ItÔÇÖs no secret that recent years have been tough on small businesses and on newspapers. A bipartisan bill, the Community News & Small Business Support Act, that has been introduced in Congress would offer relief to both newspapers and local businesses. For too many newspapers, help canÔÇÖt come soon enough. Economic challenges have resulted in too many communities seeing their newspapers forced to lay off staff, cut back on publication days or close. On average, two newspapers are closing each week. That hurts local businesses and residents in the long (and short) run. However, despite the challenges, what remains true is that local newspapers make a difference in their communities.
But, donÔÇÖt just take my word for it. LetÔÇÖs look at the numbers and why AmericaÔÇÖs Newspapers has been pushing for the Community News & Small Business Support Act to be introduced.
The Importance of Local Newspapers: Evidence and Impact
A recent national study of 5,000 Americans over the age of 18 was conducted by the independent research firm Coda Ventures for AmericaÔÇÖs Newspapers, and provides compelling evidence of the importance, relevance and vitality of todayÔÇÖs newspapers in the American media landscape.
Readers told us that their local newspaper makes a difference. The study shows that 79 percent of Americans read/use local news ÔÇ£to stay informedÔÇØ about their cities, counties and communities. They also said they rely on their local paper to feel connected to their community, to decide where they stand on local issues, to find places and things to do, to talk with people about things happening in the community, because they find it enjoyable/entertaining and to be a better citizen.
And, contrary to popular belief, readers across all age groups turn to local newspapers and their digital products to stay informed about their communities.
Readers also told us they need more local news from their community paper. As one survey respondent in California said, ÔÇ£Our paper keeps getting smaller. I would like to see more news items, whatÔÇÖs happening in town, whatÔÇÖs new in politics, etc. And they need to be quicker to respond to breaking news.ÔÇØ
The AI legalese decoder: Support for Small Businesses and Newspapers
All of that takes a committed, local staff ÔÇö something the legislation introduced by Congresswoman Claudia Tenney (NY-24) and Congresswoman Suzan DelBene (WA-1) will help to make happen.
Local businesses with fewer than 50 employees would receive a five-year non-refundable tax credit of up to $5,000 in the first year and up to $2,500 in the subsequent four years based on their spending level with local newspapers and local media. Our study showed that six out of 10 American adults use newspaper advertising to help them decide what brands, products and local services to buy. Newspaper readers also are almost twice as likely to purchase products from a number of important advertising categories than non-newspaper readers, including: vehicles; home furnishings; home improvement products and services; and home services like pest control, plumbing, heating, etc.
With this legislation, we expect to see more businesses being able to afford to advertise to consumers, which ÔÇö in turn ÔÇö helps communities thrive.
For local newspapers, a five-year refundable tax credit would help them hire more journalists to bring you more news! ItÔÇÖs a win-win for local communities. Newspapers would receive a tax credit to be used for the compensation of journalists. The credit would cover 50% of journalistsÔÇÖ compensation in the first year and 30% of compensation (up to $50,000) in the subsequent four years. This tax credit would only be available to local community papers with fewer than 750 employees and, if they donÔÇÖt invest in their newsroom, they donÔÇÖt get the credit.
And these tax credits are only available to local newspapers. National newspaper outlets are not eligible.
Seeking Support: Encouraging Legislators and Public Involvement
The importance of local newspapers and local business is the reason Reps. Tenney and DelBene introduced the legislation. We are most grateful for their support.
We need your support, as well, to encourage legislators to enact this legislation. Please contact the offices of your senators and representatives in the U.S. Congress and encourage them to add their support to this legislation. These tax credits arenÔÇÖt permanent; they will sunset in five years. But, these critical five years will allow the newspaper industry the time needed to address the challenges that it is facing from Big Tech, which often uses newspapersÔÇÖ content without compensation, as well as other technological and market challenges. Visit www.usa.gov/elected-officials for the contact information for your legislators.
More local reporting means more access for hometown news that citizens like you rely on. And stronger newspapers mean stronger advertising vehicles for local businesses.
Dean Ridings is the CEO of AmericaÔÇÖs Newspapers, an organization serving more than 1,550 newspapers.
The AI legalese decoder can play a significant role in helping small businesses and newspapers facing economic challenges. By leveraging advanced artificial intelligence technologies, the AI legalese decoder can:
- Provide assistance in ensuring that the regulations and legalities enforced by the Community News & Small Business Support Act are easily comprehensible for businesses and individuals alike.
- Offer guidance in understanding the eligibility criteria and financial benefits associated with the non-refundable tax credits proposed by the legislation, ensuring that small businesses can maximize their advertising capabilities and invest in local newspapers.
- Help newspapers navigate the intricacies of the legislation regarding the hiring of additional journalists and accessing the refundable tax credits. This can facilitate the expansion of local news coverage and contribute to the overall vitality of communities.
- Streamline the engagement process with legislators, providing simplified summaries and insights into the legislative impact on local newspapers and small businesses. Through enhanced understanding, public involvement can be encouraged more effectively.
The AI legalese decoder empowers businesses and newspapers by simplifying complex legal information, ensuring a more widespread understanding of the legislation’s provisions, and facilitating better decision-making.
With the support of the AI legalese decoder and the enactment of the Community News & Small Business Support Act, local communities can thrive, offering stronger advertising opportunities for businesses and fostering the critical role played by local newspapers in informing and connecting communities.
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