Georja Skinner on Hawaii’s Film Resurgence

Welcome to On Production brought to you by Wrapbook. Today I'm excited to have Georja Skinner, a trailblazer in Hawaii's film industry join us. Georja leads the state of Hawaii his creative industries division where she champions the growth of Hawaii's creative economy and supports its film production sector. From her own unique career and TV productions under Norman Lear to pioneering initiatives in film and digital media in Hawaii, Georja has made significant contributions to the industry. Today, she'll share her insights on Hawaii as a filmmaking destination, and the benefits of its film incentives. Georja. Welcome to the show.

‍

0:57  

Thank you so much, Cameron. That's great. I love the introduction and really happy to join you today.

‍

1:04  

Well, I'd love to jump in Georja and know if you could share how kind of your unique background in the industry, especially with working with a legendary figure like Norman Lear shaped your approach to leading Hawaii's creative industries. Yes,

‍

1:17  

I grew up in Hollywood, California. And in 1983, he actually moved to Hawaii directly to Maui, and now working on a wall. But that experience I mean, growing up in the time that I did in Los Angeles, we had access to internships and all kinds of opportunities that, you know, here in Hawaii, people don't have. So what really helped shaped me and in my career was mentorship. And whether it was Norman Lear, or people that I studied with, for example, at a community art center, Junior Art Center in Los Angeles. Many of those experiences really powered me inside to be a person that wanted to tell stories, and use the various mediums whether it was music or film, moving image, still image to, you know, to really touch people. And so that was kind of a mission, but then it became a career and learning at the hand of Norman Lear and his incredible team of writers, producers, directors and actors. It was a once in a lifetime experience. I was the first female sound mixer in network television, in primetime, and also the first to be nominated for an Emmy. So it was quite an honor. And I think when you work on a series like on the family Jeffersons one day at a time and others, it provides you with a very high level of expectation, and professionalize is what you do, both in work. And in privately. I mean, Norman treated every person the same, whether you were above the line or below the line. And that unique experience translates here to recognizing that there are very brilliant and bright students of all ages, lifelong learners, as well as young people on all islands, particularly in the rural areas. And I just have a passion for elevating them to make them successful, and bring those resources to Hawaii. Because eventually, everybody comes here.

‍

3:19  

That's tremendous. Georja. Could you elaborate on the role of the creative industries division in Hawaii's economy, especially in relation to film and media production? Yes,

‍

3:30  

the division was formed in the Department of Business economic development, and tourism, which is a governor's executive branch. And we were formed by combining the state of Hawaii Film Office, and another branch that was more focused on local arts and culture development. So since 2003, the office itself has been building a very strong foundation, I came in in 2007. And brought with me obviously, the experience in media and television production, but also in arts, music, and film, having worked a lot in music, sound recording as well. So what we do at Creative Industries is really help the business of the arts succeed. And what that means to film is that we look at how we can better work with our incentive of to make it more attractive, it is a very stable incentive. It's been in place since 2006. passed legislation that year. And we continue to improve it and make attempts to do that, in spite of the pandemic. And of course, the strikes last year. One of the things that's unique I think about our film office is that we have people that have been with the Office many, many years that was originally established in 1978, I believe. And so with that, that was the formation of the first state manage Film Studio, which is our Hawaii film studio located at Diamond Head, which is a Pretty unique location and read up till recently, of course, with the cancellation of NCIS. Hawaii, we have never been vacant. So for all your listeners, if you have productions that are interested in coming to Hawaii, we have three facilities that are waiting for you. So please, you know, if it has any sun or surf or it can be flipped to a Hawaii location, we encourage you to take a look at the studio we have here in Kakaako and downtown 18,000 square feet. And then of course, the seven acre facility at Diamondhead. At our largest facility in the area of Kalai. Lower or copulate West. Oh, and that is 80,000 square feet of stage space. That's

‍

5:43  

great. Georja. There's real infrastructure in Hawaii for film makers to be extremely successful in the state. I'm going to pivot back to the incentive really quickly. What are the current full incentives available in Hawaii? And how do they enhance the attractiveness of Hawaii for filmmakers,

