Guild urges feds to aid film industry as budget consultations begin

As the August 15 deadline for input into the 2008 pre-budget consultations approaches this week, the Directors Guild of Canada (DGC) is urging the federal government to bolster film production in Canada by reviewing current funding policies for the industry.“We have made great progress in the last two or three decades but given the current state of the industry, due to external factors, things are not good,” Brian Anthony, CEO for DGC told Canadian Communications Reports.“We feel this is the time to strengthen federal methods to ensure a healthy industry in the future.”In its submission to the Finance committee, the DGC cited a litany of woes—among them a weak Canadian dollar and tax credits offered by some states in the U.S.—which it says are contributing to weakening film production in Canada. For years, a low Canadian dollar lured American producers to Canada, creating what Anthony describes as “a fool’s paradise”. But since the loonie soared last fall, ‘runaway productions’ from the U.S. are no longer streaming into Canada, a move he says is likely to cause a significant dent in the $5 billion-a-year industry. Runaway productions contribute about 50% of activity in Canada’s film industry.“So I think we have to re-group and re-think how we position ourselves in the international market as a place to come and shoot film and television production,” says Anthony, noting that the industry employs over 3,800 Canadians.Anthony also took issue with Bill C-10, which seeks to amend the Income Tax Act, affecting industries, funds, and individuals. The bill contains a provision with the potential to deny certification for tax credit purposes to any film production the government deems is not in the public interest. Anthony says the definition of public interest is vague and fears that it could be used as an excuse to curtail funding that does not meet the requirements of the government.“This measure has caused some financial institutions to indicate that this would discourage them from providing essential interim financing to film and television production,” said the DGC in its submission. The Royal Bank of Canada is among the industry’s big funders and Anthony says if the RBC withdraws funding because of provisions in the bill, it could be a big blow to the industry. The bill has been passed by Parliament and is currently before the senate.The Commons Standing Committee on Finance issued the call for submissions into the 2008 pre-budget consultations on June 19. Currently it has received about 600 briefs, which is in keeping with the 400 to 600 it typically receives. This year, interested parties have been restricted to one recommendation only. It’s unclear why the committee did so but this is a decision usually arrived at when committees meet in camera. Before it tables its report in November, the committee will also hold public hearings in 10 cities across Canada in October.However, the Ottawa hearing dates are likely to change to due to conflicting schedules of parliamentarians, and depending on how soon a committee chair is elected. Every fall, when Parliament reconvenes after the long summer recess, new chairs are elected for all committees.Locations and dates for regional public hearingsVancouver (October 1) Edmonton( October 2) Yellowknife (October 3) St-John’s (October 6) Moncton( October 7) Lévis ( October 8) Regina (October 20) Winnipeg (October 21) Toronto (October 22)

Guild urges feds to aid film industry as budget consultations begin

News | 08/13/2008 7:22 pm EDT

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