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Showing posts with label day rate. Show all posts
Showing posts with label day rate. Show all posts

Monday, November 6, 2023

Economic impact of local productions - Symposium Reflections - Part III

How much of an impact can a film project have on the local economy?

The Motion Picture Association of Utah (MPAU) commissioned an Economic Impact Study of Utah’s film industry, emphasizing the benefits of the state’s Motion Picture Incentive Program (MPIP)—colloquially referred to as the “film incentive.” The MPAU summarized the study in an explainer video.


In short, the state—through the Utah Film Commission—invites filmmakers worldwide to produce their movies and series in Utah by highlighting local resources such as unique filming locations, support services, experienced crew members and actors, etc. The film incentive—a 25% rebate—is available to qualifying productions that spend a defined amount of their production budget within the state. For example, if a film production spends $1,000,000 in Utah—a claim that has to be verified by a third-party audit—they may receive a rebate of up to $250,000.

The impact of money spent on film and television production in Utah is not limited to the local film industry; it’s also advantageous for ancillary industries and sectors as well. Fees for location permits benefit municipal, county, and state governments. Hiring local crew members and actors, catering and vehicle rental, hotel accommodations, renting equipment, and studio space benefit local businesses, enabling them to pay their employees. Employees pay local taxes; they buy groceries and pay for their housing and transportation, and myriad goods and services for their personal needs, benefiting even more local businesses, who have their own payrolls to meet. They may not even realize that the film industry’s economic impact also works to their advantage.

This begs a more specific question: How much do film projects by local filmmakers affect the local economy?

The answer depends on whether or not—and to what degree—those local filmmakers understand and accept that the business of filmmaking cannot be separated from the art form.

As I’ve previously discussed, in the Venn diagram showing how creative industries and their adjacent communities overlap, local filmmakers may find themselves in one of three archetypical roles: Industry professionals, working-amateurs, and faux-professionals.

There are indeed a number of Utah-based film industry professionals. They understand and respect that filmmaking is as much a business venture as it is one of artistic expression. They have established effective and sustainable business models. They understand that prioritizing people with fair compensation is essential to creating a quality film that can see a return on investment. One important characteristic they all share is knowing that no one person can do it all. They know their professional strengths, have the integrity to acknowledge their limitations and respect the varied, complementary talents of those they work with, trusting them to do the same. They embrace the standards and best practices of the industry, maintaining due diligence through all stages of production and effectively managing assets and required deliverables from concept to distribution. This is what professional industry filmmakers do: employing themselves and others, doing their part to sustain the industry, and making a quantifiable difference in the economic landscape.

The working amateurs are those filmmakers who have managed to corner a niche within the local market that’s technically part of the larger industry, embracing business models with a modicum of sustainability—at least for those above the line. Their priorities are in the saleability of the finished product with a maximum return on a miserly investment. They don’t embrace industry standards so much as meet minimal requirements. Best practices will almost always be substituted with whatever they can get away with legally, if not ethically. If a loophole will save them money on production, they’ll find it and exploit it. They understand the business well enough to know that a mediocre film—with a built-in, albeit less discerning, audience—that’s done its due diligence has a better chance at distribution and profitability than an otherwise flawless work of art that can’t produce a chain of title, signed contracts, and/or other deliverables that reputable distributors will ask for.

Faux-professionals are well-versed in the jargon associated with their craft. They take themselves—if not the art form—very seriously, an unfortunate and potentially volatile combination of the Dunning-Kruger effect and unchecked narcissism run amok. More often than not, the responsibility for the unsaleable nature of many local productions—I’ll refer to them hereinafter as “community films”—rests squarely with faux-professional community filmmakers. Having never let go of amateur thinking, they prioritize the completion of a film over its distribution, assuming that the completed project will be so good that it will sell itself—grossly underestimating the importance of basic business planning and the necessity of due diligence. They are so focused on getting to say “That’s a wrap” to the applause of an exhausted and under-compensated crew that every decision they make leading up to that point is rooted in a scarcity mentality. Problems that can easily be avoided by not starting preproduction until proper funding is in place are simply dealt with along the way. Lacking any practical means to hire the professionals needed to do the job right, they cut corners just to get the job done, starting—most often—by requiring most of their cast and crew to waive or defer payment and convincing those above-the-line to accept rates that aren’t just below industry standards but even fail to meet the federal minimum wage.

