Florida’s legislators are considering discontinuing or reducing that state’s film subsidies. The grassroots activism group Americans For Prosperity Florida asked me as president of the Rio Grande Foundation of New Mexico, one of the most generous states in the nation in terms of film subsidies.
I wrote a guest post that can be found here for the AFP Florida blog.
5 Replies to “Florida reconsidering film subsidies: Gessing weighs in on New Mexico’s experience”
I have always wondered why NM zeroed in on that particular industry as it’s pet project. I remember several years ago, NM was trying to woo some solar company here and offering many incentives. I cannot remember the name of the company, but they needed lots of land and sun as they were actually going to collect energy. I was astounded that we would offer them anything, they should have paid us to use the public land. I mean, who has more vacant land and sun then we do?. The deal fell thru anyway.
Bottom line is that we should not pick and choose businesses to support, we should be incentivizing all business and industry by having skilled workers (good education and facilities), low taxes, and yes, RIGHT TO WORK. We already have a beautiful state, great weather, great people, and many other assets.
Paul, good article for the Florida publication. The point about the rebate, which is not a tax rebate but an expenditure rebate, is right on point. Few people understand that because of the way film and TV productions are structured, they seldom make money and therefore the production companies do not pay much business tax. When I was once challenged about my opposition to the film incentive program, the individual was surprised to learn that 25% of her salary as an actress was being paid by taxing NM residents. It’s fun to have Hollywood folks here and to see NM scenes in the movies, but the type of movies produced reflects poorly on NM and takes money from other important needs.
Thank you Jim. We are going to keep educating New Mexicans on the problems with these and other special-interest subsidies. Perhaps when we have a more sane Senate, we can address some of these knottier issues. In the meantime, we just need to get policies in place that promote private sector economic growth. I thought the House did a great job on that this session. Hopefully New Mexicans are paying attention.
Why does New Mexico subsidize Hollywood? the answer is simple….they’re the ones buying the multi-million $$$ trophy houses in Santa Fe and filling them with expensive art purchased (i.e. 1 piece = easy $50K) on Canyon Road. Follow the money, chumps.
Excellent article, Paul. You make the ‘cerebral case’ very well. B
Thanks, yes, I was making the intellectual case. Presumably the folks down in Florida care a bit more about those things than they do in Santa Fe.