By Julie Lawrence Special to OnMilwaukee.com Published Feb 22, 2006 at 5:16 AM

In July 2005 the Wisconsin Film Office, which had promoted the state as a location for on-site filmmaking and production and acted as a database for the state's film industry for 18 years, was closed after the Wisconsin Joint Legislative Committee voted in April to cease its funding.

Recognizing the economic and artistic and benefits of actively marketing Wisconsin as a film-friendly state, a group of local industry professionals and business leaders formed Film Wisconsin, a new initiative to nurture and sustain Wisconsin's film and media industry.

Lead by Scott Robbe of Mondo Productions and the Wisconsin Arts Board's executive director George Tzougros, Film Wisconsin advocates for the industry in the global marketplace, provides information and resources on the industry, and is a technical assistance organization for individuals and organizations engaged in film, television, advertising, documentary, corporate video and still photography production in the state.

Additionally, the group has been working with state government to adopt an attractive tax incentive program that would allow Wisconsin to compete with other states for filmmaker attention. In light of their aggressive actions, 2006 looks to be a promising year for Wisconsin's film industry.

State Sen. Ted Kanavas (R-Brookfield) has taken the lead on legislation that would create a viable film industry in Wisconsin. In January he introduced the Film Wisconsin bill, an incentives legislation package for the film, television, commercial and video game industry that would be among the best offered in the country.

If passed, the bill would offer a refundable tax credit of 25 percent of direct production expenditures and a 25 percent investment tax credit for investing in Wisconsin-based productions. It would also offer a sales and use tax exemption for machinery, equipment and services used in production and post-production, a 15 percent state income tax credit to artists who are Wisconsin residents and use of state-owned buildings and locations free of charge as available, with no fees for permits.

"This is a big deal and we're all very excited," says Kanavas. "A film economy has a very positive impact on the state's economy as a whole. It creates well-paying and in-demand jobs for a creative young workforce and what many people don't realize is that 50 percent of a film's production budget goes to the local economy."

Plus, film work supports numerous other industries in the state. In addition to hiring Wisconsin residents as production crew members, many other industries in the state would benefit from a robust film economy, including hotels, motels, restaurants, car rental companies, catering firms, airlines and other support services.

As an indicator of the potential of local economic impact, the film "Mr. 3000," which partially filmed in Milwaukee in 2003 brought $19,795,000 to the local economy according to VISIT Milwaukee's local film office. "Wisconsin has not had a major film production since "Mr. 3000" due to its inability to compete with other states due to the lack of incentives legislation," says Visit Milwaukee's vice president David Fantle. "Currently, Wisconsin lags behind 35 other states."

In early February, the Film Wisconsin bill was passed out of the Job Creation, Economic Development, and Consumer Affairs Committee with a unanimous vote. Next, the bill will go to the Joint Finance Committee. Helping in the bill's favor is a 2005 fiscal report from the Department of Administration confirming that the legislation has no negative impact on the state treasury since film incentives require no appropriation of funds.

"We have a great roster of bi-partisan support in co-sponsors for the bill," says Robbe. In addition to film industry advocates, support has also come from Arts Wisconsin, the Association of Independent Commercial Producers, the City of Racine, the National Association of Theater Owners -- Wisconsin Chapter, Visit Milwaukee, the Wisconsin Arts Board, the Wisconsin Association of Convention and Visitors Bureaus, and the Wisconsin Innkeepers Association and The Milwaukee Common Council.

"We have also received letters of support from native Wisconsin actors Jerry Zucker and Jane Kaczmarek and Bradley Whitford saying they'd love to work in Wisconsin, but until the incentives bill passes, it's just too expensive, especially compared to states with aggressive labor tax credits and rebates like New Mexico, North Carolina and Louisiana."

According to Robbe, those states have robust film industries due in large part to their incentives package. When the Wisconsin Arts Board sent a list of incentives to Senator Kanavas for the Film Wisconsin bill, it was based on what those states' plans.

Kanavas says that he hopes to have the bill passed by the end of March.

Film Wisconsin's Web site is filmwisconsin.net.

Julie Lawrence Special to OnMilwaukee.com

OnMilwaukee.com staff writer Julie Lawrence grew up in Wauwatosa and has lived her whole life in the Milwaukee area.

As any “word nerd” can attest, you never know when inspiration will strike, so from a very early age Julie has rarely been seen sans pen and little notebook. At the University of Wisconsin-Milwaukee it seemed only natural that she major in journalism. When OnMilwaukee.com offered her an avenue to combine her writing and the city she knows and loves in late 2004, she knew it was meant to be. Around the office, she answers to a plethora of nicknames, including “Lar,” (short for “Larry,” which is short for “Lawrence”) as well as the mysteriously-sourced “Bill Murray.”