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Yearly Archives: 2016

Fewer film jobs in Georgia for 2014: trend or adjustment?

New data from the County Business Patterns shows a big loss in film jobs for Georgia since 2013. However, there has still been healthy growth overall since the state introduced up to 30% in transferable tax credits for film productions, with a 74% growth rate since 2010, and 29% overall since 2012.

In 2014, non-exhibition motion picture employment declined to 2,845 in 2014, a 1/3 drop from the record high of 4,282 in 2013. The reasons for this volatility are not yet clear, but the most likely explanation is just an anomalous growth rate in 2013, which was nearly double that of the previous year. And the average growth rate since 2010 is still quite healthy at over 26%/year, more than double that of the industry nationwide (11.6%), and also well above most other states, with one notable exception…

Utah, the Beehive State (yes, I had to look that up). My preliminary glance at the data showed that Utah’s growth rate, which was astronomical in 2013 (nearly quadrupling from 749 to 3,573), declined, but still showed healthy numbers, especially per capita. 2014 saw film employment at 2,821, nearly identical to that of Georgia, a much larger state, and an average annual growth rate of over 90% since 2010. What had previously appeared to be a bizarre anomaly is clearly becoming something of a trend. Is this a Sundance thing, or something more. Any Utahns out there, please post your thoughts in the Comments section below…

Are MPIs putting Atlanta (and Georgia) on the filmmaking map?

After over ten years of movie production tax incentives (MPIs), Georgia may finally be reaping the rewards of their generous tax credits in the way of a local film industry growth. MovieMaker magazine just named Atlanta the number one city for filmmakers to live and work, and the 2013 employment numbers showed a nearly 100 percent growth from the previous year.

MovieMaker Best Places to Live

Atlanta #1 among big cities, and Savannah #1 among small ones

Atlanta was just named first among the “Best Places to Live and Work as a Moviemaker 2016: Top 10 Big Cities,” up from sixth last year, according to MovieMaker magazine this month, with Savannah coming in first among the top ten small cities (“Best Places to Live and Work as a Moviemaker 2016: Top 10 Small Cities and Towns“).

So Atlanta beat out New York, Austin, Los Angeles and Albuquerque, in the following four spots respectively. Chicago, Seattle, Boston, San Francisco and Memphis rounded out the top ten.

Atlanta’s top position was, according to the article, based on several key factors: generous 30% tax credits; a growing talent pool that increasingly includes directors and producers, as well as talent for larger on-screen roles; a hip-hop scene to rival New York and L.A.; good restaurants; affordable housing; and the fact that “217 days of the year are pure sunshine.” Another oft-mentioned factor, overlooked here, is the city’s Hartsfield Jackson International Airport, the busiest in the world.

Maybe more importantly, film employment has increased dramatically in the state. According to recent figures released from the Bureau of Labor Statistics, Georgia saw a 94 percent growth in employment in motion picture production and distribution, and a 187 percent growth since 2010.

 

MP Emp by State, 2002-2013

Source: County Business Patterns

Looking at a comparison of Georgia and 11 other states with MPIs over this period, most have stayed rather steady over the 12-year period. Utah saw a large increase in 2013 as well, but this might be a statistical aberration, given the low-level of employment in all the previous years. California and New York were left off this intentionally, since both states’ much higher overall numbers obscure the differences in the smaller states, but neither showed anything like Georgia’s growth over the last few years.

This brings up a few questions: is this meteoric rise for Georgia due mostly to the state tax incentive, or are other factors at least as important? And given the success of the industry in recent years, are incentives still necessary going forward, or could they be reduced or eliminated? Time will tell, but as a recent Atlanta Journal Constitution article indicates, the state seems committed to continued support for the incentives.