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Front Page March 22, 2006  RSS feed

Keep The Cameras Rolling

BY JOHN TOSCANO

Gazette archives Kaufman Astoria Studios Gazette archives Kaufman Astoria Studios The crisis that surfaced recently regarding whether the Bloomberg mayoral administration will rein in the successful state-city film and television industry tax rebate program has already been settled at the state level with Albany legislators agreeing to continue funding and expanding the effort.

It would appear that the Bloomberg administration will have to find a way to address its concerns about the program because city legislators are gung-ho about it and ready to act independently to continue it.

Telephone interviews with key Queens legislators in both parties indicate such strong support for the tax rebate initiative that the mayor will face severe criticism if he doesn't get on board.

State Senators Frank Padavan and George Onorato, Assemblymembers Michael Gianaris and Catherine Nolan and City Councilmembers David Weprin and Tony Avella all voiced strong support for the program, citing its many economic benefits, not only for the film/tv industry, but also for local businesses and finally the city administration.

Padavan, one of the leading Republicans in Albany, told the Gazette: "The issue has already been addressed in the budget and we're proposing lifting the cap. The budget we adopted in the senate last week will resolve the issue for us."

Padavan (R-C, Bellerose) said officials from Kaufman Astoria Studios in Astoria and Silvercup Studios in Long Island City had visited the capital last week to urge continuation of the program, "and the Silvercup guy seemed very happy with the way the issue will be resolved," Padavan said.

On the Democratic side, Onorato (D-Astoria), declared, "I'm all for it. We started this and it's brought lots of business back to the city, so we don't want to lose the incentive now. We have discussed it in the Democratic conference and are finalizing a position. My advice to the mayor is, support it, it's a boon for the city."

Since the program's inception about two years ago about 10,000 jobs have been created. The number of days of production shooting in the city has more than doubled and the number of television pilots rose to 14 in 2005.

Basically a state-created program which the city can join by providing funding for it independently, the tax incentive provides a 15 percent tax credit on most production expenses. The city had provided $50 million over four years initially, but the program has been so successful that the funds were used up in 13 months.

The state originally allotted $125 million over five years, but Governor George Pataki is strongly in favor of extending it and giving it permanent status on an annual funding basis.

According to Onorato's office:

+The governor's present budget proposal would provide $30 million annually, adding $5 million a year.

+The Assembly proposes a $7 million increase, raising the annual funding to $32 million, but only for three years.

+The senate plan calls for a $70 million increase annually, to bring the new allocation to $95 million a year.

The varying plans are now being discussed in a budget conference committee. What is finally in the budget will require agreement from Pataki, senate Majority Leader Joseph Bruno and Assembly Speaker Sheldon Silver.

The mayor, meanwhile, is considering changes in the program to get more control

over the city's ultimate expenditure. One concern is that several recipients of the city benefit, such as "The Sopranos" and "Law and Order" are getting too much of the pie. But in trying to rein in these major players, the city must be mindful that it can lose them to other cities.

Gianaris, one of the original sponsors of the program, declared he is still a big advocate for continuing and expanding it.

Noting that it had created "so many jobs," the Astoria lawmaker, a sponsor of the original legislation, said he was concerned, "If we don't take action to continue the program, [the shows and films] will run away from us."

Echoing Padavan's remarks, Gianaris predicted, "The state is going to expand it, I'm sure of that, even if the city doesn't go along with it. But I think it will."

He noted, "It's basically a state program. We set the rules and the city can choose to join it, but it can't change the rules."

Nolan stated, "The program has been very good for Queens, so it should be continued and perhaps expanded. It has been great in expanding jobs for young people and many schools are beginning to offer film and TV courses."

Weprin also cited the program's economic benefits for the city and noted that for a relatively modest expenditure, we're getting a lot out of it.

The Hollis lawmaker said the Bloomberg administration will have its own decisions to make, "but I'm sure the city council will be ready to renew it if the mayor decides not to. That certainly would be my position, and I think the council will back me up on it."

Avella said the city should continue to expand it. "In the end, even though the industry is getting a benefit out of this, the city also gets a big benefit, too."

This is a way for the city to continue rebuilding its economic base, which has been hurting and is still trying to recover from losses the city experienced in the past, Avella explained.

"We should be doing more to attract industry, and the tax rebate program is a proven example of what we should be doing," Avella added.