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The big news from Carson City in recent days is the Legislature’s bi-partisan move to suspend the popular green building incentive program. Enacted as AB 3 in the 2005 special session, the program offers property tax abatements and sales tax breaks for buildings constructed to meet LEED (Leadership in Energy and Environmental Design) standards.

If you’re not familiar with the principles of sustainable building, check out this video of the Patagonia Distribution Center in Reno, a certified LEED project that’s benefited from the incentive program.

Nevada’s sustainable building program is one of the most progressive in the nation, and has put us on the forefront of sustainable building and design. The problem is, no one knew quite how popular the program would be, or how large the impact would be on our state’s fiscal situation.

Sustainable building projects like Patagonia’s are the poster children for why we want to keep this program. But in recent weeks we’ve watched our budget surplus rapidly slip away. Our income projections for the state are now $110 million off of budget, and the LEED program is one part of this hole. The Clark County School District alone projects that the program will cost schools in Clark County $700 million to $900 million over the next ten years if not adjusted. AB 3 was originally projected to cost $250,000, but the reality is that the price tag is in the tens of millions of dollars.

I’ve had extensive conversations with my colleagues on this issue in recent days. I’m particularly concerned that as we strive to strike a more appropriate balance between providing incentives for sustainable design and the fiscal realities of our state we not toss the baby with the bath water. I believe the Legislature is committed to fixing the problem this session and seeing the program continue.

Nevada’s LEED program needs to continue, but we need to stop the train while we figure out which track to put it on and continue forward. With our state budget as tight as it is, and the needs of our school kids and families at stake, we need to roll up our sleeves and get this program right. It’s the responsible thing to do.

Stay tuned as this issue unfolds, and be sure to check out some of the coverage it’s received.

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