Both houses of the Illinois legislature have overwhelmingly passed a significant increase in the state’s filming incentives program, establishing a 30 percent tax credit on total production spending in the state for qualified theatrical features, TV programs, commercials and ad-related projects.
Initially Gov. Rod R. Blagojevich (D-IL) was expected to sign the measure into law. However he was arrested last week on federal corruption charges. Still, the measure is guaranteed to be enacted by no later than January 20, 2009–with or without the governor’s signature That’s because the incentives package is veto proof, having passed by votes of 52 to 0 in the Illinois Senate and 108 to 2 in the state’s House of Representatives.
A major impetus for the passage of the new incentives was the increased competition for filming business, particularly from nearby Michigan and Wisconsin. The former has a 40 percent tax credit for features and TV (not commercials) while Wisconsin has a 25 percent credit in place spanning features, TV and spots.
Thus Illinois saw a compelling need to up its 20 percent tax credit to 30 percent, primarily to help attract more feature and TV work. Commercialmaking in turn benefitted from this as production houses, ad agencies and/or clients will be able to tap into an increased tax credit for Illinois shoots.
“This makes filming in Illinois even more attractive, enabling commercial producers to be more competitive, to offer more bang for the buck in the face of challenged budgets,” said Mark Androw, executive producer of Chicago-headquartered Story, a production house which also has offices in New York and Los Angeles. A former AICP national chairman, Androw said that Story has taken advantage of the 20 percent tax credit and is enthused over future prospects with a 30 percent tax credit set to take hold.
“In recent years, we’ve been able to more competitively bid projects that shoot in the state and it’s helped us to get business,” he related, conjecturing that this dynamic should continue and perhaps flourish with an even sweeter incentive about to go into effect.
At the same time, Androw noted that an increase in feature and TV activity in Illinois as a result of the incentives also benefits the ad community, serving as a catalyst for growth in the state’s infrastructure in terms of production resources and talent.
To qualify for the new incentive, in-state spending must exceed $50,000 for a commercial. That’s the same minimum threshold that was needed to qualify for the 20 percent tax credit. Androw added that producers also have to demonstrate that if not for the incentive, a project would have likely gone somewhere else for production. And there is a diversity prerequisite whereby producers must commit to having a representative portion of the crew consist of minorities. Generally the formula is for such representation to be commensurate with Illinois’ population, meaning around 20 percent of workers on a production should be from minority groups.
Androw noted that Story and other companies as well as different segments of the Illinois filmmaking community have made a concerted effort to train minorities for crew positions and that these endeavors have helped to make for a more diverse workforce. Androw added that organized labor played a major role in lobbying state legislators for the passage of the new incentives package.
Besides increasing the tax credit, the new measure eliminated the sunset clause which had the industry typically waiting for incentives to get renewed from one year to the next. This often put filming on hold annually for an extended period after the incentive would expire on Dec. 31. Now filmmaking can go forward in Illinois without such a lull.
Edelman Global CCO Judy John Named AICP Next Awards Judging Chair
Judy John, global chief creative officer at global communications firm Edelman, has been named as the 2025 AICP Next Awards judging chair. In this role, John has assembled a roster of jury presidents who will, in turn, select judges for all AICP Next Awards categories.
“I’m thrilled and honored to be named AICP Next Awards judging chair,” said John. “I’ve served as a Next jury president, and I know the caliber of work that’s entered and the level of talent judging that work. The Next Awards are special, as they recognize achievements through the lens of boundary-breaking innovations in marketing. Like great art, this work creates awe in the viewer, and reflects the times and culture in which it was created. The fact that the honored work is preserved in The Museum of Modern Art’s Department of Film’s archives for future generations adds a whole other level of significance.”
“Judy’s career in many ways reflects the DNA of the Next Awards, in that she is a globally-recognized expert in creating work using a wide range of techniques, media platforms and content formats,” said Matt Miller, president and CEO of AICP. “Her complete fluency in the current marketing communications landscape makes her an ideal judging chairperson. We’re delighted that she is serving in this role.”
The AICP Next Awards is much more than an awards competition; it’s also a platform for examining work through thought leadership and analysis. The entry deadline for the AICP Next Awards, along with the AICP Show: The Art & Technique of the Commercial and the AICP Post Awards, is Wed., February 26. Details can be found here.
Two new categories are joining the Next Awards this year, for... Read More