Assembly approves urgency measure to modernize film and television tax credit program

5134066 · July 3, 2025

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Summary

On June 4, 2025, the California Assembly concurred with Senate amendments to AB 1138, a major package to modernize the state's film and television tax credit program; the urgency measure passed 65–1 and will be sent immediately to the governor.

The California State Assembly on Wednesday voted 65–1 to concur in Senate amendments to Assembly Bill 1138, an urgency measure updating the state's film and television tax credit program.

Assemblymember Zivre, the bill's author, said the bill is intended to "revitaliz[e] our entertainment industry by modernizing the California film and television tax credit program." In floor remarks Zivre stated that the earlier expansion under SB 132 increased the tax credit to $750,000,000 and described AB 1138 as "the necessary companion to that funding." The Assembly recorded 65 ayes and 1 no on the urgency question; the clerk noted the concurrence and ordered immediate transmittal to the governor.

Supporters on the floor framed the bill as a response to production leaving California and sought to emphasize statewide economic benefits and worker protections. Assemblymember Gibson said the measure "is absolutely a game changer" and urged a strong aye vote, describing the bill as bringing jobs and training opportunities across the state. Assemblymember Colosa, a coauthor, said the bill "is to fulfill the promise of what this entertainment industry means to so many people" and underscored worker‑focused provisions.

During remarks the author credited a coalition of labor, industry, small businesses and state officials; the bill includes provisions to pair tax credit funding with incentives aimed at trainees from underrepresented communities, while preserving existing union jobs, according to floor comments.

Because AB 1138 carried an urgency clause, the roll call required 54 votes for adoption of the urgency measure; the Assembly recorded 65 ayes and 1 no. The clerk announced concurrence in the Senate amendments and immediate transmittal to the governor.