San Francisco Administrative Code § 57.8 Film Rebate Program

(a) Purpose. The purpose of the Film Rebate Program is to increase the number of qualified film productions being made in San Francisco, increase the number of City residents employed in the filmmaking industry, and encourage the resulting economic benefits to increased filmmaking in San Francisco.

(b) Definitions. As used in this Section 57.8, the following terms shall have the following meanings:

“City” means City and County of San Francisco.

“Executive Director” means the Executive Director of the Film Commission or the Executive Director’s designee. “Pre-Production” means the process of customary preparation for physical production which begins after a qualified film production has received a firm agreement of financial commitment. In this context, “customary preparation” includes, but is not limited to, activities such as hiring key crew members, scouting for locations, building sets, casting, and establishment of a dedicated production office.

"Principal photography"means the time period and phase of film production during which the main photography occurs, as distinguished from pre-production and post-production in accordance with the Film Commission’s guidelines.

“Post-Production” means the final activities in a qualified film production’s creation including, but not limited to, editing, foley recording, ADR, scoring, sound editing, negative cutting, color correction, and sound mixing. “Qualified film production” means:

(1) a feature-length film, documentary feature film, docudrama feature film, television film, television pilot, “reality” program, or each episode of a television series or web series, regardless of the medium used to create or convey it;

(2) a film production produced by a film company that has entered into a use contract with the City and has a minimum of five principal photography days in the City;

(3) a film production produced by a film company that expends at least $500,000 in the City, provided that the film company provides receipts, invoices, payroll records, time records, and other documentation of expenditures during pre-production, principal photography, film production, and post-production. The Film Commission or its representatives may audit such documentation. or 2

(4) a film production produced by a film company with a production office located in the City, unless the film company determines that a physical production office in the City is not needed for the film production. Notwithstanding the foregoing, “Qualified film production” does not mean:

(1) a news or current affairs program, interview or talk program, instructional film or program, film or program consisting primarily of stock footage, sporting event or sporting program, game show, award ceremony, film or program intended primarily for industrial, corporate or institutional end-users, fundraising film or program, commercials, or music videos; or

(2) a production for which records are required under Title 18 United States Code Section 2257, to be maintained with respect to any performer in such production.

“Qualified low-budget film production” means a qualified film production that has a total budget of no more than $3,000,000 2 $250,000 in the City, provided that the film company provides receipts, invoices, payroll records, time records, and other documentation of expenditures during pre-production, principal photography, film production, and post-production. The Film Commission or its representatives may audit such documentation. “Qualified low-budget film production” shall not include:

(1) a news or current affairs program, interview or talk program, instructional film or program, film or program consisting primarily of stock footage, sporting event or sporting program, game show, award ceremony, film or program intended primarily for industrial, corporate, or institutional end-users, fundraising film or program, commercials, or music videos; or

(2) a production for which records are required under Title 18 United States Code Section 2257, to be maintained with respect to any performer in such production.

“Qualified production cost” means the following expenses of a qualified low-budget film production or a qualified film production if in accordance with the Film Commission’s guidelines:

(1) Any moneys paid to the City, or any of its constituent departments, from the film company or under a revenue sharing agreement, for the use of City property, equipment, or employees;

(2) Any moneys paid to the City, or any of its constituent departments, for the use of property leased by the City, or paid to a third-party property owner for the use of property for film-related activities including, but not limited to, filming, editing, film production office space, and stage space uses located in the City, if no suitable alternative City property is available;

(3) Any daily use fees charged by the Film Commission, pursuant to Section 57.5 of the Administrative Code, to engage in film production in the City;

(4) Police services as described in Chapter 10B of this Administrative Code;

(5) The hourly pay or salaries of City residents during pre-production through post-production capped at $100,000 per individual per project; or

(6) Production-related items, goods, or services purchased or rented from a business with a location in the City.

(c) Rebate Program.

(1) Allowance of Rebate. A qualified low-budget film production or qualified film production that pays qualified production costs shall be entitled to a rebate, to be calculated as provided herein, provided that the qualified production provides film skills and training to San Francisco residents pursuant to Film Commission guidelines and has entered into a first source hiring agreement with the City that demonstrates good faith efforts to hire economically disadvantaged individuals referred by the San Francisco Workforce Development System to work for the qualified production. Good faith efforts shall include, at a minimum, consulting with the First Source Hiring Administration (“FSHA”) for the purpose of preparing a list of positions for which individuals referred by the City might qualify, providing that list to the FSHA at least two weeks prior to the first day of shooting, and documenting efforts to contact and interview job candidates referred by the City to fill the positions listed. The film company must provide on-screen credit to the City and promotional materials pursuant to Film Commission guidelines.

(2) Amount of Rebate.

