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2025 Session (83rd) A AB238 R2 994
BJF - Date: 6/2/2025
A.B. No. 238—Enacts the Nevada Studio Infrastructure Jobs and Workforce
Training Act. (BDR S-63)
Page 1 of 7 *A_AB238_R2_994*
Amendment No. 994
Senate Amendment to Assembly Bill No. 238 Second Reprint (BDR S-63)
Proposed by: Senator Lange
Amendment Box: Conflicts with Amendment No. 992.
Amends: Summary: Yes Title: Yes Preamble: No Joint Sponsorship: No Digest: Yes
ASSEMBLY ACTION Initial and Date | SENATE ACTION Initial and Date
Adopted Lost | Adopted Lost
Concurred In Not | Concurred In Not
Receded Not | Receded Not
EXPLANATION: Matter in (1) blue bold italics is new language in the original
bill; (2) variations of green bold underlining is language proposed to be added in
this amend ment; ( 3) red strikethrough is deleted language in the original bill; ( 4)
purple double strikethrough is language proposed to be deleted in this amendment;
(5) orange double underlining is deleted language in the original bill proposed to be
retained in this amendment.
Senate Amendment No. 994 to Assembly Bill No. 238 Second Reprint Page 3
ASSEMBLY BILL NO. 238–ASSEMBLYMEMBERS
JAUREGUI AND MONROE-MORENO
FEBRUARY 17, 2025
_______________
Referred to Committee on Revenue
SUMMARY—[Enacts the Nevada Studio Infrastructure Jobs and Workforce
Training Act. ] Requires the Joint Interim Standing
Committee on Commerce and Labor to conduct an interim
study during the 2025 -2026 interim concerning the
development and support of the film and creative media
industry in this State. (BDR S-63)
FISCAL NOTE: Effect on Local Government: May have Fiscal Impact.
Effect on the State: Yes.
~
EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
AN ACT relating to economic development; [enacting the Nevada Studio
Infrastructure Jobs and Workforce Training Act; requiring the Office
of Economic Development to enter into a development agreement to
establish certain criteria for the development of infrastructure for the
production of motion pictures and other qualified productions and
other new capital investment in this State; establishing certain penalties
if the development does not meet certain requirements for new capital
investment and expenditures for the production of motion pictures and
other qualified productions; establishing requirements for a production
company located at such a development to be eligible for film
infrastructure transferable tax credits for qualified productions
produced at the development; providing for the calculation of the
amount of film infrastructu re transferable tax credits; requiring the
creation of a production studio entertainment district; revising
provisions governing noninfrastructure transferable tax credits for
motion pictures and other qualified productions produced in this State;
authorizing an additional amount of noninfrastructure transferable tax
credits; establishing the Account for Nevada Film, Media and Related
Technology Education and Vocational Training and a board to approve
distributions from the Account; providing for the distribution of money
from the Account to certain entities and organizations that provide
education and vocational training to develop a workforce for the
production of qualified productions in this State; ] requiring the Joint
Interim Standing Committee on Comme rce and Labor to conduct
an interim study during the 2025 -2026 interim concerning the
Senate Amendment No. 994 to Assembly Bill No. 238 Second Reprint Page 4
development and support of the film and creative media industry
in this State; and providing other matters properly relating thereto.
Legislative Counsel’s Digest:
[Existing law establishes a program for the issuance of transferable tax credits by the 1
Office of Economic Development to the production company of a motion picture or other 2
qualified production, based upon qualified direct production expenditures made for the 3
purchase of personal property or services from a Nevada business. (NRS 360.758 -360.7598) 4
This bill revises provisions governing these transferable tax credits and enacts the Nevada 5
Studio Infrastructure Jobs and Workforce Training Act to authorize film inf rastructure 6
transferable tax credits for qualified productions produced at the site of the Summerlin 7
Production Studios Project. 8
Sections 1-16 of this bill enact the Nevada Studio Jobs and Workforce Training Act, 9
which provides film infrastructure transfe rable tax credits for production companies located 10
within the Summerlin Production Studios Project, as defined in section 8. Section 9 requires 11
the Office of Economic Development to enter into a development agreement with the lead 12
participant of the Project to establish: (1) certain criteria that the Project is required to satisfy 13
in exchange for production companies located at the Project to be eligible for film 14
infrastructure transferable tax credits; and (2) certain requirements for new capital investment 15
in this State and the generation of direct production expenditures in this State, which the 16
Project must meet, with certain exceptions, to avoid penalties specified in section 9. Section 17
10: (1) authorizes production companies located at the Project to apply, on or after June 1, 18
2026, to the Office for film infrastructure transferable tax credits for qualified productions 19
produced, in whole or in part, at the Project; and (2) authorizes such credits to be used against 20
the modified business tax, insurance premium tax or gaming license fee, or any combination 21
of these taxes and fees. Section 11 establishes the qualified production expenditures which are 22
the basis for calculating the amount of film infrastructure transferable tax credits, including, 23
without limitation: (1) purchases and rentals of property or services from a Nevada business ; 24
(2) wages and fringe benefits paid to employees who are Nevada residents or other personnel 25
