Texas Shows How to Attract Hollywood Without Wasting Taxpayer Dollars

Lancaster, Texas, earns Film Friendly status, boosting jobs and local economies. Why Texas is Hollywood’s new star, despite film incentive debates.

Texas Shows How to Attract Hollywood Without Wasting Taxpayer Dollars BreakingCentral

Published: April 28, 2025

Written by Poppy Russell

A New Star in the Lone Star State

Lancaster, Texas, just earned a coveted spot in Hollywood’s playbook. The city’s recent designation as a Film Friendly Texas Certified Community, announced by Governor Greg Abbott, marks a bold step toward economic vitality. This isn’t just a feel-good moment for a small city south of Dallas. It’s a signal that Texas is carving out a serious slice of the media production pie, and Lancaster is ready to cash in.

The Film Friendly Texas program, run by the Texas Film Commission, equips communities like Lancaster to roll out the red carpet for filmmakers. By completing rigorous training, Lancaster now stands shoulder-to-shoulder with over 175 other Texas towns primed to host everything from blockbuster movies to indie projects. This certification isn’t a hollow ribbon-cutting. It means real jobs, real spending, and real opportunities for locals who want a piece of the action.

But let’s not kid ourselves. The road to making Texas Hollywood’s new darling hasn’t been all glitz and glamour. Film incentives, the financial carrots dangled to lure studios, have sparked heated debates nationwide. Some see them as wasteful handouts to Tinseltown elites. Others, including Texas leaders, view them as smart investments in local economies. Lancaster’s win offers a chance to cut through the noise and see what’s really at stake.

At its core, this story is about a state that refuses to sit on the sidelines. Texas, under leaders like Abbott, is doubling down on policies that empower communities to compete in a cutthroat global industry. Lancaster’s certification is a case study in how to do it right: prioritize local businesses, create sustainable jobs, and keep taxpayers’ interests front and center.

Lights, Camera, Economic Action

The Texas Film Commission’s Film Friendly program is more than a marketing stunt. It’s a well-oiled machine designed to connect filmmakers with communities ready to meet their needs. Lancaster’s certification means local businesses, from caterers to construction crews, will see direct spending from productions. Mayor Clyde Hairston called his city the 'shining star of Texas,' and he’s not wrong. The economic ripple effect of film projects can transform places like Lancaster, where every dollar spent on lodging or equipment stays local.

Data backs this up. Creative industries, including film, generate serious wealth. Studies show that $1 spent in these sectors can create $2.50 in economic activity. In places like San Diego, creative industries pumped $10.8 billion into the economy in 2022, supporting nearly 170,000 jobs. Texas, with its vast landscapes and business-friendly climate, is poised to replicate that success. Lancaster’s new status ensures it won’t be left behind when studios come knocking.

Contrast this with states like Arizona, where film incentives have faced legal challenges for allegedly burdening taxpayers. Critics there argue that tax credits often benefit out-of-state studios while leaving locals with crumbs. Texas, however, takes a different tack. The Film Friendly program emphasizes training and infrastructure, ensuring communities are equipped to maximize every production dollar. It’s a model of accountability that prioritizes measurable results over flashy promises.

Still, the naysayers aren’t entirely off-base. Independent studies, like those in North Carolina, have shown that film incentives can fall short, with returns as low as 27 cents per dollar spent. Temporary jobs and benefits skewed toward non-residents are real issues. But Texas sidesteps these pitfalls by focusing on community readiness and local hiring, ensuring that places like Lancaster aren’t just sets for Hollywood’s next blockbuster but engines of long-term growth.

Debunking the Hollywood Handout Myth

Let’s address the elephant in the room: film incentives have a bad rap in some circles. Opponents, often waving the flag of fiscal restraint, call them unconstitutional giveaways to private companies. Arizona’s ongoing lawsuit against its $125 million film tax credit program is a prime example, with plaintiffs arguing it violates the state’s ban on gifts to corporations. These critics aren’t wrong to demand transparency, but their blanket dismissal of film programs ignores the bigger picture.

Texas doesn’t just throw money at studios and hope for the best. The Film Friendly program is a strategic investment in infrastructure and workforce development. Communities like Lancaster undergo rigorous training to meet industry standards, from permitting to logistics. This isn’t about subsidizing Hollywood fat cats; it’s about equipping Texans to compete in a high-stakes market. Representative Aicha Davis praised Lancaster’s 'innovative efforts' to grow local businesses, and she’s right. This is economic development done with precision.

Compare that to states like Georgia, which boasts a $6.30 return for every dollar of incentive. While Georgia’s numbers are impressive, they’ve also sparked skepticism about inflated claims. Texas takes a more grounded approach, focusing on tangible outcomes like job creation and small business growth. By integrating creative industries into broader economic strategies, Texas ensures that film production isn’t a one-off windfall but a sustainable driver of prosperity.

Texas Stays Ahead of the Curve

What sets Texas apart is its refusal to play the 'race to the bottom' game. Some states, desperate to outbid each other, offer ever-larger tax credits with little oversight, creating unsustainable commitments. Texas, by contrast, builds a network of certified communities that can stand on their own merits. Lancaster’s vibrant culture and landscapes, as Hairston noted, are now part of a statewide pitch to filmmakers, backed by training and resources that ensure productions run smoothly.

This approach aligns with broader trends in local government economic strategies, which emphasize resilience and community-driven growth. Municipalities nationwide are leveraging federal funds and public-private partnerships to upskill workers and streamline services. Texas’ Film Friendly program fits this mold, fostering collaboration between state, local, and industry stakeholders. It’s a blueprint for how to harness creative industries without sacrificing fiscal discipline.

Lancaster’s certification also taps into a growing recognition of the creative sector’s economic power. With creative industries contributing up to 7% of GDP in some regions, Texas is smart to position itself as a hub for film, animation, and digital media. By spreading these benefits to suburban and rural areas, the state ensures that economic growth isn’t confined to Austin or Houston but lifts every corner of the Lone Star State.

A Vision Worth Betting On

Lancaster’s new status as a Film Friendly Texas Community is a triumph of vision and pragmatism. It’s proof that targeted investments in local economies can yield dividends without breaking the bank. Governor Abbott’s leadership, coupled with the Texas Film Commission’s expertise, has created a model that other states should envy. By prioritizing community readiness and local impact, Texas is rewriting the script on what film incentives can achieve.

The skeptics will always have their say, and they’re right to demand accountability. But dismissing programs like Film Friendly Texas ignores the real-world benefits already taking root in places like Lancaster. This is about jobs, opportunity, and showcasing Texas as a place where big dreams meet practical results. As Hollywood looks for its next frontier, Texas is ready to steal the spotlight, one certified community at a time.