{"id":2436071,"date":"2025-05-18T04:27:02","date_gmt":"2025-05-18T08:27:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/hollywood-gets-tax-credit-lifeline-despite-california-budget-woes\/"},"modified":"2025-05-18T04:28:58","modified_gmt":"2025-05-18T08:28:58","slug":"hollywood-gets-tax-credit-lifeline-despite-california-budget-woes","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/hollywood-gets-tax-credit-lifeline-despite-california-budget-woes\/","title":{"rendered":"Hollywood gets tax credit lifeline despite California budget woes"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fhollywood-gets-tax-credit-lifeline-despite-california-budget-woes%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2436071&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The article discusses California Governor Gavin Newsom&#8217;s proposal to allocate over $750 million annually in tax credits to Hollywood, despite facing a $12 billion budget deficit that necessitates cuts to healthcare services. This financial support for the film and TV industry is framed as part of an effort to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/stimulus-update-five-states-to-send-out-one-time-direct-payments-in-august-2023\/\" title=\"August 2023: Five ...s to distribute one-time direct payments as stimulus update.\">stimulate economic recovery<\/a> in the state, notably after the industry suffered due to the pandemic and other challenges. Critics, including lawmakers from both parties, have expressed frustration with this decision, arguing that it prioritizes Hollywood over crucial services like healthcare, education, and support for seniors and disabled residents. Some have accused Newsom of using the budget shortfall as a scapegoat while engaging in reckless spending. newsom&#8217;s approach to Hollywood funding comes at a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/hillary-clintons-columbia-students-walk-out-of-class-in-anti-israel-protest\/\" title=\"Columbia students walk out of class in anti-Israel protest led by Hillary Clinton.\">politically charged time<\/a>, as he is seen as a potential candidate for the 2028 presidential election.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">Hollywood gets millions in tax credits despite Newsom&rsquo;s $12 billion black hole<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_2121628\" class=\"tpd-featured-video bridtv\"><\/div>\n<p>Gov. <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/gavin-newsom\/\" target=\"_blank\" rel=\"noopener\" title=\"Gavin Newsom\">Gavin Newsom<\/a> (D-CA) spent the last week blaming <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/donald-trump\/\" target=\"_blank\" rel=\"noopener\" title=\"President Donald Trump\">President Donald Trump<\/a> for a $12 billion budget deficit that led to tough cuts in the state&rsquo;s healthcare services, but he had no qualms about carving out more than $750 million a year in tax credits for Hollywood.<\/p>\n<p>The money is for the expansion of the state&rsquo;s investment in film and TV tax credits, which&nbsp;were first instituted in 2009 by then-Gov. Arnold Schwarzenegger to boost the industry. California&rsquo;s <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/taxes\/\" target=\"_blank\" rel=\"noopener\" title=\"tax credit\">tax credit<\/a> was created in response to other states luring production companies away. As of 2024, 37 states had similar&nbsp;incentives. New York raised its incentives to $800 million a year from $700 million last week, while Georgia has an <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/newsom-proposes-750-million-hollywood-tax-credit-increase-washington-examiner\/\" title=\"Newsom proposes ...50 million ... ... increase - Washington Examiner\">unlimited tax credit<\/a>, which it proudly touts.<\/p>\n<div class=\"recommended-stories\">\n<h2>Recommended Stories<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/entertainment\/3413814\/dhs-denies-kristi-noem-reality-tv-show-migrants-collaboration\/\">DHS denies that Noem is collaborating on migrant reality TV show<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/premium\/3410220\/mad-men-jon-hamm-new-show-apple-tv-your-friends-and-neighbors\/\">Jon Hamm 10 years after Don Draper<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/premium\/3409365\/david-mamet-henry-johnson-review\/\">A new Mamet film at last<\/a><\/li>\n<\/ul>\n<\/div>\n<div class=\"article-paywall\">\n<p>&ldquo;Our state leadership has sent a clear statement, literally across the world, that Georgia strongly supports the film industry,&rdquo; said Kelsey Moore, executive director of the Georgia Screen Entertainment Coalition.<\/p>\n<figure class=\"wp-block-image size-full\"><figcaption class=\"wp-element-caption\">Gov. Gavin Newsom (D-CA) presents his revised state budget during a news conference in Sacramento, California, on Wednesday, May 14, 2025. (Photo\/Rich Pedroncelli)<\/figcaption><\/figure>\n<p>If Newsom&rsquo;s budget is passed as is, the state will allocate up to $750 million each year, more than double its current $330 million offer.&nbsp;<\/p>\n<p>The move is a staggering one for Newsom, an early 2028 Democratic presidential contender. <\/p>\n<p>He initially said any big funding requests from Los Angeles would be denied due to the tremendous cost from the wildfires earlier this year, but he seemed to change his mind.&nbsp;On Wednesday, when he rolled&nbsp;out his&nbsp;2025-26 proposed budget, Newsom claimed the film and TV industry was &ldquo;on life support&rdquo; and that helping Hollywood would, in turn, help the state&rsquo;s &ldquo;economic recovery, economic growth.