Response from Bord Scannan na hÉireann/ the Irish Film Board CEO Mark Woods to the letter of filmmaker Liz Gill questioning the future of the Irish Fim Board's low/micro-budget initiatives.

The Irish Film Board became aware at December's Production Catalogue launch that Film Ireland may be running a piece expressing concerns about the Low and Micro Budget Initiatives. I thank Film Ireland for affording BSÉ/IFB the opportunity to also write on this subject.

BSÉ/IFB retains a commitment to both low and micro budget filmmaking and the films made to date under these initiatives demonstrate the potential of our industry, with Adam & Paul the most recent example. In 2004, BSÉ/IFB offered production co-financing to Pavee Lackeen, Winter's End and Studs, while initiating financing was offered to Alarm.

The LBI structure allows for a financing template where BSÉ/IFB can offer to co-finance 50%-60% of the budget as against its usual 20%-25%. There is no set number of low or micro budget movies in any one year, but applicants are always advised to prepare applications that are the best and strongest they can be since competition for funds is intense and the agency operates at a budget level considerably lower than that found in other countries of similar sizes. As the achievements of our industry grow, this competition for funds shall increase. While BSÉ/IFB's budget increase is very welcome, one must consider that by the time money is spent on training, development, documentaries, TV drama, short films and animation, there shall be less than €5.5 million for film production.

In a highly competitive production round in late 2004, there were several lower budgeted films seeking financing – and should the requests all have been met by BSÉ/IFB almost 50% of the available feature film finance for 2005 would have been gone. In addition to seeking creative excellence, therefore, BSÉ/IFB also examines levels of end user commitments as part of its decision making process. Studs – after many months of script development work and seeking co-financing partners – brought a package of a quality script, a studio distributor, a TV presale, a sales agent and an excellent cast.

BSÉ/IFB develops and co-finances quality films to find an audience – and, where possible, it seeks to make decisions in the context of commitments from those who will distribute, broadcast and exhibit these films. Should BSÉ/IFB make solely editorial decisions without marketplace partners, BSÉ/IFB is open to charges – from the industry and general public alike – of spending taxpayer money on personal choices. For BSÉ/IFB to make decisions by itself on a purely editorial basis, BSÉ/IFB would effectively be acting like a Hollywood studio rather than the independent content co-financier it is. For producers to seek to draw down in excess of half a million Euro of taxpayer money from UK's Film Council or Australia's FFC without the attachment of sales agents and distributors would be unthinkable – and film industries continue to function in those countries.

Indeed, according to SPI, of the 11 LBI/MBI films to date, six of them came with significant third party financing, so the sense that LBI films entailed simply securing BSÉ/IFB money, some deferrals and the standardized presales to go into production is not entirely true. It also demonstrates a potential for securing end user commitment to these films that can be further harnessed from script stage. Having end users involved from script stage means BSÉ/IFB is not your sole editorial advisor and the deals, in my experience, can be better from script stage as sales agents picking up completed low budget films rarely offer advances and can ask for commissions of up to 35% as compared to 15% to 22% at script stage.

As competition for funds becomes more intense, in addition to editorial excellence, producers in Ireland – as in Australia or the UK – can strengthen their co-financing applications by demonstrating that quality end user partners see the same potential in their films as BSÉ/IFB. Or that such parties can prove BSÉ/IFB wrong should BSÉ/IFB not have committed to a project earlier. The point is – as with any film agency on a limited budget – it is not possible to say yes all the time. Indeed, the UK Film Council's New Cinema Fund has said 'no' to 1,050 of its 1,350 applications. And, there is no perfect decision making process in terms of dividing up a limited financing pie -a purely editorial decision making process invites as much discomfort as a purely market-driven one. The key is scripts of undeniable excellence that invite a passion in readers which demands a commitment. It can – and does – happen.

Personally, I am committed to lower budgeted filmmaking – and especially from emerging talent. Of the 29 films I co-financed in my previous position in Australia, nearly half were with emerging talent and about a third were low budget – and all had sales agents and distributors attached. Films such as SOMERSAULT (Cannes 2004) or WALKING ON WATER (Berlin 2002) demonstrate the possibilities for low budget films from first timers with no international cast to secure sales agents (sometimes with advances) and distributors from script stage.

I believe in the potential of Irish content to achieve this and I note that nearly all of BSÉ/IFB co-financed films in 2004 went into production with sales agents attached. Happily, 2005 starts with the production of two low budget movies (one a 'classic' LBI and one slightly above this budget level) – both with distributors, TV networks and sales agents attached.

In 2005, BSÉ/IFB (and myself, personally) want to see low budget movies – especially from emerging talent – go into production as part of a balanced slate. That's why BSÉ/IFB continues to work with producers who have LBI movies in development to make the scripts the best they can be to secure marketplace commitment alongside BSÉ/IFB and to ensure movies of excellence go into production with audiences in mind.

Mark Woods
CEO, Bord Scannán na hÉireann/ the Irish Film Board

This article was printed in Film Ireland 103 (Mar/Apr 2005)