On January 15th, 2025, Governor Joe Lombardo delivered his State of the State address outlining his policy priorities for the approaching 83rd legislative session. New health agencies, teacher pay raises and affordable housing were only some of the highlights. Here are some of the key takeaways that will impact the legislature in the upcoming months.
Access to Attainable Housing for Nevadans
When speaking of increased housing prices and a looming supply shortage, Lombardo attributed the cause to the lack of buildable land. With 85% of the state under federal control, there is not much space for urban expansion. Gov. Lombardo mentioned that he has been in constant contact with the congressional delegation and President Trump, urging federal action to make some of Nevada’s vast swaths of federal land available to its citizens. However, Congress has long obstructed Nevadans’ access to these lands, even to the point of preventing a popular amendment to the state constitution dealing with public lands from becoming effective.
Instead, the Governor announced he would sponsor a Nevada Attainable Housing Act – a proposal to lower construction permitting fees and authorize public-private partnerships for home construction. The bill seeks $1 billion in state funding to subsidize the acquisition of land and construction of housing units across Nevada.
Further, Lombardo announced a public-private partnership to build The Campus of Hope, a $200 million project that will provide short-term, transitional housing for homeless people, and assist in securing permanent housing. The campus is set to open its doors in 2027.
Improving Nevada’s Healthcare
Gov. Lombardo plans to tackle the delays for patients and providers in Nevada’s Medicaid network by changing the rules governing prior authorization requirements by managed care providers before a patient can receive treatment.
Perhaps the biggest structural change announced during the State of State address was the splitting of Nevada Health and Human Services Authority. A new entity – Nevada Health Authority – would oversee critical responsibilities of managing Medicaid, the Health Exchange, public employee benefits, mental health funding, and more. The agency is intended to include an Office of Mental Health to expand access to behavioral health across the state and bring attention to the evident lack of professionals, especially in the rural areas.
Lastly, the Governor emphasized the importance of having an educational pipeline for healthcare professionals, referring to the $9.2 million from the executive budget for operational costs and expansion of the number of students in each class for the Kirk Kerkorian Medical Education Program, as well as $8.53 million for the Graduate Medical Education Grant Program.
Accountability in Nevada’s Education
Gov. Lombardo proposed a Nevada Accountability in Education Act that will have four areas of focus. First, it will raise the bars for schools and school districts when it comes to accountability. Second, on top of encouraging open enrollment policies the act will also provide transportation to make education choice available for all Nevadan families.
Third, the act will create Excellence in Education Fund to reward the best teachers in the state, effectively implementing a merit pay system. Nevada Policy has long advocated for an aggressive system of teacher merit pay, as it is the most efficient way to attract and retain the best professionals to the classroom. Few details are known about the Lombardo proposal at this point, however. Lastly, the Nevada Accountability in Education Act is expected to address the lagging early literacy rates, to ensure that every student is set for success from an early age.
Efficiency in Economic Development
The last legislative priority outlined in the State of State address was Lombardo’s proposed Economic Development Policy Reform Act. The governor mentioned several potential programs, such as targeted tax credits or “innovative and sustainable” incentives, although specific legislative language is not yet available. Nevada Policy has articulated an economic development agenda that focuses on streamlining licensing procedures, eliminating government preferences for particular actors, and offering flexibility in the regulatory environment.
Part of the economic development agenda is ensuring that government agencies are operating efficiently – a priority on Gov. Lombardo’s agenda since he entered the office. With more than 300 state boards and commissions slowing processes and complicating the government oversight his team has outlined a streamlining process that will identify dysfunctional boards and commissions to minimize waste and duplication.
Stay Informed This Session
With legislative goals ranging from education to healthcare, the 83rd session promises to deliver sizeable changes to the lives of Nevadans. As lawmakers begin deliberations, the success of these initiatives will depend on collaboration, public engagement, and a commitment to delivering solutions that address the needs of the Silver State.
Nevada Policy is here to serve as your nonpartisan resource for the issues that matter in our state. Sign up below to receive weekly email updates about this legislative session, and learn what you can do to help shape the future of our state!
