Nevadans react to the news that the state may see a nearly $900 million budget shortfall by mid-2009.

Education

Lynn Warne, president of the Nevada State Education Association, said she doesn't see how the K-12 education budget can withstand cuts beyond the 4.5 percent already made.

"Currently, the state only funds education at the bottom of the heap nationally," she said. "If they're asked to cut more, I don't know how they'll be able to keep the cuts out of the classroom and away from kids. They're already working with a bare-bones budget."

Warne said "enhancements" such as full-day kindergarten and incentive pay previously approved by the Legislature have been put on the back burner.

"Whatever procedure and process the governor puts forward needs to be open and all stakeholders (need to be) able to give input," she said. "We need to look at, as a state, where we are and how we fund these vital services."

Warne said that could mean re-evaluating the state tax structure.

"(There's) obviously not enough revenue coming into the state to deal with the services we provide," she said.

Health and Human Services

While no targets or directives have been issued, Health and Human Services Director Mike Willden said he has concerns about the shortfall's effect on his department, one of the state's largest.

"I'm concerned we'll be asked to take the lion's share," he said.

Willden said his department has been preparing for cuts but said he hopes the governor and lawmakers can resolve the shortfall through "one-shot" cuts, such as freezing capital improvement projects in the university, prison and highway systems.

"(The) other suggestion is that we not start new programs," Willden said. "That was a lot of our 4.5 percent cuts, delaying or not starting new programs. Stick with basics, fundamentals (of) what we have provided over the years, so that we don't have to sacrifice ongoing programs."

Willden said he hopes a decision comes sooner than later.

"The longer we delay, the deeper the cuts have to be," he said.

Jan Gilbert, Northern Nevada coordinator of the Progressive Leadership Alliance, said any reduction would be a double cut because it eliminates matching federal dollars.

"The health and human services have already taken such a huge cut this additional cut is going to be devastating to programs for children and families," she said. "Look at capital improvements, stop hiring of new staff, any way you can avoid hurting these families, that would be my first reaction. I think we have to be so careful because I think these cuts are going to be much more devastating to those families. I always hope we'll be looking at the bigger picture."

Anti-tax increases

The budget shortfall will "absolutely bring up talk again of raising taxes," said Chuck Muth, president of the limited government group Citizen Outreach.

"Politicians think there's less danger in raising taxes than cutting programs," he said. "It's not only time to (start) limiting the increase in spending, (but) also looking at rolling some back and cutting some spending."

Muth said the "800-pound gorilla in the room no one wants to talk about" is retiree health benefits for government workers, full-day kindergarten and reduced class sizes.

"We haven't gotten the bang for our buck," he said. "We can't have all this. Absolutely those cuts should be made without raising taxes."

For example, Muth said, the retiree health benefits are 100 percent covered by taxpayers, but the state would save money by making future employees pay 10 percent of those costs.

"That would put us on a better path to financially stability," he said. "It won't fix the problem immediately, but help prevent the problem in the future."