LAS VEGAS (KLAS) -- Gov. Joe Lombardo implored President Joe Biden in a letter Thursday to halt excessive government spending that is producing inflation and keeping Nevadans from buying homes.
Lombardo, a Republican, pointed to the price of a home today versus the cost in 2021 when Biden, a Democrat, took office.
The median price of a home then was $342,000 in Las Vegas. By January 2024, the median price increased to about $460,000, according to Lombardo's letter. A monthly payment in 2021, when interest rates were 2.82%, was $1,363. But now a Las Vegas homebuyer would have to pay $2,808 per month -- and the estimated income level to afford that payment is $111,557 a year.
"We must remember the impact short sighted policies and excessive spending have on all Americans and must all practice restraint, so the American Dream doesn't become unattainable for hard-working families," Lombardo said in the letter.
"Mr. President, it is time for your administration to embrace free market principles that rely upon supply and demand and rein in excessive federal spending that is hurting Nevada families," Lombardo wrote.
Nevada Democrats fired back, saying Lombardo was trying to pass the buck on housing costs after he vetoed Democratic legislation that would have lowered housing costs.
"President Biden and Democrats are taking real action to increase access to affordable housing and keep Nevada families in their homes while cracking down on corporate bad actors," a statement from Nevada State Democratic Party spokesperson Tai Sims said. A news release criticized Lombardo's association with Budget Suites of America owner Robert Bigelow, a major campaign donor.
Last month, Lombardo asked Biden to make more federal lands available for housing development. The request came as Biden visited Reno and Las Vegas, where he announced a $258 billion plan to give first-time homebuyers up to $10,000 in tax credits. The program would give similar tax credits to people selling their starter homes.
At the time, Lombardo said, "The federal government continues to arbitrarily restrict statewide growth, inhibiting our communities from realizing their vision for the future," urging Biden to cut the bureaucratic red tape that slows down the transfer of federal land to Nevada.
In today's letter, Lombardo cites 19.4% inflation since 2021, with Biden's 2025 budget on track for a $2 trillion deficit.
The Consumer Price Index spiked 3.5% over the past year. "This is unsustainable," Lombardo's letter said.
"Your administration must halt excessive federal spending to curb future inflation, which will lead to irreversible calamity not only in Nevada but across the nation," Lombardo wrote.
"Every day, I hear from Nevadans who are suffering under the weight of this increased financial burden. They feel it every time they pay their bills, fill their gas tank, purchase groceries, search for a home, and more. Only a few years ago, these essential purchases would have been within their means," the letter said.
You continue to promote policies at the expense of Nevadans and the nation, rather than drive meaningful policy to combat inflation," Lombardo wrote.