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January 29, 2009

More on Hollywood handouts

In my email is this from Bunnie Gleiman, whose business supplying lumber etc. for building movie and TV sets has been harmed as Michigan, Louisiana and other states lured filmmakers away from Maryland with huge incentives. She writes regarding a column on proposals for Maryland taxpayers to pay for 28 percent of moviemakers' expenses in the state.

Dear Mr. Hancock,

My name is Bunnie Gleiman and I am the owner of Bond Lumber and Home Center in Lutherville,Md. My business is 4th generation and still family owned. For the last 30 years, I have had a wonderful niche, I supply all the construction materials for the film and tv industry in Maryland.

Until 2 years ago, this was a very lucrative business. I was able to pay 100% of medical benefits for all my employees and fully fund a 401k at 3% of their salary. Not anymore!!! Since the film industry has gone to other states,my company is suffering and I hope to stay afloat. I don't think you understand that I have 14 full time employees,year round who benefit from this industry,not short lived jobs as you referred to them. I am not alone in this position.

Maryland needs to be on par with other states to keep movies and tv in the state. I hope you will take the time to chat with small business owners who are in this industry and follow up your article with real facts.

I have no doubt there are many businesses that have been harmed by the decline in Maryland filming and many businesses that would be helped if the state subsidized the studios. But the benefits would fall far short of the costs to taxpayers. The answer is for the federal government to ban Michigan, Louisiana and other states from bribing companies for business with economc development incentives. Then businesses can set up shop where it makes the most economic sense, not where the local authorities are most profligate with their citizens' money.

Posted by Jay Hancock at 10:25 AM | | Comments (0)
        

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About Jay Hancock
Jay Hancock has been a financial columnist for The Baltimore Sun since 2001. He has also been The Baltimore Sun's diplomatic correspondent in Washington and its chief economics writer. Before moving to Baltimore in 1994 he worked for The Virginian-Pilot of Norfolk and The Daily Press of Newport News.

His columns appear Wednesdays and Fridays.
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