Facebook
Fark
Digg
Reddit
StumbleWant to be governor? Plan to have a deficit plan
Sunday, Jan. 3, 2010 | 2 a.m.
Related stories
- Who has sliced spending the most? (12-26-2009)
- Gibbons, Nevada legislators discuss state budget (12-21-2009)
- State budget director: Prep for another 10 percent cut (12-15-2009)
- Echoes of Rogers in letter to governor (12-9-2009)
- Gibbons: Layoffs in next round of budget cuts (12-8-2009)
- Education, state workers hit in bare-bones budget (1-15-2009)
Gov. Jim Gibbons
Rory Reid
Brian Sandoval
Michael Montandon
In the good times, campaign slogans and vague promises are usually enough to get candidates elected. But in the 2010 race for governor, voters can — or at least should — expect more.
At least that’s the hope.
Whether it’s Jim Gibbons, Brian Sandoval, Mike Montandon or Rory Reid who takes the oath in early January 2011, within two weeks of being sworn in he will face a very tangible and serious problem: coming up with a budget that somehow closes a shortfall estimated at $2.5 billion, or nearly 40 percent of this year’s $6.5 billion budget.
Will there be cuts? Tax increases? A combination? Or some sort of fourth way that is being formulated right now?
Whatever it is, savvy voters will want a tangible plan from those vying to be governor.
The election is 10 months away. And it will take months for the current administration to formulate a budget before the 2011 budget cycle.
But the state is seeing tax revenue fall $67 million below the projections made in June, foreshadowing the troubles the state’s next governor will face.
Gibbons has asked agencies to prepare recommendations to cut from 1.4 percent to 10 percent. After soliciting feedback from state workers, he sent out a letter last week in which he argued that K-12 schools and higher education could not be exempted from cuts because they represent 54 percent of the state budget.
With the governor on the record, how do those who want to be in Gibbons’ shoes think he’s doing?
Clark County Commissioner Rory Reid, the lone announced Democratic candidate, was critical.
“I don’t think the governor has shown any leadership. What should be done in a time like this is to present a plan to put Nevadans back to work, make the economy better,” he said. “If the only thing he can come up with is that we should cut education to make life more difficult for Nevada’s children, that’s an indictment of his leadership and very different from what I would do.”
When asked what he would do about the current $67 million shortfall, Reid demurred.
“We don’t know what the facts will be in the next 13 months when the next governor proposes a budget,” he said. “What should be done is to create jobs now and improve the economy in the long run.”
Sandoval, the former federal judge and Republican challenger, called Gibbons’ handling of the budget “a prudent approach.”
“The last thing to do in a struggling economy is to raise taxes,” Sandoval said. “You need to look at the spending side. Everything needs to be on the table.”
(Political reality check: Sandoval is running in a Republican primary against Gibbons and Montandon, the former North Las Vegas mayor, and will have to counter the impression that he’s the least conservative of the three.)
Asked specifically about whether education should be exempt from further cuts, Sandoval begged off, saying “I don’t have the access to the numbers that the governor does.”
But of the health and human services budget, which provides Nevadans’ social safety net, Sandoval said: “You can’t expect to make cuts on the people who can’t defend themselves, like the seniors, the disabled and the indigent.”
Montandon did not return calls for comment by deadline.
Gibbons, who fired his campaign manager last week and has yet to name a replacement, could not be reached for comment.
His state spokesman, Dan Burns, said the other candidates for governor would have raised taxes by now.
“In all the rhetoric of running for governor, no one has said they won’t raise taxes,” he said in a sign that Gibbons’ thinks repeating his “no new taxes” mantra will lead him to re-election.
The current fiscal problems are small compared with the task facing whoever is governor in 2011.
Watching how Gibbons handles this problem, and the other candidates’ critiques, will provide a window on how they would handle themselves if elected.
Mike Hillerby, a lobbyist and veteran of former Gov. Kenny Guinn’s administration, said the candidates must outline for voters how they will handle the budget deficit.
“Absolutely, that will be the No. 1 question,” he said. “Every candidate has to be prepared to answer that question.”
But, he threw some cold water on the idea that voters are going to get an early look at a hard and fast shadow budget before next November’s election.
“In reality, they’re going to have to talk in general about their philosophy, how to tackle the problem,” he said. “If they put too much out too early, too specifically, everyone out there in the world has a chance to destroy it.”
