Pierluisi signs law to boost film industry incentives to $100M
Gov. Pedro Pierluisi signed several Senate bills including Administrative Bill 43 (Senate Bill 552) that amends Puerto Rico’s Incentives Code to increase from $38 million to $100 million, per fiscal year, the tax credit limits for film projects that are developed on the island.
The governor’s initiative, established in the government plan, goes hand-in-hand with the $74 million from the American Rescue Plan (ARPA) that Pierluisi allocated last year to encourage film projects on the island.
The $74 million is divided into $37 million for fiscal year 2023 and $37 million for fiscal year 2024.
“The film industry on our island has great potential and we have seen it in action for the past few years through renowned and successful local and national productions. This has generated thousands of jobs and had a positive impact on the island’s economy,” Pierluisi said.
“I have reiterated my support for this industry and for greater incentives to increase film productions in Puerto Rico, which in addition to having a positive effect on [the island’s] economic development, promotes tourism on our island,” he said.
As this bill was signed into law, the Department of Economic Development and Commerce (DDEC, in Spanish), is now authorized to distribute $100 million among all eligible film projects that guarantee no less than 10% of the total incentive for local productions and documentaries.
For example, Pierluisi, who participated in 2022 in the announcement of the shooting of the movie “The Plane,” starring Gerard Butler, recalled that filming consisted of an investment of $65.7 million and had an approximate economic impact of $136 million with some 3,964 hotel rooms occupied.
In addition, this project generated a $5.1 million payroll and more than 500 Puerto Rican workers participated in it. In 2021, the filming of the 70s and 80s series “Fantasy Island” a Fox network television show, had an economic impact of more than $54.7 million, creating 418 direct jobs and more than 2,000 hotel rooms bookings. Meanwhile, the film “Black Panther: Wakanda Forever” employed 423 people and left an economic investment of more than $8 million.
