Thursday, January 29, 2009

Incentive Bait Reels in Hollywood Bucks - From the Albuquerque Journal

By Eric Witt
Office of the Governor

A new study that looks at the impact of the film industry on New Mexico's economy, conducted by the respected Ernst & Young company, shows strongly positive results: Hundreds of millions of dollars in direct film production spending, and over 9,000 new jobs attributable to the industry benefitting dozens of communities and hundreds of local businesses across the state.

There is strong evidence of positive effects not only for direct film production, but increasingly for the hospitality, tourism and other support sectors as well as priceless marketing of New Mexico's unmatched beauty and aggressive business environment to the world.

Most pointedly, the film study shows that state coffers directly recover almost every penny paid out in production tax incentives through increased revenues generated by the film industry. This is consistent with Gov. Bill Richardson's long-held position that the state “breaks even” for extending a nominal 25 percent rebate level to the film industry.

To read the full article, click here