AB 1941: California Film Commission: membership and duties.
- Session Year: 2015-2016
- House: Assembly
- Latest Version Date: 2016-08-22
Existing law, the Motion Picture, Television, and Commercial Industries Act of 1984, establishes the California Film Commission within the Governors Office of Business and Economic Development. Under existing law, the Governor appoints 13 of the 26 members of the commission, with 6 of those appointments based upon specified occupational criteria. Existing law requires the commission to, among other duties, adopt guidelines for a standardized film permit and to administer the qualified motion picture tax credits.
This bill would require one of the Governors appointees to be an independent filmmaker and would also require one of the Governors appointees to be a member who is an independent commercial producer, or an employee of a trade association representing independent commercial producers. The bill would also require the commission to create on its Internet Web site a navigational link labeled Independent Films that contains information explaining the qualified motion picture tax credits available to independent films and highlights the required allocation of 5% of the aggregate amount of the credits to independent films.
Existing law, the Motion Picture, Television, and Commercial Industries Act of 1984, establishes the California Film Commission within the Governors Office of Business and Economic Development. Under existing law, the Governor appoints 13 of the 26 members of the commission, with 6 of those appointments based upon specified occupational criteria. Existing law requires the commission to, among other duties, adopt guidelines for a standardized film permit and to administer the qualified motion picture tax credits.
This bill would require one of the Governors appointees to be an independent filmmaker and would also require one of the Governors appointees to be a member who is an independent commercial producer, or an employee of a trade association representing independent commercial producers. The bill would also require the commission to create on its Internet Web site a navigational link labeled Independent Films that contains information explaining the qualified motion picture tax credits available to independent films and highlights the required allocation of 5% of the aggregate amount of the credits to independent films.
Existing law, the Motion Picture, Television, and Commercial Industries Act of 1984, establishes the California Film Commission within the Governors Office of Business and Economic Development. Under existing law, the Governor appoints 13 of the 26 members of the commission, with 6 of those appointments based upon specified occupational criteria. Existing law requires the commission to, among other duties, adopt guidelines for a standardized film permit. Existing law creates the Film Promotion and Marketing Fund, which, upon appropriation by the Legislature, is available to the commission to carry out its duties. permit and to administer the qualified motion picture tax credits.
This bill would require one of the Governors appointees to be an independent filmmaker. filmmaker and would also require one of the Governors appointees to be a member who is an independent commercial producer, or an employee of a trade association representing independent commercial producers. The bill would also require the commission to create on its Internet Web site a tab navigational link labeled Independent Films that contains information explaining certain film tax qualified motion picture tax credits available to independent films and highlights the required allocation of 5 percent 5% of the aggregate amount of the credits to independent films.
Existing law law, the Motion Picture, Television, and Commercial Industries Act of 1984, establishes the California Film Commission within the Governors Office of Business and Economic Development. Under existing law, the Governor appoints 13 of the 26 members of the commission, with 6 of those appointments based upon specified occupational criteria. Existing law requires the commission to, among other duties, adopt guidelines for a standardized film permit. Existing law creates the Film Promotion and Marketing Fund, which, upon appropriation by the Legislature, is available to the commission to carry out its duties.
This bill would increase the number of members of the commission to 27 by adding an additional Governors appointee and would require that the additional require one of the Governors appointee appointees to be an independent filmmaker. The bill would also require the commission to establish procedures and services specifically directed create on its Internet Web site a tab labeled Independent Films that contains information explaining certain film tax credits available to independent films and highlights the required allocation of 5 percent of the aggregate amount of the credits to independent films.
Existing law establishes the California Film Commission within the Governors Office of Business and Economic Development. Under existing law, the Governor appoints 13 of the 26 members of the commission, with 6 of those appointments based upon specified occupational criteria. Existing law requires the commission to, among other duties, adopt guidelines for a standardized film permit. Existing law creates the Film Promotion and Marketing Fund, which, upon appropriation by the Legislature, is available to the commission to carry out its duties.
This bill would increase the number of members of the commission to 27 by adding an additional Governors appointee and would require that the additional Governors appointee be an independent filmmaker. The bill would also require the commission to establish procedures and services specifically directed to independent films.
Existing law establishes the California Film Commission within the Governors Office of Business and Economic Development. Under existing law, the Governor appoints 13 of the 26 members of the commission, with 6 of those appointments based upon specified occupational criteria. Existing law requires the commission to, among other duties, adopt guidelines for a standardized film permit. Existing law creates the Film Promotion and Marketing Fund, which, upon appropriation by the Legislature, is available to the commission to carry out its duties.
This bill would increase the number of members of the commission to 27 by adding an additional Governors appointee and would require that the additional Governors appointee be an independent filmmaker. The bill would also require the commission to establish procedures and services specifically directed to independent films.
(a)There is in the Governors Office of Business and Economic Development, the California Film Commission consisting of 26 members. The Governor shall appoint 13 members, the Senate Committee on Rules shall appoint four members, the Speaker of the Assembly shall appoint four members, and five members shall be ex officio. The members of the commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
All members of the commission, except legislators who are appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment.
(b)(1)One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator and one of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly. These persons shall be appointed for terms of four years.
(2) Of the legislators appointed to the commission, no more than three legislators from the same political party may be appointed to or serve on the commission at the same time.
(c)Any legislator appointed shall serve as a voting member of the commission, and shall meet with, and participate in the activities of, the commission to the extent that participation is not incompatible with his or her position as a Member of the Legislature, but shall only serve in that capacity while concurrently serving as a Member of the Legislature. Whenever a legislator vacates an office, the appointing power shall appoint another person for a new full term.
(d)Eight of the 13 members appointed by the Governor shall be as follows:
(1)One shall be a member or employee of a union or guild of motion picture artists.
(2)One shall be a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
(3)Two shall be from major motion picture studios.
(4)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
(5)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
(6)(A)One shall be an independent filmmaker.
(B)For purposes of this section, independent filmmaker means a producer of a film that meets all of the following criteria:
(i)Has a running time of at least 75 minutes.
(ii)Is intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or through the Internet.
(iii)Is produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company.
(7)(A)One shall be a member who is an independent commercial producer, or employee of a trade association representing independent commercial producers.
(B)For purposes of this section, independent commercial producer means a producer who owns or is employed by a company that is principally engaged in the physical or digital production of advertising content for advertisers, has control over the selection of production location, deployment, or management of the production equipment, and directly employs the production crew as the person that has control over the hiring and firing of the crew for a commercial production. The company shall not be wholly or partly owned or operated by an advertising agency or an advertiser or be publicly traded. The company shall also not produce any production to which the recordkeeping requirements of Section 2257 of Title 18 of the United States Code apply.
(e)The Director of Transportation shall serve as an ex officio nonvoting member.
(f)The Director of Parks and Recreation shall serve as an ex officio nonvoting member.
(g)The Commissioner of the California Highway Patrol shall serve as an ex officio nonvoting member.
