BORDER WAR HEATING UP OVER FILMING.

Byline: Dave McNary Staff Writer

You're a liar, Mr. Ambassador.

That's the essence of the latest round of bashing between the United States and Canada over runaway film production as U.S. Rep. Howard Berman, D-Mission Hills, fired off a highly critical letter this week to Raymond Chretien, Canada's Ambassador to the United States.

``At the same moment, Mr. Ambassador, that you claim runaway production is so minuscule that we in California should scarcely notice it, your Film Commissioners and Culture Ministers are crowing about their success in luring U.S. productions to Canada,'' Berman wrote. ``113 productions, we are told, are confirmed in British Columbia in the first six months of this year, compared with 65 productions shot in the same period of 1998.''

Berman's missive came in response to Chretien's contention last week that Berman had unfairly criticized Canada's efforts to lure Hollywood productions with tax breaks and rebates.

Berman also disputed Chretien's claim that only 2 percent of film, TV and video production came from Canada, and that this figure was ``hardly excessive.''

Berman noted that 232 of the 285 runaway productions were in Canada last year and generated $2.27 billion of the $17.6 billion in production expenditures. ``This is 13 percent of the total, not 2 percent,'' he wrote.

Berman also said formal hearings will be held later this year in Washington, D.C., on a series of tax incentives and credits for producers.