Stay In L.A. Rally In Sun Valley Attracts Hundreds In Support Of Tax Incentives: 'We're Not Asking For A Handout, We Are Asking For The Chance To Work'
Hollywood workers threw themselves a pep rally on Sunday in hopes that their grassroots campaigning — not to mention their ability to lure hundreds of people into a hot warehouse in balmy Sun Valley — will be enough to keep production in Los Angeles.
SirReel Studios on Lankershim Boulevard lent its large, production rentals property for the 2 p.m. rally, which featured food trucks and Stay in L.A. merch while local, state and national politicians — along with a few actors and writers — spoke about how their hometown has become a ghost town when it comes to film and TV production.
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The goal, of course, is to show support for Governor Newsom's proposed $750 million tax incentive plan, as detailed in recently introduced legislation AB 1138 and SB 630 which aims to stop the bleeding and keep studios from seeking cheaper locales to make their shows and films.
But Newsom's proposal may not be a slam dunk, suggests LA. City Councilwoman Nithya Raman (District 4).
'I want to tell you, a lot of people are against the tax credit because they think Hollywood is full of rich people,' Raman told the crowd. 'It's a middle class industry of costumers, set decorators, drivers, camera operators, hair dressers and caterers. It's all of us, and to think this is a hand-out for rich people is patently false. We're not asking for a hand-out. We are asking for the chance to work. We want to work in L.A., we want to live in L.A., we want to raise our families in L.A.'
L.A. City Councilwoman Imelda Padilla (District 6) called out her elected colleagues for not helping with the cause.
'Only 4 of the 15 councilmembers are talking about it,' she said. 'For everyone who lives in L.A., I highly encourage you to call all council members. The minimum you need is eight to get anything done. Make sure it's a priority. No one is going to say [they oppose] keeping jobs in Los Angeles, that I can assure you. Everyone wants a piece of this pie to help make this happen. Call every councilmember.'
Director Adam Bhala Lough (Deepfaking Sam Altman) floated a provocative argument by saying 'there should be no cap on incentives' and that California should consider investing in the industry.
'This debate over caps is a distraction. It's the state's way of fighting over crumbs,' he said to the crowd. 'California is missing an opportunity to take bold action, to make a direct investment. The U.K., France and Canada invest cash in the industry. They take an equity stake. They profit when films succeed. California has a $3.9 trillion GDP, but it sticks with soft money tax credits and wonders why productions are leaving. We need to think bigger. I propose California becomes a financier or a co- financier by covering 50 percent or 100 percent on [everything from] micro-indies to blockbusters.'
A recent report from Film in L.A. certainly drove home the point that the situation couldn't be more dire. Per the report, regional studios consistently had around 90% average occupancy from 2016 through 2022, before tanking to 69% average occupancy in 2023. In 2024, the average occupancy weakened even further to 63%. At its highest, in Q2 of 2024, occupancy was at 67%.
Episodic television has been hit particularly hard by the production contraction, accounting for just 20% of all production happening on certified stages and backlots in 2023. In past years, episodic television consistently comprised around 30% of all stage-based filming in L.A.
'There is no place like home, am I right? We have to start meeting like this,' SAG-AFTRA's Joely Fisher shouted to the crowd. 'I feel a little nostalgic when we were marching and we fought corporate greed. They call us unserious and unreasonable people. Where are my unserious and unreasonable people at?'
'The nation, the world is at a crossroad. It's an existential crisis,' Fisher continued. 'We need to usher in a golden age and it starts with California.'
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