With runaway production an ongoing industry issue, U.S. filming advocates are keeping a watchful eye on a pair of programs unfolding in California that offer incentives to shoot in the Golden State. The primary initiative, Film California First, has formally taken effect, offering reimbursement of certain film-related costs incurred by qualified production companies when lensing on local, state or federal public property in California. Eligible projects include commercials, TV programs and theatrical features.
Upon completing principal photography, production houses can file for reimbursement by accessing an application online (www.filmcafirst.com). Completed applications must be mailed to the California Film Commission (CFC) for processing. The CFC oversees and administers the Film California First program.
After verifying the legitimacy of the application, the CFC will relay the reimbursement form to the state controller’s office within 30 days. Payment from the controller would likely be made within the next couple of weeks, though an exact timetable had not been confirmed at press time. As originally structured, the plan was for production companies to get reimbursements within 45 days of the CFC receiving a proper application.
The Film California Web site contains a rundown of eligibility guidelines. Reimbursable costs for shoots on public property in California include:
• State employee costs encompassing such entities as the California Highway Patrol, state parks (for rangers), and the University of California (UC) and California State University (CSU) systems.
• Federal employee costs.
• Federal, state, UC and CSU film permits and public property use fees.
• Local public entity costs for fire and non-police fire safety.
• Local property use fees.
• And costs for rental equipment mandated and owned by a public agency. Reimbursements in this category are capped at $250 per day.
Several commercial producers requesting anonymity told SHOOT that while the reimbursement program may not always have a compelling impact on a spot’s budgetary bottom line, Film California First represents a tangible, important step forward, showing that the state values the production business. In some cases, noted another commercial production house executive, the option of shooting on public property in California could represent significant savings for the right job, particularly as it relates to utilizing local, state and federal employees at no cost.
"The demand to execute projects on time and under budget has never been more profound," said CFC director Karen Constine. "The Film California First program illustrates the state’s continued commitment to remain at the forefront of this industry and, at the same time, offers cost-saving incentives that will give filmmakers one more reason to shoot on location in the Golden State."
Film California First was proposed last year, approved by the state legislature in June and then signed by Gov. Gray Davis (D-Calif.) in September (SHOOT, 10/6/00, p. 1) for enactment on Jan. 1. It was approved as a three-year program, with annual funding of $15 million. However, years two and three will be dependent on the annual state budget-approval process.
STAR SYSTEM
Constine added that plans are underway to implement the State Theatrical Arts Resources (STAR) Partnership, the other earlier-alluded-to program designed to help California combat runaway production to other states and countries.
The STAR program will make designated state-owned surplus property and unused real estate assets available to longform and spot producers for a nominal contract fee. The CFC has traditionally provided and continues to offer state-owned property free of permit charges and location fees. But STAR would open up other properties that haven’t been readily available for lensing, such as certain warehouses; hospitals; large, often unoccupied structures; and possibly even prisons and state fair grounds. This should add significantly to California’s inventory of affordable lensing sites.
As previously reported (SHOOT, 5/26/00, pp. 1 and 4), industry groups are hopeful that the two programs being instituted in California will encourage other states, as well as the federal government, to address the runaway production issue. Last week, a U.S. government report was released documenting the profoundly negative impact that runaway filming has had on the nation’s economy. Cited was an estimate pegging the annual loss at some $10 billion.
