
It’s always been repugnant to me that, despite his years in Hollywood, Governator Arnold Schwarzenegger has done less than zero to stop runaway production or enact incentives to lure TV shows and films back to California and even Los Angeles. (Then again, very little that this piss poor political parvenu has done in the job deserves praise, period.) Clearly, I’m not alone in my lousy opinion of him. Because I’m told that most of the Los Angeles-based crew of the ABC hit show Ugly Betty are placing a full-page ad in Friday’s Variety that begs state and Los Angeles officials to do something to keep productions local. Many in the crew are losing their jobs after Ugly Betty became the first TV series to announce it’s leaving Los Angeles just two weeks after New York passed a bunch of new new tax credits to lure more showbiz productions. A source tells me that several dozen vendors for the series are paying for the ad “because they not only appreciate us and support us, but they are losing business, too.” Yes, the ad is addressed to other officials besides Ah-nuld. And so far there’s been barely a word from LA Mayor Antonio Villaraigosa. But we all know that, in the case of California, the fish stinks from the head. And Schwarzenegger is too busy hanging around a Brentwood coffee cafe every morning enjoying his breakfast to bother with important state business like this. (And it also smells just as bad in the vicinity of IATSE’s Tommy Short, since he’s the buttboy of the studios and networks…) Here is what the ad will say:
To Whom it Should Concern
Governor Arnold Schwarzenegger, Members of the State Senate and State Assembly, Mayor Antonio Villaraigosa, the Los Angeles City Council, and the Los Angeles County Board of Supervisors:
We are writing to you because we just lost our jobs. We are the 300 plus members of the crew of the television show Ugly Betty. We were informed this Tuesday that the production of our show is moving to New York primarily because of the 35% tax incentives being offered by the state of New York. Instead of making good wages and paying our fair share of California state income tax, we will all be collecting Unemployment Benefits. In addition, we will certainly be cutting our spending back to the bone, which will not only cut back our sales tax contributions substantially, but it could end up costing the jobs of the people who provide services and products to us. Not only are these crew positions being lost; all of our local vendors are losing our business.
Our production buys: lumber, paint, wallpaper, cabinets, other building materials, office products, fabric, art supplies, computer equipment, food, beverages, flowers, film, makeup & hair products, wigs, insurance, jewelry, clothing, etc.
Our production rents: lighting equipment, sound equipment, video playback equipment, heavy machinery, office equipment, backdrops, costumes, furniture, scenery, props, soundstages, offices, parking facilities, cars, trucks, storage facilities, computers, camera equipment, grip equipment, editing equipment, drafting equipment, cell phones, computers, toilets, dumpsters, live plants, production trailers, tools, hardware, artwork, walkie talkies, etc.
Our production also uses the services of: dry cleaners, printers, location companies, Special Effects companies, utilities, caterers, payroll services, restaurants, security, Post Production Services, Clearance Houses, etc.
When we shoot on locations around Los Angeles we pay for permits; we pay homeowners & businesses for the use of their property, we hire police and fire department personnel, we pay for facility engineers, etc.
So, while the loss of our individual positions may be insignificant, the loss of this production is staggering. Now multiply this by all the other productions going to New York, New Mexico, Illinois, Louisiana, North Carolina and other states with incentives, not to mention Canada, New Zealand, Australia, Eastern Europe, etc. and the cost to the California state economy is monumental. We implore you to do everything in your power to level the playing field and bring our jobs back to California by enacting meaningful incentives to keep film and television production in our state.
Sincerely yours
The Crew of Ugly Betty
Editor-in-Chief Nikki Finke - tip her here.
We are writing to you because we just lost our jobs. We are the 300 plus members of the crew of the television show Ugly Betty. We were informed this Tuesday that the production of our show is moving to New York primarily because of the 35% tax incentives being offered by the state of New York. Instead of making good wages and paying our fair share of California state income tax, we will all be collecting Unemployment Benefits. In addition, we will certainly be cutting our spending back to the bone, which will not only cut back our sales tax contributions substantially, but it could end up costing the jobs of the people who provide services and products to us. Not only are these crew positions being lost; all of our local vendors are losing our business.




I think it is terrible for California to not give incentives to TV and Movie productions to get to stay in California, I know that the taxes and stuff is high over in California, (Im from Minnesota) I think there should be incentives to keep shows in California.
