Last week, the Los Angeles Times published a strong editorial in support of AB 886, Assemblymember Buffy Wicks’ California Journalism Preservation Act (CJPA).
The bill, currently sitting in Senate Appropriations after passing the Senate Judiciary Committee with a 9-2 vote, would require Big Tech companies like Google and Meta to negotiate with publishers and broadcasters for payment for the use of their content. Publishers and broadcasters spend billions of dollars each year to report the news, while Google and Meta reap the profits without compensating the companies responsible for it.
Under the requirements set forth in the bill, publishers would be required to invest at least 70% of any new dollars received under these agreements back into the newsroom. This influx of new money would give newsrooms the ability to hire more journalists and cover more underserved areas of our state.
The LA Times’ editorial board writes:
The coming election is a stark reminder of what California communities lose when local news outlets shrink or shutter. Sure, there will be an abundance of news about the presidential race and which party will control the U.S. House of Representatives and the Senate.
But what about local school board candidates? Or city council and community college district races? Local elections matter because the decisions these bodies make directly affect residents’ lives, whether in fees, taxes, services or spending priorities.
Yet too many places in California have become news deserts, with little to no independent reporting on what’s going on in local politics, business and arts and entertainment. That makes it harder for residents to find reliable information about how their elected leaders are spending tax dollars, making land-use decisions and planning the future of their community — and harder for them to make informed choices when they vote in local elections.
This is not just a crisis for news organizations, it’s a threat to the health of communities and democratic institutions. It should be no surprise that researchers have found that fewer candidates run for local office and voter participation declines when news outlets close or reduce the number of reporters covering community affairs.
Now lawmakers in Sacramento are trying to help save local news. Among the most promising proposals is the California Journalism Preservation Act, or Assembly Bill 886, which would require that large social media companies and internet search engines, such as Google, share advertising revenue with the journalists and news organizations that produce much of the content on their platforms.
The bill by Assemblymember Buffy Wicks (D-Oakland) was inspired by similar laws passed in Australia and Canada to address shrinking news operations. It’s supported by the California News Publishers Assn. and the News/Media Alliance, of which The Times is a member, because it addresses a basic unfairness.
Google, Meta and other platforms profit by filling their search engines and social media feeds with facts and snippets of news stories without paying for the content. Not only are they stiffing news outlets, whose reporters, editors and photographers produce those stories, they are siphoning away advertising and collecting revenue on the pilfered pieces. That’s a major reason why so many newspapers, magazines and other news operations have been forced to lay off staff or shut down in the last few years.
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Over the coming weeks, there’s hope that lawmakers, tech leaders and news publishers can come to some kind of compromise that guarantees ongoing funding for local news operations. It’s not easy to take on some of the most powerful corporations in the world, but legislators and Gov. Gavin Newsom have an opportunity to craft a policy that could help save local news and become a model for democracies across the globe.
