THIS HEARING OF THE
ASSEMBLY SELECT COMMITTEE ON
JOBS AND INNOVATION IN THE SAN
FERNANDO VALLEY THANK YOU ALL
FOR BEING HERE- FOR OUR FIRST
HEARING OF TWENTY TWENTY MY
NAME IS JESSE GABRIEL FOR THOSE
OF YOU THAT HAVE A MATT I'VE
HAD THE GREAT PRIVILEGE FOR THE
PAST YEAR AND A HALF OF
REPRESENTING MUCH OF THE WEST
SAN FERNANDO VALLEY AND REALLY
DELIGHTED TO BE JOINED HERE BY.
THREE OF MY WONDERFUL
COLLEAGUES FROM THE VALLEY AND
I OF COURSE HAVE TO NOTE THAT
EVEN THOUGH ASSEMBLY WOMAN
RIVAS AND I WERE SWORN IN ON
THE SAME DAY I WAS SWORN IN AN
HOUR AFTER HER SO SHE REMINDS
ME THAT I AM THE JUNIOR MEMBER
OF THE DELEGATION FROM THE SAN
FERNANDO VALLEY BUT BUT
NONETHELESS VERY PLEASED TO BE
HERE. WE'RE GONNA OPEN JUST
VERY QUICKLY WITH A LITTLE BIT
OF HOUSEKEEPING AND SOME THANK
YOUS AND- JUST WANTED OF FIRST
HAD TO THANK MY COLLEAGUES
ASSEMBLYMEMBER FRIEDMAN
ASSEMBLY MEMBER RIVAS SAID
ASSEMBLYMAN NUMBER ONE IS
SYRIAN FOR THEIR PARTICIPATION
TODAY- FOR THEIR CONTINUED
COMMITMENT TO THE VALLEY ALL OF
THEM HAVE- REALLY LONG STANDING
TIES TO THE ENTERTAINMENT
INDUSTRY AND HAVE DEMONSTRATED
REAL LEADERSHIP LONG BEFORE I
WAS IN THE LEGISLATURE. ON
ISSUES THAT ARE IMPORTANT TO
THE ENTERTAINMENT INDUSTRY HAVE
CHAMPION THINGS THAT ARE GOOD
FOR THE INDUSTRY GOOD FOR THE
PEOPLE THE SAN FERNANDO VALLEY
SO THANK YOU ALL OF YOU FOR
BEING HERE THIS MORNING I ALSO
WANTED TO THANK THE- THE
WONDERFUL EXPERT PANELISTS THAT
WE HAVE THAT TOOK TIME OUT OF
THEIR BUSY SCHEDULES TO BE WITH
US TODAY. THESE FOLKS ARE REAL
LEADERS IN THE ENTERTAINMENT
INDUSTRY REPRESENTING LABOR AND
BUSINESS AND GOVERNMENT
PERSPECTIVES AND SO THANK YOU
TO ALL OF YOU FOR BEING HERE WE
APPRECIATE IT VERY MUCH AND
LOOK FORWARD TO HEARING FROM
YOU. I ALSO WANT TO THANK SOME
OF THE- OTHER ELECTED OFFICIALS
THAT TO HAVE SENT STAFF HERE
TODAY SO WE HAVE STAFF FROM LA
COUNTY SUPERVISOR CATHERINE
BARGER'S OFFICE FROM LOS
ANGELES MAYOR ERIC GARCETTI IS
OFFICE AND FROM SENATE MAJORITY
LEADER BOB HERTZBERG OFFICE ARE
WITH US TODAY AND THEY ARE- OF
COURSE INDISPENSABLE PART OR
TRY SO THE WORK THAT WE ARE
DOING IT RELATED TO
ENTERTAINMENT AND OTHERWISE.
AND WANT TO THANK THEM FOR
THEIR COLLABORATION AND
PARTNERSHIP AND- FINALLY JUST A
MOMENT TO THANK MY STAFF ALL OF
WHOM WORKED REALLY HARD TO PULL
THIS TOGETHER SO THANK YOU TO
ALL THE STAFF FOR BRINGING US
HERE TOGETHER TODAY. I'M NOW IS
MY OPPORTUNITY TO THANK YOU AND
TO INTRODUCE AM F. LOCAL FORTY
SEVEN VICE PRESIDENT RICK BACK
TO JUST WANT TO THANK THAT
THANK THEM VERY MUCH THEY ARE
HOST TODAY- WE SO APPRECIATE
YOU PROVIDING THE SPACE. SO
WHAT YOU MENTION THAT MY
PLEASURE THANK YOU SO MUCH FOR.
YOUR STATE. YEAH I WAS JUST
GONNA SAY THAT I WOULD LIKE TO.
SO WHAT I'M NOT IT IS THE HOST
A SELECT COMMITTEE. AND OF
COURSE WITH THE- CAVIAR THAT
IT'S ABOUT ENTERTAINMENT
BECAUSE THAT IS OUR BUSINESS
HERE AS THE AMERICAN FEDERATION
MUSICIAN LOCAL FORTY SEVEN-
I'VE BEEN VICE PRESIDENT FOR
THE LAST FIVE YEARS. BUT ON A
PERSONAL NOTE FOR FORTY YEARS
BEFORE THAT I WORKED IN THE
STUDIOS AS A TRUMPET PLAYER I
WORKED ON THIRTEEN HUNDRED
MOVIES AND THIRTY YEARS ON THE
OSCARS AND AS SOON AS I HEARD
THAT THIS HAD SOMETHING TO DO
WITH ENTERTAINMENT. AND OF
COURSE SIR TO MEET YOU AND TO
MEET ALL THESE OTHER PEOPLE WE
WOULD ABSOLUTELY. WE'RE JUST
THRILLED TO HAVE YOU HERE AT
OUR BUILDING WE'VE BEEN HERE
FOR TWO YEARS NOW AS YOU KNOW
WE'RE PROBABLY IN HOLLYWOOD FOR
SIXTY SOME ODD YEARS WE MOVED
HERE TWO YEARS AGO THIS
BUILDING THAT WE'RE IN RIGHT
NOW- USE REALLY OLD INTERPRET
AND A PRIZE RENT A CAR BUILDING
IN FACT THIS AREA THIS IS A WE
HAVE ONE THAT WE HAVE SEVEN
REHEARSAL ROOMS. FOR OUR
MUSICIANS OUR STUDIOS HERE BUT
THIS AREA THAT WE'RE SITTING IN
USED TO BE WHERE THEY WORK ON
THE CARS AND IS GREASE AND OIL
AND- SO- I WE'RE EXTREMELY
PROUD WHAT WE WHAT WE HAVE DONE
WE'RE SO THRILLED TO BE IN
BURBANK- THIS IS IN TWO YEARS
AGO WHEN WE WHEN WE GOT TO
PERMITS WE WENT DOWNTOWN AND IT
WAS SO COLD THAT THE PEOPLE
DOWNTOWN SAID WELCOME TO
BURBANK THE CAPITAL OF INTER OF
ENERGY. AND WE LOVE THAT WE'RE
THRILLED TO BE HERE AGAIN THANK
YOU SO MUCH TO EVERYBODY MISTER
DAVIS AND I AND EVERYBODY HERE
THANK YOU SO. VERY MUCH. BUT.
THANK YOU VERY MUCH CHEN FOR
HOSTING US WE GREATLY
APPRECIATE THE HOSPITALITY- THE
ONE PIECE OF HOUSEKEEPING I
FORGOT TO MENTION IS THAT WE
WILL HAVE- IN OPPORTUNITY FOR
PUBLIC COMMENT AT THE END OF-
AT THE END OF OUR PANELS WE'RE
GONNA HAVE- SOME TESTIMONY
FIRST THE CALIFORNIA FILM
COMMISSION THAT WE'RE GONNA
HAVE TWO PANELS EXPLORING
DIFFERENT ISSUES RELATED TO THE
ENTERTAINMENT INDUSTRY IN THAT
AT THE END WILL HAVE AN
OPPORTUNITY FOR MEMBERS OF THE
PUBLIC TO SHARE SOME PUBLIC
COMMENTS SO I JUST WANTED TO
GIVE PEOPLE A SENSE OF HOW
THAT'S GOING TO WORK TODAY-
BEFORE WE START JUST WANTED TO
GIVE ANY OF MY COLLEAGUES- WHO
WANTED TO AN OPPORTUNITY TO
MAKE ANY OPENING REMARKS SO
IT'S NOT REQUIRED BUT IF YOU'D
LIKE TO WITH THAT. WOULD LOVE
TO YOUR OPENING REMARKS. SURE
JUST VERY BRIEFLY- I'M LAURA
FRIEDMAN I WANT TO WELCOME YOU
ALL TO MY DISTRICT. I HAVE THE
HONOR OF REPRESENTING BURBANK.
IN THE STATE ASSEMBLY. A FIRST
I WANT TO THANK ASSEMBLY MEMBER
GABRIEL FOR CONVENING. THIS PAN
THIS- SELECT COMMITTEE IN
PUTTING IT TOGETHER DEFINITELY
SOMETHING THAT IS IMPORTANT TO
BRING. OUR THE ELECTED
REPRESENTATIVES FROM THE VALLEY
TOGETHER TO DISCUSS THE
ECONOMIC DEVELOPMENT AND JOBS
AND- EVERYTHING THAT AFFECTS
THE VALLEY BECAUSE WE ARE A
LITTLE DIFFERENT. FROM THE REST
OF LOS ANGELES- I ALSO JUST
WANTED TO SAY THAT I- CAME
HERE. IN NINETEEN NINETY THREE-
AFTER WORKING IN THE FILM
INDUSTRY FOR FOUR YEARS IN NEW
YORK AND I MOVED OUT FOR A JOB
I HAD GOTTEN AT PARAMOUNT
PICTURES. IT'S BEEN OVER TWENTY
YEARS IN THE FILM INDUSTRY AS A
DEVELOPMENT EXECUTIVE AND FILM
PRODUCER- MY- FRIENDS AND
NEIGHBORS ARE. INDUSTRY
MEMBERS- I A- INTIMATELY
UNDERSTAND- HOW. THE HOW THE
INDUSTRY WORKS BUT ALSO THE
CHALLENGES OF BEING AN
EMPLOYEE. IN THE INDUSTRY- IT'S
A LITTLE BIT DIFFERENT FROM A
LOT OF OTHER TYPES OF JOBS AND-
WE DO IT BECAUSE WE LOVE IT.
AND ARE DRIVEN TO DO IT
SOMETHING THAT I HAD WANTED TO
DO FROM A YOUNG AGE WAS TO BE
INVOLVED IN MOVIES AND TV. BUT
IT'S ALSO NOT ALWAYS THE
EASIEST THING IN THE WORLD TO
DO SO. IN SUPPORTING THOSE THE
INDUSTRY HAS BEEN A FOCUS OF
MINE SINCE I'VE BEEN IN THE
LEGISLATURE AND I AM REALLY
HAPPY TO SEE. FILM PRODUCTION
HAVING SUCH A RENAISSANCE I'M
IN LOS ANGELES. I LEFT THE
INDUSTRY BECAUSE- PRODUCTION
HAD ALL BUT STOPPED AT A
CERTAIN POINT AND- THE
PRODUCTION COMPANIES WERE. NOT
RENEWING DEALS WITH PRODUCERS
IN THE IN THE LANDSCAPE WAS
CHANGING A LOT AND TO SEE. YOU
KNOW HOPEFULLY IT'S NOT P.
CONTENT BUT SEEING WHAT'S
HAPPENING NOW IS IT'S BEEN
WONDERFUL. SO I. CONSIDER THE-
COMMISSION AND THE DIFFERENT-
INDUSTRY MEMBERS TO BE PARTNERS
OF MINE AND- I'M JUST HAPPY TO
HAVE EVERYONE KIND OF IN THE
ROOM TO DISCUSS AT THE ISSUES
THAT AFFECT US ALL. THANK YOU
FIRST I WANT TO THANK ASSEMBLY
MEMBER JESSE GABRIEL FOR
CONVENING US SOME VERY EXCITED
TO BE HERE- THIS COMMITTEE IS
VERY IMPORTANT TO OUR REGION TO
THE SAN FERNANDO VALLEY. I
REPRESENT THE EAST SAN FERNANDO
VALLEY- VERY CLOSE TO THIS. YOU
KNOW ON THE OTHER SIDE OF THE
AIRPORT IS MY DISTRICT- I LIVE
IN NORTH HOLLYWOOD AND I THINK
I'M THE ONLY ONE ON MY BLOCK
THAT DOESN'T WORK IN THE
ENTERTAINMENT INDUSTRY. I HAVE
AN ID W. LOOK TRICIA AND I HAVE
SOME MEMBERS OF GUILDS. AND
WRITERS OTHERS- YOU KNOW SO
I'VE ONLY LIVED IN THAT HOUSE
FOR A YEAR AND I'VE WHEN I GOT
TO KNOW MY NEIGHBORS- I REALIZE
HOW IMPORTANT ENTERTAINMENT
INDUSTRY. IS FOR PEOPLE THAT
LIVE IN MY DISTRICT- AND THEY
WORK- AROUND THIS AREA BUT MOST
RECENTLY YOU KNOW IT LIKE
SPECIALLY PROCLAIM A AND
FURTHER NORTH IN MY DISTRICT-
THERE'S- A LOT OF STUDIOS
POPPING UP- IS FOR STREAMING
CONTENT LIKE HULU AND NETFLIX
SHOWS ARE BEING FILMED. IN MY
DISTRICT- IN SO I THINK IT'S-
SOMETHING THAT I IT. I AM VERY
INTERESTED IN BECAUSE THERE'S
THE OPPORTUNITY FOR MORE JOBS
FOR MY CONSTITUENTS- YOU KNOW
THAT MY CONSTITUENTS ALWAYS
TALK ABOUT WANTING. JOBS THAT
ARE CLOSE TO THEIR HOME THAT
THEY DON'T HAVE TO DRIVE- TO
LONG BEACH OR TO THE ANTELOPE
VALLEY OR WHEREVER- AND I THINK
THIS CREATES. A GREAT
OPPORTUNITY FOR THEM. TO GET
ENGAGED IN AND INDUSTRY AND NOT
FOR IT SHOULD JUST BE HAPPENING
AROUND THEM AND THAT'S WHY I'M
HERE- AND LOOKING FORWARD TO
HEARING. FROM EVERYONE THAT'S
HERE THANK YOU. AT THE RANGING
TOO MUCH. GOOD MORNING FIRST
AND FOREMOST- JESSE THANK YOU
SO MUCH SO MEMBER GABRIEL THANK
YOU SO MUCH FOR HOSTING THIS
EVENT AND- IT'S CRITICAL THAT
WE CONTINUE HAVING
CONVERSATIONS ABOUT THE STATE
OF ENTERTAINMENT INDUSTRY
ESPECIALLY IN THE SAN FERNANDO
VALLEY BUT BEFORE I GET TOO FAR
COULDN'T HELP AS WE WERE
DRIVING ON MAGNOLIA AND COMING
IN TO MAKE A RIGHT TURN. HE
COULDN'T STOP THINKING ABOUT
LEFT AND CART JOHNNY CARSON
SHOW AND THINKING ABOUT THE
SHIP THE PAN SHOTS OF- DOWNTOWN
BEAUTIFUL DOWNTOWN BURBANK. SO
I THINK IT'S TIMELY FOR US TO
MAYBE DO SHOTS OF BURBANK THESE
DAYS AND MAKE A COMPARISON AS
WELL. YEAH SAN FERNANDO VALLEY
HAS AN INTERESTING HISTORY AND
A VERY INTEGRATED HISTORY WITH
ENTERTAINMENT INDUSTRY. WE WERE
A CITY OR A REGION OF ABOUT
TWENTY THOUSAND PEOPLE. UP
UNTIL ABOUT EIGHTY YEARS AGO
AND I HIGHLIGHT THIS ALL THE
TIME TO SHOW HOW MUCH OF A
PROGRESS. HAS BEEN MADE IN THE
AREA BUT WITH THAT PROGRESS HAS
COME ALSO CHALLENGES BECAUSE WE
WENT FROM A ROUGHLY TWENTY
THOUSAND THE CENSUS IS FROM
NINETEEN THIRTIES WITH SAY.
TWENTY THOUSAND POPULATION TO
ABOUT ONE POINT EIGHT MILLION.
SO WITH THAT COMES A LOT OF
STRESS ON EXISTING
INFRASTRUCTURE AND WORK FORCE
AND ALL THE OTHER CHANGES THAT
HAVE COME ABOUT. AND IF WE LOOK
ENTERTAINMENT INDUSTRY HAS THE
AND DURING I CANNOT DEVELOPER
THE AREA- DEFENSE CONTRACTS
CAME AND WENT GM PLAN
MANUFACTURING CAME AND. WENT
BUT ENTERTAINMENT. GIVE LOSE
THAT ALSO IMPACT THE AND-
PLEASE IT'S BEEN QUITE A BIT OF
TIME. QUESTION CONTINUOUS THAT
BUT LOOK FORWARD TO THE A AND
THE LIVELY COME THANK YOU.
