>> A CHECK UP ON NEVADA'S LEGISLATIVE SESSION.

JACOB SOLIS FROM THE NEVADA INDEPENDENT JOINS US FROM CARSON CITY.

JACOB, WELCOME, PLEASE TELL ME ABOUT SOUTHERN NEVADA POSSIBLY WELCOMING SONY PICTURES TO THE AREA.

>> THAT'S RIGHT.

SORT OF A SURPRISE ANNOUNCEMENT WE GOT YESTERDAY, BUT SOME RUMBLINGS HAVE BEEN HAPPENING FOR A VERY LONG TIME.

SONY PICTURES COULD BE MOVING TO LAS VEGAS, BUT IT WOULD ONLY HAPPEN UNDER SORT OF AN EXPANSION OF EXISTING TAX CREDITS.

BUT THE BROAD STROKES HERE ARE THAT WE EXPECT -- MAYBE I SHOULD CAVEAT -- WE DON'T KNOW THERE'S GOING TO BE A PRESS CONFERENCE LATER TODAY -- BUT IT COULD BE ON THE ORDER OF MULTIBILLION DOLLAR DEAL WE'RE TALKING ABOUT OVER THE COURSE OF 20 YEARS, BUT IT WOULD REQUIRE A CHANGE TO NEVADA TAX LAW.

>> OKAY.

SO PRESS CONFERENCE LATER TODAY.

WE ARE TAPING THIS ON THE MORNING OF THURSDAY MAY 11TH.

SO YOU WILL FIND OUT THE PARTICULARS.

YOU MENTIONED NEVADA LAW HAS TO CHANGE FROM WHAT IN ORDER TO ACCOMMODATE WHAT WOULD BE A HISTORIC AMOUNT OF TAX INCENTIVES, CORRECT?

>> THAT'S RIGHT.

SO THERE WOULD BE TAX CREDITS ATTACHED TO THIS DEAL BUT RIGHT NOW ALL FILM PRODUCTIONS IN NEVADA ARE CAPPED AT $10 MILLION.

AND ANY SINGLE PRODUCTION IS CAPPED AT $6 MILLION.

WE DON'T KNOW THE EXACT SCOPE OF THIS PARTICULAR DEAL QUITE YET.

BUT WE DO EXPECT IT TO BE ORDERS OF MAGNITUDE LARGER THAN THAT.

NORTH OF $100 MILLION PER YEAR, CERTAINLY.

>> WOW.

SO WHAT WOULD THIS MOVE ENTAIL, CONSTRUCTION OF A NEW FACILITY, OR TAKING OVER SOMEWHERE THAT'S ALREADY IN EXISTENCE?

WHAT HAVE YOU HEARD?

>> WE'VE HEARD THAT IT WOULD PROBABLY INVOLVE A NEW FACILITY SOMEWHERE IN LAS VEGAS.

AGAIN, THE DETAILS OF THAT, WE WOULD PROBABLY EXPECT TO KNOW MORE LATER TODAY.

BUT CERTAINLY WE'VE SEEN DEMOCRATS ANNOUNCE THE INVOLVEMENT OF CONSTRUCTION COMPANY AND THE HOWARD HUGHES COMPANY.

THERE ARE SORT OF BREADCRUMBS THAT SUGGEST A NEW FACILITY.

>> HOW BIG WOULD THIS MOVE BE?

>> IT WOULD BE ENORMOUS.

YOU LOOK AT OBVIOUSLY THE A'S ARE A BIG DEAL IN CARSON CITY.

THAT WAS ORIGINALLY $500 MILLION DEAL NOW IT'S MAYBE $395 MILLION.

YOU LOOK AT TESLA.

HOWEVER -- THIS DEAL WOULD BE ORDERS OF MAGNITUDE LARGER THAN THAT.

AGAIN, SORT OF THE CAVEATS IS WE DON'T KNOW EXACTLY WHAT THESE NUMBERS ARE.

THIS IS BASED ON WHAT WE'VE BEEN HEARING.

>> AND WHAT WOULD SONY PICTURES HAVE TO PRODUCE IN ORDER TO GET LAWMAKERS ON THEIR SIDE?

>> I THINK THAT'S A GOOD QUESTION.

THAT'S WHAT WE DON'T HAVE A GOOD ANSWER TO.

LAWMAKERS HAVEN'T REALLY REACTED TO THIS NEWS IN CARSON CITY YET.

