New York State has approved new tax breaks to encourage the hiring of local journalists, a first nationwide.
The state budget provides the first payroll tax credit for local news organizations in an effort to encourage new hires at a time when news outlets are struggling to serve their communities. The program, called the Local Journalism Sustainability Act, provides an appropriation of $30 million annually.
“A thriving local news industry is vital to the health of our democracy,” stated Manhattan Democrat Sen. Brad Hoylman-Sigal, who is the bill’s sponsor. ““It’s our responsibility to help ensure New Yorkers have access to independent and community-focused journalism.”
The bill allocates $4 million to incentivize print and broadcast media outlets to hire new journalists, while the remaining $26 million will be divided equally between media outlets with fewer than 100 employees and those with more than 100 employees.
Specifically, eligible individuals can get a 50 percent refundable credit for the first $50,000 of a journalist’s salary, up to a total of $300,000 per company. Most of the funds will go to independent newspapers, although a portion will also be dedicated to hiring journalists at news organizations that “demonstrate a reduction in circulation or in the number of full-time equivalent employees of at least 20 percent over the previous five years.”
Justin Henry, spokesman for Governor Kathy Hochul, said the measure will help preserve “New York’s status as a global media capital and a hub for enterprising journalists.”
“The Enacted Budget builds on Governor Hochul’s commitment to creating and sustaining good-paying jobs and her belief that a free press is central to a healthy democracy,” Henry added.
