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Majority Leader Horsford's Response to the State of the State PDF Print E-mail
Majority Leader Steven Horsford
February 8, 2010




horsfordGood evening and thank you for listening.  I'd like to speak to you for a few minutes not solely as Majority Leader of the State Senate but as a Nevadan, a husband and father of three young children.  We just heard from the Governor what WE know all too well. Our State, the nation, and indeed the world, have been facing enormous challenges.  Many Nevadans have endured previously unimaginable hardships.  

Every one of us, or someone close to us, has felt the impact of declining value in our homes. Some of our neighbors have lost their homes altogether. We all know someone who has lost a job, his or her life savings, and health insurance.

In the past two years, families across Nevada have had to make tough financial decisions and choices....
  • Delaying medical care
  • Putting off going to college
  • Choosing between buying fewer groceries, medications and paying utilities

And just like you and so many Nevada families, in the past two years, the State of Nevada - the place we call home - has also had to make tough financial decisions. When I consider the choices so many families all across Nevada are making in their homes, I think about what it really means.  It means making sacrifices to give our children and our loved ones what they need and explaining why we can't give them what they want. It means prioritizing spending on the items that matter most, while scaling back on the non-essentials.  It means not leaving things worse off for future generations to deal with.

93% of state government funds education, health and human services and public safety. The only difference between all of us and our state government is the choices made in state government don't affect just some children, or some families or a few businesses.  Those choices impact all of us as Nevadans.  As state legislators, we take that responsibility very seriously.

Our State government's budget is approximately $870 million short.  And that's only part of the problem.  Next year, we have close to a 50% shortfall to JUST maintain our schools, health care and public safety.

There is no magical formula or one simple solution to solve this problem.  

Yes, the Governor has asked departments throughout the State to cut their budgets from 10 percent.  The truth is, despite that plan, it won't be enough to balance the budget.  And the effects of these recommended cuts could result in the closure of a state prison, reduction of services to the elderly, and would roll back decades of progress that has been made to improve mental health, K-12 and higher education, further jeopardizing the general welfare and safety of all of us.

Sadly, my fellow Nevadans, the parts of our budget I never imagined would be vulnerable to further cuts, like education, now are.  And unless other solutions are identified, there is a real possibility that thousands of teachers and educational personnel could be laid off throughout Nevada.  We know this is unacceptable. Just as unacceptable is the prospect of increasing class sizes in already overcrowded schools.

Here are some of the choices state government and school superintendents are working to decide: 
  • Moving construction funds to classroom needs today
  • Reducing the school year
  • Opening current teacher and administration contracts for further wage reductions

Unlike the Governor's ill-conceived proposal to initiate vouchers, which is unconstitutional and will further decimate funding of our public schools, we believe the morally right thing to do is guarantee a quality education for every child.

Some of the ideas we propose to scale back these massive cuts to education, include:
  • Stopping state agency subsidies at the expense of our children's education
  • Enforcing the payment of uncollected taxes that are contributed to the state's shortfall
  • Ensuring that mining and other industries pay their fair share of fees and are part of the solution

In non-education areas:
  • Reducing professional and service contracts, such as advertising, accounting and management contracts, by 5, 10 and 15 percent
  • Operating some state services only four-days a week
  • Scaling back hours of operation in others
  • Closing buildings and departments where we must

This will directly impact you because services will be reduced, response times delayed and programs compromised.

Before I go on, I want to take a moment to thank the thousands of employees who work in all areas of state government.  From the nurse who operates health clinics in rural Nevada to the corrections officer in our prisons; from teachers to groundskeepers and everything in between, we know these cuts impact you, your livelihood and your commitment to serve the public.

And like you, Senators and Assemblymen throughout Nevada, Democrats and Republicans alike, are committed like never before to work together, to reach out to the Governor, and to seek ideas from all corners of our State to get through this crisis.

And while many of us believe Nevada needs a broader, more stable and fair tax structure, during this recession, I will not support raising taxes.  But like many of you, after the level of cuts proposed and because Nevada already ranks near the bottom of everything that matters, when we do recover from this economic recession, we must enact a broader, more stable and fair tax structure. Period.

So, while some level of cuts will occur now, as we move forward, we will enact revenue reform that is:
  • Fair, broad-based and equitable
  • Ensure all businesses, banks and big corporations pay their fair share
  • Protects small businesses and homeowners

After two years of decline and facing a $3 billion shortfall next year to fund important services, it is time for us to look ahead.  We must invest in economic growth and expansion.  And we must learn from the mistakes of the past so that we never return to this period of time where we are forced to choose between meeting our basic obligations and investing in our future.

And while we manage the budget crisis at hand, we must continue to position our state for the opportunities that lie ahead.  The national economy is changing and with it, Nevada is poised to attract new industries that could lead us out of these economic doldrums and help us reduce our reliance on gaming and tourism alone.  

You elected us to make these decisions, and we will, but we want to hear your ideas and your thoughts and welcome your voice in the process.

Public budget hearings will be held in Las Vegas and Carson City throughout this week and this Saturday there will be town hall meetings in Reno and Las Vegas. We encourage your participation and are eager to hear your opinions. We will answer your questions openly and honestly.

In these difficult times it is more important than ever to respect each other's opinions and seek common solutions.

