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The decline of local journalism in the United States, especially print newspapers, has reached a critical point. Zachary Richner, the owner of one of the largest local news outlets in New York state, Richner Communications, has warned that the decline of reliable local sources will lead to lower voter turnout, increased political polarization and even higher taxes, likely due to decreased scrutiny of local government decisions.

The local news crisis is “not hyperbole,” says Richner.

According to Northwestern University’s Local News Initiative, newspapers shut down at an alarming rate of 2.5 per week in 2023, up from two per week in 2022. Most of these closures impacted weekly newspapers in areas lacking alternative news sources.

With growing distrust in media institutions, market consolidation and hostile ownership takeovers by hedge funds, the industry is in an existential crisis – a crisis that New York state is not immune to.

While there are no complete news deserts in New York state, 15 counties have only one newspaper, including neighboring Cayuga County. The number of newspapers in the state went from 292 in 2022 to 263 in 2023 — a 10% drop. On March 20, state lawmakers and local journalism advocates organized a march in the state Capitol and argued that without measures from the government to financially supply local news, the closures would only increase.

The Local Journalism Sustainability Act is a crucial bipartisan bill that could provide a lifeline to struggling local news outlets. Introduced in the State Senate on Jan. 5, the act proposes payroll tax credits to assist local media organizations in covering staff salaries.

This tax credit is designated for media enterprises with fewer than 100 employees, aligning with the state’s classification of a “small business.” Eligible media outlets could receive tax credits covering 50% of journalists’ salaries up to an annual limit of $200,000 per company. The overall funding for this initiative across the state would be limited to $20 million.

Cole Ross | Digital Design Editor

Supporting local journalism through tax breaks is a crucial step in revitalizing an industry that serves as the bedrock of democracy. Tax credits and financial support for local news organizations allow them to hire more reporters and focus on local issues. It would not only improve the quality of information available to the public but also help in de-escalating the divisive nature of current public discourse.

“Without local reporters, local news outlets will need to rely on largely national wire coverage that adds little to the local information environment which will undoubtedly increase division,” said Joshua Darr, an associate professor at the Newhouse School of Public Communications and co-author of “Home Style Opinion: How Local Newspapers Can Slow Polarization.”

The absence of local news, which author and journalist John Nichols calls “our democratic safety net,” has severely exacerbated the state of political polarization and misinformation. At the same time, thousands of web outlets that have the appearance of local journalism but push partisan topics have erupted across the country on the internet to fill the void left by local news. This alternative, Darr argues, is “not a healthy option for democracy.”

Historical precedents show that the government has always played a role in supporting the news industry. The existential challenges for local news to survive calls for an adaptation of more drastic support from the government to ensure the viability and sustainability of local journalism, fostering a more informed and engaged local electorate.

The tax credit measure, however, is not a panacea to the crisis threatening the livelihood of local journalism.

“This could help staunch some of the bleeding, but fundamentally leaves the economic structure of local news intact while leaving out those owned by the large hedge-fund led chains that own most newspapers,” said Darr, who believes that rethinking the economic viability of local news is the ultimate solution to this problem.

Since 2005, nearly 3,000 newspapers have closed and 43,000 journalists have left the business, either through retirement or from being laid off. If this trend continues, fewer than 6,000 newspapers will remain in operation within two decades.

For students studying journalism, and those outside of the communications field, engaging with local news is a valuable way to understand the intricacies of government and community life that are often overshadowed by national coverage. As politicians write laws that assist the local news industry, we should contribute our part as well through active participation.

Through reading, writing, or simply attending local government meetings, active participation in the local discourse provides invaluable insights into the necessity of local journalism and strengthens the democratic governance at the most relatable level.

Allen Huang is a second year Media Studies masters student. He can be reached at xhuang49@syr.edu.

Published on April 8, 2024 at 1:03 am