EDITORIAL: Legislation to raise taxes in perpetuity on Nevada property owners deserves the bum’s rush

It’s no secret that the public sector mainlines other people’s money. But the sheer brazenness of the latest proposed cash grab in Carson City is something to behold.

The Nevada Association of Counties isn’t happy with current law, dating to 2005 and the housing boom, which caps property tax increases through a complicated formula that includes a component for inflation. Last year, property tax receipts rose just 0.2 percent — still double the inflation rate of 0.1 percent.

This has local governments — which still manage to fund generous raises for workers that far outstrip what the private-sector stiffs who pay the bills can usually expect — breaking out the tin cups and pleading poverty.

The county lobbying group is now asking lawmakers to support Assembly Bill 43. The proposal essentially codifies into state law an annual 3 percent property tax hike for residential real estate in perpetuity. That would push a $2,000 tax bill to almost $2,700 after a decade. The increases would be even higher for commercial properties, as much as 8 percent.

“This is about stability,” said Jeff Fontaine, the association’s executive director. “This is about fixing a broken system.”

Just like “access” is now double-talk for “free,” the word “stability” in this context is government jargon for “perpetually increasing.”

Never mind that, despite a recovery in the real estate market, the Las Vegas area remains among the worst in the nation when it comes to foreclosures or underwater properties. Never mind that just two years ago lawmakers passed the largest tax increase in state history. Never mind that inflation has been negligible for years. Never mind that this proposal will be a colossal burden on senior citizens and homeowners with modest incomes.

No, the public sector demands its annual jackpot. Don’t ask questions, just pay up.

Senate Minority Leader Michael Roberson, a Henderson Republican, insists that AB 43 has “no hope” of becoming law. Perhaps, especially given the two-thirds support threshold necessary to enact tax hikes. But who knows what shenanigans will occur in the legislative halls as the session moves forward?

At better long-term approach would be to allow an advisory vote on the matter. The Legislature could also move toward empowering local governments to craft their own property tax formulas designed to reflect their specific priorities and needs. That would remove the convenient buffer that city council members and county commissioners now enjoy when it comes to property tax policy.

But as it stands now, Assembly Bill 43 is a breathtaking overreach that deserves the bum’s rush. And so do any lawmakers who embrace this proposal.