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At 'Stay in L.A.' Rally, Working Hollywood Fights to Improve Incentives for Southern California's Signature Industry
At 'Stay in L.A.' Rally, Working Hollywood Fights to Improve Incentives for Southern California's Signature Industry

Yahoo

time07-04-2025

  • Entertainment
  • Yahoo

At 'Stay in L.A.' Rally, Working Hollywood Fights to Improve Incentives for Southern California's Signature Industry

As Hollywood's employment crisis deepens with no relief in sight, more than one thousand rallied on Sunday in support of amplified incentives intended to convince more film and TV productions to stay in Southern California. At the 'Stay in L.A.' event at a studio services complex in Sun Valley, politicians shared stories of constituents in dire circumstances, industry professionals detailed parenting struggles stemming from working in other jurisdictions, and a labor leader described receiving calls every day from desperate union members as production work has dried up in Southern California in the last few years. More from The Hollywood Reporter SAG-AFTRA Commercials Contracts Expiration Date Extended Again With Paramount Deal in the Balance, Teamsters Meet With FCC Chair Over Job Protections Video Game Workers Authorize Strike at Microsoft-Owned ZeniMax Media More than 25 speakers, from policymakers to union officers to workaday performers, painted the picture of an unlevel tax incentives playing field that is jeopardizing the livelihoods of working-class and middle-class creatives and crew members who may not front a film or show but are crucial to their creation. The goal: to emphasize a pressing need for California legislators to greenlight Gov. Gavin Newsom's budget proposal, which would more than double the state's ceiling for its film and television production incentives program, from $330 million to $750 million a year. Also on the table: legislation to increase the film and television credit to 35 percent and expand eligibility to include animation, large-scale competition shows and shorter television series. 'This is Hollywood, California. We have to stay competitive to stay alive, to keep our industry alive, to keep tourism alive, to keep the entire ecosystem alive,' SAG-AFTRA secretary-treasurer Joely Fisher said in an animated speech that echoed through Sir Reel Studios, which hosted the event. 'Make Hollywood Hollywood again!' The Stay in L.A. movement, which rose from the ashes of the Pacific Palisades and Altadena fires in January with the stated purpose of advocating for an influx of film and television work as a means of recovery, helped organize Sunday's event. The movement's leaders have advocated not only for legislation but also for commitments from major studios streamers to keep more of their sets in L.A.; so far, no major company has publicly responded to the call. Speakers emphasized that the entertainment industry isn't just comprised of stars at the top of the call sheet but also grips, costumers and drivers, among other crew workers. 'These are the very people who have built California's reputation as the entertainment capital of the world,' said DeJon Ellis Jr., the business manager for the IATSE Local that bargains on behalf of grips, craft services and warehouse workers. 'The truth is, we are not just creating entertainment, we are creating jobs, we are sustaining families, we are shaping the identity of California itself.' And rally headliners argued that productions sustains many small businesses like History for Hire, a prop house in North Hollywood whose president, Pam Elyea, exhorted attendees to stop by because business wasn't booming: 'We're lonely,' she said. In her speech, Lindsay Dougherty, the leader of the Hollywood Teamsters, compared Hollywood to her hometown of Detroit before the auto manufacturers went into crisis. The display of persistence and, at some points, frustration, all played out in Sun Valley against a backdrop of a post-Peak TV era when studios are cutting costs and Hollywood's output has shrunk. Though many industry workers survived momentary shutdowns during the COVID-19 pandemic and the duel strikes in 2023, work never roared back. According to the latest report from FilmLA, on-location production in 2024 was the lowest it's ever been recorded by the film office beyond 2020, when projects were shut down due to the COVID-19 pandemic. Soundstage occupancy was also down in 2024, to 63 percent, compared with 93.5 percent between 2016 to 2022. The California legislators' proposals may provide some form of remedy. Still, the proposed legislation isn't a done deal. Two speakers at Sunday's event suggested that politicians from Northern California, where the entertainment industry does not have the same presence, may be a holdup. And the Motion Picture Association, the major lobbying group for studios and streamers, and entertainment unions are also still negotiating the specifics of potential legislation. 'I think educating the Northern California electeds is always a hurdle just because they don't see how much this industry impacts the state of California,' Dougherty said in an interview with THR at the event. 'But I think that [with] the two bills, we're going to have overwhelming support from the Assembly as well as the Senate. We've just got to make sure that we're doing our due diligence to fully get the word out.' Policymakers who seemed a little less optimistic about the ultimate fate of the bills and politicians' general awareness of Hollywood's plight called on the audience to inundate their representatives with messages. 'I've got to tell you guys, you've got to do a little more to push people like myself,' Los Angeles City Councilmember Imelda Padilla said, pointing out that only four of L.A.'s 15 councilmembers were present for the event. 'Pick up those phones, get those numbers and call every single councilmember to put this at the top of the list.' Added Jessica Caloza, who co-authored the two tax incentive bills at play, 'What I see in this room is energy that we feel we need to bring to Sacramento.' She added, 'There's a lot of people in this state who do not believe we need the film tax credit. And we need you all to turn out.' The remark came after she led the crowd in a chant familiar to many in the entertainment labor space, where it is a staple of union rallies: 'When we fight / we win.' Best of The Hollywood Reporter How the Warner Brothers Got Their Film Business Started Meet the World Builders: Hollywood's Top Physical Production Executives of 2023 Men in Blazers, Hollywood's Favorite Soccer Podcast, Aims for a Global Empire

