CALIFORNIA GRANTS FILM AND TV INDUSTRY A $330 MILLION INCREASE IN TAX CREDITS

Earlier this year, California State Governor, Gavin Newsom granted an extra $30 million for the state’s film and TV tax credit program. If passed, the legislature offered $180 million over the course of the next two years. “I’m very excited,” said Sen. Anthony Portantino, who represents Glendale and Burbank, and who pushed for the construction incentive. “If we build more capacity, that leads to more productions and more jobs.”

The bill, unveiled in the California state legislature Sunday night, would boost the Golden State’s film and television tax credits program by $330 million, if approved and signed by Newsom. The bill’s sponsors include Senator Anthony Portantino and assembly members, Wendy Carrillo and Autumn Burke.

The tax credit bill was unveiled on Sunday night and is expected to pass both houses and get Newsom’s signature.  “This is an opportunity for those productions, TV, and others, in places like Georgia, whose values don’t necessarily always align with the production crews, to consider coming back to the state of California,” said the governor at the time, alluding to the Peach State’s controversial voter law.

The move is a result of a record $75 billion budget surplus, including billions for homelessness, social services, and education. For the $150 million in soundstage construction credits, productions will be required to submit a diversity plan to the state that “shall include goals that are broadly reflective of California’s population, in terms of race and gender,” per the proposed bill.

The intention of the state's film and TV tax credit program is to encourage more productions to relocate their operations to the state or begin their from Day 1, in an attempt to lower unemployment and boost the state’s economy. The program, however, does not currently offer sufficient funds to cover the expenses and incentives.