THANK YOU MUCH TO ALL OF MY CAR
AND I AS THEY OWN THE INNER
INTO AND THE CREATIVE ECONOMY
ARE REALLY PART OF OUR OUR DNA
HERE IN CALIFORNIA IN LOS
ANGELES AND SO IS CENTRAL TO
THE FABRIC OF OUR COMMUNITY
HERE IN THE VALLEY AND- AND
ALSO PART OF OUR OUR OUR ICONIC
GLOBAL FREE AND WHAT PEOPLE
THINK OF LOS ANGELES IN THE SAN
FERNANDO VALLEY THEY THINK OF
THE ENTERTAINMENT INDUSTRY AND
SO. YOU KNOW WE ARE MINDFUL OF
THE FACT OF THE FACT THAT IT IS
PART OF PART OF WHO WE ARE THAT
IT'S A HUGE DRIVE OUR ECONOMY.
WAS LOOKING A REPORT THE OTHER
DAY THAT WE SAID THAT THERE
ARE- MORE THAN TWO POINT SIX
EIGHT MILLION JOBS THAT FLOW
FROM THE CREATIVE ECONOMY
HEARING CALIFORNIA THAT SIX
HUNDRED FIFTY BILLION DOLLARS
ANNUALLY THAT- WORKING IN OUR
STATE BECAUSE OF FOLKS WHO ARE
DOING MORE CREATIVE WORK. IN IN
THE ENTERTAINMENT I WAS REALLY
STRUCK ALSO BY- YOU KNOW HOW
MANY OF THOSE ARE INDIRECT JOBS
RIGHT OF THOSE TWO POINT SIX
MILLION THERE'S ABOUT A MILLION
DIRECT JOBS AND ONE POINT SIX
MILLION INDIRECT JOBS SO EVERY
TIME WE ARE- BRINGING
PRODUCTION HERE TO LOS ANGELES
IT'S NOT JUST CREATING JOBS FOR
FOLKS OR WORKING ON THAT
PRODUCTION IT'S HAVING A- IN
ECONOMIC RIPPLE EFFECT THAT IS
REALLY REALLY BENEFITING THE
BROADER COMMUNITY SO. TODAY IS
AN OPPORTUNITY FOR US. STATE
POLICYMAKERS TO LISTEN TO LEARN
AND TO HOPEFULLY. TAKE BACK
SOME OF YOUR WISDOM YOUR
EXPERIENCE YOUR INSIGHTS- TO
OUR COLLEAGUES IN THE
LEGISLATURE AND THINK ABOUT HOW
WE CAN PARTNER WITH ALL OF YOU
TO CONTINUE TO. STRENGTHEN ITS
A STAY IN THE ENTERTAINMENT
HERE. INDUSTRY HERE. IN LOS
ANGELES AND IN THE SAN FERNANDO
VALLEY SO OUR FIRST SPEAKER.
AND PRESENTER BUT I'M PLEASED
TO INTRODUCE WERE VERY
FORTUNATE TO HAVE IS CALLING
ABOUT. WHO IS THE EXECUTIVE
DIRECTOR OF THE CALIFORNIA FILM
COMMISSION THANK YOU VERY MUCH
FOR JOINING US. THE MORNING
EVERYONE OF THANK YOU VERY MUCH
CHAIR GABRIEL AND MEMBERS OF
THE COMMITTEE FOR INVITING ME
HERE TODAY- EVERYBODY HEAR ME
OKAY WITHOUT. YEAH BY GOD YEAH
OKAY THANK YOU FOR THE
OPPORTUNITY. TO HIDE THE
ENTERTAINMENT INDUSTRY'S VITAL
ROLE AND CALIFORNIA'S ECONOMY
AND CULTURAL ENRICHMENT IT'S
WONDERFUL TO BE HERE IN THE SAN
FERNANDO VALLEY. FOR THIS
HEARING TOPIC BECAUSE AS YOU
ALL KNOW THE VALUE IS HOME TO
MANY PRODUCTION COMPANIES FILM
STUDIOS ANCILLARY SUPPORT
INDUSTRIES LIKE SPECIAL EFFECTS
MAKE UP FASHION. CATERING AND
MANY MORE AND THIS IS A TOPIC
THAT I KNOW YOUR SUBSEQUENT PAT
PANELISTS WILL CONTINUE TO
EXPAND ON. BY WAY OF BACKGROUND
MY NAME IS COLLEEN BELL AND I
AM THE EXECUTIVE DIRECTOR OF
THE CALIFORNIA FILM COMMISSION.
PRIOR TO BEING APPOINTED TO
THIS ROLE BY GOVERNOR NEWSOME
LAST JUNE I SERVED AS THE US
AMBASSADOR TO HUNGARY- AND WAS
APPOINTED BY PRESIDENT BARACK
OBAMA. I AM ALSO PROUD TO OF
HAD DECADES OF EXPERIENCE. IN
THE FILM AND TELEVISION
INDUSTRY AS A PRODUCER AND
THREE TIME EMMY AWARD NOMINEE.
IT IS WITH THIS EXPERIENCE AND
PASSION THAT I SERVE THE STATE
OF CALIFORNIA TO CREATE JOBS
GROW IN STATE PRODUCTION
SPENDING AND GENERATE TAX
REVENUES. THROUGH THE
CALIFORNIA FILM COMMISSION. A
HIGH STATUS OF FILM AND TV
PRODUCTION WHY CALIFORNIA.
DESPITE GROWING GLOBAL
COMPETITION TO HOST FILM AND TV
PRODUCTION CALIFORNIA STILL
OFFERS THE INDUSTRY
UNPARALLELED VALUE. WERE AT THE
FOREFRONT OF TECHNOLOGY WE HAVE
THE MOST SKILLED AND TALENTED
CREWS. THE MOST DIVERSE AND
DESIRABLE LOCATIONS THE BEST
INFRASTRUCTURE AND OF COURSE WE
HAVE THE BEST WEATHER AND THAT
COUNTS FOR A LOT AS YOU WOULD
KNOW COMING FROM PRODUCTION
DELAYS. EQUAL COSTS. IN
ADDITION CALIFORNIA BOASTS A
NETWORK OF MORE THAN SIXTY
REGIONAL FILM OFFICES THAT WORK
IN CONCERT WITH OUR TEAM AT THE
CALIFORNIA FILM COMMISSION TO
HELP FILMMAKERS FACILITATE
PRODUCTION AND MAKE THE BEST OF
OUR RESOURCES. THE STATUS OF
JOBS AND WAGES THE FILM AND
TELEVISION INDUSTRY SUPPORTS A
DYNAMIC CREATIVE ECONOMY
HEARING CALIFORNIA WITH HIGH
QUALITY JOBS FOR PEOPLE ACROSS
A WIDE RANGE OF SKILLS AND
TRADES. THERE ARE MORE THAN A
HUNDRED AND FIFTY PRODUCTION
RELATED JOBS OVER EIGHTY FIVE
THOUSAND JOBS RELATED TO
DISTRIBUTION THERE ARE OVER
SEVEN HUNDRED AND THIRTY JOBS
CREATED BY RELATED VENDORS AND
ANCILLARY BUSINESSES. AND AGAIN
THESE COME IN THE FORM OF
SPECIAL EFFECTS TECHNICIANS
LIKE MAKE UP ARTIST WRITERS
STEP BUILDERS TICKET TAKERS ON
AND ON AND ON. AND ASSEMBLY
MEMBER GABRIEL- MENTIONED THE
RIPPLE EFFECT ON THE ECONOMY
AND THE ENTERTAINMENT INDUSTRY
HAS A PROFOUND AND IMPORTANT
RIPPLE EFFECT. MANY JOBS ARE
SUPPORTED BY THE ENTERTAINMENT
INDUSTRY WHICH PAY OVER TWENTY
SIX BILLION IN WAGES ANNUALLY
TO WORKERS STATEWIDE IT IS BEEN
PROVEN THAT WHEN A MOVIE OR
TELEVISION SHOW SHOOTS ON
LOCATION. IT BRINGS JOBS
REVENUE AND INFRASTRUCTURE
DEVELOPMENT THE PROVIDES AN
IMMEDIATE BOOST TO THE LOCAL
ECONOMY. THIS IS AN
EVOLUTIONARY TIME WITHIN THE
ENTERTAINMENT INDUSTRY WITH THE
TSUNAMI WAVE OF CONTENT DEMAND.
STUDIOS AND STREAMING PLATFORMS
ARE BUILDING THEIR LIBRARIES.
AND CONSUMERS HAVE MORE OPTIONS
FOR ACCESSING CONTENT ON
DEVICES FROM THEIR PHONES
COMPUTERS THEIR WATCHES YOU
NAME IT TWENTY FOUR HOUR ACCESS
TO CONTENT. SO IT'S NO WONDER
THAT MANY STATES AND NATIONS
ARE WORKING HARD TO GET INTO
THE PRODUCTION BUSINESS. AT THE
CALIFORNIA FILM COMMISSION WE
RECENTLY RELEASED OUR PROGRESS
REPORT ON THE FIRST FOUR YEARS
OF THE STATE'S FILM AND TAX
CREDIT PROGRAM TO POINT OUT.
THE FULL REPORT CAN BE FOUND ON
OUR WEBSITE BUT I WOULD LIKE TO
TAKE A FEW MINUTES NOW TO SHARE
SOME HIGHLIGHTS. THE RESULT A
FIRM THAT ARE UNIQUELY TARGETED
TAX CREDIT PROGRAM IS HAVING A
SUBSTANTIAL ECONOMIC IMPACT.
WITH THE ONE POINT ONE BILLION
INVESTMENT OF TAX CREDIT
RESERVATIONS APPROVED
PRODUCTIONS ARE ON TRACK TO
GENERATE NEARLY EIGHT POINT
FOUR BILLION OF DIRECT IN STATE
SPENDING. THIS INCLUDES THREE
BILLION AND QUALIFIED WAGES TO
THE BELOW THE LINE WORKERS TWO
POINT SIX BILLION AND QUALIFIED
VENDOR EXPENDITURES AND ANOTHER
TWO POINT EIGHT BILLION AND
ADDITIONAL EXPENDITURES THAT DO
NOT QUALIFY FOR TAX CREDITS.
COLLECTIVELY TAX CREDIT
PRODUCTIONS ARE HIRING MORE
THAN TWENTY SEVEN THOUSAND CAST
THIRTY SIX THOUSAND A CREW FIVE
HUNDRED AND SIXTY THOUSAND
BACKGROUND PERFORMERS AND STAND
INS. AND THE LATTER IS MEASURED
IN MANTIS. IN THE LAST FOUR
YEARS EIGHTY EIGHT POINT NINE
MILLION HAS BEEN SPENT OUTSIDE
THE LOS ANGELES THIRTY MILE
STUDIO ZONE. WITH FORTY FOUR
POINT EIGHT MILLION AND LOCAL
WAGES TWENTY SIX POINT THREE
MILLION AND LOCAL PURCHASES AND
RENTALS AND EIGHT POINT TWO
MILLION AND HOTEL ROOMS AND
COMMUNITIES ACROSS THE STATE.
IN ADDITION NINE POINT FOUR
MILLION GOES TO LOCAL
GOVERNMENTS FOR LOCATION AND
PERMITTING FEES. THESE OUTSIDE
THE ZONE FIGURES ARE GOOD. WHAT
WE WANT TO PROMOTE EVEN MORE
OPPORTUNITIES FOR ECONOMIC
MOBILITY TO MAKE SURE
PROSPERITY AND OPPORTUNITY ARE
AVAILABLE TO ALL CALIFORNIANS.
OUR TEAM AT THE FILM COMMITTED
COMMISSION WILL CONTINUE TO
WORK TOWARD ELIMINATING
BARRIERS TO FILMING WHILE
MAINTAINING AND CREATING FILM
FRIENDLY PRACTICES AND POLICIES
AND OF COURSE WE'RE GOING TO
CONTINUE OUR WORK TO MARKET
CALIFORNIA AS PREMIER FILMING
DESTINATION THAT IT IS. THE
FUTURE FOR FILM AND TV
PRODUCTION AND THE FACT IS MANY
PEOPLE IN THE INDUSTRY FEEL.
ROAD WEARY. I'M SURE YOU'VE
HEARD THAT MANY OF YOU HERE
TODAY. AND THEY DON'T WANT TO
LEAVE CALIFORNIA TO WORK IN
OTHER STATES AND COUNTRIES
SEPARATED FROM THEIR FAMILIES
FOR LONG PERIODS OF TIME. WHEN
THE BUSINESS OF MAKING FILMS
FOR FAMILIES. OFTEN AND YET THE
PROCESS TEARS FAMILIES APART.
WE KNOW THAT OTHER STATES AND
COUNTRIES ARE ALSO MAKING HEAVY
INVESTMENTS TO ATTRACT
PRODUCTION AND WE HAVE THE
PRIVILEGE OF KNOWING THAT IN
DESTRY WANTS TO BE HERE THEY
WANT TO BE HERE AND ICE I SPEAK
TO THAT HAVING MEETINGS ALL
OVER WITH THE DECISION MAKER.
IS THAT THEY WANT TO BE HERE
AND CALIFORNIA. THOUGH THE TRUE
REALITY IS. IS THERE AGGRESSIVE
IS SENT INCENTIVES AND OTHER
JURISDICTIONS AND THAT'S
SOMETHING THAT WE ARE
CHALLENGED BY EVERY DAY. WE
APPRECIATE THE LEGISLATURE'S
COMMITMENT TO IMPROVING OUR
COMPETITIVENESS IN THIS
IMPORTANT SECTOR BEFORE PROGRAM
TO POINT EL PRODUCTIONS OF ALL
TYPES WERE LEAVING CALIFORNIA
IN DROVES. WHEN PRODUCTION TWO
POINT OH LAUNCHED IN TWO
THOUSAND FIFTEEN IT EXPANDED
PROJECT ELIGIBILITY AND
INCREASED INCENTIVE FUNDING TO
KEEP MORE PRODUCTION HERE AT
HOME. BUT I WOULD NOT CALL IT A
REVERSAL. PROGRAM THREE POINT
EL THANKS TO THE LEGISLATURE'S
EFFORTS IN TWO THOUSAND
EIGHTEEN THE NEW PROGRAM WILL
ROLL OUT IN JULY AND INCLUDE A
MORE ROBUST SKILLS TRAINING
PILOT PROGRAM TARGETING
INDIVIDUALS FROM UNDERSERVED
COMMUNITIES FOR TRAINING AND
SKILLED PRODUCTION JOBS. IN
ADDITION PROGRAM THREE POINT OH
REQUIRES TAX CREDIT PROJECTS TO
REPORT CREW EMPLOYMENT
DIVERSITY DATA TO THE CFC. ALL
PARTICIPATING PROJECTS EXCEPT
LOW BUDGET INDEPENDENT PROJECTS
WILL ALSO BE REQUIRED TO
PROVIDE A SUMMARY OF THE
PRODUCTION COMPANIES VOLUNTARY
PROGRAMS FOR INCREASING
REPRESENTATION OF WOMEN AND
MINORITIES. IN SUMMARY THE
ENTERTAINMENT INDUSTRY IS VITAL
TO CALIFORNIA'S ECONOMY AND THE
GOVERNOR AND I ARE COMMITTED TO
KEEPING IT HERE AT HOME. OTHER
STATES AND NATIONS ARE WORKING
HARD TO LOWER PRODUCTION
BECAUSE THEY'VE DISCOVERED WHAT
WE'VE KNOWN FOR MORE THAN A
CENTURY THAT THE ENTERTAINMENT
INDUSTRY PROVIDES A PATH TO
ECONOMIC DEVELOPMENT AND
PROSPERITY. IT IS CLEAR OUR
FILM TAX CREDIT PROGRAM IS
EFFECTIVE AND IT DELIVERS A
GREAT RETURN TO TAXPAYERS AND
WE APPRECIATE THE LEGISLATURE'S
COMMITMENT TO MAKING THE
INDUSTRY. AND ONGOING PRIORITY.
THANK YOU FOR MUCH THE
OPPORTUNITY TO BE HERE WITH YOU
ALL TODAY. THANK YOU THANK YOU
VERY MUCH FOR YOUR TESTIMONY
TODAY WE APPRECIATE THE
OVERVIEW AND THANK YOU FOR YOUR
LEADERSHIP ON THE ON THE
CALIFORNIA FILM COMMISSION AND
FOR GOVERNOR SOME AND ALL OF
HIS LEADERSHIP ON THESE. ON
THESE ISSUES AS WELL- I THINK
WITH THAT OVERVIEW IN MIND WILL
BE VERY HELPFUL AS WE SET THE
STAGE. FOR OUR FIRST PANEL
DISCUSSION- AND HERE TO GIVE US
A LITTLE BIT MORE- ON THE
CURRENT STATE OF THE
ENTERTAINMENT INDUSTRY OUR-
PAUL ADLAI THE PRESIDENT OF
FILM LA. AND TOM DAVIS WHO IS
THE SECOND INTERNATIONAL VICE
PRESIDENT OF BIOPSY.