Stay in L.A. Rally Calls for Increased Tax Incentives to Keep Production Local: ‘This Is Our Iconic Industry'
Stay in L.A. Rally Calls for Increased Tax Incentives to Keep Production Local: ‘This Is Our Iconic Industry'

Yahoo

time07-04-2025

  • Entertainment
  • Yahoo

Stay in L.A. Rally Calls for Increased Tax Incentives to Keep Production Local: ‘This Is Our Iconic Industry'

An impassioned rally to keep Los Angeles production at home and spotlight the blue-collar workers working in the film industry were the driving themes of the Stay in L.A. rally. Hosted by SirReel Studio Services, hundreds of people gathered April 6 in Sun Valley, Calif., to call attention to Gov. Newsom's proposal to increase the state film incentive to $750 million a year. Speakers including 'The Pitt' executive producer Simran Baidwan, Burbank Mayor Nikki Perez and Assemblyman Rick Chavez Zbur rallied support for AB 1138 and SB 630, which would hike the incentive and broaden the types of productions that qualify. More from Variety Film Workers to Rally Sunday in Support of Doubling California Tax Incentive: 'There's Been No Work' Before taking the stage, Zbur told Variety that although he feels 'grateful' for the support AB 1138 has gotten so far, he admits that it's 'sad' that rallies like Stay in L.A. have to even happen in the first place. 'The reason why we can get hundreds of people here on a Sunday afternoon is because people have seen these jobs lured away by other states,' Zbur said. 'This is our iconic industry. It defines California. We have to protect what we invented and what is ours.' Lawmakers also broached the subject of a nationwide film incentive — long a goal of the entertainment unions — instead of relying on a state-by-state patchwork to compete with other countries. Rep. Sydney Kamlager-Dove, D-Los Angeles, said it is important to 'make the case' in Congress for federal subsidies. 'The World Cup is coming up. The Olympics are coming here. These are worldwide productions,' Kamlager-Dove said. 'If you want to make America great again, make America produce again. And we have to help our colleagues on the other side of the aisle impress that upon this administration.' Kamlager-Dove also put the pressure on the most privileged actors in the industry to advocate for Los Angeles. 'Oftentimes, people are thinking about the A-List celebrities – they will be OK,' she said. 'They have the influence and the power to force production to stay here. But if you don't have those exerting that kind of influence, we will see that production go to New Zealand and Mexico. And that hurts us.' Rep. Luz Rivas, a Democrat from the San Fernando Valley, noted there are a lot of 'competing priorities' for federal funding, with the wildfires recently devastating Southern California among other pressing concerns. 'I mean they're all important, right? There's just so many things that are equally important,' Rivas said. 'As legislators, we get into fights … But these are jobs and if people lose them, people are going to leave the state.' Stay in L.A. is not the only coalition fighting to increase tax incentives, with the California Production Coalition and Keep California Rolling also putting pressure on lawmakers. Pamala Buzick Kim, co-president of California United and co-founder of Stay in L.A., stressed the importance of staying competitive when location decisions are being made. 'I don't think we're trying to be the best tax incentives out of everywhere because we don't have the same economy as some of those other places,' she said. 'We have to have the tax incentives do just enough to keep us in the conversation.' The key, added Teamsters' Local 399 leader Lindsay Dougherty, is to keep on being 'aggressive' and 'militant' and not let the fight stop. 'If we lit it slip just a little bit, that's enough time and money going elsewhere to then building an infrastructure workforce outside of California,' Dougherty said. 'That's when we get into trouble.' Best of Variety New Movies Out Now in Theaters: What to See This Week What's Coming to Disney+ in April 2025 The Best Celebrity Memoirs to Read This Year: From Chelsea Handler to Anthony Hopkins

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'
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'

Yahoo

time07-04-2025

  • Entertainment
  • Yahoo

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. More from Deadline L.A. Might Have Found A Local Solution To Stop Movies Being Made In Other States California Lawmakers Call On Experts To Help Weigh Newsom's Expanded Film & TV Tax Credit Proposal: 'A Serious Fiscal Matter' WGA Ratifies New 3-Year Contract With CBS News, Securing Key AI Protections 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.' Best of Deadline '1923' Season 2 Release Schedule: When Do New Episodes Come Out? Everything We Know About 'Nine Perfect Strangers' Season 2 So Far Everything We Know About 'Hacks' Season 4 So Far

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