Cahill calls Hein’s movie tax credit analysis ‘fallacious’

ktx f hein cahillIn his state-of-the-county address on Tuesday, County Executive Mike Hein called on the state to enact legislation that would include Ulster in a tax-credit program to encourage film production companies to work here. Noting that “we are already home to countless movie stars, producers, writers and directors and studio executives,” Hein spoke to “a major problem.” Under current state law, he said, Ulster was not defined as “upstate.”

“To drive home how absurd and unfair this is,” he said, “84 percent of all upstate New York counties are included in this program, but we are not. That is fundamentally wrong.” He called on local state representatives to pursue Ulster’s inclusion.

Assemblyman Kevin Cahill, who represents most of the county, said Ulster was already eligible for a 35 percent film-making tax credit. He said he has been pushing for the additional 10 percent for qualified labor costs on budgets over $500,000 to which Hein referred.

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“For him to make that statement is fallacious,” Cahill said, “but I guess a lot of good politicians like to get to the head of the parade.” Cahill conceded Hein’s statement that most upstate counties were included in the credit, but noted the original legislation defined “upstate” as west of Albany. “The sense was the Hudson Valley’s proximity to New York was already an advantage,” he said.

Agreeing with Hein that filmmaking “has done really well for us,” Cahill said, “We can do more. We’re pushing to expand the [income-tax] credit to post-production and music.”

There are 5 comments

  1. Frankly Speaking CSA

    The 10% is not bringing people here or keeping them away. Most of the movies done here are indy with non-union labor so labor is already cheap in comparison. The industry would like to come here and not have to pay any taxes at all but there is already a huge incentive to come to the Hudson Valley and that is why we do come here.
    As a Hudson Valley resident who is in the industry, I agree with Assemblyman Cahill, but I won’t be as kind. Hein is full of [expletive], as usual. He uses people (veterans, trail advocates, and now film makers) for his benefit by consulting with one or two people who he can get to agree with him and then presumes to speak for everyone.

  2. Kevin Cahill

    That our delegation in the Mid Hudson Valley have been working on this for two years is not what makes this logic based on a fallacy. And it is true that there is an additional 10% film tax credit for certain upstate counties for qualified labor costs, not including Ulster or other Hudson Valley counties.

    However, film production anywhere in New York State entitles the company to use our 30% film tax credit, the most generous in the nation. In addition, as a county not in the metropolitan transportation region, Ulster film production is eligible for an additional 5% tax credit. All tolled, films produced in Ulster are currently eligible for a 35% credit. That’s not nothing.

    I will continue to seek the inclusion of Ulster and Dutchess counties in the additional 10% qualified labor Film Tax Credit, though I hasten to point out that we here in the Mid-Hudson Valley, with our amazing location, proximity to New York City, wealth of skilled professionals and a successful track record already do just fine in attracting production to our communities. Of course, we can always do better.

    Cheer-leading from any quarter can’t hurt. To those who just discovered the additional incentive, welcome aboard. Let’s work together to get it done. K. A. Cahill

  3. John Schoonmaker

    What I see here is Cahill being upset that He in wants the same thing as him. So my question is why are we bickering over this when they should be working together? I get it, you don’t like the statement of it being unfair. What’s the point of arguing over words though. I see this as a chance to hopefully lure larger, non-indy film production.

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