The effort to bring two Hollywood studios to Southern Nevada ended without success at the close of Nevada’s legislative session. The proposal faced significant challenges, including last-minute amendments and procedural delays. The primary bill, Assembly Bill 238, aimed to create the Summerlin Studios project by overhauling the state’s film tax credit program. It proposed expanding the program from a $10 million cap to $95 million annually for 15 years, contingent upon the studios’ development commencement in 2028.
The proposal, supported by major industry players like Sony Pictures Entertainment and Warner Bros. Discovery, promised a substantial economic impact but faced criticism for potentially low fiscal returns. A state report indicated that for every dollar spent on tax credits, only 52 cents might be returned in tax revenue.
State Sen. Roberta Lange introduced a competing proposal, Senate Bill 220, seeking to expand the film tax credit program, but it did not progress out of committee. In the final hours of the session, an amendment suggested replacing AB 238 with a study on developing a sustainable film industry, but this amendment did not receive a Senate vote.
The decision-making process saw intense lobbying and political maneuvering, with AB 238 narrowly passing the Assembly. Concerns about economic uncertainty led to the inclusion of financial safeguards and capital investment requirements in the bill. Additionally, a proposed entertainment district on the studio site aimed to fund expanded pre-K programming in Clark County.
Despite these efforts, the session concluded without passing the bill, leaving the future of film studio development in Southern Nevada uncertain.