Assemblyman Mike Gatto, 43rd Assembly District

Assemblyman Raul Bocanegra, 39th Assembly District

AB 1839 – California Film and Television Job Retention and Promotion Act

Assembly Bill 1839, the California Film and Television Job Retention and Promotion Act, dramatically expands,
extends and improves the existing program. The new program more than triples the existing program, and it
ensures that credits are being awarded to projects which make substantive investments in California and in
California’s future.

Funding: Under AB 1839, funding for the program will be extended through FY 2019-20. The first year of
the new program will run concurrently to the last year of the existing program, for a total of
$330 million each year for five years. The breakdown is as follows:

FY 2015-16: $100 million old program (allocated under the old lottery system)
$230 million new program (allocated using the jobs rating system)

FYs 2016-17 through 2019-20: $330 million/year (allocated using the jobs ranking system)

Set Asides: Because the new program drastically increases the types of projects that can apply for the
credit, the new program identifies and sets aside “pots” of money so that no one project type
claims the entirety of the funding. Any money left unallocated from one pot will first be rolled
into the “new TV pilots and renewed television” pot, and then to any other pot as the California
Film Commission deems necessary. The set asides are as follows:

Independent films (5%) -- $11.5 million FY 2015-16, $16.5 million/yr thereafter
New TV pilots and renewed series (40%) -- $92 million FY 2015-16, $132 million/yr thereafter
Feature films (35%) -- $80.4 million FY 2015-16, $115 million/yr thereafter
Relocating productions from out of state (20%) -- $46 million FY 2015-16, $66 million/yr thereafter

Allocation: Under the new program, productions will be ranked for allocation preference according to a job
creation measure. The job creation measure will weigh a productions spend on qualified wages
against the credit that the film is eligible to receive. Any increases for outside of the Los
Angeles-zone spend will be not be counted against the credit amount. Should two productions
have the same ranking number, AB 1839 permits the California Film Commission to increase an
applicant’s ranking by up-to 25% for additional factors, including the amount of production and
postproduction spend in California, utilization of production facilities in California, and other
criteria measuring economic impact in California.

Jobs Ratio Ranking = Qualified Wages Paid to Qualified Individuals
Amount of Tax Credit

Questions? Contact:
Ben Golombek – Office of Assemblyman Raul Bocanegra: (916) 319-2039
Taylor Giroux – Office of Assemblyman Mike Gatto: (916) 319-2043

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