State of the State: Gov. Brian Sandoval stresses education, meeting future challenges

Former Washoe County School Superintendent Pedro Martinez receives a standing ovation from the audience upon announcement that the Governor has asked him to be Superintendent In Residence at the Nevada Dept. of Education.

Former Washoe County School Superintendent Pedro Martinez receives a standing ovation from the audience upon announcement that the Governor has asked him to be Superintendent In Residence at the Nevada Dept. of Education.

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Gov. Brian Sandoval in his third State of the State address laid out a sweeping reform plan including elements designed to please progressive Democrats along with changes conservative Republicans have long sought.

Much of the speech centered on the need to reform how Nevada pays for K-12 education. His proposed budget seeks to increase state spending on public schools, colleges and universities by nearly $900 million. His total proposed two-year budget was $7.3 billion.

Sandoval said the current Nevada Plan hasn’t changed significantly since the 1960s and no longer meets the needs of a changed society or economy and the needs of students in the 21st century.

“I am asking the Legislature to join me in beginning to work of comprehensive modernization of our education system to meet the needs of today’s students and the new Nevada,” he said.

His plan, he said, includes a wide variety of initiatives from doubling pre-school attendance to expanding all-day kindergarten to all schools, technology in the classroom, more career and technical education, English Language Learner programs and greatly expanded charter schools along with programs to help students in poor areas.

The education package for pre-kindergarten through high school would increase spending $782 million during the biennium.

He also proposed changes long espoused by the conservatives including significant changes to collective bargaining, expanding charter schools and construction defect reforms.

“While many must recognize the hard truth that our education system will not improve without more funding, others must accept the reality that improvements will not be made without accountability measures, collective bargaining reform and school choice,” he said.

Lawmakers from both sides of the aisle applauded repeatedly as he rolled out his proposals.

But the room was much quieter when Sandoval talked about the tax increases needed to pay for those programs.

He said the current year’s revenues are $150 million below forecasts and the existing revenue structure just isn’t keeping up with needs.

He said his budget makes the temporary taxes set to sunset in July permanent, adding $580 million to the budget.

“It’s time we are honest with ourselves,” he said of the revenues that have been temporary but have been extended three times. “These revenues are now a part of our comprehensive budget.”

There was further silence when he added, “Second, we must identify new sources of revenue.”

Chief among those, he said, is “a broad-based solution that asks Nevada business to invest in our education system.”

That plan will convert the existing Business License Fee to a graduated fee based on the side of the business he said will generate $430 million over the next two years. It would cost the smallest businesses about $400 a year and the biggest up to $4 million a year. Today, all business licenses cost $200 annually.

“I realize these decisions are difficult. I know I am asking a lot from the business community,” he said. “But I have explored every option and find this to be the broadest, least complicated and fairest solution.”

He broke the tension, drawing some laughter but adding, “I know this approach will cause debate but you will all find there is no perfect solution.”

Sandoval also called for legislation to make Nevada’s school boards appointed bodies instead of elected — a response to the debacle created when the Washoe School Board spontaneously fired Superintendent Pedro Martinez. Martinez, who was in attendance, will work with Sandoval’s office on underperfomring schools.

Sandoval also said:

An additional $100 million in new spending is aimed at higher education to help provide the highly skilled workers needed for future economic growth.

A $14 million bond to establish the Northern Nevada Veterans Home.

Announced another large technology company is preparing to come to Nevada. Switch, which he said is the world’s largest data center, will invest $2 billion in Las Vegas.

To make state handling of business issues more user friendly, he said he also will centralize 11 agencies within the Department of Business and Industry to create the Nevada Business Center, a one-stop shop.

Work toward keeping Sage Grouse from being listed as an endangered species.

Establish the Stewart Native American Historical Experience at the Stewart Indian School.

Increasing funding to fight autism from $1.8 million when Sandoval first took office to $73 million.