Kevin Costner wants to film 5 movies in Utah. But there’s a catch — and it hinges on lawmakers

A cabin that belonged to the “Yellowstone” fictional character Rip Wheeler, performed by Cole Hauser, at 1000's Peaks Ranch is pictured in Summit County, on Dec. 2, 2021.

Shafkat Anowar, Deseret Information

Within the three years he spent taking pictures Paramount’s hit collection “Yellowstone,” Kevin Costner received a superb style of Utah.

In his free time, he would slip all the way down to the southern corners of the state, scouting places for his lengthy anticipated Western epic, “Horizon.” The manufacturing is not any small endeavor — the preliminary movie will set the muse for a yearslong cinematic universe, amounting to 5 motion pictures and dumping upwards of $50 million into no matter rural economic system Costner settles on.

“This can be a very, very massive venture,” stated his legal professional, Roger Armstrong.

Manufacturing is slated to start in August, and Costner needs to movie all 5 motion pictures in Utah. However there’s a catch — the Utah Legislature must go SB49.

Sponsored by Sen. Ron Winterton, R-Roosevelt, the State Movie Manufacturing Amendments invoice would exempt rural movie productions from the bounds on the state’s annual tax incentive program.

Winterton says the invoice would make the state extra interesting to high-caliber productions like Costner’s, that are confirmed to carry thousands and thousands into small, typically tourism-reliant rural economies.

And as Texas, New Mexico and Montana proceed to extend their cap on tax incentives, Winterton hopes the invoice will stop massive productions from leaping ship and transferring out of state.

“I’ve dreamed for a very long time about making my film in Utah and scouting the state has been an unimaginable expertise. My largest hope is that the state backs SB49 and that dream turns into a actuality. I don’t actually wish to go wherever else with these 5 motion pictures,” Costner stated in a press release.

If the invoice stalls within the legislature, it’s doubtless Costner will observe in “Yellowstone’s” footsteps and transfer to a state with a greater tax rebate. “I don’t suppose he would have a alternative,” stated Armstrong.

One of many largest productions to ever come to the state, round 75% of the primary three seasons of “Yellowstone” was filmed in Utah. Over three years, the manufacturing introduced almost $80 million to Utah’s economic system, nearly all of that spent in cities like Heber Metropolis, Oakley, Kamas, Grantsville and Logan.

However the present’s fourth season, which aired from November to January, was filmed nearly solely in Montana.

Productions that meet a number of necessities, together with spending a minimal of $500,000 in Utah, are eligible for a 20% to 25% tax rebate as a part of Utah’s movie incentive program. Nonetheless, this system has an annual $8.3 million cap, which is comparatively small when in comparison with New Mexico’s $130 million.

So when the state has a number of massive productions vying for a rebate — as was the case with each “Yellowstone” and the Disney Channel’s “Excessive Faculty Musical” remake — the cap limits what every present can obtain, no matter how a lot it spends.

Regardless of receiving round $7 million in rebates for seasons prior, the out there kickback for “Yellowstone’s” Season 4 was considerably smaller.

So Paramount moved manufacturing to Montana, the place the state Legislature raised its cap on incentives to $10 million earlier than the 2021 session, then bumped it as much as $12 million in the course of the session.

It’s potential Winterton’s modification to the tax incentive program may have saved “Yellowstone” within the state. Underneath his invoice, the manufacturing would have acquired its full 25% tax rebate.

In response to Armstrong, an leisure legal professional with a long time of expertise within the movie business, these tax incentives have turn out to be a deciding issue when productions select a location.

“State movie incentives are very a lot a vital ingredient for financing nearly all movies, whatever the funds — whether or not you’re speaking a few $200 million manufacturing or a $2 million impartial function,” Armstrong stated.

Utah, he says, is an outlier.

“A single massive manufacturing would take in many of the incentive,” he stated.

To be outlined as a rural manufacturing, it should be state permitted, and filmed primarily in third-, fourth-, fifth- or sixth-class counties. That may exclude Salt Lake, Utah, Davis, Weber, Washington and Cache counties.

However rural Utah, particularly the southern reaches of the state with its distinctive geography, is commonly the draw for productions.

Winterton’s invoice appears to be gaining traction amongst lawmakers. On Monday, SB49 received a 17-7 nod from the Senate in an preliminary vote. The invoice will see one other vote earlier than it strikes to the Home for consideration.

“We do have good help within the public,” Winterton informed the Deseret Information. “Within the Legislature, it looks as if we'd like some assist convincing them it is a good factor to do.”

The movie incentive program generally sees opposition from individuals who name it “a handout to Hollywood millionaires and billionaires,” stated Sen. Todd Weiler, R-Woods Cross, who was quoting an e mail he acquired from a constituent.

“Most beneficiant types of tax credit score, refundable credit, had no employment impact and a brief wage impact … spending extra on incentives had no lasting impression on the economic system,” the constituent wrote, citing a research from American Evaluation of Public Administration.

Winterton says the credit are acquired “post-performance,” and that productions must show they're spending that cash within the state.

That sentiment is what Jeff Johnson, president of the Movement Image Affiliation of Utah, calls “one of many largest issues” for the state’s movie incentive program. “Folks don’t perceive that it’s not a Hollywood handout,” he informed the Deseret Information.

As a substitute, the manufacturing has to submit its funds for the Utah Movie Fee to assessment — it then will get really helpful to the Governor’s Workplace of Financial Improvement, which approves the funds.

As soon as the manufacturing truly spends the cash, it’s subjected to an audit earlier than it’s eligible for the rebate.

Usually spent in rural economies, the rebate covers bills for issues like accommodations and long-term leases, manufacturing supplies like lumber, rental vehicles, trailers, restaurant payments, catering prices, and extra.

“It’s designed to assist locals and to assist put cash into native communities,” Johnson stated.

The financial impacts typically transcend what could be quantified in a rebate. Typically solid or crew purchase houses within the state, return for ski holidays, put up on social media — Costner even employed a searching information.

A research performed by the worldwide consulting agency Olsberg SPI pointed to what might be a whole lot of thousands and thousands of dollars funneled into rural Utah. Listed below are some key takeaways from the research:

• In fiscal yr 2021, movie and tv productions spent $48 million in Utah.
• Since 2016, 25% of filming days in Utah have been in rural areas.
• The movie incentive program is costing the state — in 2018 Utah missed out on productions with budgets totaling $216 million, and $207 million in 2019. The quantity fell to $70 million in 2020 because the business was hampered by the pandemic.

No matter the place it’s filmed, Western film buffs ought to preserve an eye fixed out for “Horizon.”

“It’s a exceptional venture,” stated Armstrong. “It’s a number of the finest writing I’ve seen, it truly is.”