Salt Lake Tribune
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Funds sought to court Hollywood
This is an archived article that was published on sltrib.com in 2005, and information in the article may be outdated. It is provided only for personal research purposes and may not be reprinted.

An interim legislative committee is recommending tripling - to $3 million - the state's investment in a fund that gives the motion picture industry incentive to film in Utah.

The committee unanimously endorsed an appropriation recommended by an interim Tourism Task Force that has been sent to Senate and House leaders.

The task force, made up of legislators, determined the fund's limited resources enabled the state to court only one-fourth of the filming opportunities that were possible, said its chairman, Sen. Scott Jenkins, R-Plain City.

Even then, the incentive fund's $1 million brought a "huge . . . just monstrous" return to the state of $27 million. "We're turning away a great deal" of additional revenue by skimping on appropriations to the incentive fund, Jenkins added in a presentation Wednesday to the Workforce Services and Community and Economic Development Interim Committee.

The Motion Picture Incentive Fund allows production companies that film movies, television series or commercials in Utah to apply for a 10 percent rebate on costs incurred in the state.

The interim committee's endorsement also backed a task force call for the Governor's Office of Economic Development to maintain a separate line item for the Motion Picture Incentive Fund so that appropriations are not diverted to general efforts to boost the state's economy.

Task force members also suggested that money from the state's Industrial Assistance Fund, which provides aid to companies thinking about relocating to Utah or expanding existing operations here, should be available to court filmmakers considering projects in Utah - at least until the Motion Picture Incentive Fund is replenished.

They also recommended a $9 million appropriation for tourism and, once again, asked for a separate line item for tourism in the governor's economic development budget.

"I believe wholeheartedly we'll see an increase in our tourism because of this," Jenkins said.

The only piece of proposed legislation to emerge from the Tourism Task Force's yearlong study would require counties to report annually on their use of "Tourism, Recreation, Cultural and Convention Facilities" taxes.

Counties already must submit annual reports on their use of "transient room taxes," revenue derived from a 3 percent tax on hotel rooms. But there has been no reporting requirement for the TRCC taxes, which amount to up to 7 percent on short-term leases and rentals of motor vehicles, 1 percent on sales of prepared food and beverages by restaurants, and in Salt Lake County only, an additional 0.5 percent on hotel rooms.

Jenkins said the additional report, which would go to the governor's office, the legislative fiscal analyst and the counties' tax-advisory boards, should not be too cumbersome for the counties.

mikeg@sltrib.com

Money machine

The Tourism Task Force says the state can do more to promote tourism, an "environmentally friendly" industry that:

Employs almost 10 percent of Utah's work force

Attracts 17.5 million visitors annually

Generates nearly $5 billion for the state's economy

Provides $444 in tax relief per household

Filming in Utah: Lawmakers recommend tripling an incentive fund for the motion picture industry
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