The Californer - California: Governor Newsom Signs Legislation to Bolster State's Film and Television Industry, Creating Good Jobs and Promoting a Diverse Workforce

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Legislation invests $330 million to expand state's successful film and television credit program for retaining and attracting production jobs

Key industry supports communities throughout the state with billions in wages and revenue to help fuel post-pandemic recovery

Legislation includes provisions to increase diversity in the workforce and create pilot skills training program

LOS ANGELES – In a boost for California's nation-leading economic recovery, Governor Gavin Newsom today signed legislation investing $330 million to expand the state's successful Film and Television Tax Credit Program, which works to retain and attract production jobs and economic activity across California – generating nearly $18 billion in production spending for the state to date.

Alongside film studio representatives, labor leaders and legislators, the Governor signed SB 144 – co-authored by Senator Anthony Portantino (D-La Cañada Flintridge), Assemblymember Wendy Carrillo (D-Los Angeles) and Assemblymember Autumn Burke (D-Inglewood) – today at historic Sunset Gower Studios in Hollywood. The legislation expands the current film credit program with a $180 million increase over two years and an additional one-time $150 million incentive to be used over multiple years for the construction of certified motion picture soundstages – building out studio infrastructure to keep pace with the growth in production. With new diversity workplan provisions and a pilot skills training program, the legislation creates expanded career opportunities for more Californians.

"California's iconic entertainment industry is a point of pride that creates important revenue and opportunity for workers, businesses and communities across the state," said Governor Newsom. "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."

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A key economic driver, the film and television industry in California provides more than 134,000 production-related jobs, over 83,000 jobs related to distribution and over 643,000 jobs created by related vendors and businesses. The Film and Television Tax Credit Program has provided $335 million to 48 projects since the start of the pandemic. Twenty-seven television series have relocated to California from other states and nations since the program's launch in 2009.

"These strategic investments reaffirm the Golden State's role as a leading player in the global entertainment industry – a vital sector that represents billions in wages and revenue for California workers and businesses," said Director of the Governor's Office of Business and Economic Development (GO-Biz) Dee Dee Myers. "The film tax credit program has already provided $335 million to support projects across the state since the start of the pandemic, lifting up local economies and helping drive our nation-leading recovery. With a forward-looking new incentive to modernize studio infrastructure, this package will help keep the cameras rolling in our state well into the future."

Governor Newsom signs legislation to expand Film and Television Tax Credit Program alongside film studio representatives, labor leaders and legislators

SB 144 requires recipients of both the existing film credit program and the new infrastructure incentive to provide aggregated data on the diversity of their workforce, including gender and racial background, and to submit a workplan to the California Film Commission identifying diversity goals.

"The bill Governor 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 Chairman and CEO of the Motion Picture Association Charles Rivkin. "SB 144 preserves both recurring and relocating television and streaming series, creates a new program that incentivizes private investment in construction of soundstages and establishes new benchmarks and commitments on diversity."

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"I am incredibly grateful for Governor Newsom's leadership and for his commitment to the entertainment industry. He understands that it is a core economic driver for California and a big part of my district's vitality," said Senator Portantino. "Investing in new sound stage construction is a critical addition to our efforts to increase filming in our Golden State. Modernizing our studio infrastructure and achieving diversity goals will ensure that future entertainment careers will flourish in California and generations of people from across the country will continue to see our state as the entertainment capital of the world."

The legislation ensures the construction of new soundstages supports high road jobs by requiring prevailing wages and setting labor standards for construction and ongoing maintenance. Creating pathways for more Californians to access film and television industry jobs, the California Film Commission will implement a pilot program to provide technical skills training to individuals from underserved communities.

The Entertainment Union Coalition, which represents members of the Directors Guild of America, SAG-AFTRA, California IATSE Council, LiUNA! Local 724 and Teamsters Local 399, also welcomed the news "SB 144 enhances and improves the California Film and Television Tax Credit Program which since its inception has resulted in the creation of 156,000 below-the-line cast and crew jobs and has generated $18.4 billion in direct revenue for our State. SB 144 ensures that our members can remain working in California and that more productions will be able to shoot here for decades to come."

For the full text of the bill, visit: http://leginfo.legislature.ca.gov.

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