I might regret writing this, but the film tax credit proposal might be worth it.
Like most of you, the first time I heard “film tax credits” at the start of the current legislative session I had a knee-jerk reaction in opposition.
But I’m having second thoughts now that I’ve looked into this deeper and deeper.
And to get this out of the way right out of the gate: No, I ain’t being paid a dime to venture this opinion.
So let’s cut through the fog and shoot straight: the proposed film tax credit proposal under AB238 ain’t perfect – far from it – but it could be a smart play.
Hear me out . . .
Look, I get it. Conservatives hear “Hollywood” and immediately think of virtue-signaling elites preaching from Beverly Hills while living off big-government handouts.
And usually, I’d agree. But this ain’t that.
This bill isn’t about giving caviar to movie stars. It’s about building real studios, creating real jobs, and making Nevada a real player in the film and media business.
You know . . . entertainment.
And while others constantly drone on and on ad nauseum about “diversifying” our economy, I prefer that we “stick to the knitting.”
We ain’t known as the “Entertainment Capital of the World” for nothing. It’s what we do. It’s what we’re the absolute BEST at.
But just like how we had to make adjustments when legalized gambling began spreading beyond Las Vegas, Reno, and Atlantic City, we now need to get ahead of a new parade, not end up with a shovel cleaning up behind the elephants.
Like what we did in becoming a “sports entertainment” powerhouse a few years ago.
Remember the objections to Allegiant Stadium? Well, look where we are now.
In addition to the Raiders and UNLV’s resurgent football program, we’ve had sold out concerts, the Super Bowl, the PAC-12 championships, CONCACAF soccer matches, and just last month the most successful Wrestlemania in history.
So successful, in fact, that it may be coming back again next year.
Plus, we’re scheduled to host the College Football Playoff National Championship in January 2027 and the 2028 NCAA Men’s Basketball Final Four and National Championship.
So let’s keep an open mind and consider some arguments in favor of this film tax credit proposal.
First, some folks object that we’re funding “liberal Hollywood.” And I get it.
But the fact is, these studios will be investing here. Hiring our people. Paying our taxes.
You think the guy laying drywall cares about a celebrity’s Twitter feed? Me neither.
Secondly, and most importantly, this is not a tax increase. Nor is it a new program.
We already provide film tax credits. This just expands the existing program.
And here’s the deal: these new film tax credits are performance-based.
Studios don’t get a dime unless they spend money first – here, in Nevada. That’s called skin in the game.
No spending, no credits. Just like how you only pay your mechanic after he fixes the truck, not before.
Compare that to the old welfare model: cash up front with nothing guaranteed. This plan’s smarter.
You want the credit? You build the thing. You hire local folks. You spend your money first.
If they don’t deliver, they don’t collect. Period.
Thirdly, this is infrastructure, not popcorn
Opponents call it “corporate welfare.” But that’s like calling a bulldozer a toy.
This ain’t about flying in a film crew for a weekend shoot.
We’re talking permanent studio construction.
It’s like laying down track for a train line. Once it’s built, it keeps running.
We’re not talking about just one movie – where the whole thing gets shut down when completed and evaporates into thin air.
In this case, when a production finishes at the new film studio, the set gets torn down and a new one gets built for the next film.
That means year-round work for carpenters, electricians, makeup artists, caterers, and security guards – not just actors and directors.
One study found Nevada could expect up to 16,000 full-time jobs created during the 15-year program run. That’s not Hollywood fluff – that’s hard hats and W-2s.
Yes, such projections always present the rosiest of scenarios and are usually overblown. But if this project achieves even a fraction of the projection, it’s still a big economic win for our economy.
When, not if, Nevada gets hit with another blow to our tourism industry – such as the Great Recession of 2008 and the Sisolak Shutdown of 2020 – people are still gonna want movie entertainment.
Indeed, Georgia – a red state, mind you – saw the writing on the wall years ago. They rolled out a film credit, and now it’s the number one filming location in the country.
But again, unlike the Georgia model, we’re not talking about one-and-done productions here. We’re talking about ongoing productions, year in and year out.
So unlike Georgia, instead of kicking the can we’d be building a can factory.
Yes, some states botched their film credits – mostly because they handed out money like Halloween candy with no plan or accountability.
This proposal has learned from that. These credits are capped, tied to local investment, and spread out over 15 years.
It’s more like a long-term lease than a weekend in Vegas.
Even better? Nevada gets private capital flooding in.
For every $1 the state puts up in credits, supporters project we’ll see $7 in economic activity.
Of course, that ain’t a sure bet – we in Nevada know there’s no such thing – but it beats letting New Mexico or Georgia keep eating our lunch.
But let’s say we kill the bill. What do we get?
Same ol’ story. Our kids leave for jobs in LA or Atlanta. Our tradesmen wait for another housing boom. More “economic development” task forces.
More nothing.
Or we do something. We take a shot. We bet on Nevada.
And if it doesn’t work? We have clawbacks. We pull the plug.
But if it DOES work – and I’ve come to believe it can – we build something that lasts.
So where do we go from here?
Negotiations on the final bill continue as you’re reading this. The devil will be in the details for conservatives.
For our support, this needs to be a win-win for all concerned.
As it currently stands, the amended AB238 bill establishes a special “Production Studio Entertainment District” around the proposed studio site.
Taxes collected within this district – including local property, sales, and lodging taxes – are projected to generate approximately $11 million annually, which will be dedicated specifically to pre-K programs in Clark County.
OK, fine. But pre-K doesn’t exactly send a tingle up my leg, as I’m sure it doesn’t yours.
But if proponents of this project, in these final days of the session, were to add in, say, $11 million for private school choice Opportunity Scholarships . . . well, THAT would be something serious for conservatives to talk about.
I’m so sick of weak Republicans in Carson City cutting deals where the Left gets the gold mine and we get the shaft.
If Republicans are going to make a deal on this deal before the session ends, they need to bring home some REAL bacon.
Otherwise, it’ll be yet another wasted opportunity where the Democrats get the feast and we get the table scraps.
Look, no bill is perfect, including this one. And I get why conservatives are skeptical. I am too.
But there’s a big difference between spending money on government and spending money to grow the economy in a way that could bring long-term returns with accountability built in.
So let the Hollywood elites stay in Hollywood – and let’s build something in Nevada for Nevada.
Not for the politics. Not for the ideology. Not for the Oscars. But for the jobs, the growth, and the future.
As President Trump would say, it’s common sense.
