A bill to subsidize post-production in California cleared a hurdle in the state Senate on Thursday, while a separate measure to fund commercial production died.
The post-production bill, AB 2319, would create a new 35%-50% refundable tax credit for film and TV editing and VFX work. The Motion Picture Editors Guild and the California Post Alliance have been pushing for the bill, arguing that California is losing jobs to other states and countries that provide their own subsidies.
The bill cleared the Senate Appropriations Committee on a 5-1 vote, and next heads to the Senate floor. Assuming the bill passes, it would still require funding. Advocates are hoping for $100 million that would come through a separate budget trailer bill. The legislation faces an Aug. 31 deadline.
Meanwhile, a bill to create a new $15 million subsidy for commercial production was held in the committee, and will not advance this year. That bill, AB 2403, would have allowed commercial producers to recoup 20%-30% of eligible costs.
California expanded its primary tax incentive for film and TV production to $750 million last year, and expanded it to include half-hour shows, animation and large-scale competition shows. That expansion, led by Gov. Gavin Newsom, more than doubled the state program in response to a dramatic downturn in production jobs.
