By Rep. Tim Briggs (PA 149)
For over 100 years, Pennsylvania has been home to a thriving film industry. Its impact on our culture and regional economy has never been greater than it is today. Films continue to capture the beauty of our state as well as our diversity. The partnership that we have developed with the film industry allows both our economy and the industry to grow.
The Greater Philadelphia region has been home to Oscar-winning films such as Rocky, Philadelphia, and Silver Linings Playbook. Director M. Night Shyamalan has been using southeastern Pennsylvania as the backdrop for most of his films including The Sixth Sense and Unbreakable. However, most are unaware that the origins of American film began in Pennsylvania. Even be-fore there was a Hollywood, there was Betzwood Studios.
Located along the banks of the Schuylkill River in Montgomery County and founded by film pioneer Siegmund Lubin, Betzwood Studios was, at one time, the world’s largest and most advance film factory. Lubin became the first “movie mogul” during the silent film era utilizing the studios to produce the highest quality films of that time. Lubin employed a number of engineers and designers to provide his company with new and innovative technology receiving many patents for cutting edge equipment. Some of the more popular films of that time were westerns and “Betzwood westerns” were some of the last filmed on the east coast before the film industry began to move west. Chief among these was a remake of Thomas Edison’s 1903 film, The Great Train Robbery. Sensing an opportunity, Lubin’s Betzwood Studios filmed the remake the next year so he would not have to pay royalties to Edison’s company. Parts of the studio property are now part of the Valley Forge National Park and much of the significance of Betzwood Studios has been, unfortunately, forgotten throughout history. However the studio’s materials are now maintained by the Archives of Montgomery County Community College where work to preserve the origins of the movie industry in southeastern Pennsylvania is being conducted.
The film industry continues to bring in increasing financial and cultural re-wards to our state. A major reason for this is the PA Film Tax Credit which was signed into law by Gov. Rendell in 2007. In order to qualify for the tax credit, the production must incur 60% of its total production expenses within Pennsylvania and equals a 20% reduction in Personal Income Tax, Corporate Net Income, and Capital Stock & Foreign Franchise Tax. Producing in Pennsylvania has had, since the inception of the tax credit in 2007, a $1.4 billion impact on Pennsylvania’s economy. The making of films is a large endeavor that reaches into all areas of the economy. Food industry, travel services, hospitality industry, and construction businesses all benefit from films and television shows being produced in PA. There have been numerous producers and directors that have cited the tax credit as a major reason why they decided to shoot their films in PA and, when it seemed as though the legislature was going to do away with the pro-gram, have decided to shoot in other states. The program is a win-win for both the industry and our economy and should fully be supported into the future.
Did You Know?
- Many of the horror films of director George Romero were shot in the Pittsburgh area. They include The Night of the Living Dead, Martin, and Dawn of the Dead.
- Since 2007, 355 productions have received film tax credits. They range from low budget commercials to major films with budgets of over $100 million.
- Tax credits have gone to productions such as the pilot of ABC’s How to Get Away with Murder, a Shondra Rhimes production, the movie Foxcatcher which was nominated for 5 Academy Awards, and Silver Linings Playbook with 7 Academy Awards nominations and a win for Jennifer Lawrence in the category of Lead Actress.
- SB 565 has been introduced uncapping the film tax credits. Rep. Paul Costa plans to introduce a compan-ion bill in the House. A May 2013 report from the Independent Fiscal Office concluded that uncapping the credit would have a significant positive impact on Pennsylvania’s economy.