(h)The State Fire Marshal shall serve as an ex officio nonvoting member.
(i)The director of the commission shall serve as an ex officio nonvoting member.
SEC. 2.Section 14998.4 of the Government Code is amended to read:14998.4.(a)The commission shall meet at least quarterly and shall select a chairperson and a vice chairperson from among its members. The vice chairperson shall act as chairperson in the chairpersons absence.
(b)Each commission member shall serve without compensation but shall be reimbursed for traveling outside the county in which he or she resides to attend meetings.
(c)The commission shall work to encourage motion picture and television filming in California and to that end, shall exercise all of the powers provided in this chapter.
(d)The commission shall make recommendations to the Legislature, the Governor, the Governors Office of Business and Economic Development, and other state agencies on legislative or administrative actions that may be necessary or helpful to maintain and improve the position of the states motion picture industry in the national and world markets.
(e)In addition, subject to the provision of funding appropriated for these purposes, the commission shall do all of the following:
(1)Adopt guidelines for a standardized permit to be used by state agencies and the director.
(2)Approve or modify the marketing and promotion plan developed by the director pursuant to subdivision (d) of Section 14998.9 to promote filmmaking in the state.
(3)Conduct workshops and trade shows.
(4)Provide expertise in promotional activities.
(5)Create a navigational link on its Internet Web site labeled Independent Films. The navigational link shall contain information explaining the qualified motion picture tax credits available to independent films pursuant to Sections 17053.95 and 23695 of the Revenue and Taxation Code. The navigational link shall also contain information relating to the application process and shall highlight that the commission is required to allocate 5 percent of the aggregate amount of credits to independent films.
(6)Hold hearings.
(7)Adopt its own operational rules and procedures.
(8)Counsel the Legislature and the Governor on issues relating to the motion picture industry.
(a)There is in the Governors Office of Business and Economic Development, the California Film Commission consisting of 26 members. The Governor shall appoint 13 members, the Senate Committee on Rules shall appoint four members, the Speaker of the Assembly shall appoint four members, and five members shall be ex officio. The members of the commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
All members of the commission, except legislators who are appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment.
(b)(1)One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator and one of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly. These persons shall be appointed for terms of four years.
(2) Of the legislators appointed to the commission, no more than three legislators from the same political party may be appointed to or serve on the commission at the same time.
(c)Any legislator appointed shall serve as a voting member of the commission, and shall meet with, and participate in the activities of, the commission to the extent that participation is not incompatible with his or her position as a Member of the Legislature, but shall only serve in that capacity while concurrently serving as a Member of the Legislature. Whenever a legislator vacates an office, the appointing power shall appoint another person for a new full term.
(d)Eight of the 13 members appointed by the Governor shall be as follows:
(1)One shall be a member or employee of a union or guild of motion picture artists.
(2)One shall be a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
(3)Two shall be from major motion picture studios.
(4)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
(5)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
(6)(A)One shall be an independent filmmaker.
(B)For purposes of this section, independent filmmaker means a producer of a film that meets all of the following criteria:
(i)Has a running time of at least 75 minutes.
(ii)Is intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or through the Internet.
(iii)Is produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company.
(7)(A)One shall be a member who is an independent commercial producer, or employee of a trade association representing independent commercial producers.
(B)For purposes of this section, independent commercial producer means a producer who owns or is employed by a company that is principally engaged in the physical or digital production of advertising content for advertisers, has control over the selection of production location, deployment, or management of the production equipment, and directly employs the production crew as the person that has control over the hiring and firing of the crew for a commercial production. The company shall not be wholly or partly owned or operated by an advertising agency or an advertiser or be publicly traded. The company shall also not produce any production to which the recordkeeping requirements of Section 2257 of Title 18 of the United States Code apply.
(e)The Director of Transportation shall serve as an ex officio nonvoting member.
(f)The Director of Parks and Recreation shall serve as an ex officio nonvoting member.
(g)The Commissioner of the California Highway Patrol shall serve as an ex officio nonvoting member.
(h)The State Fire Marshal shall serve as an ex officio nonvoting member.
(i)The director of the commission shall serve as an ex officio nonvoting member.
SEC. 2.Section 14998.4 of the Government Code is amended to read:14998.4.(a)The commission shall meet at least quarterly and shall select a chairperson and a vice chairperson from among its members. The vice chairperson shall act as chairperson in the chairpersons absence.
(b)Each commission member shall serve without compensation but shall be reimbursed for traveling outside the county in which he or she resides to attend meetings.
(c)The commission shall work to encourage motion picture and television filming in California and to that end, shall exercise all of the powers provided in this chapter.
(d)The commission shall make recommendations to the Legislature, the Governor, the Governors Office of Business and Economic Development, and other state agencies on legislative or administrative actions that may be necessary or helpful to maintain and improve the position of the states motion picture industry in the national and world markets.
(e)In addition, subject to the provision of funding appropriated for these purposes, the commission shall do all of the following:
(1)Adopt guidelines for a standardized permit to be used by state agencies and the director.
(2)Approve or modify the marketing and promotion plan developed by the director pursuant to subdivision (d) of Section 14998.9 to promote filmmaking in the state.
(3)Conduct workshops and trade shows.
(4)Provide expertise in promotional activities.
(5)Create a navigational link on its Internet Web site labeled Independent Films. The navigational link shall contain information explaining the qualified motion picture tax credits available to independent films pursuant to Sections 17053.95 and 23695 of the Revenue and Taxation Code. The navigational link shall also contain information relating to the application process and shall highlight that the commission is required to allocate 5 percent of the aggregate amount of credits to independent films.
(6)Hold hearings.
(7)Adopt its own operational rules and procedures.
(8)Counsel the Legislature and the Governor on issues relating to the motion picture industry.
(a)There is in the Governors Office of Business and Economic Development, the California Film Commission consisting of 26 members. The Governor shall appoint 13 members, the Senate Committee on Rules shall appoint four members, the Speaker of the Assembly shall appoint four members, and five members shall be ex officio. The members of the commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
All members of the commission, except legislators who are appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment.
(b)(1)One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator and one of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly. These persons shall be appointed for terms of four years.
(2) Of the legislators appointed to the commission, no more than three legislators from the same political party may be appointed to or serve on the commission at the same time.
(c)Any legislator appointed shall serve as a voting member of the commission, and shall meet with, and participate in the activities of, the commission to the extent that participation is not incompatible with his or her position as a Member of the Legislature, but shall only serve in that capacity while concurrently serving as a Member of the Legislature. Whenever a legislator vacates an office, the appointing power shall appoint another person for a new full term.
(d)Seven Eight of the 13 members appointed by the Governor shall be as follows:
(1)One shall be a member or employee of a union or guild of motion picture artists.
(2)One shall be a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
(3)Two shall be from major motion picture studios.
(4)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
(5)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
(6)(A)One shall be an independent filmmaker.
