News outlets: state expenditures on ethnic and community media outlets.
SB 1358
California Bills
20250SB__135897AMD INTRODUCED 2026-02-20 AMENDED_SENATE 2026-03-25 AMENDED_SENATE 2026-04-06 2025 SB AMD Introduced by Senator Rubio LEAD_AUTHOR SENATE Rubio
An act to amend
Section of, and to repeal and add
Section 65054.3 of, the Government Code, and to add
Chapter 2.6 (commencing with
Section 11100) to Part of Division of the Public Contract Code, relating to news outlets. news outlets News outlets: state expenditures on ethnic and community media outlets. Existing law establishes the Office of Community Partnerships and Strategic Communications and requires the office to assist in marketing, advertising, and outreach to priority populations, as defined. Existing law requires state agencies that expend funds on marketing, advertising, or outreach to develop a plan for increasing expenditures directed to ethnic media outlets and community media outlets, as those terms are defined.
Existing law also requires state agencies to annually report their progress in implementing those plans. Existing law repeals these requirements on January 1, 2029. This bill would delete the January 1, 2029, repeal date, thereby extending operation of these requirements indefinitely. The bill would additionally require the office to establish and maintain a database of the above-described outlets and would authorize the office to hold trainings for state employees responsible for purchasing advertising, as specified. Former law,
Chapter of the Statutes of 2020, until July 1, 2023, among other things, required the Department of General Services to publish an annual report on or before July of each year relating to payments for placement of marketing or outreach advertising material by each state agency. This bill would reenact and recast this report requirement to instead require the office to publish an annual report relating to those payments, which the bill would require to include disaggregated information for priority populations and ethnic and community media outlets, as specified.
The bill would additionally require state agencies to direct at least 40% of their annual advertising spending to ethnic and community media outlets and to require vendors selected for marketing or advertising services that require outreach to priority populations to prioritize outlets included in the above-described database. The bill would authorize state agencies to award a contract for advertising or marketing services with an estimated value greater than $5,000 and less than $350,000 to an ethnic or community media outlet, as specified.
Existing law requires a 3-part test, commonly known as the “ABC” test, as specified, to determine if workers are employees or independent contractors for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission. Existing law exempts specified occupations and business relationships from the application of the ABC test, and provides that these exempt relationships are governed by the multifactor test previously adopted in the case of S. G. Borello & Sons, Inc. v. Department of Industrial Relations (1989) 48 Cal.3d 341.
These exemptions include a temporary exemption for newspaper distributors working under contract with a newspaper publisher and newspaper carriers, as those terms are defined, until January 1, 2030.</xhtml:p><xhtml:p>This bill would extend operation of the above-described exemption indefinitely.</xhtml:p>"?> MAJORITY NO YES NO NO NO NO NO NO NO NO The people of the State of California do enact as follows:
SECTION 1. The Legislature finds and declares the following: (
a) The State of California is home to complex and diverse populations and it is essential that all residents have meaningful access to state programs, services, and activities regardless of native language, race, color, gender, national origin, ethnicity, religion, sexual orientation, disability, or immigrant status. (
b) An overwhelming majority of the state’s advertising and marketing funds have been concentrated among a small number of vendors, with insufficient transparency regarding whether funds effectively reach ethnic and community outlets. (
c) Therefore, it is the intent of the Legislature to expand the reach into underserved communities by ensuring and enhancing the allocation of advertising funds to ethnic and community media outlets. To achieve this, it is the intent of the Legislature that state agencies adopt serious goals, have read access to a database of ethnic and community media partners, and have the necessary tools to utilize their services quickly and efficiently.
SEC. 2.
Section of the Government Code is amended to read: 65054. For the purposes of this article, the following
definitions apply: (a) (1) “Ethnic media” means any organization that produces news or culturally relevant media that serves ethnic, racial, or cultural communities residing in California, including priority populations, racial and linguistic minorities, immigrant communities, indigenous groups, and other historically underserved and underrepresented groups.
