Joint Legislative Budget and Finance Committee – 10:00a.m.

The committee met today to discuss its previous report, titled “Pennsylvania’s Film Production Tax Credit and Industry Analysis.” Cheryl Baxter, the Senior Vice President of Economics Research Associates (ERA),  and Wes LeBlanc, a Senior Associate of ERA, testified before the committee first. Baxter described film production as a “major economic export,” and added that a tax credit will result in a net economic gain for the Commonwealth. According to Baxter,  the film industry is  important because it has a “multiplier impact.” That is, the effect of a tax credit would raise employment, create business opportunities, and result in a positive net revenue across the entire state. Mickey Rowley, the Deputy Secretary for Tourism, testified that he agreed with ERA’s entire report and their findings. Finally Jane Saul, Director of the Pennsylvania Film Office, warned the committee that if the tax credit disappears or is significantly lower, the state will lose “$500 million in revenue, about 4,000 jobs, and unemployment costs will rise by $6 million.” Check the Capitol Toolbox later for the complete story.