The authors of this report examine the filming location decision, the economic contribution of the film industry, the local film industry workforce, and the factors related to maintaining and growing the film industry in Pennsylvania and, specifically, in Pittsburgh. The findings and implications inform their recommended strategies for state and local stakeholders to retain or enhance the competitiveness of the film industry in Pennsylvania.

The Film Industry in Pittsburgh, Pennsylvania

Economic Contribution and Capacity for Growth

Evan D. Peet, Brian Phillips, Stephanie J. Walsh, Elizabeth D. Steiner, Melanie A. Zaber

ResearchPublished Aug 10, 2023

Cover: The Film Industry in Pittsburgh, Pennsylvania
Download PDF

Does not include Appendixes.

Additional Downloads

Includes Appendixes

With the goal of creating job opportunities that would otherwise not exist, many states, including Pennsylvania, have attracted film production by offering competing incentives that lower costs. Although Pennsylvania's Film Production Tax Credit (FPTC) has attracted film productions to Pennsylvania and, specifically, to Pittsburgh, the economic contribution of the resulting industry and the factors restricting or catalyzing the industry's growth are unclear.

In addition, there remains uncertainty around how Pennsylvania, specifically, can remain competitive in attracting film productions and what resources may enhance the growth of the film industry in the state. To address these uncertainties and inform future policy debates, the authors of this report conducted a mixed-methods study consisting of an environmental scan, semi-structured interviews, and quantitative analysis.

The findings of this study describe a nuanced picture in four areas: (1) the filming location decision, (2) the economic contribution of the film industry, (3) the film industry workforce, and (4) state film policy. Drawing on these findings, the authors discuss their broader implications and recommend strategies to retain or enhance the competitiveness of the film industry in Pennsylvania. The results and recommendations of this report are intended to inform the decisionmaking of stakeholders both at the state level (including state legislators and government officials) and at the local level (including officials in the state's film offices, city and county economic development offices, local workforce development boards, and local educational institutions).

Key Findings

Three factors influence the filming location decision: creative fit, cost, and local resources

  • Pittsburgh is a strong creative fit for many film productions because of its natural and built diversity, which enables it to look like many different places.

The film industry's economic contribution either exceeds or is comparable to the contributions of other industries that may relocate to an area in response to incentives

  • The contribution of the Pittsburgh film industry to the local economy is comparable to the industry's contribution to the economies of other midsize cities with whom Pittsburgh competes for film productions.
  • The work created by the film industry in Pittsburgh spills over, supporting jobs and increasing the demand for goods and services offered by other industries in the area.

Workforce diversity is attractive to film production companies

  • Although Pittsburgh's film industry workforce lacks diversity, its set of current workers and occupations, as well as its educational and training opportunities, offers growth potential for this workforce.

Pennsylvania's FPTC is vital to the film industry in the state

  • Although expanding the FPTC would increase the number of feature films and television shows produced in the state, doing so has the potential to continue the race-to-the-bottom competition between Pennsylvania and other states also offering film production incentives.
  • The FPTC should be revised to enhance Pennsylvania's competitiveness and focus its benefits more toward the state and its residents.

Recommendations

  • State legislators and involved stakeholders should consider altering the payment model of the FPTC to a nontransferable, refundable tax credit to convey greater benefits to film production companies.
  • State legislators should decide whether the FPTC will be renewed well in advance of its 2025 sunset date.
  • State legislators and involved stakeholders should consider including incentives targeted toward certain types of productions, such as television shows or other serialized productions with longer-term commitments to film in the state.
  • State legislators and involved stakeholders should consider including targeted incentives aimed at addressing current gaps in the film industry workforce. Targeted bonuses for local labor in key positions can aid in developing the diversity of the local workforce.
  • State legislators and involved stakeholders should consider including incentives aimed at equitably distributing the benefits of the film tax credit program throughout the state, especially in areas in greater need of economic activity and with local resources that attract film productions.
  • Officials in the state's film offices should consider developing measures of economic impact and requiring data collection that uses them.
  • Stakeholders in local economic development offices should consider developing a unified regional economic development strategy for the film industry that leverages the existing economic contribution of the film industry to build an organic (i.e., not tax credit–dependent) industry base.
  • Stakeholders from workforce development boards and educational institutions should consider developing a strategic plan to build the local film industry workforce through enhancements to the workforce pipelines.

Topics

Document Details

Citation

RAND Style Manual

Peet, Evan D., Brian Phillips, Stephanie J. Walsh, Elizabeth D. Steiner, and Melanie A. Zaber, The Film Industry in Pittsburgh, Pennsylvania: Economic Contribution and Capacity for Growth, RAND Corporation, RR-A2617-1, 2023. As of April 8, 2025: https://www.rand.org/pubs/research_reports/RRA2617-1.html

Chicago Manual of Style

Peet, Evan D., Brian Phillips, Stephanie J. Walsh, Elizabeth D. Steiner, and Melanie A. Zaber, The Film Industry in Pittsburgh, Pennsylvania: Economic Contribution and Capacity for Growth. Santa Monica, CA: RAND Corporation, 2023. https://www.rand.org/pubs/research_reports/RRA2617-1.html.
BibTeX RIS

Research conducted by

The research described in this report was sponsored by the Pittsburgh Film Office and conducted by RAND Education and Labor.

This publication is part of the RAND research report series. Research reports present research findings and objective analysis that address the challenges facing the public and private sectors. All RAND research reports undergo rigorous peer review to ensure high standards for research quality and objectivity.

This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited; linking directly to this product page is encouraged. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial purposes. For information on reprint and reuse permissions, please visit www.rand.org/pubs/permissions.

RAND is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.