Discussion: comments so far…
Comments are moderated by Las Vegas Sun editors. Our goal is not to limit the discussion, but rather to elevate it. Comments should be relevant and contain no abusive language. Comments that are off-topic, vulgar, profane or include personal attacks will be removed. Full comments policy. Additionally, we now display comments from trusted commenters by default. Those wishing to become a trusted commenter need to verify their identity or sign in with Facebook Connect to tie their Facebook account to their Las Vegas Sun account. For more on this change, read our story about how it works and why we did it.
Only trusted comments are displayed on this page. Untrusted comments have expired from this story.
No trusted comments have been posted.
Post a comment
Most Popular
- Viewed
- Discussed
- E-mailed
- UNLV can move forward without the burden of losing streak to San Diego State
- A wife’s wisdom shows birth control issue needn’t be divisive
- Surprise links, negotiated deals addressed by commissioners
- UNLV makes key plays down stretch to hold off San Diego State 65-63
- Hope and change and … what’s missing?
- Motorcycle accident claims life of man in northeast valley
- New York mayor has the right idea
- We don’t need a CEO in charge
- Paying our own way
- Country has ‘given’ citizens a lot
Blogs
The Kats Report
Color from scene at Thomas & Mack: We have a wire job! Rebels win, and Louie Armstrong sings!
South Point owner Michael Gaughan's take on 'Vegas Stripped': 'I'll give it an 8' (4 Comments)
Author relishes writing the life story of ‘larger-than-life’ Oscar Goodman (3 Comments)
Elsewhere
Landowner: All roads could lead to Uxbridge casino
Revel reveals smoke-free casino opening
Cirque du Soleil show in Sands China casino to close this month
Meet the woman behind Sheldon Adelson
The Sun
Locally owned and independent for more than 50 years.
Reid, Jr. has proven to be fiscally incompetent.
Just look at UMC......
Just look at the RJC project.....
Just look at all those over-the-top union contracts that pay out over $150k in wages and benefits to fire fighters.
He sat on top of the biggest cash cow (The Strip) in the nation that was printing out cash for decades and now he has pants caught down and it ain't pretty.
Boy, can the Democrats pick them.
Last time they picked a tax crazed women with a strange way of talking over a solid moderate popular mayor.
Can't they find some moderate Democrat business person to run?
He/she would have a much higher chance to win.
Oh well.....They are going to run on a Reid dynasty ticket.....good luck with that.
How the Democrats lost their minds?????
I also find it curious that only one Democrat is running.
The sitting governor has an approval rating below 25. One would think that a gaggle of Democrats would be running.
One would think that at least some Northern Democrat might run.
I guess it is because the Reid dynasty is so powerful. Is that not a scary thought?
Or is it that they believe that most Democrats will have a tough time winning in competitive races this year. Perhaps the smart ones are sitting out for it would be a career killer to run and lose.
They all look like game show hosts to me...
2,500,000,000 divided by 52 = 48,000,000 a week or $6,857,142 per day in cuts. The governor needs and "easy" button.
Why didn't he fire nutt hugger Andrew Clinger, oh I forgot,their thick as thieves!
Equal cuts across the board, enough said. Demand accountability and earn some respect. Oh, I forgot Gibbons was still in office, at least it less than a year now. The Reid machine is a scary thing, to bully any other Dem. candidate for Governor.
A real budget plan vs the Reid ethics plan
I take the budget plan
Sandoval finds Gibbons approach to be prudent. Slash and slash indescriminately until we have no state left, no one wants to live here or visit. That's just terrific. Has Gibbons ever come up with a positive idea for this state? Anything at all? Remember the anti-meth campaign was Dawn's idea.
Sandoval is just like Gibbons, only younger and in a new suit. Though does anyone else think he looks like a used car salesman? Just sayin
also to Future... what budget plan are you talking about? Gibbons has no plan and neither does his oily shadowman Brian Sandoval
For over a month, I have been proposing a plan that will save over $2,000,000. I have prepared a paper outlining the plan, sample bill bill, financial justifications and the like. I have sent this to Gov. Gibbons, Brian Sandoval, and Mike Montandon. I have heard very little comment except they would consider the plan.
I am suggesting that the Nevada Transportation Authority and the Taxicab Authority both be abolished and merged into the Department of Public Safety.
These two agencies are rife with inefficiencies that cause a wasting of precious resources. They both enforce violations of Nevada Revised Statute 706 (Motor Carriers). Their missions are similar and they often have areas where they cross paths. While they are regulatory, both agencies have sworn law enforcement staffs that would be better supported in DPS.
If the Governor and Legislature concur, merger could take place within 30-90 days. The savings as a result of the merger would be significant. In addition, the enhanced enforcement capability that would result from the merger would make the industries that are presently monitored and regulated by the NTA and TA much safer. The combined "Commercial Passenger Transportation Division" of DPS would be competitive for federal grants as well as maintaining its "Self-Funded" status.
