Auto industry bailout (redux), Internet gaming, and economic stimulus in Nevada

By Lisa Mascaro

Monday, Dec. 1, 2008 | 4:11 p.m.

(First published at 10 a.m.)

WASHINGTON - Good day, Early Liners. A bit mobile this morning so, briefly, here's the top of the Monday news.

President-elect Barack Obama announces his "Team of Rivals"-inspired national security nominees, the automakers prepare to meet Tuesday's deadline to submit detailed proposals for the $25 billion bailout in advance of this week's hearings in the House and Senate, and Carson City prepares for next week's probable special section as the state Legislature stares down tough budget cuts.

The New York Times had a Sunday story about the gaping hole auto dealers leave in a community when they go belly-up. Not just jobs lost, which as we've reported are fewer than 1 percent of Nevada's workforce, but also in philanthropic donations to Little League and local groups. Made me wonder how those in Nevada are doing these days.

- Also closer to home, be sure to check out the Internet gaming series that started in Sunday's Washington Post (and last night on "60 Minutes"), continuing today with the question: Should Internet gambling be legal?

Nicely timed, as the new federal regulations against online poker and other games were just announced, as I reported last month, taking effect in 2009.

Lots of legislation is expected to resurface with the start of the new Congress in January as some seek to undo the online gambling ban or at least regulate (does that mean tax?) or study (Nevada lawmakers' preference) the Internet games.

- Also, for those (including the White House) who say public works spending won't stimulate the economy fast enough to do any good, Nevada's officials say bring it on.

The state's public works-related agencies, colleague Alexandra Berzon reports, have $1 billion in projects that could create thousands of jobs just waiting for cash:

"Calls to a number of agencies in recent days revealed a wish list of more than $1 billion in unfunded infrastructure projects that state and local agencies say they could begin quickly."

Yet skeptics remain, including George Will who, in pulling from new literature about the cause-effects of Depression-era policies, warns in today's Post that "caution is sensible concerning calls for a New Deal."

- Many interesting weekend reads, including the Reno Gazette-Journal's profile of Lt. Gov. Brian Krolicki, who was considering a challenge to Senate Majority Leader Harry Reid but recently announced he is expecting to be indicted.

That's it for now. Check back later today for updates on political news from Nevada.

Well, it’s official. The recession we’ve been talking about for nearly a year started about that time, according to the nation’s arbiters of fiscal health at the National Bureau of Economic Research.

That comes as no surprise in Nevada, where economists have been saying the recession hit the state back in October of 2007.

For another glimpse at how Nevada’s lawmakers in Washington are approaching the crisis, consider Republican Sen. John Ensign today on MSNBC saying tax cuts will spur growth.

"Let’s look at what taxes we could cut to stimulate the economy," Ensign said. "Right now we need to look at what were going to do to stimulate job creation in the United States."

Ensign, now chairman of the Senate Republicans’ policy committee, has been cool to government spending to spur growth. (He voted against the most recent plan in Congress, which died in October in the Senate.)

Many economists now agree that a massive stimulus program will be needed, one that mixes tax cuts as well as government spending.

• In taking a closer look at Obama’s team of rivals today, I recalled having breakfast with General Jones earlier this year when he discussed about energy as a national security issue.

• Congresswoman-elect Dina Titus’ re-election apparently started Nov. 5, if today’s missive from the House Republicans’ campaign committee is any guide.

The committee says Titus should call on Democratic Rep. Charlie Rangel of New York to step down as the chairman of the powerful Ways and Means Committee after he has come under scrutiny for potential ethical lapses. Rangel had supported her campaign, the committee notes. Titus will have to answer questions like this and others as she settles into the seat Republicans would surely try to win back in 2010.