Faux-professionals like to refer to themselves as “in the industry” because they sincerely believe that they are. Actual film industry professionals may beg to differ. Finished “community films” exist only on the outer-most fringes of the film industry—assuming someone remembered to create IMDb entries for them, as promised to many a cast and crew, in lieu of a paycheck. This speaks to the economic impact of such projects; there is none—people can’t pay rent or buy groceries with deferred salaries.

Despite the excitement they tend to engender in the local film community—I don’t think community films actually benefit anyone. To be frank, I think that they do more harm than good. Exploited actors and crew are prevented from learning the actual value of their time and talent. They become so accustomed to “donating” or underbidding their services and paying the “passion tax” that when they’re presented with an offer that industry veterans would scoff at, they accept it without question or even any negotiating on their behalf by their so-called “agents”—because 15% of a lousy offer is still better than 15% of a client’s “experience” and IMDb credit. This undermines the income potential for other local actors and crew. A desperate labor market attracts predatory employers. While some may be quick to point fingers at incentivized productions hiring local background talent for less than half of what SAG-AFTRA deems as an acceptable minimum day rate, some Utah-based producers, including the working amateurs described above, also exploit that desperation. While it might be good for their bottom line in the short term, the practice is simply not sustainable.

The opinions expressed in this blog are those of the authors and—especially where guest posts are concerned—do not necessarily reflect the official policies and/or practice of the Utah Filmmakers™ Association, its officers and/or associates.

Wednesday, October 21, 2020

How saving a few bucks now can potentially backfire later…

Nb. I was
not personally involved with the production of Good Joe Bell in any capacity beyond an audition for a small role set aside for regional day-players like myself—I did not get the part but I’m not one to hold any grudges. My knowledge of the production and its management is based mostly on publicly available information and through conversations that I’ve had with Utah-based contractors who were either hired for the film or had direct contact with others that were. My intent in writing this essay is not to question the actions or intentions of the producers because it is my sincere belief that the issues that I discuss can be most likely attributed to middle-management positions that may or may not be local hires. All that being said, I wish to draw attention not to any individual person making such decisions but to the impact that they have, not only on the production itself but on the community in which it was operating.—Joe Puente

Anytime that a film production makes its presence known in any community, it can be very exciting for the locals. Who doesn’t get a thrill when they see a famous face in person for the first time? Even celebrities get giddy when they meet other more famous celebrities. Community business owners can also get excited by the prospect of a movie shooting in their town, especially if they have a product or service that the production could use. In short, making a movie costs money and that money gets spent wherever that movie gets made. It’s for this reason that film commissions exist—usually operating under the auspices of government economic development agencies—to promote their communities as destinations for producers to make their films. In addition to highlighting available filming locations, local industry services, and talent, governments also allocate resources in the form of tax incentives and rebates to attract film and television productions to their states.


It’s not uncommon for state and/or municipal governments to offer tax breaks to established corporate brands as an incentive to create brick-and-mortar operations in their communities. The thinking behind these efforts is that the short term cost in waived corporate or property taxes would be offset by income and sales tax revenue resulting from all the new jobs and economic activity that the incentivized company will bring to the community. Of course—if not properly considered—such incentives could potentially be too generous, turning such incentives into wage subsidies.


(CC BY-SA 3.0)
Caroline Bonarde Ucci
Film incentives don’t work like that. Instead of waiving taxes or fees to attract productions, they are simply offered a rebate that is tied directly to the amount of money that the production spends within that community. One such production was the film “Good Joe Bell,” starring Mark Wahlberg, which was filmed in Utah in 2019.


Even with a recognizable name like Wahlberg attached to the project, “Good Joe Bell” was “independently” produced without the resources of a major studio so it was considered a “low-budget” film—at least, compared to other major releases. It’s not uncommon for below-the-line management types to allow the “low-budget” nature of a project to induce a scarcity mindset which is then used to justify lowballing venues and contractors. It’s one thing when you’re trying to get a reasonable rate while you’re still in pre-production, but once the cameras start to roll, the budget is essentially locked and the time to haggle has lapsed. In the mind of a Line Producer or Unit Production Manager, dealing with day-to-day operations, they might still jump at the chance to get something for “free,” thinking that they’re “saving money” for the production. While it may be technically true that something of value may be acquired or used for a time that they—e.g. the production—did not have to pay for, they forget that it’s most likely going to be listed as a loss in revenue on someone’s balance sheet.


