Gov. Newsom Signs Nation's Most Ambitious Law to Strengthen Community News

On Sept. 30, Governor Gavin Newsom signed the historic Community NEWS Act (AB 2222) into law, a measure to help California local news providers of all kinds sustain and expand the coverage communities need to stay informed and civically engaged. The law is projected to direct more than $200 million over five years to local news outlets that hire or retain local journalists, making it the largest state investment for community news in the U.S. by total dollars and creating a model for the rest of the country.

In a statement, Gov. Newsom said, “California is supporting independent journalism. By signing this bill, we are signaling the profound role journalists play to cover essential issues like local schools, city halls, courts, public safety agencies, businesses, and neighborhoods. A free press isn’t supposed to make government comfortable. It’s supposed to make government accountable.”

The Community Newsroom Employment and Workforce Sustainability Act (the Community NEWS Act) was sponsored by Rebuild Local News and introduced by Assemblymember Christopher M. Ward and jointly authored by Assemblymember Buffy Wicks, with Senator Jerry McNerney and Assemblymembers Josh Lowenthal, Tina McKinnor and Sharon Quirk-Silva joining as coauthors. The law creates refundable tax credits for local news organizations based on the number of journalists they employ.

The credits are applied based on the number of local journalists employed and administered in a nonpartisan, First Amendment-friendly manner. Funds for eligible news outlets are likely to arrive sometime in 2028 and cover journalist employment in tax years beginning January 1, 2027.

AB 2222 is based on Rebuild Local’s model legislation for local journalist employment credits and provides:

• $20,000 per journalist for up to five full-time positions each year, plus $15,000 for each additional journalist
• $15,000 for new hires, stackable on top of the retention credits
• $7,500 credits for part-time journalist roles

More details about eligibility and other standards are available here.

The law is funded by eliminating the corporate tax deductibility of executive compensation over $1 million. New research finds that it could also help save California local governments and taxpayers an estimated $47.6 million a year in borrowing costs.

The Community NEWS Act has been praised as a breakthrough approach to supporting local journalists regardless of medium or business model and attracted a historic coalition of supporters from every corner of the local news industry. All kinds of community news providers – print, digital, and broadcast including public media – are eligible for the tax credits, whether a for-profit business, a 501(c)(3) nonprofit or a sole proprietorship.

The law includes enhanced benefits for the smallest community newsrooms and outlets creating new journalist jobs, plus eligibility for startups in their second year.

The Community NEWS Act includes firewalls against political influence, excluding outlets that are controlled by political action committees or dark money groups, plus a number of other safeguards. Eligibility for the tax credits does not involve government review of editorial content and instead relies on objective criteria.

“This is a historic step – a recognition that the collapse of community news is severely harming communities, and something significant must be done about it,” said Steven Waldman, president of Rebuild Local News. “We thank Gov. Newsom – who has done so much to confront the local news crisis – as well as Assemblymembers Ward and Wicks, Sen. McNerny and the hundreds of news organizations that made their voices heard. This is a bold move but also funded in a fiscally responsible way, by closing a tax loophole on executive compensation above $1 million. We’ll work with legislators and the next administration to ensure that this program effectively serves communities and pursue improvements over time to achieve that central goal. We also thank the residents of California. We are grateful. The local news community will strive to use this support to serve their communities better and better. ”

Since 2002, the United States has lost more than 81 percent of its local journalists, including more than 12,000 local journalists in California. The state ranks among the 10 worst states for the number of journalists per 100,000 residents, with 37 counties — home to 30.5 million people — falling below the national average for local reporting capacity.

The Community NEWS Act drew significant support throughout the legislature, advancing out of both chambers with supermajority votes. California Attorney General Rob Bonta voiced his support for the bill, affirming that every community deserves access to quality local news.

Before Gov. Newsom signed the bill, AB 2222 was backed by one of the largest local news coalitions ever assembled, uniting more than 150 national and state organizations, including journalism support organizations, labor unions, independent and nonprofit publishers, ethnic media, university journalism leaders, and state press associations.

Rebuild Local News looks forward to working with state officials on implementation of the new law in the months ahead.

Praise for the Community NEWS Act

“As someone who leads a small newsroom in the Inland Empire and who employs two full time journalists and two part time editors to serve our growing Black communities, this tax credit would be a monumental lift to our small business, and of course the hundreds of ethnic serving news organizations like ours,” said Paulette Brown-Hinds, publisher of Black Voice News and chair of the Rebuild Local News Board of Directors.

