Nevada’s largest state worker union is publicly opposing a proposed massive expansion of the state’s film tax credit program for the first time, ahead of an expected special session this fall.

The American Federation of State County Municipal Employees (AFSCME) Local 4041, which represents thousands of state workers, had quietly opposed the proposal during the 2025 legislative session but now will be mobilizing an outreach campaign in the coming weeks and publicly urging lawmakers to oppose any expansion of film tax credits. Gov. Joe Lombardo last week said he would call a special session later this year to tackle “unfinished business” from the 120-day legislative session that ended in June, but didn’t give details as to what would make it on the special session agenda.

As part of its increased public outreach, the union joined the Sierra Club Toiyabe Chapter, Nevada State Education Association, the progressive groups New Day Nevada and Battle Born Progress and other organizations in signing a letter Wednesday urging Lombardo not to consider the film tax expansion proposal as part of the special session. 

First shared with The Nevada Independent, the letter outlines fears about a poor return on investment with film tax credits and called the proposal “fiscally irresponsible and politically indefensible.”

“Every dollar we lock into a corporate handout is a dollar we can’t put toward our rainy-day readiness, public education, healthcare, wildfire mitigation, housing, and the basic services Nevadans rely on when times get tight,” it reads.

Members of the union who spoke to The Nevada Independent about the film tax expansion proposal said they aren’t opposed to bringing the film industry to Nevada, but they don’t want it to be funded at the expense of state workers or services. They highlighted concerns that state workers have historically borne the brunt of budget cuts during economic downturns.

“Working in social services, we can see federal changes coming through where we’re going to be having to pay more, trying to come up with more money for expenses, and it just doesn’t seem to make sense to give away Nevada’s money, especially giveaways to help people outside of Nevada,” said Nalani Page, an AFSCME member and a family service specialist with the Division of Social Services.

Speaking as a member of the union, Blaine Harper, a staff research associate for UNR, said that looming federal changes and an uncertain economy should force any special session to deal with economic issues first.

“It doesn’t seem like the Nevada economy is the real reason,” she said. “To me, that’s what the purpose of a special session should be.”

The letter addressed to the governor is being delivered the same day that building and construction trade unions in Southern Nevada are holding a town hall focused on the film tax credit expansion. Those unions have touted the proposal as a way to expand job opportunities during an economic downturn and diversify the economy, and funded a PAC with $1 million as part of a public education campaign to boost support for expanding film tax credits. AFSCME and the Southern Nevada Building Trades are both affiliates of the State of Nevada AFL-CIO. 

Proponents of the film tax measure have said they are focusing on an Assembly version of the film tax bill, which proposed appropriating $95 million in annual transferable film tax credits for a period of 15 years, beginning in 2028. It would mark an 850 percent increase from the existing film tax credit program. The bill would also create a special district whose tax revenues are estimated to bring in about $11 million annually for pre-K in Clark County across the next 17 years.

They’ve responded to criticism by saying that it’s designed to generate jobs and requires an investment from developers and the industry before any money from the state is allocated.

AFSCME members said ongoing and future requests for state-provided services will only be further squeezed by a massive tax credit expansion. As a state services worker, Page said she’s already seeing budget shortfalls and financial issues affecting clients and expects to see reductions in force.

From a personal standpoint, Page said she has experienced all the same complications and struggles that others have faced when trying to receive supportive services from the state. Her 13-year-old daughter with disabilities has been on a wait list for nine or 10 months without an end in sight.

“We sign up to do work as public servants to help, and when we get our hands tied, essentially due to employee shortages or reduction in programs, it’s heartbreaking all around,” Page said. “Being a Nevadan who is in need of those services, it makes life so much more difficult than it needs to be.”

Workers speak out

In 2023, lawmakers approved the largest pay raises for state employees in decades, which passed along party lines with no Republican support. The raises helped cut the state’s vacancy rate in half, but UNR’s Harper said there needs to be continual investment by the state to maintain that type of progress — and a massive expansion of film tax credits will make that harder to accomplish.

Though unionized state workers negotiated 3 percent annual raises through collective bargaining, they did not receive that during the 2025 legislative session because of the tight state budget and a quirk in the state’s collective bargaining law that gives the governor veto power over collectively bargained salary negotiations. Ultimately, union members received 1 percent raises and $1,000 retention bonuses.

Tara Carter, another AFSCME member and a developmental support technician at the Desert Regional Center in Las Vegas, which offers services for people with disabilities, said she’s not automatically opposed to bringing in movie studios to diversify the economy or increase job potential. But she said it’s not clear where the money is coming from, and doesn’t want it to be at the expense of state workers or people receiving state services.

Carter has worked for the state for more than 25 years. During the Great Recession, she said that she and her wife, who also works for the state, faced furloughs and other cost-saving measures that made life financially difficult.

She had to pick up a side job to afford the cost of housing and other living expenses. 

“It just seems like whatever happens in Nevada, the first thing they want to do is cut things from state workers,” Carter said.