Sheridan said money ultimately determines where television series and films are shot.
The Fort Worth-raised writer, director, producer and actor has filmed several shows, including “1883,” “1923” and “Landman,” in the Lone Star State. But without Texas’ multimillion dollar film and television production grant, crews would “just go make a bad version of Texas in New Mexico” instead, Sheridan told Texas senators.
“These networks... cannot and will not finance a film without an incentive—they will not do it,” Sheridan said. “I have lost shows because we were maxed out here. ... That’s the harsh reality of my business. It is completely dependent upon incentives, and it will override the creative every time.”
The details
Last year, state lawmakers more than quadrupled their investment in the Texas Moving Image Industry Incentive Program, which offers grants for movies, television shows, video games and other productions completed primarily in Texas. The state budget for the 2024-25 biennium includes $200 million for the program, up from $45 million in the previous biennium.
But $200 million still may not be enough, lawmakers learned Oct. 9.
“Feature films and TV series do have a significant economic impact, but they also have a much higher production cost and in-state spend,” said Adriana Cruz, executive director of the Texas Economic Development and Tourism office. “In the past, we have not been able to provide a grant for all of the requests that we came in.”
Cruz said four major TV series applied for the program in September 2021, which would have cost the state up to $75 million in grants. Lawmakers allocated $45 million to the program for the 2021-22 biennium, Cruz said.
Some filmmakers, actors and industry leaders are advocating for a more permanent funding source that does not fluctuate each legislative session.
“[Under] the current program, every two years, you have to go back and essentially reapply,” Fred Poston, executive director of the Texas Media Production Alliance, told Community Impact Oct. 1.
“One of your biggest productions you can have is a television series. And if you have a successful television series, it could take many years,” Poston added. “If in two years, the program changes and it somehow has an impact on that production, that's critical to the success of that project. Having something that everybody can count on would be game-changing for Texas.”
To be eligible for TMIIIP funding, at least 55% of a production’s cast and crew must live in Texas and at least 60% of the work must be done in-state, according to the Texas Film Commission. Grants may cover 5-20% of a project’s expenses, with an extra 2.5% incentive available for projects located in “underutilized and economically distressed areas.”
Production companies can also receive separate tax exemptions on extended hotel stays and equipment purchases.
Zooming in
Quaid and Sheridan said Texas cannot compete with media production incentives in Georgia and New Mexico, which offer tax credits of up to 30% and 40%, respectively.
Texas’ incentive program “brings money into the state and it returns the money to the people,” Quaid emphasized. “It's not a handout program, but it's a program to really develop an industry so eventually it can run on its own... and really make money, create jobs.”
Sheridan said he wants to tell Texas stories and benefit Texas residents with his projects.
“I like to film here because I like to go home at night and I like to watch my kid play football on Thursday afternoon,” Sheridan said. “I don't want to have to sacrifice... my job and doing what I love as a career for the time that I get to spend with my family.”
Sheridan said he has filmed seven shows in Texas since 2021 and spent about $604 million.
“On average, I spent $1.5 million a day,” Sheridan added. “I created 14,500 jobs directly. We spent $210 million with local Texas businesses and vendors; we spent over $26 million on hotel rooms.”
For every dollar of grant funding, TMIIIP grantees have spent $4.69 in Texas, Cruz said. Since the program began in 2007, projects have injected $2.52 billion into the state economy and created over 189,000 jobs.
“I love to work in Texas. Most of my fellow actors who are from Texas love to work in Texas,” Quaid said. “Texas [has] an opportunity to lead in film and television, and it does affect the culture and affects who we are as Americans.”By the numbers
Across Texas, there are currently 60 film and TV projects and over 30 animation and visual effects projects in production, Cruz said.
“Our media production industry ecosystem thrives when projects of all types and all budget levels are able to receive funding,” Cruz said. “This is how we grow and train the media production workforce, and why our Texas creative community is the envy of other jurisdictions.”
Over 175 cities and towns across Texas are deemed “film friendly communities.” Under the program, local leaders are trained to work with film production companies and market their communities for new projects, according to the governor’s office.
Also of note
Lawmakers also approved $25 million for a new virtual production institute at Texas A&M University last year. Students could begin taking classes in “extended reality”—which includes augmented and virtual reality, artificial intelligence, 3D graphics and more—this fall, according to the institute’s website.
The institute is based at the university’s main campus in College Station, with some classes offered in Fort Worth.
“The Virtual Production Institute creates an interdisciplinary ecosystem that will meet industry needs in media and entertainment, health care, the military, first responders, manufacturing, aerospace and live entertainment, among other uses,” said Tim McLaughlin, interim dean of the Texas A&M School of Performance, Visualization and Fine Arts, in a news release.