Saying it would open a $301 million hole in his proposed budget, Gov. Brian Sandoval Monday vetoed Assembly Bill 183.
It was his first veto of the 2011 session.
The bill by Assemblywoman Debbie Smith, D-Sparks, was designed to authorize school districts to reduce minimum bond reserves and use the money freed up for capital improvement projects, repairs and maintenance.
The problem is that Sandoval's budget planned to take that same money and move it into school district operating accounts to cover classroom expenses and teacher salaries.
"If these reductions stand, they will necessarily result in deeper cuts - cuts that will cost over 5,000 teachers their jobs," he said in his veto message to the Legislature.
Sandoval conceded that Smith's bill has merit both because of the needs for school improvements and because it would employ numerous construction workers.
"But the condition of our schools and the struggles of the construction industry are not the only challenges we confront," Sandoval argued. He said the measure cuts the amount of funding available for instruction by $301 million.
Smith and Assembly Speaker John Oceguera, D-Las Vegas, said they haven't decided whether or not to try override Sandoval's veto. That would take a 2/3 vote of each legislative house, which would require support from at least three Republicans in the Senate and three more in the Assembly.
"We've got a couple of days to think about it," said Oceguera.
Smith said the governor's budget plan disregards the will of voters who approved those bond issues for school rehabilitation and construction - not for operating costs such as salaries. She said some of the projects that might have been done with the money are critical life, safety and disabled access projects.
Smith also pointed out that the governor's original budget plan called for $425 million from school bond account reserves. That was later amended to $319 million by the budget division and now, in the governor's veto message, to $301 million.
Smith cited school district estimates that $90 million or less may be actually available.
"There's not $300 million for the taking," she said.