The proposed legislation, Assembly Bill 238, seeks to expand Nevada’s film tax credit program to attract Hollywood studios to Southern Nevada. The bill aims to develop a campus of sound stages and production services in Las Vegas by offering transferable tax credits to studios, specifically tied to the Summerlin Studios project. This initiative is expected to generate nearly 18,000 direct and indirect jobs and support media education and vocational training for Nevada students.
Assembly Members Sandra Jauregui and Daniele Monroe-Moreno, co-sponsors of the bill, highlight the educational benefits, including curriculum and apprenticeship programs for K-12 and higher education students. The proposal also includes plans for a facility at UNLV, with funding and internship opportunities for students.
The bill has garnered significant interest, with over 100 attendees at a recent hearing, including construction union members. Vince Saavedra, secretary-treasurer of the Southern Nevada Building Trades Unions, emphasized the broader impact on Nevada’s economy and working families.
The transferable tax credits could be utilized against various state taxes, but lawmakers have questioned how the bill ensures the employment of Nevadans. The legislation requires that at least half of the principal photography days occur in the state and mandates a workforce plan that includes hiring underrepresented groups. Simon Robinson of Warner Bros. Discovery Studios stated that the goal is to develop a local workforce in Nevada.
An economic analysis by PFM Group Consulting estimates the studios will create about 6,000 direct jobs with a direct economic impact of $572 million. The total economic impact could reach $3 billion, with 17,680 jobs when the project is completed. The construction phase alone is projected to generate over 12,000 direct jobs over seven to eight years.
In addition, Senate Bill 220 proposes a similar expansion of the film tax credit program, aiming to build a studio campus at UNLV’s Harry Reid Research and Technology Park. This bill is expected to have its first hearing in March.