(2) For purposes of paragraph (1), “priority populations” for purposes of this article, mean members of underserved, disadvantaged, and hard-to-reach communities, including, but not limited to, people who are any of the following: (
A) Asian American. (
B) Black or African American. (
C) Immigrants or refugees. (
D) Native American or members of Tribal communities. (
E) Latinx. (
F) LGBTQ+. (
G) Limited English proficiency (LEP). (
H) Middle Eastern or North African. (
I) Native Hawaiian or Pacific Islander. (
J) People with disabilities. (
K) Religious minorities. (
L) Low-income communities. (b) “Ethnic media outlet” means an entity that provides a substantial amount of ethnic media content through broadcast, print, or digital means, including television, radio, or online outlets on a daily, weekly, or other regular interval, and that has continuously produced that content for at least one year. (c) “Community media outlet” means a nonprofit organization, small business, or microbusiness, as defined in paragraphs (1) and (2) of subdivision (
d) of
Section 14837, in which at least one-half of the content is originally produced community news and cultural content of specific interest to a community, city, neighborhood, or region in the state through broadcast, print, or digital means, including television, radio, or online outlets on a daily, weekly, or other regular interval, and that has continuously produced that content for at least one year. (d) “Office” means the Office of Community Partnerships and Strategic Communications. (e) “State agency” means each entity identified in
Section 11000, and includes the California State University.
SEC.
Section 65054.3 of the Government Code is repealed.
SEC.
Section 65054.3 is added to the Government Code , to read: 65054.3. (
a) The office shall establish and maintain a database of ethnic and community media outlets. The office shall publish guidelines setting forth a process for outlets to apply to be listed and certified within this database pursuant to the criteria set forth in
Section 65054. (
b) In support of database development, the office may engage nonprofit news outlets and organizations to assist in strengthening the sector and ensuring diverse and wide representation across the state. (
c) The office may hold one or more annual trainings for public information and communications officers and other state employees responsible for purchasing advertising to ensure a common understanding of the diverse media ecosystem and best practices for equitable outreach. <caml:Num>SEC. 5.</caml:Num><caml:ActionLine action="IS_AMENDED" xlink:href="urn:caml:codes:LAB:caml#xpointer(%2Fcaml%3ALawDoc%2Fcaml%3ACode%2Fcaml%3ALawHeading%5B%40type%3D'DIVISION'%20and%20caml%3ANum%3D'3.'%5D%2Fcaml%3ALawHeading%5B%40type%3D'CHAPTER'%20and%20caml%3ANum%3D'2.'%5D%2Fcaml%3ALawHeading%5B%40type%3D'ARTICLE'%20and%20caml%3ANum%3D'1.5.'%5D%2Fcaml%3ALawSection%5Bcaml%3ANum%3D'2783.'%5D)" xlink:label="fractionType: LAW_SECTION" xlink:type="locator">Section of the <caml:DocName>Labor Code</caml:DocName> is amended to read:</caml:ActionLine><caml:Fragment><caml:LawSection id="id_75FBE37E-B77D-46AC-9F33-810CD98FDC0B"><caml:Num>2783.</caml:Num><caml:LawSectionVersion id="id_8F383D63-BEF0-4DB6-B1EA-81A5F5367BAF"><caml:Content><xhtml:p>Section and the holding in Dynamex do not apply to the following occupations as defined in the paragraphs below, and instead, the determination of employee or independent contractor status for individuals in those occupations shall be governed by Borello:</xhtml:p><xhtml:p>(a)<xhtml:span class="EnSpace"/>A person or organization that is licensed by the Department of Insurance pursuant to
Chapter 5 (commencing with
Section 1621),
Chapter 6 (commencing with
Section 1760), or
Chapter 8 (commencing with
Section 1831) of Part of Division of the Insurance Code or a person who provides underwriting inspections, premium audits, risk management, claims adjusting, third-party administration consistent with use of the term “third-party administrator,” as defined in subdivision (cc) of
Section 10112.1 of Title of the California Code of Regulations, or loss control work for the insurance and financial service industries.</xhtml:p><xhtml:p>(b)<xhtml:span class="EnSpace"/>A physician and surgeon, dentist, podiatrist, psychologist, or veterinarian licensed by the State of California pursuant to Division 2 (commencing with
Section 500) of the Business and Professions Code, performing professional or medical services provided to or by a health care entity, including an entity organized as a sole proprietorship, partnership, or professional corporation as defined in
Section of the Corporations Code.
