Historical Nevada budget and finance information

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The historical Nevada budget and finance information below applies to years prior to the most current fiscal year. With the exception of the tab labeled "Prior fiscal year budgets," the tabs below display information, from several different fiscal years, as it was presented on Ballotpedia in prior calendar years. For more current information regarding Nevada's budget and finances, click here.

As published 2016

Nevada budget and finances

General information

Budget calendar: Biennial

Fiscal year: 2017

State credit rating: AA (as of 2014)

Current governor: Brian Sandoval

Financial figures

Total spending (state and federal funds): $10.8 billion (estimated for 2015)

Per capita spending: $3,744.93 (estimated for 2015)

Total state tax collections: $7.1 billion (2014)

Per capita tax collections: $2,516.72 (2014)

State debt: $52.8 billion (as of 2014)

Per capita state debt: $19,152 (as of 2014)

State budget and finance pages • Total state expenditures • State debt • Tax policy in Nevada

In Nevada, as in other states, lawmakers and public officials are elected in part to manage the state's finances. This includes generating revenues (money coming into the state from various sources) and approving expenditures (the money spent on governmental functions and servicing state debt). State budgets are complex and fluid, as they depend on anticipated revenues and planned expenditures, which may alter over the course of a fiscal year. If revenues do not keep pace with expenditures, states generally have to raise taxes, cut services, borrow money, or a combination of the three. State budget decisions are also influenced by policy decisions at the national level, such as the Affordable Care Act or energy and environmental regulations, and issues at the local level, such as crime and the quality of education.

HIGHLIGHTS

Between fiscal years 2014 and 2015, total government spending in Nevada increased by approximately $1.4 billion—from $9.4 billion in fiscal year 2014 to an estimated $10.8 billion in 2015. This represents a 13.27-percent increase.

In Nevada in fiscal year 2014, 80.0 percent of total tax revenues came from sales taxes and gross receipts. Nevada does not levy a state personal income tax.

Education accounted for 27.7 percent of state expenditures in fiscal year 2015, while 21.5 percent went to Medicaid.

The Nevada state budget and financial data presented here come from different years because the states and the federal government report and publish the information at different times.

Definitions

The following terms are used to describe a state's finances:

• Revenues come mainly from tax collections, licensing fees, federal aid, and returns on investments.
• Expenditures generally include spending on government salaries, infrastructure, education, public pensions, public assistance, corrections, Medicaid, and transportation.
• State debt refers to the money borrowed to make up for a deficit when revenues do not cover spending.
• The state credit rating is the grade given by a credit rating agency based on the general financial health of the state's government and economy.
• State funds include general and other state-based funds. A general fund is "the predominant fund for financing a state's operations." Other state funds are "restricted by law for particular governmental functions or activities."
• Federal funds are "funds received directly from the federal government."
• Total spending is calculated by adding together the totals for state and federal funds used for expenditures.

Note: In comparing dollar amounts across the states, it is important to note that the cost of living can from state to state and within a state. The amounts given on this page have not been adjusted to reflect these differences. For more information on "regional price disparities" and the Consumer Price Index, see the U.S. Department of Commerce, Bureau of Economic Analysis.

Revenues

2014 revenues

See also: State government tax collections by source

The table below breaks down state government tax collections by source in 2014 (comparable figures from surrounding states are also provided to give additional context). Figures for all columns except "2013 population" and "Per capita collections" are rendered in thousands of dollars (for example, $2,448 translates to $2,448,000). Figures in the columns labeled "2013 population" and "Per capita collections" have not been abbreviated.

Compared to neighboring states, Nevada had the second lowest state tax collections per capita, at $2,517.

State tax collections by source ($ in thousands), 2014
State	Property taxes	Sales and gross receipts	Licenses	Income taxes	Other taxes	Total	2013 population	Per capita collections
Nevada	$258,600	$5,714,197	$608,375	$0	$561,997	$7,143,169	2,838,281	$2,517
California	$2,176,236	$50,002,053	$8,922,534	$76,854,157	$114,890	$138,069,870	38,792,291	$3,559
Oregon	$21,740	$1,444,542	$960,777	$7,144,552	$112,029	$9,683,640	3,971,202	$2,438
Washington	$1,974,354	$15,210,264	$1,414,960	$0	$848,321	$19,447,899	7,063,166	$2,753
United States	$14,232,835	$411,414,175	$51,120,024	$357,104,785	$31,880,270	$865,752,089	318,907,401	$2,715
Source: U.S. Census Bureau, "2014 annual survey of state government tax collections by category," accessed April 4, 2016

Nevada tax collections by source in 2014.
Source: U.S. Census Bureau

The table below lists 2014 tax collections by source as percentages of total collections. About 80 percent of Nevada's total state tax collections came from sales and gross receipts.

State tax collections by source (as percentages), 2014
State	Property taxes	Sales and gross receipts	Licenses	Income taxes	Other taxes
Nevada	3.6%	80.0%	8.5%	0.0%	7.9%
California	1.6%	36.2%	6.5%	55.7%	0.1%
Oregon	0.2%	14.9%	9.9%	73.8%	1.2%
Washington	10.2%	78.2%	7.3%	0.0%	4.4%
Source: U.S. Census Bureau, "2014 annual survey of state government tax collections by category," accessed April 4, 2016

Federal aid to the state budget

See also: Federal aid to state budgets

State governments receive aid from the federal government to fund a variety of joint programs, mainly in the form of grants for such things as Medicaid, education, and transportation. In 2013 federal aid to the states accounted for roughly 30 percent of all state general revenues. Federal aid varies from state to state. For example, Mississippi received approximately $7.5 billion in federal aid in 2013, accounting for about 43 percent of the state's general revenues, the highest percentage of all of the states. By contrast, North Dakota received about $1.5 billion in federal aid in 2013, or just 19 percent of the state's general revenues, the lowest percentage in the nation.

