S.C., Fla. both want slice of movie-making pie

It's a high-stakes survival story that could've been scripted straight out of Hollywood. Only in this case, it's written specifically for Hollywood.

Just as House Speaker Bobby Harrell was making his push to up the financial ante to woo more movie business to South Carolina, along comes Florida with its own competing plan.

Sunshine State Gov. Charlie Crist last week proposed to increase his pot of film incentives by about 38 percent, to $40 million.

For perspective, that's about one-third of what Forbes magazine estimated uber-producer and director Jerry Bruckeimer of "Pirates of the Caribbean" fame eked out between June 2006 and June 2007.

Crist isn't the only politician with stars in his eyes. At the same time, lawmakers in Columbia were proposing to beef up their own inducements in an effort to spin some more gold from the silver screen.

In his role as lead director, Harrell said Tuesday that he will introduce legislation to expand wage rebates that film producers can claim for using both in-state and out-of-state workers. He also wants to create an apprenticeship program so residents can gain experience in the film-making process.

"We have lost our competitive edge in an industry where tax incentives make or break deals," Harrell said.

His goal, basically, is to undo the decision by the state Commerce Department to curtail the state's tax breaks for the film industry. The economic development agency and Gov. Mark Sanford have argued that the state wasn't getting a fair return on its investment from Hollywood and the incentives were not set up in a way to encourage the hiring of South Carolina residents.

The state passed a film incentive package just three years ago, a move that Harrell's office said helped lure nine feature films, a TV series and a TV pilot. Since the incentives were changed last summer, just one new TV pilot has been shot in South Carolina. (Some argue that the recently resolved writers' strike played a role in the sudden downturn.)

Like South Carolina, Florida touts the economic impact that the transient film-making business generates, estimating the industry returns $6.50 to state and local coffers for every $1 spent on incentives, partly because the making of movies requires not only crews but hotel rooms, caterers and other businesses. By that math, a $40 million pool would ripple to about $260 million. Little wonder so many star-struck states are falling over themselves to chase the business.

Whether Florida can come up with the additional dough remains to be seen. No legislation had been filed as of last week, and the state has bigger financial fish to fry as it tries to cut as much as $2.1 billion from its budget.

Recession schmecession

State Secretary of Commerce Joe Taylor paid a visit to Lowcountry business leaders last week at the monthly Charleston Regional Development Alliance board meeting, where he served up a heaping helping of encouragement in the face of economic worries.

Despite talk of the dreaded R-word, Taylor said many people in South Carolina "still feel the momentum" of the local economy and haven't lost faith in the Palmetto State's overall market strength.

"When people are confident in the local economy, they will invest in the local economy," he told The Post and Courier after the meeting. "Whether it's adding on to a business or buying new business equipment, it gives them the courage to take the next step."

Taylor pointed to anticipated growth in the warehouse and distribution markets, especially in Orangeburg and near Summerville. He also called the proposed port expansion in North Charleston the "most critical thing the state has going on."

Activity like that breeds more activity, especially from the private sector, he said, which is exactly what will shield South Carolina from the heat of more severe national trends.

Most of the conversation focused on last year's economic development announcements, which brought a record amount of investment money to the state. But for those who were skeptical of his optimism, he offered this bit of rosy consolation: "You're most inventive when you're poor."

Knowledge-based exercise

The Charleston Digital Corridor Foundation, a spinoff of the city's tech-centric economic development arm, has started taking registrations for its second annual 5-kilometer run.

The gun will go off in front of the Charleston Maritime Center at 6:30 p.m. on April 17. The route loops back to its start for a post-run party.

It should be a great forum for networking, providing you're not out of breath ... or on the phone.

Sign up for one of the 500 slots at www.ifivek.com.