“Governor Newsom’s signature is important, impactful and historically significant. It’s a start toward matching the level of support for the free press that originally came from our nation’s founders who, among other things, subsidized postal rates for news providers. In the coming years, we must continue our work in California and across the nation to increase the level of support that will stabilize and grow local community news,” said former California Sen. Steven Glazer, who is a senior advisor for Rebuild Local News.

“California has created a nation-leading roadmap for how state governments can support community news in a way that’s nonpartisan, future-friendly and doesn’t compromise press independence. The Community NEWS Act creates a more favorable environment for expanding news coverage for our communities and will multiply the impact of California’s existing Civic Media Program and Local News Fellowship programs. There is much work to be done, but the future is bright,” said Matt Pearce, director of policy at Rebuild Local News, who was previously a staff writer for the Los Angeles Times and president of Media Guild of the West.

“Gov. Newsom’s signing of the Community NEWS Act is a huge win for the quality journalism needed to build a healthy, informed society. Thank you Governor Newsom, Assemblymember Chris Ward, and AB 2222’s allies in the California Legislature for making the policy changes necessary to ensure continued access to the news and information that keeps our democracy thriving,” said Sean Astin, president of SAG-AFTRA.

“This California win for journalism funding is a win for the public’s right to know. It is an important step forward for our state’s 250+ independent news outlets to begin to build back what has been lost over the last 15 years. The public must have vision into the workings of our government and the tools and information to elect and direct those who serve us in office. California Independent News Alliance thanks Gov. Newsom, the CA legislature, and all of the advocacy groups, news organizations and readers who helped realize this vital legislation,” said Laura Ward, founder of the California Independent News Alliance and publisher of the Ojai Valley News.

“For California, with the nation’s largest immigrant population and highest concentration of Limited English Proficient (LEP) households, the law will help sustain ethnic media outlets that serve as an essential bridge, providing crucial services ranging from translations of emergency evacuation orders to helping dispel dangerous mis- and dis-information or covering local school board meetings. We thank Gov. Newsom for recognizing that local journalism is essential civic infrastructure,” said Julian Do, co-director of American Community Media.

“I am extremely grateful that Governor Newsom stood up for a free press at a time when journalism is under attack, including at the federal level. His signing of AB 2222 sends a powerful message that California understands the essential role of the Fourth Estate in our democracy. Today, California demonstrated that protecting journalism is protecting democracy,” said Regina Brown Wilson, executive director of California Black Media.

“Access to reliable news and quality journalism has been increasingly under attack in recent years, and Gov. Newsom’s signing of AB 2222 is a substantial victory for the future of the journalism profession and Californians’ ability to know what’s happening in their communities and their state. The Community NEWS Act not only means more jobs for local journalists, it means a more informed public and a stronger democracy. Thank you, Governor Newsom and Assemblymember Chris Ward for shepherding this bill across the finish line,” said Duncan Crabtree-Ireland, National Executive Director & Chief Negotiator of SAG-AFTRA.

“The Institute for Nonprofit News has listened to our California member newsrooms and determined with them that AB 2222 will go a long way towards strengthening information ecosystems across the state. Stronger newsrooms, a public informed by facts. Californians need and deserve verified community news and accurate reporting. This new law will bring more capacity to INN members and independent newsrooms deeply committed to public service journalism,” said Karen Rundlet, CEO and executive director of the Institute for Nonprofit News.

“LION is happy to see Governor Newsom affirmed his support for California’s local journalism by signing AB 2222. We believe AB 2222 will provide meaningful support for local journalism throughout the state and help publishers achieve financial sustainability to continue doing their important work,” said Chuck Corra, associate director of policy and advocacy for LION Publishers.

“The News/Media Alliance applauds Governor Newsom for signing AB 2222, the Community NEWS Act, into law. This law creates a common-sense model to support the sustainability of journalism in California, and its greatest strength is that it is ‘news neutral,’ covering the full, diverse scope of news media within the state. This breadth is why it was supported by an unprecedented coalition of over 180 state and national news organizations, and demonstrates a successful proof-of-concept that legislators in other states should follow as they consider how best to support local journalism,” said Danielle Coffey, president and CEO of the News/Media Alliance.  

“This is among the most significant investments any state has made in the people who do the actual work of journalism. By tying dollars to working journalists in California, this law helps remedy the crisis of declining news coverage by putting newsroom jobs at the center of the solution,” said Annie Sciacca, president of the Pacific Media Workers Guild local of The NewsGuild-CWA.

