So yeah, for once I'm writing about something neither snarky nor whimsical. In point of fact, it's dead serious. I'm talking about Governor Rick Snyder's proposal to axe the film industry in Michigan.
As someone who considers themselves a staunch fiscal conservative, I understand the rationale behind Snyder removing the state tax incentive for the film industry. That said, I do believe that this was (maybe the only) one thing that Granholm got right in her term as governor. The program might need an overhaul, but for the good of the state, it most definitely should not be killed completely. If Snyder's current proposal goes into effect, this is exactly what will happen. Mitch Albom delivers the message far more poignantly than I could in this article in the Detroit Free Press.
Those of you not inclined to believe a part-time blogger with a liberal arts degree should check out the following study by Ernst & Young in-depth. It illustrates how, despite over $117M of credits being claimed in FY2010 and $73M claimed in 2009, the actual net adjusted cost (when one factors in things like reductions in UI, new state and local taxes, etc) was only $60.4M and $34.6M respectively in those two years. In addition, new business sales in MI totaled over $503M in FY2010 and $309M in FY2009.
The current incentive might be too generous, but if it's capped at $25M like Snyder proposes, it will kill the industry here in MI. We have a growing industry that--in year three of implementation--has is already bringing in over half a billion dollars a year. Why on earth would we want to get rid of that?
Write your congressman, people! This is important. I’ve attached a link to the Michigan House of Representatives HERE. If you live in/near Ann Arbor, I’ve included the following for your easy access:
District Name Party Phone E-mail
052 Ouimet, Mark R 517-373-0828 MarkOuimet@house.mi.gov
053 Irwin, Jeff D 517-373-2577 JeffIrwin@house.mi.gov
055 Olson, Rick R 517-373-1792 RickOlson@house.mi.gov
(4:33pm Update)
From the time I started writing this particular entry, two things have happened. A.)I got positive return emails from Reps Jeff Irwin and Rick Olson, and B). The Avengers has decided to pull out of the state and film elsewhere. This is just the beginning if Snyder’s budget is passed. If you give a damn about the state of your State, get off your ass, take ten minutes off from Facebook and write your congressman.
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