Film projects at Summerlin could seek tax credits and training support

Production companies at the Summerlin Production Studios Project would be allowed to apply for transferable tax credits. The provision covers companies located at the Project that produce qualifying film, television, digital media, or other visual productions there. Applications could be filed on or after December 1, 2026. Companies would need at least 70 percent of production funding, meet an in-state photography or spending test, follow Nevada hiring rules, and submit workforce plans and audits. The credits could be used against certain business, insurance premium, and gaming license taxes or fees. The Office of Economic Development could not approve more than $95 million in infrastructure credits for a fiscal year beginning on or after July 1, 2029, and could not approve applications submitted in a fiscal year beginning on or after July 1, 2044. Credits could not be used before July 1, 2029, and issued credits would expire at the end of the calendar year six years after issuance.

Production companies seeking noninfrastructure film tax credits would follow Nevada hiring, workforce-plan, audit, and production-location rules. The rules would apply to qualifying productions made in Nevada in whole or in part, including digital media and excluding productions made solely for social media. Companies would need at least 70 percent of funding and either 50 percent of principal photography days in Nevada or at least $5 million in qualified Nevada spending. The required share of Nevada below-the-line workers would rise from 10 percent for applications starting July 1, 2026, to 60 percent for applications starting July 1, 2038. The Office could waive the hiring requirement when the company made a good-faith effort and too few qualified Nevada residents were available. For applications from July 1, 2029, through June 30, 2044, the base credit would be 30 percent of qualified spending, subject to a $25 million yearly program limit and other caps. The provisions would generally apply on January 1, 2027, only if the required development agreement is signed; productions with applications approved before January 1, 2027, would remain under prior rules.

The bill would direct production-related money to workforce training grants and would direct specified district tax revenues to Clark County prekindergarten and state retiree health costs. Training grants could go to colleges, schools, public agencies, labor groups, nonprofits, and other eligible providers; tax pledges would cover a production studio district within the unincorporated part of Clark County and within the Summerlin Project. One percent of the percentage used to calculate certain film tax credits would be transferred to the training account, reducing the credits issued to the production company by that amount. Thirty percent of grant money would support the Nevada Partners Vocational Training Studio, and 70 percent would support other eligible training organizations. The Clark County School District would use designated district revenues only for prekindergarten programs. The district could not be created, or would have to be dissolved, if the required development agreement was not completed on time. The Clark County district would be created by June 30, 2026, but only if the development agreement is completed within the required period; training grants would depend on money available in the account and Board approval.