Flush with stimulus money, states are ready to throw money at a group that suffered catastrophic at the hands of COVID-19 — Hollywood movie studios.

New York and states around the country are seriously discussing increasing their film and tax incentive programs to entice the fledgling film and television industry to come to their states. New York is considering a three-year, $420 million film tax credit extension to its program, which includes a 25% credit for post production and qualified production costs within the state and an additional 10% offered for labor costs in the upstate region.

Not to be outdone, Utah, California and New Jersey are among the states also considering either extensions or additional film tax credits to lure an industry that is raking in money by the barrel –or, in the case of NBC Universal or Disney, by the bucket. SEC filings and corporate earnings statements show huge profits for Netflix ($6.2 billion), Warner Bros. ($4.3 billion), Sony ($1.8 billion), NBC Universal ($884 million), Disney ($281 million) and Paramount ($368 million).

In July, California Gov. Gavin Newsome signed legislation approving an additional $330 million for the film and TV industry.

Georgia spent $2.1 billion in the fiscal year on tax breaks for film and television that ended in September; while Louisiana offers a tax credit of up to 40%. Utah is considering lifting its cap on productions filmed in rural areas and New Jersey is considering increasing its incentives as well.

There is an economic benefit to filming movies in New York state, but how much? Michael Thom, a University of Southern California professor, studied New York’s film tax credit program and found it had no impact on employment. Its benefits come in the form of lodging and ancillary benefits, not in increased numbers of jobs.

Wouldn’t it be nice if New York treated its existing businesses as well as it treats Hollywood movie studios?