“The governor clinched his place in civic media history with his broad support in recent years of local news, a public good that’s a lot like libraries and schools in that they educate and inform us, and play a critical role in a healthy democracy. Journalists engage people in issues that affect them and provide a consistent stream of fact-checked information to counter propaganda, myths and fake information online and elsewhere. This law represents a major step in ensuring newsrooms can continue this vital work,” said Julie Patel Liss, head of journalism at Cal State LA and advisory board member of Asian American Journalists Association – Los Angeles.

“After years of devastating cuts, the passage of AB 2222 represents a much-needed lifeline for newsrooms across California. Real journalism requires real journalists, and AB 2222 will help maintain and expand local newsrooms and ensure that local journalists play a vital role within our communities,” said Sean Emery, president of the Media Guild of the West local union of The NewsGuild-CWA.

“The California Broadcasters Association appreciates Governor Newsom signing AB 2222 and recognizing the importance of strong local journalism. California’s local broadcasters remain one of the most trusted and accessible sources of news and information in their communities, and this legislation will help stations continue investing in the journalists who do that work,” said Steve Stuck, president/CEO of the California Broadcasters Association.

“AB 2222 represents a historic investment in the future of local news. Together with the California Local News Fellowship, the Civic Media Program and the Propel Initiative—our collaboration with California Black Media, American Community Media and the Latino Media Collaborative—it builds on the state’s efforts to strengthen a more equitable local news ecosystem. We’re deeply grateful for Governor Newsom’s affirmation of just how essential local news is to the health of our communities and our democracy,” said Martin G. Reynolds, Co-Executive Director of the Robert C. Maynard Institute for Journalism Education.

“With the Community NEWS Act now law, California has taken a meaningful step toward sustaining local reporters and outlets, including in communities that national media may overlook. This support for nonprofit newsrooms, particularly start-ups and individual reporters, will go a long way toward helping small newsrooms gather and report the news and adapt to how people find and use information today. We hope this becomes a success story for other states to follow,” said Morgan Wilsmann, Policy Analyst, Public Knowledge.

“The Media and Democracy Project is delighted that California will implement this program which will support employment of local journalists throughout the state. Local journalism holds the government accountable and ultimately more than pays the community back by reducing corruption and local government borrowing costs. But more importantly, it is essential for a well-functioning democracy and building a sense of community,” said Jonathan Reiss, Associate Director, The Media and Democracy Project.

“Unlike Trump who kicks journalists out of rooms, Governor Gavin Newsom boosts and embraces the importance of local journalism. His signature of Assembly Bill 2222, the Community NEWS Act, marks a landmark achievement for equity and community journalism throughout California. Faced with the severe economic hardships confronting local outlets, particularly Latino and ethnic media, AB 2222 addresses this crisis directly by establishing targeted payroll tax credits designed to preserve and expand journalism positions. We applaud Governor Newsom, the Legislature and Assemblymember Ward for championing California’s local journalists and news media ecosystem,” said Arturo Carmona, president of Latino Media Collaborative.