Nothing in this subdivision shall circumvent, undermine, or restrict the rights under federal law to organize and collectively bargain.</xhtml:p><xhtml:p>(c)<xhtml:span class="EnSpace"/>An individual who holds an active license from the State of California and is practicing one of the following recognized professions: lawyer, architect, landscape architect, engineer, private investigator, or accountant.</xhtml:p><xhtml:p>(d)<xhtml:span class="EnSpace"/>A securities broker-dealer or investment adviser or their agents and representatives that are either of the following:</xhtml:p><xhtml:p>(1)<xhtml:span class="EnSpace"/>Registered with the Securities and Exchange Commission or the Financial Industry Regulatory Authority.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>Licensed by the State of California under
Chapter 2 (commencing with
Section 25210) or
Chapter 3 (commencing with
Section 25230) of Division of Part of Title of the Corporations Code.</xhtml:p><xhtml:p>(e)<xhtml:span class="EnSpace"/>A direct sales salesperson as described in
Section of the Unemployment Insurance Code, so long as the conditions for exclusion from employment under that
section are met.</xhtml:p><xhtml:p>(f)<xhtml:span class="EnSpace"/>A manufactured housing salesperson, subject to all obligations under
Part 2 (commencing with
Section 18000) of Division of the Health and Safety Code, including all regulations promulgated by the Department of Housing and Community Development relating to manufactured home salespersons and all other obligations of manufactured housing salespersons to members of the public. The statutorily imposed duties of a manufactured housing dealer under
Section 18060.5 of the Health and Safety Code are not factors to be considered under the Borello test.</xhtml:p><xhtml:p>(g)<xhtml:span class="EnSpace"/>A commercial fisher working on an American vessel.</xhtml:p><xhtml:p>(1)<xhtml:span class="EnSpace"/>For the purposes of this subdivision:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>“American vessel” has the same meaning as defined in
Section 125.5 of the Unemployment Insurance Code.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>“Commercial fisher” means a person who has a valid, unrevoked commercial fishing license issued pursuant to
Article 3 (commencing with
Section 7850) of
Chapter of Part of Division of the Fish and Game Code.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>“Working on an American vessel” means the taking or the attempt to take fish, shellfish, or other fishery resources of the state by any means, and includes each individual aboard an American vessel operated for fishing purposes who participates directly or indirectly in the taking of these raw fishery products, including maintaining the vessel or equipment used aboard the vessel.
However, “working on an American vessel” does not apply to anyone aboard a licensed commercial fishing vessel as a visitor or guest who does not directly or indirectly participate in the taking.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>For the purposes of this subdivision, a commercial fisher working on an American vessel is eligible for unemployment insurance benefits if they meet the definition of “employment” in
Section of the Unemployment Insurance Code and are otherwise eligible for those benefits pursuant to the provisions of the Unemployment Insurance Code.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Notwithstanding
Section 10231.5 of the Government Code, on or before March 1, 2021, and each June thereafter, the Employment Development Department shall issue an annual report to the Legislature on the use of unemployment insurance in the commercial fishing industry.
