Legislature(2015 - 2016)BELTZ 105 (TSBldg)
03/03/2015 01:30 PM Senate LABOR & COMMERCE
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| Audio | Topic |
|---|---|
| Start | |
| SB39 | |
| SB15 | |
| SB47 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 39 | TELECONFERENCED | |
| += | SB 15 | TELECONFERENCED | |
| += | SB 47 | TELECONFERENCED | |
| + | TELECONFERENCED |
SB 39-REPEAL FILM PRODUCTION TAX CREDIT
1:31:16 PM
VICE CHAIR GIESSEL announced the consideration of SB 39. "An Act
repealing the film production tax credit; providing for an
effective date by repealing the effective dates of secs. 31 -
33, ch. 51, SLA 2012; and providing for an effective date." She
stated that this is the fourth hearing and public testimony will
be taken.
1:32:17 PM
ROBERT FORGIT, representing himself, Anchorage, Alaska,
testified in opposition to SB 39. He said he has been a
professional actor since 1987. He mentioned the state's grim
financial situation and the indefinite suspension of the film
tax program and questioned eliminating it altogether. He said
the state relies on one economic factor for financial stability
and it seems logical to look at ways to diversify. He warned
that the film industry is moving elsewhere not because the
incentive program has been suspended, but because the state puts
the fledgling program on the chopping block every year. This
translates to dwindling investments and partnerships. If the
suspension is truly a financial decision, he suggested exploring
other ways to enhance revenue for the state. He pointed out that
a suspended program costs nothing and buys time, but an ended
program costs jobs. It stops a revenue stream into the state and
sends a message that Alaska is not open for business.
MR. FORGIT called on his Coast Guard background to draw an
analogy. You don't jettison the lifeboats on a sinking ship in
the belief that getting rid of the excess weight will keep you
afloat. Rather, you focus on those lifeboats to save the people
you represent. Alaska's film industry is a lifeboat, he said.
Don't jettison it.
VICE CHAIR GIESSEL invited the testifiers to submit written
testimony to Senator Costello's office.
1:35:24 PM
RONAN NAGLE, representing himself, Fairbanks, Alaska, testified
in opposition to SB 39. He related that he is a producer who
works on television productions that benefit from the tax
incentive program. The largest is called Ultimate Survivor
Alaska that in the last three years has spent millions of
dollars to hire Alaskans and vendors. He said that when he gets
paid he spends his money locally and he steers production money
to local businesses whenever possible.
1:37:32 PM
MICHAEL BURNS, representing himself, Wasilla, Alaska, testified
in opposition to SB 39. He shared an experience from 2012 when
he and another independent filmmaker were working on a feature
film to show how it benefited everyone involved. The tax
incentive program made this possible. He said his goal is to
make films in Alaska using local talent.
1:40:09 PM
LISA KRISTY, representing herself, Wasilla, Alaska, testified in
opposition to SB 39. She said she's a teamster who believes the
economy in Alaska should be diversified. The tax incentive
program provides this opportunity. To eliminated the program
altogether destroys what has been built in Alaska already.
1:42:04 PM
At ease
1:43:38 PM
VICE CHAIR GIESSEL reconvened the meeting.
1:44:06 PM
CODY LAWHORN, representing himself, Anchorage, Alaska, testified
in opposition to SB 39. He is a lifelong Alaskan who attended
school out of state and returned home to begin his career in
Alaska's burgeoning film industry. During the past year he has
been writing a scripted drama for a television series that he
plans to write, direct, and produce in Alaska. He's been working
hard to cultivate relationships with local companies and plans
to pitch his show to Net Flicks very soon. He believes the
current fiscal crisis increases the need to create the show as
soon as possible.
1:46:01 PM
BRAD SWENSON, Co-owner, Gold Ring Group, Wasilla Alaska,
testified in opposition to SB 39. He is currently in
Minneapolis, Minnesota pursuing financing for a project, part of
which will be shot in Alaska. When the story broke about the
Alaska Film Office closing, his partner in L.A. called and told
him to revise the budget to remove Alaska. He said the film
industry is about business and the films will go to the best
environment which will be based on the tax incentives. The film
that is based in Australia and Alaska will probably be shot in
New Mexico because of tax credits, he said.
MR. SWENSON suggested all Alaskans consider that the oil
industry has dominated the economy of Alaska for far too long.
It's important to stand on other industries and the film
industry is a large part of that picture. He concluded that he
does not support SB 39.
1:47:47 PM
VICE CHAIR GIESSEL closed public testimony and held SB 39 in
committee for further consideration.
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