Connect with us

Entertainment

Is California's film and TV tax credit in danger? Unions say so

Published

on

Is California's film and TV tax credit in danger? Unions say so

Eager to negotiate a measure off the 2024 ballot that would make it harder to raise taxes, unions are alleging the initiative would end a California program that awards hundreds of millions of dollars annually in tax credits to television and film studios.

The claims are part of an effort by unions to increase pressure on business interests backing the measure to strike a deal to remove the proposal from the November ballot, which remains possible amid an intense negotiation period at the California state Capitol. If the concerns about the tax credits catch on, movie studio executives could be a powerful addition to the opposition campaign.

Losing film and television tax credits would be particularly damaging as the motion picture industry struggles to recover from the COVID-19 pandemic, two major strikes and an ongoing industry contraction.

“This thing has the potential to devastate our industry and the jobs that support it, as well as those that are touched by this industry,” said Thom Davis, president of the California council for Hollywood crew members union IATSE.

Advertisement

So far, no movie studios have joined the opposition campaign led by the Service Employees International Union California, California Teachers Assn, Northern California Regional Council of Carpenters and the State Building & Construction Trades Council of California.

Warner Bros. Discovery and a lobbyist for the Motion Picture Assn. declined to comment. The Times reached out Tuesday to several other major studios, including Disney, NBCUniversal, Sony, Paramount and Netflix, for comment.

The California Business Roundtable, a proponent of the measure, pushed back on the union claims. The film credits are a tax deduction, not an increase, and would not be affected by the ballot initiative, the business organization said.

“We’ve been waiting for these kinds of scare and intimidation tactics for weeks,” said Rob Lapsley, president of the roundtable.

Removing the Taxpayer Protection and Government Accountability Act from the November ballot is a top political priority of labor unions and Democrats, who are afraid voters will support the proposal and tip the balance of power in Sacramento.

Advertisement

The proposal, pushed by Lapsley’s group and the Howard Jarvis Taxpayers Assn., strips the state Legislature and the governor of the ability to increase taxes without statewide voter approval. The measure could limit state and local funding and make it more challenging for the governor and Legislature to generate funding for new programs, or respond to an economic crisis without sacrificing their own policy agenda.

The measure would have a “chilling effect on government’s ability to invest in services and infrastructure that the state of California and Californians need in order to grapple with all of the challenges ahead,” such as climate change, an aging population and the rise of artificial intelligence, said Keely Bosler, former director of the California Department of Finance who is working with the opposition campaign.

Gov. Gavin Newsom and Democratic state lawmakers petitioned the California Supreme Court last September to intervene, arguing that the change revises the California Constitution and should require a two-thirds vote in the Legislature to appear on the ballot. The high court heard oral arguments on the case in May and could offer a ruling to strike the measure from the November ballot.

Lawyers for the proponents and the opposition campaign disagree over whether the measure will impact film and TV tax credits.

The measure asks voters to require local governments to vote on all fee increases, which can now be approved administratively. The threshold to increase local special taxes would increase from a majority to a two-thirds vote of the people.

Advertisement

Fee increases at the state level, which are often approved by state agencies and boards, would need support from a majority of the state Legislature. The ballot measure also would expand the requirements necessary for a statewide tax increase, which currently can be done with a two-thirds vote of the Legislature. Under the measure, support from a majority of California voters also would be required.

The measure expands the definition of taxes and restricts the potential use of fees to only cover the cost of the service, potentially prohibiting government from redirecting revenue to other purposes.

Opponents say California’s film and TV tax credit program — which underwent a significant makeover in 2023 — could be in jeopardy due to a provision in the proposed ballot measure declaring that “any change in state law which results in a taxpayer paying a new or higher tax” must be passed by at least two thirds of the legislature and approved by a majority vote of the people.

A retroactive clause states that “any tax or exempt charge adopted after January 1, 2022, but prior to the effective date of this act” that was not implemented according to the above rules will be void one year after the measure is passed “unless the tax or exempt charge is reenacted in compliance with the requirements.”

