L.A. Film Production Down 6.8 Percent, City Issues Incentives

Industry News :: L.A. Film Production Down 6.8 Percent, City Issues Incentives

LOS ANGELES, July 26, 2006 - Film, television and commercial production in Los Angeles dropped 6.8 percent this spring compared to a similar period last year, according to a report released Wednesday by FilmL.A., Inc.
The number of film permits issued in the city between April and June dropped from 8,426 in 2005 to 7,853 this year.

Fewer television pilots were filmed in Los Angeles during the February-May pilot season, according to the report. In 2005, 105 pilots were filmed in the city, compared to 81 this year.

"Where those pilots went - they went to those states that have incentives," said FilmL.A. President Steve MacDonald. "The incentives have worked for a long time on luring feature films and now they're working to attract TV production."

Between April and June, there were 20 percent fewer sitcoms and 2.4 percent fewer dramas taped or filmed in Los Angeles. The amount of comedies on television has declined in recent years because of declining viewership. Television comedies are almost exclusively produced in Southern California.

Taping of unscripted television shows increased from 1,443 production days to 2,217.

Twenty-eight states, notably New York, Louisiana, New Mexico and Illinois, have created tax incentives to attract filmmakers, MacDonald said.

"They come up with these incentives because the industry is a high paying industry ... it provides a lot of middle class jobs, it creates a lot of sales tax revenue," MacDonald said.

The Los Angeles City Council approved a plan Tuesday waiving production fees for films and television programs shot in city-owned buildings.

The city typically charges $500 a day to shoot at City Hall downtown.

"Fee waivers are commonly done in cities and states that we compete with so it's the right thing to do to put us in a better competitive position," MacDonald said. "It can't turn around runaway production but it definitely is a good first step."

The film and television industry employs about 80,000 Los Angeles residents and contributes about $31 billion to the local economy.

The fee waiver applies to studios wanting to shoot on all city property, except the Los Angeles Convention Center, Olvera Street, the Los Angeles Zoo, Warner Grand Theater and the city's animal shelters, and parks and recreation facilities.

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