Columnist Erin Neff: Money takes back seat in Nevada’s tax debate

Erin Neff

Friday, Jan. 3, 2003 | 4:31 a.m.

MONEY SEEMS to flow into the state's political issues in greater quantities than fresh water does into Lake Mead.

When the medical malpractice crisis called state lawmakers into an emergency session last year, they came with more than $1 million from the doctors and trial lawyers to help sway their decisions.

Gaming Inc., and to a lesser extent, mining in the north, have always spread their money around, knowing full well that the 63 electeds take care of the state's main industries.

The massive budget crisis -- and which taxes should be raised to solve it -- will dominate the 2003 session, and the monied powers could lose some of their normal sway. While money typically is the legislative grease that eases the way to answers, lobbyists can't just dump money into the fight against taxes.

So now, for perhaps the first time, lawmakers can -- and should -- act on what is in the state's best interest, not what best suits the state's interests.

There's never been a better time. The state is broke and the governor probably can't even balance the budget without asking lawmakers to raise some taxes immediately.

That's not a good scenario for traditional lobbying -- the wining, dining and campaign contributing designed to get something in return.

And lobbyists know it.

None of them flooded lawmakers with cash prior to Friday's prohibition on contributions.

It would be hard to dump a lot of money into a discussion about how the state doesn't have any.

Just imagine the committee hearings in which a particular interest -- maybe the Las Vegas Chamber of Commerce -- is asked how much it has spent to block a particular tax.

The chamber has spent the months leading up to the session ducking from a promise made at the end of the last one. Once a sworn part of the solution, the chamber is now just swearing allegiance to those who would kill a business tax.

You've got to think that one of the committee chairmen remembers the chamber's promise and will ask why the organization spent some campaign cash and its political capital trying to break it without going back on its "word."

Nobody -- not gaming, not residents, and not big business -- can avoid being tapped to fill an $800 million deficit.

Those who wanted to put money into the tax debate already have.

The chamber, for example, provided phone banking and campaign cash for some pro-business candidates on both sides of the aisle.

Gaming, mining and business were all represented on the Governor's Task Force on Tax Policy, the panel that recommended a series of tax hikes and new taxes to fill the budget gap.

But in Carson City, when lawmakers are trying to balance the budget by rushing through sin taxes and draining the rainy-day fund, any big anti-tax lobbying will seem out of place.

Money doesn't always drive the outcome of the debate, and it can actually create a backlash. Remember the $1 million plus Nevada Power spent to fight ballot Question 14?

The budget crisis is real and it's the most important issue that lawmakers will consider. At least in 2003 it appears the big money will take a back seat to big discussion.

And it's only amid that type of transparency that lawmakers will be able to act on their own.