Schwarzenegger is truly, utterly pathetic. I at least thought he’d put his money where his mouth is regarding the industry that made him fantastically wealthy and — as flabbergasting as it still seems — politically powerful. Instead, he backs away from trying to broker a deal in any of the labor disputes of the last year (and this upcoming summer) and does NOTHING to try to keep the filmmaking industry where it belongs in California. TRUE LIES indeed. My heart goes out to everyone involved with “Ugly Betty”– hopefully this situation can somehow be reversed.
PS – I have a good friend whose wife works on a show supposedly set in Santa Barbara but shoots in Vancouver (with imported palm trees). How pathetic is that?!
I truly empathize with the Ugly Betty crew. Sure, I’ve read a few comments about how people think this show should be filmed in NYC since that’s where the storyline takes place, but honestly? I don’t think the change is necessary. Who cares about authentic skylines and sidewalks which are only seen in the show for a few minutes at a time, if not less? At a time like this, I think that keeping jobs are more important.
I don’t know what’s the problem with Schwarzenegger. He’s an idiot for not trying harder to keep Hollywood bigwigs from taking production out of California. It certainly helps the state economy if productions stay, so what’s keeping him from doing more? I thought these politicians love “$$$” signs.
Nikki, I think calling Arnold a “piss poor political parvenu” is more than a little harsh. Do you remember how bad off this State was before he took office (Grey Davis). You probably think this country was better with Jimmy Carter as President too.
Perhaps the millionaires who run the studio’s and the over paid stars could take a pay cut and help out the lower paid cast of these shows….All the millionaire stars cry about big oil I think Big Studios could SHARE a wee bit of the $$$$ they make from these hits shows and movies….Hollywood = Greed.
how much money is the studio making from Betty right now.
Add my name to the letter to Arnold from those who are upset that 300 people will lose their jobs due to a decision that sucks.
This is a pathetic move by someone who wants to save money at the expense of 300 hard working people who’ve put their lives into the show.
In your corner,
Becca
I’m sure you realize, that tax incentives usually begin in the state legislature, and since your state legislature is controlled by the Democrats 48-32 in the assembly, and 25-15 in the Senate, I would begin contact your representatives there. I’m sure you’d have no problem getting a Republican ear about lowering taxes.
And while your at it, fire off a letter or two to State Senator Ron Calderon (D) who sits on the Californa Film Commission….perhaps he can help push some legislation forward.
And you can add my name as well to the letter.
And Jordan, this country WAS better off with Jimmy Carter.
Somehow, I don’t see George W actually helping people build houses after his terms are over. Do you?
Peggy Lane O’Rourke
You get the government you deserve. Californians elected him — deal with it.
First, film crew are not underpaid. They are paid extremely well on productions from the major studios. There aren’t too many careers where you can work 3-4 months per year and take the rest of the year off without a worry over finances. In this industry you can – easily. I do it myself.
Second, the overall number of jobs is not being lost. They are merely being moved from one location to another. Yes, it is a loss to CA, but at least they aren’t moving production to Canada or Australia. It’s not a job loss for the USA.
Third, all states are working on an incentive plan and the ones who already have them are working on revamping them. It’s everybody trying to undercut the next guy. It’s nothing but a race to the bottom. There is also concern that some of these incentives go so far as violating the Unfair Trade Act. I’m not an Ah-nold fan, but that could very well be the reason he hasn’t jumped on that bandwagon yet.
Most people in this industry constantly complain about things, but what they don’t realize is that compared to the “real world” outside of fantasy tv and movie land, they actually have it really good. And, yes, I can say this because once again…..I am one of the people in the industry. I work one major movie per year. My wife does not work. My kids are in private school. I own my own home. All on a film crew salary. And, no, I am not a key.
Arnold must have some residue resentment against the industry for the way his career spun away from him after The Last Action Hero. He should thank his lucky stars that politics worked out for him, otherwise he’d be on Dancing With the Stars.
This trend has been going on for sometime. I can tell you that most tv shows have move out across to the Canadian border. Mostly becouse it’s cheaper. Now honestly I find stupid for the state not to support their own enterainment industry here.
When Arnold entered office he ranted about productions in Canada, completely missing the whole point. The percentage of growth in runaway productions has increased far greater in Eastern Europe and , hold your breath, other American States.
From New Hampshire to Louisiana, New York to Michigan, everybody wants in on the act and is doing so with tax incentives.
It’s a matter of basic business and as much as California is the traditional cradle of the industry, it, like every other tradition, is under attack and if the governments in California do nothing, this will be a familiar sight.