MORNING
GOOD MORNING THANK YOU FOR US
TO I AM NOT PAUL ODDLY I AM
PAUL I LEASE STUNT DOUBLE OR
PERHAPS AS UNDERSTUDY I'M
PHILLIP SOKOLOWSKI VICE
PRESIDENT OF INTEGRATED
COMMUNICATIONS FOR FILM LA WE
ARE THE GROUP THE COORDINATES
ON LOCATION FILMING FOR ALL
TYPES OF PRODUCTION IN MANY OF
THE PARTS OF GREATER LOS
ANGELES INCLUDING NOT BURBANK
BUT WE DO SERVE THE SCHOOL
DISTRICT HERE IN BURBANK SO-
WHEN PRODUCTION NEEDS TO HAPPEN
ON LOCATION THAT WORKS OF OUR
OFFICE TO OBTAIN ALL THE
VARIOUS GOVERNMENT PERMISSION.
MY TEAM ALSO INCLUDES DEDICATED
RESOURCES FOR ECONOMIC RESEARCH
COMMUNITY RELATIONS AND A
PROACTIVE CAPACITY AND OF
COURSE MARKETING THE REGION TO
FILMMAKERS AS A DESTINATION OF
CHOICE FOR PRODUCTION. RIGHT
THANK YOU FOR THE INVITATION-
JUST GREATLY APPRECIATED AND-
SO IT'S NICE TO BE ABLE SAID
FRONT OF A GROUP AND TALK
ABOUT- DEAL WHERE THE ENERGY IS
SORT OF- BOUNCE BACK FROM WHERE
IT WAS. PRIOR TO THE PASSAGE OF
THE- CALIFORNIA FILM AND
TELEVISION TAX- TAX INCENTIVES.
ACTUALLY THE ACTUAL TITLE WAS.
THE CALIFORNIA FILM AND
TELEVISION. ACTION JOB
RETENTION ACT RIGHT AND I THINK
THAT'S IMPORTANT TO THE BEAR
MIND AS WE TALK ABOUT THE STATE
OF THE INDUSTRY AND ON THE
EMPLOYMENT THAT THE THIS THAT
THE INDUSTRY- PROVIDES FOR
THOSE PEOPLE- TRYING TO MAKE A
LIVING AND MIDDLE CLASS LIVING.
SO ONE OF THE OF THINGS THAT I
WAS WE WOULD LIKE TO BE ABLE TO
POINT OUT IS. THE VALUE OF THE
PROGRAM. STE DURING THE- THE
FOR YEARS PRIOR TO THE
MEMBERSHIP OF THE UNION SAW A
MOUSE TO CLIMB. IN IN IN THE IN
THE- IN THE WORK FORCE HERE IN
THE LOS ANGELES AREA RIGHT WHEN
WE HAD THE IS WHAT ALL CALLING
ASSAULT- BY OTHER LOCALES
BEGINS THE INDUSTRY. CALIFORNIA
REACTED TO AN EXTENT IN TWO
THOUSAND NINE BUT NOT REALIZING
THE FULL MAGNITUDE OF. OF THE-
RESOLVE OF THE OTHER STATES OUT.
WAS A LITTLE SHORT AND- IN THE
REACTION SO THE PROGRAM WAS
PLAYED PUT IN PLACE IN TWO
THOUSAND NINE HUNDRED MILLION
DOLLARS PER YEAR PROGRAM AND IT
COVER ONLY CERTAIN TYPES OF
PROJECTS IN TWO THOUSAND
FOURTEEN THE LEGISLATURE- AND
THIS IS ERIN YOU'RE PART OF
THAT THAT EFFORT AND I CAN'T
TELL YOU HOW MUCH I APPRECIATE
DAHLE THE OFFER SO YOU PUT DOWN
ON THAT SAW FIT TO. MAKE THE
PROGRAM MORE OF US. AND I THINK
THAT AS A RESULT OF THAT. YOU
WE WENT BACK AND WE LOOKED AT
NUMBERS I WAS ONLY ABLE TO GET
THE NUMBERS FROM TWO THOUSAND
FOURTEEN THROUGH TWO THOUSAND
SEVENTEEN- BUT TO THE MOTION
PICTURE INDUSTRY PENSIONS
PENSION PLAN. AND SIR
DEMONSTRATES. WHAT TOOK PLACE
IN THAT IN THAT PERIOD. WE HAD-
AGAIN A PROCTOR THAT WE SAW A
DECLINE IN IN HOURS CONTRIBUTED
TO THESE PLANS ALL THIS IS ONLY
ONE OF FOUR INDUSTRY PLANS
RIGHT ACTION ONE OF FIVE
INDUSTRY PLANS. BUT IT COVERS A
BROAD PROBABLY ABOUT 60% OF ALL
ALL THE WORK CONTRIBUTIONS
COMING IN PLACE OF THE POINT ON
ON CORRECTIONS. AND DURING THAT
PERIOD WE SAW AN INCREASE.
HOURS ARE WE COULD DISTRIBUTE
DIRECTLY TO THOSE TYPES OF
PROGRAMS FOR PILOTS IT WAS
THIRTY ONE OF THREE MILLION ONE
HUNDRED FIFTEEN. HOURS FEATURE
FILMS WAS. OUR TWO MILLION NINE
HUNDRED AND FIVE HOURS THE
TELEVISION OR WE REALLY SAW THE
CHANGE THAT JUMPED TO TEN
MINUTES OVER TEN MILLION HOURS
JUST ATTRIBUTED TO. THIS
PROGRAM AND SO I THINK THAT
DEMONSTRATES HOW IMPORTANT THAT
IS FOR THE TOTAL NUMBERS IF
ANYONE'S INTERESTED IS THIRTEEN
POINT FOUR MILLION HOURS.
DURING THAT TIME PERIOD JUST TO
THIS PARTICULAR PROGRAM. SO
WHAT DOES THAT MEAN WELL MEANT
THAT- OUR MEMBERS WERE ABLE TO
MAKE MAKE A LIVING RECAPTURE.
OF THAT LIFESTYLE THAT THAT
THAT THEY SAW SLIPPING AWAY. WE
SAW PEOPLE COME BACK FROM THOSE
OTHER LOCATIONS FROM GEORGIA
AND WE. AND THEN WE ALSO SAW AN
OPPORTUNITY. AS MS BELL HAD
MENTIONED EARLIER RIGHT WE'RE
WE ARE LOOKING AT ECONOMIC
GROWTH IN GIVING OPPORTUNITIES
TO PEOPLE WHO OTHERWISE MAY NOT
HAVE AN OPPORTUNITY COME INTO
THE INDUSTRY. BECAUSE OF THAT
GROWTH THROUGH THE PROGRAM AS
WELL AS ON THE ALBUM THE
STREAMING AND WITH THE NATURAL
GROWTH TOOK PLACE AS A RESULT
OF THAT. WE'RE ABLE TO EMBARK
ON A PROGRAM SO THAT WE CAN
REACH INTO AREAS OF THE CITY.
THAT WERE TRADITIONALLY UNDER
REPRESENTED. IN THE IN THE
INDUSTRY. INCREDIBLE UP OR WHAT
WE REFER TO AS A PATHWAYS
PROGRAM HOURS OF THIS PILOT
STAGE OF IT RIGHT NOW. BUT IS
ABOUT CREATING OPPORTUNITIES
FOR EVERYBODY AND I'M VERY
PROUD OF WHAT WE'VE BEEN ABLE
TO DO WITHOUT AND IN THE LAW
SHALL BE COMING UP. WITH THAT
PROGRAM VERY VERY SHORTLY.
SORRY ON ATLANTIC QUESTIONS
AFTER AFTER THE HEARING ON THAT
FILM WAS INTERESTED BUT IS
GIVEN A SORT OF A TREMENDOUS
OPPORTUNITY THERE ARE SOME OF
THE OTHER OPTION IS WE SEE COME
ABOUT IS ALSO THAN TECHNOLOGIES
OF TECHNOLOGY IS SOMETHING
THAT- QUITE FRANKLY WE IN THE
UNION MOVEMENT AND BRACE
BECAUSE WHAT WE'VE LEARNED OVER
THE YEARS IS THAT EVERY TIME
TECHNOLOGY CHANGES. JOBS COME
WITH THOSE TECHNOLOGIES RIGHT
BECAUSE MAY CHANGE BUT IF YOU
STAY AHEAD OF THE CURVE YOU CAN
EMBRACE THOSE TECHNOLOGIES. AND
BRACELETS JOBS THAT COME ALONG
WITH IT. AND YOU END UP
PROSPERING AS A RESULT. OF YES
IT'S INTERESTING THE NUMBERS
THAT TOM REFERENCES AND WHAT
THE IMPACT HAS BEEN TO- UNION
MEMBERSHIP. IS REFLECTED ALSO
IN THE PRODUCTION VOLUME WE SEE
HAPPENING IN LOCAL
NEIGHBORHOODS. TWO THOUSAND
NINE WAS ONE OF THE DARKEST
DAYS FOR ON LOCATION PRODUCTION
IN LOS ANGELES COINCIDENTALLY
THAT'S THE YEAR THAT THE FIRST
TAX CREDIT PROGRAM CAME ON
BOARD. AND WE STARTED TO SEE
THE REVERSAL HAPPENED ALMOST
IMMEDIATELY BY THE TIME PROGRAM
TWO POINT OH KICKED AND WE WERE
REALLY COOKING WITH FIRE WE HAD
OUR GREATEST EVER YEARS FOR ON
LOCATION PRODUCTION. EVER EVER
IN 200-016-2017 WAS THE SECOND
BEST YEAR OF PRODUCTION TWENTY
EIGHTEEN FELL RIGHT IN LINE
WITH THAT. VERY INTERESTINGLY
LAST YEAR AND TWENTY NINETEEN
WE SAW SMALL DECREASE IN
PRODUCTION. AND WHEN ASKED
ABOUT THE REASONS WHY IT
CERTAINLY ISN'T BECAUSE THERE
AREN'T WORK OPPORTUNITIES FOR
OUR- OUR ENTERTAINMENT CREWS OR
CAST. IT'S BECAUSE WE FACE
CAPACITY ISSUES SO LOS ANGELES
HAS FILLED TO THE POINT THAT
CERTAIN KINDS OF PRODUCTION
HAVE DIFFICULTY MAKING THE
DECISION TO LOCATE HERE.
SOUNDSTAGE CAPACITY ESPECIALLY
THE CERTIFIED ONES THAT ARE OF
GREAT USE TO FEATURE
PRODUCTION. MANY OF THEM ARE
OPERATING AT 9698% CAPACITY AND
THAT MEANS. IF YOU'RE MAKING A
PRODUCTION DECISION. YOU'RE
LOOKING AT THE ENTIRE UNIVERSE
OF AVAILABLE OPTIONS AND
CALIFORNIA'S IN THE
COMPETITION. BUT THERE SIMPLY
ISN'T SPACE. SO EVEN AS OUR
NEIGHBORHOODS HAVE BEEN ASKED
TO BEAR AN INCREASED LEVEL OF
PRODUCTION AND CERTAINLY
INCREASED THE EFFORT WE PUT
FORTH INTO MAKING SURE
PRODUCTION A SUSTAINABLE IN OUR
COMMUNITIES. BUT OTHER
INFRASTRUCTURE NEEDS TO BE
THERE TO SUPPORT ITS GROWTH
CONTINUALLY TO. SO WE WOULD
WELCOME ANY AND ALL OF
PIONEERING SOLUTIONS TO SOLVE
THAT PIECE OF IT BECAUSE WE
LIKE TO SEE. LOS ANGELES
CONTINUE TO BE. ACTIVE PLACE TO
DO BUSINESS WITH THAT PLACE THE
FILMMAKERS SEE IS OPEN- AND-
THAT'S ON THE NEIGHBORHOOD SIDE
AND ON THE FACILITIES SIDE WE
NEED ALL OF THOSE PIECES AND
PLACE. JOINT ANYTHING ELSE-
WELL THE ONLY I MEAN OUT ON
THAT IS YOU WHY THINK ONE OF
THE- BENEFITS THE THAT WE- THAT
WE HAVE IN THIS REGION. THE
ORGANIZATIONS SUCH AS FROM LA
IN THE CALIFORNIA FILM
COMMISSION THE COORDINATION.
THAT ALL THESE AGENCIES
EXERCISE IN IN THE NEWS THE
ASSISTANCE OF A PRODUCTION.
RIGHT NOW BECAUSE WITHOUT THAT-
YOU WOULD HAVE MULTIPLE
JURISDICTIONS COMPETING WITH
ONE NOT ONLY COMPETING WITH ONE
ANOTHER WHICH THEY ACTUALLY DO
BUT I'M NOT BEING OF A QUARTER
RIGHT SO YES WE ALL KNOW LOS
ANGELES IS A- CITY MADE UP OF
SAID. AND THE OTHERS DO YOU
HAVE IN THIS IS WHERE YOU'RE
ACTUALLY HAND LOS ANGELES AND
ACROSS THE STREET HERE IN
ANOTHER CITY AND IT'S BECAUSE
OF. THE EFFORTS OF- FAMILY IN
THE CALIFORNIA FILM COMMISSION
THAT ALL THAT GETS CALLED NAME
TRYING TO GATHER WHICH- YOU
KNOW I SORT OF HAVE STOOD TO
THE SENSE OF BEING SO FRIENDLY
EVERY. GREAT VERY GOOD THANK
YOU ANYBODY HAVE QUESTIONS FOR
HIM. I'M JUST IF YOU COULD SEE.
I THREE FOR TO ARKHAM. OR SOUND
STAGE CAPACITY AND- ACCORDING
TO YOUR CAPACITY AND IF YOU
FEEL THAT- WERE KEEPING ARE WE
LOSING PRODUCTIONS BECAUSE OF
LACK OF SPACE AND CAPACITY.
LOOKING TO WHAT EXTENT WILL THE
SEARCH FOR AVAILABLE STAGE
SPACE IS NOW A GLOBAL
PHENOMENON SO WHEN LOOKING FOR
STAGES THAT CAN SUPPORT A
LARGER BUDGET FEATURE FILM FOR
EXAMPLE THAT'S NOT A WORLDWIDE
SEARCH AND IT'S NOT JUST LOS
ANGELES IT IS FACING THIS
CRUNCH PROBLEM IT IS EVERY
OTHER MAJOR PRODUCTION
DESTINATION ON THE GLOBE. SO TO
SOME EXTENT IT MUST BE HAVING
AN EFFECT- BUT TO THE TO THE
OTHER SIDE OF IT WE DO HAVE
EXCESS CAPACITY IN THE REGION
BUT IT'S OF A KIND RIGHT- WE
TALKED ABOUT SOME OF THE STUDIO
FACILITIES THAT EXIST IN THE
NORTH- EAST VALLEY AND THERE IS
ACTUALLY A- PURPOSE BUILT.
DEDICATED FACILITY IN THE NEW
QUIXOTE FACILITY- THAT WILL BE
ABLE TO SUPPORT LARGER BUDGET
FEATURES. BUT A LOT OF THE
SPACE THAT IS NOW BEING USED
FOR PRODUCTION IS ADAPTIVE RE
USE IT WAS FORMALLY WAREHOUSE
IT WAS FORMALLY SOME OTHER.
PURPOSE AND IT IS NOT PURPOSE
BUILT FOR FILM PRODUCTION IT
ALSO DOESN'T HAVE THE AVAILABLE
RESOURCES AROUND IT SUCH AS THE
STUDIO- SUPPORT SERVICES
THEY'RE THEY'RE LOCATED IN
PLACES WHERE THERE SIMPLY ISN'T
SPACE TO PUT THAT. SO WE HAVE
THE LARGEST POSSIBLE INVENTORY
OF ANY OTHER- PRODUCTION CENTER
IN THE WORLD FIVE POINT SIX
FIVE POINT THREE MILLION SQUARE
FEET OF STUDIO SPACE- BUT NOT
ALL OF IT IS OF THE SAME.
CALIBER IN QUALITY NOT ALL OF
IT CAN SUPPORT THE SAME KINDS
OF PRODUCTION SO IT DEPENDS
WHAT YOU NEED BACK. IF YOU WANT
TO BE MORE ATTRACTIVE TO THE
BIG BUDGET FEATURES WE ARE OUT
OF THAT ROOM AND ARE YOU HAVING
A SENSE OF HOW MUCH REAL ESTATE
PRICES AND RENT PRICES ARE
AFFECTING. YOUR SUPPORT SERVICE
INDUSTRY I JUST TO GIVE YOU
SORT OF AND AN ANNEX TOTAL
EXAMPLE OF THIS THERE'S FRIEND
OF MINE WHO HAS A VERY LARGE
PROP HOUSE. HERE IN THE AREA.