Without merger, there will continue to be inefficient regulation and monitoring of the industries that are served by both the NTA and TA. I know the inefficiencies are very true. The problems that exist in both agencies could be reduced or eliminated if they were merged into DPS.
Based on the merger, I believe the state can save a total of $2,197,131. I have obtained these numbers using calculations generated from the NTA and TA's budgets. This money could not only save jobs, it can save lives. This money can be rerouted to other state agencies or placed in reserve.
It is essential that discussion of this merger take place during the special session. If we are serious about saving Nevadans money, we must be serious about taking great steps to do so. As I said, in the past this idea would be anathema. However, in today's fiscal climate, the possibility is endless. The people of Nevada will not sit back, face layoffs or service reductions because the commercial transportation industries here in Nevada refuse to change.
I ask for your support as we push this issue to the forefront. Tell Gov. Gibbons, Brian Sandoval and Mike Montandon to merge the NTA/TA into DPS.
"Read my lips...no new taxes" has worked for decades here in a quid pro quo between Big Gambling and Big Mining that in exchange for low, low taxes they would insure their re-election.
Looks like the same mantra for 2010: Keep a-digging the same 'ol hole with the same 'ol shovel.
I could easily see a VERY populist movement for upping mining taxes to world industry standards here with the Depression we are in. If the mines, want to keep their old tax structure, then they have to bring in manufacturing jobs to work with the precious metals they are removing to make a finished product. If they just want to rape our finite resources, then tax the crap out of 'em with an export duty.
With more and more robotization and computerization on the very near horizon, NV is looking at less and less jobs with more and more resources being removed.
You won't get any "reform" on mining or tax equity as long as Gried is in office. You simply can't have more equity and fairness in our HUGE gold and other reserves as long as he is around selling off our gold and silver to foreign corporations for pennied on the dollar.
Any candidate that runs on this is a guaranteed winner.
Rory Reid is not in a position to criticize anyone, he himself is incompetent. He is a member of a council that is directly involved in creating this mess. We need to listen to Rory Reid like we need a hole in our head.
RIGHT HERE ON THIS LINK IS EXACTLY WHO IS GOING TO BENEFIT FROM ANY NEW AND IMPROVED DEFICIT "PLAN":
http://www.accessclarkcounty.com/depts/e...
YOU NEED TO SEE THESE CAMPAIGN CONTRIBUTIONS FOR OUR ESTEEMED "CANDIDATES" (it's what they DON'T want you to know).
(That will tell the tale on who will get "plan favors", and who won't...it always does...)
Like 4 years ago Nevada raised taxes in a record breaking fashion.
Last year, Nevada raised taxes in a record breaking fashion.
I not sure where you are getting the state has been just cutting.
Can someone tell me how much would be saved by the state if all employees took the furlough? I mean all those who have exempted themselves like the supreme court and corrections. I would gladly take an additional 1.4 percent cut to see these people take their fair share as well. Six percent for everyone sounds ok to me. Gibbons is an idiot, but I will go along with this one. Fair is fair, and right now it isn't.
BOTTOM LINE: We're looking at a PERSONAL income tax v. raising taxes on BIG GAMBLING or BIG MINING.
It's OUR choice, folks.... It's OUR votes that will decide this.
Nevada is one of only a few states without state income tax. It's time to start!
Please.....please.....please....run with that in 2010...push really really really really hard for a state income tax.
PLEASE!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Furloughs and layoffs might be necessary. But, shouldn't we consider merging state agencies and other ideas before we start discussing additional furloughs, layoffs, or higher taxes?
We cannot solve today's problems with the same level of thinking that breeds criminals and social parasites -- taxation is theft, deficit spending is criminal -- the masses continue to be victimized by corruption.
"Mankind is more disposed to suffer, while evils are sufferable, than to right themselves by abolishing the forms to which they are accustomed." - T. Jefferson; The Declaration of Independence, 4 July 1776.
: {
I could fix the budget in 5 minutes - Why do they act like it is so hard?
(appleslices - you need to change your name to californiaappleslices)
In a business, you should cut nonessentials first. Look for the programs that lose money.
Since it is government, all of the programs are losing money.
This is like the 100th article to address this problem in the last few weeks. Gibbons will be unpopular (he already is) but he should just start cutting programs and beating back the unions.
The problem is that every move is too political and the officials are afraid of the repercussions. The worst one is the financial ruin of our state. Cut quickly and don't look back!!!