(B)For purposes of this section, independent filmmaker means a producer of a film that meets all of the following criteria:
(i)Has a running time of at least 75 minutes.
(ii)Is intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or through the Internet.
(iii)Is produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company.
(7)(A)One shall be a member who is an independent commercial producer, or employee of a trade association representing independent commercial producers.
(B)For purposes of this section, independent commercial producer means a producer who owns or is employed by a company that is principally engaged in the physical or digital production of advertising content for advertisers, has control over the selection of production location, deployment, or management of the production equipment, and directly employs the production crew as the person that has control over the hiring and firing of the crew for a commercial production. The company shall not be wholly or partly owned or operated by an advertising agency or an advertiser or be publicly traded. The company shall also not produce any production to which the recordkeeping requirements of Section 2257 of Title 18 of the United States Code apply.
(e)The Director of Transportation shall serve as an ex officio nonvoting member.
(f)The Director of Parks and Recreation shall serve as an ex officio nonvoting member.
(g)The Commissioner of the California Highway Patrol shall serve as an ex officio nonvoting member.
(h)The State Fire Marshal shall serve as an ex officio nonvoting member.
(i)The director of the commission shall serve as an ex officio nonvoting member.
SEC. 2.Section 14998.4 of the Government Code is amended to read:14998.4.(a)The commission shall meet at least quarterly and shall select a chairperson and a vice chairperson from among its members. The vice chairperson shall act as chairperson in the chairpersons absence.
(b)Each commission member shall serve without compensation but shall be reimbursed for traveling outside the county in which he or she resides to attend meetings.
(c)The commission shall work to encourage motion picture and television filming in California and to that end, shall exercise all of the powers provided in this chapter.
(d)The commission shall make recommendations to the Legislature, the Governor, the Governors Office of Business and Economic Development, and other state agencies on legislative or administrative actions that may be necessary or helpful to maintain and improve the position of the states motion picture industry in the national and world markets.
(e)In addition, subject to the provision of funding appropriated for these purposes, the commission shall do all of the following:
(1)Adopt guidelines for a standardized permit to be used by state agencies and the director.
(2)Approve or modify the marketing and promotion plan developed by the director pursuant to subdivision (d) of Section 14998.9 to promote filmmaking in the state.
(3)Conduct workshops and trade shows.
(4)Provide expertise in promotional activities.
(5)Create a tab navigational link on its Internet Web site labeled Independent Films. The tab navigational link shall contain information explaining the film qualified motion picture tax credits available to independent films pursuant to Sections 17053.95 and 23695 of the Revenue and Taxation Code. The tab navigational link shall also contain information relating to the application process and shall highlight that the commission is required to allocate 5 percent of the aggregate amount of credits to independent films.
(6)Hold hearings.
(7)Adopt its own operational rules and procedures.
(8)Counsel the Legislature and the Governor on issues relating to the motion picture industry.
(a)There is in the Governors Office of Business and Economic Development, the California Film Commission consisting of 27 26 members. The Governor shall appoint 14 13 members, the Senate Committee on Rules shall appoint four members, the Speaker of the Assembly shall appoint four members, and five members shall be ex officio. The members of the commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
All members of the commission, except legislators who are appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment.
(b)(1)One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator and one of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly. These persons shall be appointed for terms of four years.
(2) Of the legislators appointed to the commission, no more than three legislators from the same political party may be appointed to or serve on the commission at the same time.
(c)Any legislator appointed shall serve as a voting member of the commission, and shall meet with, and participate in the activities of, the commission to the extent that participation is not incompatible with his or her position as a Member of the Legislature, but shall only serve in that capacity while concurrently serving as a Member of the Legislature. Whenever a legislator vacates an office, the appointing power shall appoint another person for a new full term.
(d)Seven of the 14 13 members appointed by the Governor shall be as follows:
(1)One shall be a member or employee of a union or guild of motion picture artists.
(2)One shall be a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
(3)Two shall be from major motion picture studios.
(4)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
(5)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
(6)(A)One shall be an independent filmmaker.
(B)For purposes of this section, independent filmmaker means a producer of a film that meets all of the following criteria:
(i)Has a running time of at least 75 minutes.
(ii)Is intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or through the Internet.
(iii)Is produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company.
(e)The Director of Transportation shall serve as an ex officio nonvoting member.
(f)The Director of Parks and Recreation shall serve as an ex officio nonvoting member.
(g)The Commissioner of the California Highway Patrol shall serve as an ex officio nonvoting member.
(h)The State Fire Marshal shall serve as an ex officio nonvoting member.
(i)The director of the commission shall serve as an ex officio nonvoting member.
SEC. 2.Section 14998.4 of the Government Code is amended to read:14998.4.(a)The commission shall meet at least quarterly and shall select a chairperson and a vice chairperson from among its members. The vice chairperson shall act as chairperson in the chairpersons absence.
(b)Each commission member shall serve without compensation but shall be reimbursed for traveling outside the county in which he or she resides to attend meetings.
(c)The commission shall work to encourage motion picture and television filming in California and to that end, shall exercise all of the powers provided in this chapter.
(d)The commission shall make recommendations to the Legislature, the Governor, the Governors Office of Business and Economic Development, and other state agencies on legislative or administrative actions that may be necessary or helpful to maintain and improve the position of the states motion picture industry in the national and world markets.
(e)In addition, subject to the provision of funding appropriated for these purposes, the commission shall do all of the following:
(1)Adopt guidelines for a standardized permit to be used by state agencies and the director.
(2)Approve or modify the marketing and promotion plan developed by the director pursuant to subdivision (d) of Section 14998.9 to promote filmmaking in the state.
(3)Conduct workshops and trade shows.
(4)Provide expertise in promotional activities.
(5)Establish procedures and services specifically directed to independent films.
(5)Create a tab on its Internet Web site labeled Independent Films. The tab shall contain information explaining the film tax credits available to independent films pursuant to Sections 17053.95 and 23695 of the Revenue and Taxation Code. The tab shall also contain information relating to the application process and shall highlight that the commission is required to allocate 5 percent of the aggregate amount of credits to independent films.
(6)Hold hearings.
(7)Adopt its own operational rules and procedures.
(8)Counsel the Legislature and the Governor on issues relating to the motion picture industry.
(a)There is in the Governors Office of Business and Economic Development, the California Film Commission consisting of 27 members. The Governor shall appoint 14 members, the Senate Committee on Rules shall appoint four members, the Speaker of the Assembly shall appoint four members, and five members shall be ex officio. The members of the commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
All members of the commission, except legislators who are appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment.
(b)(1)One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator and one of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly. These persons shall be appointed for terms of four years.
(2) Of the legislators appointed to the commission, no more than three legislators from the same political party may be appointed to or serve on the commission at the same time.
