A California state legislative bill that has received little attention has significant implications for news publishers and consumers. AB 886, the California Journalism Preservation Act, has passed the Assembly and is being considered by the Senate.
The bill proposes a link tax on tech companies (primarily Google and Meta) that provide links to news. The News Media Alliance and the National Association of Broadcasters, lobbying groups primarily representing large newspapers, magazines, and broadcast companies, strongly support this bill.
Taxing tech companies to support and preserve journalism sounds compelling. This bill, however, will primarily benefit large media companies and those owned by hedge funds. It will not benefit local publications like El Latino, Hispanic, or small news outlets.
- CJPA would potentially benefit national and international news organizations.
- Much of the local community, black and ethnic media will get nothing – including printed newspapers.
- If passed, the bill would negatively impact small publishers since Google and Meta will stop linking to news in California, significantly reducing web traffic.
- There is no clearly defined requirement that the funds generated be used to support journalists or that they be devoted to improving journalism or news in California.
Our Hispanic community has already been impacted by being able to receive local news. We believe this is imperative for a healthy and informed society. Many of our readers find us through social media and shared links.
“Qualifying” publishers must fully disclose the annual funds they receive and how they are spent to support news.
I encourage you to read Jeff Jarvis’s analysis of the CJPA, which was commissioned by the California Chamber of Commerce. Here is the link to the analysis highlighted in a Nieman Lab report: The California Journalism Preservation Act would do more harm than good. Here’s how the state might better help news.
No matter the alternative, one thing is sure: The CJPA is not what Californians need. There are better, more equitable paths forward, and lawmakers should pursue them.
