March 27th 2013 ¢ Over the Edge FINAL CUT FOR YEARS, B.C.’S REPUTATION AS HOLLYWOOD NORTH HAS G JULIAN LEGERE CAPILANO COURIER (CAPILANO UNIVERSITY) NORTH VANCOUVER (CUP) — If there’s one group that you can be sure has passion, it’s artists. That’s likely the reason why a rally two months ago at North Shore Studios drew over 2,000 people, some reports had attendance as high as 4,500 — who all gathered to hear industry experts and lobbyists speak about recent efforts made to demand action from the B.C. government to save the film industry. The New Hollywood North Save B.C. Film, the lobby group that organized January’s rally, has been advocating on behalf of an estimated 25,000 industry professionals whose livelihoods they claim are being threatened by increased government support for the film industry in Ontario and Quebec. The first concern is the loss of foreign, namely American, film productions, the presence of which in the past earned Metro Vancouver the moniker “Hollywood North.” Currently, the B.C. Production Services Tax Credit offers a credit of 33 per cent of BC labour expenditures only, whereas Ontario and Quebec offer a 25 per cent credit on all production expenditures within each respective province. In 2011, B.C. fell to the fourth-ranked production centre in North America, behind Ontario. Industry advocates, including those present at the rally in January, are calling for policy changes in order to keep B.C. competitive. Peter Leitch, president of North Shore Studios, advocated at last month’s rally for an “All Spend Policy” that would give foreign productions tax breaks on all production spending within B.C., the same policy currently in place in Ontario and Quebec, rather than solely labour spending. Premier Christy Clark defends the current policies, describing B.C.’s current $285 million tax credit as “generous.” She goes on to call the increased tax credits in Ontario and Quebec as a “race to the bottom,” and makes it clear that she has no intention of allowing B.C. to engage in that race, a view reflected in her government’s recently released budget. Industry members contest the idea that increasing B.C.’s investment in the industry would create that kind of bottomless climate because according to Brian Hamilton, a vice-president at Omnifilm, American productions prefer B.C. due to its better infrastructure and talent pool. Leitch says that American clients who have worked with North Shore Studios have told him the same things: “We don’t need to match Ontario and Quebec, we just need to be competitive,” he explained to the rally crowd. Home-grown films The second concern is the loss of domestic film production. Currently, B.C. gives tax credits to domestic productions, to the tune of 35 per cent. In 2009, Quebec and Ontario both raised their incentives to match that 35 per cent. According to Jackson Davies, vice- president of the Union of B.C. Performers and an instructor at Capilano University, B.C. saw about $500 to $600 million worth of domestic film production annually prior to 2009, but since Ontario and Quebec increased their domestic productions tax credits, that number has fallen to about $200 million. Davies also worries about the long term implications of the $300 to $400 million loss triggered in 2009, because the lack of productions causes a loss of film industry infrastructure, including facilities like studios and editing suites. “Once all the infrastructure is gone from the community, they have to shut down or move to Ontario,” he says. Once that infrastructure is gone, and the talent moves to the East, there’s even less incentive for revenue and job generating American productions to come to B.C. Aaron Stewart, an acting student at Capilano University, says that he sees the decline of the film industry in B.C. as an enormous obstacle to his future career. “T fear that my three to four years of intense schooling won’t be put to good use when there are so few jobs. And on top of that, I fear that I may have to pack up and move to a new city, hell, even a new country, to get work.” Cultural economy The film industry as a whole is a hugely important component of the B.C. economy, employing an estimated 25,000 people and bringing around $1.2 billion worth of revenue into the province annually, but it’s not just the financial benefits that members of the film industry are fighting for. Citing his long-running hit TV show The Beachcombers, filmed in Gibsons, as an example, Davies describes the importance of domestic productions not only for their direct investment into local economies, but also for the increased tourism. “All around the world, they see the beauty of B.C. We get to tell our stories. That’s not just a business investment, that’s a cultural investment.” Stewart agrees that the film PE #SAVEBCFILM industry is important both for its economic and its cultural benefits, and that the B.C. Liberal government should be doing everything it can to encourage the industry’s growth. “It seems counterproductive to not continue investing. It creates tourism opportunities and it allows actors and other artistic people the chance to actually pursue what it is they love.” Misgivings and misperceptions Some of the Save B.C. Film advocates have claimed that there is a public misconception concerning the need for tax breaks for big budget American films. “Tax credits are not paying for Brad Pitt’s million dollars to come here,” Leitch reminds the crowd at January’s rally. The current tax policies reflect that, since only monies paid to B.C. residents or companies are eligible for the tax breaks. Along the same lines, Davies emphasizes the nature of the provincial government’s investment. “It’s not a subsidy,” he explains. “The B.C. government doesn’t write a cheque. There has to be money generated in order for money to be refunded.” This point is reflected in the comments of the other advocates at January’s rally. “We are an industry, not a special interest group,” someone points out during the question and answer session, and Paul Klassen, senior business representative for IATSE, the film and theatre technicians union, agrees: “This is about the economy of B.C.” Taking action, searching for solutions As part of the Save B.C. Film campaign, a petition circulating online has gained over 30,000 signatures, and a poll funded by the Motion Picture Production Industry Association of B.C. has reflected fairly strong public support as well. According to the report, 56 per cent of British Columbian adults believe the province should “encourage strong growth” of the film industry, putting it in second, behind the tourism industry with 67 per cent in favour of strong growth. In addition to more funding for tax incentives, industry leaders such as Brian Hamilton would like to see B.C. create some sort of body to liaise between the government and the film industry, similar to the Ontario Media Development Corporation (OMDC). “Where is our ministry?” he demanded at January’s rally, to rousing applause from the crowd. The OMDC is an agency of the Ontario Ministry of Culture and Tourism, and their mission statement describes them as “the central catalyst for Ontario’s cultural media cluster. It promotes, enhances and leverages investment, jobs and original content creation.” The OMDC oversees distribution of much of Ontario’s media related arts funding, including their film tax _ incentives. According to Hamilton, the creation of a similar agency in British Columbia would provide the creative industries with a “one stop shop to address our needs.” B.C. NDP leader Adrian Dix has expressed support for a ministry for the creative sector, though neither his party nor anyone from the industry seem to have a viable plan as to how that would work or how much it might cost. Meanwhile, Clark has been promoting the potential benefits of her government’s attempts to strengthen ties between B.C. and the Indian film industry. The government invested $11 million dollars to secure a deal that will bring the Times of India Film Awards to Vancouver in April. The deal also guarantees at least one Indian film production coming to B.C., and Clark hopes that that is going to be the beginning of a long, profitable trade relationship between B.C. and India, rooted in the film industry. Ultimately, the implications of a declining industry would be undeniable. “I know acting is a risky profession to go into,” Stewart laments, “but this just makes it even harder to secure a living doing what I love.” As the debate continues to rage, and with a provincial election rapidly approaching, the future of the B.C. film industry seems precarious. Many are waiting to know if they’ll be hearing a call of “action” or “c