Veteran senators question stimulus oversight plan

While agreeing lawmakers must keep a close eye on how any federal stimulus cash is spent in Nevada, two of the longest serving senators Wednesday questioned whether the proposed oversight subcommittee goes too far.

Senate Majority Leader Steven Horsford, D-Las Vegas, proposed creation of a subcommittee of the Interim Finance Committee to monitor whether agencies were getting the most out of their share of the stimulus and, at the same time, following legislative intent in spending it.

Both Reno Republican Bill Raggio, now in his 36th year in the Senate, and Las Vegas Democrat Bob Coffin, who has 26 years in the Assembly and Senate, agreed they need some way to, as Horsford put it, "ensure that every single dollar is accounted for."

But they questioned the section in SB143 that gives that subcommittee of 10 lawmakers the power to "redirect the use" of an agency's stimulus funding if it disagrees with how the agency is spending it.

The bill states: "If the subcommittee determines that money that has been allocated is not being used in the most effective manner, the subcommittee may require that the remaining money from the allocation be redirected to a more effective use within the program for which the money was allocated."

Both senators questioned whether that much power is appropriate. Coffin said since that decision wouldn't even have to go through the Interim Finance Committee, it could raise legal challenges.

"I would be worried that we would be running into a constitutional problem," he said.

There have been suggestions over the years that the Interim Finance Committee's power to modify the budget violates the Nevada Constitution.

But Horsford was adamant, saying the extraordinary situation Nevada is in argues for strong oversight that is able to respond quickly if there is a problem.

"We should give that authority to the subcommittee," he said.

He also said the decisions where and how to use the money would be made by lawmakers during the 2009 session, not the subcommittee. He said its role would be to make sure that intent was properly carried out.

Coffin said it would be safer legally to let IFC handle the job.

Raggio added that there is already enough controversy over the stimulus money and that portion of the bill could create a dispute with the governor's office.

"One thing we must avoid is any type of war between the Legislature and the executive branch," he said.

Contact reporter Geoff Dornan at gdornan@nevadaappeal.com or 687-8750.