Assembly GOP leader quiet on proposed cuts

Tuesday, June 24, 2003 | 11:09 a.m.

CARSON CITY -- Assembly Minority Leader Lynn Hettrick, R-Gardnerville, said today he is not releasing his "hit list" of possible general fund budget cuts because he doesn't want his critics to "take pot shots at it."

Hettrick said he will talk to fellow Republican Assembly members tonight to brief them on possibly rolling back some of the increases granted in the $4.8 billion general fund operating budget already approved.

Republican Assembly members have balked at approving an $869 million tax package to fund the budget, but Hettrick said he thinks he can get enough votes to increase taxes by $704 million. That would mean $165 million would need to be cut from the budget.

The special session of the Legislature opens Wednesday in another effort to approve a tax package.

Assemblyman David Parks, D-Las Vegas, co-chairman of a special committee on taxes, said there are no final answers yet. But he said there will be talks today and maybe something can fall into place.

While Hettrick is keeping the rest of his list secret, he did highlight two areas in which $56 million could be saved.

The budget includes $30 million to infuse the "Rainy Day" fund to meet emergencies. He said he can't see raising taxes to fund a reserve.

Hettrick also said another $26 million can be saved by delaying the contribution of more money into the Public Employees Retirement System. The retirement system needs the money to continue on its goal of being fully funded by 2022.

Hettrick said that can wait for two years. He called a delay "poor practice," but said, "It's poor practice to raise taxes."

The delay will just postpone the system being fully funded for an additional two years, he said.

Republican Assembly members have blocked any tax increase, saying the budget must be chopped before they will vote for a tax hike.

Hettrick stressed that his proposed cutbacks will be to programs that have been enhanced and are not reductions to existing programs.

Meanwhile, Senate Majority Leader Bill Raggio, R-Reno, said he's exasperated by the budget deadlock. Raggio, who has been in the Legislature since 1973, called it a "well structured" budget and was reluctant to change it now.

He said he was "running out of options" the Legislature can consider to solve the budget dilemma. Unless the issue is resolved by July 1, Raggio said, the consequences could be tragic.

He said the matter could end up in court with a judge deciding what the budget or tax plan will be.

But Hettrick discounted that. He said a judge probably would just tell the Legislature to go back to work to fashion the tax and budget plan.

Still not approved by the Legislature is the proposed $1.6 billion school aid fund for the next two years. School districts have complained that without this money they cannot hire new teachers or plan for the upcoming school year.

But Hettrick counters that the school aid and state budget was not passed until July 5 in 1995 and there was no crisis then.