Published on: October 7, 2025, 12:56h.

Updated on: October 7, 2025, 12:56h.

On Monday, Nevada’s Governor Joe Lombardo revealed plans to reconvene the Nevada State Legislature for a special session. This development raises the likelihood that lawmakers will reexamine a film tax credit bill that successfully passed the State Assembly in late May but failed to secure a Senate vote before the regular legislative session concluded.

Assembly Bill 238 (AB 238), known as the Nevada Studio Infrastructure Jobs and Workforce Training Act, aims to provide about $1.4 billion in transferable tax credits over a 15-year period for the development of a 31-acre movie studio in Summerlin, a Las Vegas suburb. The project has garnered significant support from Sony Pictures Entertainment, Warner Bros. Discovery, and property owner Howard Hughes Holdings, which owns the proposed site at Flamingo Road and South Town Center Drive.

This bill, co-sponsored by Assemblywomen Sandra Jauregui (D‑Las Vegas) and Daniele Monroe‑Moreno (D‑North Las Vegas), passed the Assembly with a close vote of 22–20 on May 30, 2025. However, it did not receive a Senate vote before the conclusion of the session, particularly after Sen. Roberta Lange (D‑Las Vegas) proposed an amendment to convert it into a broader industry study.

A coalition called Nevada Jobs Now, formed by various trade unions on Tuesday, is advocating for the project. The coalition estimates that the development would create over 19,000 construction jobs and 17,000 permanent positions, resulting in an economic impact exceeding $3 billion annually for Las Vegas. They also highlight an average annual salary of $113,000 for direct roles at the studio — a figure provided by project supporters rather than independent state evaluations.

In contrast, two reports commissioned by the Governor’s Office of Economic Development questioned the projected fiscal benefits of the plan. One report indicated that for every dollar allocated toward the credits, Nevada would receive just 52 cents in tax revenue, casting doubt on the assumptions regarding “screen tourism” and the degree of out-of-state employment.

At the same time, the Senate has put forward a competing measure, SB 220, known as the Nevada Film Infrastructure, Workforce Development, Education, and Economic Diversification Act. Sponsored by Sen. Lange, this bill proposes a different 34-acre studio at UNLV’s Harry Reid Research and Technology Park, collaborating with Birtcher Nevada Development. Unlike AB 238, this project lacks major Hollywood studio involvement.

SB 220 failed to advance out of the Senate Finance Committee by the end of the legislative session. Lange is advocating for a merger of aspects from both AB 238 and SB 220 into a comprehensive package during the upcoming special session, with an estimated allocation of around $60 million for each project.

Special sessions have become increasingly common since a 1999 voter-approved initiative set a strict 120-day limit on regular legislative sessions. Since 2001, there have been 20 special sessions, including notable extended sessions for tax disputes in 2003 and more recent gatherings related to COVID-19 (2020–2021) and stadium incentives (2016–2017).

Governor Lombardo did not specify exactly when the special session will take place, only indicating it would happen within the next few months.

The upcoming regular legislative session in Nevada is set to commence on February 1, 2027.