If you told most Nevadans that we could bring high-paying, private-sector jobs to Las Vegas without spending a single dime from the state’s budget – most would say, “Where do I sign?”
That’s exactly what the Nevada Studio Infrastructure Jobs and Workforce Training Act – AB238 – does and it isn’t some pie-in-the-sky Hollywood handout.
It’s a tightly written, performance-based plan to make Nevada a serious player in the film and media industry, while protecting taxpayers from risk and holding companies accountable every step of the way.
Here’s why legislators should take a serious look at it – especially as Nevada stares down a serious economic downturn.
No Money Out of Pocket – Just Lower Taxes on Success
Let’s get one thing clear: AB238 doesn’t raise taxes.
Instead, it allows production companies to earn transferable tax credits — but only after they invest in Nevada, create jobs, and meet strict local spending and hiring rules.
It’s simple: if you don’t deliver, you don’t get the credit.
These credits only apply to business taxes the companies would owe – like the modified business tax, insurance premium tax, and gaming license fees – not property of sales taxes.
And if they don’t use the credits, they expire. There’s no open-ended subsidy and no blank check.
A $400 Million Private Investment – With Strings Attached
Before any tax credits can even be claimed, developers must invest at least $400 million of their own money to build the Summerlin Production Studios and a workforce training center in Southern Nevada.
Not only that, but they must contribute $6 million to the local redevelopment agency to support small businesses.
No investment, no credits. It’s that strict.
In addition, AB238 establishes a new vocational training center to help Nevadans – especially those from minority and low-income communities – develop high-demand skills in film production and media technology.
It’s not a handout – it’s a hand up.
Training programs will be funded not by taxpayers, but by a 1% fee collected from companies that actually use the tax credits.
The more jobs they create, the more money flows into training Nevadans for future careers.
Protecting Against Abuse and Waste
Unlike failed tax credit programs in other states, AB238 builds in strict safeguards. Companies must:
- Hire Nevada workers and use local vendors.
- Submit third-party audits of their spending.
- Pay for the audits themselves.
- Show proof of performance before any credits are issued.
- Repay the credits if they’re found to have lied or failed to meet the rules.
If they don’t meet workforce hiring goals – including hiring local workers and offering internships – their tax credits are reduced.
If they cheat, they lose the credits altogether.
A Shot at Economic Diversification
Nevada’s economy is too dependent on gaming and tourism. When the pandemic hit, it hit us harder than most states.
AB238 is a chance to grow a new industry right here in Nevada – one that creates jobs for electricians, carpenters, editors, set designers, and more. Not just actors and directors.
And unlike California, we’re not driving business away with high taxes and red tape (yet).
Nevada can become the low-tax, business-friendly home for a new wave of film and digital production.
This bill sets the stage.
AB238 isn’t corporate welfare. It’s an accountable way to attract new private investment, grow our workforce, and bring high-paying jobs to Nevada – without spending public money.
That’s a script worth supporting.
This article was written with the assistance of AI. Please verify information and consult additional sources as needed.