(c)Any legislator appointed shall serve as a voting member of the commission, and shall meet with, and participate in the activities of, the commission to the extent that participation is not incompatible with his or her position as a Member of the Legislature, but shall only serve in that capacity while concurrently serving as a Member of the Legislature. Whenever a legislator vacates an office, the appointing power shall appoint another person for a new full term.
(d)Seven of the 14 members appointed by the Governor shall be as follows:
(1)One shall be a member or employee of a union or guild of motion picture artists.
(2)One shall be a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
(3)Two shall be from major motion picture studios.
(4)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
(5)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
(6)(A)One shall be an independent filmmaker.
(B)For purposes of this section, independent filmmaker means a producer of a film that meets all of the following criteria:
(i)Has a running time of at least 75 minutes.
(ii)Is intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or through the Internet.
(iii)Is produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company.
(e)The Director of Transportation shall serve as an ex officio nonvoting member.
(f)The Director of Parks and Recreation shall serve as an ex officio nonvoting member.
(g)The Commissioner of the California Highway Patrol shall serve as an ex officio nonvoting member.
(h)The State Fire Marshal shall serve as an ex officio nonvoting member.
(i)The director of the commission shall serve as an ex officio nonvoting member.
SEC. 2.Section 14998.4 of the Government Code is amended to read:14998.4.(a)The commission shall meet at least quarterly and shall select a chairperson and a vice chairperson from among its members. The vice chairperson shall act as chairperson in the chairpersons absence.
(b)Each commission member shall serve without compensation but shall be reimbursed for traveling outside the county in which he or she resides to attend meetings.
(c)The commission shall work to encourage motion picture and television filming in California and to that end, shall exercise all of the powers provided in this chapter.
(d)The commission shall make recommendations to the Legislature, the Governor, the Governors Office of Business and Economic Development, and other state agencies on legislative or administrative actions that may be necessary or helpful to maintain and improve the position of the states motion picture industry in the national and world markets.
(e)In addition, subject to the provision of funding appropriated for these purposes, the commission shall do all of the following:
(1)Adopt guidelines for a standardized permit to be used by state agencies and the director.
(2)Approve or modify the marketing and promotion plan developed by the director pursuant to subdivision (d) of Section 14998.9 to promote filmmaking in the state.
(3)Conduct workshops and trade shows.
(4)Provide expertise in promotional activities.
(5)Establish procedures and services specifically directed to independent films.
(6)Hold hearings.
(7)Adopt its own operational rules and procedures.
(8)Counsel the Legislature and the Governor on issues relating to the motion picture industry.
(a)There is in the Governors Office of Business and Economic Development, the California Film Commission consisting of 26 27 members. The Governor shall appoint 13 14 members, the Senate Committee on Rules shall appoint four members, the Speaker of the Assembly shall appoint four members, and five members shall be ex officio. The members of the commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
All members of the commission, except legislators who are appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment.
(b)(1)One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator and one of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly. These persons shall be appointed for terms of four years.
(2) Of the legislators appointed to the commission, no more than three legislators from the same political party may be appointed to or serve on the commission at the same time.
(c)Any legislator appointed shall serve as a voting member of the commission, and shall meet with, and participate in the activities of, the commission to the extent that participation is not incompatible with his or her position as a Member of the Legislature, but shall only serve in that capacity while concurrently serving as a Member of the Legislature. Whenever a legislator vacates an office, the appointing power shall appoint another person for a new full term.
(d)Six Seven of the 13 14 members appointed by the Governor shall be as follows:
(1)One shall be a person who is a member or employee of a union or guild of motion picture artists.
(2)One shall be a person who is a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
(3)Two shall be from major motion picture studios.
(4)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
(5)One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
(6)One shall be an independent filmmaker.
(e)The Director of Transportation shall serve as an ex officio nonvoting member.
(f)The Director of Parks and Recreation shall serve as an ex officio nonvoting member.
(g)The Commissioner of the California Highway Patrol shall serve as an ex officio nonvoting member.
(h)The State Fire Marshal shall serve as an ex officio nonvoting member.
(i)The director of the commission shall serve as an ex officio nonvoting member.
SEC. 2.Section 14998.4 of the Government Code is amended to read:14998.4.(a)The commission shall meet at least quarterly and shall select a chairperson and a vice chairperson from among its members. The vice chairperson shall act as chairperson in the chairpersons absence.
(b)Each commission member shall serve without compensation but shall be reimbursed for traveling outside the county in which he or she resides to attend meetings.
(c)The commission shall work to encourage motion picture and television filming in California and to that end, shall exercise all of the powers provided in this chapter.
(d)The commission shall make recommendations to the Legislature, the Governor, the Governors Office of Business and Economic Development, and other state agencies on legislative or administrative actions that may be necessary or helpful to maintain and improve the position of the states motion picture industry in the national and world markets.
(e)In addition, subject to the provision of funding appropriated for these purposes, the commission shall do all of the following:
(1)Adopt guidelines for a standardized permit to be used by state agencies and the director.
(2)Approve or modify the marketing and promotion plan developed by the director pursuant to subdivision (d) of Section 14998.9 to promote filmmaking in the state.
(3)Conduct workshops and trade shows.
(4)Provide expertise in promotional activities.
(5)Establish procedures and services specifically directed to independent films.
(5)
(6)Hold hearings.
(6)
(7)Adopt its own operational rules and procedures.
(7)
(8)Counsel the Legislature and the Governor on issues relating to the motion picture industry.