&rdquo;<\/p>\n<p>To be sure, Hollywood has suffered. The pandemic shut down production, writers went on strike, and incentives from other states and countries to bring production there have led to a drop-off in production in Los Angeles.&nbsp;<\/p>\n<p>Still, the push to prop up the industry might be a tough pill to swallow for Californians, whose healthcare will be slashed under Newsom&rsquo;s budget, despite a promise just a year ago to deliver &ldquo;universal healthcare for all,&rdquo; regardless of immigration status.<\/p>\n<p>Fact sheets on the healthcare proposal provided by his office this week said he would freeze enrollment in his 2025-26 budget for &ldquo;undocumented adults&rdquo; to receive the full scope of the state&rsquo;s Medicaid program. The changes would apply only to new applicants over 19 years old. Existing enrollees would not be kicked off their plans, and the freeze would not apply to people enrolled in limited plans, such as ones that specifically cover emergency or pregnancy services. The freeze would begin next year.&nbsp;<\/p>\n<p>Newsom also plans to cut spending for a program providing in-home domestic and <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/scotus-blocks-california-restriction-that-limits-in-home-religious-gatherings\/\" title=\"SCOTUS Blocks ... Restriction That Limits In-Home Religious Gatherings\">personal care services<\/a> for some low-income residents and Californians with disabilities by capping workers&rsquo; overtime and limiting travel hours at 50 hours per week.&nbsp;<\/p>\n<p>Newsom&rsquo;s embrace of Hollywood has not landed well with lawmakers from both parties.&nbsp;<\/p>\n<p>Assembly Republican leader James Gallagher called the governor&rsquo;s proposal &ldquo;tone-deaf.&rdquo;<\/p>\n<p>He also called Newsom&rsquo;s blaming of Trump for the state&rsquo;s woes, which he did a lot, &ldquo;crap.&rdquo;<\/p>\n<p>&ldquo;Newsom&rsquo;s finger-pointing on the budget shortfall is the biggest load of crap I&rsquo;ve ever seen from a politician, and he shovels out a lot of it,&rdquo; Gallagher said.&nbsp;&ldquo;We&rsquo;re in this mess because of his reckless spending, false promises, and failed leadership.&rdquo;<\/p>\n<p>Assemblyman Corey Jackson, a Democrat, also expressed frustration over the Hollywood&nbsp;handout.&nbsp;<\/p>\n<p>&ldquo;I&rsquo;m not sure the rest of California will be OK with their senior programs, their disability programs, their education programs being cut in order to prop up a regional industry,&rdquo; Jackson <a href=\"https:\/\/calmatters.org\/politics\/2025\/05\/california-film-tax-credit-gavin-newsom-hollywood\/\" target=\"_blank\" rel=\"noopener\" title=\"told\">told<\/a> <em>CalMatters<\/em>.&nbsp;<\/p>\n<p><strong><a href=\"https:\/\/www.washingtonexaminer.com\/news\/3411019\/newsom-roll-back-healthcare-illegal-immigrants-blames-trump\/\" target=\"_blank\" rel=\"noopener\" title=\"NEWSOM TO ROLL BACK HEALTHCARE FOR ILLEGAL IMMIGRANTS AS HE BLAMES 'TRUMP SLUMP' FOR $12 BILLION DEFICIT \">NEWSOM TO ROLL BACK HEALTHCARE FOR ILLEGAL IMMIGRANTS AS HE BLAMES &lsquo;TRUMP SLUMP&rsquo; FOR $12 BILLION DEFICIT <\/a><\/strong><\/p>\n<p>Earlier this month, Trump announced a 100% tariff&nbsp;on films&nbsp;produced overseas. Newsom allegedly reached out to the White House in hopes of working together on a $7.<a href=\"https:\/\/amzn.to\/3YuVZYV\" >5 billion federal tax incentive<\/a> to keep more TV and film productions in the United States.<\/p>\n<p>Other California lawmakers, such as Sen. Adam Schiff (D-CA) and Rep. Laura Friedman (D-CA), have also advocated a national program to put the U.S. on equal footing with other countries.<\/p>\n<\/div>\n<p> <script data-cfasync=\"false\" src=\"http:\/\/www.washingtonexaminer.com\/cdn-cgi\/scripts\/5c5dd728\/cloudflare-static\/email-decode.min.js\"><\/script><script>!function(){var g=window;g.googletag=g.googletag||{},g.googletag.cmd=g.googletag.cmd||[],g.googletag.cmd.push(function(){g.googletag.pubads().setTargeting(\"has-featured-video\",\"true\")})}();<\/script><script>var _bp=_bp||[];_bp.push({\"div\":\"Brid_2121628\",\"obj\":{\"id\":\"27789\",\"width\":\"1280\",\"height\":\"720\",\"stickyDirection\":\"below\",\"video\":\"2121628\"}});<\/script><script defer src=\"https:\/\/services.brid.tv\/player\/build\/brid.min.js\"><\/script><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Hollywood receives $750 million in tax credits despite Newsom&#8217;s $12 billion deficit<\/p>\n","protected":false},"author":2646,"featured_media":2436072,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2025\/05\/Newsom-budget.webp","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[55470,4045,38152,4361,33054],"class_list":["post-2436071","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-budget-woes","tag-california","tag-film-industry","tag-hollywood","tag-tax-credit"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2025\/05\/Newsom-budget.webp","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2436071","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2646"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2436071"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2436071\/revisions"}],"predecessor-version":[{"id":2436075,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2436071\/revisions\/2436075"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2436072"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2436071"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2436071"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2436071"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}