FOR IMMEDIATE RELEASE: September 12, 2003
Contact: Drew Goesl (202) 224-4843 

Lincoln Bill Would Boost U.S. Independent Film Production

Washington – U.S. Senator Blanche Lincoln has reintroduced legislation that would protect low-budget and independent film producers in this country.

Lincoln introduced similar legislation in July 2001.

Lincoln's bill, the U.S. Independent Film and Television Production Incentive Act of 2003, would address the problem of "runaway" film and television production by creating a targeted wage tax credit for low-budget independent productions filmed in the U.S. "Runaway" films are the growing number of films that would normally be filmed in the U.S. but are filmed in foreign countries due to tax incentives which are more cost-effective for independent producers.

"Over the past decade, production of American film projects has fled our borders for foreign locations, a migration that results in a massive loss for the United States economy," Lincoln said. "This legislation will encourage producers to bring feature film and television production projects back to cities and towns across the United States. These productions have ripple effects on local communities with revenues and jobs generated in a variety of other local businesses."

Lincoln said her legislation is as an economic development tool for states like Arkansas. A recent report by the United States Department of Commerce estimated that runaway production drains as much as $10 billion per year from the United States economy. These losses have been most pronounced in made-for-television movies and miniseries productions. According to the report, out of the 308 U.S.-developed television movies produced in 1998, 139 were produced outside the U.S. Only 30 U.S. films were produced abroad in 1990.

The report makes a compelling case that runaway film and television production has eroded important segments of a vital American industry. According to official labor statistics, more than 270,000 jobs in the United States are directly involved in film production. By industry estimates, 70 to 80 percent of these workers are hired at the location where the production is filmed.

Lincoln's legislation would provide a two-tiered wage tax credit (equal to 25 percent of the first $25,000 of qualified wages and salaries and 35 percent of such costs if incurred in a "low-income community") for productions of films, television or cable programming, mini-series, episodic television, pilots or movies of the week that are substantially produced in the United States.

Arkansas' cinematic history includes the opening scenes of "Gone With the Wind," and civil war epics like "The Blue and the Gray" and "North and South." It also includes "A Soldier's Story," "Biloxi Blues," "The Legend of Boggy Creek," and "Sling Blade," an independent production written by, directed by, and starring Arkansas' own Billy Bob Thornton.

More recently, Arkansas has hosted other film productions including the soon to be released film "Chrystal," staring Billy Bob Thornton, filmed in Eureka Springs, along with John Grisham's made for television movie "A Painted House," filmed in Lepanto and Clarkedale.