Update on Consolidated Film Permitting Operation - All Wards

The Economic Development and Parks Committee recommends the adoption of the following report (June 24, 1999) from the Commissioner of Economic Development, Culture and Tourism:

Purpose:

This report provides an update on the status of the process towards the amalgamation of the Film and Television Office.

Funding Implications:

The Amalgamation Office has agreed to facilitate the Operational Review of the Toronto Film and Television Office.

Recommendation:

It is recommended that there be a moratorium on the introduction of any new fees and/or changes in the existing fee practices or policies of all Departments, Agencies, Boards and Commissions until the adoption of the final report on the Film and Television Office.

Background:

In April of this year City Council approved a new set of Filming Guidelines, By-laws and Code of Conduct. Council also requested a report on the following:

"It is further recommended that the following motions be referred to the Commissioner of Economic Development, Culture and Tourism for a report thereon to Council, through the Economic Development and Parks Committee, such report to also include a method of sustaining the grant to the Canadian Film Centre:

(i)a consolidated film permit administration model, identifying revenues necessary to achieve a streamlined, cost-effective system; and

(ii)the following recommendations:

(a)that Council approve, in principle, the implementation of an amalgamated Film and Television Office;

(b)that all fees associated with this industry which are currently assessed by any City Department, Agency, Board or Commission be collected by the Toronto Film and Television Office (TFTO) as part of its customer service initiative to address the industry's need for streamlined services, and be distributed by the TFTO to the appropriate groups, and that staff from the Economic Development Division work with affected groups, including the Board of Directors of the Canadian Film Centre and the Film Liaison Industry Committee (FLIC), on a comprehensive plan to give effect to this proposal;

(c)that the Commissioner of Economic Development, Culture and Tourism be requested to develop a comprehensive policy related to fees charged and revenues generated by all City Departments, Agencies, Boards and Commissions, with respect to filming, in an effort to have a consistent and fair approach to supporting this important economic sector, and that no fees be levied over and above those stipulated as part of the charge; and

(d)"where street parking is required, a fee of $50.00 for each day of filming, to a maximum of $200.00 be charged, until such time as any changes proposed by representatives of the film industry and the Board of Directors of the Canadian Film Centre are approved by Council".

Discussion:

In order to accomplish Council's direction, and to develop key strategies to strengthen and grow the Film and Television Sector (within the context of the Economic Development Strategy), a number of strategies are underway or will commence over the summer:

(1)Operational Review - in order to achieve a fully harmonized film permit issuance operation, an operational review will be conducted; the focus of the review will include: how to best service the industry, staffing and technology resource requirements and options for improving productivity through technologies, and one stop service model; the evaluation will include a review of how the process worked pre-amalgamation as well as the nature and amount of resources other Departments, Agencies/Divisions have committed to this process;

1. Survey/Data Collection - to determine fees charged and revenues generated by other Departments, Agencies, Boards and Commissions;
2. One Stop Service Model - discussions with Departments, Agencies, Boards, Commissions and other appropriate groups leading toward the establishment of a one stop shop service model;
3. Consultation - involvement of the Film Liaison Industry Committee (FLIC) and a request for their input and suggestions on the policy and service delivery model;
4. Policy on fees - an interdepartmental/agency team to be established to develop the film permitting policy;
5. Canadian Film Centre - involve the Centre in the discussions and decisions related to film permitting and the resolution of the capital needs of the Centre; any change to the present fee practices in the former City of North York will have to wait for the final report; and
6. Film and Television Industry Comparative Review - undertaken in collaboration with Ontario Film Development Corporation (OFDC) a review of the industry's competitive position and identification of 'niche' strengths and weaknesses.

The issue of film permit fees was discussed and deputed at length during the April meeting of the Committee. The arguments against fees were compelling and the decision was taken to avoid the introduction of a fee. In the past two months the competition for filming has become even tougher. A number of initiatives are underway in the United States, particularly in California, to recapture some of their lost market. Tax incentives to match those offered in Ontario are being reviewed and a strong public relations campaign has been launched.

Every business sector of the economy is important. Each is different. Film and Television, however, is somewhat unique because of its international profile and market as well as the diverse services upon which it relies. It draws other businesses and investment to the local economy. Tourists and business travellers choose film oriented cities as destinations. Creative talent and the energy which goes with that creativity create opportunities. A vibrant film and television industry creates large economic multipliers.

Due to budget pressures some departments and ABCs have contemplated and/or have plans to change their present practices and policies related to the charges applied to film projects. This runs counter to the wish of Council that decisions related to film and television be dealt with as a whole. While there may appear to be a delay in the process, it is imperative that piecemeal actions not be taken. Film and Television is an industry that employs 32,000 people and spent $680 million in the City last year.

Conclusion:

The final report to Committee on all of these matters will be presented in November 1999. It is requested that no new fees be charged before that report goes to Committee.

Contact Names:

Ms. Rhonda Silverstone, 392-1333, Ms. Brenda Librecz, 397-4700.