By Sean Whaley | Nevada News Bureau
CARSON CITY – The Committee to Protect Nevada Jobs filed a lawsuit Tuesday against the “Education Initiative” (margin tax Initiative) charging that that the petition’s description of effect is deceptive and incomplete and that it violates the single-subject rule.
The complaint was filed in Carson City District Court.
“From the title on down, the initiative is deeply flawed and misleading,” said Josh Hicks, of Brownstein Hyatt Farber Schreck, the attorney for the Committee to Protect Nevada Jobs. “The initiative has nothing to do with education and includes many aspects that are not mentioned in the initiative’s description. We believe that as written, this initiative violates Nevada law.”
The complaint notes that the 26-page “Education Initiative” mentions education only once in its description of effect and that it makes no provision for requiring that education funding be increased over current levels by “even a penny.”
The complaint also notes that the petition’s terms allow for a decrease in classroom funding, which would be an “unpleasant surprise” to Nevadans who sign it.
The Nevada State Education Association filed its petition with Secretary of State Ross Miller on June 6. It would levy a 2-percent tax on companies making gross revenues in excess of $1 million a year.
NSEA President Lynn Warne said at the time the tax would bring in an estimated $800 million a year from large Nevada corporations. She also said the petition is expected to withstand any legal scrutiny.