Legislation threatens ‘Hollywood South’ future
November 13, 2014
It may still be a year away, but the Louisiana film industry will soon face a challenge that could ultimately decide whether the term “Hollywood South” could actually apply to Louisiana.
Both Legislation 2015 and tax incentive-rivaling states are challenging whether or not Louisiana can remain on the radar as one of the nation’s leading production spots. Louisiana currently offers a 30 percent tax credit for film production, which is the highest rate in the nation. As states like Georgia and California fight to compete with Louisiana’s 30 percent incentives, the state also faces intense legislative battles on the homefront.
The Louisiana Budget Project aims to reform the state budget and is the biggest threat to the Louisiana film industry, according to actress and activist Suzie Labry.
Labry, who has been involved with over 300 movies and is actively involved in the Louisiana Film Entertainment Association said that if the Louisiana Budget Project gets its way, it would be “just enough to kill the industry.”
Jan Moller, director of the Louisiana Budget Project, said that the money going towards Hollywood producers should be redirected to vulnerable Louisiana citizens.
Labry said she thought killing the tax incentives would hurt the local industry tremendously.
“It’s too early to end the program,” Mike McHugh, business agent for the Local 478 International Alliance for Theatrical Stage Equipment, said.
Although the current tax laws will likely need to be adjusted, McHugh said, “Tweaks and changing the program could make the industry more sustainable and affordable.”
The Louisiana Budget Project may be the largest threat to Louisiana industry, but the state must also compete with Georgia, which has a comparable 30 percent tax incentive ,according to an economic study put out by Loren C. Scott & Associates, Inc.
There is no doubt that the current tax incentives have skyrocketed productions in Louisiana, according to McHugh.
McHugh said that on average, two to three films were filmed annually in Louisiana in the 1990s prior to the incentive laws. The current laws were passed in 2002 and since then, roughly 50-60 productions, excluding independent films, visit each year.
“Legislation 2015 will be the biggest fight we will have ever have,” Labry said.
According to Labry, the local industry will either “make or break.”
Kimberley Woodard Steinhoff • Nov 16, 2014 at 11:50 pm
The 30% tax incentive is one of the main reasons many actors, directors, producers, and even extras are having the success that has kept this economy afloat in Northern Louisiana as well. We need to continue this incentive program for at least seven or eight years just to help the industry continue to grow and possibly flourish. Susie Labry is right in everything that came out of her mouth. Even if the program needs revamped, do that. But don’t kill the incentive that is putting people to work and food on the table. To all Louisianians wanting the movie industry to grow, speak up and let your voices be heard!
Al • Nov 16, 2014 at 4:12 pm
The tax credits may need to be tweaked to make them better for Louisiana, but that’s no excuse to get rid of them. Many businesses outside of the movie industry in the New Orleans Metro area are making a lot of money off of the movie and TV productions.
People need to stop “hating” on the industry and support the jobs it has created over the years.