Detractors have interpreted those excerpts to mean that Senate Bill 132 — a 2023 law extending California’s film and TV tax credit by five years and incorporating a new “refundable” feature permitting certain studios to qualify for direct payments from the state — would be overturned if the ballot measure passes in November. SB 132 isn’t scheduled to go into effect until 2025, so the opposition campaign is sounding the alarm about future funding to the tax credit program.

Advertisement

Unions began delivering the warnings in the final stretch of budget negotiations at the state Capitol. Newsom and Democrats are negotiating among themselves, unions and other interest groups about delaying an increase to the minimum wage for healthcare workers to $25 per hour and a pause on tax credits for businesses to close California’s $45-billion budget deficit.

Those talks are intertwined in conversations about the 2024 ballot measures. Under state law, proponents have the ability to withdraw their measures from the ballot before the June 27 qualifying deadline. Lapsley said he has been open to having talks about the provisions of his measure with opponents, but that hasn’t happened.

“We’ve been crystal clear that we would respect anyone who wants to sit down and have a discussion,” Lapsley said.

But Lapsley has also been adamant about the need for his proposal.

“The importance of [Taxpayer Protection and Government Accountability Act] for the statewide business community as a long term check and balance against a permanent two-thirds super majority progressive Legislature far outweighs any individual elements that they may be talking about at this point,” Lapsley said. “So that is our perspective on this, and that is why we continue to just move forward.”

Advertisement

The potential effects of the measure on the film tax credit could be a compelling argument for unions.

California currently awards about $330 million annually to dozens of entertainment companies that film in state — a relatively low number compared to more attractive tax programs offered by production hubs in other states and countries that compete with Hollywood for business.

Industry insiders and experts have cited the weakness of California’s tax credit program as one of several reasons why film and TV production has been declining in the state. A recent report by the Otis College of Art and Design found that Los Angeles’ share of domestic film and TV employment dropped 8% last year, losing ground to rivals such as Atlanta and New York.

A complete reversal of SB 132 would spell “absolute devastation” for the local entertainment community, Davis said. The Hollywood crew members he represents are already hurting badly from last year’s work stoppages and the sluggish return to production.

“California would just not be able to compete anymore,” Davis said.

Advertisement

“The questions [entertainment workers] are asking is, ‘Why would they do this to us?’” he added. “It’s almost like a personal attack.”

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Movie Reviews

'Deadpool & Wolverine' movie review: Fox's last dance, Deadpool & Wolverine bromance

Published

on

'Deadpool & Wolverine' movie review: Fox's last dance, Deadpool & Wolverine bromance

Superhero fatigue is real. With no good movies recently, Marvel has lost its course. But brace yourselves — straight from 20th Century Fox, sorry, Disney — a hero makes his grand MCU entrance. He’s the messiah, the merc with a mouth; he is… The Marvel Jesus. Buckle up, peanut, because this isn’t your average cape-and-tights movie — or is it?

Directed by Shawn Levy (‘Free Guy’), this third instalment is a hot mess —kind of like Wade Wilson himself on a bad hair day. Just as the world’s falling apart (again), the Time Variance Authority’s Paradox (Matthew Macfyden) recruits him to put his timeline out of its misery. Deadpool refuses and drags the worst variant of the Wolverine (Hugh Jackman) out of retirement to help stop this crazy scheme. They are sent to the ‘Void’ — yes, the same one from ‘Loki’ season one, episode five, now ruled by Cassandra Nova (Emma Corrin), Professor Charles Xavier’s evil twin.

The film takes you on a wild ride with surprise appearances from the Fox Universe. The plot is a bit shaky with jokes that sometimes fall flat, but it’s saved by some really cool action sequences, with slow-motion effects set to popular ’90s tunes. It’s a fun, if messy, farewell to the Fox universe, offering a peek at what mutant battles might look like in the MCU — and it doesn’t look too bad. Ryan Reynolds keeps it lively with his snappy humour, and Hugh Jackman proves yet again why he’s the ultimate Wolverine, leaving us with a touching montage of his ‘X-Men’ moments during the end credits.