who perform services in this State on the qualified production; (3) certain compensation paid 26
to producers in their capacity as producers; and (4) amounts paid to personal service 27
corporations for the services of certain persons on the qualified production. Section 12 of this 28
bill provides that the base amount of film infrastructure transferable tax credits is 30 percent 29
of the amount of qualified direct production expenditures calculated under section 11, with 30
certain reductions if the production company does not satisfy certain criteria for employing 31
Nevada residents as below -the-line personnel or employing or offering training or work 32
opportunities to members of traditionally underrepresented groups. Section 13: (1) limits the 33
total amount of film infrastructure transferable tax credits issued pursuant to sections 1-16 to 34
$95,000,000 for each fiscal year beginning on or after July 1, 2028; and (2) prohibits the 35
approval of an application for film infrastructure transferable tax credits if the application is 36
submitted in a fiscal year that begins on or after July 1, 2043. Section 14 requires a production 37
company to : (1) commence principal photography within a certain period of time after the 38
Office approves an application for a certificate of eligibility for film infrastructure transferable 39
tax credits ; (2) complete the qualified prod uction within 18 months after the date of 40
commencement of principal photography , except that the Office may extend this period for 41
not more than 6 months; and (3) submit certain required information within the required 42
period. Section 15 requires a production company to repay film infrastructure transferable tax 43
credits under certain circumstances. Section 15.7 requires the lead participant in the Project to 44
submit certain reports to the Governor, the Legislature and the Office, and requires the Office 45
to post such reports on its Internet website. Section 16 requires certain reports to be made to 46
the Legislature concerning film infrastructure transferable tax credits. 47
Sections 17-25 of this bill make various changes to the existing law governing the 48
noninfrastructure transferable tax credits for motion picture and other qualified productions. 49
(NRS 360.758 -360.7598) Section 17 changes references to “extras” in a qualification 50
production to “background actors.” Section 18: (1) provides that digital media productions are 51
qualified productions for the purposes of eligibility for film infrastructure transferable tax 52
credits and noninfrastructure transferable tax credits; and (2) clarifies that media productions 53
solely produced for social media are not eligible for such transferable tax credits. Section 19 54
revises the criteria to be eligible for noninfrastructure transferable tax credits to be the same as 55
Senate Amendment No. 994 to Assembly Bill No. 238 Second Reprint Page 5
the criteria for film infrastructure transferable tax credits by: (1) removing the requirement 56
that a certain percentage of direct production expenditures b e incurred in this State and, 57
instead, requiring that at least 50 percent of the total principal photography days take place in 58
this State or a certain amount of qualified d irect production expenditures be incurred in this 59
State; and (2) requiring a production company to have a workforce plan that establishes 60
certain goals and provide to the Office a final assessment of whether the production company 61
met or made a good faith effort to meet those goals. Section 20 revises the expenditures and 62
costs that may serve as a basis for noninfrastructure transferable tax credits. Section 21: (1) 63
increases the base amount of transferable tax credits from 15 percent of the qualified direc t 64
production expenditures to 30 percent of the qualified direct production expenditures, for an 65
application submitted in each fiscal year beginning on or after July 1, 2028, and ending before 66
July 1, 2043; and (2) provides for certain reductions to that ba se amount during that period. 67
Section 22 makes certain provisions of existing law relating to the calculation of 68
noninfrastructure transferable tax credits inapplicable for period beginning on July 1, 2028, 69
and ending on June 30, 2043. Section 23 temporarily increases from $10,000,000 to 70
$25,000,000 the total amount of noninfrastructure transferable tax credits for motion picture 71
and other qualified productions that may be issued under the existing program for each fiscal 72
year beginning on or after July 1, 2028, until June 30, 2043. Sections 24 and 25 make 73
conforming changes so that noninfrastructure transferable tax credits are administered and 74
reported in the same manner as film infrastructure transferable tax credits. 75
Section 15.3 requires the Clark Co unty Board of County Commissioners to create a 76
production studio entertainment district for the purpose of enhancing early childhood 77
education opportunities, including prekindergarten, for children in the Clark County School 78
District. Under section 15.3, the boundaries of the district are required to be entirely within the 79
unincorporated areas of Clark County and include only parcels of land that are located within 80
the boundaries of the Summerlin Production Studios Project other than parcels on which a 81
business holding a gaming license is located. Section 15.3 requires certain taxes on transient 82
lodging, certain property taxes and certain sales and use taxes imposed in the district to be 83
pledged and distributed to the Clark County School District and used by the Clark County 84
School District solely for the purposes of prekindergarten programs in the Clark County 85
School District. Finally, section 15.3 requires the Clark County School District to submit 86
annual reports to the Office concerning the use of money di stributed to Clark County School 87
