Two Australian film agencies are trading insults over the financing arrangements behind comedy drama Subdivision, which Japanese Story director Sue Brooks starts filming April 14. Both are investors.
Once completed, Subdivision will be applying for 40% of its costs back under the new producer offset. It has always been assumed that state government film agencies would cash-flow the offset at competitive rates, but it is the Queensland-based Pacific Film and Television Commission's (PFTC) refusal to provide a loan for the full amount of the offset that is at the heart of this spat.
Legal and business affairs manager Paul O'Kane said 25% of the local features the PFTC has supported have not been released and it is not certain whether a film still qualifies for the offset if the intention to distribute does not turn into actuality. For television projects the producer offset is only worth 20%, and that is what the PFTC is providing for Subdivision.
O'Kane said the problem is not with the legislation that was introduced late last year but with the Film Finance Corporation's (FFC) guidelines. This attitude has angered FFC chief executive Brian Rosen.
'The PFTC's very narrow view and totally irresponsible actions have struck fear in the hearts of investors and it has done a great disservice to the industry,' said Rosen. 'If so many of the PFTC's films are not being released in cinemas then perhaps it should look at the people making the creative decisions and ask itself about their taste and ability to do the job.'
Rosen emphasized that producers Trish Lake (Gettin' Square) and Owen Johnston have a local distribution deal with Walt Disney Studios. He did concede, however, that the issue would be high on the agenda when he meets with government in Canberra tomorrow.
Lake said she was disappointed not to get the PFTC's full support but it came down to a difference in legal opinion.
She remains very enthusiastic about the new offset: 'Providing I can match them on projects, I will be ahead of most producers in the world because I can go out into the global marketplace with 35% (once fees are subtracted) of my budget already in place, and it's my equity.'
Lake is in discussion with Queensland investors about funding a slate of films.
Subdivision is set in the building trade. One of the writers is Brisbane radio announcer Ashley Bradman, who also stars alongside a stable of veteran actors including Gary Sweet (The Tracker) Steve Bisley (The Big Steal) and Bruce Spence (Star Wars: Episode III - Revenge of the Sith). Lightning Entertainment is handling international sales.
Once completed, Subdivision will be applying for 40% of its costs back under the new producer offset. It has always been assumed that state government film agencies would cash-flow the offset at competitive rates, but it is the Queensland-based Pacific Film and Television Commission's (PFTC) refusal to provide a loan for the full amount of the offset that is at the heart of this spat.
Legal and business affairs manager Paul O'Kane said 25% of the local features the PFTC has supported have not been released and it is not certain whether a film still qualifies for the offset if the intention to distribute does not turn into actuality. For television projects the producer offset is only worth 20%, and that is what the PFTC is providing for Subdivision.
O'Kane said the problem is not with the legislation that was introduced late last year but with the Film Finance Corporation's (FFC) guidelines. This attitude has angered FFC chief executive Brian Rosen.
'The PFTC's very narrow view and totally irresponsible actions have struck fear in the hearts of investors and it has done a great disservice to the industry,' said Rosen. 'If so many of the PFTC's films are not being released in cinemas then perhaps it should look at the people making the creative decisions and ask itself about their taste and ability to do the job.'
Rosen emphasized that producers Trish Lake (Gettin' Square) and Owen Johnston have a local distribution deal with Walt Disney Studios. He did concede, however, that the issue would be high on the agenda when he meets with government in Canberra tomorrow.
Lake said she was disappointed not to get the PFTC's full support but it came down to a difference in legal opinion.
She remains very enthusiastic about the new offset: 'Providing I can match them on projects, I will be ahead of most producers in the world because I can go out into the global marketplace with 35% (once fees are subtracted) of my budget already in place, and it's my equity.'
Lake is in discussion with Queensland investors about funding a slate of films.
Subdivision is set in the building trade. One of the writers is Brisbane radio announcer Ashley Bradman, who also stars alongside a stable of veteran actors including Gary Sweet (The Tracker) Steve Bisley (The Big Steal) and Bruce Spence (Star Wars: Episode III - Revenge of the Sith). Lightning Entertainment is handling international sales.
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