So, does this Marvel messiah live up to the hype? Well, yes and no. Deadpool doesn’t exactly ace it. He’s the irritating but quirky hero we didn’t even know we needed, flipping the MCU on its head and turning multiversal crises into comedy gold. Marvel dug deep into the Fox universe, like scraping the last bits of chicken from a biryani pot.

The movie might do well at the box office, but they really need to sort out their timelines (pun intended) before they kick off the Mutant Saga.

Advertisement

Published 26 July 2024, 20:20 IST

Continue Reading

Entertainment

Review: Olympics opening ceremony shined with best of Paris and France, but failed as TV

Published

on

Review: Olympics opening ceremony shined with best of Paris and France, but failed as TV

France took the opening ceremony of the Olympics out of the customary arena and onto the River Seine — and into the rain — Friday in what was undeniably a bold, unprecedented and, given the security nightmare, crazy take on the event. An Olympics whose motto is “Games Wide Open” ironically came with fences, checkpoints and police and soldiers numbering in the many tens of thousands. But they remained practically invisible through the broadcast, once again from NBC and also streaming on Peacock.

Almost nothing was revealed about the program ahead of time, past a few facts and figures — 300,000 spectators expected, a 3.7-mile route running east downriver from the Pont d’Austerlitz to the Eiffel Tower and Trocadéro, some 90 boats carrying 10,000 athletes, 12 thematic “scenes.” With little to go on, it was tempting to imagine what those scenes might encompass. Bearded existentialists drinking apricot cocktails? A nude descending a staircase? Jean-Pierre Léaud making one last appearance as Antoine Doinel? Striking railway workers? The band Telephone reunited? I was hoping to see at least one performer dressed as Jacques Tati’s M. Hulot, though I would have made it 100. Would there be mimes?

The answer to all those questions was no. Working with a team that included a historian, novelist, screenwriter and playwright, to say nothing of the choreographers and costumers, director Thomas Jolly — known for a 24-hour marathon staging of Shakespeare’s three “Henry VI” plays plus “Richard III” — cooked up something at once stranger and more appropriate: daffy, sexy, occasionally alarming — I would not have expected the decapitated Marie Antoinettes — and, one would say, quintessentially French. Even the rain, which, having arrived, stayed to enjoy itself, had a sort of Parisian quality, adding drama and romance. Though, of course, that part wasn’t scripted.

Performers during the Paris opening ceremony, which featured beheaded Marie Antoinettes.

(Bernat Armangue / Associated Press)

Advertisement

Taking the Games into the city center and putting the ceremony onto the river was a smart idea to begin with. You don’t go to Paris to stay indoors unless it’s to look at art or eat things cooked in butter; and if you’ve seen the inside of one over-lit stadium, you’ve seen them all. The Seine put the athletes, riding on their larger and smaller bateaux mouches, within spitting distance of Notre Dame, the Louvre, the Tuileries, Place Concorde, the Grand Palais and the Eiffel Tower.

There had been a few performers mentioned beforehand, including French Malian superstar Aya Nakamura; the “eco-metal” band Gojira, which, with its frequent collaborator the Franco-Swiss opera singer Marina Viotti, represented the Revolution; and the never publicly confirmed Celine Dion — who, in the event, did close the show, with a powerful rendition of Edith Piaf’s “L’Hymne à l’amour,” sung from high upon the Eiffel Tower. Lady Gaga, whose presence in the city had been noted, opened it — if you don’t count the winged accordion player on what I assume was the Austerlitz bridge — with a glamorous cabaret production of Zizi Jeanmaire’s ‘60s hit “Mon truc en plumes” set on gilded steps leading down to the river. That translates as “my thing with feathers,” and there were feathers, indeed — big pink fans, pink being the hue associated with that leg of the color-coded program.

