film industry

Film Tax Credits

May 19, 2011

It seems all but certain now that the film tax credit is dead. Governor Rick Snyder came to office saying he had a dim view of it, and that he was against the state trying to pick winners and losers.

That view does make some sense. My guess is that most of the major recent new industries, from camera phones to  Google,  wouldn’t have been immediately appreciated by governments.

Supporters of Michigan’s film industry are conducting an eleventh-hour push to convince Lansing politicians to keep the state’s generous film tax credit.

Nancy Skinner has been a vocal opponent of plans to scrap the credit and replace it with a much more modest grant program. She runs a Web site that’s brought in donations from thousands of people:

"And what we are trying to do is put names and faces to these numbers. The spreadsheet wars that are going on in Lansing? We want these folks to see the names and faces of people who will be affected by this."

The ads will run on Comcast cable channels over the next week. They emphasize the economic impact of the film industry, and the threat of a continued “brain drain” if the film industry pulls out of Michigan.

Just the threat of the elimination of Michigan’s 42 percent tax credit caused her to lose business, says Rose Gilpin. She and her partner Kathy Remski own Real Style Extras Casting:

"They evaporated immediately. Kathy and I right off the bat lost three projects in February right after the announcement was made. So immediately gone."

Legislation has been introduced to preserve the tax credit. The governor has proposed replacing the tax credit with grants totaling 25 million dollars for film and video projects.

Andrew McFarlane / creative commons

Governor Rick Snyder’s proposal to get rid of the current film tax credit and replace it with a more modest grant program has met with a lot of resistance from the film community.

But now some film folks say they’re willing to compromise.

Since 2008, Michigan has offered up to a 42% tax credit for movies made here. That amounted to the state paying out  $60 million last year.

Snow

More snow on the heels of more snow is bringing up talk of records in Michigan.

For the Detroit area, NOAA lists 1908 as the snowiest February on record when 38.4 inches fell in the area.

The Detroit News says this winter has been the second snowiest on record with a total of 30.3 inches falling in February.

The News spoke with Karen Clark, a meteorologist with the National Weather Service:

Clark said she doesn't think the rest of the month will be snowy enough to break the record. "Let's hope not," she said. "That would be a lot of snow in the next few days."

The Detroit News has some historical photographs of snowstorms past in an article from 2002.

What snow storms do you remember most? The blizzards of 1978 and 1979 come up a lot in our office.

Fighting for Film Incentives

Groups met last night to push the Michigan Governor and Legislature to reconsider cutting the Michigan Film Incentive tax credits.

As Michigan Radio's Sarah Hulett reports, Michigan has the most generous tax credit in the nation at 42%.

Hulett covered a group meeting last night in metro-Detroit:

The message people need to deliver to Lansing, said Detroit Free Press columnist Mitch Albom, is that the credits have created a rare bright spot in Michigan’s economy:

"This is not about saving Tom Cruise. This is about saving Tom Farmington Hills, and Tom Novi and Tom Detroit."

Hulett reports that "Governor Snyder wants to get rid of the tax credit and replace it with a program worth $25 million a year."

Here's a video of the meeting last night from Fox 2 News in Detroit:

Thousands Gather at Film Industry Town Hall: MyFoxDETROIT.com

Shrinking the City of Flint

Flint Mayor Dayne Walling gave a "State of the City" address last night, and like much of the state -  and the country, for that matter - Walling talked cuts.

Michigan Radio's Steve Carmody covered Walling's address:

Flint Mayor Dayne Walling spent much of last night address talking about what’s working in his city.  But he also talked about what he thinks would help the city deal with a growing budget deficit,  ‘shrinking the size of city hall.’   Walling wants to drop funding for some city commissions and eliminate some executive positions.

"My proposed changes would save the city of Flint $6 million over 4 years.  Over $15 million dollars over 10 years.   Its not the whole solution.  But its an important part of it.  Its an important part that makes a difference."

The city of Flint wants to cover its $17 million budget deficit by raising funds on the bond market.

It has to get permission from the State Administration Board to do that. So far, the Board has tabled its decision.

If the city can't raise bond money, it might be facing bankruptcy or a state takeover.

Sarah Hulett / Michigan Radio

Over a thousand people packed a metro-Detroit banquet center last night to try and rescue Michigan’s budding film industry.

They’re mounting a campaign to persuade Michigan’s governor and lawmakers to preserve tax incentives for filming in the state. For the past three years Michigan has had the most generous credit in the nation, at 42 percent. Governor Rick Snyder wants to eliminate the tax break.

Andres McFarlane / Creative Commons

Movie industry supporters are pulling together a campaign to persuade Governor Rick Snyder to reconsider his plan to slash the state’s film tax incentives. For the past three years Michigan has had the most generous credit in the nation, at 42 percent.

Actor Jeff Daniels and columnist Mitch Albom will headline a meeting tonight in Livonia to talk strategy.

Andrew McFarlane / Creative Commons

A new study shows Michigan’s tax incentives for the TV and film industry generated close to 4,000 fulltime jobs last year with an average salary of $53,700.  

Larry Alexander is President & CEO of the Detroit Metro Convention & Visitors Bureau, one of several bureaus across the state that helped commission the study.

“Diversifying Michigan’s economy by investing $84.7 million- and generating over a half a billion dollars of economic activity and nearly 4,000 high paying jobs- sounds like a pretty good deal to us.”

Rick Hert heads the West Michigan Film Office. He says talk about limiting the film incentives in the past reached Hollywood and caused some producers decide not to come to Michigan.

 “This is much bigger. This is a new governor of the state of Michigan and his comments are doing more than reverberating, they’re putting a clamp on the future of this industry.”

Hert is thankful the governor didn’t totally remove the incentives, but worries they’ll be too limited to keep attracting producers.

Hert says he understands the state is broke and that legislators have some tough calls to make.

Detroit Independent Film Festival

According to the Detroit Free Press, the Detroit Independent Film Festival has announced their lineup for this year's 5-day festival. 

Highlights include the premiere of Mike Allore's short film "World of Art," which will open on the first night of the festival at the Ren Cen 4 Theatre at the Renaissance Center.

The festival will feature more than 80 films, two opening night receptions, and the Michigan Film Awards on March 12. The Michigan Film Awards are presented in cooperation with the Uptown Film Festival in Birmingham.

The 2010 Michigan Film Award for Best Michigan Feature was Tracy, produced by Brian Fee and Dan Scanlon.

The festival opens March 9.

The festival is in its second year.

The Michigan Theater in Ann Arbor
user otzberg / Flickr

Michigan film buffs won’t have to fly to Utah to experience this month’s Sundance Film Festival. That’s because Sundance is bringing part of the festival to Ann Arbor.

This is the second year in a row that the Michigan Theater in Ann Arbor has been tapped to premiere a Sundance Film during the actual festival in Utah.

Last year, the Michigan Theater premiered Cyrus, a movie by the Duplass brothers. This year, filmmaker Tom McCarthy will fly to Ann Arbor to premiere his movie Win Win on January 27.

Rapper Curtis Jackson "50 cent" gets the red carpet treatment for the premier in
Lindsey Smith / Michigan Radio

A Grand Rapids’ movie theater rolled out the red carpet Wednesday night to benefit Michigan’s burgeoning film industry. New York rapper, turned movie star Curtis Jackson, know more commonly as 50-cent, held a special premier of his new movie in Grand Rapids. Jackson signed autographs, took pictures with fans and introduced an early screening of his new movie “Gun”.

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