(Just for the record, I don't have anything against gays, Sigourney Weaver, parades, the Lifetime Movie Channel or our mayor.)
I live in Royal Oak, and San Francisco is my Wanna-be-Second-Home. I can tell you that there is no way you can mistake one city for the other. Even a deaf, dumb and blind man can make the distinction. Our streets are wide and oak lined; our buildings are short and squat. There are eighteen vacant buildings for sale or lease in the one mile span from my house to my office, and you'd be hard pressed to find that much commercial space that cheap in San Francisco. We are nowhere near the “cool” quotient of the City by the Bay. (Not to worry. Later in the article, the director informed the newspaper that the viewer won’t be able to tell the difference in the finished product. Royal Oak will dissolve as part of movie "magic.")
We are obviously a state struck by stars and the false promises of the economic “stimulus” this tax break will supposedly provide. Even our media is jumping on board, eager to rub elbows with Hollywood.
I wish everyone would get a grip and come back to Earth.
Michigan. This is the only state in the union that could brazenly throw money away, and it’s money that it just doesn’t have. The fiscal year isn’t up yet, but there are rumblings that the state is already $400 million in the red. It's only the end of June, so the future looks bleak. The end of the last fiscal year almost brought the government to a crashing stop.
I bet those film makers are laughing all the way to the bank.
Article comments
1 - Matthew T. Sussman
"Vigorous proponents included author Mitch Albom "
You could have ended your argument here and I would have been swayed.
2 - Joanne Huspek
Ha! Mitch Albom and Jeff Daniels are among the few in Michigan with steady incomes. Oh, and all of our revered legislators.
3 - mpa
Well folks;
We have been doing film and television production here since the 20's. There are many stakeholders in this legislation who are local. We have trained crew who can now expand into features. Problem is Treasury has stopped commercials from being included (after the bill was signed) and that my friends is where the real bread and butter is. Local business owners, production and post production, talent shops and propmakers all have a better stake in growing if we can compete with the 35 other States that have incentives. This is what you don't seem to see. It is now a level playing field - where MI not even looked at before is now a player.
Yes, producers get checks. BUT puleeze, don't you think they're gonna pay taxes first? First checks don't go out til '09. AND meanwhile the first 6 films shooting have rented hotels, bought lumber, renting cars and trucks, hired local crew - ripple effects into various local economies, Royal Oak, Detroit, Ferndale, Saginaw, & Traverse City. So, millions have been spent NOW. They will get checks
AFTER their numbers are audited and after qualified expenses are proven. They will not get 40-42% on everything either. On some they will get nothing, on out of town crew they only get 30%. (THAT could stand fixing) .
So, in short, in the 8 weeks we have had this bill HUGE dollars have changed hands in our favor. In my view the people throwing darts at this economic balloon don't get the whole picture.
4 - Joanne Huspek
There is so much wrong with this tax incentive that I've not even touched on. A huge gripe with me is that Michigan is not trying to grow the state with the businesses it already has. You have Jeff Daniels and the Michigan Economic Development Corporation trying to bring in outside interest, which is fine. But what about the people who are here already? I'm not asking for a hand out, but for a fair shake. So far, the state has done everything in its power to thwart that. It's almost like they are pushing the old businesses out.
Some of these local economies might see a blush of income at first. My business won't. My business (driver training and testing) depends on long term residents with children.
What do you think the young people are going to do? Go to UCLA film school and come back? I think not. We can't even get them to go to school here and stay here.
I'm glad your industry is prospering, but I shudder to think what will happen when October rolls around.
5 - mpa
For years the State has boosted business it wants with incentives. Not every single person reaps direct rewards. However, who knows maybe that parent buying your service earned money through dollars pulled in from the incentives. AND Yes, some kids who moved from MI are in fact coming back. It will take time to sort out the bad and fix it. You have some positive ideas? Throw those up for review.
These incentives help biz, train people, boost businesses.
I agree there are some issues with how they are laid out now seeming to favor only new business. But it allows for creative and legal ways to operate within it. And again, if allowed to continue, we can fix it as the other States have done to be even better.
6 - Joanne Huspek
I understand the concept of taxation. The reason is because they need the money. They need the money because this state is top heavy with entitlement programs, state employees and their retirement and health benefit system,and this includes a glut of legislators and their resultant entourages. I know it's not just at the state level. Look at Oakland County. TWENTY-FIVE county commissioners? Do you think maybe one or two could do the same job? As for the number of state representatives, we have more than California, a state where they have three times as many people to serve.
If you (meaning the state) need money, why not make some cuts instead of taxing and spending more? People in private business have to do it all the time. I work with various state agencies every day of the week, and I can tell you that inefficiency and waste are the norm, not the exception.
I just finished reading the Detroit News editorial page where Nolan Finley was bemoaning the terrible business climate here. I agree.
I don't know what the "cure" is, but it's not bringing in short term relief like film making or tourism. Michigan needs a HUGE shot in the arm with some sort of industry that will carry it through the 21st Century, one that will help grow the state so that people will actually want to live here. Cutting off the people who are already here isn't going to help. It's just going to make them look for opportunities elsewhere.
Like I said, I don't want a hand out. I just want fairness.
7 - mpa
Over 50 years is certainly not 'short term' by any
Filmmaking is a viable business where at least a factory sized workforce has been employed and where free lance labor continues to grow. Every facet of government and business uses such services. It serves the State in many ways, it serves business in many ways.
stretch of the imagination. The creative and production industry here is a business and its been around. There are business that have grown up around it. Just like the auto industry support has grown. Unfortunately, the auto industry is a victim of its own shortsightedness and has failed to grow. It has been incentivized many times. The creative industry is a bit different. we continue to work but see changes that have forced work out of state. Guess how? By other State's having incentives.
When MI passed its incentive package suddenly all eyes turned here. It gets them here, they spend money here, that money multiplies each time it changes hands BUT - to KEEP them here we have to do some of the things you say, be smart - make it easy to do business here, a favorable tax plan to grow etc.
You and I are in position where we can rant all we want to - but someone needs to take a chance. That's what the Governor did and we are seeing change - a new landscape developing. When the May/June financials come out we will see an increase and growth.
I'd recommend relaxing a bit on these points and discussing issues of oil and how to make an efficient automobile as well as mass transit systems for the region and the State.