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Cato Podcast

A Legal Wrinkle for Education Savings Accounts in Nevada

Cato Podcast

Cato Institute

Immigration, News, News Commentary, Peace, 424708, Markets, Government, Libertarian, Policy, Politics, Cato, Defense

4.5979 Ratings

🗓️ 3 October 2016

⏱️ 8 minutes

🧾️ Download transcript

Summary

Education Savings Accounts in Nevada are constitutional, but the funding mechanism is not. So says the Nevada Supreme Court. Jason Bedrick explains what should happen next. (Recorded September 30, 2016)

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Transcript

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0:00.0

This is the Cato Daily Podcast for Monday, October 3rd, 2016. I'm Caleb Brown.

0:07.0

The Nevada Supreme Court has ruled that so-called education savings accounts are constitutional

0:12.1

at the state level level but the funding mechanism

0:14.5

for those accounts is not.

0:16.6

Jason Bedrick, a policy analyst at the Cato Institute Center for Educational Freedom,

0:20.8

explains what the state legislature can do to fix the program.

0:25.0

So yes, the Nevada education savings accounts, if you're only looking at headlines, you might think,

0:32.0

well, it was thrown out, and that's it no more education

0:35.1

savings accounts in Nevada so what's the reality right well the reality is

0:40.4

sort of like the Obamacare decision in 2012 when our colleague

0:45.2

Gilly Shapiro said that we won on every argument except for the actual case.

0:50.4

So on on grounds, on the merits of the challenge, on every question, the defenders of the program won, but the program nevertheless was struck down on a technicality regarding the funding.

1:08.1

So if the Nevada legislature meets within the next few weeks and they actually will to consider building a new football stadium.

1:18.0

Then they can, in the special session, they can actually fix this technical funding issue and the program was

1:24.8

a 100% constitutional. So how did it function before and how would it need to

1:29.6

function in order to pass muster? Yeah I mean it gets a little complicated.

1:33.7

The question was essentially this.

1:35.1

The way that there's a strange provision in the Nevada Constitution that says that the public schools have to be funded before any other appropriation can be made and

1:47.9

they passed this bill before that and so the question is whether it was that if it's an appropriation

1:54.9

then it's null and void and if it's not an appropriation

1:59.8

then you know and it's tied to the the public schools then it would violate a different part of that

2:07.2

constitutional provision. So it was a sort of a catch-22 and it was thrown out but if it's funded from the general

...

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