This report shall include, but not be limited to, all of the following:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Reporting the number of commercial fishers who apply for unemployment insurance benefits.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>The number of commercial fishers who have their claims disputed.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>The number of commercial fishers who have their claims denied.</xhtml:p><xhtml:p>(iv)<xhtml:span class="EnSpace"/>The number of commercial fishers who receive unemployment insurance benefits.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>The report required by this subparagraph shall be submitted in compliance with
Section of the Government Code.</xhtml:p><xhtml:p>(4)<xhtml:span class="EnSpace"/>This subdivision shall become inoperative on January 1, 2031, unless extended by the Legislature.</xhtml:p><xhtml:p>(h)<xhtml:span class="EnSpace"/>(1)<xhtml:span class="EnSpace"/>A newspaper distributor working under contract with a newspaper publisher, as defined in paragraph (2), or a newspaper carrier.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>For purposes of this subdivision:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>“Newspaper” means a newspaper of general circulation, as defined in
Section or of the Government Code, and any other publication circulated to the community in general as an extension of or substitute for that newspaper’s own publication, whether that publication be designated a “shoppers’ guide,” as a zoned edition, or otherwise. “Newspaper” may also be a publication that is published in print and that may be posted in a digital format, and distributed periodically at daily, weekly, or other short intervals, for the dissemination of news of a general or local character and of a general or local interest.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>“Publisher” means the natural or corporate person that manages the newspaper’s business operations, including circulation.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>“Newspaper distributor” means a person or entity that contracts with a publisher to distribute newspapers to the community.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>“Newspaper carrier” means a person who effects physical delivery of the newspaper to the customer or reader, who is not working as an app-based driver, as defined in
Chapter 10.5 (commencing with
Section 7448) of Division of the Business and Professions Code, during the time when the newspaper carrier is performing the newspaper delivery services.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>On or before March 1, 2025, March 1, 2026, March 1, 2027, March 1, 2028, and March 1, 2029, every newspaper publisher or distributor that hires or directly contracts with newspaper carriers shall submit to the Labor and Workforce Development Agency, in a manner prescribed by the agency and in conformity with existing law, the following information related to their workforce for the current year:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>The number of carriers for which the publisher or distributor paid payroll taxes in the previous year and the number of carriers for which the publisher or distributor did not pay payroll taxes in the previous year.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>The average wage rate paid to carriers classified as independent contractors and as employees.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>The number of carrier wage claims filed, if any, with the Labor Commissioner or in a court of law.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>For the March 1, 2025, reporting date only, every newspaper publisher and distributor shall also report the number of carrier wage claims filed with the Labor Commissioner or in a court of law for the preceding three years.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>Information that is submitted shall only be disclosed in accordance with
Section 7927.705 of the Government Code, relating to trade secrets or other proprietary business information.</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>An individual who is engaged by an international exchange visitor program that has obtained and maintains full official designation by the United States Department of State under
Part 62 (commencing with
Section 62.1) of Title of the Code of Federal Regulations for the purpose of conducting, instead of participating in, international and cultural exchange visitor programs and is in full compliance with
Part 62 (commencing with
Section 62.1) of Title of the Code of Federal Regulations.</xhtml:p><xhtml:p>(j)<xhtml:span class="EnSpace"/>A competition judge with a specialized skill set or expertise providing services that require the exercise of discretion and independent judgment to an organization for the purposes of determining the outcome or enforcing the rules of a competition. This includes, but is not limited to, an amateur umpire or referee.</xhtml:p></caml:Content></caml:LawSectionVersion></caml:LawSection></caml:Fragment></caml:BillSection>"?>
SEC. 5.
Chapter 2.6 (commencing with
Section 11100) is added to Part of Division of the Public Contract Code , to read: 2.6. Local News Preference in Marketing or Outreach Advertising 11100. For purposes of this chapter, the following
definitions shall apply: (a) “Department” means the Department of General Services. (b) “Ethnic and Community Media Database” or “database” means the database established pursuant to
Section 65054.3 of the Government Code. (c) “Ethnic and community media outlet” means an ethnic media outlet or a community media outlet as those terms are defined in
Section of the Government Code. (d) “Office” means the Office of Community Partnerships and Strategic Communications. (e) “Priority populations” has the same meaning as that term is defined in
Section of the Government Code. (f) “State agency” means each entity identified in
Section of the Government Code, and includes the California State University. 11101.
