July 10, 2007

RYAN CALLS ON STATE TO GET IT TOGETHER ON
FILM INDUSTRY BUSINESS

---Says New York State tax policy is driving lucrative film industry
to New Jersey and Connecticut ---

“No lights, No cameras, No action!”

That’s the plight Bill Ryan (D-I-WF, White Plains), Chairman of Westchester County’s Board of Legislators, says film production in New York is finding itself in. The film industry is dimmer and may go completely dark unless the state moves quickly to restore its competitive edge by offering more attractive tax credits and other incentives.

Ryan has written to New York Governor Eliot Spitzer, Senate Majority Leader Joseph Bruno and Assembly Speaker Sheldon Silver asking that they act to reclaim New York’s position as a film production hotspot.

“New York, which long dominated East Coast film and television production, hasn’t kept pace. As a result, neighboring states have succeeded in taking a major portion of New York’s film business away,” Ryan said. “While the state was asleep at the switch, Connecticut and New Jersey put more creative and attractive tax incentives in place. We have the numbers to prove that New York has lost its competitive edge as far as the film industry is concerned.”

Ryan noted that film revenues have dropped precipitously in Westchester. For the first six months of this year, fees paid to shoot on location in Westchester amounted to about $700,000; for the same period last year, it was $2.2 million. Ryan commented that the loss in fees is just part of the story. When a film production company comes to town, it brings good union jobs and generates revenues for local businesses.

New York’s loss has been Connecticut’s gain. The Constitution state reported $52 million in film production revenue six months into its new tax incentive program, compared with $750,000 during the six months before the tax incentive program started.

“It’s not like this film business is going overseas. It’s going to Connecticut and New Jersey!” Ryan said. “Clearly, New York State has the economic muscle to offer tax credits competitive with these states. I am calling upon Albany to act quickly to revamp the state’s tax incentive program before the film industry in New York completely disappears.”