The table below notes what share of Nevada’s general revenues came from the federal government in 2013. That year, Nevada received approximately $2.8 billion in federal aid, 25.0 percent of the state's general revenues. Taking into consideration the state's 2013 population, this came out to about $1,020 in federal aid per capita. Figures from surrounding states are provided for additional context.

Federal aid to state budgets, 2013
State	Total federal aid ($ in thousands)	Federal aid as a % of general revenues	Ranking (by % of general revenues)	Est. 2013 population	Aid per capita
Nevada	$2,844,973	25.0%	43	2,790,136	$1,020
California	$54,827,525	25.0%	42	38,332,521	$1,430
Oregon	$7,987,139	35.0%	13	3,930,065	$2,032
Washington	$9,737,429	27.3%	37	6,971,406	$1,397
Sources: United States Census Bureau, "State Government Finances: 2013," accessed April 4, 2016 United States Census Bureau, "State totals: Vintage 2013," accessed April 8, 2016 Note: Per-capita figures were generated by Ballotpedia by dividing total federal aid for the state by the estimated population of that state in 2013.

Spending

Estimated 2015 expenditures

See also: Total state expenditures

The table below breaks down estimated spending totals for fiscal year 2015 (comparable figures from surrounding states are included to provide additional context). Figures for all columns except "Population” and “Per capita spending" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the columns labeled "Population” and “Per capita spending" have not been abbreviated.

Nevada's total estimated government spending in fiscal year 2015 was $10.8 billion, which was the lowest amount when compared to surrounding states.

Total estimated state spending, FY 2015 ($ in millions)
State	State funds	Federal funds	Total spending	Population	Per capita spending
Nevada	$6,929	$3,897	$10,826	2,890,845	$3,744.93
California	$158,996	$93,554	$252,550	39,144,818	$6,451.68
Oregon	$22,091	$11,302	$33,393	4,028,977	$8,288.21
Washington	$26,670	$10,975	$37,645	7,170,351	$5,250.09
Per-capita figures are calculated by taking the state's total spending and dividing by the number of state residents according to United States Census Bureau estimates. Source: National Association of State Budget Officers, "Examining fiscal 2013-2015 state spending," accessed April 4, 2016

Spending by function

Breakdown of spending by function in FY 2014.
Source: National Association of State Budget Officers

See also: State spending by function as a percent of total expenditures

State spending in Nevada can be further broken down by function (elementary and secondary education, public assistance, etc.). Fiscal year 2014 information is included in the table below (information from neighboring states is provided for additional context). Figures are rendered as percentages, indicating the share of the total budget spent per category.

In fiscal year 2014, Medicaid accounted for 21.5 percent of Nevada's total expenditures.

State spending by function as a percent of total expenditures, FY 2014
State	K-12 education	Higher education	Public assistance	Medicaid	Corrections	Transportation	Other
Nevada	19.6%	8.1%	0.5%	21.5%	3.0%	5.6%	41.5%
California	21.3%	7.5%	3.6%	24.3%	5.3%	6.1%	31.9%
Oregon	17.9%	1.3%	0.5%	20.9%	2.9%	5.8%	50.7%
Washington	23.4%	13.7%	0.6%	16.5%	2.6%	7.9%	35.3%
Source: National Association of State Budget Officers Note: "Other" expenditures include "Children's Health Insurance Program (CHIP), institutional and community care for the mentally ill and developmentally disabled, public health programs, employer contributions to pensions and health benefits, economic development, environmental projects, state police, parks and recreation, housing and general aid to local governments."

Spending trends

Between 2010 and 2014, the share of the Nevada state budget spent on transportation decreased from 11.4 percent in 2010 to 5.6 percent in 2014. See the table below for further details (figures are rendered as percentages, indicating the share of the total budget spent per category).

Spending by function from 2010 to 2014 (as percentages)
Year	K-12 education	Higher education	Public assistance	Medicaid	Corrections	Transportation	Other
2014	19.6%	8.1%	0.5%	21.5%	3.0%	5.6%	41.5%
2013	22.3%	8.5%	0.6%	22.7%	3.2%	7.4%	35.3%
2012	23.6%	9.7%	3.2%	25.4%	3.8%	9.5%	24.9%
2011	21.5%	10.0%	0.7%	18.3%	3.5%	9.5%	36.5%
2010	21.5%	10.8%	0.7%	18.3%	3.9%	11.4%	33.5%
Source: National Association of State Budget Officers Note: "Other" expenditures include "Children's Health Insurance Program (CHIP), institutional and community care for the mentally ill and developmentally disabled, public health programs, employer contributions to pensions and health benefits, economic development, environmental projects, state police, parks and recreation, housing and general aid to local governments."

Fiscal year budgets

See also: Historical Nevada budget and finance information

Fiscal years 2016 and 2017

See budget bill: Nevada budget bills 2016-2017

Governor Brian Sandoval proposed his budget for the 2016-2017 biennium on January 15, 2015. Under this proposal, the governor recommended $20.7 billion in total state spending, which was a 16.6 percent increase over the previous biennium. Such an increase was in response to growing government programs and increased retirement contribution rates. This budget would have also restored the salaries of some state employees who saw reductions in previous years. Spending was also set aside to support other budget initiatives, such as working to provide full-day kindergarten and doing more to support underperforming public schools.