WE'LL SEE WHAT HAPPENS WHEN THIS PRESS CONFERENCE HAPPENS.

AND WHETHER OR NOT THE GOVERNOR'S OFFICE IS ON BOARD AND BASICALLY WHAT THE ACTUAL FRAMEWORK OF THIS DEAL LOOKS LIKE.

>> WOW.

OKAY.

WELL, A POSSIBLE HISTORIC MOVE BY SONY PICTURES TO LAS VEGAS SHOULD THESE TAX INCENTIVES BE APPROVED, A BILL AS YOU REPORTED GOING TO BE INTRODUCED, YOU EXPECT, LATER TODAY.

YOU MENTIONED THE OAKLAND A'S.

THEY ARE NOW, ACCORDING TO THE NEVADA INDEPENDENT, LOOKING AT A DIFFERENT LOCATION FOR THEIR $1.5 BILLION STADIUM.

THEY'RE LOOKING AT THE SITE OF THE TROPICANA INSTEAD OF WHAT WAS ORIGINALLY ANNOUNCED BY THE TEAM, LAND NORTH OF ALLEGIANT STADIUM THAT THEY PLANNED TO BUY FROM RED ROCK RESORTS.

WHAT'S THE REASON BEHIND THIS CHANGE?

>> I THINK ONE OF THE BIG REASONS IS THE AMOUNT OF PUBLIC MONEY INVOLVED.

THAT ORIGINAL SITE WOULD HAVE COST ABOUT $500 MILLION IN STATE MONEY.

THIS NEW SITE IS BEING PROPOSED AS A $395 MILLION.

DOES THAT $105 MILLION END UP MOVING THE NEEDLE AMONG SKEPTICAL LEGISLATORS OR EVEN SKEPTICAL COUNTY OFFICIALS, I THINK THAT'S AN OPEN QUESTION.

BUT CERTAINLY THAT SEEMS TO BE THE MAIN DRIVER.

>> AND HOW WOULD THIS DEAL WITH THE TROPICANA WORK?

>> AS WE UNDERSTAND IT, THERE WOULD BE A SUBSTANTIALLY SMALLER LAND COST.

AND SO THAT'S ALSO AN INCENTIVE FOR THE A'S.

THERE HAVE BEEN SOME DETAILS ABOUT EXACTLY HOW THIS STADIUM WOULD BE BUILT.

IT WOULD INVOLVE DEMOLISHING THE TROPICANA AS IT EXISTS NOW.

BUT IF WE'RE LOOKING AT THE SPECIFICS OF THE DEAL, WE FRANKLY HAVEN'T SEEN BILL LANGUAGE YET.

AS FAR AS LIKE THE TAX STRUCTURE, HOW THE EXACT KIND OF PUBLIC MONEY THAT WOULD GO INTO THIS.

WE DON'T ACTUALLY QUITE KNOW YET.

>> BECAUSE THAT'S WHAT I WAS GOING TO ASK YOU NEXT.

IS THIS GOING TO BE A SIMILAR TAX STRUCTURE TO WHAT THEY WERE PROPOSING WITH THE LAND OWNED BY RED ROCK RESORTS WHICH WAS GOING TO BE A TAX DISTRICT, YOU DON'T KNOW YET EXACTLY HOW THIS PUBLIC FUNDING WOULD BE CREATED?

>> RIGHT.

AND WE DO EXPECT BILL LANGUAGE SOON.

LAWMAKERS, LEGISLATIVE LEADERS I SHOULD SAY LAST WEEK BASICALLY SAID THEY WERE RUNNING OUT OF TIME FOR SUCH A MAJOR BILL TO MAKE IT THROUGH THE PROCESS THIS REGULAR LEGISLATIVE SESSION.

AND SO WE THINK THERE IS A BILL IN THE WORKS.

AND IT COULD COME AS EARLY AS THE END OF THIS WEEK.

IT COULD COME AS LATE AS NEXT WEEK.

BUT WE'RE NOT QUITE SURE.

>> YOU KNOW, IT'S FUNNY JUST A COUPLE WEEKS AGO WE HAD SEAN GOLONKA ON TALKING ABOUT THIS AND HE SAID WE COULD EXPECT BILL LANGUAGE AS SOON AS TOMORROW, TWO WEEKS HAVE PASSED SINCE THEN.

