Nevada Education Unions Respond to Gov. Lombardo's Data Center Tax Order
Nevada Governor Lombardo issued an executive order rolling back tax breaks for data center developers, requiring them to pay education taxes from which they had been exempt since 2015. Education unions in Clark County and across Nevada have offered mixed reactions to this decision. The order aims to establish clear rules as more companies consider Nevada for data center development.
Nevada Governor Joe Lombardo issued an executive order requiring data centers to pay education taxes, effectively rolling back tax breaks that had exempted developers from school taxes since 2015. This decision has elicited mixed reactions from education unions across the state.
The Clark County Education Association (CCEA), representing over 18,000 teachers and licensed professionals, expressed concerns about the order. CCEA Executive Director John Vellardita stated that the education system should not be used as a "pawn" and that the order is a "deal policy" rather than a genuine funding plan. He emphasized that data centers, along with K-12 education, should collaborate to ensure meaningful funding, especially for urban core school districts like Clark County, which have seen schools with inadequate staffing and services for years.
The Nevada State Education Association, representing educators throughout Nevada, similarly indicated they do not fully support the order, feeling it is not a comprehensive funding plan. This move by Governor Lombardo comes as more companies consider Nevada for data center development, and the government aims to establish clear rules before any new construction begins. The original tax breaks were passed by the legislature, which later granted the governor more discretion in implementing the law.