Readers React: California film tax credit is money well spent

To the editor: The otherwise fine article on the debate about film tax rebates perpetuates one important misconception about the situation in California. (“Are film tax credits cost effective?,” Aug. 30)

The legislative analyst’s office did indeed find that every $1 in tax credits yields only 65 cents in state tax revenue. But The Times’ own article on that report (“Caution advised on TV, film tax credits,” May 1) stated that an additional 35 cents was returned to local governments. So in fact every $1 of rebates is fully returned to California’s economy — unlike the programs in other states.

Add to this the loss to California’s economy from all of the jobs migrating to other states — something the analyst’s office couldn’t measure in a study on tax rebates — and the justification for California’s increased rebate is made absolutely clear.

Marshall Herskovitz, Santa Monica

The writer is president emeritus of the Producers Guild of America.

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To the editor: The film industry leaving Hollywood is like the auto industry leaving Detroit: You can do it, but you lose a lot of mojo. No one wants them to go.

For better or worse, the film industry defines us, supports us and is the raison d’etre for our little desert community. So give it the money, but let’s make sure there are a few strings attached.

First, to avoid a bidding war with other states, any filmmakers who receive a tax break must enter into a long-term agreement to stay put.

And second, let’s make sure they spread it around. The history of Hollywood, from its very beginnings, is rife with legendary tales of studio heads lying about profits and crying poverty from the living rooms of their palatial mansions atop the hills of Bel-Air.

If Californians are going to cough up their tax dollars to keep the magic here, it must be done within a paradigm of equitable sharing.

Bart Braverman, Los Angeles