Thursday, February 09, 2012

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Movie Magic in Michigan

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If you’ve been told on more than one occasion “you ought to be in pictures,” the odds of it happening have dramatically increased.

Ever since Gov. Jennifer Granholm in April signed legislation aimed at boosting the state’s role in the film industry, Hollywood producers have fixed their attention on the state and the tax benefits it provides.

The new film incentive package gives film production companies rebates of up to 42 percent of their in-state production costs and another 25 percent discount on infrastructure expenses. That could translate into millions of dollars of savings on big budget movies, including Clint Eastwood’s Gran Torino, which began filming in the metro Detroit area this summer.

Officials with the Michigan Film Office say the in-state movie business immediately took off once the incentives were passed. The film office has received nearly 80 applications for projects since April. Some of the proposed movie projects will cost ten million dollars or more to shoot.

“Right now, as a result of the new incentives, we are just sitting here and they are coming. The recruitment part is much easier. The production companies are looking at the bottom line: the money. And we now have the most generous refundable tax credit program in America. When it comes to cash back no one beats Michigan,” said Janet Lockwood, director of the Michigan Film Office.

The Michigan Film Office was created in 1979 to assist and attract incoming production companies in the entertainment industry, including film, TV and music. It also promotes the growth of the indigenous film industry. The film office employs five full-time state employees and three contractors.

Lockwood, who joined the film office in 1992, is the second longest serving film commissioner in the country. She said New Mexico and Louisiana and other states are aggressively courting movie studios.

“There is a lot of business to be had. The American film industry is very healthy. Crews for the larger shoots can include up to 100 people. A lot of them will certainly be recruited from Michigan, but others will need hotel rooms and spend a lot of money right here in the state,” Lockwood said.

Movie shooting schedules can last up to eight weeks for big budget movies. Approximately 75 percent of the film projects are expected to be filmed in metro Detroit and southeast Michigan.

Lockwood said it will be a while before the film office can measure the exact economic stimulus from the influx of movies being filmed here. Many of those economic impact numbers come from the individual communities that host the production companies.michiganfilmoffice6995-crop

“For example, when Jeff Daniels shot Super Sucker in Jackson in 2001, city officials estimated a $2 million impact on the city from that movie,” Lockwood said.

Several movie-related projects have started in the mid-Michigan area as a result of the tax rebate and Lockwood expects others to follow. The City Center Studios project in Downtown Lansing calls for the construction of a soundstage big enough to handle major movie projects and could open in late 2009.

“We really need additional large soundstages to be built here in Lansing and across the state if we are to see the total economic benefit from the tax rebate,” Lockwood said. “We need several 40,000- to 50,000-square-foot soundstages to be built, and we anticipate that happening.”

Currently the largest soundstage in the state is in Farmington Hills; however, the Grace & Wild, Inc. studio measures only 15,000 square feet, Lockwood said.

Mid-Michigan also lacks crew to adequately fill positions that can range from gaffers and grips to sound technicians and costume designers, according to Lockwood.

“Oddly, Lansing hardly has any crew base at all. There are large crew bases in Detroit and smaller groups in Grand Rapids and Traverse City. Workforce development will be crucial to the long-term development of the film industry here,” Lockwood said.

Most crew members in the state belong to the IATSE [International Alliance of Theatrical Stage Employees] union, Lockwood added.

Eligible production companies can also apply for a 50 percent refundable Michigan business tax credit for expenditures they incur while providing on-the-job training for Michigan residents in advanced crew positions.

Michigan Film Office officials expect local audio and video production service companies like Future Media in Okemos, Epiphany Sound Productions in Dimondale and Harvest Music + Sound Design in Lansing will see additional work as a result of the tax rebate for the entertainment industry.

The Michigan Film Office works closely with the Michigan Economic Development Corporation and in fact shares office space with MEDC in an office in Downtown Lansing. The office partners with the Michigan Department of Treasury on gaining in-state film project approval. The Michigan Department of Treasury collects and disburses all state monies, and administers major tax laws.

“Every project is signed off on by me and state treasurer Robert Klein,” Lockwood said.

The Michigan Film Office’s annual operating budget includes $190,000 from the state’s general fund and additional money from the first round of the 21st Century Jobs fund.

“They allocated $2 million for us to spend on our marketing efforts since we are creating jobs in the state,” Lockwood explained. “We also have additional income from application fees.”

In addition, the legislation Gov. Granholm signed in April stipulates that a half-percent of the tax rebate a company receives goes back to the film office budget.

Lockwood explained the typical made-in-Michigan movie or television project begins with contact from a film production company. The approval process includes script review and location scouting by her office.

“We act as a liaison between the production company, local governments, and businesses here in Michigan. We help with location procurement and clearance and generally assist in whatever they need help with. The final step is the application approval,” Lockwood said.

By the way, if you do want to be in pictures, do not send your portfolio to the Michigan Film Office. There are talent agencies across the state that can help you with that, Lockwood said.

“We get pictures of people and pets. They send us photos of their homes they want to provide for filming. That’s not our job, although we do try to forward those materials to the appropriate people when we can,” Lockwood added.

Author: Randy J. Stine
Photography: Terri Shaver


Michigan Film Office

Janet Lockwood, Director

300 Washington Square, 4th Floor

Lansing

517-373-3456

www.michigan.gov/filmoffice

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