Governor Sandoval signed the official budget into law in June 2015. Among the major features of the budget were significant K-12 education reforms, increasing spending in that area by almost 16 percent over the biennium.

State debt

See also: State debt

According to a January 2014 report by the nonprofit organization State Budget Solutions, Nevada had a state debt of approximately $52.8 billion. Its state debt per capita was $19,152. In this report for fiscal year 2012, state debt was calculated based on four components: "market-valued unfunded public pension liabilities, outstanding government debt, unfunded other post employment benefit (OPEB) liabilities, and outstanding unemployment trust fund loans." The report revealed that altogether state governments faced a combined $5.1 trillion in debt, which amounted to $16,178 per capita in the nation.

Total 2012 state debt
State	Total state debt	State debt per capita	Per capita debt ranking
Nevada	$52,838,629,000	$19,152	13
California	$777,918,403,000	$20,449	9
Oregon	$86,678,268,000	$22,229	8
Washington	$89,579,477,000	$12,988	32
Sources: State Budget Solutions, "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014

Taxpayer burden

TIA Methodology: To figure a state’s taxpayer burden or surplus, TIA looked at a state’s total reported assets minus capital assets and assets restricted by law (buildings, roads, land, etc.) to calculate “available assets,” which were then compared to the amount of money the state owes in bills, including retirement obligations such as pension plans and healthcare benefits for retirees. If the difference between available assets and total bills was positive, TIA called this a surplus; if it was negative, this was a burden. This amount was then divided by the number of individual tax returns with a positive tax liability, thus expressing the total state surplus or burden on a per-taxpayer basis.

According to a report released in September 2015 by the nonprofit Truth in Accounting (TIA), Nevada ranked 18th best in the country in “taxpayer burden.” Rather than using per capita state debt, TIA ranked states based on what it called a “taxpayer burden,” a term that reflects “the amount each taxpayer would have to send to their state’s treasury in order for the state to be debt-free.” On the other hand, states that had sufficient resources to pay their bills were said to have a “taxpayer surplus,” which represents the amount that each taxpayer would receive if the state were to disburse its excess funds.

Based on analysis of Nevada’s Comprehensive Annual Financial Report from June 30, 2014 and actuarial reports for the state’s retirement plans, TIA concluded that $2.6 billion in promised retirement benefits were unfunded, but none of these liabilities were reported on Nevada’s balance sheet. With all of the unfunded retirement benefits included in the total debt, the state had a shortfall of $2.4 billion, or a taxpayer burden of $2,700.

Public pensions

See also: Nevada public pensions and Nevada public employee salaries

Between fiscal years 2008 and 2012, the funded ratio of Nevada's state-administered pension plans decreased from 76.2 percent to 71 percent. The state paid 96 percent of its annual required contribution, and for fiscal year 2012 the pension system's unfunded accrued liability totaled $11.2 billion. This amounted to $4,265 in unfunded liabilities per capita.

Credit ratings

See also: State credit ratings

Credit rating agencies, such as Standard and Poor's, assign grades to states that take into account a state's ability to pay debts and the general health of the state's economy. Generally speaking, a higher credit rating indicates lower interest costs on the general obligation bonds states sometimes sell to investors in order to finance large-scale undertakings (e.g., road construction and other public works projects). This in turn results in lower interest costs, thereby lowering the cost to taxpayers.

The table below lists the Standard and Poor's credit ratings for Nevada and surrounding states from 2004 to 2014. Standard and Poor's grades range from AAA, the highest available, to BBB, the lowest.

State credit ratings, 2004 to 2014
State	2014	2013	2012	2011	2010	2009	2008	2007	2006	2005	2004
Nevada	AA	AA	AA	AA	AA+	AA+	AA+	AA+	AA+	AA	AA
California	A	A	A-	A-	A-	A	A+	A+	A+	A	A
Washington	AA+	AA+	AA+	AA+	AA+	AA+	AA+	AA+	AA	AA	AA
Oregon	AA+	AA+	AA+	AA+	AA	AA	AA	AA	AA-	AA-	AA-
Source: Stateline: The Daily News Service of The Pew Charitable Trusts, "Infographic: S&P State Credit Ratings, 2001-2014," June 9, 2014

Economic indicators

See also: Economic indicators by state

Nevada's GDP increased by 1 percent in 2014. Click the image to view a larger version.

Broadly defined, a healthy economy is typically one that has a "stable and strong rate of economic growth" (gross state product, in this case) and low unemployment, among many other factors. The economic health of a state can significantly affect its healthcare costs, insurance coverage, access to care, and citizens' physical and mental health. For instance, during economic downturns, employers may reduce insurance coverage for employees, while those who are laid off may lose coverage altogether. Individuals also tend to spend less on non-urgent care or postpone visits to the doctor when times are hard. These changes in turn may affect the decisions made by policymakers as they react to shifts in the industry. Additionally, a person's socioeconomic status has profound effects on their access to care and the quality of care received.

In 2013, most residents in Nevada earned incomes at least 400 percent of the federal poverty level, with a median annual household income of $49,204, lowest among neighboring states. Nevada's unemployment rate in September 2014 was the same as in California, 7.3 percent, highest among neighboring states and 1.4 percentage points higher than the nationwide rate.

Note: Gross state product (GSP) on its own is not necessarily an indicator of economic health; GSP may also be influenced by state population size. Many factors must be looked at together to assess state economic health.

