re: #349 Naso Tang

Every analysis of tax breaks for business startups (or moves to an area) that I have read, going back decades, end up a net cost to the region by the time the politicians have left their posts. The costs per job created are usually several times the new salaries.

Movie business could perhaps be different in some way, but probably somebody in Colorado doesn’t think so.

We’re not talking “start ups.” We’re talking about established movie and TV production companies, who come to the state and spends millions of dollars. Many states offer these companies tax breaks on the sales and service taxes for renting equipment, lodging and other large business expenses.

I’ll give you an example. Back in the 90’s, when NBC was in town filming the 4 hour made for TV movie “Asteroid,” they were in the Denver area for 4 months. Employed over 2000 people total, that included on screen local talent, crew, catering and so on.

They spend about 5 million dollars in state on services. That’s all a win-win, because that money gets spread around, taxes get paid on that money in state income tax, sales tax and so on.

We were giving production companies breaks on taxes and fees in the 90’s. We had an average of 3-4 major productions in state every year.

Now.. nothing… that’s can only be a loss to the state.