Thursday, April 21, 2011

Another Capitol Visit With Senator Dotzler


When Jay Villwock and I entered the Iowa Capitol today, we discovered that most legislators were gone, but our film ally Senator Bill Dotzler, Jr. was busy working in the Senate chamber. He always seems happy to chat with Jay Villwock and me and today we had yet another chat with him. The Senator spoke about the reorganizing of the Iowa Film Office and about the IFO going into in Iowa Department of Cultural Affairs, where Mary Cownie is director. He said work is still ongoing concerning the creation of a public-private entity which will replace the ill-fated IDED. This public-private entity will directly benefit small businesses in Iowa when filmmaking here returns. He also talked about the present impasse over the official budget.

Wednesday, April 20, 2011

From Keely Baribeau in Michigan

Keely Baribeau: Film tax credits aid state economy; why end them?
Apr 20, 2011 |

The Michigan Film Tax Incentive is one of the best programs the state has. Naysayers bash it as padding Hollywood pockets. They say it doesn't generate tax revenue. Let's just say they don't see the big picture.

With any developing enterprise, the incentive program has flaws. They pale in comparison, however, to the profitable potential this industry holds for Michigan. Designed to bring jobs, the film tax credit has done just that -- maintaining employed residents in temporary and full-time positions.

Anyone who attends the Blue Water Film Festival in October can hear first-hand stories of people who have benefitted. Beyond filmmakers, people have flourished in catering, transportation, restaurants, farming carpentry and security. Even local actors benefit. These are Michigan residents buying goods and services and, yes, paying taxes.

To receive Michigan's nation-leading tax return of up to 42%, a film company must spend more than $50,000 in the state. At least 40% of the crew must be Michigan residents. With an increase in filmmaking activity, more infrastructure is created and more Michigan residents are hired.

This results in the state retaining more people to work in and service this creative, thriving and developing industry. Instead of the negative perspective of "giving away" 40%, let's cheer the 60% Michigan gains. The 40% credit per approved project was not intended to be balanced on tax revenue from the film companies alone.

Beyond the criticism, where is the innovative solution? With Michigan's hard-hit economy, why ruin one of the only new things attracting people to move and work here? Under the guidance of the tax credit's plan, local entrepreneurs have developed studios, post-production facilities and training programs for a Michigan work force.

When it's fulfilled, this plan will reduce the need to bring in crews from out of state and establish a fully operational local industry. Retaining this population creates an increase in home values, taxes, school funding, tourism and local business and service spending.

Setting a $25 million cap on the incentives is not a strategy for success. Just ask other states such as Mississippi, which experienced "economic fallout" according to news sources when its fledging film industry chose to make the same move. Even the mention of cutting the incentive caused several companies to take their business elsewhere.

These are business people in a competitive market. Name another industry that doesn't want to produce in the best possible business environment. Michigan already has become that environment for several major companies with the film incentive, and it needs to stay that way.

The $25 million cap is not enough to attract multiple big budget, high-spending movie productions. Let's finish the intended vision for the tax credits and set a permanent foundation for filmmaking before pulling the plug.

This is Michigan's moment in the spotlight. The collective morale, pride and enthusiasm of seeing Detroit in the Super Bowl with the Eminem/Chrysler ad spot was just a taste of the potential. Michigan's communities --including ours -- should be competing for filmmaking business, not supporting those who want to decrease or end this success.

I encourage everyone to attend the Blue Water Film Festival this fall. Talk to people who are making a difference and putting Michigan in the director's chair. Support the Michigan Film Tax Incentive.

»Keely Baribeau is a member of the Blue Water Film Festival Board of Directors.

Wednesday, April 13, 2011

Jay Goes Solo to the Capitol


Relayed to me by Gene, who is relaxing in the San Francisco sunshine while picking juicy oranges from out his window as he writes this:

While I explored the California film world as my wife and I visited with our daughter in the San Francisco Bay area, my fellow Capitol Soldier Jay Villwock climbed the grassy hill to the Iowa Statehouse and fought the battle alone today, for which he lashed out at me with great force and volume!

He spoke directly with several legislators, including our strongest allies, Senators Dotzler, Black, Seng, and Zaun, who are all solidly supportive of Iowa filmmakers. Jay also established contact with Senator Steve Sodders, a democrat from State Center, who said he would be in favor of the Iowa Film Office returning as long as there is sufficient oversight. Senator Dotzler said he and Senator Sodders are working together to get the IFO matter underway smoothly.

Jay met with attorney Bill Wimmer briefly, and also with Richard Thornton, lobbyist for the Motion Picture Association of America.