Various economic indicators by state
State	Distribution of population by FPL* (2013)				Median annual income (2011-2013)	Unemployment rate		Total GSP (2013)†
	Under 100%	100-199%	200-399%	400%+		Sept. 2013	Sept. 2014
Nevada	17%	26%	28%	29%	$49,204	9.6%	7.3%	$132,024
Arizona	20%	23%	25%	31%	$49,698	8%	6.9%	$279,024
California	15%	21%	28%	36%	$57,161	8.8%	7.3%	$2,202,678
Utah	8%	20%	36%	36%	$60,053	4.3%	3.5%	$141,240
United States	15%	19%	30%	36%	$52,047	7.2%	5.9%	$16,701,415
* Federal Poverty Level. "The U.S. Census Bureau's poverty threshold for a family with two adults and one child was $18,751 in 2013. This is the official measurement of poverty used by the Federal Government." † Median annual household income, 2011-2013. ‡ In millions of current dollars. "Gross State Product is a measurement of a state's output; it is the sum of value added from all industries in the state." Source: The Henry J. Kaiser Family Foundation, "State Health Facts"

Budget process

State documents and agenciesBelow are links to official Nevada budget and financial documents. The first is the state's Comprehensive Annual Financial Report (CAFR). A CAFR is a detailed presentation of a government entity's financial condition. This includes fiscal activities and balances for a fiscal year. The second link is to the state's relevant budget agency or office. Nevada CAFR Nevada budget agency

The state operates on a biennial budget cycle that starts July 1 of each biennium. The sequence of key events in the budget process is as follows:

1. Budget instructions are sent to state agencies in March.
2. Agencies submit their requests to the governor by September 1.
3. The governor submits the budget to the Nevada State Legislature in January.
4. The legislature passes a budget in June. A simple majority is needed to pass a budget.

In Nevada, the governor does not have line-item veto power. However, the governor can veto an appropriations bill in its entirety.

The governor is required by statute to submit a balanced budget. In turn, the legislature is constitutionally required to pass a balanced budget.

Agencies, offices, and committees

The following standing committees in the Nevada State Legislature deal with budget and finance matters:

1. Finance Committee, Nevada State Senate
2. Taxation Committee, Nevada State Assembly
3. Ways and Means Committee, Nevada State Assembly

The Nevada Legislative Auditor audits Nevada's state agencies and publishes audit reports online. The legislative auditor is a statutory officer appointed by the Director of the Legislative Counsel Bureau with the approval of the Legislative Commission. The legislative auditor serves an indefinite term. The office's qualifications and duties are defined by law.

The Nevada Controller is one of the six constitutional officers of the state and is elected to a term of four years. The controller is the state's chief fiscal officer, charged with administering the state accounting system and the state's debt collection program under the Nevada Constitution Article 5, Section 19.

Transparency

See also: "Following the Money" report, 2015

The U.S. Public Interest Research Group, a consumer-focused nonprofit organization based in Washington, D.C., released its annual report on state transparency websites in March 2015. The report, entitled "Following the Money," measured how transparent and accountable state websites were with regard to state government spending. According to the report, Nevada received a grade of C and a numerical score of 74, indicating that Nevada was "Middling" in terms of transparency regarding state spending.

As published 2015

State finances in the U.S.
State tax policy in the U.S.
Pension Policy
State finances on the ballot Taxes on the ballot Glossary of state budget terms Public pensions

The information on this tab contains: Spending (fiscal years 2013 and 2014) Revenues (fiscal year 2013) State debt (fiscal year 2012) Federal aid to the state budget (fiscal year 2012) Budget process

Between fiscal years 2013 and 2014, total spending in Nevada decreased by approximately $130 million, from $8.86 billion in fiscal year 2013 to an estimated $8.73 billion in 2014. This represents a 1.5 percent decrease. The cumulative rate of inflation during the same period was 1.58 percent, calculated using the Consumer Price Indices for January 2013 and January 2014. As of 2014, financial services firm Standard and Poor's had assigned Nevada a credit rating of AA.

As of 2014, Nevada's state debt per capita was $19,152, ranking 13th highest in the nation.

Spending

Definitions

The following terms are used to describe a state's finances:

• Revenues come mainly from tax collections, licensing fees, federal aid, and returns on investments.
• Expenditures generally include spending on government salaries, infrastructure, education, public pensions, public assistance, corrections, Medicaid, and transportation.
• State debt refers to the money borrowed to make up for a deficit when revenues do not cover spending.
• The state credit rating is the grade given by a credit rating agency based on the general financial health of the state's government and economy.
• State funds include general and other state-based funds. A general fund is "the predominant fund for financing a state's operations." Other state funds are "restricted by law for particular governmental functions or activities."
• Federal funds are "funds received directly from the federal government."
• Total spending is calculated by adding together the totals for state and federal funds used for expenditures.

2014 expenditures

See also: Total state expenditures

The table below breaks down estimated spending totals for fiscal year 2014 (comparable figures from surrounding states are included to provide additional context). Figures for all columns except "Population” and “Per capita spending" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the columns labeled "Population” and “Per capita spending" have not been abbreviated.

In Nevada in fiscal year 2014, estimated per capita spending totaled $3,074, a smaller amount than in any neighboring state.

