Legislation to expand and extend production incentives to about $400 million a year from the current $100 million annually clears Senate Appropriations Committee.
Legislation to expand and extend California's TV and film tax credit incentives passed the Senate Appropriations Committee on Thursday by a five to zero vote, according to a report by The Hollywood Reporter.
Looking to compete more effectively, the state of California wants to more than quadruple its annual funding for incentives to retain and attract movie and TV productions to about $400 million a year from the current $100 million annually.
The bill, AB1839, includes amendments that order applicants be ranked according to net new jobs created and overall positive and sustained economic impacts for the entire State.
“One of California’s most important and iconic industries has been the film and television industry. Hollywood is synonymous with that industry," Sen. Kevin de León (D-Los Angeles), chair of the Appropriations Committee said in a statement, “but in the past decade that industry has been cannibalized by other states and countries that have poached tens of thousands of California jobs with lucrative financial incentives. To halt that steady outward march of jobs and creativity, California must have a robust, smart, and efficient tax incentive program of our own -- a tax incentive program that guarantees job growth and economic expansion, coupled with strong accountability and transparency measures.”
Jennifer Wolfe is Director of News & Content at Animation World Network.