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CARSON CITY, Nev. (AP) — Under two bills presented Friday in the state legislature, local governments would have to publicize details about their proposed contracts with unions further in advance of final votes, but they would also have more leeway to reopen contracts in a financial emergency.
The measures, discussed by the Nevada Senate Government Affairs Committee, come against the backdrop of a recent recession that prompted widespread layoffs at local governments in Nevada and forced unions and governments to renegotiate contracts drafted during headier times.
Government, business and union representatives alike voiced support for SB158, which would require public disclosure of contract details at least 10 days before the agreements came up for a vote. A proposed amendment would require details only three days in advance, to align with laws requiring meeting agendas be posted three days in advance.
Republican Sen. Pete Goicoechea said the rule would allow time for the public to review the agreements, offering a better opportunity for critics to organize and voice their opinions. That could persuade some elected officials to vote against the agreement, Goicoechea said.
Union representatives said they support transparency, but they want extensive documentation for all contract changes up for a vote, including raises for non-union managers.
There was less support for SB168, which would make it easier for local governments to tweak contracts with their unions during economic downturns. The bill would allow local governments to go back to the bargaining table during a financial emergency. The bill defines a financial emergency as general fund revenues falling 5 percent or more year-over-year.
Existing law requires unions and governments to agree on when such a situation exists.
"There are no words that define fiscal emergency," said Sen. James Settelmeyer, a Minden Republican who is sponsoring the bill. "Sometimes people don't agree."
The bill also shields three months' worth of local government reserve funds in financial emergencies, up from one month. It prevents arbitrators from considering those reserves when deciding whether a local government can pay out previously negotiated pay raises and other union contract provisions.
The bill's proponents, including the Nevada Association of Counties, said local governments are vulnerable to sudden drops in sales taxes and need a larger cushion to weather downturns.
Union leaders, such as Rusty McAllister, president of Professional Firefighters of Nevada, said the bill could encourage local governments to shift money into separate accounts and shield it from arbitrators, then reopen contracts prematurely.
Ron Dreher, a lobbyist representing several public employee unions, suggested three months' of reserves was more than necessary, and that a 5 percent year-over-year drop in revenue might be too small to consider a financial emergency.
Unions are willing to cooperate during downturns, but they need to know that local governments aren't hiding money to seek concessions, Dreher said. "When there's trust and credibility, we are there to help," he said.
The committee did not immediately vote on either bill.
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