Total estimated state spending, FY 2014 ($ in millions)
State	State funds	Federal funds	Total spending	Population	Per capita spending
Nevada	$5,903	$2,823	$8,726	2,839,099	$3,073.51
California	$140,239	$81,059	$221,298	38,802,500	$5,703.19
Oregon	$20,175	$8,090	$28,265	3,970,239	$7,119.22
Washington	$25,171	$9,102	$34,273	7,061,530	$4,853.48
Per-capita figures are calculated by taking the state's total spending and dividing by the number of state residents according to United States Census Bureau estimates. Source: National Association of State Budget Officers

Spending by function

See also: State spending by function as a percent of total expenditures

Breakdown of spending by function in FY 2013
Source: National Association of State Budget Officers

State spending in Nevada can be further broken down by function (elementary and secondary education, public assistance, etc.). Fiscal year 2013 information is included in the table below (information from neighboring states is provided for additional context). Figures are rendered as percentages, indicating the share of the total budget spent per category.

In Nevada in fiscal year 2013, public assistance accounted for 0.6 percent of total government spending, a smaller share than in any neighboring state.

State spending by function as a percent of total expenditures, FY 2013
State	K-12 education	Higher education	Public assistance	Medicaid	Corrections	Trans- portation	Other
Nevada	22.3%	8.5%	0.6%	22.7%	3.2%	7.4%	35.3%
California	21.4%	6.6%	3.9%	25.1%	5.0%	6.0%	31.9%
Oregon	14.3%	1.1%	0.7%	21.4%	3.9%	6.1%	52.6%
Washington	23.4%	14.3%	0.9%	11.9%	2.7%	8.9%	38.0%
Source: National Association of State Budget Officers Note: "Other" expenditures include "Children's Health Insurance Program (CHIP), institutional and community care for the mentally ill and developmentally disabled, public health programs, employer contributions to pensions and health benefits, economic development, environmental projects, state police, parks and recreation, housing and general aid to local governments."

Spending trends

Between 2009 and 2013, the share of the Nevada state budget spent on Medicaid increased from 14.7 percent to 22.7 percent. See the table below for further details (figures are rendered as percentages, indicating the share of the total budget spent per category).

Spending by function from 2009 to 2013 (as percentages)
Year	K-12 education	Higher education	Public assistance	Medicaid	Corrections	Transportation	Other
2013	22.3%	8.5%	0.6%	22.7%	3.2%	7.4%	35.3%
2012	23.6%	9.7%	3.2%	25.4%	3.8%	9.5%	24.9%
2011	21.5%	10.0%	0.7%	18.3%	3.5%	9.5%	36.5%
2010	21.5%	10.8%	0.7%	18.3%	3.9%	11.4%	33.5%
2009	20.6%	9.6%	0.7%	14.7%	5.2%	16.5%	32.6%
Source: National Association of State Budget Officers Note: "Other" expenditures include "Children's Health Insurance Program (CHIP), institutional and community care for the mentally ill and developmentally disabled, public health programs, employer contributions to pensions and health benefits, economic development, environmental projects, state police, parks and recreation, housing and general aid to local governments."

Revenues

2013 revenues

See also: State government tax collections by source

The table below breaks down state government tax collections by source in 2013 (comparable figures from surrounding states are also provided to give additional context). Figures for all columns except "Population" and "Per capita revenue" are rendered in thousands of dollars (for example, $2,448 translates to $2,448,000). Figures in the columns labeled "Population" and "Per capita revenue" have not been abbreviated.

In 2013, total state tax collections in Nevada equaled $7 billion. Per capita tax collections equaled $2,517.

State tax collections by source ($ in thousands)
State	Property taxes	Sales and gross receipts	Licenses	Individual income taxes	Corporation net income taxes	Other taxes	Total	2013 population	Per capita collections
Nevada	$235,143	$5,468,363	$586,801	N/A	N/A	$736,319	$7,026,626	2,791,494	$2,517.16
California	$1,982,208	$48,074,580	$8,743,748	$66,809,000	$7,462,000	$112,710	$133,184,246	38,431,393	$3,465.51
Oregon	$19,893	$1,369,266	$923,123	$6,260,161	$459,744	$128,700	$9,160,887	3,928,068	$2,332.16
Washington	$1,939,883	$14,647,173	$1,359,685	N/A	N/A	$720,303	$18,667,044	6,973,742	$2,676.76
Source: Tax Policy Center, "State Tax Collection Sources 2000-2013," June 20, 2014

Nevada tax collections by source in 2013
Source: Tax Policy Center

The table below lists 2013 tax collections by source as percentages of total collections. In Nevada, sales taxes and gross receipts accounted for nearly 78 percent of total state tax collections.

State tax collections by source (as percentages)
State	Property taxes	Sales and gross receipts	Licenses	Individual income taxes	Corporation net income taxes	Other taxes
Nevada	3.35%	77.82%	8.35%	N/A	N/A	10.48%
California	1.49%	36.1%	6.57%	50.16%	5.6%	0.08%
Oregon	0.22%	14.95%	10.08%	68.34%	5.02%	1.4%
Washington	10.39%	78.47%	7.28%	N/A	N/A	3.86%
Source: Tax Policy Center, "State Tax Collection Sources 2000-2013," June 20, 2014

State debt

See also: State debt

According to a January 2014 report by the nonprofit organization State Budget Solutions, Nevada had a state debt of approximately $52.8 billion. Its state debt per capita was $19,152. In this report for fiscal year 2012, state debt was calculated based on four components: "market-valued unfunded public pension liabilities, outstanding government debt, unfunded other post employment benefit (OPEB) liabilities, and outstanding unemployment trust fund loans." The report revealed that altogether state governments faced a combined $5.1 trillion in debt, which amounted to $16,178 per capita in the nation.

