Nevada Legislature set for fight about property tax law
Republican leadership in the Nevada Legislature appears split on a proposal to modify a decade-old property tax cap law.
Michael Roberson, the top Republican in the Senate, has vowed to stop the bill, but Assembly minority leader Paul Anderson is keeping a more open mind ahead of the legislative session that begins Feb. 6.
Assembly Bill 43, submitted by the Nevada Association of Counties, would modify formulas used to calculate annual property tax increases and set a floor of 3 percent for annual commercial property tax increases.
The bill would not remove caps on annual increases of residential and commercial property taxes, which are set at 3 and 8 percent, respectively.
In response to a Review-Journal article about Clark County’s plan to lobby for AB43, Roberson said the bill is a “waste of time” and “has no hope” of becoming law.
“We currently have one of the lowest property taxes in the country and I want to keep it that way,” he wrote in an email to the Review-Journal. “There will be no compromise on this issue. I don’t believe there will be a single Republican in the legislature who will support AB43.”
Anderson took a softer stance.
“I’m not going to dismiss it outright. I think it’s something we need to vet and look at,” he said. “We recognize the need for some reform.”
NACO executive director Jeff Fontaine said the changes are crucial to stabilizing property tax revenue streams that local governments receive.
Formulas written in the law limited both residential and property tax rates to rising by 0.2 percent for the 2017 fiscal year in six of the state’s 16 counties, including Clark and Washoe.
“Property values are increasing, but you have virtually flat tax revenues,” Fontaine said. “It may mean that (counties) don’t hire another sheriff’s deputy to respond to public safety, it may mean that they’re not able to keep a library or recreation center open, it may mean they’re no longer able to provide meals on wheels or adult daycare.”
Democrats control both houses of the Legislature, and Fontaine is undeterred by Roberson’s resistance.
“We intend to pursue the bill and make our case before the Legislature,” he said.
Still, any bill the Legislature passes could be vetoed by Republican Gov. Brian Sandoval. He did not comment on the bill.
Contact Michael Scott Davidson at sdavidson@reviewjournal.com or 702-477-3861. Follow @davidsonlvrj on Twitter.