Full List of Supporters

CALIFORNIA

• California Black Media
• Latino Media Collaborative
• American Community Media
• California Independent News Alliance
• California News Publishers Association
• California Broadcasters Association
• Media Guild of the West of The NewsGuild-CWA
• CalMatters
• La Opinion
• Journalism Chairs of the Cal State University System
• San Francisco Chronicle
• Pacific Media Workers Guild of The NewsGuild‑CWA
• Black Voice News (Riverside)
• KQED
• The Sacramento Observer
• LAist
• Lookout Santa Cruz
• Coastside News Group (Half Moon Bay Review and Pacifica Tribune)
• CCNMA Latino Journalists of California
• Embarcadero Media Foundation
• Cityside (Berkeleyside, Richmondside, Oaklandside)
• The LA Local
• NABET-CWA Local 51
• KVCR Public Media
• KPBS
• PBS KVIE / Abridged
• SPJ, Greater LA Pro Chapter
• Robert C. Maynard Institute for Journalism Education
• The Center for Investigative Reporting (San Francisco)
• El Popular Bakersfield
• Northern California Public Media
• The Riverside Record
• BenitoLink
• Los Angeles Public Press
• Coastal View News (Carpenteria)
• Santa Clara Weekly
• EdSource
• Los Angeles Press Club
• Santa Barbara Independent
• La Nueva Voz (Pomona)
• Coachella Valley Independent
• Ventura County Sun
• Point Reyes Light
• Lake County News
• Ojai Valley News
• Needles Desert-Star
• Mariposa Gazette
• Alameda Post
• Boyle Heights Beat
• Long Beach Post
• Slavic Sacramento
• India Currents (Silicon Valley)
• J. The Jewish News of Northern California
• Nowruz Media (Bay Area)
• Tahoe Tribune
• Sierra Sun (North Lake Tahoe)
• Oakland Voices
• Silicon Valley Voice
• Capital & Main
• Palo Verde Valley Times
• Punjabi Radio (San Jose)
• Imperial Valley Press (El Centro)
• Napa Valley Register
• Healdsburg Tribune
• KRML Radio (Carmel)
• Pacific Sun (Marin)
• Institute for Media and Public Trust (Fresno)
• LA Reporting Collective
• KBIF 900
• Fullerton Observer
• Good Times Weekly (Santa Cruz)
• Tri-City Voice (Fremont, Newark and Union City)
• White Ash Broadcasting, Inc (Valley Public Radio)
• Bay Area Reporter
• The Ark (Belvedere)
• Weeklys Media Group
• Media Alliance
• The Mendocino Voice
• Golden State
• Asian American Journalists Association of Los Angeles
• Mineral King Publishing
• Impulso Newspaper (LA)
• Marquee Broadcasting West – Redwood News
• UsK-News
• Kiosko News (LA)
• Nevada City Community Broadcasters Group
• San Jose Spotlight
• Broke-Ass Stuart (Bay Area)
• Central Valley Journalism Collaborative
• Shafter-Wasco Publishing
• Shasta Scout
• El Nuevo Sol (Northridge)
• San Francisco Public Press
• Bay City News
• Santa Barbara News-Press
• Pasadena Outlook
• Glendale News Press
• Burbank Leader
• KWMR
• Mission Local (San Francisco)
• News for Chinese (San Jose)
• US News Express (Los Angeles County)
• HHTV
• Tehran Magazine (Los Angeles)
• Radio Korea (Los Angeles)
• Little Saigon TV (Los Angeles, San Jose)
• Nguoi Viet Daily News (Westminster)
• Indian Voices/Indigenous Network (San Diego)
• ChicoSol
• Hispanic LA
• Pacifika By Design (Sacramento)
• KXO AM, KXO-FM and KXORADIO.COM (Imperial County)
• Russian California / RusCali (RusCali.com)
• El Informador del Valle (Indio)

NATIONAL

• Rebuild Local News
• SAG‑AFTRA
• National Newspaper Association
• National Association of Broadcasters
• Communication Workers of America
• National Newspaper Publishers Association | Black Press of America
• National Association of Hispanic Publications
• Public Media Company
• Institute for Nonprofit News
• Local Independent Online News Publishers
• News/Media Alliance
• The NewsGuild-CWA
• Society of Professional Journalists
• Report for America
• American Journalism Project
• America’s Newspapers
• Bonneville International (TV, Radio)
• PEN America
• National Trust for Local News
• Solutions Journalism Network
• Association of Alternative Newsmedia
• Spanish Broadcasting System, inc.
• Public Knowledge
• Freedom of the Press Foundation
• Military Veterans in Journalism
• Trusting News
• MindSite News
• The Media and Democracy Project
• Media Action Center
• Public Media Venture Group
• Times Media Group
• Arizona Media Association
• Arkansas Press Association
• California News Publishers Association
• Colorado Press Association
• Connecticut Daily Newspaper Association
• MDDC Press Association
• Florida Press Association
• Newspaper Association of Idaho
• Illinois Press Association
• Hoosier State Press Association
• Iowa Newspaper Association
• Kansas Press Association
• Kentucky Press Association
• Louisiana Press Association
• Maine Press Association
• Massachusetts Newspaper Publishers Association
• Minnesota Newspaper Association
• Mississippi Press Association
• Missouri Press Association
• Montana Newspaper Association
• Nebraska Press Association
• Nevada Press Association
• New Jersey Press Association
• New Mexico Press Association
• New York News Publishers Association
• North Carolina Press Association
• North Dakota Newspaper Association
• Ohio News Media Association
• Oklahoma Press Association
• Oregon Newspaper Publishers Association
• Pennsylvania NewsMedia Association
• Rhode Island Press Association
• South Carolina Press Association
• Tennessee Press Association
• Texas Press Association
• Utah Press Association
• Vermont Press Association
• Virginia Press Association
• Washington Newspaper Publishers Association
• Wisconsin NewsMedia Association

Rebuild Local News is the leading nonpartisan, nonprofit coalition developing and advancing effective public policies designed to strengthen community news and information. Our broad-based organization brings together the largest alliance of local publishers, labor unions, civic organizations and newsrooms representing both rural and urban communities. Together, these 56 organizations represent over 3,000 newsrooms and 15,000 journalists working together to revive local news.

For any questions or media inquiries, please contact our marketing and communications manager, Ray Garcia, at raygarcia@rebuildlocalnews.org.