Encouraging news for the industry is the improved outlook for the continuation of the Film California First anti-runaway program (see story, p. 1). Also sparking optimism are efforts in Illinois embodied in the formation of the Illinois Production Alliance, the creation of the Illinois Visual Media Task Force and the floating of an anti-runaway proposal that offers a tax credit to eligible shoots in the state, including commercials (SHOOT, 5/23, p. 1).
While there have been studies documenting why runaway production—and its effect on the American economy, workforce and infrastructure—is such a major problem, this research generally doesn’t properly account for commercials. Though compiling such spot data would seem a daunting task, perhaps distilling the situation down to that at a single company offers ample enough perspective as to why proactive anti-runaway measures—be they governmental or grassroots industry initiatives—are sorely needed.
A commercial production house, headquartered in Los Angeles, has just wrapped a month of some 30-plus shoot days—only one of which was in Los Angeles. The balance entailed travel to such destinations as Vancouver, B.C.; Australia; New Zealand; and Spain.
The shop’s executive producer, who requested anonymity, noted that the lone Los Angeles shoot was feasible because there were only two principal actors. Other spots in the same campaign that called for larger casts were immediately dispatched overseas for talent buyouts—though there were some other creative considerations that also factored into the decision.
"It’s sad," related the exec producer. "We’d rather be working closer to home and helping businesses and workers here—but we have no choice. Agencies and clients are making decisions based on the cost savings that can be realized. The SAG strike was the turning point."
Indeed, the SAG strike in 2000 exponentially exacerbated the runaway problem. Many advertisers at that juncture still regarded overseas sojourns as a bit of a boondoggle. But when the strike caused them to go outside the country for filming, they saw first-hand the cost-saving viability of the foreign option.
"If we ever want to turn things around, we had better look long and hard at what can be done to encourage business to stay here," continued the exec producer. "These next SAG talks are crucial."
It behooves labor, management and the entire commercialmaking community to figure out what can be done to make the working environment—economic and otherwise—in our cities and states more conducive to keeping and attracting production and post business. And we cannot put all our eggs in one basket. For instance, while proposed tax credits and other governmental/legislative-based incentives are desirable and should be pursued, often they won’t come to pass given the huge budget deficits currently facing most states and municipalities.
Unfortunately, those budgetary shortfalls have adversely impacted state and local film commissions over the past year-plus. Film commissioners, which are vital to the anti-runaway movement, have had their funding cut back dramatically. And several commissions have been eliminated altogether. The denial of a six-figure budget allocation for a film commission that helps to bring in filming-generated revenue amounting to tens of millions of dollars—or much more—is ludicrous.
Film-friendly attitudes need to be encouraged and adopted throughout the U.S., spanning labor, management, government and local residents. The latter sector is most important in that there are still far too many stories of community groups that place strict limits on location production. There are also residents who seek exorbitant location fees or payoffs from production companies. This kind of behavior that drives production out of neighborhoods is detrimental to city and state economies, literally taking jobs away from scores of other community residents. America needs to be an aggressive competitor—with a cooperative orientation—to succeed in the global marketplace.
