|Posted:||December 2, 2014 11:17 AM|
|From:||Senator Wayne D. Fontana|
|To:||All Senate members|
|Subject:||Increase Film Production Tax Credit|
|In the near future, I plan to introduce legislation that would increase the state’s popular Film Production Tax Credit to $125 million.
For fiscal year (FY) 2008-09, the credit was $75 million, but was scaled back to $42 million in 2009-10. During 2010-11 and each fiscal year after, the credit was set at $60 million, which it currently resides.
Between 2007 and 2012, Pennsylvania issued $298 million in tax credits among 292 productions and 500 applicants, according to a 2013 report by the Independent Fiscal Office. This resulted in 19,000 jobs, in addition to thousands of dollars injected back into the Pennsylvania economy: productions reserve building space, cast and crew rent hotel rooms for months at a time, actors buy food at local grocery stores and are photographed eating at restaurants.
The Pennsylvania Film Offices have stated that the lack of an increase of funding have stunted the state’s ability to grow within the industry and compete on a national scale. In addition, Pennsylvania has lost out on TV productions and at least seven feature films being produced here because all of the funding has been exhausted before the ending of the fiscal year. Unless the commonwealth increases the tax credit amount, we will continue to lose projects to more competitive states with more lucrative tax credits.
The film and TV industry has a proven track record of investing additional funding into Pennsylvania because of the tax credit and thousands of employment opportunities have opened up. I hope you will consider joining me in co sponsoring this important economic engine.
Introduced as SB218