Committees study governor’s budget

Monday, May 23, 2005 | 9:04 a.m.

CARSON CITY -- Gov. Kenny Guinn proposes to spend $321.8 million over the next two years for construction projects, including a new college of urban affairs building at UNLV and a major addition to the High Desert State Prison near Indian Springs.

With two weeks remaining in the Legislature, the joint budget committees were taking a look today at Guinn's plans that would set aside $276.9 million in state funds and use $44.9 million in other revenue.

The governor proposes to invest $24.1 million in state money in the urban affairs building, with $13 million coming from the Greenspun family to complete the financing of the 90,000 square foot building. The Greenspun family owns the Las Vegas Sun.

Another major project is the $58.7 million in state funds for three housing units of 168 cells each at the High Desert State Prison.

The governor's budget also includes $15.8 million in state funds for furniture and equipment for the Science & Engineering Building at UNLV that is expected to be completed in the next two years.

Meanwhile the plan to continue the Millennium Scholarship program at the Higher Education System of Nevada got a boost Friday. The Assembly Ways and Means Committee approved Assembly Bill 560 that calls for $35 million in state funds and $7.6 million a year from the unclaimed property account to continue the scholarships.

It has been funded with proceeds from the tobacco settlement money, but that revenue is coming in less than expected. Guinn originally proposed floating a $100 million bond to continue funding the program with an annual $7.6 million from the unclaimed property trust fund to retire the bonds.

Guinn and Legislative leaders worked out a compromise that puts $32 million from the state's general fund for a one-shot appropriation and then uses the unclaimed property fund to keep the scholarship afloat in future years.

The bill, which moves to the floor of the Assembly for a vote later this week, also transfers the program Board of Regents, away from the treasurer's office.

Meanwhile the proposed constitutional amendment to eliminate the elective offices of state treasurer and controller is dead in the Senate Legislative Operations & Elections Committee. Although no formal vote was taken on Assembly Joint Resolution 3, Sen. Barbara Cegavske, R-Las Vegas, the chairwoman of the committee, said there was no support for the proposal.

Assemblyman Bob Seale, R-Henderso,n had sponsored the measure, saying it would save $1.5 million a year. It would have scrapped the two elective offices and replaced them with an elective secretary of finance.

At a hearing last week before the committee, members express skepticism that the elimination of the two elective positions would save that amount of money.

Meanwhile the Senate was expected to vote today on Guinn's Commission on Educational Excellence that would allocate money to low performing schools to bring them up to par. The commission would be composed of two teachers, two principals, two school district administrators, one parent and one representative of a regional center that trains teachers.