Majority members of the New York State Assembly have called for the creation of a $10 million Motion Picture Investment Fund, $3 million of which is earmarked for the coming fiscal year. Designed to help the state keep and attract more filming, the fund would help pay for an extensive marketing/promotions campaign, would provide partial financing for qualifying independent films, and would institute training programs for established, New York-based industry workers, as well as for talented newcomers.
At press time, prospects for the proposal’s passage were good. According to Chris Delgiudice, legislative director for Assemblyman Joseph Morelle (D-Rochester), the Democratic majority in the house supports the measure and has the necessary votes to make it a reality. Since the money would come out of the Assembly’s discretionary fund, explained Delgiudice, there is no need for approval from the State Senate or Gov. George Pataki (R-N.Y.). The only way the Motion Picture Investment Fund could be derailed is if some pressing unforeseen expenditure arises in Assembly budget negotiations, requiring discretionary funding. The chances of that stumbling block materializing are unlikely, according to Delgiudice.
Instead, budget negotiations relative to the Motion Picture Investment Fund figure to center on how to best apportion the money. One proposal has some $250,000 being set aside this year for marketing and promoting New York State to the film/ TV production community, with some $2.75 million designated to help finance independent films shot in New York and employing talent from the state. Still to be determined are how much of a project needs to be lensed in New York and how many state workers have to be hired in order for a film (with a budget up to $5 million) to qualify for as much as a $250,000 grant. Delgiudice said that the education/training programs might also be worked into the first year or could surface in one of the subsequent two years, when the remaining $7 million would be spent. Years two and three of the Motion Picture Investment Fund are subject to Assembly approval on an annual basis.
At a news conference last week in Albany, Assembly Speaker Sheldon Silver (D-NYC) and Morelle, who chairs the Assembly Committee on Tourism, Arts and Sports Development, announced plans for the $10 million program. They were joined by representatives from the New York Production Alliance (NYPA), the two-year-old organization chaired by industry vet Morty Dubin, principal of Manhattan-based Iris Films. Also on hand were actor Joe Pantoliano, a star of HBO’s The Sopranos, as well as officials from Silvercup Studios, Long Island City, N.Y., where the series is filmed.
Delgiudice said that the NYPA has proven to be a valuable conduit for legislators in order to get a sense of industry needs and priorities. The NYPA was formed to help maintain, promote, increase and expedite film and video production in New York City and State. The NYPA currently has some 65 members, consisting of industry companies and professional organizations spanning production, postproduction, talent and craft unions, support and service businesses, and industry related educational institutions. The NYPA spans such disciplines as TV, features, commercialmaking, music videos and documentaries.
Dubin noted that the NYPA "not only now has the ear of lawmakers, but has also captured their attention to help New York attract more filming and to strengthen the state’s talent pool." Dubin said that the NYPA "finds it gratifying that the state and the city will benefit from the influx of money to develop creative and technical talent—a primary reason to work in New York."
"The establishment of this fund will help New York State compete with film locations around the world," contended Assembly Speaker Silver, who noted that runaway production has become a significant problem. He cited the success of Canada in drawing production from the U.S. through an effective marketing plan and a series of financial incentives—not to mention a favorable exchange rate. "New York has so much to offer the film and broadcast industry," Silver continued. "However, we must be competitive and do a better job marketing this state to attract potential filmmakers."
Morelle concurred that the State of New York "has not done enough to spur investment or to prevent loss of market share to other states and countries. The Motion Picture Investment Fund is an important initiative to help lure the film industry back to New York State."
NYPA board member Alan Suna, CEO of Silvercup Studios, also praised the measure. "This funding will enable us to get the word out about how great it is to work in New York—both Upstate and Downstate," related Suna. "With this innovative new program, we in the film industry expect many great things."
Dubin added that he expects the NYPA to have a voice in helping to formulate the marketing/promotion campaign.
The New York State budget was supposed to have been finalized on April 1. The norm, though, in recent years has been for that deadline to pass without final budget approval. Delgiudice conjectured that the current budgetary process could run as late as into August.
However, by that time, there may be additional anti-runaway funding from other sources. The Republican-controlled New York State Senate currently has an initiative calling for $7 million to promote the arts. Word is that some of that money might be put toward the filming cause. And Delgiudice noted that Gov. Pataki’s office has indicated that it would be open to considering different programs to support filming in the state.
Delgiudice said that the runaway issue has become a priority for many legislators. He cited a recent U.S. Department of Commerce report that runaway production had an adverse annual impact of $10.3 billion on the American economy (SHOOT, 2/23, p. 4). That finding was largely extrapolated from 1999 research underwritten by the Screen Actors Guild and the Directors Guild of America (SHOOT, 7/9/99, p. 1). The SAG/DGA study, though, did not take the commercial production business into account. And as chronicled in SHOOT, last year’s six-month-long actors’ strike against the advertising industry fueled a staggering amount of runaway spotmaking to Canada and overseas.
