Michigan greenlights incentives to lure Hollywood to Mitten State

Moviemaking in Michigan got a boost recently when the governor approved legislation offering incentives to filmmakers who bring their productions to the Mitten State.

Over the last several years, high profile projects like the Assault On Precinct 13 remake and Detroit-native Mike Binder’s The Upside Of Anger have been shot elsewhere, even though their stories were set locally.

In anticipation of increased interest in local film production, a regional film office has been established for SE Michigan with the support of the Detroit Metro Convention and Visitors Bureau.

The Michigan Film Production Incentive Package, approved last week, provides production companies a graduated series of tax rebates based on total production cost. The incentives start at 12% for productions of $200,000 and can reach as high as 20% on films that exceed $5 million. The bill has a 4-year sunset provision and a state-wide annual credit cap of $7 million.  

With regard to increasing the cap, Rep. Bill Huizenga (R-Zeeland) the bill’s sponsor says, “If we can show that there’s interest, I’ll approach my colleagues in the governor’s office and say, how can you say no?”

Feature films commercials and television productions are all eligible under HB 5204 but news and sporting events would be excluded. While $200,000 may seem high for most commercial budgets, the Michigan Film Office says that it is considered an annual cumulative.

Michigan’s incentive bill takes its cue from successful legislation in Illinois, New York, Louisiana and New Mexico. Michigan Film Office director Janet Lockwood says Illinois saw film-related revenue increase from $25 million to $100 million within a year of offering similar incentives.

Sources:  Michigan.gov, Michigan Film Office