(North Las Vegas, NV)  —  North Las Vegas is offering $5.6 million for labor unions to settle a legal battle over pay increases.

A judge ruled the city could not suspend over $25 million in salary hikes after declaring a fiscal emergency in 2012.

The “Review-Journal” says the deal could require a tax hike for residents in the cash-strapped city.

It would cover four unions, including the ones representing police and firefighters.

The offer now goes to union leaders for consideration.

North Las Vegas must submit a tentative budget to the state by April 15th.

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