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November 9, 2009

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Editorial: No more free ride for rurals

Wednesday, May 24, 2000 | 9:28 a.m.

A sensible plan is in the works, which likely will be addressed by the 2001 Legislature, that would more equitably distribute almost $40 million in gas tax revenues among Nevada's counties. As it stands now, these gas taxes are allocated according to a county's population, road miles and vehicle miles traveled on the roads. This formula has aided rural counties because urban counties, such as ours, are more densely populated. But as the Nevada Appeal reported this week, a legislative subcommittee has proposed a new formula: While it ensures rural counties won't get less than they do now, nearly all new additional revenues would go to Nevada's urban areas.

Rural county officials worry that they will be harmed by any change, but these are hollow complaints. If all counties were levying the same gasoline tax, then there would be some justification. But the fact is that Clark and Washoe counties are unfairly subsidizing the rural counties since these two urban areas levy the maximum 9 cents per gallon tax, while nine rural counties levy just 4 cents a gallon. "My county's taxpayers are exporting money to your counties and your taxpayers don't want to pay the 9 cents," Michelle Gordon of Washoe's Regional Transportation Commission told rural officials at a recent subcommittee hearing.

This legislative subcommittee has been exploring this issue for four years now. The 2001 Legislature should change the formula so that not only does the free ride end for those rural counties not levying the same rate as us, but also ensuring that Nevada's fast-growing urban counties are getting their fair share of these gas tax funds.

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