California film and television production workers devastated by the effect of runaway production to Canada, other foreign nations and roughly 43 U.S. states that began offering film & TV production incentives in recent years may find that they may be the ones lured to runaway. In Louisiana, a pioneer in the U.S. for duplicating Canadian-style film incentives, some parishes are now offering experienced film & TV workers money for a new home if they relocate to “Hollywood South”.
Runaway production of film workers? Why not? This should concern California, whose local economy is already suffering from losing dozens of film & television productions to other states. If, and more likely when, most of the ridiculously expensive film subsidies across the nation are curtailed or eliminated by cash-strapped states, it seemed to me that production would return to its traditional bases in Hollywood & New York, where most of the experienced film and production talent has resided for decades. If however, California suffers from runaway film workers to other states, it’s possible that when state incentive programs begin to dry up, film & television production will cluster in areas where experienced workers live and where there is an infrastructure to support the industry. In terms of infrastructure, however, California can rest easy. In terms of square footage, greater LA has more studio space than New York, Louisiana, Vancouver & Toronto combined twice over.
But Tuesday, at the commission’s final 2009 quarterly meeting, the idea burned brighter: Yes, cash and tax credit incentives may woo filmmakers to Baton Rouge, but the bigger point is this: Well-trained movie crews will keep producers here, commission members agreed.
One Baton Rouge studio now is partnering with a real estate firm to wave house-buying money at union movie crew members who live elsewhere. Partnering with C.J. Brown Realtors, the Celtic Media Centre will offer $2,000 in closing costs for skilled union movie crew personnel to buy a house within a 30-mile radius. Toss in a federal first-time homebuyer tax credit for those who qualify and Celtic’s willingness to pay initial union dues and the package value could top $10,000 in some cases.
“I think you’re going to see a lot of mass relocation out of California,” said Patrick Mulhearn, director of operations for Raleigh Studios at Celtic Media Centre in Baton Rouge. “By comparison, Louisiana is looking a lot more competitive. What we think can happen is we can double our crew base in one year.”
That’s vital for Baton Rouge, because fewer than 100 union movie crew veterans — the kind coveted by major studios — are based in and around the city, Mulhearn said. A major production can require 100 skilled workers, from electricians to set-building carpenters to costume and camera specialists. Louisiana has the equivalent of about 10 union crews.
As long as skilled workers remain in tight supply, other incentives may be necessary. Jefferson Parish and Caddo Parish officials have dangled cash incentives worth 3 percent to 4 percent of a movie budget, capped at $100,000 to $150,000 depending on the jurisdiction. That’s on top of the 30 percent state film tax credit and another 5 percent credit on Louisiana-based labor.
The Metro Council agreed in August to give $175,000 in cash to entice the Sony/Columbia Pictures release, “Battle: Los Angeles,” to Baton Rouge — largely because of in-state competition. One local film leader at Tuesday’s meeting said he longs for the day cash incentives won’t be needed.
“The incentive worked in this case,” said Bob Bayham of Celtic Media Centre, where “Battle: Los Angeles” is filming through the rest of the year. And Baton Rouge needed to offer the incentive to win the project, he said.
How willing the city-parish will be to offer cash incentives in the future will depend on city finances and the film impact, such things as how much money will be spent directly in Baton Rouge, said John Carpenter, an assistant chief administrative officer to Mayor-President Kip Holden.
“We’re looking project by project and we’re looking at return on investment,” Carpenter said.
Film impact also will depend on the viability of the production. With “Battle: Los Angeles,” for instance, Columbia Pictures had secured worldwide distribution rights, considered a credibility builder in the industry. Film commissioners have estimated that the total budget of “Battle: Los Angeles” could reach $60 million, with at least $25 million spent in Baton Rouge.
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[...] In fact, I wrote about efforts in the state to relocate California film workers to Louisiana HERE. Let’s face it, no doubt offers a flavor of charm for some films, Benjamin Button comes to [...]