Carson City, NV – The Assembly Republican Caucus is opposed to the plan to place a measure on the ballot to signal out and tax Nevada’s gold and silver mine operators.
“Members of the Assembly Republican Caucus, many of whom represent areas of the state where mining is a vital partner in their local communities, are not anxious to single out the mining industry at a time while Nevada’s economy is still trying to recover,” said Assemblyman James Oscarson.
Assemblyman John Ellison (R-Elko) added, “Given Nevada’s still-high unemployment numbers, now would not be a good time to propose a tax that more than doubles the tax burden on a single industry that has been one of the State’s strongest job-creators.”
Mining companies have already signaled that targeting the mining industry will introduce an element of economic uncertainty that affects investment decisions.
“This proposal could have a rippling effect on other industries,” said Assemblywoman Michele Fiore. “It could discourage investment from mining companies and hurt local businesses that depend on these investments.”
More than 2,300 Nevada companies and business venders statewide make up the supply chain for the mining industry. Legislators should be looking at tax policies that are both broad and equitable, and mitigate the financial burden on businesses and individuals.
“Mining faces unique challenges that many folks are not aware of,” said Assemblyman Cresent Hardy. “There are high risk and costs involved during the initial phase of mining that are all out-of-pocket. If we start to pick on mining we will discourage exploration which will lead to loss of jobs and revenue to the state.”
“If Nevada voters decide in 2014 that mining should be taken out of the constitution and taxed differently–then lawmakers in 2015 will decide if and how mining taxes should be re‑set,” said Assembly Minority Leader Pat Hickey.
“For now, the Governor and Assembly Republicans believe that Nevada can grow its way out of the Recession.”