Las Vegas Sun

March 28, 2024

Agencies, lobbyists, lawmakers not losing hope despite tight budget

Jobs have been eliminated, senior programs cut and funding for growth in the higher education system is limited to well below the number of students expected to enroll.

But those seeking more money are still hoping for a break when new tax revenue projections are delivered to lawmakers by May 1.

The $3.2 billion budget proposed by Guinn in January was based on cautious revenue estimates by the Economic Forum, made up of finance experts whose projections must be used in adopting a balanced budget.

The panel's projections forced Guinn to erase a $141 million shortfall by cutting existing programs and by not financing new requests.

Pete Ernaut, Guinn's chief of staff, said sales and casino taxes are coming in at stronger levels than expected, but not enough to make more than a modest upward change to the panel's November estimate.

Budget discussions have hinted that only $20 million in new money will become available, which wouldn't be enough even for a 1 percent employee cost of living pay raise. That's Guinn's top priority if the tax revenue projections are raised.

"There are a number of programs Gov. Guinn wanted to include in the budget that we simply could not come up with the money for," Comeaux said. "A number of agencies have said that if there is more money, put us on the list. But it's a long list."

Senate Finance Chairman Bill Raggio, R-Reno, said one of the biggest budget issues is whether the state can close the Southern Nevada Correctional Center at Jean and save $8.1 million as proposed by Prisons Department Director Bob Bayer.

Another issue is whether the state can privatize prison medical services to save another $6 million.

Finally, there's the question of the financial effect of fixing the state employee health plan, he said.

Raggio cautioned that those seeking more money shouldn't get their hopes up too high.

"I'm not optimistic that the next report is going to produce that much difference," he said. "It will be a limited increase and will not accommodate many new proposals."

Assembly Ways and Means Chairman Morse Arberry, D-North Las Vegas, said the biggest challenge so far is getting a handle on the spending plan. Changes are sent over from the Budget Division almost every day, he said.

Trying to determine where and if there are holes in the budget has been difficult because of these constant changes, Arberry said.

"We're trying to put it all together to find what the governor cut out," he said. "But they aren't going to point all the cuts out to us. It's like an Easter egg hunt."

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