‍

6:02  

I think what's important in the current and it's been actually on the books for a long time, but improved over the years. So our current incentive is 22% rebate on all production spend that subject to tax above and below the line on Oahu, and 27% on our neighbor islands, which have vast locations and amazing opportunities to build there as well. They do have some retrofit facilities not necessarily purpose built soundstages. But one of those things is, you know, seeing if we can get an incentive, this coming legislative year for a purpose built facility, which is actually underway. UH West Oahu, on the grounds at the university there. So they're working on that as we speak. So he has sort of in a nutshell, 22%, Oahu who 27% on neighbor islands, we do have a production cap of 17 million, there's a mandatory split, if you are claiming over 2.5 million, then we do have a mandatory split of that incentive, but only over two years. So it's not a lengthy time that you have to wait. We also encourage local production. So the entry level for smaller Productions is actually 100,000. And that was dropped a couple of years ago from 200. So we'd like to incentivize both our offshore productions as well as those that are here in Hawaii, we are growing a very robust content industry. And we are very proud to see a lot of them making the big leap into writers rooms and directing. In fact, one very successful young woman who Aaron Lau who has come from the University of Hawaii cinematic art school at Manoa, she has done a tremendous job. And she had her first crack at directing an episode of rescue high surf, which you'll see this fall in addition to the production cap on our film tax credit, there's also a annual cap of 50 million, and the 50 million is, you know, a ceiling that we didn't have in place until 2019. So prior to that there was no we all have opinions about that. But it certainly hasn't dissuade any productions coming to Hawaii. And of course, we're no different than any other destination right now with our industry going through a lot of transitions in terms of attrition, tightening of belts and seeing really successful shows that are making their numbers and a huge fan base not be able to be maintained here.

‍

8:34  

Absolutely. Now my colleague Ryan Broussard, who is our VP of production incentives brought sent me some questions to ask you for the sake of the podcast but regular know if you can confirm if there's any live the bills, he said he's heard that there may be some changes to the language on get tax, any details or insight there. So

‍

8:55  

in the general excise tax, which is uncommon in most of jurisdictions, but it is common in ours, it is part of our structure for revenue generation, for the state and for programs. The GE T has a requirement to prepay those GT taxes ongoing and there is a system online. It's managed by the Department of Taxation of the Hawaii Film Office and creative industries, really is the front end to work with productions and navigate the system. We certify your production and then it goes to Department of Taxation. So there is a new online system that was put in place two years ago, this year, there was a law passed to allow ability to cure. And that's important because quite often you don't want to have your entire production at stake. If two or three people who are key players in your production above the line or otherwise, don't have a GT that will be disqualified and it could disqualify double credit. So that is no longer an issue. We have of working with the military Picture Association and our legislators been able to pass that along with the Department of Taxation who agreed, you need the ability to cure, don't pull the rug out from under us. So your listeners will be happy to know that that has been put into law, we'll let you know the governor cites it.

‍

10:16  

That's great. Along those lines, it also seems that you and your office would be quite happy in that your program seems set up for success. It's like you have a new sense set for 2033. So a 10 year mandate? I mean, what does this mean for the production community in Hawaii and outside of Hawaii who want to film there, it keeps

‍

10:38  

our people working, that's the most important thing for us, our very stellar workforce, in terms of crew here, have cut their teeth for years on, you know, many, many productions, particularly television, which is a big bread and butter business for us in the state. We love our big features as well and have a couple of those that are still shooting others coming in later this year. So it is the long term is key for three reasons. One, we want to maintain this production pipeline. Yes, we know there's attrition in the industry. And yes, we know that our industry in general everywhere is going through a transition. But Hawaii is always a sought after production destination. Why? Because they can trust the crews that are here. We also have somewhat of an infrastructure in terms of stage space and other elements that really help a lot of production services, companies, casting directors, things that you would need and some post actually, which is also coming along, and visual effects, and all those things qualify for the tax credit that we have. So I think that the long term was really to help generate that interest in people to come in, in a public private partnership and build a purpose built facility for not only production, but also to nurture our local production.

‍

11:56  

Very, very great. Now you had mentioned just a few moments ago about caps, how much funding there is. And I want to talk about how filmmakers can maximize their incentive benefit in Hawaii. So I'm curious, you know, first of all, what steps in your opinion should filmmakers take to fully benefit from Hawaii incentives? Meaning, are there kind of common challenges that they should anticipate maybe funding running dry meaning, when to get those applications in what timeframes kind of you've seen really our best practice for filmmakers to take the best advantage of utilizing the incentives in the state?

