CARSON CITY — Governor Brian Sandoval, Senate Majority Leader Michael Roberson and Senate Minority Leader Aaron D. Ford today issued the following statement after passage of Senate Bill 252 out of the Nevada State Senate. Senate Bill 252 is Governor Sandoval’s Business License Fee modernization plan, which provides the revenue necessary to invest in Nevada’s public education system.
“I would like to thank the members of the Nevada State Senate for the thoughtful and thorough review of Senate Bill 252. The Senate’s actions are proof that investing in Nevada’s public education system and providing students with resources they need are bipartisan priorities that unite us as we continue to build the New Nevada,” said Governor Brian Sandoval. “I would personally like to acknowledge the leadership of Majority Leader Roberson and Minority Leader Ford and thank their colleagues for taking this courageous vote which allows us to continue this important discussion. We are now one step closer to securing a future in which Nevada is the leader in education, innovation, and student success that I wholeheartedly believe we can be.”
“The State Senate was proud to accept the Governor’s challenge to modernize our revenue structure and invest in our children to strengthen Nevada and benefit generations to come. Passage of Senate Bill 252 is a major step toward fulfilling the promise of an education system that meets the demands of Nevada’s diverse and growing student population. The Senate Republican Caucus would like to thank Governor Sandoval for his vision and leadership and remains committed to working with his office and the Senate Democrats to build a stronger, more prosperous Nevada,” said Senate Majority Leader Michael Roberson.
“Nevada’s families deserve a public education system that will allow our children to meet their full potential, and today’s vote on SB 252 is an important step in that direction. We are one step closer to having a sustainable source of revenue that will properly fund our schools and other essential services,” said Senate Minority Leader Aaron D. Ford. “On behalf of the Senate Democrats, I would like to thank all of my colleagues and Governor Sandoval for their contributions towards the debate on how to best fund our education system. We look forward to the discussions that will take place over the next 6 weeks on the budget and how to fund these priorities.”
The State Controller and Treasurer, in turn, issued the following news release:
Nevada’s Fiscal Constitutional officers expressed their disappointment with the Nevada State Senate’s passage of the $438-million hike instituting the business license tax this morning. This tax is essentially the same as the gross margins tax that Nevada voters rejected four-to-one just five months ago. The Treasurer and Controller pointed out that other alternatives have been suggested:
- Postponing several items in the Governor’s $900 million in new expenditures (Treasurer)
- A $0.25 point-of-sale tax on hotel restaurant/bar receipts (Treasurer)
- Various new revenues that do not require tax increases or new taxes (Controller)
- Block grants and local flexibility in spending that would save hundreds of millions of dollars annually (Controller)
They thanked Senators Pete Goicoechea, Don Gustavson, Scott Hammond and James Settlemeyer, who opposed the bill.
“To propose a tax that has been explicitly rejected by Nevada voters displays a blatant disregard for the democratic process. The Governor has called for alternatives. Those have been provided. They should be considered along with reprioritizing several proposed expenditures,” said Treasurer Dan Schwartz,
“In the 2003 session, I witnessed firsthand the same tactics and passing of a similar destructive tax bill. It divided all parties badly and required two special sessions to repair the damage,” said State Controller Ron Knecht. “This time, I’ve worked with a group of Assembly members, and we’ve offered a compromise budget plan without any new or increased taxes that grows government slower than Nevada’s economy and secures the educational goals proposed by the Governor. The Assembly needs to take up this pro-growth plan.”
The two officers ask the Assembly to reject the tax hike. They also respectfully requested that the Governor sit down with the Constitutional Officers and Assembly leaders to formulate a budget that honors both the Governor’s program to improve education as well as the wishes of Nevada voters.