Gavin Newsom Celebrates Expansion of Film Credit to $750 Million

Gov. Gavin Newsom traveled to a studio in Burbank on Wednesday to celebrate the expansion of the California film and TV tax credit to $750 million.

In brief remarks, Newsom noted that other states — including Texas, Louisiana and Georgia — have offered lucrative incentives to attract production, and that California needs to keep up.

“The world we invented is now competing against us,” he said. “We’ve got to step up our game.”

Noah Wyle, the star of “The Pitt,” took a break from filming nearby to join the event. The show received $12.2 million from the state film commission to film its first season in Los Angeles.

Wyle said the show benefits from local craftsmen, citing Rob Nary, the special effects coordinator, whose father and grandfather also worked in the same craft.

“You can build a soundstage in another state but you won’t get a Rob Nary that comes with it,” Wyle said. “This city has been growing talent for decades and decades…. It shows up in quality.”

Assemblyman Rick Chavez Zbur, D-Los Angeles, predicted that the effect of the expansion will be seen within weeks. The California Film Commission is set to open a round of credit applications on July 7.

Newsom signed a budget trailer bill that raises the cap on the program from $330 million to $750 million. A separate bill, AB 1138, remains pending in the Legislature that will make the incentive more lucrative and expand eligibility to animation, sitcoms and large-scale competition shows.

The California tax credit became “refundable” on Tuesday, as part of an extension approved in 2023. The provision allows companies that do not have state tax liability to get cash back. Some productions may have been holding off on applying for the program until that change took effect.