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Senate approves expansion of film and TV tax credit, urging immediate effect
Summary
The California State Senate voted to pass Assembly Bill 1138, which expands the state's film and television tax credit program to encourage production, add new eligible production types and strengthen diversity and hiring reporting. The measure passed on an urgency vote requiring 27 votes.
SACRAMENTO — The California State Senate on Friday approved Assembly Bill 1138, a measure to expand and modernize the state's film and television tax credit program, voting the bill out on an urgency vote so it could take effect immediately.
Senator Ben Allen, who presented AB 1138 on the Senate floor, said the bill “expands and modernizes the film and TV tax credit program to increase production and increase needed jobs for our workers in the entertainment industry,” and framed the measure as building on funding recently approved in related legislation.
The bill drew floor debate over whether the state should use incentives to retain film production. Senator Niello spoke in opposition, citing a Legislative Analyst's Office finding that “there is currently no compelling evidence to suggest that film tax credits have a positive effect on the size of the state's economy overall” and warning about the opportunity cost of dedicating state resources to transient production activity.
Supporters said the…
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