Total 2012 state debt
State	Total state debt	State debt per capita	Per capita debt ranking
Nevada	$52,838,629,000	$19,152	13
California	$777,918,403,000	$20,449	9
Oregon	$86,678,268,000	$22,229	8
Washington	$89,579,477,000	$12,988	32
Sources: State Budget Solutions, "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014

Public pensions

See also: Nevada public pensions and Nevada public employee salaries

Between fiscal years 2008 and 2012, the funded ratio of Nevada's state-administered pension plans decreased from 76.2 percent to 71 percent. The state paid 96 percent of its annual required contribution, and for fiscal year 2012 the pension system's unfunded accrued liability totaled $11.2 billion. This amounted to $4,265 in unfunded liabilities per capita.

Credit ratings

See also: State credit ratings

Credit rating agencies, such as Standard and Poor's, assign grades to states that take into account a state's ability to pay debts and the general health of the state's economy. Generally speaking, a higher credit rating indicates lower interest costs on the general obligation bonds states sometimes sell to investors in order to finance large-scale undertakings (e.g., road construction and other public works projects). This in turn results in lower interest costs, thereby lowering the cost to taxpayers.

The table below lists the Standard and Poor's credit ratings for Nevada and surrounding states from 2004 to 2014. Standard and Poor's grades range from AAA, the highest available, to BBB, the lowest.

State credit ratings, 2004 to 2014
State	2014	2013	2012	2011	2010	2009	2008	2007	2006	2005	2004
Nevada	AA	AA	AA	AA	AA+	AA+	AA+	AA+	AA+	AA	AA
California	A	A	A-	A-	A-	A	A+	A+	A+	A	A
Washington	AA+	AA+	AA+	AA+	AA+	AA+	AA+	AA+	AA	AA	AA
Oregon	AA+	AA+	AA+	AA+	AA	AA	AA	AA	AA-	AA-	AA-
Source: Stateline: The Daily News Service of The Pew Charitable Trusts, "Infographic: S&P State Credit Ratings, 2001-2014," June 9, 2014

Federal aid to the state budget

See also: Federal aid to state budgets

State governments receive aid from the federal government to fund a variety of joint programs, such as Medicaid. Federal aid varies from state to state. For example, Mississippi received approximately $7.7 billion in federal aid in 2012, which accounted for more than 45 percent of the state's general revenues. By contrast, Alaska received roughly $2.9 billion in federal aid in 2012, just under 20 percent of the state's general revenues.

The table below notes what share of Nevada’s general revenues came from the federal government in 2012. That year, Nevada received approximately $2.8 billion in federal aid, 25.5 percent of the state's total general revenues. Figures from surrounding states are provided for additional context.

Federal aid to state budgets, 2012
State	Total federal aid ($ in thousands)	Federal aid as a % of general revenue	Ranking
Nevada	$2,798,426	25.48%	44
California	$54,145,284	27.16%	40
Oregon	$7,830,552	36.04%	13
Washington	$9,743,127	28.59%	37
Source: United States Census Bureau, "State Government Finances: 2012," accessed February 24, 2014

Stimulus

According to Recovery.gov, the official government website for the Recovery Accountability and Transparency Board, under the American Recovery and Reinvestment Act, Nevada received $2.35 billion in federal stimulus funding from the American Recovery and Reinvestment Act between February 2009 and June 2013.

Budget process

The state operates on a biennial budget cycle that starts July 1 of each biennium. The sequence of key events in the budget process is as follows:

1. Budget instructions are sent to state agencies in March.
2. Agencies submit their requests to the governor by September 1.
3. The governor submits the budget to the Nevada State Legislature in January.
4. The legislature passes a budget in June. A simple majority is needed to pass a budget.

In Nevada, the governor does not have line-item veto power. However, the governor can veto an appropriations bill in its entirety.

The governor is required by statute to submit a balanced budget. In turn, the legislature is constitutionally required to pass a balanced budget.

Agencies, offices, and committees

The following standing committees in the Nevada State Legislature deal with budget and finance matters:

1. Finance Committee, Nevada State Senate
2. Taxation Committee, Nevada State Assembly
3. Ways and Means Committee, Nevada State Assembly

The Nevada Legislative Auditor audits Nevada's state agencies and publishes audit reports online. The legislative auditor is a statutory officer appointed by the Director of the Legislative Counsel Bureau with the approval of the Legislative Commission. The legislative auditor serves an indefinite term. The office's qualifications and duties are defined by law.

The Nevada Controller is one of the six constitutional officers of the state and is elected to a term of four years. The controller is the state's chief fiscal officer, charged with administering the state accounting system and the state's debt collection program under the Nevada Constitution Article 5, Section 19.

Studies and reports

U.S. PIRG "Following the Money" report

See also: "Following the Money" report, 2014

The U.S. Public Interest Research Group, a consumer-focused nonprofit organization based in Washington, D.C., released its annual report on state transparency websites in April 2014. The report, entitled "Following the Money," measured the transparency and accountability of state websites with regard to state government spending. According to the report, Nevada received a grade of D- and a numerical score of 52, indicating that Nevada was lagging in terms of transparency regarding state spending.

As published 2014

The information on this tab contains: Spending (fiscal year 2013) Spending by function (fiscal year 2012) Spending trends (fiscal years 2008 to 2012) Revenues (fiscal year 2013) Historical spending (fiscal years 2009 to 2012) Budget transparency

Between fiscal year 2009 and fiscal year 2013, Nevada's total expenditures increased by approximately $600 million, from $8.3 billion in 2009 to $8.9 billion in 2013. This represented a 6.7 percent increase, below the cumulative rate of inflation during the same period (9.06 percent, calculated using the Consumer Price Indices for January 2009 and January 2013).

