Commentary - February 2007

Watch Your Wallets

Lawmaking Season is Here Again

by Lyle Brennan

The 74th session of the Nevada Legislature convenes on February 5, 2007, and until it adjourns this summer, the citizens of Nevada must guard their rights, their wallets and the state’s prospects for a healthy economic future.

Since the last session concluded in 2005, interim committees have been busy drafting bills to put before the 2007 session. Hundreds of lobbyists have been devising plans to get their clients’ special-interest projects approved. Politicians are jockeying for position, looking for ways to fulfill campaign promises and make more friends for the next campaign.

While this flurry of pre-session activity has been ongoing, most of us have been running our businesses and taking care of our families, blissfully unaware of the impending danger. However, once in a while we hear a rumble of thunder from the approaching storm; for example, the Las Vegas Review-Journal recently reported that freshman Assemblyman Ruben Kihuen wanted to declare the cash value of expired holiday gift cards as “abandoned property” that should be turned over to the state. His explanation? “It’s the people’s money.” Suddenly, a private business transaction between a company and a customer, paid for with after-tax dollars, ends up being the government’s business. The Review-Journal correctly pointed out in its op-ed page that this kind of government grab in the name of “the people” was once only popular behind the Iron Curtain.

This incident should give Nevada residents a wake-up call. It serves as a reminder that many politicians believe they know what’s best for us, and think the government can manage our money better than we ignorant private citizens can. All they have to do is figure out how to transfer the cash from our pockets to theirs, and “the people” will be much better off.

Of course, the government needs funds to operate. Nevada faces serious challenges, and it will take tax money to fix them. For example, we need an estimated $4 billion to fund highway construction projects to keep up with growth. Budget line items for social services and education need to be adequately funded. However, spending taxpayer dollars on unnecessary projects means there is less money available to meet the state’s critical needs.

One item that has been proposed for this session, and which seems to have a lot of backing, is full-day kindergarten. Barbara Buckley, the new speaker of the House, has vowed to keep lawmakers at their desks until this $100 million program is approved. Do we really need full-day kindergarten? A recent article by Steven Miller of the Nevada Policy Research Institute cites several studies showing that full-day preschool has little long-term value, and can even hinder social development.

Full-day kindergarten may make it more convenient for working moms to arrange their schedules, but should taxpayers be footing the bill? Let’s not blindly accept legislators’ claims that this expensive program is a vital part of the budget.

And that’s just one proposal. As the session ramps up, lawmakers will rush to push their bills through before the 120-day deadline. How can you make sure your tax dollars are being spent wisely and your freedoms aren’t being trampled? First and foremost, find out who your representatives are. A complete list with contact information is available on the official website for the Nevada Legislature. Don’t hesitate to call, write or e-mail to let them know your viewpoints and concerns.

Secondly, learn if your industry or profession has an organization that may already be looking out for your interests (for example, the Nevada Bankers Association or Nevada Subcontractors Association). Contact that group and see if they have a political action committee or of they send information to members about upcoming bills that affect them. Support your organization and volunteer to help, if you have time.

Your local chamber of commerce is also a good source of information about political issues affecting Nevada business, and Nevada Taxpayer’s Association can provide research and commentary on any tax-related issues.

The session only lasts a few months, but you need to pay attention every day to what’s happening in Carson City. If you don’t agree, ask a banking executive what happened to their industry in the final hours of the 2003 session, when a bill was pushed through that levied higher taxes on banks than other industries pay. Your business could be next, so consider this a fair warning: it’s up to you to take responsibility for what happens at the Legislature. Get the information you need and take action if necessary.

Resources:

Official Website of State Legislature

http://leg.state.nv.us

Nevada Taxpayers Association

www.nevadataxpayers.org

Nevada Policy Research Institute

www.npri.org

Lyle Brennan Publisher
COMMENTS? email: lyle@nbj.com