Newsom Signs Community NEWS Act for Local Journalism
The law creates refundable tax credits to help qualifying local news organizations employ journalists in California.
Updated on Nov. 4, 2026 in City Hall
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Governor Gavin Newsom signed the Community NEWS Act (AB 2222) into law on September 30, 2026. The measure establishes refundable employment tax credits for qualifying local news organizations, including commercially licensed broadcast radio and TV stations.
Why it matters
The law targets the financial strain on local news outlets by offering per-journalist credits tied to full-time, part-time, and newly created positions. Illinois, New York, and New Mexico have enacted similar employment-credit programs, and Maine is preparing a comparable proposal.
The credits are refundable and cover the 2027-2031 tax years, with $20,000 annually for each of the first five full-time journalists and $15,000 for each additional full-time journalist. The total fiscal cost and number of eligible organizations were not specified in the source material.
The players
Gavin Newsom
Gavin Newsom is the Governor of California who signed the Community NEWS Act into law.
Rebuild Local News
Rebuild Local News is a national nonprofit organization that sponsored AB 2222 and advocates for local journalism funding.
The details
Qualifying organizations must hold a station license, employ journalists who reside in and cover the area, disclose ownership, carry media liability insurance, and maintain editorial accountability policies. AB 2222 was sponsored by Rebuild Local News, a national nonprofit.
Timeline
September 30, 2026: Newsom signed the Community NEWS Act into law.
2027-2031: The credit program covers these tax years.
Legal Context
California's Community NEWS Act joins employment-credit programs enacted in Illinois, New York, and New Mexico, following a shared approach to supporting local newsrooms. Maine is preparing a similar proposal, suggesting the model may spread to additional states.
Local news organizations in California that employ full-time or part-time journalists may be able to claim refundable credits under the program for the 2027-2031 tax years. Eligibility requires meeting licensure, residency, disclosure, insurance, and editorial policy requirements.
The takeaway
The Community NEWS Act shows California adding its name to a growing group of states using tax credits to shore up local journalism. Readers interested in local news sustainability can track how the 2027-2031 credits are applied.
Further reading
Explore more City Hall coverage to see how state-level policy shapes local government decisions.
Source note: This article includes information reported by Radio & Television Business Report.
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Should state governments use tax credits to fund local news reporters?
