Assembly measure would allow for increases in taxes

Erin Neff

Thursday, Feb. 15, 2001 | 10:28 a.m.

Taxes could go up if Assembly Bill 137 passes and if voters agree to increase the statutory limitations on the state's tax levy.

The bill, which originated in the Assembly Ways and Means Committee, would allow voters to decide whether a certain public project could be funded and built by raising the tax cap.

Currently the total tax levy for all public purposes cannot exceed $3.64 on each $100 of assessed property value.

Senate Majority Leader Bill Raggio, who has opposed similar legislation in past sessions, said the bill is short-sighted.

"I don't think it's very fiscally prudent," said Raggio, R-Reno. "Before we start raising the whole statutory limit, I think we need to look at the whole tax system."

With Gov. Kenny Guinn projecting a $1 billion shortfall within eight years, and some lawmakers questioning the revenue projections in his proposed budget, many believe some form of tax will be needed.

The bill would require that any ballot question put to voters provide a clear statement explaining the current $3.64 tax cap and that a yes vote would allow it to be increased.

A secretary for Ways and Means Chairman Morse Arberry, D-Las Vegas, said Arberry was unavailable to comment on the bill until Monday.

Tax talk is whispering throughout the legislative building as lobbyists attempt to offset an initiative petition and Sen. Joe Neal's gaming tax increase proposal.

Today the Assembly Taxation Committee will hear testimony regarding the teacher's tax initiative, which would impose a 4 percent tax on business profits over $50,000 to pay for education needs.