And finally my fellow Nevadans, I am convinced, together we will navigate through this crisis - there will be sacrifice and pain. But in the end, we will pull out of this ditch and put our State back on the road of prosperity and opportunity.

Every one of us goes through tough times in life. Sometimes it is the strength we show in the tough times that gives us the confidence and character to build a better tomorrow. Together, we can build a Nevada that has a more sound fiscal footing, a Nevada with a diversified economy producing quality careers for our people and a world-class education for our children. Working in partnership, we can remake our state into a place where everyone has a chance to succeed. The choices we make today and tomorrow will lay the foundation for the state we call home, a home where all its' citizens share in her success.  Thank you and good night.



  Comments (13)
1. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 02:09
I hope all of the Nevada Sevators and Respresentatives will take their responsibilities seriously and cut across the board so we can balance the State of Nevada\'s budget. Also, let local educators handle their own budgets and don\'t centralize education--it doesn\'t work! Locals know what their teachers and students need and how to handle their limited funds. The public is watching politics closer than ever and expect our representatives to do the right thing. Don\'t do what\'s going on in California by rigging the numbers to keep from making the tough choices.
2. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 02:09
It sure was refreshing to hear a Democrat (Senator Horsford) say "no tax increase" right now - but he left the door wide open for the future! And look out for fee increases.  
 
It appears that government workers have a misconception - that their jobs are "guaranteed." And that is a huge misconception. In the private sector, when things go bad you lose your job - and the same should hold true in government.  
 
Governor Gibbons is correct. There must be huge cuts.  
 
For 30 years, our legislators have spent like the proverbial "drunken sailor" (no offense to Sailors - I was one!) - perhaps more accurate to say they spent like Democrats.  
 
Now, all of a sudden the revenues are NOT there - yet the Democrats insist on maintaining spending! Just because they implemented frivolous spending during the good times does NOT mean we have to continue now. The Democrats made huge mistakes in the 2009 legislature - and now maybe they'll learn something from it. They better - or they'll not like the November election results!  
 
Make the cuts! And do it now. Get Nevada back on track. I don't want Nevada to be a "mini California."
3. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 02:56
I believe that one reason we are in such a bad situation is that there was this idea that while the economy was strong there was spending and borrowing while there was the saying of no new taxes.There should now be the time that the state should cut where it is needed there should also be a freeze on wages.The entities in the state that have been given cuts when it comes to taxes should be made to pay their share.It is not going to be easy but we cannot keep hearing no new taxes how does anyone expect to pay for what is needed for the state unless they want a lottery and I don\'t think that will happen.
4. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 03:06
Get rid of all sick days and holiday pay. I am a substitute teacher and it would hurt me because less teachers would take off but it beats laying them off. Same with all public workers. One health insurance provider per family, otherwise no insurance offered.
5. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 03:13
Yes, we must raise taxes: On mining companies, wealthy people who have come here to avoid taxes in their home state, and people who live in million dollar homes. Make mining companies pay for the gold and other minerals they take from our state. Make people with high incomes pay income taxes, with rates increasing from1/2 % for low incomes up to 10% on very high incomes. Ask people who own homes valued at over one million dollars to pay a higher rate on property tax, possible a surcharge of $10,000 per year. And cut state employees salaries by 5%. Good luck
6. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 04:01
With all the discussion of teacher cuts and salary cuts. I don't understand why a 4 day school week isn't even being discussed. It works in many other states. The school district could clear up the budget problem in just taking out transportation and air conditioning for one day a week. This way children would not be impacted, they would have to attend a longer day but still receive the education they need. If they legislation is going to change any laws it needs to be this one so this can happen! This is a long term fix and not a quick fix with empty promises that programs and salaries will return when the economy is not so bad. Everyone needs to be talking about this solution to the problem!!
7. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 04:15
I agree with the intiative to raise taxes on the mining industry. However, I also think a progressive income tax, designed such that it does not add to the paper work load of small business ( I am a small business) be enacted. I think we need to do this now, rather than catastrophic cuts to education and other services. This is part of pulling together and sharing the burden. Thank you for reaching out .
8. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 06:33
I will pay more taxes. I'm not rich but comfortable so I'll pay more as long as every body else does. Get rid of all tax dodges. Make mining pay here what they pay elsewhere. 
We have to broaden the economic base in Nevada.  
Nothing will work until we go from #50 or #49 in education and social services. Do what the first 20 states do, something must be working. Then we'll get more good business and industry.
9. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 09-02-2010 15:35
Exactly where and when are the Saturday meetings that you mentioned in your speech? 
"Public budget hearings will be held in Las Vegas and Carson City throughout this week and this Saturday there will be town hall meetings in Reno and Las Vegas. We encourage your participation and are eager to hear your opinions. We will answer your questions openly and honestly." 
 
Thank you.
10. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it , on 10-02-2010 23:32
It appears that the democrats in this state have ended any attempt at leadership. OF COURSE we need higher taxes to support education in this state and we need them NOW, not after our idiot governor has completely destroyed both k-12 and higher education. We don\'t need more STUDIES as Mr. Horsford suggested during his knpr interview. We\'ve had 18 months to do STUDIES to tell us the obvious: there\'s no future for our kids in Nevada if we go from 49th in funding even LOWER. that will take us down to the levels of a third-world country. It\'s time for Mr. Horsford and other democrats in state government to step up and LEAD. If they\'re not going to do that, why should we continue to support them at the polls?


 
   
 
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