Nevada Senator Vetoed Funding for State Unions

Governor Joe Lombardo rejected a 2023 bill that aimed to provide $25 million in raises to state employee unions.

Updated on Oct. 7, 2026 in Unions

Bold flat-color editorial illustration of a legislative building facade, representing the political tension of the Nevada union funding veto.
Governor Joe Lombardo’s veto of a 2023 bill denied $25 million in raises to Nevada state unions, ending a long-standing arbitration dispute. AI Illustration. Upload story photo >

Senator Nicole Cannizzaro sponsored a 2023 bill to provide $25 million in raises for state worker unions, including the Nevada Police Union and AFSCME Local 4041. Governor Joe Lombardo ultimately vetoed the measure, preventing it from taking effect.

Why it matters

The proposed legislation sought to honor a previously negotiated arbitration agreement between state worker unions and Nevada. Because the bill was vetoed, the state legislature never appropriated the necessary funds to enact the pay raises.

The 2023 legislation targeted $25 million in state funding for worker raises, contrasted against the $26 million figure that was the subject of allegations regarding potential conflicts of interest. The legislature never successfully appropriated money to fund the agreements.

The players

Nicole Cannizzaro

She is a Nevada state senator who sponsored the 2023 bill intended to provide raises to unionized state employees.

Joe Lombardo

He is the Governor of Nevada who issued the veto that stopped the union funding bill from becoming law.

AFSCME Local 4041

This is a public employee union that sought to enforce an arbitration agreement through litigation against the state.

The details

AFSCME Local 4041 filed a lawsuit in an attempt to force the state to fund the arbitration agreement after the bill was vetoed. The legal challenge was unsuccessful, and no money was distributed to the unions under the disputed terms.

Timeline

  1. Senator Nicole Cannizzaro sponsored the funding bill in 2023.

Political Context

This dispute over union funding reflects the broader partisan tensions during the 2023 Nevada legislative session regarding the role of state-level collective bargaining. Opponents argued that the funding structure lacked sufficient oversight, leading to the executive veto that ultimately scuttled the deal.

State employees represented by these unions did not receive the raises proposed in the 2023 bill. Consequently, the fiscal planning for many public workers was impacted by the failure of the legislature to appropriate the specific funds.

The takeaway

The failed funding bill highlights how legislative processes and executive vetoes can directly stall labor agreements and pay raises for public sector employees. Readers should monitor future legislative sessions to see if these arbitration agreements are renegotiated or reintroduced.

Further reading

For more background on state labor relations, visit the Unions section.

Source note: This article includes information reported by Thenevadaindependent.