Overview of Can D.C. Save Hollywood? Senator Adam Schiff on Bringing Production Home
This Ringer episode of The Town (host Matt Bellamy) interviews Senator Adam Schiff about the ongoing exodus of film and TV production from Los Angeles and California — why it happened, what a federal response could look like, and whether D.C. can realistically “save” Hollywood. Schiff explains his plan for a bipartisan federal tax credit to compete with generous international incentives, critiques the proposed Paramount–Warner consolidation, and outlines state- and city-level obstacles (permits, costs, regulation) that also need fixing.
Key points and main takeaways
- Scale of the problem: L.A. County lost more than 42,000 motion-picture jobs between 2022 and 2024; global shooting increased (US productions shot internationally rose from ~33% in 2022 to ~45% last year).
- Primary causes: content recession, media consolidation, and much more generous tax incentives offered by other U.S. states and foreign jurisdictions (notably the U.K.).
- Federal tax credit proposal:
- Baseline national credit of 15%, cumulative on top of state credits.
- Additional “add-ons” to reward bringing work back to the U.S. and smaller production shops.
- Designed to be bipartisan and complementary to state programs.
- California response:
- Progress made (higher cap on California tax credits) but still not competitive; credits are oversubscribed and limitations (e.g., not above-the-line) reduce effectiveness.
- Schiff urges making credits usable above the line (salaries for directors, writers, actors, producers).
- Political dynamics:
- Bipartisan buy-in necessary; Republicans and the White House have been noncommittal (Trump has discussed tariffs instead).
- Industry lobbying and outreach to both parties underway; Motion Picture Association reportedly making the case to the president.
- Consolidation concerns:
- Schiff is skeptical of the Paramount–Warner (Skydance/Paramount) deal — fears duplicative employees, large debt burdens (e.g., an $80B figure mentioned), mass layoffs, higher consumer prices for streaming, and anti-competitive effects.
- He warns of potential future investigations into any improper influence used to push mergers through.
- Local obstacles: permitting complexity, high costs, and local regulation in L.A. and across California are making production less affordable and efficient.
- Outlook: Schiff believes the industry is at or past a tipping point but rejects Detroit-level collapse; he pledges to keep pushing for legislative and regulatory fixes.
Topics discussed
- The historical political resistance to subsidizing Hollywood (stereotype of “rich Hollywood liberals”).
- How other jurisdictions (e.g., U.K., Georgia, New Mexico, New Jersey) have lured productions with generous incentives and infrastructure investments.
- Details of Schiff’s planned federal credit (15% baseline + add-ons; cumulative with state credits).
- Need for bipartisan strategy and presidential buy-in; reluctance of some Republicans to act absent White House endorsement.
- Industry multiplier effects: argument that tax credits return far more local economic activity (example cited that credits “pay back 10 times” when production occurs locally).
- The practical effect of media consolidation on jobs and consumer prices, and the federal role in oversight.
- California politics: state legislative attitudes, local permitting and fees in L.A., governor and mayoral races, concerns about Democratic governance and getting things “done.”
- Side segment: the Oscars moving from the Dolby Theatre (Hollywood) to LA Live’s Peacock Theater (downtown), and cultural/monetization implications for the industry.
Notable quotes and insights
- Schiff: The federal credit “would be cumulative and have incentives built in to bring business back to the country.”
- On public resistance: “Why do we want to give help to those rich Hollywood liberals sitting at their Beverly Hills pools?” — cited as the old argument to overcome.
- On the local economic case: producing in L.A. “pays back 10 times” compared with the cost of the tax credit (point raised by Noah Wiley).
- On the merger: “I’m deeply skeptical… Look, I’m glad I got an answer to the letter, but nevertheless, there’s not much meat on the bones of that answer.”
- On stakes: “We’re at a tipping point and maybe even past a tipping point… this is overdue for a dramatic response.”
Action items & recommendations (who should do what)
- Federal lawmakers:
- Advance a bipartisan federal tax credit (baseline ~15%) that stacks with state incentives and includes add-ons to lure productions home.
- Prioritize above-the-line eligibility to make credits fully competitive with other jurisdictions.
- Conduct oversight on proposed media mergers for jobs, prices, and competition; be ready to investigate any improper influence.
- California state and local government:
- Increase the generosity and cap of California’s tax credits and allow above-the-line use.
- Streamline permitting, reduce unnecessary fees, and address cost/affordability drivers (housing, business costs).
- Industry:
- Keep pursuing bipartisan support and clearly communicate the broad economic impact (below-the-line jobs, local multiplier).
- Negotiate with policymakers to design credits that target job retention and smaller shops, not just tentpoles.
- Voters and local stakeholders:
- Press elected officials at state and local levels to prioritize production-friendly reforms and to treat this as an economic and jobs issue—not merely a cultural one.
Contextual notes
- Schiff has been advocating for federal incentives since his time in Congress; previous attempts faced partisan pushback.
- The episode frames the issue as both economic (jobs, local businesses) and cultural/diplomatic (soft power of U.S. content).
- Sponsors and short segments in the episode: AMC+, Paramount+ promotion, ZepBound ad, Spectrum Business, and travel/consumer ads; separate segment about the Oscars venue move appears after the main interview.
Bottom line
Schiff argues that a federal tax credit (stackable with state incentives and designed to be bipartisan) is essential to stop the hemorrhaging of production from California. He sees both federal and state fixes as necessary — a national baseline credit to level the playing field, and California reforms (higher, usable credits; less bureaucracy) to bring production back. He’s skeptical about corporate consolidation preserving jobs and warns that mergers could accelerate job losses and higher consumer costs.