Editors Guild Voices Support and Cautions on California Post-Production Incentives Initiative

California Bill Aims to Retain Post-Production Work Amid Industry Concerns

The Motion Picture Editors Guild has expressed strong support for a new bill introduced in Sacramento that seeks to establish a tax incentive program designed to retain post-production work in California. However, the Guild has raised concerns about the need for stronger labor standards to ensure that these jobs provide fair wages and professional protections.

At a recent event unveiling Assemblymember Nick Schultz’s AB 2319 bill, Guild leader F. Hudson Miller emphasized the importance of labor protections. “Our members have spent decades building a system of fair wages and professional standards,” Miller stated. He warned that without clear protections, the tax credits could inadvertently benefit employers who undermine established standards.

The legislation, which was officially announced at a town hall meeting last week, proposes a stand-alone tax credit system for post-production activities such as editing, visual effects (VFX), and sound mixing. Notably, this incentive would apply even if the initial filming of the project occurs outside California.

Currently, California’s $750 million annual tax credits program does not extend tax benefits to post-production work unless the original film or television project is shot within the state. This has posed a significant challenge, especially as many productions are increasingly choosing to film elsewhere due to more attractive tax offerings in other states and countries. Despite this trend, a substantial amount of post-production work has traditionally returned to California, although this custom is slowly declining.

“Without a targeted post-production incentive, California risks losing a critical segment of the entertainment industry supply chain, even when creative leadership remains based in the state,” warned Schultz, formerly the Mayor of Burbank.

The push for Assembly Bill 2319 gained momentum with a press conference held in North Hollywood, where the goal is to pass the bill before Governor Gavin Newsom leaves office. Newsom has committed significant political capital to revitalizing the state’s entertainment industry.

Miller indicated that the Editors Guild seeks "clear and muscular" labor protections within the bill, calling for provisions that extend beyond the proposed "prevailing wage" language. This aim is to prevent union workers from being sidelined by producers looking to maximize profits from potential tax credits.

Miller concluded, “We are grateful for the leadership shown on this issue and eager to work with lawmakers to get this right.” He reiterated the significance of structured legislation in restoring opportunities for thousands of skilled professionals and bolstering California’s creative economy. The emphasis remains on jobs, which has become a central theme of California’s film and television tax incentives since their revision in 2014.