‍

12:34  

Well, it is important our process is probably similar to many other states. And that is a production or registration process that comes up front. You let's say that in December, you know, you're going to be doing pre production in January, you can submit that production registration form. Don't worry, I'm not going to answer that right now. But it is a busy office, as you can see, and we're also moving. So that's why it looks like this. But let me explain the value in getting your production registration is important because ultimately when we call the 50 million once we receive all of the production reports a year later, that is a predetermined holding spot in the calling order. We do call with a priority to our lower budget productions, anything that's receiving 500,000 or less is already prioritized to be paid out. And the reason for that is that there aren't as many and we know that smaller productions don't have the appetite to carry forward balances, like larger studios and larger productions too. And it is fairly common in most destinations but just set you up for success. Make sure your production registration form gets in as early as possible. Also to there's a requirement for start a principal photography, it has to be 90 days within a 90 day window of when you start make sure you note that on your own pre production calendars and get that to us in time. We have a wonderful tax credit unit managed by an accountant David Kaley Hawkeye, and his production support person which is rent on Bay. And this is the first for us as a first year. Last year was the first year we had I finally had to. So Freedom Industries division itself manages the film credit. The Hawaii State Film Office manages the interaction with studios and also all of the logistics in terms of productions coming in permitting, and also marketing of credit. So the operational aspects are under cit.

‍

14:40  

That's a perfect segue, Georja because I wanted to ask, you know, how does the creative industries division support filmmakers from indie creators to major studios and really navigating production logistics and incentives in Hawaii? I mean, you're just speaking to this a little bit, but I guess really on this logistics portion as well. I'm curious

‍

15:00  

It's so important, you know a lot of our community, the people that are POCs and other UPMs that live and work here, many productions, line producers, directors, producers, EPS, show runners, all of them. I've residences here. And so what's been beautiful is to see that exchange of training, and bringing up the level of above the line people here in Hawaii. So Creative Industries is very focused on developing more above the line and below the line talent. We do that through a number of ways, the Creative Lab Hawaii program, which will kick off again in the fall. And that is something like a tech accelerator for creatives. In the past, we have partnered with the Writers Guild of America, Producers Guild and others to really take somewhat seasoned writers, producers, directors, animation development people, and put them through a real year long mentorship program that at the end, has an opportunity to pitch their projects in Los Angeles or attend a major market like AFM. So it really has built a strong cadre, along with our University of Hawaii Academy for Creative Media and our School of Cinematic Arts. So we support them. The other thing that Creative Industries has, in particular, that doesn't necessarily interface with the tax credit, but the tax credit benefits our local filmmakers, because there is a requirement for workforce development, a component of either $1,000 or 0.1% of your spend needs to be a gift back to the community, whether it's a public school, not a private school, so Department of Education or our public university. And the other is a new 0.2%, which goes directly into something new, which is our Hawaii film and creative industries Development Fund. And the logic behind this is whether we're training people in the school system, or we're training them through the number of nonprofits and our Creative Lab program, those people need to be able to then hire on a better, you know, a script writer to be able to polish, get ready for a pitch, finishing funds all of that. So now we have 1.1 million in an account, we will be issuing shortly a call for submissions to be able to submit for various projects for anything from 5000 to 30,000. The first year, you know, that's something that is I'm sorry to interrupt the thing that I'm really passionate about, because we heard from the community, that what's your Creative Lab and others from graduate, the Academy for Creative Media, Hawaii Pacific University and others. That said, but there's no way for us to get money, the banks won't loan us money. We can't, we can't finance this. And we're asking friends and family. Well, you can't really build a strong content industry, unless you have the wraparound services and the ecosystem to support it. So it's been a mission, I finally have the three things I did, which was a strong program to train both crew and talent above the line. Finally, some facilities that we can now use for that training, since we're a little dark on a couple of stages, and then be able to have access to capital. So Gee, I guess my work is done here. Get it. But I love what I do. I have a passion for it. It was my commitment when I took this job. And also when I was Maui film Commissioner many years ago, it was the idea that I had access to all kinds of opportunities in Hollywood in Los Angeles when I grew up, kids, your adult. And so that was my mission to find a way. And I'm very grateful that I have this position and the support of the government and the legislature to be able to do that.

