Michigan lawmakers want to bring ‘lights, camera, action’ back to the state by resurrecting the state’s film tax credits.

House Bills 4907 and 4908 would give $2 billion in tax credits over the next decade for film and television shows to be made in the state. The plan aims to attract more film industry investment in the state, bring jobs to Michigan, and boost local economies, supporters say.

It’s an idea the state has tried once before – one that provided little return on investment, according to James Hohman, the director of fiscal policy for the Mackinac Center for Public Policy

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Critics say film tax credits haven’t been found to have long-term economic benefits in states that have film credits. They believe that the incentives favor one specific industry over others and other public investments would have a greater impact.

“The bill will have taxpayers cover (up to) 30% of any film production expenses in the state,” Hohman told The Midwesterner. “Michigan’s experience of paying 42% of film expenses left taxpayers out $500 million for a few hundred film jobs that disappeared when the subsidies ended.”

Michigan would join 37 other states in offering film tax credits if the plan becomes law. The House Economic and Small Business Development Committee approved the two bills, HB 4907 and HB 4908, earlier this year. They were introduced by Rep. John Roth, R-Interlochen, and Rep. Jason Hoskins, D-Southfield.

Known as the Multimedia Jobs Act, the bills could be among the flurry of legislation taken up during lame-duck session, after lawmakers return from Thanksgiving break.

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“Its sponsors are trying to get it passed during lame duck, but no one knows for sure,” Hohman said. “If these votes were easy, they would have taken them already.”

The new program would repeal and replace the former Film and Digital Media Production Incentive, which was eliminated in 2015, according to the Legislative Analysis. The original program ran from 2008 to 2015 and ended during former Gov. Rick Snyder’s administration.

Under the plan, tax credit incentives start at 25% of qualified expenditures, for “qualified” productions. The credit could increase to 30% if the finished product includes approved logos, including “Pure Michigan” and “Filmed in Michigan.” There are other incentives for employing Michigan residents and for productions involving minority, woman, disabled, or veteran-owned Michigan vendors and employees.

The old film tax credit program gave production companies a 42% rebate for every dollar they spent. It was essentially a check they could use however and wherever they wanted, WOODTV reported. Unlike last time, the tax benefit would have to stay in the state.

Advocates argue Michigan is losing out to film projects due to other states’ tax incentives and need to get back in the game. They believe the incentives help attract creative talent to the state by providing job opportunities for both young people who want to get into film and established professionals who left the state after the old program shut down.

Josh Sikkema, a Grand Rapids native and filmmaker, moved to Los Angeles around the time the film incentive program shut down.

“I was kind of forced out there because that’s where the work was,” Sikkema told WOODTV. “LA is great, but West Michigan is way better…. We have an amazing bustling city, we have beautiful landscapes, rural, and we have the wonderful lake.”

Supporters say that the bills add more oversight and ensure that there is no cost to the state unless a production invests in Michigan. In addition, film crews and actors visit the area’s hotels and restaurants. The state’s scenery boosts tourism once people see it on the big screen.

“We know some tourism has a huge impact,” said Alexander Page, the legislation committee action chair for the Michigan Film Industry Association, to WOODTV. “People are still running up the steps in Philadelphia for Rocky. Major League Baseball has a baseball game in Iowa for Field of Dreams. We think we can have those things here.”