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California Governor Signs Legislation to Boost Entertainment Industry

July 23, 2021 by Ansley Puckett
(Photo via PIxabay)

LOS ANGELES- California Gov. Gavin Newsom signed legislation on Wednesday investing $330 million to expand the state’s Film and Television Tax Credit Program in order to boost the state’s economy. 

Launched in 2009, the Film and Television Tax Credit Program works to attract and retain production jobs and economic activity across California. To date, the program has generated nearly $18 billion in production spending for the state.  

The legislation expands the current film credit program with a $180 million increase over the course of two years and a one-time $150 million incentive to be used over multiple years for the construction of motion picture soundstages. 

According to a release, new diversity work plan provisions and a pilot skills training program included in the legislation will create expanded career opportunities for more Californians. 

“Today’s investments ensure film and television production will continue to fuel the California Comeback through thousands of good jobs right here in the Golden State, training opportunities to increase access, and a focus on fostering diversity and inclusion for a workforce that better reflects our vibrant communities,” Newsom said in the release.  

The legislation, or SB 144, was co-authored by Democrats, state Sen. Anthony Portantino, Assemblymember Wendy Carrillo and Assemblymember Autumn Burke. Newsom signed the legislation alongside film studio representatives, legislators and labor leaders at the Sunset Gower Studios in Hollywood.  

The legislation requires recipients of the existing film credit program and the new infrastructure incentive to provide data on the diversity of their workforce, which includes racial background and gender. It will also require recipients to submit a work plan to the California Film Commission to identify diversity goals.  

“The bill Gov. Newsom signed today builds on the success of California’s Film & Television Production Tax Credit program and ensures that the film, television and streaming industry continues to be a vibrant part of California’s economy,” said Charles Rivkin, chairman and CEO of the Motion Picture Association. 

As the state’s key economic driver, California’s film and television industry provides more than 860,000 jobs.  

According to the release, the Film and Television Tax Credit Program has provided $335 million to 48 projects since the start of the pandemic, and 27 television series have relocated to California since the program’s launch.  

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