‘No’ voters at pains to explain Faraday opposition

CARSON CITY — Assemblyman Ira Hansen, R-Sparks, found himself in a unique quandary, and was searching for a way to get out.

The conservative Republican was clearly skeptical of a package of tax incentives designed to induce Faraday Future to build an electric-car assembly plant in Apex in North Las Vegas. But he was also on the record in 2014 voting in favor of the much larger tax incentive deal for Tesla Motor's battery factory built in his own backyard, at the Tahoe-Reno Industrial Center. (That package passed the Legislature unanimously.)

How could Hansen justify voting for the one and not the other, without being accused of being a hypocrite who only cared about his end of the state?

He couldn't do what Assemblywoman Robin Titus, R-Wellington, did, and say he was philosophically opposed to incentive deals. After all, he'd voted for the $1.3 billion Tesla package, which made the $335 million Faraday deal look like peanuts.

He couldn't do what Assemblywoman Shelley Shelton, R-Las Vegas did, and claim the incentive package was unconstitutional. That's clearly wrong.

And he couldn't do what Assemblyman Brent Jones, R-Las Vegas, did, and simply vote no without uttering a word of explanation.

Instead, Hansen went the kitchen sink route.

First, he complained about the short period of time legislators got to review the 52-page bill. (The bill was introduced in the Senate on Wednesday, amended and passed on Friday evening.) Hansen requested a two-week break to review the bill, but his request was denied.

Second, he complained the bill gave the director of the governor's Office of Economic Development too much power when it comes to overseeing incentive programs.

Third, he complained the bill didn't include a provision to use the eVerify database to ensure workers on the project were legal.

Fourth, he complained a second bill altered water rights in the state without sufficient debate (and repeatedly lamented that state Water Engineer Jason King wasn't present at the session to answer questions).

And fifth, he objected to Faraday's foreign ownership (the company is reportedly owned by LeTV, a Chinese company), and claimed Faraday was trying to drive Tesla out of business. "In effect, we are subsidizing a Chinese company to possibly put out of business an American company," Hansen said.

In the end, however, neither Hansen's objections nor those of his three colleagues were enough to sway the Assembly Saturday, which approved a trio of Faraday bills 37-4 (former Assemblywoman Marilyn Kirkpatrick's seat has been vacant since she was appointed to the Clark County Commission). Even fellow conservatives such as Assemblywoman Michele Fiore, R-Las Vegas and Assemblymen John Moore, R-Las Vegas and Jim Wheeler, R-Minden, voted aye.

NORTH LAS VEGAS AMENDMENT VANISHED

Before the final votes were counted, a fight over the main Faraday bill was averted. North Las Vegas Deputy City Manager Ryann Juden told the state Senate on Friday that the city would be seeking an amendment to change a key bond provision. Under the law as written, infrastructure bonds will be repaid first with taxes and fees raised in special districts in Apex. But if those revenues fall short, the tax coffers of North Las Vegas would be on the hook.

City officials objected, saying the obligation would prevent them from selling bonds to cover capital costs, and Juden pledged to ask for an amendment in the Assembly.

But on Saturday, talk of an amendment was apparently over, and the bill passed the Assembly undisturbed.

Juden did testify on a separate bill, which puts the Southern Nevada Water Authority in charge of water projects at the Apex site. The city believed it could do the job, and seeing the SNWA put in charge was a "difficult pill" to swallow.

"I kind of feel like a guy on a honeymoon with a toothache," he said.

But despite the fact that the city's wishes were essentially ignored — even though North Las Vegas officials first contacted Faraday about moving to Nevada — Mayor John Lee said he was very happy with the passage of the legislation. He was singled out for praise by Gov. Brian Sandoval at the ceremony called to sign the four bills produced by the special session.

'OUR WORK IS DONE'

Shortly after 4 p.m. Saturday, legislators who hadn't already bolted for the Reno airport to catch flights home gathered in the old Assembly chambers on the second floor of the state Capitol. Before a bank of flags, one from each of Nevada's 17 counties, Sandoval praised lawmakers for their work over the preceding three days.

"It really made me proud of how you all stood up and really made some great legislation," Sandoval said. "Somebody had to stand up and sow that seed for something to happen."

Sandoval said the Faraday project would change the physical landscape of Apex, which today is desert landscape, but in 10 years would be unrecognizable. But he added it would change the economy of the region, too. "I honestly believe it will change the trajectory of the economy of Southern Nevada," he said.

Sandoval then signed the actual (not props!) bills passed by the Legislature, declaring at 4:49 p.m., "our work is done."

— Steve Sebelius is a Las Vegas Review-Journal political columnist and co-host of the show "PoliticsNOW," airing at 5:30 p.m. Sundays on 8NewsNow. Follow him on Twitter (@SteveSebelius) or reach him at 702-387-5276 or ssebelius@reviewjournal.com.