Published Tuesday, June 6, 2023 | 6:15 a.m.
Updated Tuesday, June 6, 2023 | 6:09 p.m.
CARSON CITY — High-profile proposals to help build a stadium for the Oakland Athletics and lure major film makers to Las Vegas through billions of dollars in tax credits are in flux after Nevada lawmakers adjourned their four-month legislative session.
A spokesperson for Democratic Assembly Speaker Steve Yeager confirmed Tuesday those two items will not be under consideration in a special legislative session in the midst of disagreements over a major budget bill between Republican Gov. Joe Lombardo and the Democratic-controlled Legislature. A spokesperson for the governor said she could not comment on what would be on the agenda.
Lawmakers failed to pass the budget bill that included over $1 billion to fund capital improvement projects that fund state public works and construction. The measure faltered in the Senate as they ran out of time for a second vote after party disagreements lasted Monday night until the midnight deadline.
In a statement at 1 a.m., Lombardo said he would call a special session later Tuesday morning, where he would set the agenda for legislative priorities. As of Tuesday evening, he had not officially called it.
Now, the prospects are murky for a bill that has revived the national debate over public funding for private sports stadiums — a measure that could add to Las Vegas’ growing sports scene amid concerns and skepticism among economists about minimal benefits for a hefty public price tag.
The bulk of the public funding for the $1.5 billion retractable roof stadium would have come from $380 million in public assistance, partly through $180 million in transferable tax credits and $120 million in county bonds — taxpayer-backed loans, to help finance projects and a special tax district around the stadium. Backers have pledged the district will generate enough money to pay off those bonds and interest.
The A’s would not owe property taxes for the publicly owned stadium and Clark County, which includes Las Vegas, also would contribute $25 million in credit toward infrastructure costs.
The major film tax credit bill would involve up to $190 million annually for at least 20 years to recruit major film studios to Las Vegas. Sony has announced it would commit a $1 billion expansion in Las Vegas with a competitive deal.
Special sessions are fairly common in Nevada's Legislature, which lasts for four months every other year. There have been seven since 2013 for a variety of reasons – pandemic protocols,statewide redistricting, budget disputes and approval for $750 million in public funding to help build Allegiant Stadium when the Oakland Raiders moved to Las Vegas.
Even with the A's and film tax proposals not planned for an immediate special session, it is technically possible to call multiple special sessions. The Assembly spokesperson did not return a request for comment on if that's a possibility.
For four months, Democratic leaders in the State and Assembly fought the new Republican governor on policy issues ranging from taxes and budgets to schools and crime, a conflict that came to a climax as Monday turned to Tuesday without a deal.
Senate Minority Leader Heidi Seevers Gansert alluded to the special session soon after the midnight deadline on Tuesday morning. The disagreements stemmed from pay raises for charter school teachers that Republicans wanted and a handful of capital funds that they wanted for charter schools.
“The Senate Republicans fully support Governor Lombardo and await his call for a special session to find common ground solutions for Nevadans,” Gansert said.
Democratic Speaker Steve Yeager’s office canceled a scheduled press conference moments after midnight, when the Legislature failed to pass the fifth budget bill. In a statement, he said legislative Republicans “have once again put politics before policy” by not passing the capital improvements project.
The late-night conflicts came after lawmakers shuffled from room to room on Monday, hosting last-minute conference committees where they agreed on amendments to dozens of bills as the midnight deadline approached. Oftentimes committees would meet 10 minutes in advance and would last for as short as two minutes. The Legislature advanced dozens of bills to Lombardo’s desk, who now has 10 days to sign or veto them.
Also on Monday, a widely-supported program that would allow the state to buy back and retire groundwater rights in diminished basins died after not receiving a hearing in the Senate finance committee. It comes after the state overallocated water rights decades ago, in-part leading to a scramble for how to save groundwater water quickly. The program would have been one of the most expansive among western states, and backers wanted at least $5 million to start the program.
Lombardo also became the first governor in the nation to veto a medical aid in dying bill, which would have allowed patients with a terminal illness, under particular circumstances, to self-administer life-ending medication. It would follow other states recently adopting this measure, including Oregon, Washington and California. The bill has now gone through the Legislature five times without passing.
Another bill that died in the state Senate was baby bonds legislation that would have established trust funds for children born into Medicaid, and parental leave for state workers. That was a top priority for Democratic treasurer Zach Conine.
