ENACTED LEGISLATION (Signed by the Governor)

IDAHO
The Governor of Idaho has signed into law a bill which clarifies how the film incentive rebate fund can raise capital. Originally, the fund could receive all moneys that may be appropriated, apportioned, allocated, paid back to the fund or otherwise provided by law. The new bill allows grants, federal moneys and donations to be additional funding sources. All other aspects of the film incentive rebate remain unchanged. While the current rebate program has remained unfunded since inception, these new provisions may cause this to change in the near future. 

ON THE GOVERNOR'S DESK (Awaiting Signature)

IOWA
The House & Senate have agreed on a bill that when signed by the Governor, the Iowa Department of Economic Development will not be able to register any new film projects until July 1, 2013.

UTAH
A Utah bill which relates to how the Utah Film Incentive fund is administered is awaiting the Governor's signature. The bill provides that the Governor's Office of Economic Development shall administer the fund; requires that production company reports are reviewed by an independent certified public accountant; and, allows the Governor's Office to issue the cash rebate directly rather than having to submit their request to the Division of Finance.

VIRGINIA

For taxable years beginning on or after 1/1/2011, a production company may earn a refundable tax credit equal to 15% (20%  if filmed in an economically distressed area of Virginia) of qualifying expenses when at least $250,000 is spent in Virginia.  A statewide cap of $2.5 million will apply to the 2010-2012 biennium, increasing to $5 million for any biennium thereafter. Qualifying expenses include goods and services leased or purchased as well as the first million dollars of compensation and wages per individual including loan outs.  A production company may earn an additional 10% of resident labor when the total production costs in Virginia are at least $250,000 but less than $1 million.  This additional credit is increased to 20% of resident labor if total production costs exceed $1 million in Virginia.  This bill is expected to be signed by April 8, 2010.

HAWAII
Hawaii has introduced another bill related to the administration of the Hawaii film incentive. The first bills introduced regarding the administration of the Hawaii incentive were mentioned in the January 2010 TIP Update.  The latest bill, if passed, would assign all film and television industry activities to the Hawaii tourism authority.

KENTUCKY
Kentucky has introduced two bills which would cap the film incentive program due to a State fiscal emergency. Both bills propose to cap the maximum amount of credits at $5 million for fiscal year 2010-2011 and $7.5 million in the 2011-2012 fiscal year.

MICHIGAN
The current law includes language that a production company must include an acknowledgment that the production was film in Michigan.  If passed, this bill will require all qualified productions to include, at a minimum,  a "Filmed in Michigan" logo in the end credits similar in size and placement to other logos. In the event that no logos will be used in the end credits, the end credits must include the statement "Filmed in Michigan using Michigan's Film Production Financial Incentive" or a similar statement approved by the Michigan Film Office. The "Filmed in Michigan" logo will be developed by the Michigan Film Office to be supplied to qualified productions.

CONNECTICUT
Connecticut has released Special Notice 2009(11) describing changes made to the Film Production Tax Credit during the 2009 session of the Connecticut General Assembly. Three tiers have been introduced, which provide a 10% tax credit for production expenses between $100,000 and $500,000; a 15% credit on expenses between $500,000 and $1 million; and, 30% credit for production expenses and costs over $1 million. To qualify, 50% of principal photography days or 50% of post production costs must be incurred in Connecticut. An aggregate salary cap of $20 million per production has also been introduced for "star talent". Beginning January 1, 2010, no production expenses incurred outside Connecticut and used in Connecticut will qualify. Credits can now be claimed in the year the expenses were incurred or in any of the three succeeding years, eliminating the need for the production to amend its tax return for the year in which the expenses were incurred.

AFCI LOCATIONS TRADE SHOW 
April 15 - 17 Santa Monica Civic Auditorium
For 25 years, Locations Tradeshow has starred as the premier gathering of location filmmakers featuring attention-grabbing exhibits and provocative discussions. New to this year's show, film commissions worldwide will showcase their best financial incentives to filmmakers like you as part of the LTS Financial Forums series. Don't miss three days of free exposure to hundreds of film commissions ready to help you find the perfect location and maximize your budget, making your next shoot as seamless as possible. FREE ADMISSION. Visit Cast & Crew at booth 128.