Two recent reports explain how states are tackling different aspects of incentive program management.
Better Incentive Information
This Pew Charitable Trusts brief addresses strategies for using economic development data effectively when administering incentives and measuring their effectiveness. Major topics covered are:
- Obtaining and sharing access to data
- Ensuring data are high quality
- Analyzing data to determine program effectiveness
This brief is part of the Business Incentives Initiative, a joint project of the Center for Regional Economic Competitiveness (CREC) and the Pew Charitable Trusts. The Initiative is designed to “improve decision-makers’ ability to craft policies that deliver the strongest results at the lowest possible cost” by identifying better ways to assess and report on incentive programs. Smart Incentives has been pleased to be part of the CREC team working on this effort.
You can download the full paper here.
State Film Production Incentives & Programs
Of note, the total number of states with film and television production incentives declined from 44 in 2009 to 37 in 2016. The report also explains that many states are tightening requirements for program participation and placing annual caps on program costs. A few states, including Kentucky, Maryland and California, are expanding or extending their programs.
Consistent with their treatment of other incentive programs, states are also conducting greater evaluation and oversight of their film incentive programs. NCSL reports that at least 55% of states offering incentives now require an audit or other verification of expenses from production companies, up from 38% in 2014.
Download the full paper here.