Reid Hails Passage of the Energy and Tax Extenders Bill
Invests in renewable energy, helps taxpayers, strengthens rural Nevada
September 23, 2008
Washington, DC—Nevada Senator Harry Reid today commended the passage of H.R. 6049, the Energy and Tax Extenders bill, landmark legislation for Nevada and the country that provides financial incentives to businesses for renewable energy production and conservation. The bill also strengthens Nevada’s rural communities by increasing funding for the Secure Rural Schools and Community Self Determination Act and the Payment in Lieu of Taxes (PILT) program, which helps Nevada counties compensate for losses to their tax base that result from federal land ownership.
Additionally, the bill renews the tax provision that allows Nevadans to deduct sales taxes they pay from their federal income taxes. Every year, Nevadans save hundreds of millions of dollars by taking advantage of this deduction that is afforded to Nevada and a handful of other states where residents don’t pay state income taxes. “With so many uncertainties in our economy right now, this important element could not have come at a better time for Nevada’s working families,” said Reid. “Thousands of families count on the sales tax deduction, so renewing it was a major priority of mine.”
“This bill also goes a long way toward making Nevada the leader in clean renewable energy by providing tax incentives to companies that invest in solar, wind, geothermal and biomass, which would create tens of thousands of jobs in Nevada alone,” Reid added. The bill extends tax credits for eight years for companies that invest in solar development and three years to companies that develop other renewable energy sources. A recent report by Navigant Consulting, Inc. released last week found that 9,000 new permanent and tens of thousands of construction jobs could be created in Nevada by tapping into the state’s tremendous solar energy potential through the investment tax credit extension.
“Nevada’s rural communities also come out a winner because this legislation invests roughly $114 million in the PILT and Secure Rural Schools programs,” Reid added. “With nearly 90 percent of Nevada’s land being owned by the government, increasing funding to Secure Rural Schools and PILT will ensure that our rural counties are fairly compensated for lost revenue.” This bill increases our investment in Nevada’s rural communities by roughly $54 million over the next four years.