District under section 15.3. 88
Sections 26-33 of this bill establish a program to provide grants to certain organizations 89
that provide education and vocational training for workforce development for the production 90
of motion pictures and other qualified productions. Section 31 establishes the Account for 91
Nevada Film, Media and Related Technology Education and Vocational Training for the 92
purpose of allocating money to certain entities and organizations that provide education an d 93
vocational training for such workforce development. Sections 10 and 19 require a production 94
company that is issued transferable tax credits for a qualified production to pay to the Office 95
an amount of money equal to 1 percent of the amount of transferabl e tax credits issued to the 96
qualified production, and requires the Office to deposit that money with the State Treasurer 97
for credit to the Account. Section 32 creates and provides for the composition of the Board for 98
Nevada Film, Media and Related Technolo gy Education and Vocational Training within the 99
Office of Economic Development. Section 33: (1) requires the Board to establish the 100
procedure for a person or entity to apply for a grant of money from the Account, the criteria to 101
be used to determine whethe r to approve an application for a grant from the Account to an 102
applicant and the requirements for reports by recipients of such grants concerning the use of 103
the grants; (2) prohibits the making of a grant from the Account unless the Board approves the 104
application for the grant; and (3) requires a recipient of a grant from the Account to adopt and 105
implement a community benefits program that satisfies certain requirements. ] This bill 106
requires the Joint Interim Standing Committee on Commerce and Labor to condu ct an 107
interim study during the 2025 -2026 interim on the development and support of a 108
sustainable film and creative media industry in this State and requires the Committee to 109
submit a report of its findings and recommendations to the 2027 Legislative Session. 110
Senate Amendment No. 994 to Assembly Bill No. 238 Second Reprint Page 6
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Delete existing sections 1 through 37 of this bill and replace with the following 1
new section 1: 2
3
Section 1. 1. The Legislature hereby finds and declares that a 4
comprehensive analysis of Nevada’s potential to develop and support a 5
sustainable film and creative media industry is in the public interest and 6
necessary to inform future policymaking. 7
2. The Joint Interim Standing Committee on Commerce and Labor sh all 8
conduct a study during the 2025-2026 interim concerning the development and 9
support of a sustainable film and creative media industry in this State. The 10
study must include, without limitation: 11
(a) An evaluation of the potential for the film and creati ve media industry 12
to serve as a catalyst for broader technology and business development, 13
including digital post production, animation, gaming and related innovation 14
clusters; 15
(b) An analysis of workforce development needs, including, without 16
limitation, alignment with programs in the Nevada System of Higher 17
Education, community colleges and apprenticeship or credentialing systems; 18
(c) A review of infrastructure needs and economic geography, including 19
broadband, transportation, utilities and housing, and the comparative 20
advantage of using public land at the Harry Reid Research and Technology 21
Park and private land at the Summerlin Studios site; 22
(d) An inventory of regional assets and opportunities, including 23
community-based activities, university -linked initiatives and local government 24
engagement; 25
(e) Consideration of funding mechanisms, including, without limitation, 26
the use of transferable tax credits, qualified private contributions and 27
establishment of reserve strategies to protect the State and address s afeguards 28
for economic contingencies and accountability of developers; 29
(f) An assessment of forecasting methodologies relevant to future 30
Legislatures, including, without limitation, economic modeling approaches, 31
job-year cost comparisons and the role of the Economic Forum in evaluating 32
long-term revenue impact; 33
(g) Identification of best practices from other states, including, without 34
limitation, New Mexico, Georgia and Louisiana, with regard to film incentive 35
design, accountability measures and public-private development partnerships; 36
(h) A review of legislation proposed during the 83rd Legislative Session, 37
including, without limitation, Senate Bill No. 220 and Assembly Bill No. 238, to 38
identify best practices for deployment of tax credits, the stimulation of 39
workforce development and expansion of the economy into advanced 40
technology, research and development; and 41
(i) Any additional matters relevant to the development and support of the 42
film and creative media industry. 43
3. The study must provide opportunities for stakeholder input, including, 44
without limitation, testimony or data from: 45
(a) Representatives of the film, television and postproduction industries; 46
(b) Organized labor and trade organizations; 47
(c) Public and private institutions of higher education; 48
(d) Tribal governments and local municipalities; 49
Senate Amendment No. 994 to Assembly Bill No. 238 Second Reprint Page 7
(e) Economic development organizations, including, without limitation, 1
the Governor’s Office of Economic Development and the Nevada Film Office; 2
(f) Representatives from developers and other interested parties; and 3
(g) Members of the public and other interested or affected parties. 4
4. A report of findings and any recommendations must be submitted to 5
the Director of the Legislative Counsel Bureau for transmittal to the 2027 6
Session of the Nevada Legislature. 7