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Assembly committee hears bill to extend Clark County fuel-revenue indexing through 2036
Summary
Supporters told the Assembly Committee on Growth and Infrastructure AB 530 would preserve funding for Southern Nevada road projects and transit by allowing Clark County to extend fuel revenue indexing for up to 10 years; opponents said the change would remove a promised public vote and urged the matter be returned to county voters.
Assemblymember Howard Watts introduced Assembly Bill 530 on behalf of Assembly District 15, asking the committee to allow Clark County to extend its fuel revenue indexing (FRI) program for up to 10 years to 2036. He said the measure would help maintain funding for roadway and transit projects in Southern Nevada.
Supporters told the committee that FRI has been central to the Regional Transportation Commission of Southern Nevada’s capital program and local roadway funding. “FRI has supported more than 700 projects across the Southern Nevada community,” MJ Maynard Carey, a policy presenter for the RTC, said. “The indexing has generated substantial revenue that allowed projects to proceed in the face of inflation.” David Swallow, deputy CEO of the RTC, told members the agency has started 702 projects, 501 of which are complete, with about $1.9 billion in the RTC’s 10-year capital improvement program and 277 projects yet to come.
The RTC and allied business and labor groups warned that without continued indexing, jurisdictions that now spend roughly $300 million a year on roadway projects would see that funding decline to about $100 million annually. “If the indexing program discontinues in 2026, they’ll have about $100 million to spend annually,” Maynard Carey said. Witnesses from construction trade groups, unions and business organizations said the funding supports thousands of jobs and local small businesses.
Opponents — including the Western States Petroleum Association, Nevada Policy and several citizen advocacy groups — said AB 530 would remove a promised vote by Clark County voters and turn the decision to extend indexing into a county-commission action. “Extending indexing without a public vote strips away accountability and transparency,” Victoria Supple of Western States Petroleum Association said. Janine Hanson of Nevada Families for Freedom said voters were told they would again be asked to approve indexing and urged the Legislature to return the matter to the ballot. Other callers from the public called the indexing a regressive cost on working households.
Assemblymember Watts closed by saying the bill was drafted to preserve voter involvement: under the draft he described, the Clark County Commission could extend the period of collection only by a two-thirds vote and any extension through 2036 would still require a public vote for indexing to continue beyond that date. “A final vote of the people has been maintained,” Watts said.
The committee received extensive public testimony both for and against AB 530 and took no committee-level action on the bill during the hearing.
Why it matters: For Southern Nevada, indexed fuel revenues have been a predictable funding source for construction and maintenance of roads and transit; the dispute centers on whether the Legislature should authorize a county-commission extension or require a voter referendum.
