The honeymoon’s over in Nevada
Reporting from Carson City, Nev. — Brian Sandoval vaulted into the governor’s mansion without saying much. He didn’t really need to.
His Republican primary rival, Gov. Jim Gibbons, was a mess of marital shenanigans and campaign blunders, such as evoking Nazi Germany to zing Sandoval. His Democratic opponent, Rory Reid, proved as troublesome as a fly; Sandoval rarely had to fend off attacks, and he won by nearly 12 percentage points.
It helped that the handsome Sandoval was so gubernatorial in visage and voice that, in political cartoons, he often resembled Clark Kent. His sparkling resume — federal judge, attorney general, state lawmaker, casino regulator — was virtually free of controversy. He adopted a “no new taxes” mantra and gave pundits little else to shred.
His gubernatorial honeymoon lasted all of 21 days.
It began with his inauguration Jan. 3 as Nevada’s first Latino governor, when he wielded the word “optimism” like President Obama did “hope” and “change.” It ended abruptly last week with the unveiling of a budget plan that would put state services on a starvation diet.
Sandoval has never faced such scrutiny and criticism. Liberals mocked him as the “Benevolent Butcher” and, in a nod to his austere predecessor, “Sandogibbons.”
“Come to Nevada,” chided columnist Jon Ralston in the Las Vegas Sun. “We are the State of Nothing. No taxes. No regulation. And, oh by the way, no educational system, either.”
How Sandoval’s popularity withstands the drubbing will determine how Nevada attacks its fiscal morass. Democrats control the Legislature by a slim margin, and are aghast at the proposed cuts. It could also affect whether Sandoval, a rising GOP star, gains national prominence.
The Nevada Legislature, which meets every two years, patched its last budget holes with a federal stimulus windfall. Sandoval asked Sen. Harry Reid (D-Nev.) for more fiscal aid, which Reid has said is unlikely.
So while leading the nation in joblessness, Nevada must close a roughly $2-billion budget chasm. A number of Sandoval’s proposals mirror those of Democratic Gov. Jerry Brown of California: slashing higher education, shifting responsibilities to local governments. Unlike Brown, Sandoval has vowed to veto any budget that includes higher taxes or fees.
“He put himself in a box,” said David Damore, a political scientist at the University of Nevada, Las Vegas. During the campaign, “that’s the one thing he did say.”
Last week, during his State of the State address here, Sandoval fleshed out his plans at a Capitol that reflects how Nevadans have long preferred their government: unobtrusive and small.
“Some believe government is the only solution to our current plight. I disagree,” he said to applause. “Unemployment, foreclosures, bankruptcy — the cure is not more government spending, but helping businesses create jobs.”
Outside the sand-colored building, two groups brandished competing signs. The liberals’ said “State of Distress,” with a picture of an upside-down Nevada, and “I Love America, I Pay Taxes.” The conservatives: “No New Taxes” and “We Support Sandoval.”
Democrats hoped the state’s economic plight would aid them. State coffers rely heavily on construction and tourism, both struggling now. The gaming tax is the lowest of states with commercial casinos, and Nevada has long recoiled at creating a corporate income tax.
“We are fourth- and fifth-generation stupid. We’ve let companies take profits and leave and never reinvest in the state,” said state Sen. Mike Schneider, a Democrat. “We’ve convinced ourselves that low taxes means everyone comes to Nevada. Low taxes means we can’t pay our bills.”
Democrats advocate protecting overcrowded K-12 schools, as well as the state’s two universities, in hopes of grooming a workforce attractive to white-collar employers. In a state where casinos and construction companies long guaranteed a middle-class lifestyle — no college degree required — education was often overlooked.
“A lesson I learned early — you get what you pay for,” Democratic Assembly Speaker John Oceguera said in response to Sandoval’s speech.
Though Republicans say Nevada’s economy remains too fragile to tinker with the state’s low-tax reputation, the Democratic message has resonated with some Nevadans. A majority would support higher taxes to either reduce or maintain the size of K-12 classes, according to polling for a group of Las Vegas media outlets. Less than a third said the state budget should be balanced solely by pruning government spending and services.
On Saturday, hundreds of people crowded town halls to criticize the governor’s plan. But as long as Sandoval remains well-liked overall, political observers said, the momentum probably belongs to the anti-tax faction.
Sandoval has knocked Democrats off-balance. Used to ignoring Gibbons, they have been praising Sandoval as a person but vilifying his decisions. His response last week suggested how he might knock down the brickbats to come.
“There are a lot of constituencies out there that say we need more money,” he said. “But ... where are you going to get it? Who are you going to tax? Are you going to tax Nevada families when we lead the country in unemployment?”
His questions had no easy answers.
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