Jolly mixed filmed pieces into the live performance. Most provocatively there was a gender-bending love story told through book titles that wound toward a suggested threesome — the show contained a decent amount of queer content. There was a dance in the scaffolding around Notre Dame. More crucial to the narrative, such as it was, were segments surrounding a masked and hooded torch bearer who would also be glimpsed in person along (and zip-lining above) the route. This bit included trips through the Metro, the catacombs — undoubtedly this was the first and surely the last opening ceremony to feature human skulls — and alligator-inhabited sewers, as well as the Louis Vuitton atelier (where they made the trunks that held the torch on its travels) and the Louvre, where figures left their paintings, later to emerge as giant heads in the river.

Behind the clock in the Musée d’Orsay, we got a clip from the Lumière brothers’ seminal film of a train arriving in a station and a puppet animation that nodded to Georges Méliès‘ “A Trip to the Moon,” “The Little Prince” and “The Planet of the Apes,” which, of course, featured that statue the French made us. I did find this part particularly delightful.

Advertisement

This operatic mix of mediums, spread out across the city, could only make complete sense as television — anyone present would have only seen what was in front of them. And yet, as television, it mostly failed — further fragmenting a fragmented event, which alternated between the parade and the show over some four hours, with commentary and cutaways and, after the first hour, commercials. It spoke only of the banality of TV and to remind you that this is not an ad-free world. (The insertion of a “Despicable Me” short, from NBC’s parent company, Universal, had corporate cross-promotion written all over it.)

The Olympic rings lit above Celine Dion on the Eiffel Tower.

Canadian singer Celine Dion closed the opening ceremony with a performance on the Eiffel Tower.

(Wally Skalij / Los Angeles Times)

The commentary, by Mike Tirico, Kelly Clarkson and Peyton Manning, had the effect of people talking during a play, or that jarring feeling when you’re in a foreign country and you suddenly hear American voices. They were perhaps working at a disadvantage, given the secrecy that had surrounded the production and a less-than-native understanding of French culture and history. But apart from the sort of sports statistics that no viewer will keep in their head longer than it takes to say them, they spoke largely of how they felt and how they imagined the athletes must feel. It turned the parade of athletes into the Macy’s parade.

I say “mostly” failed. Often enough the grandeur, audacity and nuttiness of the event shone through the screen — mezzo-soprano Axelle Saint-Cirel singing “La Marseillaise” from the top of the Grand Palais, a silver chevalier on a robot horse skimming along the river to carry the Olympic flag to the Trocadéro, where the athletes had finally debarked, and where speeches from International Olympic Committee President Thomas Bach and Games President Tony Estanguet made one feel there might be something more to the Olympic spirit than winning medals.

Advertisement

And there was the genuinely moving finale, with Dion coming across like Liberty Leading the People in Delacroix’s famous painting and the Eiffel Tower putting on its laser show. White-clad athletes from many years passed the torch and became a crowd as they jogged together to the Louvre and back to the Tuileries, where a giant gold hot air balloon — the French invented it — was tethered. It became the Olympic cauldron, and then rose into the air, where I assume it will stay until the closing ceremony comes to tell us its story.

Continue Reading

Movie Reviews

What If Jessica Chastain and Anne Hathaway Had a Mother-Off, and We All Lost?

Published

on

What If Jessica Chastain and Anne Hathaway Had a Mother-Off, and We All Lost?

The strange case of Mothers’ Instinct.
Photo: Neon

There’s a new movie starring Jessica Chastain and Anne Hathaway out this week, which is normally the sort of thing you’d expect to have heard about. But, after its release in the U.K. months ago, Mothers’ Instinct is slipping into U.S. theaters with as little splash as an Olympic diver nailing a triple somersault tuck. The film, a thriller directed by Benoît Delhomme, is getting the treatment typically reserved for a disaster, which is a shame, because I’ve been dying to discuss it with someone, and that’s hard when no one has any idea what you’re on about. Mothers’ Instinct is, indeed, pretty terrible, and not in the so-bad-it’s-good sense, and yet there’s something strangely moving about it. It’s a poignant example of how what looks like rich material to actors can turn out to be lousy material for audiences. Mothers’ Instinct is a remake of a 2018 Belgian film adapted from a novel by Barbara Abel, and watching it, you can appreciate exactly why these two major actors signed on to star in it. Funnily enough, those same qualities go a long way toward explaining why the movie doesn’t work.