(A) The City shall rebate allowable production costs to a qualified low budget film production or qualified film production; provided, however, the total amount of all rebate payments to such productions shall not exceed $13,000,000 between July 1, 2015 and by June 30, 2027. The Film Rebate Program shall expire on June 30, 2027, unless extended by ordinance.

(B) Additionally, the total rebate payment for a single production may not exceed $1,000,000, for 2 which may include up to 10% of the first $1,000,000 of fees paid for hourly pay or salaries and any item or service purchased or rented from a business with a location in the City and up to 20% of such fees thereafter; up to 100% of fees paid to a City department; and a percentage of fees paid to a third party property owner as determined by the Film Commission’s guidelines.

(C) No television series or web series may qualify for more than $1,000,000 in rebate payments per season.

(D) The rebates shall be paid from the project account that the Controller has set aside for Film Rebate Program funds (the “Film Rebate Project Account”). The rebates shall not be paid from funds dedicated under bond or other legal financing covenants. Rebates paid under this Section 57.8 shall be paid only to those qualified low budget film productions or qualified film productions whose filming commenced on or after January 1, 2026. Rebates under the Scene in San Francisco Incentive Program are subject to available appropriations and will be paid on a first-come,

first-served basis upon submission of all required documentation² The reasonable expenses of the Film Commission in connection with administering the Rebate Program and reasonable marketing expenses to promote the Rebate Program may be paid out of the Film Rebate Project Account¹

(3) Implementation. After holding a public hearing, the Executive Director, in consultation with the Controller, shall promulgate rules and regulations to establish the procedures for implementation of the Film Rebate Program. Such rules shall include provisions describing the application process, the standards used to evaluate the applications,

the documentation that will be required to substantiate the amount of the rebate, the appeal process, and any such other provisions as deemed necessary and appropriate to carry out the Film Rebate Program.

(d) Authority to Lease Property for Film Company Use. Subject to the Controller’s certification of funds in the Film Rebate Project Account or other available funding source (“Controller’s Certification”), the Director of Property of the Division of Real Estate, in consultation with the Executive Director, shall have the authority to lease property and sublease such property to film companies for film-related activities including, but not limited to, filming, editing, film production office space, and stage space uses (“Film Production Leases”) when the Executive Director determines, in consultation with the Director of Property, that no suitable alternative City property is available. Notwithstanding any other provision of the Municipal Code, including Administrative Code Sections 23.26 and 23.31, where a proposed Film Production Lease is for a year-to-year or shorter tenancy and has received the Controller’s Certification under this subsection (d), the Director of Property may enter into such Film Production Lease, including any corresponding sublease with a film company subtenant, regardless of whether the monthly rent exceeds $15,000, without action of the Board of Supervisors unless otherwise required by the Charter.

(e) Annual Reports. The Executive Director shall report annually to the Board of Supervisors on the implementation of the Film Rebate Program. The report shall include a list of each qualified low budget film production and qualified film production, residency of employees, and the total of qualified production costs submitted and paid to each film production. The Controller shall perform an annual assessment and review of the effect of the Film Rebate Program. Based on such assessment and review, the Controller shall prepare and submit an analysis to the Board of Supervisors. The analysis shall be based on criteria deemed relevant by the Controller, and may include but is not limited to data contained in the annual reports to the Board of Supervisors submitted by the Executive Director.

(f) Expiration of Section. The Film Rebate Program shall expire on June 30, 2027, unless extended by ordinance. If the Film Rebate Program is not extended, the City Attorney is authorized to cause this Section to be removed from the Administrative Code.

(Added by Ord. 70-06, File No. 060065, App. 4/20/2006; amended by Ord. 64-09, File No. 090024, App. 4/23/2009; Ord. 162-09, File No. 090627, App. 7/15/2009; Ord. 205-11, File No. 110900, App. 10/11/2011, Eff. 11/10/2011; Ord. 101-12 , File No. 120406, App. 6/11/2012, Eff. 7/11/2012; Ord. 153-13 , File No. 130586, App. 7/17/2013, Eff. 8/16/2013; Ord. 268-13 , File No. 130937, App. 11/27/2013, Eff. 12/27/2013; Ord. 110-15 , File No. 150463, App. 7/2/2015, Eff. 8/1/2015*; Ord. 244-18, File No. 180518, App. 10/26/2018, Eff. 11/26/2018; Ord. 169-23, File No. 230651, App. 7/28/2023, Eff. 8/28/2023; Ord. 9-26, File No. 251225, App. 2/11/2026, Eff. 3/14/2026) (Former Sec. 57.8 redesignated as Sec. 57.4 by Ord. 331-00, File No. 001967, App. 12/28/2000) CODIFICATION NOTES

1. So in Ord. 169-23.

2. So in Ord. 9-26.

• Editor's Note:

The amendments made by Ord. 110-15 were retroactive to 6/30/2015; see Sec. 4 of the ordinance.