WHO WAS AFRAID OF LOSING- HER
BUSINESS BECAUSE HER. PRIEST TO
I THINK THIRTY FIVE THOUSAND
DOLLARS A MONTH. FOR HER
WAREHOUSE TYPE SPACE AND SHE
FELT SHE WAS COMPETING AGAINST
CANNABIS GROWERS AND ALL KINDS
OF OTHER. INDUSTRIES THAT WERE
WILLING TO PAY MORE ARE YOU
HEARING- SUPPORT STOP HAVING TO
RELOCATE OR JUST NOT BE ABLE TO
FUNCTION BECAUSE OF THAT. WE
HAVE HEARD STORIES LIKE THAT
ANECDOTALLY FROM TIME TO TIME
THE BLOOM IN REAL ESTATE IS
ALSO CREATED SCARCITY FOR
THINGS LIKE PRODUCTION PARKING.
LEARN AREA OF THE CITY LIKE
WHERE FAMILY IS HEADQUARTERED
IN HOLLYWOOD WE HAVE CRANES TO
ALL FOUR DIRECTIONS LOOKING OUT
OF OUR OFFICE WINDOWS. AND
THAT'S TAKEN AWAY VERY VALUABLE
SURFACE LOTS THAT PRODUCTION
CREWS RELIED UPON FOR BASS
CAMPING. YOU CAN'T BASE CAMP
YOU CAN'T PUT ALL THOSE
VEHICLES INTO NEIGHBORHOODS AND
STILL MAINTAIN A GOOD QUALITY
OF LIFE SO. IN VERY MANY WAYS
THE REAL ESTATE AND DEVELOPMENT
MARKETING LOS ANGELES IS
AFFECTING THE FACE OF
PRODUCTION. AND WE NEED TO BE
VERY VERY DELIBERATE AND
WORKING WITH OUR CITY AND
COUNTY PARTNERS AND MAINTAINING
THE- ACCESSIBILITY NOT JUST FOR
ON LOCATION FILMING BUT ACCESS
FOR THE VENDOR SUPPLY THE
PEOPLE WHO. WITHOUT WHOM WE
COULD NOT DO WHAT WE DO HERE I
GUESS I'LL DISCUSS LASTLY ARE
YOU HAVING SUCCESS WITH CITIES
HELPING TO CARVE OUT SPACES
FOR- FOR THAT KIND OF ACTIVITY.
WE HAVE SEEN REAL SUCCESS AND
WORKING WITH COUNTY PARTNERS TO
USING THEIR INFLUENCE ARE
WORKING. TO FIND PARCELS TO
FIND POTENTIAL PLACES WHERE
DEVELOPMENT CAN BE HAD- THERE
IS FOR EXAMPLE IT'S VERY
INTERESTING- STORY THERE IS A-
PROP GREENERY HOUSE. THAT IS
LOCATED IN A POWER TRANSMISSION
CORDER MAY PARK ALL OF THEIR
SHRUBS AND WHATNOT BENEATH THAT
POWER LINE. AND THEIR LEASE WAS
RECENTLY THREATENED BECAUSE THE
LAND COULD BE USED TO SOME
OTHER MORE VALUABLE PURPOSE
EMILY PUBLIC STORAGE. SOMEONE
BROUGHT THAT TO THE COUNTIES
ATTENTION. THEY ENGAGED ON THE
ISSUE WITH US AND I BELIEVE
WE'RE WORKING OUT SOME KIND OF
ACCOMMODATION THERE BUT THAT'S
THE KIND OF THING THAT. YOU
DON'T REALIZE WHAT VALUE IT HAS
TO A BUSINESS THEY COULD NOT
FUNCTION WERE IT NOT FOR. THE
INEXPENSIVE AVAILABILITY OF
THAT SPACE SO STORIES LIKE
OUTBOUND WE HAVE TO BE
ATTENTIVE TO THEM ENGINE THAT
HOUSE AND IT IS IN IS AN ISSUE
I WAS TALKING WITH THE- BY ONE
OF OUR PLAYERS. ARE JUST LAST
WEEK ABOUT THIS VERY ISSUE THE
SISTER OF ONE OF THE S.
INQUIRES. STORAGE FROM AND
STORAGE. AND THEY'RE FINDING
THAT. THEY'RE HAVING. TO GO FOR
THE ROCK. RIGHT IN TO MAKE YOU
MEET UP TO THE CONCERT. BUT
THERE UP BUT YOU KNOW BUT THEY
FIND INCREASE SHALL. BECAUSE
INCREASE ACROSS TRANSPORTATION.
EN ALSO MAKES IT HARDER FOR THE
EMPLOYERS RIGHT BECAUSE NOW WE
HAVE TO DRIVE FOR GROUND AWAY
FROM THE CALLS. SO IT HAS IT
HAS AN IMPACT ON THE ON MORE
THAN JUST. JUST THE COST OF THE
ROOM YOU KNOW. YOUR POINT-
INSIST AVAILABILITY FOR. THANK
YOU GREAT THANK YOU VERY MUCH
THIS SURE. FIRST THANK YOU FOR
YOUR PRESENTATIONS MY QUESTIONS
RELATED TO THE PATHWAYS PROGRAM
THAT MISTER DAVIS THAT YOU
MENTIONED AND I KNOW MISS SPELL
ALSO- TALKED ABOUT OUT REACH-
TO UNDER REPRESENTED
COMMUNITIES AND THAT'S
SOMETHING I REALLY CARE ABOUT-
YOU KNOW MY DISTRICT IS 70%
LATINO ALL OF THIS PRODUCTION
IS HAPPENING AROUND THE
NORTHEAST VALLEY- AND SO I'M
CURIOUS TO LEARN MORE ABOUT
THIS PROGRAM AND HOW. YOU KNOW
WHAT DIVERSITY NOT JUST IN
HOLLYWOOD AND ON THE SCREEN BUT
I PARTICULAR INTEREST IN
DIVERSITY AND WHO'S BEHIND THE
SCENES- AND I THINK THIS IS AN
OPPORTUNITY AND OF THIS PROGRAM
IS OPPORTUNITY RIGHT TO
INCREASE THE DIVERSITY
ESPECIALLY IN OUR STATE IS
INVESTING- IN THIS INDUSTRY-
AND SO I WOULD LIKE TO LEARN
MORE ABOUT IT IN AND WHERE WE
ARE IN THAT PROGRAM I WOULD
LOVE TO BE ALLOWED TO
CONVERSATION. WITH THAT BECAUSE
YOU KNOW AS YOU KNOW AND LIKE
IN YOUR DISTRICT DO YOU HAVE A
COUPLE STUDIOS THE BILL OF
RIGHTS YEAH AND SO- YEAH ONE OF
THE COMPONENTS THAT WAS MISSED
ON THAT QUITE FRANKLY MY TO DO.
IS STOP THE LOCAL HIGH REQUIRE.
RIGHT WHY WASN'T THAT DONE OKAY
WHAT WE SHOULD TALK THAT
BECAUSE THAT IS SOMETHING
THAT'S VERY IMPORTANT. QUESTION
SOMETIME AGO ON. RIGHT BECAUSE
I THINK THAT- REALLY THE
PERFECT OPPORTUNITY. RIGHT AND
SO I THINK THERE'S STILL ONE OF
TIME OKAY BUT WE SHOULD HAVE A
CONVERSATION THE TIME DOWN ON
THAT ISSUE OKAY THANK YOU I
WILL. FOLLOW UP THANK YOU FOR
THAT. FIRST AND FOREMOST THANK
YOU FOR BOTH FOR BEING HERE-
TOM IT'S BEEN WONDERFUL WORKING
WITH YOU GOING BACK TO. TWO
THOUSAND SIX TWO THOUSAND
SEVEN- WE'RE FAR CRY FROM THEN-
GIVEN GIVEN WHERE THE INDUSTRY
HAS COME- AND- THE
RECEPTIVENESS OF THE STATE ALSO
CHANGING- BECAUSE IT WAS
DIFFICULT PRIOR TO THAT TO GET
THE ATTENTION AFTER SO MANY
FAILED ATTEMPTS. IT IS SO GOOD
COMMENT AND THEN A QUESTION
FIRST OF ALL THANK YOU
MISSPELLED FOR BRINGING UP- THE
HUMAN COST ISSUE THAT USUALLY
DOESN'T GET DRESSED AND A LOT
OF THE CONVERSATIONS. YOU TRY
CANVASSING IN MY DISTRICT AND
GO DOOR TO DOOR- YOU'LL SEE A
LOT OF FOLKS WHO ARE EITHER
ABSENT OR ONE OF THEM IS A WAY
FOR- AND- THAT'S NOT ANECDOTAL
IT'S LITERALLY EVERY OTHER
HOUSE. AND EVERY OTHER HOUSES A
REALTOR SPECIALLY IN STUDIO
CITY. BUT BUT YOU KNOW WHEN
THERE ARE REPORTS THAT SAY THAT
ONE THIRD OF THE TAX CREDITS.
WERE. WENT TO PROJECTS THAT
COULD HAVE OTHERWISE HAVE STILL
HAVE ALREADY BEEN IN CALIFORNIA
SOMETIMES I WHAT I DON'T HEAR.
BACK IS WELL FIRST OF ALL
THERE'S AN UNCERTAINTY THAT
GETS SPOKEN ABOUT BUT- THE FACT
THAT IT'S KEPT FAMILIES WHOLE.
AND THAT WE'VE FOR GONE COSTS
AND EVERYTHING ELSE THAT COMES
IN WITH COUNSELING AND THERAPY
AND GOD KNOWS ALL THE OTHER
COSTS THAT DON'T EVEN GET
ACCOUNTED FOR. A JUST A FEW
YEARS AGO WE WERE GOING TO BE
HOSTING AN INFORMAL HEARING
ABOUT WHAT THE COST IS ON
FAMILIES AND THEN INSTEAD WE
PARTNERED UP WITH- SOME OF THE
UNIONS- AND- WE HOSTED- JOB
PLACEMENT. PROGRAM WHICH WAS
EXTREMELY SUCCESSFUL AND WE'VE
BEEN DOING IT SINCE. BUT I'D I
DON'T THINK THAT GETS ENOUGH
COVERAGE AND IT'S A VERY
DIFFICULT ITEM TO PUT. DOLLARS
TO. QUANTIFYING THAT IS
EXTREMELY DIFFICULT. BUT I
THINK IT'S CRITICAL FOR US TO
SPEAK MORE TO THAT AND TRY TO
FIGURE OUT HOW WE- HOW WE CAN
ASSOCIATE A DOLLAR SIGN TACKED
TO THAT. ISSUE BECAUSE-
SOMETIMES THE BIGGEST COSTS ARE
THE THINGS THAT WE DON'T
REALIZE HOW THEY'RE CREEPING UP
ON US. WHEN YOU HAVE HEARINGS
AND HEALTH CARE RIGHT NOW AND
SEE THAT. POTENTIALLY OF FORCE
TO A FIFTH OF THE COST GO TO
INEFFICIENCIES- YOU CAN
PROBABLY. SAY THAT THAT IS ALSO
AN ERROR THOSE INEFFICIENCIES
APPLY TO MANY OTHER INDUSTRIES
AS WELL. AND PART OF THAT IS
THE HUMAN COST THAT DOES NOT
GET VALUE FOR. THAT'S SUCH AS
THE COMMENTS I DO APPRECIATE
YOU BRING THAT UP I HEARD THAT
THEY APPRECIATE THAT-
ANECDOTALLY SPEAKING. SEE A LOT
OF GEORGIA LICENSE PLATES IN MY
NEIGHBORHOOD- AND GIVEN HOW
COMPETITIVE FIERCELY
COMPETITIVE. GEORGIA HAS BEEN
WITH CALIFORNIA AND GIVEN THAT
IT DOESN'T HAVE THE CAPS THAT
CALIFORNIA HAS. I THINK THAT'S
THAT'S A WORTHWHILE
CONVERSATION BUT I. HONESTLY
DON'T KNOW WHAT. DIRECTION IT
SHOULD BE AND BUT CAN YOU
DISCUSS A LITTLE BIT ABOUT YOUR
EXPERIENCES BOTH WITH PERMITS
AS WELL AS WITH. WITH MANPOWER
JOBS WHAT'S GOING ON WITH
CALIFORNIA AND GEORGIA. JUST AS
AN EXAMPLE AND I KNOW THE FOCUS
IS ELSEWHERE AS WELL IN CANADA
AND ENGLAND AND OTHER PLACES
BUT AT LEAST GEORGIA. PROVIDES
A GOOD DOMESTIC. WHAT WAS
SENTIENT ABOUT THE GEORGIA
PLACES- WHAT WE'RE SAYING WE
HAVE MEMBERS WHO HAD MOVED TO
GEORGIA. RIGHT BECAUSE THEY'RE
FOLLOWING THE WORK THEY COULD
MAKE A LIVING ON IT WE'RE
TALKING PEOPLE. WHO WERE BORN
AND RAISED SORRY MR LIVES TO
I'M JUST SPEAKING INTO
MICROPHONE. YOU KNOW. THE BUT
OVER HERE IN THIS FOR THE
PUBLIC DEMÓCRATAS WANTS TO
EVERYBODY WATCHING AT HOME
WHAT'S REALLY. YOU SHOULDN'T
SAID THAT- SO. YEAH WE HAVE SO
MANY PEOPLE THAT WERE BORN AND
RAISED IN THIS AREA WHO WERE
YOU KNOW GREW UP IN THE
INDUSTRY WHO HAS SPENT OF A
CAREER IN THE INDUSTRY ONLY TO
FIND THEMSELVES HAVING TO RE
LOCATE IN ORDER TO FOLLOW THOSE
JOBS- AS A RESULT OF THE OF THE
PROGRAM. RIGHT WE SEE THAT
THESE PEOPLE HAVE COME BACK. I
SAW PEOPLE WHO OF WHO IT
APPROVING THEMSELVES MOVED TO
SAY GEORGIA LOUISIANA AND THEN
CAME BACK AND- YEAH I'M I'M
ASSUMING THESE ARE PEOPLE
HAVEN'T HAD TIME TO A RE
REGISTER THEIR VEHICLES YET AND
GET THEY GET THE PROPER LICENSE
PLATE ON THEM. ON THEIR CAR
RIGHT- BUT WE KNOW WE SEEN WAS
IN THE ROOM A REAL RESISTANT
YOU'RE ONE OF THE MOST HEART
BREAKING THINGS. ARE THE THAT I
WENT THROUGH ON A PERSONAL
LEVEL. WAS PRIOR TO. TWO
THOUSAND FOURTEEN ACTION TWO
THOUSAND FIFTEEN. THE AXIS OF
THE WORKERS FROM THIS AREA.
LEAVING CALIFORNIA LEAVING
BEHIND THEIR HOMES. AND HAVING
TO RELOCATE TO A PLACE IT NEVER
BEEN BEFORE RIGHT THEY WEREN'T
FROM THOSE AREAS NOT LIKE
THEY'RE GOING BACK HOME THESE
ARE PEOPLE WHO WERE UPROOTED
HERE HAVE THEIR FAMILIES HERE
HAVING TO FOLLOW THE WORK AND
THEN. COMING TO THEIR UNION.
ASKING FOR A WHAT WE CALL A CAR
TRANSFERRED NO GOING TRANSFER
MY MEMBERSHIP FROM LOS ANGELES.
TO LOUISIANA ARE TO GEORGIA OR
WHEREVER YOU KNOW THE HOTTEST
PLACE WAS AT THAT TIME. AND
LISTEN TO THE STORIES IT WAS
THE- JUST ABSOLUTELY
HEARTBREAKING. PEOPLE TALKING
ABOUT HAVING TO- THE OTHER KIDS
HAVING TO LEAVE THE
GRANDPARENTS. RIGHT OR IN SOME
CASES A LOT OF CASES ONE OF
THE- WILL SOMEBODY LEAVING
HAVING TO LEAVE THE AREA AND
TALKING ABOUT THE PLANS OF
BRINGING THEIR SPOUSE AT A
LATER DATE. RIGHT SO. WHEN WE
SAW THIS TURN AROUND AND WE SAW
THESE PEOPLE RETURNING. IT WAS
PROBABLY ONE IT HAD OF BEEN
THAT'S WHEN YOU KNOW IT NEW WE
KNEW WE HAD IT RIGHT. RIGHT WAS
SOMEBODY COMES HOME. EN EN AND
THEN THEY THEY TALK TO YOU
ABOUT THEIR EXPERIENCE THERE
AND HOW HAPPY THEY ARE TO BE
HOME. THEN ALL THE WORK THAT
WENT INTO THIS. THAT'S WHAT
MADE IT WORTH. RIGHT THAT'S
WHAT IT WAS ALL ABOUT. YEAH
SORRY I DIDN'T THINK OF SAYING
THIS BEFORE BUT I DO WANT TO
SAY THANK YOU TO YOU TOM. BEING
IN A LEADERSHIP POSITION IS
DIFFICULT AS IS BUT HAVING TO
OF WEATHER CIRCUMSTANCES WHERE
A LOT OF YOUR MEMBERSHIP WITH
DISAPPOINTED IN THE LACK OF
OPPORTUNITIES FOR YOU TO HAVE
BEEN ABLE TO NAVIGATE THE SHIP
DURING THAT TIME TO WHERE YOU
ARE NOW TO WHERE THE INDUSTRY
IS NOW I DO COMMENDED AND I DO
APPRECIATE YOUR WORK THANK YOU
SO MUCH. THANK THE CIVIC CLEAR.