Mothers’ Instinct isn’t camp, but it’s close enough that if you squint, you can almost see a version of the film that tips into something broader. Of course, if you squint, you wouldn’t be able to appreciate how immaculately Chastain and Hathaway are costumed. They look incredible — not like two 1960s housewives, which is what they’re playing, so much as two people who keep switching outfits because they can’t decide what to wear to the high-end Mad Men–themed party they’re headed to later. As Alice, Chastain is styled like a Hitchcock blonde in pin-curled ash updos and cardigan sets, while as Alice’s neighbor and friend Céline, Hathaway is given a Jackie O. look that involves a shoulder-length bouffant, pillbox hats, and gloves. They’re cosplayers in a gorgeous, airless setting, adjoining houses on a street that might as well be floating in space, the husbands (played by Anders Danielsen Lie and Josh Charles) vanishing to work for long stretches. The artificiality of this intensely manicured re-creation isn’t to any particular end, which gives the whole movie the air of a Don’t Worry Darling situation in which no one ever wakes up to the twist, instead sleepwalking through a stylized dream of Americana.

Advertisement

In fact, while Alice is restless over having given up her job as a journalist to take care of her son Theo (Eamon O’Connell), and Céline gets ostracized by the community after the death of her son, Max (Baylen D. Bielitz), Mothers’ Instinct isn’t actually all that interested in the pressures of living under a repressive 1960s patriarchy. Instead, it’s about another time-tested theme, one that’s best summed up as: Bitches be crazy. The perfect sheen of its surfaces — Delhomme, who’s making his directorial debut, is a cinematographer who started his career with The Scent of Green Papaya and has since worked with everyone from Tsai Ming-liang to Anton Corbijn — is paired with a score that shrieks unease from the opening scene, in which Céline is thrown a surprise birthday party. The source of this suspense isn’t revealed until later, after Max takes an unintended swan dive off the porch and the women’s friendship is threatened by grief, guilt, and suspicion. Is Céline in mourning, or does she actually irrationally blame Alice for what happened while developing an alarming fixation on Theo? Is Alice right to be suspicious of her bestie, who’s unable to have another baby, or is she being paranoid because the mental illness that previously resulted in her hospitalization has returned? Is it odd that two feminist actors jumped to participate in a film that traffics so freely in unexamined stereotypes about women and hysteria?

Not, it seems, when the opportunities to stare coldly into space or look on in glassy betrayal are this good. I’m not trying to sound snide here — the characters in Mothers’ Instinct have no convincing inner lives at all, but the exterior work of the actors playing them is choice stuff. When Alice and Céline are getting along, Chastain and Hathaway nuzzle together supportively like long-necked swans. When things start to go south, Chastain opts for an aloof distance with stricken eyes, while Hathaway prefers a labored smile that drops as soon as she’s alone. Theirs is a brittle-off no one can win, but both try their hardest anyway. The effort reaches its crescendo at Max’s funeral, where Hathaway’s enormous eyes glimmer through the barrier of a black lace veil and Chastain tilts her face up so that the elegant tracks of past tears can gleam in the light. The scene ends with Céline collapsing in anguish while Alice rushes her tantrumming child out of the church, an explosion of drama that would be so much more effective if the movie had left any room for modulation instead of starting at 10 and staying there. Mothers’ Instinct gets much sillier before it ends, but given how little it establishes as its baseline tone, it doesn’t feel fair to say it goes off the rails. Rather, as Hathaway stares brokenly into the dark and Chastain tears apart her nightstand drawer in panic, what comes to mind is how great a set of GIFs this movie will make someday. That’s not much, but I guess it’s something?

See All

Continue Reading
Advertisement

Trending