Spending

Definitions

Although each state executes its budget process differently, the National Association of State Budget Officers (NASBO) breaks down state expenditures into four general categories. This allows for comparisons among the 50 states. NASBO's categories are as follows:

• General fund: "The predominant fund for financing a state’s operations. Revenues are received from broad-based state taxes. However, there are differences in how specific functions are financed from state to state."
• Other funds: "Expenditures from revenue sources that are restricted by law for particular governmental functions or activities. For example, a gasoline tax dedicated to a highway trust fund would appear in the 'Other funds' column. For Medicaid, other state funds include provider taxes, fees, donations, assessments, and local funds."
• Federal funds: "Funds received directly from the federal government."
• Bonds: "Expenditures from the sale of bonds, generally for capital projects."

2013

Breakdown of expenditures in FY 2013
Source: National Association of State Budget Officers

The table below breaks down expenditures for fiscal year 2013 (comparable figures from surrounding states are provided to give additional context). Figures for all columns except "Per capita expenditures" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita expenditures" have not been abbreviated.

Total state expenditures, FY 2013 ($ in millions)
State	General fund	Federal funds	Other funds	Bonds	Total	Per capita expenditures**
Nevada	$3,179	$2,918	$2,769	$27	$8,893	$3,187.30
California	$95,665	$81,299	$38,656	$12,261	$227,881	$5,944.85
Oregon	$5,960	$7,452	$12,262	$132	$25,806	$6,566.30
Washington	$15,633	$7,744	$7,809	$2,016	$33,202	$4,762.60
**Per capita figures are calculated by taking the state's total expenditures and dividing by the number of state residents according to United States Census estimates. Source: National Association of State Budget Officers

Spending by function

2012

Breakdown of expenditures by function in FY 2012
Source: National Association of State Budget Officers

State expenditures in Nevada can be further broken down by function (elementary and secondary education, public assistance, etc.). Fiscal year 2012 data is included in the table below (information from neighboring states is provided for additional context). Figures are rendered as percentages, indicating the share of the total budget spent per category.

Expenditures by function, FY 2012 (as percentages)
State	Elementary and secondary ed.	Higher ed.	Public assistance	Medicaid	Corrections	Transportation	Other
Nevada	23.6%	9.7%	3.2%	25.4%	3.8%	9.5%	24.9%
California	19.9%	7.0%	3.8%	21.6%	5.4%	6.3%	36.0%
Oregon	14.0%	2.5%	0.7%	18.2%	3.9%	6.7%	54.1%
Washington	22.9%	17.8%	1.0%	12.1%	2.7%	8.4%	35.1%
Source: National Association of State Budget Officers Note: "Other" expenditures include "Children's Health Insurance Program (CHIP), institutional and community care for the mentally ill and developmentally disabled, public health programs, employer contributions to pensions and health benefits, economic development, environmental projects, state police, parks and recreation, housing and general aid to local governments."

Spending trends

From 2008 to 2012, expenditures on higher education, corrections and transportation decreased, with transportation expenditures decreasing the most at 1.9 percentage points, a 16.7 percent decrease in the share of the budget. During the same time period, expenditures on elementary and secondary education, public assistance and Medicaid increased, with Medicaid increasing the most, by 13.1 percentage points, a 106.5 percent increase in the share of the budget. The table below details changes in expenditures from 2008 to 2012. Figures are rendered as percentages, indicating the share of the total budget spent per category.

Expenditures from 2008 to 2012 (as percentages)
Year	Elementary and secondary ed.	Higher ed.	Public assistance	Medicaid	Corrections	Transportation	Other
2012	23.6%	9.7%	3.2%	25.4%	3.8%	9.5%	24.9%
2011	21.5%	10.0%	0.7%	18.3%	3.5%	9.5%	36.5%
2010	21.5%	10.8%	0.7%	18.3%	3.9%	11.4%	33.5%
2009	20.6%	9.6%	0.7%	14.7%	5.2%	16.5%	32.6%
2008	16.6%	11.0%	0.6%	12.3%	4.2%	11.4%	44.0%
Change in %	7.00%	-1.30%	2.60%	13.10%	-0.40%	-1.90%	-19.10%
Source: National Association of State Budget Officers Note: "Other" expenditures include "Children's Health Insurance Program (CHIP), institutional and community care for the mentally ill and developmentally disabled, public health programs, employer contributions to pensions and health benefits, economic development, environmental projects, state police, parks and recreation, housing and general aid to local governments."

Revenues

2013 revenues

Breakdown of general fund revenue sources in FY 2013
Source: National Association of State Budget Officers

The table below breaks down general fund revenues by source in fiscal year 2013 (comparable figures from surrounding states are also provided to give additional context). Figures for all columns except "Per capita revenue" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita revenue" have not been abbreviated.

Revenue sources in the general fund, FY 2013 ($ in millions)
State	Sales tax	Personal income tax	Corporate income tax	Gaming tax	Other taxes and fees	Total	Per capita revenue
Nevada	$919	$0	$0	$705	$1,463	$3,087	$1,106.40
California	$20,240	$63,901	$7,509	$1	$6,544	$98,195	$2,561.66
Oregon	$0	$6,300	$500	$0	$496	$7,296	$1,856.46
Washington	$7,656	$0	$0	$0	$8,116	$15,772	$2,262.38
**Per capita figures are calculated by taking the state's total revenues and dividing by the number of state residents according to United States Census estimates for 2013. Source: National Association of State Budget Officers

Revenue trends

The table below details the change in revenue sources in the general fund from 2009 to 2013. Figures for all columns except "Per capita revenue" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita revenue" have not been abbreviated.

