California Gov. Gavin Newsom is making a big play to bring film and TV work back home. He has rolled out a plan that would grow the state's production tax credit to at least $1 billion.

Newsom called the proposal "historic." The current program sits at $750 million a year and his plan would lift that figure to $1 billion or possibly higher.

He also wants the credit to stay on the books much longer. Under the plan it would run all the way through 2040.

What is in the plan

For the first time the credit would cover so-called above-the-line talent. That group includes the producers and directors behind a project along with its stars.

The plan sets aside $100 million just for independent productions. It would also reward companies that commit to making more than one project in the state.

Why it matters

Hollywood has watched a large share of its work leave the country as costs climb at home and other nations dangle cheaper incentives.

Back in April Sen. Adam Schiff said the business had shed some 42,000 jobs. He noted that 45 percent of American movies and TV series were filmed abroad in 2025. In 2022 that share was 33 percent.

A push in Washington

Newsom is again pressing lawmakers in Washington to get a federal bill passed before this year wraps up, a measure that carries the official title of Motion Picture, Television and Entertainment Revitalization Act.

That bill would require 75 percent of a project's principal photography days to take place in the U.S. Coverage would not include news shows, live sporting events or content made for social media.

It would also create a federal tax credit for businesses. The credit would start at a base rate of 20 percent on U.S. labor and production pay for feature films, TV pilots and TV seasons that cost more than $1 million in total.