Hartford Business Journal

4 HARTFORDBUSINESS.COM | AUGUST 7, 2023 Hollywood strikes pull the curtain on millions of dollars in CT productions By Michael Puffer mpuffer@hartfordbusiness.com R ocky Hill-based media producer Andrew Gernhard shot three different movies during the first half of this year. There was "Where Are You, Christmas?" and "Mystic Christmas," both shot in Mystic. Then he went overseas to shoot "A Merry Scottish Christmas." Each film had a multimillion-dollar budget. Gernhard, owner of Synthetic Cinema International, said his plans to produce additional movies in Connecticut this year are likely off the table, or at least severely curbed due to the ongoing strikes by actors and screenwriters. Connecticut may seem far removed from Hollywood, but the ongoing strikes shutting down televi- sion and movie productions will take an economic bite locally. "It is only July, and typically I would have had two to three more movies before year's end," said Gernhard. Now, Gerhard said he will, at most, be able to produce one more film in Connecticut this year, if the strikes wrap relatively quickly. Gernhard said his films typically have budgets of $3 million to $5 million, which is spent on payroll, hotels, catering, equipment, vehicle rentals and more. The productions feature about 10 primary actors and hundreds of background actors, with production crews of 50 to 75 people. "That's pretty significant for Connecticut," he said. Tax credit lure Movie and television productions have a considerable presence in Connecticut, fostered in part by the state's film and digital media produc- tion tax credit program. A company that incurs production expenses in excess of $100,000, may apply for a tax credit equal to 10% to 30% of production costs incurred in Connecticut. In fiscal year 2022, the state issued $129.8 million in film and digital media production tax credits, which led to 1,887 new jobs, according to the Department of Economic and Community Development. The state also offers tax credits (Left to right) Camera operator Luigi Benvisto, first assistant camera operator Paul Stenko and Director of Photography Branden James Maxham on the New London set of "The 12 Days of Christmas Eve," in 2021. The movie was produced for Lifetime by Rocky Hill-based Synthetic Cinema International. PHOTO | CONTRIBUTED for film production infrastructure and digital animation. There has been debate about the economic effectiveness of the state's film tax credit program, which has awarded over $1.5 billion to the film, television and digital media industry since its 2007 inception. In fiscal 2022, the film and digital media production tax credit essentially broke even, generating $35.6 million in estimated state tax revenue, but costing the state $34.6 million in tax revenue. The film infrastructure tax credit cost the state $11.5 million in fiscal 2022. Strike impact Television and film writers in the Writers Guild of America went on strike against major studios in May. Actors in SAG-AFTRA followed suit in July, with major points of contention including ongoing payments from streaming platforms and the use of artificial intelligence in productions. George Norfleet, director of the Connecticut Office of Film, TV & Digital Media, said the strikes have halted at least three productions in Connecticut, and could dry up the development pipeline that would bring future projects to the state. While it's too early to gauge the overall economic impact, Connecticut is "not immune by any stretch of the imagination" from the strikes' impacts, Norfleet said. Building Ideas That Work... Building Ideas That Work... Contact us at 860.482.7613 or visit us at BorghesiBuilding.com 2155 East Main Street Torrington, Connecticut 06790 © 2011 BlueScope Buildings North America, Inc. All rights reserved. Butler Manufacturing ™ is a division of BlueScope Buildings North America, Inc. Whether you are a manufacturer or distributor, Borghesi Building & Engineering Co., Inc. will guide you to provide the best solution for your facility. Providing quality and reliability with design and energy efficient construction. With over 80 years of experience our processes will help your dream to be realized. ATLANTIC STAR NAPOLI FOODS WHOLE FOODS

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