‍

18:46  

That's wonderful. Georja. I have just one last question, which is looking ahead to the future. How do you see Hawaii's film industry evolving? I mean, you just mentioned a few. But are there any other new initiatives or changes to film incentives on the horizon? You know, we

‍

19:01  

had some great legislation this year that we had hoped to pass. And one of those things is grants for Native Hawaiian filmmakers. And running that program, in addition to our film fund would be a really important component of what we are building. The other is to attract agencies, companies that are interested in an outpost or relocation of a unit to Hawaii. So I'll be going to Los Angeles later this year to talk to studios, talent agencies, management and production companies, and also animation companies and vis effects. We're really interested in building a post industry here. And of course, because the post production has always been on the tax credit, we want people to know that you know, are part of the wrap up family that post and VFX count. And if we have very strong VFX company on Maui, and course that's 27% So something to think about But those things in addition to, if it's possible to eliminate the overall cap, we understand that there is a balance that we have to strike. And we know that we need a reliable credit, which thanks to the new sunset date has been extended, exploring an infrastructure credit, potentially, there's also a City and County of Honolulu Bill, Bill 59. But is looking at forgiveness of property tax for to incentivize a studio build. So I think that the future looks bright on the location based business, and it is equally bright and on the rise, like, you're gonna need sunglasses soon. Because a lot of our production development people that have either worked in the industry and then now taken off on their own to develop their own projects, even actors that have been here are doing so. So it's a really great time. Keep your eye on Hawaii, because new things are coming. And we welcome you with open arms. And now he is open for business just you can't go to the higher. That's

‍

21:02  

really great. Georja, I mean, you were mentioning also that one of the initiatives, in addition to those that you just mentioned, was related to music. What what was that?

‍

21:11  

Yeah, so Creative Lab, Hawaii music immersive, is a program that's modeled after the media programs. But what it does is we were really looking for a way to integrate more of our local music and writers in particular songwriters into mainstream media, whether it's film, television features, commercials, international, all kinds of streaming platforms. So we launched Creative Lab music immersive five to six years ago, and it is held on Hawaii Island. And that program, introduces singer songwriters who have a track record who clearly have been on the rise and put though, with producers from LA, music placement companies, and also studios that are have their heads of production. In music supervision. At the table, they get briefs. And those briefs are created by a number of the companies that are music placement companies that come in, and we put them in pods of five to six people. The everyone gets together in the morning, they have a brief, they've got to come up with the beats the song, if there is one, if it's in a brief if your audience isn't familiar with it is let's see, iPhone needs a hip driving beat that is got a female lead, go, and then you have to create it. So this creation happens with about 20 people in various pods over the week. It's a week intensive, just like the Creative Lab media is the end of that. And quite often, the music is our the samples are already sent there recorded it actually in a hotel and in some of our studios on Hawaii Island Music Studios and recording facilities. And then they're pitched and they're pitched and they stay in the libraries of the music place placement company partners in perpetuity. They have they have to learn the rights. They have to learn about splits, they learned all of the legal aspects of doing this. And we booked close to 700,000 in music placement for major television series, including Hawaii 5-0, of course back in the day, but many, many others and the biggest one was a six figure placement came out of the 2019 program right in the middle of the pandemic when people needed that money most. So that was a huge win for to Oahu songwriters. So the integration of media and music is our philosophy, my philosophy in really cross pollinating because as I think Sydney Pollack said, all of the creative arts are found in shell. So we attest to that as well. I think that's a very good way to think about how you position Hawaii as a place to do that.

‍

23:55  

Right? Well, Georja, thank you so much. I think you are a wonderful example of a leader who thinks globally and acts locally. And that has a real impact on your community and the world. So thank you so much for your time. Thank you so much for sharing with us all about the wonderful programs and incentives that Hawaii offers to creative people, especially filmmakers. And thanks for joining me again on On Production. Oh,

‍

24:22  

thank you so much, and congrats to Wrapbook and all the work you guys are doing. Thanks for having me.