In early January, as wildfires impacted the Los Angeles area, David E. Kelley’s Apple TV+ series “Margo’s Got Money Troubles” was on the cusp of beginning filming, with the Pacific Palisades and Altadena especially affected.

Some crew members were displaced, losing their homes or dealing with notable smoke damage. Othre members of the production opened their homes to those affected.

adding to the uncertainty, the series was awaiting news regarding a potential state film and television tax credit.

According to Kelley and his fellow producers, it was time to make a critical decision. Should they mitigate risk by moving to a more affordable filming location, such as New Mexico or Vancouver, to ensure sufficient budget for the pivotal mid-season finale set in Las Vegas?

They chose to remain in California, a gamble that ultimately paid off. “Margo” secured a tax credit of approximately $1.2 million per episode, enabling the production to film in the los Angeles area and spend four days filming in Las Vegas.

“The rest of the story is a California story,” said Matthew Tinker, president of David E. Kelley Productions. “It’s really magical to leave L.A., go to Vegas and then come back, and it gives the show a huge production value that otherwise, we wouldn’t have had.”

While film and television projects have increasingly relocated out of California to capitalize on more appealing tax incentives and reduced expenses-a trend that has impacted employment in Hollywood-Kelley’s production company is reinforcing its presence in California. Kelley, originally a lawyer before becoming a writer and producer, is renowned for creating legal dramas such as “Ally McBeal” and “The practise.”

Current Projects Staying in L.A.

All of his current projects will be filmed in L.A., including the third season of the HBO series “Big Little Lies,” the legal drama “The Lincoln Lawyer,” a new HBO Max series based on a Michael Connelly novel titled “Nightshade” set on Santa Catalina Island, and the thriller “Presumed Innocent.”

“It just feels wrong to me that L.A. is not continuing to be the epicenter for film and television series.”

Post-production for his shows is also completed in L.A. David E. Kelley Productions recently relocated to a new headquarters in Santa Monica, intending to remain there for the long term.

“It just feels wrong to me that L.A. is not continuing to be the epicenter for film and television series,” Kelley said via Zoom in August. “This town has been very good to me for many, many years, so I have an inclination not to abandon it, to cling to the community that has been so rewarding for me.”

Commitment to the L.A. Community

His second-in-command shares this sentiment.

From the rooftop garden of the Santa Monica building housing Kelley’s production office, Tinker recalled the persistent smoke from the January wildfires.

The January wildfires reinforced the decision to keep Kelley’s production company in L.A.,despite suggestions to move elsewhere.At the time,there were rumors of potential enhancements to the state’s incentive program,fostering optimism for the future of production in California. However, the fires solidified the company’s commitment to rebuilding and reinvesting in L.A. and Hollywood. The subsequent boost to the state’s film and TV tax credit program this summer further cemented their decision.

“The fires challenged our resilience and sense of community, but the people of L.A. rallied,” Tinker said. “There simply wasn’t a thought beyond this moment to plant roots anywhere else.”

The 2,900-square-foot office, a new construction replacing an older building in Santa Monica, features a modern design with concrete walls and flooring, dark wood accents, two arcade game machines, and a shelving unit displaying numerous awards at the center of the space. Tinker’s office pays tribute to Hollywood history.

He has a framed letter from Alfred Hitchcock to Cary Grant regarding the script for “North by Northwest,” a signed photo of Katharine Hepburn, and a framed letter from Frank Sinatra to Sammy Davis Jr.

“I’m a bit of a collector,” Tinker said.

The decision by Kelley’s company to stay in L.A. comes as California lawmakers have been working to keep film and TV productions in the state. In July, Gov. Gavin Newsom signed legislation that extends the state’s film and TV tax credit program for another five years and provides additional incentives.

the program, which has been in place as 2009, has been credited with keeping thousands of jobs in the state and generating billions of dollars in economic activity. However, California still faces stiff competition from other states and countries that offer even more generous incentives.

several production companies have chosen to remain in California, citing the state’s infrastructure, experienced crews, and overall quality of life.

Caroline James, co-executive producer of “Presumed Innocent” and “Margo,” which employed about 500 people, noted the advantages of filming in L.A.

“There’s such an infrastructure in L.A.,” she said. “There’s no learning curve.”

Kelley’s production company, with six employees including Kelley, may not always be able to film everything in L.A., but executives intend to prioritize L.A. in their decision-making and hope others will follow suit.

“The goal is to always look at California first,” Tinker said.