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Hard-hit Michigan lures Hollywood

Fosters jobs, revenue

By Andrea Billups (Contact) | Wednesday, January 14, 2009

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LANSING, Mich. | Lights, cameras, Michigan? Some are wondering whether the economically beleaguered state could well become the Tinseltown of the Midwest.

While Michigan may be bleeding automotive jobs amid the U.S. industry's financial meltdown, some of those positions could be replaced by skilled work in a newly flourishing film industry, which has been quickly building steam over the past 10 months.

The state is offering one of the nation's top tax incentives for movie and television projects shooting within its borders, and they're off to a jackrabbit start. Clint Eastwood's critically praised "Gran Torino," - a likely Oscar contender - shot to No. 1 at the box office with a $29 million haul over the weekend, its first weekend of full release.

Drew Barrymore's much-anticipated roller-derby comedy "Whip It," yet to be released, also took advantage of the state's financial incentives.

These movies, filmed in Detroit and on location across Michigan, are helping to raise the state's profile as an emerging hotbed for budding filmmakers, production companies and acting talent, all looking for a place to shoot that offers more bang for their budgets.

A new $100 million film production studio could be up and running near Detroit by year's end, creating a projected influx of about 3,500 jobs that are desperately needed as manufacturing work here continues to falter.

Since Gov. Jennifer M. Granholm, a Democrat, signed a bill in April offering up to 42 percent in tax credits for film projects shot in Michigan, more than 70 productions have been completed or are under way, said Tony Wenson, chief operating officer at the Michigan Film Office.

He views his home state's moviemaking future as no quick panacea for its significant economic woes, but promising nonetheless.

"What we have seen since the governor signed this bill is incredible in how quickly the momentum for this has developed," Mr. Wenson said. "It's bringing in jobs and helping to create a new industry for economic development and an instant influx of cash into our economy."

The tax incentive covers interactive game development as well as movie production. The game component, he said, is a $100-billion-per-year industry that has shown 11 percent to 17 percent growth annually. The film business brings in $40 billion annually in revenue with a growth rate of about 7 percent.