Good Joe Bell” was no exception to this phenomenon. In the spring of 2019, the production paid a Utah high school for the use of its approximately 2,200 seat football stadium. However much that rental fee was, it did not include the cost to fill those seats with cheering sports fans. The going day-rate for a background actor in Utah has remained static for several years at $101.50. That breaks down to the federal minimum wage (since 2009) for the first eight hours plus overtime for the final four hours of a typical 12-hour production day. The cost to fill that stadium for one day of shooting would be around $223,000.


Assuming that the scene in question was always part of the script, it had already been broken down, the number of extras needed and the cost for hiring them calculated and factored into the budget, which was then approved prior to the start of production. Despite this hardly atypical scenario of accounting and resource management most likely having been addressed, a decision was made—by whom, specifically, this author does not know—to persuade people to sit in the stadium without being paid.


Casting background talent for a film is not an alien concept to experienced filmmakers. Any producer that’s able to get the signature of an established, recognized actor onto a non-binding letter-of-intent and transform that into enough funding to make a “low-budget” feature, isn’t going to be hobbled by the prospect of casting extras. It’s just a given that an Extras Casting Director will need to be hired at some point.


About four weeks prior to the stadium shoot, a post from one of the high school’s official social media accounts, excitedly invited members of the community “to participate” in filming a scene for a movie “starring Mark Wahlberg” at their stadium in which the “young men of our football team will play a role…” In an effort to entice them to fill the grandstands, “participants” were offered a chance to win a raffle and go home with a new TV, gaming system, or tablet, generously provided by “the film company.” According to local industry gossip, this tactic to “save money” on extras for a single day of production did not work as well as had been hoped. It also created problems as far as their efforts to “re-create the energy and excitement of” a high school football game. I’m curious to see how that particular scene is framed in the completed film.

This all begs the question, why try to get “free” extras if the production knew that extras would be needed and factored that knowledge into their budget?


As I stated above, it’s the scarcity mindset embraced by below-the-line management types. Filmmaking is a job, like any other, and people with any modicum of responsibility want to get noticed, which—in the minds of some—is most easily translated into “saving the production money.”


In the world of “independent film,” there is no end to stories of would-be auteurs like Robert Rodriguez and Kevin Smith, “saving money” by shooting their features on 16mm instead of 35mm film, using real locations after hours instead of building sets, having actors apply their own makeup, calling in favors, getting friends to “donate” their time for the sake of a “passion project,” etc. Of course, those stories are famous because they’re flukes. The subsequent success for such filmmakers wasn’t the result of breaking rules, it was being lucky enough to get away with it while telling stories that resonated with their audiences.


When a production has budgeted a specific amount of money for something that is integral to telling the story, not spending it does the production no favors. In the case of “Good Joe Bell,” this attempt to “save money” by not spending it on background talent worked against the production in two ways. The aforementioned rumored difficulties in realistically depicting a sporting event as well as a reduction in the economic incentives that brought the film to Utah in the first place.


Good Joe Bell” was approved to receive up to $1.38 million from Utah’s Motion Picture Incentive Program—that’s 20% of $6.9 Million dollars that the production was projected to spend in Utah. Yes, a multimillion-dollar budget can still be considered “low,” especially when you consider that this particular shoot cost less than half of what Wahlberg was paid to be in a $210 Million “Transformers” sequel.


If the production had budgeted to hire enough extras to fill that football stadium, at the end of the shoot—following an independent audit—they could have counted it toward their rebate. In the end, filling those seats would have only cost about $179,000, or about $81/seat instead of $101.50. However, since they did not spend that money to hire local Utah background talent, they could not include it in their final tally when applying for the rebate. So, whoever thought that they were going to get a pat on the back for saving $220,000 actually wound up potentially costing the production by reducing their rebate by roughly $45,000. Productions often count on those rebates and factor them into their post-production budget. $45,000 in lost post-production resources is nothing to sneeze at. That old saying, “Penny wise and pound foolish” comes to mind.


The scarcity mindset comes with a myopic perspective of how the economics of film production works. By focusing only on the bottom-line—which often isn’t even part of the job description for middle-managers—they fail to see potential consequences to the production like those described above until after-the-fact, if at all, and are even less likely to consider its impact on the local community.