|
Date
|
Status
|
|---|---|
| May 26, 2016 | Referred to Com. on B., P. & E.D. |
| Aug 22, 2016 | Chaptered by Secretary of State - Chapter 176, Statutes of 2016. |
| Aug 22, 2016 | Approved by the Governor. |
| Aug 10, 2016 | Enrolled and presented to the Governor at 3 p.m. |
| Aug 4, 2016 | Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 77. Noes 0. Page 5698.). |
| Aug 4, 2016 | Senate amendments concurred in. To Engrossing and Enrolling. |
| Jun 30, 2016 | Read third time. Passed. Ordered to the Assembly. (Ayes 37. Noes 0. Page 4650.). |
| Jun 30, 2016 | Read third time. Passed. Ordered to the Assembly. |
| Jun 30, 2016 | In Assembly. Concurrence in Senate amendments pending. May be considered on or after July 30 pursuant to Assembly Rule 77. |
| Jun 30, 2016 | In Assembly. Concurrence in Senate amendments pending. May be considered on or after July 29 pursuant to Assembly Rule 77. |
| Jun 28, 2016 | Read second time. Ordered to Consent Calendar. |
| Jun 27, 2016 | From committee: Be placed on second reading file pursuant to Senate Rule 28.8 and ordered to consent calendar. |
| Jun 14, 2016 | From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 9. Noes 0.) (June 13). Re-referred to Com. on APPR. |
| Jun 6, 2016 | From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on B., P. & E.D. |
| Feb 12, 2016 | Read first time. To print. |
| May 12, 2016 | Read third time. Passed. Ordered to the Senate. (Ayes 78. Noes 0.) |
| May 12, 2016 | Read third time. Passed. Ordered to the Senate. (Ayes 78. Noes 0. Page 4786.) |
| May 12, 2016 | Read third time. Passed. Ordered to the Senate. |
| May 12, 2016 | In Senate. Read first time. To Com. on RLS. for assignment. |
| May 5, 2016 | Read second time. Ordered to Consent Calendar. |
| May 4, 2016 | From committee: Do pass. To Consent Calendar. (Ayes 20. Noes 0.) (May 4). |
| Apr 28, 2016 | Re-referred to Com. on APPR. |
| Apr 27, 2016 | From committee chair, with author's amendments: Amend, and re-refer to Com. on APPR. Read second time and amended. |
| Apr 12, 2016 | From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 7. Noes 0.) (April 12). Re-referred to Com. on APPR. |
| Apr 5, 2016 | Re-referred to Com. on A.,E.,S.,T., & I.M. |
| Apr 4, 2016 | From committee chair, with author's amendments: Amend, and re-refer to Com. on A.,E.,S.,T., & I.M. Read second time and amended. |
| Feb 25, 2016 | Referred to Com. on A.,E.,S.,T., & I.M. |
| Feb 16, 2016 | From printer. May be heard in committee March 17. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Aug 4, 2016 | AB 1941 LOPEZ Concurrence in Senate Amendments | Assembly Floor |
Passed |
|
| Jun 30, 2016 | Consent Calendar 2nd AB1941 Lopez | Senate Floor |
Passed |
|
| Jun 13, 2016 | Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar | Senate Standing Committee on Business, Professions and Economic Development |
Passed |
|
| May 12, 2016 | AB 1941 LOPEZ Consent Calendar Second Day Regular Session | Assembly Floor |
Passed |
|
| May 4, 2016 | Do pass. To Consent Calendar. | Assembly Standing Committee on Appropriations |
Passed |
|
| Apr 12, 2016 | Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar | Assembly Standing Committee on Arts, Entertainment, Sports, Tourism, and Internet Media |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| Groat Family Productions | ** Support | Aug 4, 2016 |
CONCURRENCE IN SENATE AMENDMENTS
CSA1 Bill Id:AB 1941
Author:(Lopez)
As Amended Ver:June 6, 2016
Majority vote
ASSEMBLY: | 78-0 | (May 12, 2016) | SENATE: | 37-0 | (June 30, 2016) |
Original Committee Reference: A.,E.,S.,T., & I.M.
SUMMARY: Requires the Governor to appoint an independent filmmaker and an independent commercial producer as two of her or his appointees to the California Film Commission (Commission). Requires the Commission to post information relating to independent film productions on its website.
The Senate amendments:
- Add language specifying that one Commission appointment shall be a member who is an independent commercial producer, or employee of a trade association representing independent commercial producers.
- Provides that for purposes of this section, "independent commercial producer" means a producer who owns or is employed by a company that is principally engaged in the physical or digital production of advertising content for advertisers, has control over the selection of production location, deployment, or management of the production equipment, and directly employs the production crew as the person that has control over the hiring and firing of the crew for a commercial production. The company shall not be wholly or partly owned or operated by an advertising agency or an advertiser or be publicly traded. The company shall also not produce any production to which the recordkeeping requirements of Title 18 of the United States Code Section 2257 apply.
EXISTING LAW:
- Establishes the Governor's Office of Business and Economic Development (GO-Biz) to serve as the lead state entity for economic strategy and marketing of California on issues relating to business development, private sector investment, and economic growth. (Government Code (GC) Sections 12096 to 12098.5)
- Establishes the Commission to encourage motion picture and television filming in California and make recommendations to the Legislature, the Governor, and GO-Biz to improve the position of the state's motion picture industry in the national and world markets. (GC Sections 14998 to 14999.55)
- Requires Commission membership to conform to a number of requirements including, but not limited to, the following: (GC Section 14998.2)
- Commission shall consist of 26 members. The Governor shall appoint 13 members; the Senate Committee on Rules shall appoint four members; the Speaker of the Assembly shall appoint four members; and five members shall be ex-officio.
- Members of the Commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
- Six of the 13 members appointed by the Governor shall be as follows:
- One shall be a person who is a member or employee of a union or guild of motion picture artists.
- One shall be a person who is a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
- Two shall be from major motion picture studios.
- One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
- One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
- One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator. One of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly.
- The five ex-officio members shall include: the Director of Transportation, the Director of Parks and Recreation, the Commissioner of the California Highway Patrol, the State Fire Marshal, and the Director of the Commission.
- All members of the Commission, except Legislators appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment. Legislators appointed by the Senate Committee on Rules or by the Speaker of the Assembly shall be appointed for four year terms. Whenever a Legislator vacates an office, the appointing power shall appoint another person for a new full term.
- Of the Legislators appointed to the Commission, no more than three Legislators from the same political party may be appointed to or serve on the Commission at the same time.
FISCAL EFFECT: According to the Assembly Appropriations Committee on April 27, 2016, any costs to the Commission resulting from this measure would be minor and absorbable.
COMMENTS: According to the California Film Commission, almost a quarter of all filming permits they issue are for commercials: specifically in 2015 the percentage was 23.7% and in 2014 the percentage of permits issued for commercials was 22%. The author believes that this comparatively large subgroup of permittee should have a voice on the Commission.
Analysis Prepared by: Dana Mitchell / A.,E.,S.,T., & I.M. / (916) 319-3450 FN: 0003598
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | AB |
CONSENT
Bill No: AB 1941
:
SENATE BUS., PROF. & ECON. DEV. COMMITTEE: 9-0, 6/13/16
AYES: Hill, Bates, Block, Gaines, Galgiani, Hernandez, Jackson, Mendoza, Wieckowski
SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8
ASSEMBLY FLOOR: 78-0, 5/12/16 (Consent) - See last page for vote
SOURCE: Groat Family Productions
DIGEST: This bill requires the Governor to appoint an independent filmmaker and an independent commercial producer as two of her or his appointees to the California Film Commission (Commission). This bill requires the Commission to post information relating to independent film productions on its Web site.
Existing law:
- Establishes the Governor’s Office of Business and Economic Development (GO-Biz) to serve as the lead state entity for economic strategy and marketing of California on issues relating to business development, private sector investment, and economic growth. (Government Code (GC) §§ 12096 – 12098.5)
- Establishes the Commission to encourage motion picture and television filming in California and make recommendations to the Legislature, the Governor, and GO-Biz to improve the position of the state’s motion picture industry in the national and world markets. (GC §§ 14998 – 14999.55)
- Requires Commission membership to conform to a number of requirements including, but not limited to, the following: (GC § 14998.2)
- Commission shall consist of 26 members. The Governor shall appoint
13 members; the Senate Committee on Rules shall appoint four members; the Speaker of the Assembly shall appoint four members; and five members shall be ex-officio. - Members of the Commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
- Six of the 13 members appointed by the Governor shall be as follows:
- One shall be a person who is a member or employee of a union or guild of motion picture artists.