SPECIFIC TO THE QUESTION ABOUT
GEORGIA AND YOU MENTIONED
PERMITTING- WE DON'T HAVE
PERMIT LEVEL DATA TO COMPARE
ONE REGION AGAINST ANOTHER WHEN
IT COMES TO THAT HOWEVER WE DO
TRACK- SEGMENTS OF THE INDUSTRY
WE LOOK AT THE TELEVISION
PRODUCTION LANDSCAPE WE LOOK AT
THE FEATURES PRODUCTION
LANDSCAPE AND FAMILY WILL HAVE
A REPORT COMING UP NEXT WEEK
THAT IS- SNAPSHOT FEATURE
PRODUCTION OVER. A YEAR'S WORTH
OF TIME AND ONE OF THE
INTERESTING THINGS WE FOUND IN
THIS STUDY I'M GETTING A LITTLE
AWAY BUT WHAT IT IS THAT WE ARE
PERMANENTLY LOCKED INTO A
COMPETITION WITH A HANDFUL OF
HIGHLY RESOURCE COMPETITORS
CALIFORNIA IS UP AGAINST THE U.
K. THE STATE OF GEORGIA STATE
OF NEW YORK AND- THE CANADIAN
PROVINCES BECAUSE ALL ARE
ATTRACTING LARGE VOLUMES OF
PRODUCTION TO THEIR AREAS- WHEN
YOU LOOK AT FEATURE FILM
PRODUCTION CALIFORNIA LOOKS
PRETTY GOOD IF YOU LOOK AT THE
WHOLE UNIVERSE IF YOU LOOK AT.
INDEPENDENT PROJECTS THAT HAVE
A NATURAL INCENTIVE TO BE
ANYWAY. AND IF YOU LOOK AT. THE
RETURNS FROM THE CALIFORNIA
FILM AND TV TAX CREDIT THOSE
FEATURES THAT ARE ALIGNED WITH
THAT PROGRAM- WE LOOK PRETTY
GOOD UNDER. THE OVERALL
PICTURE. BUT WHEN YOU LOOK AT
SOMETHING LIKE JUST THE TOP
GROSSING US DOMESTIC FEATURES
WE FALL FROM FIRST PLACE TO
FOURTH. BECAUSE THE KINDS OF
PROJECTS WERE ABLE TO ATTRACT
IN A NUMBER OF THEM THAT WERE
ABLE TO ATTRACT- WITH THE
PROGRAM IS IT IS JUST LEAVES US
IN THAT MIDDLING POSITION. SO
THESE COMPETITORS ARE NOT GOING
TO GIVE UP- AND THERE ARE SO
MANY OF THEM THE CALIFORNIA
FACE. I'M NOT A DEATH BY A
THOUSAND CUTS BUT A PERMANENT
LEVEL OF COMPETITION SO IT'S
ESSENTIAL THAT THIS PROGRAM
HERE THAT IT BE IN PLACE- IT'S
FORTY PERCENT. OF AREA
TELEVISION PRODUCTION POWERED
BY THIS PROGRAM IT'S 13% OF
AREA FUTURE PRODUCTION. POWERED
BY THIS PROGRAM. SO AS LONG AS
THE COMPETITION CONTINUES TO
COVER THIS BUSINESS- IT'S
SOMETHING WE NEED TO WORK
DILIGENTLY EVERYDAY TO PROTECT.
THANK YOU VERY MUCH SHERMAN I'M
GETTING A SIGN AND WE NEED TO-
TO WRAP UP THIS PIANO BUT I DO
WANT TO ECHO MY COLLEAGUES
COMMENT THANK YOU BOTH FOR
YOUR- SHIP ON HELPING TO KEEP
JOBS HERE IN LOS ANGELES TO
TURN THE INDUSTRY AROUND
EVERYTHING YOU'RE DOING FOR OUR
COMMUNITY SO THANK YOU VERY
MUCH WE APPRECIATE THE
TESTIMONY. THANK YOU. THANK YOU.
SO WE ARE NOW GOING TO TAKE A
MOMENT TO TRANSITION TO OUR-
OUR SECOND PANEL HERE WHICH IS
ABOUT THE- CHALLENGES AND
OPPORTUNITIES FACING THE
INDUSTRY. LUCKY TO HAVE A
SIMILARLY DISTINGUISHED GROUP
OF PANELISTS HERE WITH US- SO
GIVE THEM A MINUTE TO GET SET
UP BUT JUST A PREVIEW WE HAVE-
MELISSA PATAK THE VICE
PRESIDENT SENIOR COUNSEL FROM-
MPA. WE HAVE A KERRY WHAT I
UNDERSTAND THE SENIOR PUBLIC
POLICY DIRECTOR AT SAG AFTRA.
AND WE HAVE STEWART WILD MEN
THE PRESIDENT OF THE VALLEY
INDUSTRY AND COMMERCE
ASSOCIATION SO WE'LL GIVE THEM.
A MOMENT TO SET UP THEIR
WHENEVER YOUR READY- MISS BATAK
IF YOU WANT TO KICK US OFF THAT
WOULD BE GREAT GREAT. YEAH.
OKAY YES DIRECTLY INTO THE
MICROPHONE. OKAY OUR- GREAT
THANK YOU SO MUCH MELISSA
ATTACK WITH THE MEASURE MOTION
PICTURE ASSOCIATION OF. THANK
YOU SO MUCH FOR HOLDING THIS
HEARING WELCOME TO THE ASSEMBLY
MEMBERS I JUST WANT TO NOTE ON
TIME DAVIS. SPOKE HERE IN HIS
DAY JOB AS WITH THE IATSE BUT
HE IS THE- AND I'M NOT SURE IF
HE WAS GOVERNOR APPOINTED OR
SPEAKER APPOINTED OR PRO TEM
APPOINTED BUT HE IS THE
CHAIRPERSON OF THE CALIFORNIA
FILM COMMISSION SO HE I. DOES
DOUBLE DUTY ON BEHALF OF OUR
BUSINESS OUR INDUSTRY AND ALL
THE- EVERYBODY WHO DERIVE.
THEIR LIVELIHOOD FROM IT SO WE
JUST WANTED KNOWLEDGE THAT AS
WELL. OKAY SO I HAD HOPED TO
HAVE A POWER POINT- CAPABILITY
HERE TO WALK YOU THROUGH-
LITTLE DOCUMENT A LITTLE DEAF
CALLED PRODUCTION SPENDING
TRENDS I'VE MADE. ON THE FM
WAS. GRACIOUS ENOUGH TO MAKE A
COUPLE OF COPIES SO THE
LEGISLATORS COULD ON THE
ASSEMBLY MEMBERS COULD LOOK
ONLINE THAT'S IT I'M GOING TO
WALK YOU THROUGH IT IT'S NOT IN
COLOR I'M GOING TO SEND IT. BY
EMAIL ON AFTER THE HEARING TO
YOUR STAFF ASSEMBLY MEMBER-
GABRIEL TO MAKE SURE THAT YOU
HAVE IT ON- YOU KNOW FOR THE
RECORD SO BUT IT'S TIME JUST
CAN TAKE A FEW MINUTES. TO WALK
YOU THROUGH THAT IT TELLS YOU
WHAT'S HAPPENING WITH
PRODUCTION. BOB SO FIRST FOR
THE MPA AT YOU ALL KNOW WE ARE
AYE WE REPRESENT THE LEADING
PRODUCERS AND DISTRIBUTORS OF
MOTION PICTURES AND TELEVISION
PRO PROGRAMS ACROSS ALL
PLATFORMS. FROM THEATRICAL
MOTION PICTURES TO BROADCAST
CABLE. SATELLITE AND NOW OF
COURSE STREAMING SERVICES. SO
IF YOU LOOK AT THE POWER POINT
ON. AT IT SHOWS YOU WITH THE
TREND OVER STARTING IN TWO
THOUSAND TWO ALL THE WAY UP TO
TWO THOUSAND EIGHTEEN AND YOU
CAN SEE. THAT THE AMOUNT OF
SCRIPTED TV SERIES WE'RE NOW AT
ABOUT FIVE HUNDRED SCRIPTED TV
SERIES BEING PRODUCED- REALLY
ARE- THROUGHOUT. THE WORLD THAT
ARE BEING AIRED ON VARIOUS
NETWORKS. I'M THIS TELLS YOU
LIKE IN TWO THOUSAND TWO THERE
WERE A HUNDRED AND EIGHTY TWO
AND YOU CAN SEE TWO THOUSAND
EIGHTEEN WOULD FOUR HUNDRED
NINETY SIX THE INTERESTING
THING IS TO NOTE. WHERE ARE
THEY BEING DISTRIBUTED HOW ARE
PEOPLE SEEING THEM SO BY THE
BOTTOM BAR AGAIN IT'S A BLUE
BAR YOU CAN'T SEE IT IS IT IS
ON THE TWO THOUSAND TWO IT SAYS
THIRTY. AND IN TWO THOUSAND
EIGHTEEN IT SAYS A HUNDRED AND
FORTY FIVE THAT IS- OUR BASIC
CABLE. OKAY AND BASIC CABLE IS
LIKE SCI FI- TNT FREEFORM
NICKELODEON AND ALL OF THOSE
NETWORKS. OUGHT THAT THE NEXT
BAND IS THE RED BAND AND THAT'S
PAY CABLE- THAT'S LIKE HBO AND
SHOWTIME AND THOSE TYPE OF
CABLE I NETWORKS. SO IN TWO
THOUSAND TWO. WE HAD SEVENTEEN
OF THOSE AND IN OUR TWO
THOUSAND EIGHTEEN WERE UP TO
FORTY FIVE. SO YOU CAN SEE THE
GROWTH IN THAT AREA. THE NEXT
BAND IS THE GREEN BAND THAT'S
THE MORE TRADITIONAL BROADCAST
TV. I AND WERE ON. THAT SORT OF
A MOVING A LITTLE BIT IT WAS A
HUNDRED THIRTY FIVE IN TWO
THOUSAND TWO- BUT WE HAD NO
STREAMING IN TWO THOUSAND TWO
ON IT DECLINES IN TWO THOUSAND
ELEVEN TO ONE SIXTEEN. WHAT'S
BACK UP TO ONE FORTY SIX I AM
BROADCAST TRADITIONAL BROADCAST
IS AS YOU KNOW ABC CBS NBC- FOX
AND THE CW SO FIVE NETWORKS
THEN THE TOP BAND IS THE PURPLE
BAND. I AND YOU SEE IT DIDN'T
EXIST IN TWO THOUSAND TWO THAT
IS OUR STREAMING SERVICES- SO
THAT IS NETFLIX HULU CBS ALL
ACCESS- AND AMAZON PRIME AND TO
THAT CAME ON IN TWO THOUSAND
ELEVEN. AND YOU CAN SEE IT'S
GONE FROM- YOU KNOW A MINUSCULE
NUMBER IN TWO THOUSAND ELEVEN
TO NOW A HUNDRED AND SIXTY.
SERIES BEING PRODUCED DIRECTLY
FOR THE STREAMING SERVICES SAID
THESE NUMBERS JUST FOR U. S.
BROADCASTS AND VIEWING OR IS
THIS INCLUDING. PRODUCTION FROM
INDIA THAT WE NEVER SEE YOUR
AROUND RIGHT WORLD RIGHT SO
THAT YOU KNOW THAT IS. I THINK
IT'S U. S. OKAY US PERFECT U.
S. RIGHT IT'S ART YES FOR OUR
AND NOW SOME OF OUR U. S. OR
SEEN GLOBALLY NETFLIX YOU CAN
SUBSCRIBE TO GLOBALLY BUT THESE
ARE OUR U. S. PRODUCTIONS OKAY
AND ARE FOOTNOTE SAYS THAT IF
YOU INCLUDED THE UNSCRIPTED
SERIES WE WOULD BE AT ONE
THOUSAND. SIX HUNDRED AND
TWENTY. OKAY OKAY SO IF YOU GO
TO THE SECOND PAGE ON THIS IS A
BAR GRAPH. AND IT SHOWS YOU THE
PROJECTION THAT WE BELIEVE
THAT- BY TWENTY TWENTY TWO JUST
TWO YEARS FROM NOW. WE'RE GONNA
HAVE A 20% INCREASE IN WILL BE
AT SIX HUNDRED SCRIPTED TV
SERIES. ARE AND SO THAT'S
REALLY A TREMENDOUS. TREMENDOUS
GROWTH. ARE THAT WE CAN WE
EXPECT TO SEE. BOB AND THEN
FEATURE FILMS ALSO EXPERIENCING
GROWTH THAT'S THE NEXT PAGE IF
YOU FLIP TO THE NEXT. OUR BAR
GRAPH THAT SHOWS YOU THE NUMBER
OF FEATURE- ORIGINAL FEATURES
FOR STREAMING SERVICES OKAY. SO
AGAIN WE EXPECT THAT NUMBER. TO
REACH OVER A HUNDRED BY TWENTY
TWENTY TWO. SO THE NEXT CHART I
THE NEXT SLIDE. TELL YOU WHAT
WE'RE EXPERIENCING WITH
STREAMING SERVICES SO IN TWENTY
NINETEEN WE ADDED- DISNEY PLUS
AN APPLE TV AND THOSE ARE TWO
NEW STREAMING SERVICES AND THEY
ARE PRODUCING ORIGINAL CONTENT
JUST FOR THOSE SERVICES AND
SHORTLY DURING THIS YEAR WE
EXPECT OUR NBC UNIVERSAL'S A
STREAMING SERVICE CALLED
PEACOCK ON HBO MAX WHICH IS
WATER MEDIA STREAMING SERVICE
AND THEY WILL COME ON LINE
LATER THIS YEAR. AND THEN QUIT
BE. WHICH ARE IS KIND OF A-
ACRONYM OR SHORT FORM FOR QUICK
BITES THAT IS THE NEW COMPANY
ART STARTED BY JEFFREY
KATZENBERG AND MEG WHITMAN AND
THEY'RE PRODUCING SHORT FORM.
SCRIPTED CONTENT IT WILL HAVE
JOBS JUST LIKE OF A FEATURE
FILM THE SAME KINDS OF CAST AND
CREW WILL PRODUCE THOSE ARE BUT
IN TEN MINUTE SEGMENTS FOR YOUR
MOBILE PHONE. ON PROBABLY GOOD
FOR MY KIDS MAYBE NOT SO MUCH
FOR A NOT YOU KNOW AN OLDER
GENERATION BUT THIS IS HOW
PEOPLE WANT THEIR CONTENT IF
YOU'RE COMMUTING IF YOU ARE-
WAITING IN LINE YOU KNOW SOME
PLACE YOU CAN CATCH A TEN
MINUTE EPISODE SO THAT IS
EXPECTED TO COME ONLINE IN JUST
A FEW WEEKS. AND AGAIN WE'LL OP
PRODUCE LOTS MORE- ODD LOTS
MORE OPPORTUNITIES FOR MORE
PRODUCTION THE LAST SLIDE I
TELL YOU HOW MUCH IS BEING
SPENT AND THIS IS AN ESTIMATE-
THE MPA. HAS CALCULATED TWENTY
BILLION IN TWENTY EIGHT AND
THIS IS TWENTY EIGHTEEN NUMBERS
TWENTY BILLION DOLLARS SPENT BY
THE TRADITIONAL SERVICES AND
EIGHTEEN BILLION BY THE
STREAMING SERVICES THIRTY EIGHT
BILLION. AND THIS IS WHERE WE
TAKE A FAIRLY CONSERVATIVE VIEW
BUT VARIETY LAST RECENTLY AN
ARTICLE ON IN JANUARY AND THEY
SAID ACTUAL AMOUNT SPENT IN
TWENTY NINETEEN BASED ON THEIR
RESEARCH WAS A HUNDRED AND
TWENTY BILLION DOLLARS IN.
