(Sean Whaley/Nevada News Bureau) – The president of the powerful state teachers union said today she is “excited” that another labor organization, the AFL-CIO, plans to pursue a business profits tax initiative petition.
“It will be a big deal,” said Lynn Warne, head of the Nevada State Education Association. “We’re excited that Danny (Thompson, executive secretary-treasurer of the Nevada State AFL-CIO) has decided to move forward with this. Anything we can do about funding our schools adequately in this state is great.”
Warne did not say in an interview on the Nevada NewsMakers television program that the teachers’ union will be throwing its weight behind the petition drive, however.
Thompson said last week his group will push forward to collect the 72,352 signatures by November 13 to take the tax proposal to the 2013 Legislature. Lawmakers will have 40 days to approve the proposal or it will go to the voters in 2014. Lawmakers could also offer a competing tax proposal to appear on the ballot, but a two-thirds vote would be required to move any tax measure forward in the Legislature.
Thompson said the proposed tax, which would be assessed on net business profits in excess of $500,000 at a rate of 2 percent, has been projected by some analysts to bring in about $1 billion a year to the state general fund. The money would go to fund public and higher education. The initiative petition has not yet been filed with the Secretary of State’s office.
In an interview with the Las Vegas Sun last week, Warne said the teachers union has not signed off on Thompson’s proposed tax petition because of concerns regarding the language. Warne said she supports in concept the effort by to raise money for schools.
The teachers union had indicated in January that it would sign on to the tax proposal.
In the NewsMakers interview, Warne said 2014 could be a major election year in Nevada with GOP Gov. Brian Sandoval up for re-election and a business profits tax measure on the ballot as well.
Sandoval has moved “a bit in the direction of needing to keep our education budgets whole,” she said. But Sandoval’s plan to continue a package of taxes set to sunset on June 30, 2013 into the next budget to avoid further cuts to education is inadequate, Warne said.
“We’re still at funding levels that are lower than the 2003 funding for the education budget, so no, it’s not enough and I think the governor would acknowledge that as well,” she said. “But it’s going to help.”
Warne said the two competing tax measures being pushed by Las Vegas businessman Monte Miller, one seeking to give the Legislature the authority to raise the mining tax and a second that would increase the gaming tax on the state’s largest casinos, are being pursued to confuse voters about the business tax proposal.
“Mining and gaming are the low hanging fruit in this state in terms of targets for tax increases,” she said. “And so Monte has picked those. There are a lot of questions as to his sincerity as to whether or not he would want to see those move forward. He has even made comments that should gaming try and strangle Danny’s effort then he will back off his gaming initiatives.”
Warne said the association has never had any discussions with Miller regarding his two petitions.
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