Economically Unsustainable Film Tax Credit Bill, AB238 Approved by Assembly

NEVADA— Today, in a rushed hearing and against a deadline, the Assembly passed the Film Tax Credit bill AB238 by a vote of 22-20. Twenty-Two Assemblymembers voted to pass the measure despite a report by GOED showing that the bill is not economically viable and the promises for increased economic growth contained flawed and misleading conclusions.

Alexander Marks, Deputy Executive Director, Nevada State Education Association, issues the following statement:

“Tonight, Nevada’s Film Marquee reads “Studios Over Schools: The $2 Session,”’ Rated F, like our education national rankings, for fiscal recklessness and misplaced priorities.

In the remaining days of the Session, the Legislature approved a pathetic $2 increase to per pupil funding that will harm our schools, while flatly rejecting the Commission on School Funding’s plan to fully fund public education. Then, the Assembly turned its full attention to their “Tinseltown Tax Break” to give Hollywood $1.65 billion in public money.

Our elected officials talk about valuing education, but their actions tell a different story. While nearly every politician claims to prioritize public schools, there’s a competing record of corporate giveaways that have drained over a billion dollars from Nevada’s budget. Nevada can't afford these handouts to corporations.

We are short $604 million in education funding this biennium and we trail the national average by $4099 per student. Throwing another $1.65 billion at a misguided corporate project won’t solve Nevada’s education crisis, it will deepen it. Nevada’s students need the Blockbuster Budget; Hollywood doesn’t need to use Nevada’s budget for its blockbusters.

Cassie Charles, Nevada Political Representative for AFSCME, issued the following statement:

“AFSCME members urge the legislature to support Nevada’s public employees, not billion-dollar Hollywood corporations. State workers face some of the lowest wages nationally, and past budget cuts have led directly to furloughs, reduced pay, and weakened benefits. AB238 risks financial instability and undermines public sector growth for years. Our priority should be funding the 3% raises public workers have earned, not giving billion-dollar subsidies to movie studios.”

Shelbie Swartz, Executive Director of Battle Born Progress, issued the following statement:

“Nevada is committed to economic growth—but AB238 does not support that goal. We've repeatedly witnessed the failure of trickle-down economics, where benefits promised by corporations rarely materialize. Working families face increasingly unaffordable housing, escalating living costs, and underfunded public services. Giving away billions to Hollywood elites won’t build the Nevada we deserve. If lawmakers are serious about economic diversification, they should invest in Nevadans—not corporate vanity projects that roll the credits before the jobs ever show up.”

Stacey Shinn, State Director of the State Innovation Exchange Action, issued the following statement:

“Nevada cannot afford costly handouts to Hollywood studios. Evidence from other states clearly demonstrates that film tax credits rarely deliver promised economic returns, often recovering only pennies on the dollar. Hollywood corporations routinely shift locations seeking greater subsidies, leaving states economically drained. Warner Brothers and Sony have already benefited from substantial subsidies elsewhere, inflating local costs without meaningful economic gains for residents. Nevada must prioritize the financial stability of its families over profit-driven studio interests. Our state's economic future should support its residents, not subsidize wealthy corporations.”

Andrew Clarke, Revenue Coalition Manager of New Day Nevada, issued the following statement:

“Nevadans deserve full transparency—not another screenplay riddled with plot holes and secret twists. With over a billion dollars of taxpayer money on the line, it's critical the public sees the full script, not just highlights from behind-the-scenes negotiations. We demand public records be released immediately, ensuring our residents aren't stuck paying for Hollywood’s next budget-busting flop. Nevada’s future deserves clear financial accountability, not hidden agendas.

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