Producers of a feature film being shot in Rhode Island are seeking just over $22 million in state tax credits.
But everyone outside of a select few in state government will have to wait until next summer at the earliest to learn which film it was, which company applied for the credits and how much they ended up receiving.
By then, they’ll be long gone, along with lawmakers who will have already ended next year’s legislative session without knowing if this year’s investment paid off.
Most often, such tax credits end up being in the hundreds of thousands of dollars, or less. If there’s a problem with one production, the state still has a chance to benefit from others.
But in this case, the request would eat up nearly three-quarters of the amount available for all films this fiscal year.
Rank-and-file lawmakers for too long have bought the notion that this is what the Ocean State has to do to compete. And the R.I. Film & Television Office recently began urging companies not to identify themselves on applications, which are public documents.
This is the wrong attitude to take toward taxpayers, who deserve to know who’s making the request – before it’s approved – and what the company’s track record is in other states.
The program undoubtedly brings benefits to the state, but at what cost? Between 2009 and 2018, 13 states ended their film incentive programs.
Rhode Island’s program has been a money loser, with applicants also often failing to meet state reporting requirements. If the program is to continue, lawmakers must demand more transparency, accountability and proof of success.