It is the declared policy of the Legislature that the state should assess and evaluate the effectiveness of its contracts to determine how it can best utilize its media and marketing and communication efforts to reach ethnic, racial, or cultural communities residing in California, including priority populations, racial and linguistic minorities, immigrant communities, indigenous groups, and other historically underserved and underrepresented groups. <caml:Num>11102.</caml:Num><caml:LawSectionVersion id="id_C9ADE522-6E4D-483F-AFF8-F8CB8CD8569C"><caml:Content><xhtml:p>(a)<xhtml:span class="EnSpace"/>A state agency shall award a contract for the acquisition of advertising or marketing services that has an estimated value of greater than five thousand dollars ($5,000) but less than three hundred fifty thousand dollars ($350,000) only to a small business, including a microbusiness, a nonprofit organization, or an ethnic or community media outlet.</xhtml:p><xhtml:p>(b)<xhtml:span class="EnSpace"/>A state agency shall not award a contract for the acquisition of advertising or marketing services that has an estimated value of greater than five thousand dollars ($5,000) but less than three hundred fifty thousand dollars ($350,000) to a small business, including a microbusiness, or a nonprofit organization, unless the agency obtains price quotations from two or more entities included in the Ethnic and Community Media Database.</xhtml:p></caml:Content></caml:LawSectionVersion></caml:LawSection>"?> 11102. (
a) Notwithstanding the advertising, bidding, and protest provisions of
Chapter 6 (commencing with
Section 14825) of
Part 5.5 of Division of Title of the Government Code,
Chapter 2 (commencing with
Section 10290), and
Chapter 3 (commencing with
Section 12100), a state agency may award a contract for the acquisition of advertising or marketing services that has an estimated an estimated value of greater than five thousand dollars ($5,000), but less than three hundred fifty thousand dollars ($350,000), to an ethnic or community media outlet, as long as the agency obtains price quotations from two or more ethnic or community media outlets. (c)</xhtml:p>"?> (
b) Commencing January 1, 2028, and annually thereafter, the department may conduct a review of the maximum estimated contract value specified in this
section and adjust that value to reflect changes in the California Consumer Price Index. 11103. A state agency issuing a request for proposal for marketing or advertising services that requires outreach to priority populations, as defined in
Section of the Government Code, shall provide an awarded vendor with a copy of the Ethnic and Community Media Database and require the vendor to make every effort to prioritize outlets included in the database in their media buying plan. 11104. (
a) A state agency shall direct at least percent of its annual advertising spending to ethnic and community media outlets. (
b) For each state agency required to have a small business liaison pursuant to
Section 11148.5 of the Government Code, the small business liaison shall assist the agency in complying with this
section by utilizing the Ethnic and Community Media Database and shall work with local community groups and organizations to identify additional ethnic and community media outlets for inclusion in the database. 11105. (
a) On or before July 1, 2027, and annually thereafter, the office shall submit to the Governor and the Legislature and publish on its internet website, a report that identifies all of the following:
(1) Each state agency that paid for placement of marketing or outreach advertising material pursuant to a contract.
(2) The amounts paid by each state agency to each media platform pursuant to a contract, including pursuant to a subcontract if the information is available, to place marketing or outreach advertising material.
(3) The recipients of the amounts paid by each state agency to media platforms, including to any subcontractors if the information is available, with which the agency contracted or subcontracted to place marketing or outreach advertising materials.
(4) The information required in paragraphs (1) to (3), inclusive, shall be further disaggregated to report information on contracts, including on subcontracts if the information is available, for both of the following: (
A) The placement of marketing or outreach advertising material targeting specific ethnic communities, including, but not limited to, priority populations. (
B) The placement of marketing or outreach advertising material by ethnic and community media outlets.
(5) Recommendations for best practices based on successful state agencies. (b)
(1) A report to be submitted pursuant to this
section shall be submitted in compliance with
Section of the Government Code.
(2) Pursuant to
Section 10231.5 of the Government Code, this
section is repealed on January 1, 2031. 11106. This
chapter is not intended to amend any of the provisions of