ORIGINAL CONTENT OBVIOUSLY BIG
DIFF BUT SO WE EAT A LOT OF
MONEY THAT'S THAT IS SPENT ON
PRODUCTION. AND WHAT IS THE
MEAN THOUGH IT MEAN AT I'M-
THAT I'M PRESIDENT OPPORTUNITY
TO GROW AND EXPAND THE GOOD
MIDDLE CLASS JOBS AS WELL AS
THE BUSINESSES THAT SUPPORT
MOTION PICTURE AND TELEVISION
PRODUCTION. WE DO HAVE A
SUCCESSFUL PRODUCTION TAX
CREDIT PROGRAM AS THE OTHER
PANELISTS HAVE SPOKEN TO OPT
FOR THE PAST FIVE YEARS IT'S
PROVIDED A STABLE THREE HUNDRED
THIRTY MILLION. DOLLARS
ANNUALLY TO ATTRACT AND RETAIN
GOOD QUALITY FILM AND
TELEVISION SERIES. OUGHT BUT
THE AMOUNT OF PRODUCTION IS NOW
EXPLODING ON WITH TREMENDOUS
TREMENDOUS GROWTH. A PRODUCTION
TAX INCENTIVE PROGRAM THAT
REMAIN STABLE WON'T ALLOW
CALIFORNIA TO CAPTURE ITS FAIR
SHARE OF THE PRODUCTION BOOM
AND WE KNOW THOSE PRODUCTIONS
OUR JOBS. JOBS FOR THE PEOPLE
WHO APPEAR IN FRONT OF A CAMERA
MY COLLEAGUE KERRY WE'LL TALK
MORE ABOUT THAT FOR SAG AFTERS
MEMBERS THE ACTORS AND OF
COURSE FOR THE BELOW THE LINE
UP BEHIND THE CAMERA- CREW
MEMBERS DOES A REALLY GOOD
MIDDLE CLASS JOBS. THE
OPPORTUNITY MEANS FOR
CALIFORNIA AND THE SAN FERNANDO
VALLEY TO CREATE MORE JOBS AND
GROW GROW OUR OUR LOCAL
BUSINESSES. I THANK YOU VERY
MUCH AND I'M HAPPY TO ANSWER
ANY QUESTIONS. THANK YOU VERY
MUCH I THINK WE'RE GONNA HAVE
BECAUSE WE HAVE ALL THE
PANELISTS AND THEN WE'LL GO TO
QUESTIONS BUT IT IS I WILL JUST
SAY MISTER TACK YOU WERE.
REMIND ME TO TAKE MY BOYS TO
GET A HAIR CUT LAST WEEK AND I
WAS WONDERING HOW PARENTS GOT
THEIR KIDS HAIR CUT BEFORE
STREAMING SERVICES ON MOBILE
DEVICES. THERE YOU GO. WE RELY
VERY HEAVILY ON THEM FOR ALL
KINDS OF DIFFERENT THINGS. HOW
HOW WE DID ANYTHING. CORRECT
SO- MISSING. YEAH THANK YOU. HI
I'M CAREY WHAT EITHER IT'S AND
I'M AND NATIONAL DIRECTOR OF
GOVERNMENT AFFAIRS PUBLIC
POLICY AT SAG AFTRA. THANK YOU
VERY MUCH FOR THE INVITE TODAY.
WE HAVE ABOUT A HUNDRED SIXTY
THOUSAND MEMBERS NATIONWIDE-
EIGHTY THOUSAND OF THEM LIVE
HERE IN CALIFORNIA- AND ABOUT
THIRTY FIVE THOUSAND OF THEM
LIVE RIGHT HERE IN THE SAN
FERNANDO VALLEY. SO THIS. FOR
OUR MEMBERS IS THAT WHERE THEY
LIVE IT'S VERY IMPORTANT AS MY
COLLEAGUES HAVE MENTIONED. TO
OUR MEMBERS THAT THEY WORK
WHERE THEY LIVE JUST LIKE ALL
OF YOU- WHICH IS WHY I WANT TO
FIRST START OUT WITH THE TAX
CREDIT PROGRAM AND HOW
IMPORTANT IT IS FOR US FOR OUR
UNION AND FOR OUR MEMBERS TO.
HAVE WORK HERE IN THE VALLEY
HERE IN CALIFORNIA. IN OUR LAST
NEGOTIATIONS I JUST WANT TO
POINT OUT THAT- TRAVEL
EXPENSES- ARE GETTING LESS AND
LESS AND LESS FOR OUR MEMBERS
OF THE- BECOMING A LOT HARDER
TO NEGOTIATE. IF THEY HAVE TO
GO FILM PRODUCTION IN GEORGIA
WHICH IS A GREAT OPPORTUNITY
FOR THAT THEY CAN'T TURN IT
DOWN ITS WORK. IF TO PAY TO GET
THERE. HAVE TO PUT PAY TO FLY
HOME TO SEE THEIR KIDS. TO GET
AN APARTMENT THESE ARE VERY
EXPENSIVE THINGS THAT THEY'RE
INCURRING THAT ARE NOT
INCLUDED. IN THEIR PAY SO I
JUST WANT TO POINT OUT YOU KNOW
IT'S JUST VERY IMPORTANT. TO
OUR MEMBERS THAT THERE ARE.
THERE ARE OPPORTUNITIES HERE IN
CALIFORNIA THAT'S DIRECTLY TIED
TO THE TAXES THAT ARE PROGRAM.
I'M WHEN I THOUGHT ABOUT THE
FUTURE BUT I ALSO WANT TO POINT
OUT THAT THIS IS. PROBABLY ONE
OF THE EXPORTS FOR CALIFORNIA
THIS INDUSTRY RIGHT IN THE
UNITED STATES AS A WHOLE- AND
ITS UNIONIZED FROM TOP TO
BOTTOM THIS INDUSTRY SO I JUST
WANTED TO. POINT THAT OUT AS A
YOU KNOW ONE OF THE UNION.
PEOPLE ON THIS PANEL. AND I WAS
WAS THINKING ABOUT THE FUTURE.
YOU KNOW THAT THE TITLE OF THIS
PANEL- AND HOW. IN TWO THOUSAND
THIRTEEN HOUSE OF CARDS. WAS
THAT SORT OF ONE OF THE FIRST
SHOWS THAT WAS THIS STREAMING
NETFLIX NONTRADITIONAL. SHOW
THAT WE WORKED ON IT WE WORK.
WE ARE TRYING TO NAVIGATE. THAT
CONTRACT AND HOW TO DEAL WITH
THAT. AND WE STILL ARE SINCE
THEN AND NOW WE'RE IN TWENTY
TWENTY WE'VE GOT A- WAY BETTER
HANDLE ON. THE STREAMING BUT I
THINK THAT'S THE FUTURE I MEAN.
IT'S NO LONGER TRADITIONAL.
COMPANIES MEMBER COMPANIES THAT
ARE. RELEASING A COUPLE FEATURE
FILMS A YEAR. AND THAT'S IT I
MEAN NOW YOU HAVE MORE CONTENT
THAN EVER. BEING PRODUCED ALL
THE TIME BY NETFLIX I MEAN SO
ARE UNION WE'RE TRYING TO KEEP
UP WITH. THE AMOUNT OF CON ALL
CONTENT OUT THERE THAT. WILL
HELP WE CAN GET RESIDUALS FOR
OUR MEMBERS. YOU KNOW WRITTEN
INTO THE CONTRACT IT'S VERY IT
IT'S BEEN A VERY BIG. TIME FOR
THE UNION TO KEEP UP WITH THE
STREAMING IN THE IN THE WHO
LOSE IN THE NETFLIX BUT WE DO
HAVE AN EXCLUSIVE AGREEMENT NOW
WITH NETFLIX WHICH WERE VERY
PROUD OF- THAT WAS A BIG THING
THAT WE DID- JUST THIS PAST
YEAR- SO. I ANYWAY I YOU KNOW
IT ANOTHER FUTURE- THEMED. AT
THE AYE WE ARE DEALING WITH IS
THIS DEEP FIX THAT I KNOW I'M
I'M GONNA MENTION IT BECAUSE
FOR OUR UNION IT'S A BIG DEAL
FOR OUR MEMBERS THEY ARE PUT
INTO. A LOT OF VIDEOS ONLINE-
WE DON'T HAVE A SOLUTION TO IT-
WE ARE WORKING ON IT IT'S A
VERY TOUGH ROAD. THE NAVIGATOR-
AND WE WORKED A LOT WITH. YEAH
WE PASSED A BILL LAST YEAR YES
HE DID SO WE THANK THE
LEGISLATURE FOR ITS SUPPORT
AND- WE'RE TAKING THAT COPIED
IN SOME OTHER STATES YES I GOT
HAD A BILL LAST YEAR THE AB
SIX. TWO AND IT WAS ABOUT
DIGITIZE NUDITY- HOW IT'S NOW A
CIVIL ACTION IN CALIFORNIA. YOU
CAN SEE YOU IF YOU ARE PUT INTO
A YOU KNOW OF. A NEW SCENE
WITHOUT YOUR- WHICH IS THERE IS
A STEP FORWARD AND WE ARE VERY
PROUD OF THAT AND THAT EFFORT
SO WE'RE GOING TO CONTINUE
DOING THAT IN OTHER STATES.
POSSIBLY AT THE FEDERAL LEVEL
BUT THAT'S AN AREA THAT WE'RE
REALLY I KNOW IT POLITICS
THEY'RE LOOKING AT IT AS WELL
WITH THE FAKE NEWS AND STUFF
LIKE THAT BUT WE ARE ALSO
LOOKING AT IT FOR OUR MEMBERS
AND A- MORE OF A YOU KNOW- PART
OF GRAPHIC OR- NUDE. GET A
CONTENT LIGHT. SO JUST ONE
MENTION THAT AND- I YOU KNOW I
HAD ON RESIDUALS THAT'S A BIG
DEAL FOR OUR MEMBERS- WITH ALL
THE STREAMING- AND OBVIOUSLY.
AS I MENTIONED THE MAJORITY OF
THEM LIVE HERE RIGHT HERE IN
THE VALLEY RIGHT HERE IN
CALIFORNIA VERY IMPORTANT TO
GET. STRONG TAX CREDIT AND YOU
KNOW THAT'S ABOUT THAT'S ABOUT
IT I DON'T HAVE A POWER POINT
LIKE MY- THAT'S WHAT IT THANK
YOU VERY MUCH THANKS FOR
INVITING ME AND TO STERN.
WONDERFUL THANK YOU. ALL RIGHT
STORE WALL MEN- PRESIDENT THE
VALLEY AND STERN CONVERSES SO
SEASON MY FOUR YEAR OLD EIGHT
MY POWER POINT SO- MIKE- IF THE
VALLEY MISTER COVER CESSATION
ALSO MOVES LIKE- WE REPRESENT
ABOUT FOUR HUNDRED BUSINESSES-
FROM SMALL BUSINESSES TO LARGE
BUSINESSES. ONLY ATTEND THEIR
ENTERTAINMENT INDUSTRY PEOPLE
NOT- BUT ONE OF THE THINGS IN
THE VALLEY IS THAT THE
ENTERTAINMENT INDUSTRY TOUCHES
ALL OF OUR LIVES- FROM OUR
ARMED- LIKE A MEMBERS WHO HAVE
A TWENTY FOUR HOUR DRY CLEANER-
TO A FRAMING COMPANY THAT DOES
A LOT OF WORK FOR STUDIO- TO-
ARE BELOW THE LINE FOLKS WHO
ARE PROP HOUSES. AND OTHER
FOLKS- IT IS SO IMPORTANT TO
OUR INDUSTRY TO OUR OUR ECONOMY
IN THE VALLEY- AND A DREAM WEEK
WE NOW COUNT IN TWO MILLION
PEOPLE IN THE VALLEY- WE CLAIM
SOME PEOPLE THEY MAY NOT WANT
IT BUT THERE ARE STILL IN THE
ALLEY WITHIN THE LIKE IT OR NOT
BUT YOU KNOW IT WAS FASCINATING
TO ME WHEN I STARTED. WHEN I
HAD KIDS AND STARTED GOING
SOCCER AND- PRESCHOOL NOW
KINDERGARTEN- THE AMOUNT OF
PEOPLE WHO WORK IN THE INDUSTRY
AND DO FROM EVERY ASPECT OF
THEIR PEOPLE THAT YOU'RE LIKE
OH THAT'S A JOB AND I THINK
IT'S A VERY WELL PAYING JOB SEE
THE CAR. AS HE UP NOT. THE AND
IT'S LIKE A HAS ALWAYS REC THE
IMPORTANCE OF FILMING AND THE
VALLEY BACK IN THE NINETEEN
THANK. JUST A- VIDEO A VHS TAPE
AB WE GAVE OUT TO THE- ON AWAY
FOR. WE LAY UPGRADE IT TO A BUT
WE'VE LAW BEEN IT'S- AND T. I
WAS EXCITED WHEN- OUR ASSEMBLY
MEMBER- PARKER KOREAN WORKED ON
THE FILM CREDIT WITH HIS THEN
CHIEF OF STAFF. A DREAM THIS
AREA AT ANY MEANT SO MUCH TO US
AND THE- WE HAD- HERE- AND I
WANT TO THANK ALL OF YOU FOR
TAKING THE TIME- I'VE I'VE
SPOKEN WITH ALL OF YOU OFF LINE
SO I KNOW THAT. YOU KNOW HOW
IMPORTANT THESE JOBS ARE- TO
THE VALLEY OF. ITS WE ALL KNOW
THAT THE FILM INDUSTRY IS
CHANGING WITH THE EXPANSION OF
DISTRIBUTION PLATFORMS AND A
GROWING GLOBAL MARKET AND IT'S
MELISSA TALKED ABOUT THE-
INCREASES IN SCRIPTED SERIES.
THEY'RE ALSO BEEN AN INCREASE
IN A FEATURE FILMS- FROM
SEVENTY ALL CLOSE SEVENTY FOUR
FIVE HUNDRED AND 200-014-8200
AND TWO THOUSAND EIGHTEEN. OF
THE INCREASE IN PRODUCTION
MEANS MORE SOUND STAGES MORE
POST PRODUCTION FACILITIES- AND
IT REALLY ALLOWS US TO FOSTER A
SKILLED WORK FORCE- AND IT
MEANS A LOT FOR THE LOCAL
ECONOMY. I COMPETITION AMONG
CONTENT CREATORS MEET TO MEET
GROWING DEMAND I HAS CREATED
ADDITIONAL COST PRESSURES OF
THE STUDIOS ARE PRODUCING
BILLIONS OF DOLLARS MORE IN
CONTENT. IN LEFT TO MOUNT OF
TIME. PRODUCTIONS ARE COMPETING
FOR WORKERS TALENT AND SOUND
STAGE SPACE- PRODUCTIVE AND
THEN SPUR JOB. PRODUCTION
INCENTIVES ARE KEY TO
DETERMINING WHERE FEATURE FILMS.
CALIFORNIA OTHER NINETY SEVEN
INCENTIVE PROGRAMS GLOBALLY
WITH THIRTY FOUR IN THE UNITED
STATES ALONE AND THESE OTHER
STATES AND COUNTRIES AROUND THE
WORLD ARE COMMITTED TO
ATTRACTING- PRODUCTION TO THEIR
JURISDICTIONS AND WE WANT TO
KEEP THEM. IN OURS- THE BILL
FROM THEM PRESS OF MULTI STAGE
FACILITIES AND INSTITUTED JOB
TRAINING PROGRAM THIS WELL-
THOSE ARE ALL BENEFITS THAT WE
WANT TO KEEP HERE YOU KNOW IF
WE COULD- WE KEEP. ALL
PRODUCTION AND AN ALLY- THERE
WAS WE HAD- AS US SENATOR
DEBBIE STABENOW FROM FISHING
AND COME OUT TO SPEAK TO OUR
MEMBERS ONE TIME AND- STEPHEN
THIS AND- FORMALLY WITH NBC
UNIVERSAL WAS TALKING TO HER.
AND SHE KNEW THAT THERE WERE
THREE PRODUCTIONS HAPPENING IN
MICHIGAN AT THAT TIME AND I WAS
I WAS A CASE YOU FOR WHAT'S UP
WITH HIM. AND HE'S LIKE WELL
YEAH WE GO WE GO WHERE WE CAN.
AND YEAH IT WAS VERY EYE
OPENING FOR ME AND THIS JOB TO
REALIZE THAT YOU KNOW AT THE
END OF THE DAY- YEAH. THESE
COMPANIES ARE BUSINESSES AND
THEY HAVE TO MAKE MONEY AND IF
WE ARE GIVING THEM THE
INCENTIVES TO STAY IN LA TO
PRODUCE JOBS IN LA THEY'RE
GOING TO GO SOMEWHERE ELSE. AND
I AM NO PRESSURE BUT THAT'S
REALLY ALL ON. YOUR LAP. SO
YEAH. WE NEED TO BE ABLE TO
COMMIT- AND INTO MORE- WE'RE
EXPECTING PRODUCTION AND
CONTINUE TO GROW AND WE NEED TO
ADDRESS A MEASURES TO INCREASE
FUNDING. TO THE CALIFORNIA
REALLY CAN COMPETE IN THE
MARKET PLACE FOR STUDENTS THE
US MINT JOB CREATION AND-
ECONOMIC GROWTH IN THE AUDIO
WELL SECOND. IT'S AN OPPORTUNE
STRING IN CALIFORNIA FORCED BY
PLANE. FOCUS ON FOR BELOW LINES.
