Addressing the Crisis in Community News in California
Our plan is to build on California’s original local news deal with Google, increasing the fund to $125 million per year by requiring Meta and Amazon to contribute their fair share
Key Goals
- Maintain the initial levels of support already agreed to by Google and California (including the public-private match requirements)
- Expand the size of the program, by getting other technology companies to pay their fair share
- Focus on retaining and hiring local reporters, including through small and ethnic outlets, and broadcasters
- Maintain editorial independence and stability for local news outlets
Distributing Support
- Support should mostly be tied to the number of local reporters
- Assure that small newsrooms are adequately supported, through a higher per capita benefit level for smaller newsrooms and new hires
- Include radio and TV local news (public and commercial)
Financing the Program
- Increase the program’s size to $125 million per year by increasing the number of technology companies that contribute. To do this, the legislature would…
- Assess a small fee on the largest tech companies that don’t contribute
- Cap the amount that any given company would have to pay in a year
- Keep the $30 million state commitment in year 1, grow that in future years (still a modest commitment compared to the $750 million film production tax credit)
Protecting News Outlets from Political Interference
- Mechanisms should be established to ensure that elected officials can’t favor or punish outlets based on content. This could be a refundable tax credit for employment paid for by a dedicated revenue stream outside the appropriation process, or putting the $30M in the Governor’s 2025 budget into escrow so the program would be “forward funded.”