Increases the maximum amount of empire state film production credits available in 2015 and thereafter to $420,000,000

1 Co-sponsor

• Diane J. Savino

BILL NUMBER:S5661

Title of bill

An act to amend chapter 60 of the laws of 2004, amending the tax law relating to providing tax credits for certain costs incurred in film and television productions, in relation to the maximum amount of such credits in 2015 and thereafter

Purpose or general idea of bill

To extend the Empire State Film Production Credit program beyond the current 2014 expiration.

Summary of specific provisions

Section 1 would create an Additional Pool 3 for the Empire State Film Production Credit program which would begin in 2015 and continue every year thereafter at $420 Million per year.

Justification

In 2010 the State Legislature and then-Governor Paterson wisely sought to extend the Empire State Film Production Credit program for five years, funded at $420 Million per year, to expire in 2014. While this was an enormous step in gaining security, thereby attracting new film production business to New York, even more business could be attracted by removing the expiration date entirely.

If this bill were to become law, that would signal to all sectors of the film production business that New York State is committed to the film production business in the long term. By removing the expiration of the program, countless programs and production companies who may be on the fence regarding moving the production of their shows and films to New York would be encouraged to do so, banking on the fact that New York State will continue to support them. In that same respect, the current film studios who house the production of these shows/films would also gain the security they so desperately need, and would be able to expand their currently bursting studios to accommodate and attract more and more productions. In order to provide for such an expansion, the security provided for in this legislation is essential so that the financial institutions which back these studios and their expansion endeavors would be able to rely on the security of the business within the State.

Prior legislative history

2004: Empire State Film Production Credit program was created and funded at $25 Million for 2004, 2005; $60 Million for 2006 and 2007;

2008: Empire State Film Production Credit program is extended and funded at $65 Million for 2008 and $75 Million for 2009;

2009: Empire State Film Production Credit program was extended and funded at $350 Million for one year;

2010: Empire State Film Production Credit program was extended and funded at $420 Million for years 2010-2014.

Fiscal implications

An aggregate amount of tax credit shall be $420 Million annually.

Effective date

Immediately.