I COMPETITOR CAL PRODUCTION
TACK CREDIT WILL STRENGTHEN OUR
HOLY. RETAIN AND EXPANDING
PAYING JOBS OPPORTUNITIES FOR
THOUSANDS OF BALLOT RESIDENTS.
THANK YOU FOR YOUR TIME IN THE-
THANK YOU VERY MUCH TO ALL OF
OUR- AT. THAT A OPEN AND TO
QUESTIONS FOR MY CALL IF ANY.
HAS ANY QUESTIONS FOR THIS
PANEL. CELEBRITIES I THANK YOU
FOR YOUR PRESENTATION THAT A
QUESTION FOR MELISSA. YOUR LAST
SLIDE SHOWS IS TWENTY BILLION
FOR TRADITIONAL SERVICES AND-
EIGHTEEN BILLION BEING SPENT ON
ONLINE- DO YOU EXPECT IT TO
SHIFT TO WITH THE MAJORITY
BEING ONLINE ENTERED WHAT WHAT
DO YOU SEE IN YOUR RESTAURANT
THE TRENDS RIGHT SO YES IT IS-
IN FACT I- I THINK OUR ESTIMATE
FOR TWENTY NINETEEN ON THE
ONLINE SIDE. IS THIRTY BILLION-
I DIDN'T I HAD THAT IN MY
STATEMENT I DIDN'T- BUT IT'S
NOT ON THIS RIGHT NOW SO IT'S
THIRTY EIGHT BILLION IN TOTAL
TOWARD TWENTY BILLION IN TWENTY
EIGHTEEN TWENTY BILLION DOLLARS
FOR THE TRADITIONAL SERVICES IN
EIGHTEEN BILLION WE THINK THAT
WILL EVENTUALLY IF NOT ALREADY
IN TWENTY NINETEEN SIR PASS
WHERE THEY'LL BE MORE SPENT. ON
ONLINE THAN THAN IN TRADITIONAL
BUT BUT THOSE TRADITIONAL IS
ARE NOT GOING AWAY YOU KNOW TO
A TNT NICKELODEON ALL OF THOSE
CABLE CHANNELS THEY'RE NOT
GOING AWAY EITHER ON AND NOT
EVERYBODY'S YOU KNOW WHILE.
THERE'S TREMENDOUS GROWTH IN
SUBSCRIPTIONS FOR ONLINE
SERVICES PEOPLE ARE STILL
TURNING ON THE TRADITIONAL TV
SO THERE WILL STILL BE ON
CONTENT CREATED FOR THE
BROADCAST WORLD AND FOR THE
CABLE WORLD BUT YES ONLINE IS-
IS GROWING SO SINCE ONLINE IS
GROWING IS OUR REGION SET UP.
TO TAKE ADVANTAGE OF IT
REMAINING HERE IN YOUR OPINION
OR WHAT WELL THAT'S IT YOU KNOW
THE PIE IS BIGGER RIGHT THE PIE
OF PRODUCTION IF YOU LOOK AT
WHAT SPENDING ON PRODUCTION IS
IT IT IS. GROWING AND WE EXPECT
AS AS NOTED THAT IT'S GOING TO
GET BIGGER SO BOB IF YOU SAY.
ARE SLICE OF THE PIE
REPRESENTED BY OUR PRODUCTION
TAX CREDIT WHICH AGAIN IS A
GOOD TAX CREDIT AND IT'S BEEN
PRIOR TESTIMONY ABOUT HOW THAT
RESTORED US AND NOW CALIFORNIA
IS ON THE MAP TO CHOOSE
CALIFORNIA BUT IF THAT PIE IS
BIGGER BUT YOU'RE SLICE IS
THREE HUNDRED THIRTY ONLY IN.
RIGHT REPRESENTED THEN YOUR
SLICES ACTUALLY SMALLER THAN
BECAUSE IT'S A NOW A BIGGER
PIE. SO I YOU KNOW PRODUCTIONS
NEED. CERTAINTY AND STABILITY
AND KNOWLEDGE THAT THOSE THE
INCENTIVE IS AVAILABLE- AND IF
NOT THERE ARE MANY OTHER
JURISDICTIONS THAT THAT ARE
COMPETING FOR THIS BUSINESS SO-
I CAN'T GIVE YOU IT'S NOT EASY
YES OR NO QUESTION BUT- I THINK
WE CAN. PUT THE FACTS ON THE
TABLE AND UNDERSTAND WHERE THE
TRENDS ARE. AND THERE WERE LAST
YEAR ONE POINT EIGHT BILLION
DOLLARS IN PROJECTS THAT DIDN'T
GET THE TAX CREDIT THAT LEFT
THE STATE- EIGHT HUNDRED
SEVENTY SIX MILLION WENT TO
GEORGIA THREE THIRTY MILLION
WENT TO NEW MEXICO. HUNDRED
THIRTY MILLION WENT TO NEW YORK
AND A HUNDRED TEN MILLION WENT
TO LOUISIANA SO THAT'S MONEY IN
THE ECONOMY AND JOBS THAT WE
DIDN'T GET. AND NOT A DATA IS
FROM THE CALIFORNIA FILM
COMMISSIONS PROGRESS REPORT
BECAUSE THEY WERE ABLE TO
TRACK- PRODUCTIONS THAT DIDN'T
GET INTO THE PROGRAM AND THEN
FOLLOWED WITH A WHITE SHINS
THAT THE RAP THAT WERE
SUBMITTED. AND THEN DID BECAUSE
SO AGAIN IT'S A YOU KNOW AS
IT'S BEEN SAID EVERYBODY WANTS
TO STAY IN CALIFORNIA SO THEY
GET MORE APPLICATIONS THAN. THE
THAN CAN BE SATISFIED AND SO
THE FILM COMMISSION IS DONE A
PRETTY A PRETTY GOOD JOB OF
BEING ABLE TO SAY OKAY WOULD
BE. TELL A PRODUCTION SORRY WE
CAN'T ACCOMMODATE YOU THEN THEY
FOR STAY IN TOUCH WITH THE
DESERT YOU KNOW THE PEOPLE WHO
HAVE FILLED OUT THE APPLICATION
TO FIND OUT WHAT WHERE DID YOU
DECIDE TO GO. PRESIDENT AND- SO
THANK YOU SO I HAD A COUPLE OF
QUESTIONS WHAT WAS- YOU KNOW WE
HEARD SOME CONVERSATION EARLIER
ABOUT- ISSUES RELATED TO
DIVERSITY IN THE INDUSTRY- I
THINK IT'S CLEAR FROM THE
LEGISLATION THAT WAS PASSED IN
TWO THOUSAND EIGHTEEN THAT YOU
KNOW IT'S THE VIEW OF THE
LEGISLATURE THAT WE ARE
PROVIDING PUBLIC INVESTMENT IN
THIS INDUSTRY WHICH WERE WERE
HAPPY AND PROUD TO DO BUT THAT
THE BENEFITS OF THAT PUBLIC
INVESTMENT SHOULD FLOW TO ALL
THE COMMUNITIES HERE
CALIFORNIANS I WANT TO. JUST
GET A APART FROM ANYBODY ON THE
PANEL ABOUT SORT OF THE EFFORTS
THAT WE UNDERTOOK IN RELATION
TO THE LACK TROUT LAST ROUND OF
TAX CREDITS AND WHERE WHERE YOU
SEE THAT GOING IN YOU KNOW WHAT
OTHER WORK MIGHT NEED TO BE
DONE TO MAKE SURE THAT. DID THE
DID THE JOB THE ROBBIE TO
CREATE AND MAINTAIN YOUR
CALIFORNIA REFLECT THE
DIVERSITY THE STATE. SO I'M
HAPPY TO TAKE THAT SO TOM ALL I
SPOKE ABOUT THE TIME DAVIS
SPOKE ABOUT THIS IN HIS
PRESENTATION SO WE HAVE A- A
CAREER PATHWAYS PROGRAM EVERY
PRODUCTION THAT BOB. GETS
ACCEPTED INTO THE- TAX CREDIT
PROGRAM. BEGINNING ON JULY ONE
OUT WILL MAKE A CONTRIBUTION TO
A CAREER PATHWAYS PROGRAM AND
THAT MONEY IS GOING TO BE
ADMINISTERED BY A TRAINING
TRUST FUND THE IATSE TRAINING
TRUST FUND. AND THAT TRUST FUND
WILL BE PARTNERING WITH-
ORGANIZATIONS NON PROFITS THAT
SERVE ARE UNDER REPRESENTED
COMMUNITIES AND TO CREATE A
PIPELINE FROM THOSE
ORGANIZATIONS ARE INTO THE I A
TRADING TRUST FUND WHERE THEY
WILL BE TRAINED. FOR A NUMBER
OF CLASSIFICATIONS IN WHAT WE
CALL THE BELOW THE LINE JOBS
AND BEHIND THE CAMERAS WHETHER
SECOND STRUCTURE AND- ON HAIR
AND MAKEUP OUGHT A NUMBER OF
THOSE- POSITIONS AND THEY'LL BE
MENTORED. BY COUNTERPARTS MORE
VETERAN MEMBERS OF THOSE UNIONS
TO HELP MAKE SURE THAT THEY GET
PLACED INTO POSITIONS AND THAT
THEY UNDERSTAND YOU KNOW THIS
IS AN INDUSTRY IF YOU MAKE THE
DECISION TO GET IN HERE YOU
KNOW YOU'RE GOING TO BE LIVING
WITH SOME UNCERTAINTY BECAUSE
YOU. YOU HAVE HAVE EMPLOYMENT
THE LEFT THE- THAT THAT PROJECT
IS WRAPPED AND THERE'S A PERIOD
OF UNEMPLOYMENT AND BUT YOU TO
BUILD REAL IF FOR ONE. YEAR
WELL SKILLED AND YOU HAVE
QUALITY WORK AND YOU MAKE THE
RELATIONSHIPS THEN YOU'LL GET
CALLED FOR THE NEXT PROJECT AS
THE TEAM GETS ASSEMBLED AND SO
BUT THOSE ARE NOT SKILLS THAT
COME NATURALLY TO MANY PEOPLE
SO. ON THIS PROGRAM WE EXPECTED
AND OUR HOPE IS THAT WE CREATE
MENTORSHIPS AND- A PIPELINE FOR
PEOPLE TO GAIN A CAREER NOT
JUST A ONE TIME PLACEMENT ON IT
IN A JOB AND SO WERE. ON YOU
KNOW WE'RE HOPEFUL AND WE'RE
GOING TO GET ALL THE ATTENTION
TO MAKE SURE IT'S NURTURED
PROPERLY- ANNA WE HOPE BUT- A
YEAR FROM NOW OR TWO YEARS NOW
THAT WE HAVE- SOME GOOD.
SUCCESS STORIES TO SHARE WITH
YOU GREAT GREAT WE LOOK FOR
TEARING THEM DID YOU WANT TO
YEAH I JUST WANT TO POINT OUT
SAID AFTER WE HAVE A DIVERSITY.
INCLUSION PROGRAM WE'RE HAVE
COMMITTEE TO THIS ENDEAVOR- ON
SCREEN AND OFF YOU KNOW AS A
MEMBER ORGANIZATION- WE IT'S
OUR PREFERENCE THAT ALL HUNDRED
AND SIXTY THOUSAND MEMBERS ARE
WORKING ALL THE TIME YOU KNOW
WE DON'T WE- WANT EVERYBODY TO
JOIN THE UNION THERE ARE NO- SO
FOR US I MEAN WE PROMOTE
DIVERSITY INCLUSION. HOWEVER
YOU KNOW WE CAN I JUST WANT
ALSO POINT OUT THAT WE WERE.
VERY INVOLVED IN A LOT OF THE
ME TWO BILLS AND PASSING THOSE
IN SACRAMENTO- IN THE PAST
COUPLE OF YEARS AND THEN WE'VE
ELIMINATED NON DISCLOSURE
AGREEMENTS AND SECRET
SETTLEMENTS AND THINGS LIKE
THAT SO. PART OF THOSE EFFORTS
AND WE CONTINUE TO FOCUS ON
THAT AS WELL. GREAT. THAT'S
WERE CLAPPING FOR ABSOLUTELY
YEAH THAT. SO I GUESS I'LL JUST
AS SORT OF A WRAP UP QUESTION
YOUR BECAUSE I WANNA KEEP US-
ON SCHEDULE LEAVE SOME TIME FOR
PUBLIC COMMENT- YOU KNOW WE'VE
HEARD TESTIMONY TODAY ABOUT A
LOT OF DIFFERENT ISSUES
QUESTIONS ABOUT SOUND
SOUNDSTAGE SCARCITY ABOUT. HI
YOU KNOW THE EFFICACY OF THE OF
THE TAX CREDITS AND HOW THOSE
ARE WORKING ABOUT ISSUES
RELATED TO DIVERSITY ABOUT THE
GROWTH IN STREAMING IN
INVOLVING TECHNOLOGY AND YOU
KNOW WHERE THE INDUSTRY MAYBE
GROWING SO FOR THE VANTAGE
POINT OF FOLKS ARE I THINK I
CAN SPEAK FOR MY COLLEAGUES
THESE ARE. REALLY FOLKS ARE
VERY COMMITTED TO THE SAN
FERNANDO VALLEY VERY COMMITTED
TO LOS ANGELES AND VERY
COMMITTED TO. BEING A GOOD
PARTNERS WITH THE ENTERTAINMENT
INDUSTRY TO STRENGTHEN YOU AND
HELP KEEP JOBS HERE. IN OUR
COMMUNITIES- WHAT WHAT WHAT
WHAT WHAT WOULD BE THE TOP
ISSUE TODAY WE SHOULD KEEP OUR
EYE ON THE BALL IN TERMS OF
WHAT IS WHAT IS THE ISSUE THAT
RISES TO THE TOP OR- YOU KNOW
ONE OR TWO ISSUES THAT WE
SHOULD TAKE BACK TO OUR
COLLEAGUES AND SAY THESE ARE
THINGS THAT. FROM THE VANTAGE
POINT OF POLICY MAKERS IN
SACRAMENTO WE OUGHT TO BE
FOCUSED ON. HI WILL THIS. THE
SIZE OF THE PRODUCTION TAX
CREDIT TO BE MINDFUL OF HOW. ON
THE INDUSTRY. IS EXPANDING AND
GROWING- AND TO MAKE SURE THE
CALIFORNIA. REMAINS
COMPETITIVE. YOU KNOW. LIKE
THERE IS A- AS IT'S BEEN SAID-
I THINK PHIL- FROM FILM LA SAID
YOU KNOW THE COMPETITION IS NOT
GOING AWAY. ON THIS IS A GREAT.
INDUSTRY THESE. ARE GREAT JOBS.
AND OTHER- OTHER. OFFICIALS AT.
ELECTED OFFICIALS A BUT YOU
KNOW IN OTHER JURISDICTIONS. IN
EFFORTS TO DIVERSIFY THEIR
ECONOMIES HAVE SAID HEY WE CAN
YOU KNOW THIS LET'S ATTRACT
THESE JOBS LET'S TRAIN OUR OUR
OWN WORKERS. AND SO IT IT'S NOT
THE COMPETITION ISN'T GOING
AWAY SO WE WOULD YOU KNOW
CALIFORNIA WANTS TO REMAIN
COMPETITIVE AND MAKE SURE IT
GETS ITS FAIR SHARE OF ALL THAT
PRODUCTION THAT'S OUT THERE AND
I THINK THAT'S THE- THING TO
KEEP- THE- YOUR EYE ON THAT
BALL. GREAT THANK YOU YEAH I
MEAN I CAN'T THINK OF ANYTHING.
MORE IMPORTANT THAT WE CAN DO
IN SACRAMENTO THEN THE TAX
INCENTIVE PROGRAM FOR OUR FOR
OUR INDUSTRY. BY BACK LEVEL IS
THAT WOULD BE. AN AYE ECHO.
OTHER TEAM. TO WORKS UP HERE
HAVE SAID ABOUT THE TWO CREDIT
I'M AND I ALSO THROW IN THAT.
