As Nevadans from Las Vegas to Gerlach, and from Reno to Ely watch Governor Gibbons tonight at 6 on TV, they’ll be watching a Governor lay out the state’s darkest picture in the history of Nevada. The picture will be of a Nevada that is broke with little prospect of paying its bills. Some wonder if the federal courts will step in because Nevada may no longer be able to protect its citizens or render services guaranteed under federal law. As Assembly Speaker Barbara Buckley lamented, “the state could lay off every worker paid for by the general fund and still be a third of a billion dollars short over the next two years.”
Nevada’s shallow tax system relies heavily on “play money spending” by residents living in surrounding states. But suffering the worst economic downturn in the past 80 years, those tourists are staying home. The result – Nevada is suffering a black hole in its budget that is seemingly impossible to fill.
Conservatives cry “get used to smaller government,” while liberals yell “you can’t turn your backs on education and medical care for the poor and prison inmates. It’s not legal!” Even Governor Gibbons’ projected ten percent cut in the budget covers only half of the hole.
Gibbons tonight will announce the layoffs of 234 state workers that legally require 30 day notice.
He is also expected to talk about an emergency suspension of collective bargaining elements in teacher contracts along with reducing the length of the school year to something less than 180 days. Class sizes would go up, and full day kindergarten would be scrapped for the time being. Further cuts would threaten to shut down the state’s two major universities, UNR and UNLV. Lynn Warne, president of the state’s teachers’ union said she is “tired of the Governor and Legislature’s hand-wringing and their endless lament on the unpopularity of higher taxes.” Warne has joined a growing chorus of those who claim that the state doesn’t have a spending problem – it has a revenue problem worsened by artificially low taxes on big gaming and big mining who, they claim, have avoided paying their fair share of the state tax load for decades.
The Governor’s State of the State speech begins tonight, 6pm, on Reno’s three network channels, 2,4 and 8.
#1 by dhataway on February 9, 2010 - 10:55 am
I had a friend once who was a staunch conservative and always called for lower taxes and less government until one day his wife had a debilitating stroke. He then found himself a 24-7 caregiver and it was taking a toll on both of them. One day I suggested that he might check out the Meals on Wheels and Home Health Nurse programs. Latter he told me that he never would have survived if it were not for those programs. So when conservatives cry “get used to smaller government,” I hope they never find themselves in the situation as my friend because those services and similar ones may no longer be available. Sad…