The signing ceremony, held at the Television Academy offices in North Hollywood, marked the culmination of a multi-year effort to support California's vital post-production workforce. Authored by state Assemblymember Nick Schultz, AB 2319 extends tax incentives to productions that opt to complete their post-production — such as editing, visual effects, and sound mixing — within California, even if the actual filming took place elsewhere or if the project didn't qualify for existing California production tax credits.

This initiative directly addresses a growing concern within the industry: the exodus of post-production jobs to states and countries offering more attractive incentives. Rivals like New York, Georgia, New Mexico, as well as international powerhouses such as the U.K., Australia, and Canada, have long offered similar standalone credits. The new law is California's strategic play to reclaim its status as a premier destination for every stage of filmmaking.

Initial funding for the post-production credit stands at $10 million. While Assemblymember Schultz, as reported by The Hollywood Reporter, acknowledged this might be modest given the state's budget constraints, Governor Newsom reportedly referred to it as a "down payment," signaling potential for future increases as industry advocates continue their efforts.

The journey to AB 2319 began in earnest in early 2025, sparked by an open letter from Peter Rotter, founder of Encompass Music Partners and Encompass Creative, which highlighted the precarious state of the Los Angeles recording industry. This call to action ignited a broader conversation that led to town halls and robust advocacy from groups like the California Post Alliance (CAPA) and Stay in L.A. Noelle Stehman, a member of Stay in L.A., starkly warned at one event that "if we don’t act, the California film and TV industry will become the next Detroit auto."

Industry leaders have voiced strong support for the new law. Marielle Abaunza, president of CAPA, noted that the bill "recognizes the vital role that behind-the-scenes craftspeople play in California’s creative economy." The Motion Picture Editors Guild also joined as a co-sponsor, with its national executive director Scott George emphasizing that AB 2319 will ensure "even projects shooting outside of our state can come back to California to employ Editors Guild members in post-production."

Significantly, Newsom signed AB 2319 on the same day he approved SB 186, another bill designed to reduce Hollywood's exposure to recent business tax credit caps. Together, these legislative actions underscore California's commitment to supporting and retaining its vital creative industries.