YEAH HE IN A TO MY CVS THIS YOU
TO FIX AB FIVE. AS HAVING A
NEGATIVE EFFECT ON THE
ENTERTAINMENT INDUSTRY. ALL
RIGHT THANK YOU VERY MUCH SO WE
NOW HAVE WE HAVE A FEW MINUTES
FOR PUBLIC COMMENT I'M
CERTAINLY ONE HERE FOR MEMBERS
THE PUBLIC CAN I JUST GET A
SHOW OF HANDS OF FOLKS ARE
INTERESTED IN DOING PUBLIC
COMMENT. OKAY SO WE HAVE WE
HAVE QUITE A FEW SO WHAT WE'RE
GONNA DO IS ASK EVERYONE IF
THEY CAN'T TO. TO LIMIT
THEMSELVES TO Y. TOOK TO ONE
MINUTE NOT WAY WILL HAVE A
CHANCE FOR EVERYBODY TO SPEAK
EQUALLY BECAUSE WE DO WANT
HAVE. MAKE SURE EVERYONE HAS A
CHANCE TO BE HEARD SO THAT'S
GOING TO GIVE A BIG ROUND. OF
APPLAUSE TO OUR PANELISTS.
THANK YOU FOR. WE GET YOUR WE
CAN USE THAT MICROPHONE FOR
PUBLIC COMMENT OR OKAY GREAT SO
IF YOU WANT TO GO AHEAD AND
RAISE YOUR HANDS- WILL. PASS
THE MICROPHONE. YEAH WE CAN
LINE UP IN THE MIDDLE I DON'T
KNOW YEAH. THAT WAY IF THEY
WANT YEAH GOOD IDEA. WELL TO
TELL. YEAH YEAH GABBY GABBY.
JUST A.
IF I OH YEAH OKAY. OKAY
OKAY. YEAH YEAH YEAH SHARKS ARE
GONNA GET YOU IS YOURSELF SO HI
I'M ADRIAN'S ON CAN I'VE MET
ASSEMBLY MEMBER DESIRING BEFORE
I'M PART OF A- A GROUP
REPRESENTING INDEPENDENT
MUSICIANS WE HAVE A PETITION
RIGHT NOW THAT HAS ALMOST TWO
HUNDRED THOUSAND SIGNATURES
REQUESTING AN EXEMPTION FOR AB
FIVE WERE NEGOTIATING WITH THE
VARIOUS UNIONS AND MUSIC
INDUSTRY COALITION STOKELY GOT
THAT EXEMPTION AND I'D LIKE TO
RESPOND TO YOU KNOW THE HUMAN
COST WAS MENTIONED ON YOU KNOW
AB FIVE IS SORT OF THE ANTI TAX
CREDIT THE WAY I SEE IT PEOPLE
ARE MOVING OUT OF STATE IT'S
ONLY FEBRUARY- I HAVE A GOOD
FRIEND THAT'S- AT FORCED TO
MOVE OUT OF STATE TO GET WORK
BECAUSE HE'S NO LONGER ABLE TO
GET WORK HERE. BECAUSE HE CAN'T
GET HIRED I JUST YESTERDAY I
HEARD OF THE MUSICAL THEATER
THAT WILL BE CONTRA COSTA
MUSICAL THEATER THAT WILL BE
CLOSING AFTER SIXTY YEARS-
ROSEVILLE JAZZ FESTIVAL I IS
TALKING ABOUT CLOSING I USED TO
PRODUCE- I JUST CUSTOMER-
FESTIVAL MYSELF IN THE VALLEY I
SO I DID IT A 100% ON CREDIT
CARDS IT WAS JUST ME I PAID
EVERYBODY I REACHED OUT TO
LOCAL BUSINESSES I TRIED TO
PROVIDE INCENTIVE FOR YOU KNOW
OUT PATRONS TO GOING YOU DON'T
LOCAL RESTAURANTS- THERE'S NO
WAY THAT I COULD PRODUCE THAT
FESTIVAL UNDER AB FIVE I'M A
FEMALE PRODUCER I ALSO PRODUCED
RECORDED MUSIC WE ALSO TALKED
ABOUT DIVERSITY THERE'S ONLY A-
IN THE PRODUCING COMMUNITY ONLY
3% OF PRODUCERS ARE WOMEN.
GREATLY IMPACT ARE THE ANTI.
PROFESSIONAL CAN. WE ALSO TALK
ABOUT YOUR- I AM FROM. IF I
WERE FORCED TO COMPLY WITH THE
A. B. FIVE FULLY. THERE'S NO
WAY THAT I COULD MEET THE
ADDITIONAL 30% OPERATING COSTS
PLUS I WOULD NOT BE ABLE TO
ITEMIZE DEDUCTIONS. I WOULD
HAVE TO MOVE BACK HOME MY
PARENTS WOULD BE SUPER PSYCHED.
SO THEY'RE FIRMLY IN FAVOR OF
AB FIVE BUT THE MUSIC COMMITTEE
IN GENERAL BOTH UNION AND NON
UNION I WOULD ADD. ARE NOT- THE
MAJORITY OF WORK- MUSIC WORKING
CALIFORNIA IS NOT UNION. ON
IT'S ALSO LARGELY I'VE PRODUCED
BY YOUNGER PEOPLE TEENAGERS
WHO. THERE'S NO WAY THEY'RE
GOING TO BE ABLE TO COMPLY WITH
THE STRINGENT STRINGENT BURDENS
SO I REALLY HOPE THE BEFORE
MORE WORK HEMORRHAGES. AND
BEFORE MORE COMPANIES CLOSE
JAZZ FESTIVALS CLOSE IF THERE'S
ANY WAY TO PUT A PAUSE ON
ENFORCEMENT FOR THIS. FOR I
DON'T KNOW HOW YOU COULD DO IT
SMALL BUSINESSES PERFORMING
ARTS ANYTHING WE BEG YOU THANK
YOU PLEASE PLEASE PLEASE. HELP
US THANK YOU VERY MUCH THANK
YOU VERY MUCH FOR. HI GOOD
MORNING MY NAME IS ANNE SURRATT
I'M HERE ON BEHALF OF
SUPERVISOR KATHERINE BARKER-
SHE REPRESENTS THE FIFTH
DISTRICT OF- LA COUNTY. SHE'S
ALSO THE CHAIR OF ONE OF THE
THINGS SHE WANTED ME TO COME BY
AND REITERATE IS HER SUPPORT
FOR THIS VITAL INDUSTRY SHE
KNOWS JUST HOW IMPORTANT. THE
ENTERTAINMENT INDUSTRY IS TO
THE HEALTH OF LA COUNTY'S
ECONOMY. AND JUST OVER HEARING
A COUPLE THINGS I WANTED TO.
TALK ABOUT AND RESPOND TO.
LOCAL ISSUES- LOCAL PERMITTING
LOCAL REGULATIONS SHE'S REALLY
COMMITTED TO MAKING SURE THAT.
THE COUNTIES REGULATIONS ARE
RESPONSIBLE- AND DONE AN
EFFICIENT MANNER. SECTOR-LIMÓN
COMMUNITIES BUT ALSO THAT IT
MAKES IT EASIER FOR OUR
INDUSTRIES TO CONTINUE TO WORK
AND THRIVE HERE. AND THE OTHER
ISSUES REALLY ON CAPACITY I
THINK THE REASON IS STRUGGLING
TO ACCOMMODATE ALL THE NEW
SERVICES. AND HAVING ONE OF THE
LARGEST DISTRICTS IN IN THE
REGION WE ARE COMMITTED TO
LOOKING IN. INVESTIGATING TO
SEE IF THERE ARE OTHER
OPPORTUNITIES TO CONTINUE TO
SUPPORT. THE GROWTH THAT'S
NEEDED IN TERMS OF
INFRASTRUCTURE AND JUST SPACE-
TO CONTINUE TO MAKE SURE THAT
THIS WORK STATE HERE LOCALLY
SO. JUST ON BEHALF OF HER AND
HER OFFICE WE JUST WANT TO
CONTINUE TO. I THANK YOU FOR
THIS OPPORTUNITY AND PLEDGE OUR
SUPPORT TO OUR LEGISLATIVE AND
INDUSTRY PARTNERS. THANK YOU
VERY MUCH OF PLEASE GIVE HER
OUR REGARDS THANK YOU. I'LL
STICK UNDER SIXTY SECONDS MY
NAME IS JEFFREY DOUGLAS I'M THE
CHAIR OF THE BOARD OF THE FREE
SPEECH COALITION THAT'S THE
TRADE ASSOCIATION OF THE ADULT
ENTERTAINMENT INDUSTRY. IS
LISTENING TO EVERYONE TALK. ALL
THE FACTORS THAT YOU'RE
DESCRIBING IMPACT THE ADULT
ENTERTAINMENT INDUSTRY ONLY ON
A GREATER MAGNITUDE. THE
INDUSTRY IS NOT RECOGNIZED FOR
ITS INNOVATION IN THIS JOB.
EVERYTHING THAT YOU ARE DOING
FOR ENTERTAINMENT NEEDS TO
INCLUDE THE ADULT ENTERTAINMENT
INDUSTRY BECAUSE THE JOBS ARE
FLEEING AND THE PERFORMERS AND
THE INFRASTRUCTURE IS FALLING
AS WELL THANK YOU. THANK YOU
VERY MUCH. HEY DAVID FACTION
MEMBER AGAIN CONTINUING A TREND
HERE I SUPPOSE OF THE ADULT
INDUSTRY LABORS AN ARTIST SO
SHE SHOULD. ASSEMBLYMEMBER
GABRIEL I'M A CONSTITUENT OF
YOUR DISTRICT- I WANTED TO COME
UP TO MENTION AGAIN KIND OF
GOING OFF OF WHAT'S SEWER
MENTIONED HERE- AB FIVE THE
SOMETHING THAT GENERALLY IS
GOOD I THINK AS FAR AS LABORS
ARE CONCERNED. I IS VERY
HELPFUL FOR A LOT OF THE GUILDS
AND- UNIONS OUT HERE HOWEVER I
THINK- THAT WE REALLY DO NEED
TO EXPAND THAT UMBRELLA I.
INDIVIDUAL CONTENT CREATORS
PRODUCTION LINES TALKING ABOUT
YOU TO TWITCH EVERYTHING THAT
IS CREATED NOWADAYS ONLINE IS
REALLY CHANGING THE LANDSCAPE
AS IT WERE. OF EVERYTHING THAT
HAS TO DO WITH THE
ENTERTAINMENT INDUSTRY THIS
INCLUDES THOSE INDIVIDUALS THAT
ARE. YOU KNOW WORKING ON THE
SIDE- WE HAVE SOME OF THEM
MIGHT BE A SOUND STUDIO ONE DAY
THERE ON YOU TO THE NEXT DAY
TEACHING. HOW TO DO WHAT
THEY'RE DOING. I KNOW SOME OF
THOSE INDIVIDUALS MAY BE
CONSIDERED UNDER AB FIVE I
EMPLOYEES OF THE STREAMING
SERVICES IT'S UNCLEAR FROM
LEGISLATORS AND- ARE THE
ATTORNEYS- WHETHER THOSE WOULD
BE INCLUDED AS EMPLOYEES. I
SUSPECT ESPECIALLY DANGEROUS IN
THE DOG INDUSTRY OUR WATER SEEN
COMPANIES JUST BLOCK PEOPLE
FROM BEING ABLE TO STREAM
CALIFORNIA ALREADY THIS YEAR. I
SUPPOSE WHAT I'M ASKING FOR IS
PERHAPS- YOU KNOW CONVERSATION
STARTER WITH YOUR OFFICE.
QUESTION A MEETING THAT BUT
ALSO PERHAPS SUPPORT. IN
ENSURING THAT. NOT ONLY- THINGS
LIKE THE LOC. ACOSTA EXEMPTION
THAT'S BEEN DISCUSSED- RECENTLY
WHERE THEY'RE GOING TO YOU KNOW
GIVE. A YEAR TO FILE LLC FOR
FREE JUST DOESN'T WORK FOR THE
DOLLAR INDUSTRY- IN THE AUTO
INDUSTRY YOU DO HAVE TO
REGISTER WITH- IN. AN AGENT TO
KEEP YOUR NAME SAFE ALSO REALLY
TALKING ABOUT A FULL EXEMPTIONS
HERE FOR ALL PARTS OF THE
INDUSTRY. SO THANK YOU AB SO
THANK YOU. GOOD MORNING MY
NAME'S DAVID IS ALSO WITH THE
ASSOCIATION OF INDEPENDENT
COMMERCIAL PRODUCERS. 85% OF
OUR NATIONAL AIR COMMERCIALS
ARE PRODUCED BY OUR MEMBER
COMPANIES 60% OF WHICH ARE.
BASED HERE IN SOUTHERN
CALIFORNIA BUT INCREASINGLY OUR
PRODUCTION IS GOING ELSEWHERE.
AND WE- THE WAIT COMMERCIALS
ARE PRODUCED AS WITH THE SAME
KIND OF STAFF AND CREW AND CAST
THAT. FEATURE FILMS AND TV
SHOWS ARE PRODUCED INCLUDING
THE SAME UNIONS REPRESENTING
THOSE WORKERS. I TWENTY SEVEN
US STATES OFFER INCENTIVES FOR
COMMERCIAL REDUCTION
RECOGNIZING THEIR ECONOMIC AND
CULTURAL. IMPACT IN COMMUNITIES
AND SO WE URGE YOU AS YOU
CONSIDER OPERATING
OPPORTUNITIES FOR. INCREASING
THE SHARE OF- PRODUCTION
STAYING HERE IN CALIFORNIA THAT
YOU CONSIDER. BRINGING
COMMERCIAL PRODUCTIONS INTO
THAT. BECAUSE THERE ARE MORE
OPPORTUNITIES THAN EVER FOR
ADVERTISERS TO REACH CONSUMERS
IN MOVING IMAGES WHETHER BE
DIGITAL BILLBOARDS. STREAMING
IN SOCIAL MEDIA OR TRADITIONAL
BROADCAST SO PLEASE KEEP IN
MIND THE GREAT THANK YOU VERY
MUCH. HI I'M MICHELLE OF LONGER
AND THE EXECUTIVE DIRECTOR OF
THE FREE SPEECH COALITION DID
TRADE ASSOCIATION FOR THE ADULT
ENTERTAINMENT INDUSTRY I WANTED
TO ADDRESS. WHAT IT APPEARS TO
BE A GAP IN YOUR ECONOMIC AND
INCENTIVES OUT THE LOWER AND
THE- THRESHOLD IS A MILLION
DOLLARS. FOR YOUR TAX CREDITS
AND THAT LEAVES OUT IN
MAINSTREAM ENTERTAINMENT AND
ADULT ENTERTAINMENT. THE VERY
LARGE GROWING POPULATION OF
PEOPLE WHO ARE SELF PRODUCING
CONTENT AND THEIR- AS KERRY
MENTIONED THERE'S A LOT OF
COMPETITION FOR WORK THERE'S A
LOT OF ACTORS PRODUCERS. OTHER
PEOPLE NOT WORKING SO THEY'RE
PRODUCING THEIR OWN CONTENT
BECAUSE- THEY ARE DRIVEN TO DO
THIS KIND OF WORK AND THEY ARE
NOW BEING FOR THEIR BURDEN
BIKE. AB FIVE IN THE ADULT
INDUSTRY AB TWO THREE EIGHT
NINE TO BE ABLE TO CONTINUE TO
REDUCE THEIR CONTENT AND THEN
THERE'S NO ON THE OTHER SIDE.
ADDITIONAL ECONOMIC INCENTIVE
AND SO THAT'S A LEAVING OUT A
LOT OF. VERY SMALL SELF
PRODUCED CONTENT AND EVEN SOME
MORE MEDIUM SIZED PRODUCERS AS
WELL. THANK YOU THANK YOU THANK
YOU VERY MUCH THANK YOU TO
EVERYONE FOR THE PUBLIC COMMENT.
I THINK WE ALL DO TAKE IT VERY
SERIOUSLY AND APPRECIATE THE
OPPORTUNITY TO HEAR FROM
EVERYONE IN THE INDUSTRY FROM
DIFFERENT VANTAGE POINTS AND
FOR MEMBERS OF THE PUBLIC ABOUT
HOW- THE WORK THAT WE'RE TRYING
TO DO TO SERVE THE COMMUNITY
IMPACTS YOU SO. WITHOUT I WANT
TO A JUST ONE MORE TIME THANK
OUR HOSTS HERE FOR GATHERING I
SAY LET'S GIVE THEM A ROUND OF
APPLAUSE. I THINK. TAKE MY
DISTINGUISHED COLLEAGUES AS I
MENTIONED I REALLY AM THE NEW
GUY HERE IN THESE ARE FOLKS
HAVE BEEN DOING WORK IN THE
INDUSTRY AND FOR THE INDUSTRY
FOR A VERY VERY LONG TIME SO
LET'S GIVE THEM A BIG ROUND OF
APPLAUSE AS WELL. AND THANK YOU
TO ALL OF OUR PANELISTS. FOR
YOUR PRESENTATION THIS WILL
OFFICIALLY A TURN THE MEETING
OF THE SUBCOMMITTEE THANK YOU
VERY MUCH. THANK YOU I NEEDED
THANK YOU.