Very sad, but very true.
New York is following the first law of taxes & economics. Cut taxes on an industry, that industry will grow and then more tax revenues will be collected.
The problem Schwarzenegger has is that many Californian politicians immediately respond to such tax-cuts as some sort of “benefit for the rich” and shout them down. Forgetting that the rich have the resources to go wherever they damn well feel like, especially when it means lower taxes for them.
Schwarzenegger should fight for some sort of a payroll tax cut, not only for the film industry, but for all the other industries that are fleeing California the way Okies used to enter during the Depression. But he should stop short of offering film producer’s state money. As a Canadian I’ve seen the toxic effect government financing can have on a film industry.
I have to agree and disagree with the above posts. Yes, the California government should do more to keep an industry that pretty much funded the developement of southern California in place. I also understand the show wanting to move to New York now that it is financially feasible to add authenticity.
Oh, and to the poster who said “You probably think this country was better with Jimmy Carter as President too.”, I must add: Jimmy Carter brought peace to the middle east, Shrub brought war. I’ll take Jimmy any day over Dubya.
boo friggin hoo. you lost your jobs and you expect state regulations and tax incentives to keep your job.
“please sir, regulate us back into employment.”
i got an idea, when UNIONS push to grab more money for their members, they better make damn sure that they keep their wages / costs marketable.
in this case, they forgot to take into account that other locations aren’t bankrupt and in a free market, can offer incentives to productions to bring in their services.
the state can’t offer incentives to your production because it can’t currently meet its budgeting goals. you should have asked your government to be more fiscally responsible 20 years ago and not overextend taxpayer responsibilities.
don’t you find it interesting that your union dues / taxes, as high as they are… are doing nothing but help to DRIVE OUT your jobs?
you’ve allowed this to happen, even encouraging it in some cases. interestingly, you do all that you know how to do… take out an advertisement and beg.
sad but predictable.
What? You want incentives for film production so that it stays in California? As in “big, fat tax cuts for rich corporations”? Now, that’s something I never thought I’d read on a Village Voice-related website.
Welcome to New York!
you’ve already given away the farm with your frigging quarter day weeks…
What a shame that all the “writers” in Follywood think it’s governments business to affect business. Blame the greedy owners of the show for moving the production. It’s their RIGHT to do whatever the hell they want with their property. Chalk this retarded piece up to an uneducated scribe who thinks the government should intervene in the private affairs of people cause somehow, somewhere, someone got their little feelings hurt or they lost a job. Give me a freaking break!
Becca my dear:
Showbusiness exists to make money. Hence the “business” element of the description. As does the company that created the computer I’m typing on, and the one that builds the routers this information will be transmitted through. Grow up for goodness sake…
That said I agree that Arnold is entirely asleep at the wheel as regards to all things biz related. MIA with the labor issues and in steps to make the state more competitive. Very weird.
Sky-high taxes and onerous regulations are forcing many businesses out of California. (I know that because I own one.) States need to realize that actions have consequences. I’m certainly not going to sit around and lose money, plus see my competitors run rings around me, because Sacramento is full of demagogues who never saw a tax they didn’t like.
Arnold is doing what liberal Democrats in California want him to do: keeping taxes high for big business. And the television and movie studios are part of big business. Ms. Finke obviously does not see the irony in this.
Once again, none of the OTHER problems which focus on California are raised. Shooting in the “13 western states” brings on Post-60′s residuals obligations. Shooting outside the country escapes SAG.
Think about the cost to fly every man, woman, and child from Los Angeles (or wherever) to New Zealand (or Canada, etc), first class, and house them, and feed them, and give them per diems, and extra tickets to return home or have family come out. FOR EVERY SINGLE PERSON ON A PRODUCTION. That ridiculously large dollar amount is STILL LESS than the costs which would brought on SOLELY due to IATSE (and to a lesser, but not insignificant, extent SAG). You want to stop runaway productions – talk to the guilds first.
It seems to me the obvious is being totally missed here… they’re moving production because of TAX INCENTIVES. Yes, those lovely little things that brought production of the next Johnny Depp film (Public Enemies) to my beloved state of Wisconsin. Throwing all of this at the governor will get you nowhere.
Why don’t you complain about the worthless democrat led legislature that wants to impose more business taxes to make companies leave California. I believe Arnold was one of the few stars who took a pay cut to keep production in California. So why don’t you all go after the democrat stars who run around with Barrack and Hillary genuflecting before their greatness and complain to them.