- One shall be a person who is a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
- Two shall be from major motion picture studios.
- One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
- One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
- One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator. One of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly.
- The five ex-officio members shall include: the Director of Transportation, the Director of Parks and Recreation, the Commissioner of the California Highway Patrol, the State Fire Marshal, and the Director of the Commission.
- All members of the Commission, except Legislators appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment. Legislators appointed by the Senate Committee on Rules or by the Speaker of the Assembly shall be appointed for four year terms. Whenever a Legislator vacates an office, the appointing power shall appoint another person for a new full term.
- Of the Legislators appointed to the Commission, no more than three Legislators from the same political party may be appointed to or serve on the Commission at the same time.
- Commission shall consist of 26 members. The Governor shall appoint
This bill:
- Requires another appointment to the Commission by the Governor to be an independent filmmaker, where an independent filmmaker is a producer of a film that meets all of the following criteria:
- Has a running time of at least 75 minutes.
- Is intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or through the Internet.
- Is produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company.
- Requires another appointment to the Commission by the Governor to be an independent commercial producer or employee of a trade association representing independent commercial producers, where an independent commercial producer meets all of the following criteria:
- Is a producer who owns or is employed by a company that is principally engaged in the physical or digital production of advertising content for advertisers.
- Has control over the selection of production location, deployment, or management of the production equipment and directly employs the production crew as the person that has control over the hiring and firing of the crew for a commercial production.
- The company shall not be wholly or partly owned or operated by an advertising agency or an advertiser or be publicly traded and shall not produce any production to which the recordkeeping requirements of Section 2257 of Title 18 of the United States Code apply.
- Requires the Commission to create a navigational link on its Web site labeled “Independent Films” that includes information explaining the qualified motion picture tax credits available to independent films, outlining the application process, and highlighting that the Commission is required to allocate five percent of the aggregate amount of credits to independent films.
Background
According to the author, independent filmmakers have smaller budgets and face many unique challenges during the film production process including logistics of production, smaller crew sizes, less recognizable talent, and longer timeframes to complete production. The greatest challenges, according to the author, arise with funding and distribution of a project. Due to these challenges, the author writes, independent filmmakers “bring with them a special set of learned skills and experiences.” In 2012-2013, California produced 177 independent films, which is the greatest number of any state. New York produced the next greatest number with 96 independent productions. The author argues, “At such a high number of productions, we should ensure that the unique needs of independent filmmakers are heard […] so that California can remain first in the United States in producing independent films. […] Since more independent film productions are made [each] year than large studio productions, it is critical that an independent filmmaker be added to the [Commission].”
An independent film is any motion picture produced with a majority of funds from sources other than the six major Hollywood studios. Independent films range from small alternative films to big-budget features such as The Hunger Games and Million Dollar Baby. Since 1980, Independent Film & Television Alliance (IFTA) members have produced and distributed more than half of the films that have won the “Best Picture” Academy Award including: Braveheart, No Country for Old Men, and Slumdog Millionaire. According to IFTA, the major Hollywood studios are increasingly reducing the number of films they produce in-house and are relying more on independents to deliver completed pictures to feed their domestic distribution pipelines. The major studios have gradually become more marketing and distribution specialists in the U.S. marketplace than production entities.
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
Groat Family Productions (source)
OPPOSITION: (Verified 6/28/16)
None received
ASSEMBLY FLOOR: 78-0, 5/12/16
AYES: Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams, Wood, Rendon
NO VOTE RECORDED: Burke, Jones-Sawyer
6/29/16 15:50:43
**** END ****
SENATE COMMITTEE ON
BUSINESS, PROFESSIONS AND ECONOMIC DEVELOPMENT
Senator Jerry Hill, Chair
2015 - 2016 Regular
Bill No: AB 1941 Hearing Date: June 13, 2016
Author: | Lopez | ||
Version: | Amended | ||
Urgency: | Fiscal: | ||
Consultant: | |||
Subject: California Film Commission: membership and duties
SUMMARY:
Requires the Governor to appoint an independent filmmaker and an independent commercial producer as two of her or his appointees to the California Film Commission (Commission). Requires the Commission to post information relating to independent film productions on its website.
Existing law:
- Establishes the Governor’s Office of Business and Economic Development (GO-Biz) to serve as the lead state entity for economic strategy and marketing of California on issues relating to business development, private sector investment, and economic growth. (Government Code (GC) §§ 12096 – 12098.5)
- Establishes the Commission to encourage motion picture and television filming in California and make recommendations to the Legislature, the Governor, and GO-Biz to improve the position of the state’s motion picture industry in the national and world markets. (GC §§ 14998 – 14999.55)
- Requires Commission membership to conform to a number of requirements including, but not limited to, the following: (GC § 14998.2)
- Commission shall consist of 26 members. The Governor shall appoint
13 members; the Senate Committee on Rules shall appoint four members; the Speaker of the Assembly shall appoint four members; and five members shall be ex-officio. - Members of the Commission appointed by the Governor may include representatives of state and local government, motion picture development companies, employee and professional organizations composed of persons employed in the motion picture industry, and other appropriate members of this or related industries.
- Six of the 13 members appointed by the Governor shall be as follows:
- One shall be a person who is a member or employee of a union or guild of motion picture artists.
- One shall be a person who is a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
- Two shall be from major motion picture studios.
- One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
- One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
- One of the members appointed by the Senate Committee on Rules shall, and another one may, be a Senator. One of the members appointed by the Speaker of the Assembly shall, and another one may, be a Member of the Assembly.
- The five ex-officio members shall include: the Director of Transportation, the Director of Parks and Recreation, the Commissioner of the California Highway Patrol, the State Fire Marshal, and the Director of the CFC.
- All members of the Commission, except Legislators appointed either by the Senate Committee on Rules or by the Speaker of the Assembly, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment. Legislators appointed by the Senate Committee on Rules or by the Speaker of the Assembly shall be appointed for four year terms. Whenever a Legislator vacates an office, the appointing power shall appoint another person for a new full term.
- Of the Legislators appointed to the Commission, no more than three Legislators from the same political party may be appointed to or serve on the Commission at the same time.
- Commission shall consist of 26 members. The Governor shall appoint
This bill:
- Requires another appointment to the Commission by the Governor to be an independent filmmaker, where an independent filmmaker is a producer of a film that meets all of the following criteria:
- Has a running time of at least 75 minutes.
- Is intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or through the Internet.
- Is produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company.
- Requires another appointment to the Commission by the Governor to be an independent commercial producer or employee of a trade association representing independent commercial producers, where an independent commercial producer meets all of the following criteria:
- Is a producer who owns or is employed by a company that is principally engaged in the physical or digital production of advertising content for advertisers.