And Jay spoke with Governor Branstad, whispering "Films" in the governor's ear, after prefacing that with a reminder of the famous line in "The Graduate", ..."Plastics". The governor said he thinks the IFO would fit best within the Iowa Cultural Affairs Department and that it would require specific appropriations. I remember that we were told by a non-legislator that funding was in place already, but apparently that information was incorrect.

A very good day for Jay. His experience a TV capitol hill reporter has led to his making excellent contacts on the hill and it has also made it possible for me to learn from jay the ins and outs of how to navigate the system of Iowa politics under the beautiful gold dome.

Thanks, Jay!!! A letter of commendation may be on the way...

Gene L. Hamilton

(Alaska) Video: Ellis talks film incentives by Maia Nolan | Apr 11, 2011

Sen. Johnny Ellis took to the Senate floor last week to promote S.B. 23, which would extend Alaska's film industry tax credits another 10 years:


In the floor speech, Ellis championed Alaska's potential as a film production destination and trumpeted the business he says existing tax credits have already brought to the state.

"I don't know if 'stampede' would be the correct term, but things are cooking out there like we never imagined," Ellis told colleagues. "Cable television has fallen in love with Alaska."

Multiple feature films and reality television series have been shooting in the state over the past year, including "Everybody Loves Whales," which took up visible residence in Anchorage for several months, as well as the Sundance-accepted film "On the Ice" and TV shows including "Sarah Palin's Alaska," "Flying Wild Alaska" and "Mounted in Alaska."

"The future looks very bright," Ellis said.

S.B. 23 passed the Senate unanimously last week; it has now moved to the House of Representatives, where it received committee and public testimony hearings on Friday and Sunday, according to Ellis' constituent newsletter.

Contact Maia Nolan at maia(at)alaskadispatch.com.

Tuesday, April 5, 2011

Today @ the Iowa Statehouse


Today Jay Villwock and I once again hit the Iowa Statehouse, and found some small successes by meeting with key players there. We spoke briefly with Governor Branstad, who told us to "Keep at it!", and with his press secretary, Tim Albrecht, who stopped Jay to say he saw him in "The Experiment" on a cable network channel. Jay also spoke with Senator Joe Seng. We dropped in on Leo Hough, the governor's office manager, too, and discussed what possibly might happen with the revived Iowa Film Office. We also met the governor's executive secretary or executive assistant, Margaret Hough.

Sunday, April 3, 2011

From the Anniston Star, by Deirdre Long

Alabama Film Office seeks more action from film incentives bill

by Deirdre Long
Star Entertainment Editor Anniston Star
Apr 03, 2011
While officials in Georgia and Michigan are recommending killing their states’ film incentives — which are designed to lure film and television production companies to the state, usually by offering a tax break — and a number of other states have already slashed their incentive caps, Alabama is taking action to make its incentives even more accessible.

State Sen. Gerald Dial, R-Lineville, recently introduced an amendment to Alabama’s two-year-old film incentive bill that will make it easier for television productions to receive a rebate.

The current bill requires that a television series meet the $500,000 spending minimum per episode to qualify for a rebate — 35 percent of in-state labor expenses and 25 percent of production and out-of-state labor expenses, as well as an exemption of sales tax and lodging tax on $150,000 spending.

The amendment will allow for all episodes shot within 12 consecutive months to be considered as one project, making it easier for a production to meet the minimum spend.

“It corrects the language so we can accept TV series,” said Kathy Faulk, manager of the Alabama Film Office in Montgomery.

When Alabama passed its film incentive bill on March 24, 2009, the legislators who built it and other proponents of the bill hoped it would open a floodgate for film and television production companies to bring their projects into the state. But in the time since, only one film — Lifted, produced by Birmingham-based Hunter Films — has received a rebate.

The number of productions interested in filming in Alabama “hasn’t increased tremendously” since the bill passed, Faulk said, “but regulations weren’t in place until last year. We weren’t fully up and running until July of last year.”

Lifted, which was released last year, tells the story of an Alabama boy who enters a singing contest, a la American Idol. The movie, which includes appearances by country music singer Trace Adkins and Alabama native and Idol star Ruben Studdard, spent $536,000 and qualified for a rebate of $144,000, Faulk said. That’s 2.9 percent of the $5 million cap the bill instated for rebates in 2009. The cap has now increased to $10 million.

That’s not to say the bill isn’t serving its purpose. While one large production — think James Cameron’s Avatar, which cost an estimated $237,000,000, according to BoxOfficeMojo.com — would easily meet and exceed the rebate cap and leave no money for other projects, it does lend a hand to smaller productions, such as Lifted.

“The incentive bill has been a good shot in the arm for the state,” said Mark Stricklin, director of the Birmingham-Jefferson Film Office, which acts as a liaison between local governments and communities and production companies. “(Lifted) wouldn’t have been done without the incentive.”

