Will the LA Fires Reduce Hollywood to Rubble?
By Movieguide® Contributor
Even before the fires hit LA earlier this month, Hollywood was already struggling with the effects of COVID-19, the strikes and competition.
LA production dropped almost to a record low last year, and it fell by 5.6% year over year in 2024.
The fires burning in the southern part of California now greatly threaten the careers of those in the movie industry or those whose careers support it.
Cinematographer John W. Rutland, his wife, Marta Gené Camps, a screenwriter, and their daughter are among the many industry families who have experienced the fires’ devastation.
One week before the fires started, they reviewed their mortgage papers to ensure that their home had good equity. Then, the fires came, and their home and chickens were completely destroyed.
Now, it’s “a worthless strip of charred land,” Rutland said. “Who knows when it’ll be safe to come build again? And if we want to build again?”
Despite the setbacks, Hollywood is still a big player in the economy. It produces over $115 billion and employs 681,000.
When production continued after the writers’ and actors’ strikes in 2023, TV series dropped for the second year in a row. There are 23% fewer shows now than there were since 2022. Reality shows are also much fewer than in previous years, per the New York Times.
The fires have only affected two major motion picture productions because only two were filming when the fires hit, which says something about the state of Hollywood.
Hollywood execs estimate the fires could increase ancillary costs. Studios may see higher costs for supplies, insurance and permits.
“We’re talking about rebuilding the Palisades and Altadena, and that takes building supplies — lumber, drywall and all the things we use in the film industry to build sets,” former Teamsters union leader Steve Dayan said. “It’s going to be very expensive to procure those materials.”
Last year, LA location shoots dropped by 40%.
“More and more jurisdictions have come online to compete and take business away from L.A. and the U.S., and they’re broadening what’s eligible for those credits or refunds,” said Paul Audley, the president of FilmLA.
READ MORE: ‘WE TRUST IN GOD’: CHRIS PRATT REFLECTS ON WILDFIRE DEVASTATION
California has tried to keep up with the competition for incentives. Governor Gavin Newsom recently proposed more than doubling the current funds to keep business in the state.
Before the strikes, Los Angeles County held 35% of America’s TV jobs. Now it holds only 27%.
“The truth is, people want to shoot in California,” said state film commissioner Colleen Bell. “I hear this over and over and over again, the depth and talent of our crews, our equipment, innovation, our infrastructure.”
Just last week, thousands signed the #StayinLApetition, which asks for a bottomless state tax incentive program for the next three years for production in LA County. It also asks studios and streamers to help increase local production by 10 percent.
Earlier this month, the LA City Council approved $1 billion to build and improve production facilities and sound stages at the Television City complex.
Even with these efforts, many now have to decide if they should stay in the industry or try something else.
The International Alliance of Theatrical Stage Employees had 8,100 of its members in evacuation zones — at least 300 members lost homes.
“We all know so many people that haven’t worked a very long time, that are either leaving the industry, considering doing so or moving somewhere else, where the cost of living is lower,” said one Hollywood professional “because the amount of work that was here to support them isn’t here anymore.”
“Everybody was starting to see the light at the end of the tunnel,” said a special effects artist who lost her home. “Negotiations are done, the strikes are done. Newsom is going to finance some incentives for us to get filming back here. We were all hopeful — and then this happens.”
Some workers are getting support from studios, unions and streamers.
Olivia Newman, director of the upcoming movie REMARKABLY BRIGHT CREATURES, lost her home. Netflix provided a home in Vancouver, British Columbia, where the movie is being filmed.
Unions set up pop-up donation centers, providing basic supplies and opportunities to meet with emergency officials.
One producer said her home burning down was almost the last straw. The past 12 months have been “the worst financial year of my life,” she said, adding that she took jobs babysitting and cleaning to make ends meet.
But she turned her situation around by using her producer skills to raid money for herself and her neighbors, which even led to some job leads. She received $30,000 in donations. She knows LA is where she wants to be.
“LA caught me,” she said. “LA came and just showed up.”
READ MORE: HALLMARK STAR SAYS ‘THERE’S STILL HOPE’ AMID CALIFORNIA WILDFIRES
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