213 State Capitol - PDF document

1 LSO L EGAL S ERVICES D IVISION •
LSO L EGAL S ERVICES D IVISION • 213 State Capitol • Cheyenne, Wyoming 82002 T ELEPHONE (307)77 7 - 7881 • F AX (307)777 - 5466 • E - MAIL lso@state.wy.us • W EB SITE http://legisweb.state.wy.us M M e e m m o o r r a a n n d d u u m m W W Y Y O O M M I I N N G G L L E E G G I I S S L L A A T T I I V V E E S S E E R R V V I I C C E E O O F F F F I I C C E E D D A A T T E E April 19, 2018 T T O O Joint Travel, Recreation, Wildlife and Cultural Resources Interim Committee F F R R O O M M Brian Fuller, Staff Attorney S S U U B B J J E E C C T T Topic Summary: Film Industry Financial Incentive This summary provides background informatio n on the film industry financial incentive , an interim topic that Management Council has approved for this Committee to study during the 2018 interim. Approved Interim Topic Priority No. 3 : Film Industry Financial Incentive The Committee will review and consider possible legislation for a film industry financial incentive program and the benefits of bringing film - industry jobs to Wyoming and the associated promotional and economic value of an incentive program. Background The Legislature and this Commi ttee has previously studied this issue, and this Committee has sponsored legislation for this program. In 2007, the Legislature passed House Bill 0127, which created the Film Industry Financial Incentive Program. See 2007 Wyo. Session Laws, Chapter 73 ( App endix 8 - 02 ). In summary, the 2007 bill accomplished the following: • Created a film industry financial incentive program to encourage producers and filmmakers to use Wyoming for filming and providing production services for filmed entertainment. • Designated th e Wyoming Business Council to administer the program. • P AGE 2 OF 3 W W Y Y O O M M I I N N G G L L E E G G I I S S L L A A T T I I V V E E S S E E R R V V I I C C E E

2 O O F F F F I I C C E E M M e
O O F F F F I I C C E E M M e e m m o o r r a a n n d d u u m m LSO L EGAL S ERVICES D IVISION • 213 Sta te Capitol • Cheyenne, Wyoming 82002 T ELEPHONE (307)777 - 7881 • F AX (307)777 - 5466 • E - MAIL lso@state.wy.us • W EB SITE http://legisweb.state.wy.us • Authorized the Business Council to provide a reimbursement to the makers of a qualified production of up to 15% if the production’s qualified expenditures were at least $500,000. • Authorized the Busines s Council to enter into contracts with entities for reimbursements and provided requirements for the contracts and for entering into contracts. • Provided a sunset provision where the program would be repealed on June 30, 2011. The Legislature amended the F IFI program twice. In 2008, the Legislature transferred administration of the program to the Wyoming Tourism Board. See 2008 Wyo. Session Laws, Chapter 6 ( A ppendix 8 - 03 ). In 2011, the Legislature established a separate film industry financial incentive progr am account for the previously appropriated funds, and extended the sunset date to June 30, 2016. See 2011 Wyo. Session Laws, Chapter 13 ( A ppendix 8 - 04 ). In the 2007 law, the Legislature appropriated $1,000,000 for reimbursements for the program. Generally, the Legislature reappropriated the funds in each budget bill, including this year’s budget bill for the 2019 - 20 biennium. There is currently $16,363 in the FIFI account. The law establishing the film incentive program was repealed on the amended sunset date — June 30, 2016. This Committee considered and sponsored a bill that established anew the film indus try financial incentive program; the bill was introduced in the 2017 General Session. See 2017 Senate File 0024 ( A ppendix 8 - 05 ). In summary, Senate File 00 24 would have accomplished the following: • Establish the film industry financial incentive program with the purposes of, among other things, encouragin

3 g Wyoming as a filming and production si
g Wyoming as a filming and production site and as a way to promote the state as a tourist destination; • Cr eate the FIFI account, where appropriations and all other contributions (grants, donations, etc.) would go. Funds would not revert and could be used only for the purposes of the law; • Define various terms, including what would qualify as an expenditure elig ible for reimbursement and what type of production would qualify for a reimbursement; • Authorize the Wyoming Tourism Board to reimburse up to 15% of a production’s qualified expenditures if the production makes at least $200,000 in qualified expenditures; • P rovide standards and requirements for any contract that would provide reimbursement; • P AGE 3 OF 3 W W Y Y O O M M I I N N G G L L E E G G I I S S L L A A T T I I V V E E S S E E R R V V I I C C E E O O F F F F I I C C E E M M e e m m o o r r a a n n d d u u m m LSO L EGAL S ERVICES D IVISION • 213 Sta te Capitol • Cheyenne, Wyoming 82002 T ELEPHONE (307)777 - 7881 • F AX (307)777 - 5466 • E - MAIL lso@state.wy.us • W EB SITE http://legisweb.state.wy.us • If funding is available, authorize the Tourism Board to enter into an agreement or partnership for branded entertainment or for local film production opportunities; • Provid e reporting requirements and a mechanism to deal with fraudulent claims. The 2017 law would have also amended current law to allow expenditures for local film production opportunities ( see W.S. 39 - 15 - 211; Section 2 of 2017 Senate File 0024) and would have reappropriated any remaining FIFI funds to the newly created FIFI account. LSO has also prepared a compilation of prior work on this topic, including work this Committee has done in the last couple of years considering this issue. See A ppendix 8 - 06 . This summary is meant to provide a broad and basic overview of this topic. If you have any questions, please let me know