Volume 4, No. 22
May 13, 2005
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  SCAD president supports entertainment act

By Rebecca Greenspan

Savannah College of Art and Design President and Georgia Film, Video & Music Advisory Commission member Paula S. Wallace announced her support for HB 539, the Georgia Entertainment Industry Investment Act. The act, which has been passed by the Georgia legislature and signed into law by Gov. Sonny Perdue, is intended to provide income tax credits for certain entertainment industry production investments.

“As an educator in the fields of film, television and digital media, and on behalf of the Georgia Film, Video & Music Advisory Commission, I congratulate the legislature for moving this important act forward. It is imperative to the future of the state’s film and television industry and to talented young college graduates seeking to stay in our state and find careers in their fields of study,” said Wallace.

Georgia once was a prominent location for the production of film and video projects because of the state’s natural beauty, diverse landscape, architectural heritage, professional workforce, favorable business climate, transportation access and quality of life.  Some of Hollywood’s most memorable movies, such as “Forrest Gump,” have been filmed here. Since 1973, more than 500 feature film and television movies and thousands of commercials have been based in Georgia, resulting in more than $3 billion in economic impact.

“However, the number of projects produced in Georgia has dramatically decreased in recent years because of incentives and credits offered by other states and countries,” said Wallace. “Through the development of carefully crafted, targeted incentives, the State of Georgia stands to benefit from job creation, material and service expenditures, and investment, thus generating tax revenue and long-term gains that come from local, self-sustaining industry. The legislation is structured so that no credits are allowed until a company invests in our state.”

Louisiana’s state legislature passed a bill similar to HB 539, causing that state’s film industry revenue to jump from $20 million in 2002 to more than $200 million in 2003 and more than $335 million in 2004. “Ray,” the recent Oscar-winning film about the life and music of Georgia-born performer Ray Charles, was filmed in Louisiana. Florida, Illinois, New Mexico and South Carolina also have passed legislation comparable to HB 539.

“Now that the industry has an agreeable atmosphere in which projects can be shot with a minimum of red tape, studios and production companies will actually look for projects to shoot here,” said Chris Auer, chair of film and television at SCAD. “When that happens, the industry will be in the state on a consistent basis, and therefore it will be reasonable for our students to have full-time careers in Georgia.  A large base of employable artists and technicians is very attractive to the industry. Knowing that they can crew their projects makes it easier for studios to decide to shoot here. It’s a scenario where one factor builds on another and another.”

The act’s immediate aim is to support traditional film and video companies. It provides incentives for them to come to Georgia, but it is different from similar measures in other states in that it also lays the foundation for the next generation of entertainment companies, including independent films, animation, game design, music videos, commercials, documentary films and training films.

Peter Weishar, dean of the SCAD School of Film and Digital Media, said, “The next generation is so important because there is greater revenue and job potential to the state in those areas than in film and television alone.”

As an example, Weishar noted that the Oscar-nominated film “Sideways” started life as an independent film. It was shot on a budget of less than $16 million, and, as of March 6, had earned more than $66 million. Other independent titles include “Garden State,” which was made for $2.5 million and netted more than $26 million, and “Napoleon Dynamite,” which was made for few hundred thousand dollars and netted more than $44 million.

Weishar also pointed out that fully animated films utilize many of the skills and education emphasized at SCAD and public universities in Georgia, including 3-D, visual effects and sound design, and those films generate hundreds of millions in revenue for new-generation studios such as Pixar, Blue Sky and DreamWorks Animation. Pixar’s recent blockbuster, “The Incredibles,” generated more than $260 million in movie theaters and sold more than 5 million DVDs, making it one of the fastest-selling DVDs in motion picture history.

Finally, game development and its product integration with popular music and famous voices are growing rapidly and are very profitable. Sales of video and computer games last year in the United States reached nearly $7.5 billion. Revenue from major interactive video and computer releases often surpasses revenue from major film releases.

“The interactive entertainment industry is growing at breakneck speed, with industry forecasts ranging between $30-55 billion globally. Georgia is ripe for attracting the interactive entertainment companies. Cities such as Austin, Boston, Los Angeles and San Francisco are burgeoning with these companies. Texas has passed legislation that has helped attract companies,” said Josephine Leong, chair of interactive design and game development at SCAD. “In the Forbes 2004 list of ‘Best Places for Business,’ Atlanta is ranked fifth, only two positions behind Austin. Athens, Savannah, Macon and Augusta all rank within the top 100 cities.”

To encourage, support and bring together the interactive entertainment industry in Georgia, SCAD and  Thomson Course Technology co-sponsored the Game Developers eXchange 2005, May 6, at the college’s new SCAD-Atlanta facility, 1600 Peachtree St. The free, one-day event was a huge success, bringing in more than 400 participants from around the country to learn how to break into the industry. The conference featured six professionals in a variety of sessions and tracks, including Les Pardew, president of game design company Alpine Studios, and Mike Wikan, SCAD alumnus and senior game designer at Retro Studios, a Nintendo company. Online registration at www.scad.edu/gdx  closed early due to the great demand.

As the interactive entertainment industry brings in more than $73 billion a year and grows annually, career opportunities are becoming increasingly available in Georgia.

“There is no reason why cities in Georgia should not become hubs for the interactive entertainment industry, since criteria cited include the availability of an educated workforce, closeness to universities and the lower cost of living. SCAD is the largest art college in the United States with more than 7,000 students and approximately 2,000 students in the School of Film and Digital Media. Most of our students who end up in the interactive entertainment industry leave Georgia,” said Leong.

Keeping great talent here is one of the long-term goals of this legislation. Just a few SCAD alumni who have left the state are Joshua Buck (M.F.A., computer art, 1998), who works at Stainless Steel Studios, a game development and game engine company in Cambridge, Mass.; Joseph DiLallo (B.F.A., computer art, 1997), technical director at Sony Pictures Imageworks in Culver City, Calif.; and Bryan Godwin (B.F.A., computer art, 1998), vice president of animation at Charlex Inc. in New York City. All of them said they would have preferred to stay in Georgia if they could have pursued similar opportunities here.

“Here at SCAD I have the pleasure of working with faculty, staff and students with immense talent and experience that would make them an asset in any production environment,” said Weishar. “There is no real reason anymore why animation, interactive and visual effects studios need to be located in New York or L.A. Georgia has already shown that it is an excellent location for shooting film. Now that the tax incentives are implemented, the state will no doubt see the emergence of a digital media entertainment industry as well.”

“It is important for state taxpayers to know that this bill does not require direct investment or improvements from state funds,” said Wallace. “The fiscal and economic payback to the state is immediate and happens within a single year.”


About the Georgia Film, Video & Music Advisory Commission

The Georgia Film, Video & Music Advisory Commission consists of industry, civic and community leaders appointed by Gov. Sonny Perdue to provide oversight and guidance for growth and expansion of the entertainment industry in Georgia.

Greenspan is assistant director of public information at SCAD.



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