Low Budget Agreements Incorporate Changes

0814 news

July 14, 2014

On Saturday, June 21, the Guild’s National Board approved changes to the Low Budget Sideletter to the Basic Agreement that will capture more low budget films, create additional work opportunities including making it easier for assistant directors to move up in category, and enhance safety.

The changes were developed by the Low Budget Committee, made up of 26 DGA members representing all categories and chaired by DGA Independent Directors Committee Co-Chairs Jonathan Dayton and Valerie Faris. The Committee met four times over a period of three months to review research and make recommendations on how the Low Budget Sideletter, which covers feature films budgeted up to $11 million, could be revised to better address the needs of members working in this area. The new provisions took effect on July 1, 2014.

Capture More Low Budget Films:

For films that fall within the two highest budget levels (Levels 3 & 4 with budgets between $2.6 million and $11 million): the DGA will give consideration to waiving the director’s minimum salary for first-time feature directors. The purpose of this change is to capture more of the films being made at these budget levels by making the agreement more appealing to companies who might otherwise intend to go non-union. The director’s minimum salary for films that fall within Levels 1 & 2 are already fully negotiable.

Create Additional Work Opportunities:

The Low Budget Sideletter will now make it easier for assistant directors in Los Angeles and New York to move up by allowing companies making films at Levels 1 & 2 (budgets below $2.6 million) to hire two members in the next higher Guild category than the one for which they already qualify. This provision already applied to productions under $2.6 million that were produced outside of Southern California and New York. This change will provide more employment opportunities for DGA members and it will help directorial team members acquire the additional days needed to move up in category at a faster rate. 

Additionally, DGA Trainees are now eligible to work under the Low Budget Sideletter, helping to provide Trainees with feature employment opportunities and making it easier for them to graduate from the Training Program within a reasonable period of time.

Enhance Safety:

Companies will now be required to confirm in writing that they have established an Injury and Illness Prevention Program (IIPP) where required by applicable law. This requirement will help ensure that independent productions lacking the safety infrastructure provided by major studios are thinking about safety and setting up a program to address safety issues.

If you have questions related to the Low Budget Sideletter, please contact DGA Associate Western Executive Director Jon Larson at (310) 289-5325.