It’s conceivable. And, if former Nevada Gaming Commission Chairman Brian Sandoval (left) gets his wish, it’s justifiable. So let S&G be first to put that idea into play. Since Sandoval’s “home rule” proposal would address Nevada‘s budget deficit by simply letting state-level services descend upon individual counties like so many unfunded mandates, that raises a question. Why do you need all that “privilege tax” money for if Carson City is getting out of the business of governance?
But seriously folks … Sandoval’s not only the only one floating this idea. Testicularly challenged legislators on both sides of the aisle have been saying that, facing tough choices, they ought to dump the mess off onto the counties and run for it. Epic fail of leadership aside, this begs the question of why state government is going to continue needed gaming-tax revenue (or sales-tax revenue, for that matter). Unless those dollars are going to be redirected to the local level — pause here whilst we all roll about the floor, laughing our butts off — what further use for (all of) them does the state have? And since hotel-room taxes, which stay with the counties, will almost surely have to go up, how ’bout cutting tourists a break in the form of a sales-tax reduction?
Casino taxes have been increased in recent Legislatures on the presumption that they’re going to pay for a certain level of public services. If the “home rule” crowd prevails, that implicit compact has been voided. Ditto retail taxation. Even though casinos are the premier corporate taxpayer in Nevada, widespread public perception is that they’re somehow getting off easy. Raising the gaming tax is always one of the most popular options when the electorate is polled. But if the Lege and the next governor are just going to “opt out” (betcha Midnight Jim Gibbons wishes he thought of this first), it’s time to redo the math.
Besides, it raises the delightful notion of Clark County seceding from the rest of Nevada (preferably in a bloodless junta led by Oscar Goodman), relieving it of the responsibility of subsidizing the northern counties. When the State of Vegas needs to convene its small legislature, it could rent some of those nice meeting rooms at Wynn Las Vegas that overlook the golf course … nah, too distracting. How about the terrific convention area at stately Mandarin Oriental instead? City Center looks more like a seat of government than of recreation, so let’s make it official, shall we?
I used to joke that too much exposure to the desert sun makes you stupid. Apparently northern Nevada makes you stupid, too!
Of course, looking for a tax to cut, Sandoval reaches to the state’s solitary progressive tax. Nevada has practically made a compact to spare the personal fortunes of billionaires like Steve Wynn and Sheldon Adelaon. Our ballot has a question to charge us sales tax on our online orders and now we face this, all the while the state still protects these guys.
Shake them down a little before coming at me, why don’t you?
To clarify, *Sandoval* is not the one suggesting a reduction in the gaming tax; I am. If the “home rule” crowd gets its way, a large number of state services will just get sloughed off onto local governments. If Nevada’s state government is going to be radically downsized, it stands to reason that the taxes which fund it should be reduced, too. Why should casinos and consumers (and, yes, mining) continue to pay Carson City the same amount of money and get far less guvmint in return?
Sandoval’s proposal is just an abdication of State responsibility to provide services to its residents and visitors. If he doesn’t want to raise the necessary revenue, let him take responsibility for the cuts to those services.
If they devolve that stuff onto local governments, there is no way that the legislature will lower taxes to the state government. What they’d probably do is promise some of the revenue to the cities and county during a “transition period” while those entities ramp up their own increased taxation plans. Of course, those local powers will be under the same “no new taxes” pressure from their voters, so services will be cut at the local level, too.
Not to mention the competition between governments to attract their “own” businesses and developments, at the expense of their neighbors, to widen their tax base. To do this, they will fight each other to offer WalMart, etc. ever bigger million-dollar rebate and tax-exempt deals.
Meantime more roads, bridges and schools will fall apart.