I JUST WONDER, WITH SO MANY STADIUM PROPOSALS HAVING COME AND GONE IN LAS VEGAS, VIEWERS MAY BE THINKING, GOSH, DOES THIS REALLY HAVE A GOOD CHANCE OF THIS HAPPENING, THE OAKLAND A'S RELOCATING HERE.

AND I'M WONDERING WHAT YOU'RE HEARING UP IN CARSON CITY, WHAT IS THE SENTIMENT AMONG LAWMAKERS OR LOBBYISTS OR YOUR OWN PEERS THE ODDS OF THIS ACTUALLY HAPPENING?

>> I THINK IT'S AN OPEN QUESTION RIGHT NOW.

CERTAINLY LAWMAKERS HAVE BEEN HESITANT TO COMMENT ON ANYTHING BECAUSE THERE'S NOTHING REALLY TO COMMENT ON.

THEY HAVEN'T ACTUALLY SEEN A BILL.

SO WHEN WE ASK THE SPEAKER OF THE ASSEMBLY OR SENATE MAJORITY LEADER THEY'LL SAY, WELL, WE HAVEN'T SEEN ANYTHING.

SO RIGHT NOW EVERYONE IS SORT OF SITTING ON THEIR HANDS.

PUBLICLY.

>> TRANSITIONING -- PUBLICLY, GOOD POINT.

I WAS LISTENING TO AN INDY MATTERS FOR THE NEVADA INDEPENDENT, YOU DO SUCH A GOOD JOB ON THAT, BY THE WAY, THERE WAS AN AD FROM THE NEVADA EDUCATION ASSOCIATION SAYING SCOLDING LAWMAKERS FOR WANTING TO FUND $500 MILLION FOR WHAT THEY CALLED CALIFORNIA BILLIONAIRE.

IT WAS KIND OF A VEILED SHOT AT THE OAKLAND A'S SITUATION.

BUT I WAS THINKING EDUCATION GROUPS LIKE THEM SHOULD BE SOMEWHAT PLEASED WITH PROGRESS THAT'S BEEN MADE IN K-12 FUNDING.

WHAT CAN YOU TELL US ABOUT THAT?

>> THAT'S RIGHT.

JUST THIS MORNING, ACTUALLY, MAJOR BUDGET COMMITTEE VOTED TO APPROVE $2 BILLION IN ADDITIONAL K-12 MONEY.

THIS GOES THROUGH THE STATE'S K-12 FUNDING FORMULA THE PEOPLE-CENTERED FUNDING PLAN.

BASICALLY THE LONG AND SHORT OF IT IT'S A 26% INCREASE IN THE AMOUNT OF STATE K-12 FUNDING COMPARED TO THE LAST TWO-YEAR BUDGET CYCLE WHICH IS ENORMOUS.

BUT IT'S STILL SORT OF LAGS THE RECOMMENDATIONS FROM THE COMMISSION ON SCHOOL FUNDING WHICH SAYS THE STATE NEEDED TO SPEND UPWARDS OF $3.2 BILLION OVER A TEN-YEAR PERIOD JUST TO SORT OF GET TO RECOMMENDED FUNDING LEVELS.

>> AND THAT COMMISSION ON SCHOOL FUNDING, WHAT WERE THEY RECOMMENDING IN ORDER TO RAISE THAT MONEY?

>> THEY WERE ACTUALLY RECOMMENDING AN INCREASE IN THE STATE'S PROPERTY TAX AND SALES TAXES.

SOMETHING THAT NEITHER LEGISLATIVE DEMOCRATS OR THE REPUBLICAN GOVERNOR'S OFFICE HAVE BEEN SUPER EXCITED TO TOUCH WITH 100-FOOT POLE.

INSTEAD WHAT THEY'VE BEEN RELYING ON IS MASSIVE TAX REVENUE INCREASES.

THE STATE SAW A TREMENDOUS INCREASE IN THOSE REVENUE COLLECTIONS AND SO BECAUSE OF THE WAY THE FUNDING FORMULA WORKS, $2 BILLION JUST GOT INJECTED INTO IT.

SO I THINK THEY'RE JUST RELYING ON THAT RIGHT NOW.

>> AND BOTH DEMOCRATS AND REPUBLICAN GOVERNOR JOE LOMBARDO WANT TO CLAIM CREDIT FOR THAT AS YOU'VE REPORTED.

THANK YOU SO MUCH FOR YOUR TIME.

JACOB SOLIS OF THE NEVADA INDEPENDENT.