NV Assembly Republicans Warn That Democrats Will Implement A State Income Tax

After Nevada Assembly Democrats amended and passes their budget proposals, the Nevada Assembly Republican Caucus accused Democrats of playing partisan games that will “send our state toward a fiscal cliff,” adding, “We already know that they have nothing against implementing a state income tax, and will do so as soon as they get the chance.”

Yesterday, the Democratic majority amended and passed AB520, AB521, and AB522. AB520 significantly increases the budgets of government agencies. AB521, in part, includes a provision to raise property taxes to support increases in budget appropriations. AB522 includes, on average, 16 percent salary increases, over the biennium, for state employees.  

Assembly Democrats took to Twitter with statements from party leadership that claim the Democrats’ budget bills are responsible and will improve the lives of Nevada’s families.

“We remain committed to supporting budgets and legislation that will invest in everyday Nevadans and improve their lives.” – @Daniele4NV pic.twitter.com/ESeTOEeJiB

— Assembly Democrats (@nvassemblydems) May 25, 2023

The Nevada Assembly Republican Caucus shot back in a released statement that challenged their claims of fiscal responsibility, accused them of partisan gridlock, and warned that the increases in spending will pave the way for them to institute a state income tax. 

Legislative Democrats are already in campaign season at full speed, and are using their time and resources in the legislature to try and make our Governor look bad rather than working with him to pass good, common sense, bipartisan policies.

They have been playing games with the budget and responding with requests for more and more taxpayer dollars, sending our state toward a fiscal cliff.

At the beginning of his term, our Governor proposed historic increases in funding for our state programs, particularly education and state worker raises. The Democrats constant cry for more taxpayer dollars for everything gets us nowhere and sets a precedent for increased agency fees and taxes. We already know that they have nothing against implementing a state income tax, and will do so as soon as they get the chance.

“We have been very clear that we will not vote to support appropriations not included in the Governor’s budget,” said Minority Leader PK O’Neill. “We Republicans have taken historic steps into increasing funding for schools and state worker pay. In return, the Democrats have simply asked for even more taxpayer dollars. The Democrats proposals are unsustainable and will hurt our state agencies in the long run. There are many fee-funded agencies who will have to increase their fees in order to remain sustainable with these proposed raises.”

Yesterday.  the State Senate  passed their “historic” budget, Senate Bill 503, on partisan lines, referring it to the largest education budget in state history. The Bill will now head to the Assembly for a vote that is expected to pass on party lines.

Senate Democrats just passed the largest education budget in state history!

More details on what our education budget does here 👇#nvleg pic.twitter.com/qAm1P2BemD

— NV Senate Democrats (@NVSenateDems) May 24, 2023

The budget includes record increases to the Governor’s proposed budget and provides nearly $12 billion in K-12 education spending, a $2 billion increase over the last biennium budget.

In order to implement a state income tax, the Democrats would have to hold their supermajority in the Assembly and gain one seat for a supermajority in the State Senate in the 2025 election. Through simple majority, Democrats could introduce a constitutional amendment, passed by voters through a ballot initiative. Supermajorities in both chambers would allow State Democrats to bypass a gubernatorial veto.

Governor Lombardo has promised to veto the state budget if his legislative priorities remain obstructed by the Democratic majority. A veto of the state budget would cause the legislature to enter into a special session at the call of the Governor.

Update 11:48 AM: The Governor has released the following statement regarding the Democrats’ budgets:

“As the five budget bills are being fast-tracked by legislative Democrats, I will repeat what I have previously stated. I will not sign any budget bills until my priorities are addressed. Period. So, before the Senate and Assembly take final action on these five bills today, tomorrow, or the next day, I suggest they reconsider their decision and delay final passage until the policy priorities that I spelled out on day one are on my desk. If they choose to test my resolve, I’ll make it easy for them. The people of Nevada hired me to protect their interests and that is what I intend to do.”

Governor Lombardo’s Day One Priorities 

• Fiscally Responsible Budget
• School Safety
• School Choice and Accountability
• Government Efficiency
• Crime Reduction