Legacy local news organizations: notice of sale.

Assembly Member Lee's proposal to preserve independent local journalism would require legacy news organizations to provide 120 days' advance notice before finalizing ownership transfers. The notice requirements apply to organizations that have operated continuously for at least 10 years and regularly publish local or state community news, either through print editions at least 24 times annually or digital updates in 48 of 52 weeks.

Under the proposed Keep News Independent Act, affected organizations must notify employees in writing of pending ownership changes and publish notices to subscribers in each edition during the notification period. The notices must include the owner's intent to sell, identify the proposed buyer, specify any planned sale date, and confirm compliance with notification requirements. Organizations must also publish notices for three consecutive weeks in an adjudicated newspaper serving their county or an adjacent county.

The bill defines qualifying transactions as transfers involving editorial control, voting securities exceeding 10% ownership, or rights to the organization's name and branding. The requirements exempt organizations that would remain independently owned after a sale, defined as having less than 5% ownership by public companies, no private fund ownership, and no subsidiary status. Television and radio broadcasters licensed by the Federal Communications Commission are excluded from the bill's provisions.