Attempts to reach officials at Hunter Films for comment were unsuccessful.

Stricklin estimates that Lifted hired around 30 crew people and extras on top of that.

“You provide more jobs on independent (films) because they want to take advantage of the rebate,” Stricklin said. “More independent films will be the sustainability of the state. Bigger productions will bring their own crew, won’t hire as many locals. Bigger is good, but it’s not the only thing. So much is hiring local crew and growing the industry.”

Six independent feature movies were filmed in Alabama last year, according to a report released last week by the state film office. Of those films, two have applied for rebates: October Baby, filmed in Birmingham, and After, filmed in Bessemer. Those films are in post-production, so the expenditures aren’t yet finalized, but the film office estimates paying out $350,000 in rebates between the two films.

The other four films, as well as the 15 television episodes that were filmed in-state in 2010, did not qualify for rebates because they did not meet the spending minimum.

If it weren’t for Alabama’s film incentives, the movie After — a psychological thriller about a man and a woman who wake up after a bus crash to find they are the only people left in town — would never have come to the state. The script was written to be filmed in Franklin, Tenn., said writer-director Ryan Smith, but he found it difficult to get help with Tennessee’s incentive program. After scouting several locations in Alabama, he found Bessemer to be a perfect match.

“There was a lot of red tape and lack of communication in Tennessee,” said Brandon Gregory, co-producer of After, in a joint phone interview with Smith. The two are currently at CinemaCon in Las Vegas promoting the film, which will be released in theaters nationwide in the fall.

“From a smaller budget, there wasn’t a lot of information out there,” Gregory said. “That’s the polar opposite from the experience we had in Alabama.”

From scouting locations across the state to hiring local workers to helping file paperwork for the rebate, Smith and Gregory said the Alabama Film Office has been nothing but supportive.

“The communication and them being just a phone call away … holding our hand through the entire process. As a filmmaker, that’s all you can ask for,” Gregory said.

Smith estimates that 95 percent of the crew that worked on the production in Alabama were state residents, saying only two or three workers came with them from Tennessee. And while the film’s expense budget is undergoing an audit — a requirement by the state — Gregory estimates the production spent $600,000 in the state, and expects to receive a rebate of $150,000-$175,000.

But past the incentives, Gregory and Smith said the people really made the experience worthwhile.

“We were pleasantly surprised by the amount of locations and the warm welcome from the people,” Smith said. “It worked really great for us.”

Read more: Anniston Star - Alabama Film Office seeks more action from film incentives bill

Saturday, April 2, 2011

from Crain's Detroit Business

pril 01, 2011 10:24 AM
Michigan loses $58 million film amid incentive uncertainty

LANSING (AP) — The Michigan Film Office says the state's largest film incentive application of the year is no longer under consideration amid uncertainty about the future of the state’s tax breaks.

Office Director Carrie Jones told The Detroit News on Thursday that producers of the "Untitled Doug Liman Project" decided to move the production elsewhere. They proposed spending $58.2 million and hiring more than 2,200. The newspaper got details with a Freedom of Information Act request.

Paramount Pictures Corp. spokeswoman Virginia Lam said the tax break was denied.

Gov. Rick Snyder has proposed eliminating the film tax-incentive program and ordering a $25 million cap on credits starting this year.

The Liman film sought about $22.9 million in incentives. His directing credits include "The Bourne Identity" and "Mr. and Mrs. Smith."

Friday, April 1, 2011

By Sean P. Means, The Movie Cricket, Salt Lake Tribune

Utah raises its motion-picture tax incentive

Hollywood now has more incentive to film in Utah.

On Monday, as reported by the Tribune's Robert Gehrke, Gov. Gary Herbert signed into law HB99, which bumps Utah's motion-picture incentive from a 20 percent tax rebate to 25 percent.

That puts Utah even with the incentive offered by New Mexico, which in recent years has been Utah's toughest competition in landing Hollywood productions that require red rock or desert landscapes.

Two movies, the Coen brothers' "True Grit" and this summer's "Cowboys & Aliens," chose New Mexico for its locations after briefly considering Utah.

Utah has brought in its share of movies under the 20 percent incentive, including "127 Hours" (pictured) and the 2012 sci-fi movie "John Carter of Mars."

HB99 also makes two changes to the motion-picture incentive that should make the program more visible.

One removes the program's sunset provision, which makes the incentive more attractive to TV production. TV studios were wary of taking advantage of Utah's tax break, because they weren't sure the program would still be there if the TV series was renewed for another season.

The other change is a provision requiring film productions that use the incentive to put the Utah Film Commission's logo prominently in the closing credits. Other states do this all the time (Georgia's peach logo is a common sight for dedicated credit readers), and it provides a free ad for the state.