New California Law Aims to Strengthen Local Journalism
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-Editorial
California has enacted legislation creating refundable tax credits for qualifying news organizations that employ journalists, establishing a state program intended to support existing newsroom jobs and encourage new hires.
Assembly Bill 2222, known as the Community Newsroom Employment and Workforce Sustainability Act, or Community NEWS Act, was authored by Assemblymembers Chris Ward, D-San Diego, and Buffy Wicks, D-Oakland. Gov. Gavin Newsom signed the measure into law.
The tax credits will be available for taxable years beginning Jan. 1, 2027, through the end of 2031 and will be tied to the employment of qualifying journalists in California. The program is designed to support both existing newsroom positions and newly created journalism jobs.
The law applies to qualifying print, digital, and broadcast news organizations that meet specified requirements. Participating organizations must maintain editorial standards, including a publicly available policy for correcting errors and issuing clarifications. Organizations controlled by political organizations or certain social welfare entities are excluded from eligibility.
Newsom said the legislation recognizes the role local journalists play in covering schools, local governments, courts, public safety agencies, businesses and communities. He cited the Los Angeles Times’ investigation into corruption in the city of Bell as an example of journalism’s role in government accountability.
“No one would have known had it not been for local journalism,” Newsom said.
He also said, “A free press isn’t supposed to make government comfortable. It’s supposed to make government accountable.”
Danielle Coffey, president and CEO of the News/Media Alliance, praised the legislation following its signing.
“The News/Media Alliance applauds Governor Newsom for signing AB 2222, the Community NEWS Act, into law. This law creates a common-sense model to support the sustainability of journalism in California, and its greatest strength is that it is ‘news neutral,’ covering the full, diverse scope of news media within the state. This breadth is why it was supported by an unprecedented coalition of over 180 state and national news organizations, and demonstrates a successful proof-of-concept that legislators in other states should follow as they consider how best to support local journalism,” Coffey said.
The legislation received support from a coalition that included state press associations, journalism organizations, independent and nonprofit publishers, identity-based media organizations, labor unions, university journalism leaders and national industry groups.
More than 180 local, state and national organizations joined in letters urging Newsom to sign the legislation, while California media outlets also published advertisements supporting the measure.
The Community NEWS Act takes effect for qualifying tax credits beginning in 2027, providing a new state funding mechanism tied directly to journalism employment in California.
