EDITORIAL: Movie Incentives Can Pay Dividends
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Scenes filmed from the mountains to the coast of North Carolina are exciting to moviegoers, but the result at the cash register sends an even more dramatic message to local economies and state coffers.
A movement in the legislature to increase the tax credit for moviemakers should not be dismissed as frivolous. It may take a few years for the state to realize the benefit, but despite the severity of economic conditions today, our leaders must think in terms of long-term growth and future needs.
It is clear that industrial and marketing trends are sending our economy into different directions. The days of huge manufacturing plants are long gone to Mexico, Honduras and China. Companies that once operated plants hiring 1,000 or more are closing doors and moving out. When new companies move in or expand, we're lucky if they promise a workforce of 50.
To fill the void left by departure of the big companies, North Carolina must think about workable alternatives.
The movie industry is certainly a viable resource. This has proved true in the past, and North Carolina can continue to take advantage of Hollywood interest in our state. We have beautiful scenery statewide, we have a welcoming economic environment, and we have weather conditions that are certainly adaptable to Hollywood's aesthetic standards.
The state's Outer Banks attracted filmmakers for the romantic "Nights in Rodanthe," starring Richard Gere and Diane Lane. "The Marc Pease Experience," starring Ben Stiller, was produced in Wilmington last year. However, we lost a surefire box office hit when Georgia outbid us on a film starring teen idol Miley Cyrus.
The content of movie and television fare may not always suit individual tastes, but it is a lucrative industry that brings welcome cash to local communities. Moviemaking is labor-intensive, and the host of specialists required to support each film need hotel rooms, food and other amenities. Producers often hire local residents to help out on the set or act as extras. The ripple effect can be dramatic.
If tax credit is raised from 15 to 25 percent, perhaps we should not frown on the effort just because the payoff isn't expected for a year or two. North Carolina will need all the help it can find in the future as now, and the movie industry might well be a significant part of the answer.
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