In an economy where manufacturing and service-related jobs and careers are being lost due to businesses closing or outsourcing, the film and media industry can be the solution for economic development and job diversity. The motion picture and television industry is a significant tax revenue generator. In 2008, it generated $15.7 billion in public revenues in the United States. This included $12.9 billion in income taxes at the federal level, including unemployment, Medicare and Social Security, $2 billion in income taxes at the state level, along with sales taxes on goods. The industry is one of the most highly competitive around the world, one of the few that consistently generates a positive balance of trade in practically every country in which it does business. (Motion Picture & Television Industry Contribution to the U.S. Economy (Supplementary Report April 2010)

Currently 46 states and 19 provinces and countries compete for motion media production that brings millions of dollars into their economies. There are many success stories including neighboring states Utah, Washington and Oregon.

The film and media industry effect on other industries can be substantial; multipliers reflect the underlying economic reality that increase spending causes "ripple effects."

For example, a film production will increase the incomes of hospitality providers, suppliers of raw materials, equipment rental firm, real estate organizations, just a small sampling of the many industries that could benefit.

There is another very recent example of the financial impact of film. The motion picture "Eat, Pray, and Love" which stars Julia Roberts and opened Friday (a film about self-discovery, filmed in Italy, India, and Bali). Home Shopping Network had a weekend celebration about the film, showcasing artisans' products from these regions.

Long-term benefits for supporting and sustaining film in Idaho, especially North Idaho are the creation of a new industry and jobs. These are not just temporary jobs related to the actual production of a film, but come in the form of attracting and growing new companies and permanent jobs across the board to support the film and media industries.

That translates to new money and new tax dollars in Idaho.

Wage and salary employment in the motion picture and video industries is projected to grow 14 percent between 2008 and 2018 (U.S. Department of Labor Dec 2009), compared with 11 percent projected growth for wage and salary employment in all industries combined. Job growth will result from the increase in demand for programming needed to fill the rising number of cable and satellite television channels both in the United States and abroad.

The state of Idaho passed HB 592 and it was signed into law by Gov. Butch Otter, unfortunately due to the economy it was not funded. The law would have provided for economic stimulus and workforce development for Idaho. The important aspect of this legislation is that productions must spend in Idaho first, and upon satisfying the legislative requirements then the production would receive the rebate. The bill was intended to be funded at $1 million each year for five years. The bill would require hiring a minimum 30 percent of the crew from Idaho. In 2009 it was also unfunded due to the economic situation. The law will sunset in 2014.

In the 2010 session the Legislature by a 35-0 vote in the Senate and 69-1 in the House passed House Bill 525. The legislation was signed into law by Gov. Otter on March 25. It took effect on July 1. The legislation amended the original law to include additional sources of funding, which includes grants, federal moneys, donations and funds from any other sources. Idaho is one of the few states that has this option.

Recently the Idaho Film Office sponsored a grant program to assist the growing film making/new media workforce in Idaho through hands on production experience. There is not new funding involved that would go into the program. Funds previously allocated to the film office would shift to this plan total funding $20,000

Film and media is a solution for economic development.

Russ Simons is co-chairman of the Idaho Film Advisory Committee.