Written by on Mar 5, 2015. Posted in Incentive News

Michigan takes first step towards cancelling filming incentives

Authorities in Michigan have begun the process of cancelling the state’s filming incentive programme. The state recently hosted Batman V Superman: Dawn of Justice but a vote has now gone in favour of ending filming incentive support later this year.

Two more branches of the state legislature must also agree to cancel the filming incentive. However, the future looks bleak for the programme as pressure mounts to redirect the funds to other sectors of the economy, reports the Detroit Free Press.

Batman V Superman was based at Michigan Motion Picture Studios in Detroit, but needed a filming incentive payment of some USD 35 million to do so. Crucially, the production was projected to spend USD 130 million in the city and surrounding area.

“Cost is the major factor in determining where a producer is going to locate a major motion picture,” said Vans Stevenson, senior vice president for state government affairs at the Motion Picture Association of America, in comments to the outlet:

“In the United States, there are 40 states that have incentives. Thirty are competitive. And Michigan is on that list.

“Our companies like producing in Michigan and want to continue to produce in Michigan. That's evidenced by what's happened in the last several years, even with the programme changes under Governor Snyder,” Stevenson added.

“With something like this, certainly there would be pause because producers need to have certainty. Right now, this kind of legislation creates a lot of uncertainty.”

While the majority of US states offer filming incentives, only a few cities have committed the annual film funds to attract major Hollywood films. New York, Atlanta, New Orleans and Los Angeles are the main production hubs.