Deep budget cuts in Nevada
October 22, 2008
Nevada may cut deeper into its budget, on a percentage basis, than any other state in the nation, budget chief Andrew Clinger says.
Clinger attended a National Association of State Budget Officers meeting in Washington, D.C. last week and learned that many of his counterparts around the country were reporting cuts of 5 percent and 6 percent. That’s well below the 14 percent to as much as 20 percent that Nevada may have to cut in the coming two-year budget cycle, which starts next July.
The biggest reason for Nevada’s budget problem, Clinger said, is a slumping housing market along with a drop in auto sales and high fuel prices, which either kept some tourists from coming to the state or reduced the amount of money they were able to spend once here.
Clinger also said that in the second quarter of 2008, one in 43 households in Nevada got a foreclosure notice. Nevada’s rate is now four times the national average and is the highest in the nation. California is in second with a rate of one home in 65 and Arizona third with one in 70.
Nevada saw a total of 24,657 foreclosure filings in the second quarter of 2008. That’s up 26 percent from the first quarter of the year and up 147 percent from 2007.