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Veto overrides ensure state funding, NV

By RACHELLE GINES - Associated Press Writer - Associated Press
Sunday, May 31, 2009

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Veto overrides ensure state funding, NV

CARSON CITY, Nev. (AP) — With no debate, Nevada senators voted swiftly on Sunday to override Gov. Jim Gibbons' veto and give final approval to a $6.8 billion state general fund appropriations act that funds government operations for the next two fiscal years.

The Senate vote on the budget bill, AB562, was 17-4, with only four Republicans supporting the GOP governor. The Assembly, which like the Senate is controlled by Democrats, had voted earlier to override Gibbons.

Senators also voted 15-6 to override Gibbons' veto of AB543, a "tax grab" measure taking property taxes taken from Nevada's two largest counties, Clark encompassing Las Vegas and Washoe which takes in Reno.

Also overridden by the Senate, on a 17-4 vote, was Gibbons' veto of AB552, which increases the cut the state gets for collecting and distributing sales and use taxes to local government. The increase means an estimated $25 million to the state.

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The Senate also voted 19-2 to reject Gibbons' veto of AB563, providing state funds for K-12 schools; and AB146, which contains part of a business tax increase plan approved by lawmakers.

Sunday's final override action in the Senate on the budget and tax measures follows the lawmakers' decisions on Friday to go against the governor and give final approval to SB429,a $781 million tax increase plan.

Also overridden on Friday was the governor's veto of SB431, a key budget measure which spells out how most non-state general fund money, about $12 billion, mainly in federal dollars, will be spent.

Gibbons has termed the tax plan, which increases sales taxes, business levies and license fees, and vehicle registration fees, "foolish and shortsighted" and "a job-killing, economy-crushing insult to the people and hardworking families of Nevada."

Under SB429, the state's 6.5 percent sales tax would increase by 0.35 percent; and payroll taxes, now at 0.63 percent, would increase to 1.17 percent for firms with payroll of more than $250,000 a year. The rate drops to 0.5 percent for companies with payrolls under $250,000.

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