- Has control over the selection of production location, deployment, or management of the production equipment and directly employs the production crew as the person that has control over the hiring and firing of the crew for a commercial production.
- The company shall not be wholly or partly owned or operated by an advertising agency or an advertiser or be publicly traded and shall not produce any production to which the recordkeeping requirements of Section 2257 of Title 18 of the United States Code apply.
- Requires the Commission to create a navigational link on its website labeled “Independent Films” that includes information explaining the qualified motion picture tax credits available to independent films, outlining the application process, and highlighting that the Commission is required to allocate five percent of the aggregate amount of credits to independent films.
FISCAL EFFECT:
According to an analysis by the Assembly Appropriations Committee dated April 27, 2016, any costs to the Commission resulting from this measure would be minor and absorbable.
COMMENTS:
- Purpose. The Sponsor of this bill is Groat Family Productions. According to the Author, independent filmmakers have smaller budgets and face many unique challenges during the film production process including logistics of production, smaller crew sizes, less recognizable talent, and longer timeframes to complete production. The greatest challenges, according to the Author, arise with funding and distribution of a project. Due to these challenges, the Author writes, independent filmmakers “bring with them a special set of learned skills and experiences.” In 2012-2013, California produced 177 independent films, which is the greatest number of any state. New York produced the next greatest number with 96 independent productions. The Author argues, “At such a high number of productions, we should ensure that the unique needs of independent filmmakers are heard […] so that California can remain first in the United States in producing independent films. […] Since more independent film productions are made [each] year than large studio productions, it is critical that an independent filmmaker be added to the [Commission].”
- Independent Film Production. An independent film is any motion picture produced with a majority of funds from sources other than the six major Hollywood studios. Independent films range from small alternative films to big-budget features such as The Hunger Games and Million Dollar Baby. Since 1980, Independent Film & Television Alliance (IFTA) members have produced and distributed more than half of the films that have won the “Best Picture” Academy Award including: Braveheart, No Country for Old Men, and Slumdog Millionaire. According to IFTA, the major Hollywood studios are increasingly reducing the number of films they produce in-house and are relying more on independents to deliver completed pictures to feed their domestic distribution pipelines. The major studios have gradually become more marketing and distribution specialists in the U.S. marketplace than production entities.
- Prior Related Legislation. AB 1839 (Gatto and Bocanegra, Chapter 413, Statutes of 2014) extended, for five years, the requirement that the California Film Commission (CFC) annually allocates tax credits to qualified motion pictures, as specified, continuing through the 2021-22 fiscal year.
AB 2026 (Fuentes, Chapter 841, Statutes of 2012) extended the film production tax credit program for two years, until 2017.
AB 29 (John A. Pérez, Chapter 475, Statutes of 2011) establishes GO-Biz within the Governor's Office for the purpose of serving as the lead entity for economic strategy and marketing of California on issues relating to business development, private sector investment and economic growth.
AB 1069 (Fuentes, Chapter 731, Statutes of 2011) extended the film production tax credit program for one year, until 2015.
ABX3 15 (Krekorian, Chapter 10, Statutes of the 2009-10 Third Extraordinary Session) established a five year, $500 million tax credit for qualified expenditures on qualified productions and limited allocations to $100 million per year.
AB 1277 (Cohn, Chapter 662, Statutes of 2003) transferred administrative authority over the Commission to the Business, Transportation & Housing Agency and created the Film California First Fund, administered by the Commission, which provided for reimbursements to local governments for their costs in issuing permits for local filming of motion pictures.
AB 2410 (Frommer, Chapter 1042, Statutes of 2002) required the Commission to report annually the number of motion picture starts that occurred within California and required Employment Development Department to research and maintain data on film industry employment to determine the economic impact of the film industry, monitor film industry employment and activity in competing states and countries, and examine the ethnic diversity and representation of minorities in the entertainment industry.
AB 484 (Kuehl, Chapter 699, Statutes of 1999) created the Film California First program, housed at the California Film Commission to reimburse certain film costs incurred by a qualified production company when filming on public property.
SUPPORT AND OPPOSITION:
Support:
None on file as of June 7, 2016.
Opposition:
None on file as of June 7, 2016.
-- END --
Date of Hearing: May 4, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
ABPCA Bill Id:AB 1941
Author:(Lopez) – As Amended Ver:April 27, 2016
Policy Committee: | Arts, Entertainment, Sports, Tourism, and Internet Media | Vote: | 7 - 0 |
|
|
Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This bill seeks to advance the role of the California Film Commission (CFC) in assisting independent filmmaking within the state. Specifically, this bill:
- Requires that one of the Governor's 13 existing appointments to the CFC be an independent filmmaker, as defined.
- Requires the CFC to create a tab on its website labeled "Independent Films," to contain information explaining the state's film tax credits available to independent films, provide information on the tax credit application process, and highlight that the commission is required to allocated five percent of the credits to independent films.
FISCAL EFFECT:
Any costs to the CFC would be minor and absorbable.
COMMENTS:
Purpose. According to the author, "AB 1941 will ensure that the unique needs of independent filmmakers are served so California can remain first in the United States in producing independent films."
AB 1839 (Gatto and Bocanegra), Chapter 413, Statutes of 2014, created, through 2019-20, a new and expanded tax credit for qualified expenditures for the production of motion pictures. The credit totals $230 million in the first year and $330 million annually thereafter. Five percent of the tax credit is set aside to assist the production of independent films—defined as a motion picture with a minimum budget of $1 million, produced by a company that is not publicly traded and that publicly-traded companies do now own more than 25% of the producing company.
Analysis Prepared by: Chuck Nicol / APPR. / (916) 319-2081
Date of Hearing: April 12, 2016
ASSEMBLY COMMITTEE ON ARTS, ENTERTAINMENT, SPORTS, TOURISM, AND INTERNET MEDIA
Kansen Chu, Chair
ABPCA Bill Id:AB 1941 (
Author:Lopez) – As Amended Ver:April 4, 2016
SUBJECT: California Film Commission: membership and duties.
SUMMARY: This bill would increase the number of members of the California Film Commission (CFC) to 27 by increasing the Governor’s appointees from 13 to 14, as specified. The bill would also require the commission to establish procedures and services specifically directed to independent films.
Specifically, this bill:
- Increases the membership of the CFC by one to 27 members by giving the Governor an additional appointment, from the current 13 up to 14 members.
- Requires that one of the Governor's appointments shall be an independent filmmaker.
- Provides that in addition to other duties as specified in law, the CFC shall establish procedures and services specifically directed to independent films.
- Defines, “Independent filmmaker” for purposes of this section, to mean "a producer of a film with a running time of at least seventy-five (75) minutes intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or via the internet. An independent film produced by an independent filmmaker shall be produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company."
EXISTING LAW:
- Establishes the California Film Commission within the Governor’s Office of Business and Economic Development (Government Code14998.2. et seq).
