|
 Sandoval, during his State of the State address, outlined $7.3
billion of general fund spending over two years, a 12 percent
increase over the current budget. His proposal included $882 million
in education, a modification to the state's business license fee,
and a permanent tax increase.
The plan offers more funding to early literacy, school technology,
technical career training, and monies to open new charter schools
and to support students in impoverished regions of the state.
"Today's public education system was largely established in the
1950s," Sandoval said. "Our students are different, and their needs
are different."
Such an investment would offer a boost to schools across Nevada,
where the high school graduation rate is the second-lowest in the
nation and preschool attendance is the lowest.
In December, the state warned that gambling and mining tax revenues
had fallen short of projections. That, coupled with
higher-than-expected school enrolment, left Nevada with an estimated
$162 million shortfall.
Moody's Investor Service called the shortfall "a credit negative
step backward at a time when most states are rebuilding reserves."
To close the gap, Sandoval said he could generate more than $430
million from a modified business license fee and by making permanent
"sunset taxes" that were set to expire in June.
"It's time we are honest with ourselves — these revenues are now a
part of our comprehensive budget," said Sandoval. "I know this
approach will cause debate. You will all find that there is no
perfect solution."
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In November, both houses of the legislature flipped from Democratic
to Republican, offering Sandoval a better opportunity to streamline
his agenda. But his call for higher taxes and spending will most
likely alienate fiscal conservatives in a state that has
historically prided itself on low taxes.
The proposed budget would invest in a hotel and a medical school at
the University of Nevada Las Vegas, as well as transportation
infrastructure, and bonds to build a veterans' home.
Determined to make Nevada "the most digitally connected state in the
nation," Sandoval announced data center provider Switch was poised
to expand in Northern Nevada and Las Vegas, bringing $2 billion of
investment.
(Reporting By Robin Respaut; Editing by Paul Tait)
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