Maine's visual-media industry strong and varied, but needs better financial incentives, research shows
08/05/2008
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Maine's visual-media industry - including motion pictures, television, broadcasting, video and photography - brings hundreds of millions of dollars to Maine and is a significant force of Maine's Creative Economy, new research has shown. But researchers also recommended that Maine adopt better financial incentives to help the industry grow.
"This study clearly shows that the visual-media industry is vital to Maine's economic success now and in the future," said John Richardson, Commissioner of the Maine Department of Economic and Community Development (DECD).
Maine DECD commissioned the study early this year. Researchers worked closely with the Maine Film Office, a division of Maine DECD. The Maine Film Office enhances Maine's economy by facilitating and promoting film, television, photographic and emerging-media production. The research study was co-authored by Robert Whelan and Alec Josephson, two economists from ECONorthwest, an Oregon-based research firm. The company has done similar studies in the Pacific Northwest.
Maine's visual-media industry produced a direct economic impact of $371 million. The total economic impact of the industry, which includes direct, indirect and induced spending, was almost $630 million.
By assessing the most recent available data, which is from 2005, the study shows that the four components of the visual-media industry contribute the following to Maine's economy:
* $24.6 million directly from the indigenous film and video production sector;
* $325.7 million directly from the indigenous television, cable and Internet broadcasting and distribution sector;
* $13.4 million directly from the indigenous commercial photography sector;
* $7.2 million directly from the out-of-state film, video and commercial photography sector.
For each $1 million spent in Maine by out-of-state visual-media productions, about $150,000 in state and local government revenues are generated.
The Maine Attraction Film Incentives Program, approved in 2006, was designed to help in-state production as well as to attract out-of-state productions. The research surmised that those incentives are modest for attracting out-of-state feature films, given that competing states and countries have much larger incentive programs. Researchers also said Maine continues to have a strong visual-media industry.
Maine should expand its visual-media incentives, researchers said. In addition, Maine could offer special incentives to those projects that feature Maine prominently and which mention the state. Research indicated that such exposure would have a very positive effect on tourism.
To download the research study, go to the Maine DECD website at www.econdevmaine.com/resources and look for the report under "Maine Film Office Research on Visual-Media Industry in Maine."