Posted on Friday, September 19, 2014

Gov. Jerry Brown Approves CA Production Incentive Increase

BY: Marjorie Galas, Editor

Los Angeles may not have a football team, but that didn’t stop LA Mayor Eric Garcetti from scoring a touchdown for the California production community this past week.

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After being elected in May of 2013, Garcetti vowed to California’s ailing production community that he would lobby in favor of increasing the California production tax incentives. For years, prop houses, visual effects companies and other production related businesses have closed shop. Crew members have fled to states luring film and television productions with attractive incentives and rebates Garcetti was able to get a bill approved by the state senate and assembly. On Thursday, September 18th, Governor Jerry Brown officially signed the bill.

Bill AB 1839 will increase funding to $230 in fiscal year 2015, and $330 million in fiscal years 2016 – 2020, up from the current $100 million allotment. The bill will also expand eligibility to big budget features, one hour television series being created for any distribution outlet (not just major networks or cable) and TV pilots. Additional incentives will be awarded to projects shooting outside the Los Angeles 30-mile zone and for post-production services such as visual effects and scoring.

The lottery system that had previously been used to award projects with incentives will be disbanded. Under the new bill, applicants will be ranked according to a workforce quota the production creates. Further details on this assessment, and how it will affect independent films seeking the credit, have yet to be disclosed.

To stay on top of updates to the new California production incentives and to view AB 1839 in its entirety, visit the California Film Commission website: http://www.film.ca.gov/