California legislators last week passed a bill increasing film and TV tax incentives by another $330 million. Senate Bill (SB) 144 won approval in both the State Senate and Assembly and is expected to be signed into law by Gov. Gavin Newsom.
The tax credit package provides an additional $180 million to the current tax incentive program and $150 million for a new tax credit tied to the construction of soundstages.
The $180 million allocation expands the current program while addressing a two-year shortfall caused in part by the recurring TV shows that qualify for tax breaks as long as they remain in the state. California’s current tax credit programs are thus far estimated to have generated $17.9 billion in production spending for the state. During the increase in activity, construction of soundstages has not kept pace with the growth in film production, scripted television, and streaming content.
“California’s successful film tax credits have moved dozens of productions back to where they belong and created thousands of good-paying middle-class jobs,” stated Senator Anthony J. Portantino (D-La Canada Flintridge) who authored SB 144. Portantino added, “Investing in soundstage construction and the creation of studios and filming locations is a critical addition to our efforts in increasing filming in the Golden State. By investing in the expansion and modernization of studio infrastructure, we can ensure that another generation of entertainment careers will be created in California.”
SB 144 expands the credit allocation available under the Film and Television Tax Credit 3.0, establishes a new credit for qualified motion pictures produced on a certified studio construction project, and increases the credit percentage when specified diversity goals are met. Specifically, the bill increases the aggregate amount of credits that may be allocated for 2021-22 and 2022-23 by $15 million each fiscal year (a total of $30 million), which would be exclusively available to television series that relocate to California. It also increases the aggregate amount of credits that may be allocated for 2021-22 and 2022-23 by $75 million (a total of $150 million), exclusively available to recurring television series. These amounts are in excess of the $300 million currently allowed.
Beginning January 1, 2022, and before January 1, 2032, SB 144 also establishes a new credit in an amount equal to 20% or 25% for qualified expenditures for the production of a qualified motion picture in a certified studio construction project. To receive the credit, a taxpayer would be required to construct or renovate one or more soundstages certified by the California Film Commission. A taxpayer may also be eligible for an additional four percentage points of credit if they meet, or make a good-faith effort to meet, their stated diversity goals for above and below the line workers. $150 million is allocated for this new credit.
In addition to the monetary incentive, SB 144 includes a creative plan to increase diversity within the film and television production workforce. The bill would require a production to submit a diversity workplan, which includes a statement of the diversity goals for workers who are paid qualified wages, and diversity goals for individuals whose wages are excluded from qualified wages. The diversity goals are required to be broadly reflective of California’s population, in terms of race and gender.
SB 144 is part of a three-party budget agreement among the Governor, the State Senate and the State Assembly. The measure is co-authored by Assemblymember Autumn Burke, chair of the Assembly Revenue and Taxation Committee, and Assemblymember Wendy Carrillo.
Review: Malcolm Washington Makes His Feature Directing Debut With “The Piano Lesson”
An heirloom piano takes on immense significance for one family in 1936 Pittsburgh in August Wilson's "The Piano Lesson." Generational ties also permeate the film adaptation, in which Malcolm Washington follows in his father Denzel Washington's footsteps in helping to bring the entirety of The Pittsburgh Cycle — a series of 10 plays — to the screen.
Malcolm Washington did not start from scratch in his accomplished feature filmmaking debut. He enlisted much of the cast from the recent Broadway revival with Samuel L. Jackson (Doaker Charles), his brother, John David Washington (Boy Willie), Ray Fisher (Lymon) and Michael Potts (Whining Boy). Berniece, played by Danielle Brooks in the play, is now beautifully portrayed by Danielle Deadwyler. With such rich material and a cast for whom it's second nature, it would be hard, one imagines, to go wrong. Jackson's own history with the play goes back to its original run in 1987 when he was Boy Willie.
It's not the simplest thing to make a play feel cinematic, but Malcolm Washington was up to the task. His film opens up the world of the Charles family beyond the living room. In fact, this adaptation, which Washington co-wrote with "Mudbound" screenwriter Virgil Williams, goes beyond Wilson's text and shows us the past and the origins of the intricately engraved piano that's central to all the fuss. It even opens on a big, action-filled set piece in 1911, during which the piano is stolen from a white family's home. Another fleshes out Doaker's monologue in which he explains to the uninitiated, Fisher's Lymon, and the audience, the tortured history of the thing. While it might have been nice to keep the camera on Jackson, such a great, grounding presence throughout, the good news is that he really makes... Read More