The whole point of government-funded incentives for film production is to benefit local economies. The cost of production rebates is significantly offset by the production’s spending on the use of local venues and services, and the hiring of local contractors—including background actors. Filling a high school football stadium wouldn’t have just “cost $220,000,” it would have created over 2,000 jobs, even it was just for a single day. All of those “extras” are people who have lives to live and bills to pay like anyone else. Working for one day on a film set just might cover a utility bill or a loan payment. People can’t pay their bills with a raffle prize, or a story about being in a movie with Mark Wahlberg—most likely as a blurry figure in the background for a 5-second shot. To say nothing of the fact that the use of unpaid labor is against the law. Though, I have no doubt that the “participants” were provided with appropriate and valid documentation to sign, clearly indicating their willingness to waive their rights to be compensated. Of course, just because something might be legal, doesn’t mean that it’s ethical or morally justified.


A little over a year after they wrapped production in Utah, the “low-budget” film, “Good Joe Bell,” premiered at the 2020 virtual Toronto International Film Festival where it sold for $20 million ($20,000,000).


I’m curious to know the thoughts and feelings of any locals that were convinced to work on that film without being paid, once they have been made aware that their uncompensated time and effort helped to make that sale just a little more profitable… for the producers.


The opinions expressed in this blog are those of the authors and—especially where guest posts are concerned—do not necessarily reflect the opinions or views of the Utah Filmmakers™ Association, its officers and/or associates.

Utah Filmmaker(s)™ and UFA™ are trademarks registered with the Utah Department of Commerce Division of Corporations and Commercial Code, Registration Numbers 10706542-0190 , 11025542-0190 and 10502093-0190 respectively.

Tuesday, June 30, 2020

Lindsey Watson on going back to work


Things to consider when going back to work.


Liability waivers.
I can’t believe I even have to write this, but there is no more important precedent to set with the industry than our refusal to sign away our lives (literally) for the privilege of having work.


The “standard” 60-hr workweek has to go.
More hours does not equal more output. And more importantly, the harder we work, the more compromised our immune systems become, and the more likely we are to not only contract but also spread Covid-19.

Kit fees should be standard for everyone asked to work from home.
If you provide equipment that the production or a facility would have provided before, you should be compensated accordingly. This isn’t just about your main workstation, this includes your laptop, your phone to manage calls (and endless text messages) all day long, and also includes stipends to cover faster internet, electricity, printer toner, etc.

Additional Reading:






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The opinions expressed in this blog are those of the authors and—especially where guest posts are concerned—do not necessarily reflect the opinions or views of the Utah Filmmakers™ Association, its officers and/or associates.

Utah Filmmaker(s)™ and UFA™ are trademarks registered with the Utah Department of Commerce Division of Corporations and Commercial Code, Registration Numbers 10706542-0190 , 11025542-0190 and 10502093-0190 respectively.

Sunday, May 12, 2019

There is no such thing as a “half day”


From the "Excursus" movie poster
As I write this, it’s the day after Labeled Fest, where our short film, “Excursus,” was screened in the same theater in which it premiered in 2014. Reflecting on the single day of production that it had under the August sun on top of the “giant reflector”—Mario DeAngelis’ hilarious and accurate description—that is the Bonneville Salt Flats, I’m reminded of a point toward the end of the day when a few clouds were making some unscheduled appearances in the sky, blocking the sun from time to time. At one point, our 1st AC, Jonathan Judeen, looked toward one cloud in particular and said, “That cloud’s going to block the sun in about seventeen seconds.” His tone was matter-of-fact, showing no hint of sarcasm.

I’ll admit, there was a part of me that wanted to roll my eyes or offer some sort of incredulous response to his statement. Probably within the first second following Jonathan’s estimate, I thought, “Seventeen seconds? How the hell did he come up with that number? Why so specific? How could he possibly know?” But instead of saying anything, I started counting seconds to myself, “two, three, four… sixteen, seventeen,” and by that point, the cloud had completely covered our view of the sun. Jonathan called it… to the second. I was impressed.