- States that the commission shall consist of 26 members, with the Governor appointing 13 members, the Senate Committee on Rules four members, the Speaker of the Assembly four members, and five members shall be ex officio.
- Provides that all members of the commission, except legislators who are appointed either by the Senate Committee on Rules or by the Speaker of the Assembly for four year terms, shall serve at the pleasure of the appointing authority for a term of two years from the effective date of the appointment.
- Declares that six of the 13 members appointed by the Governor shall be as follows:
- One shall be a person who is a member or employee of a union or guild of motion picture artists.
- One shall be a person who is a member or employee of a union or guild representing motion picture craftsmen, technicians, or photographers.
- Two shall be from major motion picture studios.
- One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of at least two million people.
- One shall be a member of the city council or a member of the county board of supervisors of a city or a county with a population of less than two million people.
5) Defines “Independent film” within the California Film Tax Credit Program to mean a motion picture with a minimum budget of one million dollars ($1,000,000) that is produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company. [Revenue and Taxation Code 17053.95.(b)(6)]
FISCAL EFFECT: Unknown.
COMMENTS:
- Author and sponsor's statement of need for legislation. According to the author, "Currently, the California Film Commission is not required by statue to include a board member who is an independent filmmaker, nor to provide services targeted to this unique sub-group. Despite this, California produced 177 independent films in 2012-13, which is the highest of any state in the United States with New York coming in second at 96 productions. This impressive output makes them a very important sector in our entertainment economy despite the comparatively small size of their budgets."
The sponsors state the following in support, "Since more independent film productions are made a year in California than large studio productions, it is critical that an independent filmmaker be added to the commission. Independent filmmakers will be able to bring a different perspective to filmmaking, discuss the current trends and needs of filmmakers and provide ideas as a whole to improve independent filmmaking in California."
The author concludes, "Independent filmmakers are resourceful artists, who have firsthand knowledge of solving unique issues that arise during the independent filmmaking process and have developed the core skill of grassroots networking. AB 1941 will ensure that the unique needs of independent filmmakers are served so that California can remain first in the United States in producing independent films."
- Background:
- California Film Production Tax Credit program is administered by the CFC. In 1985, the Legislature established CFC to co-ordinate state and local governments’ efforts at providing an environment conducive for the film industry. Twenty-six members of the film industry, private sector, and state and local governments are appointed by the Governor, Senate President Pro Tempore, and Speaker of the Assembly to sit on the CFC board.
In 2009, to combat "runaway production," the Legislature enacted a tax credit for qualified motion picture production in California as part of the State Budget Agreement, directing CFC to allocate $100 million in credits annually (SB 15X3 (Calderon, Chapter 17) and AB 15X3 (Krekorian, Chapter 10) in Third Extraordinary Session). Last session that program was substantially expanded by AB 1839 (Gatto and Bocanegra).
- Prior related legislation. AB 1839 (Gatto and Bocanegra), Chapter 413, Statutes of 2014, created a new and expanded tax credit for qualified expenditures for the production of qualified motion pictures in California for taxable years beginning on or after January 1, 2016, and authorized the California Film Commission (CFC) to administer the program and allocate the tax credits, subject to a $230 million cap in the first year (2015-16) and $330 million aggregate annual cap for each fiscal year (FY) from the 2016-17 FY through and including the 2019-20 FY. In relevant part, AB 1839 required special treatment for independent films as follows:
- Requires the CFC to allocate the credit amounts subject to the following categories in order to insure like productions compete against each other under the jobs ratio formula:
- Independent films shall be allocated 5%.
- Features shall be allocated 35%.
- A relocating television series shall be allocated 20%.
- A new television series, pilots for a new television series, movies of the week, miniseries, and recurring television series shall be allocated 40%.
- Requires the CFC to audit final submissions for tax credits and compare the jobs ratio figures contained in original tax credit applications to those actual qualified expenditures, and provides for discrepancies as follows:
- If the CFC finds a reduction in actual qualified expenditures of no more than 10% they shall reduce the amount of credit allowed by an equal percentage, with limited exception for reasonable cause, as provided.
- In addition, if the CFC finds a reduction in actual qualified expenditures by more than 20%, the CFC shall not accept an application from that qualified taxpayer for one year, with exceptions for reasonable cause, as provided.
- Independent films would be treated differently, with any reduction of 30% or more in actual qualified expenditures reducing the amount of credit allowed by an equal percentage, plus subjecting them to a penalty of 10% of the difference in requested tax credit allowance and actual expenditures, with exceptions for reasonable cause, as provided.
- In addition, CFC must set aside $10 million credits each year, for independent films. The CFC must provide the Franchise Tax Board (FTB) an annual list of qualified taxpayers and the tax credit amounts allocated to each qualified taxpayer. The amount of the tax credit is equal to either:
- 20% of the qualified production expenditures of a motion picture; or
- 25% of the qualified expenditures of an independent film or a television series that relocated to California.
- Requires the CFC to allocate the credit amounts subject to the following categories in order to insure like productions compete against each other under the jobs ratio formula:
- Prior related legislation. AB 1839 (Gatto and Bocanegra), Chapter 413, Statutes of 2014, created a new and expanded tax credit for qualified expenditures for the production of qualified motion pictures in California for taxable years beginning on or after January 1, 2016, and authorized the California Film Commission (CFC) to administer the program and allocate the tax credits, subject to a $230 million cap in the first year (2015-16) and $330 million aggregate annual cap for each fiscal year (FY) from the 2016-17 FY through and including the 2019-20 FY. In relevant part, AB 1839 required special treatment for independent films as follows:
Please see committee analysis of AB 1839 for complete discussion of the issues of runaway production and the state's investment in the California Film Tax Credit program.
3) Recent amendments adopt CFC definition of "independent film producer." This measure would require the Governor to appoint an independent filmmaker to the CFC and would require the CFC to create and provide specific services to independent filmmakers. However, the existing code only defines an independent film for purposes of the California Film Production Tax Credit program with financial and investment limitations. In order to reach "independent filmmakers" and not simply independent film productions eligible for the California Film Production Tax Credit program, the author worked with the CFC in crafting their definition.
The bill defines the term for purposes of this section to mean "a producer of a film with a running time of at least seventy-five (75) minutes intended for commercial distribution to a motion picture theater, directly to the home video market, directly to television, or via the internet. An independent film produced by an independent filmmaker shall be produced by a company that is not publicly traded and publicly traded companies do not own, directly or indirectly, more than 25 percent of the producing company." This definition is the working definition used by the CFC, and represents the coordinated language of various parts of the California Film Production Tax Credit program.
REGISTERED SUPPORT / OPPOSITION:
Support
Groat Family Productions (sponsor)
Opposition
There is no opposition on file.
Analysis Prepared by: Dana Mitchell / A.,E.,S.,T., & I.M. / (916) 319-3450
Bill Author
Bill Co-Author(s):
