Commentary by Katie Patton Pryor, Co-Founder of Film USA, the Baton Rouge Film Commissioner and adjunct professor at Louisiana State University.
The United States has long been the global star of the film and television industry, with Hollywood, a small district in Los Angeles, serving as the birthplace of U.S. filmmaking in the early 20th century. What began as a localized venture grew into a national phenomenon, with Hollywood becoming synonymous with the entire U.S. film industry.
How? The country saw the power of the creative economy and jumped in; states started investing in workforce development, talent attraction, and even offered film tax incentives to build and sustain filmmaking. Today, more than 30 states have film tax credit programs, turning the U.S. into a filmmaking powerhouse beyond the boundaries of California (hello Georgia, Louisiana, Oklahoma, New Jersey, and more.. like way more).
But recently, the plot has thickened. With shifting economic dynamics, technological advances, and increasing competition from abroad, it’s time for the U.S. to reassess its approach to keeping the spotlight on home turf. Enter the proposed Federal Film Office (FFO)—a centralized, national agency that could ensure the U.S. film industry continues to thrive in an evolving global market.
For our sequel, the U.S. film industry is crying out for a refresh—and the FFO could be the key start to keeping the magic alive and America’s creative economy in the global spotlight.
A Shifting Industry Landscape
The U.S. film and television industry is a behemoth; according to the 2022 Motion Picture Association (MPA) study, direct industry jobs employing more people than other major sectors, including mining, oil & natural gas extraction, crop production, utility system construction, and rental & leasing services. This is a powerhouse industry paid over $100B in direct wages in 2022 utilized over 122,000 small businesses, all playing critical roles behind the scenes. Note: it was the MPAA (Motion Picture Association of America) until a 2019 rebrand to shift to a global reach and they dropped that last “A”. Cue clue one.
But here’s the twist: despite its star power, the industry is facing challenges that could knock it off the top spot… and keep it from getting there ever again. To name a few: the rise of streaming platforms, irresistible global incentives, and the growing trend of production activities moving overseas are shrinking Hollywood’s dominance.
According to an Olsberg SPI study in 2020, U.S. production investment accounted for 65% of the global total, clocking in at $114.7 billion. But only $70.9 billion of that stayed within our borders—leaving a hefty $64.3 billion to fly abroad. And that was really just the start of the trend.
So, who can man the gate and prepare for the future?
The Missing Element: A Federal Film Office
One could assess that having a Federal Film Office is no longer a luxury—it’s a necessity. Picture this: the U.S. is one of the last major film-producing nations without a national film office. Meanwhile, countries like Canada, the U.K., South Korea, and China have been leveraging their national film offices to attract productions, forge international partnerships, offer irresistible incentives, export their culture, and strengthen their global influence.
A U.S. Federal Film Office would be the leading star in addressing these critical needs:
- Centralized Coordination and Data Collection
An FFO could lead production on reports on domestic and international productions, market trends, and economic impact. Imagine a control room that keeps tabs on all aspects of the U.S. film industry; creating tools that could help policymakers and businesses make informed, strategic decisions.
- Incentives for Domestic Production
Countries like the U.K. and Canada have had national incentives in place for years, attracting productions that might have otherwise landed in the United States. A national office could accurately evaluate the potential benefits of a U.S. incentive, streamline this process, and ensure that the U.S. remains a prime filming location and keeping those productions—and the dollars they generate—right here at home.
- International Collaboration and Co-Production Agreements
A good co-production agreement is like a blockbuster hit. It brings talent together, pools resources, and opens doors to new audiences. A FFO could facilitate these agreements between the U.S. and other countries, helping American filmmakers unlock creative and financial opportunities.
- Promotion of American Cultural Exports
American storytelling contributes $14.4 billion in exports annually; it is our ultimate soft power tool. Think of the FFO as the megaphone that amplifies U.S. films on the global stage. You know, if you aren’t telling your story, someone else is.
Like a well-oiled film set, this office would keep all the moving parts of the U.S. film industry in sync, from funding to foreign partnerships.
A Proactive Strategy for the Future
Lights, camera, action—it’s time for the U.S. to take its place as the true leader in the global film landscape. The establishment of a Federal Film Office is about economics and preserving the U.S.’s role as a cultural leader. With a unified effort, we can keep the cameras rolling, the jobs flowing, and our cultural influence shining bright.
In short, this is the missing piece of the puzzle that could ensure Hollywood’s future success. Much like a director guiding a blockbuster, this office would pull together all the moving parts of the industry—data, incentives, partnerships—and keep the U.S. film industry rolling at full speed.
And as any film buff will tell you, the right director (or in this case, the right office) makes all the difference.
A Supporting Cast: Advocating for the Cause
Film USA: Film USA is a national, non-profit trade organization of state and regional film commissions from across the USA working to enhance the global competitiveness of the US film and TV industry, expand industry access, support global film partnerships, and promote domestic production. Utilizing their member network of film commissioners, Film USA aims to foster new business relationships, market the industry globally, expand the worldwide presence of the US film and TV industry and serves as a key partner in advocating for a Federal Film Office.
This article appeared in the 2025 edition of the Creative Economy Journal. See more from the Journal here.