BlackRock in talks to buy private credit firm HPS, Bloomberg News reports
Oil prices steady on shrinking U.S. crude inventories
Troubled casino operator Star Entertainment falls on further earnings deterioration
Pacific leaders say collaboration needed in troubled New Caledonia
Canada alleges Indian minister Amit Shah behind plot to target Sikh separatists
Several corpses found in flood-hit areas of eastern Spain, official says
Patriots, Revolution celebrate Halloween with children who have cancer
Yankee Stadium fan ejected for prying ball out of Mookie Betts' glove at World Series
Freddie Freeman homers again for Dodgers early in Game 4 to set a pair of World Series records
Getty Images
Newsom wants to pump more money into California's film and TV tax breaks to boost Hollywood and create jobs.
The plan aims to increase funding for the program that's been raking in billions for the state since 2009. Research shows each tax credit dollar generates $24.40 in output, $16.14 in GDP, $8.60 in wages, and $1.07 in initial state and local taxes from California productions.
Officials say the program has churned out $26 billion and 197,000+ film jobs statewide since '09.
“Hollywood is the cornerstone of this city and our economy and our message to the industry today is clear – we have your back,” said Los Angeles Mayor Karen Bass.
The governor's team says they're swamped with more production requests than they can handle under current limits. From 2020 to 2024, California bled production money to other states and countries that offered better deals.
"California is the entertainment capital of the world, rooted in decades of creativity, innovation, and unparalleled talent. Expanding this program will help keep production here at home, generate thousands of good-paying jobs, and strengthen the vital link between our communities and the state’s iconic film and TV industry," Newsom said.
An estimated 71% of rejected projects subsequently filmed out-of-state in recent years, resulting in significant economic losses for California, officials reported.
The proposed expansion includes making tax credits refundable for the first time since the program's inception, beginning with Program 4.0 set to start July 1, 2025. This change aims to make the incentives more attractive to productions.
They've tweaked the program before, adding diversity rules, more training cash, and even a safety program for film sets.
Hollywood's a cash cow for California, creating tons of jobs and filling local business coffers. Supporters say boosting tax breaks is crucial to keep California in the game against other spots luring filmmakers with sweet deals.
Some folks argue these tax breaks just rob Peter to pay Paul and might not pay off in the long run.
The plan's got to jump through some hoops in Sacramento before anything changes. Expect some heated debates as lawmakers chew over the pros and cons of Newsom's idea.
Film industry experts reckon this could make or break California's future as the world's movie-making capital.