Revenue sources in the general fund, Nevada ($ in millions)
Year	Sales tax	Personal income tax	Corporate income tax	Gaming tax	Other taxes and fees	Total	Per capita revenue
2013	$919	$0	$0	$705	$1,463	$3,087	$1,106.40
2012	$876	$0	$0	$686	$1,520	$3,082	$1,118.96
2011	$826	$0	$0	$684	$1,665	$3,175	$1,168.16
2010	$784	$0	$0	$668	$1,555	$3,007	$1,112.37
2009	$860	$0	$0	$692	$1,188	$2,739	$1,036.29
Change in %	6.86%	N/A	N/A	1.88%	23.15%	12.71%	6.77%
**Per capita figures are calculated by taking the state's total revenues and dividing by the number of state residents according to United States Census estimates. Source: National Association of State Budget Officers

Historical spending

The information on state budget historical spending below was compiled by the National Association of State Budget Officers. Figures reflect the reported "Total Expenditures" in Table 1. Figures for all columns are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000).

Historical state spending in Nevada ($ in millions)
Fiscal year	General Fund		Other funds		Federal funds		Bonds		Budget totals
	Total	% of Budget	Total	% of Budget	Total	% of Budget	Total	% of Budget
2011-2012	$3,062	40%	$1,978	26%	$2,554	34%	$29	0%	$7,623
2010-2011	$3,175	37%	$2,631	31%	$2,642	31%	$78	1%	$8,526
2009-2010	$3,018	36%	$2,365	29%	$2,792	34%	$109	1%	$8,284
Averages:	$3,085	38%	$2,325	29%	$2,663	33%	$72	1%	$8,144

Budget transparency

Transparency evaluation
	Nevada Open Government
Searchability	Y
Grants	N
Contracts	N
Line item expenditures	Y
Dept./agency budgets	Y
Public employee salaries	N
Last evaluated in 2009.

See also: Evaluation of Nevada state website and Constitutional provisions regarding reading of bills

Nevada Open Government hosts the state's searchable online database of financial data. The site was created by Governor Jim Gibbons' executive order and became functional on January 15, 2009. The Nevada Open Government website provides line item expenditures navigable by fiscal year and agency. Budget documents are also available.

The table to the right is helpful in evaluating the level of transparency provided by Nevada Open Government.

Independent transparency sites

The Nevada Policy Research Institute developed its own transparency website, TransparentNevada.com. This site focuses primarily on local transparency, complementing the state's site, which focuses primarily on state spending transparency.

Multi-measure budget transparency profile

The Institute of Government and Public Affairs at the University of Illinois created a multi-measure transparency profile for Nevada, which measured state transparency as of September 2011 using indicators from a range of organizations. These indicators measured both website transparency and other recognized facets of governmental transparency. In addition, IGPA presented four unique indicators of non-transparency based on the observation that transfers or reassignments between general and special funds can obscure the true fiscal condition of a state.

IGPA devised a budget transparency index based on information available from the National Association of State Budget Officers. Nevada tied for 20th in the nation with 12 other states, earning five out of eight possible points.

Nevada - IGPA score for budget process, contents and disclosure
Budget transparency indicator	Yes or no?
Performance measures
"Generally Accepted Accounting Principles" budget	N
Multi-year forecasting
Annual cycle	N
Binding revenue forecast
Legislative revenue forecast
Nonpartisan staff
Constitution or statutory tax/spend limitations	N
TOTAL	5

In addition to the individual state profile, IGPA offers a 50-state comparison and profiles for other states.

Prior fiscal year budgets

Fiscal years 2016 and 2017

See budget bill: Nevada budget bills 2016-2017

Governor Brian Sandoval proposed his budget for the 2016-2017 biennium on January 15, 2015. Under this proposal, the governor recommended $20.7 billion in total state spending, which was a 16.6 percent increase over the previous biennium. Such an increase was in response to growing government programs and increased retirement contribution rates. This budget would have also restored the salaries of some state employees who saw reductions in previous years. Spending was also set aside to support other budget initiatives, such as working to provide full-day kindergarten and doing more to support underperforming public schools.

Governor Sandoval passed the official budget in June 2015. Among the major features of the budget were significant K-12 education reforms, increasing spending in that area by almost 16 percent over the biennium.

Fiscal years 2014 and 2015

See budget bill: Legislatively Approved Budget 2013-2015

Nevada state budget -- 2014
Nevada State Legislature
Text:	SB 475 (This is one of five major budget bills that comprise the 2014-2015 biennium budget)
Legislative history
Introduced:	March 25, 2013
House:	June 3, 2013
Vote (lower house):	35-6-1
Senate:	June 3, 2013
Vote (upper house):	17-3-1
Governor:	Brian Sandoval
Signed:	June 12, 2013

The Nevada State Legislature approved a $6.6 billion budget for the 2014-2015 biennium. The budget included most of the recommendations submitted by Governor Brian Sandoval, such as adding money for public schools and early development learning and restoring a 2.5 percent state employee pay cut. It was the first increase in funding for schools since the 2009 recession.

The approved budget was comprised of five major budget bills. Outside of education funding, the general appropriations bill laid out $4 billion for the General Fund for the biennium, with $1.98 billion for the first year and $2.02 billion for the second.

Fiscal years 2012 and 2013

See also: Nevada state budget (2012-2013)

Fiscal years 2010 and 2011

See also: Nevada state budget (2010-2011)

See also

• Nevada state budget and finances