That same year, I had worked on the pilot for Wesley Austin’s series, “The IP Section,” as a boom operator and witnessed something similar. Almost every time that cinematographer Wes Johnson and his team were working to set up a new shot, the 1st AD would ask for a time estimate for when they would be ready to shoot. As I recall, the response was rarely in minutes—even if multiple minutes were required. It was almost always stated in seconds, “One hundred five seconds,” “98 seconds,” etc. This was an experienced crew that knew what they were doing and knew the capabilities and limitations of the equipment they were working with so well that they could estimate how long it would take them to set-up a shot to within a few seconds.

Productions such as those are a joy to work on. A professional and efficient set—though not without it’s moments of work-related stress—is an atmosphere that instills confidence in all its participants and inspires the best work.

When I was hired for that pilot, I was told, “It’s only $***/day.” A more experienced boom operator may have accepted the role with some reluctance but I was happy for the opportunity, since all of the projects that I was working on that year were going to fund “Excursus” and the bulk of the compensation for my services would turn into paychecks for my crew.

When breaking down a polished screenplay for production, estimating the time it will take to shoot a particular scene or sequence is as much an art form as it is a skill and it requires experience to get any good at it. When I first broke down the screenplay for “Excursus” into a shooting script, I handed it to Mario and Jack Diamond—director and 1st AD, respectively—and said, “This isn’t written in stone. It’s just how I kinda pictured it in my head. Use what you like and what’s practical but if you have a better way of shooting it, then by all means, go with what you think will work best. This breakdown is just a suggestion.”

My breakdown was very much appreciated. On the day of the shoot, I did my best to let go of my role as Producer and focussed on my job as actor but I could definitely see where their decisions deviated from mine and how they worked better to accommodate the resources of the production. When we wrapped the location, Mario said to me, “You had a good shooting script but if we had shot it the way that it was written, it would have taken us three days instead of just one.”

Three seems like a magic number to me. Whenever I’m speaking with novice filmmakers on the subject of estimating the amount of time it takes to shoot something, based on my personal experience, I always tell them, “Take that first time estimate that you came up with and triple it. Because you never know what’s going to happen on the day of the shoot that’s going to cause a delay and there’s always something that’s going to cause a delay.”

I suppose it’s evocative of the exchange between Captain Kirk and Mr. Scott in Star Trek III, when Kirks asks his Chief Engineer, “How much refit time before we can take her out again?”
“Eight weeks, sir,” said Scotty, “but ye don't have eight weeks, so I'll do it for ye in two.”
“Mr. Scott. Have you always multiplied your repair estimates by a factor of four?”
“Certainly, sir. How else can I keep my reputation as a miracle worker?”

From time-to-time, I see job posts in our Facebook group that make statements like, “We’ll only need you for a couple” or “a few hours.” If an hourly rate is being offered for such work, that’s fine by me.

However, there are also times when I see posts that call for a specific job to be filled and the posters ask, “What’s your half-day rate?”

HMUA Heather Shelton
transforming the author
into a zombie
I can appreciate being mindful of budget limitations and needing to accommodate them but claiming that a job is “only” going to be a half-day commitment, suggests that the contractor would be free to fill the other half-day with a different half-day gig so they can get a full-day’s rate—which is within the realm of possibility but very unlikely. To suggest that there’s so much work out there that someone could make a living working two half-day gigs a day, for any period of time seriously overestimates the demands of the local industry not to mention ignoring important factors like crew meals and commute times.

No one ever really works for just “half a day.” The preparation time is going to vary from gig-to-gig depending on the demands of the production and for roles and positions beyond those of background actors and Production Assistants, rates are not determined by an hourly minimum but by the nature of the work that’s needed and the talent and experience that a contractor brings to the table. A “half-day” doesn’t necessarily translate into half the work. For specialties like hair and makeup artistry, the amount of work and resources required for it may be no different for a “half-day” shoot than a full day. It’s more likely to amount to the same amount of work but only with an earlier wrap-time. Since it’s unlikely that there will be another “half-day” gig waiting for that one person afterward—for which their energy and supplies can be significantly drained—they should just be paid their standard day-rate and kit-fee. There are other places in a production budget where a producer can be frugal without interfering with someone’s paycheck and—by extension—their livelihood.

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Utah Filmmaker(s)™ and UFA™ are trademarks registered with the Utah Department of Commerce Division of Corporations and Commercial Code, Registration Numbers 10706542-0190 , 11025542-0190 and 10502093-0190 respectively.