THE EIGHTY-FIRST DAY

                               

Carson City(Thursday), April 26, 2001

    Senate called to order at 10:42 a.m.

    President Hunt presiding.

    Roll called.

    All present.

    Prayer by the Chaplain, Reverend Jeffrey Paul.

    God of exiles, shelter of the homeless, we are in need of Your mercy. We ask Your blessing on Your children everywhere who are in danger today. Bless all who suffer from injustice. Shelter them in the warmth of Your love and safeguard them from the evil that rages around them. Turn our eyes and hearts to their needs, and give us courage to act for their good. We ask this, relying on Your compassion and confident in Your love.

Amen.

    Pledge of allegiance to the Flag.

    Senator Raggio moved that further reading of the Journal be dispensed with, and the President and Secretary be authorized to make the necessary corrections and additions.

    Motion carried.

REPORTS OF COMMITTEES

Madam President:

    Your Committee on Commerce and Labor, to which were referred Senate Bills Nos. 44, 99, 372, 394, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Randolph J. Townsend, Chairman

Madam President:

    Your Committee on Government Affairs, to which were referred Senate Bills Nos. 553, 554, 555, 563, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Ann O'Connell, Chairman

Madam President:

    Your Committee on Human Resources and Facilities, to which was referred Senate Bill No. 291, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Raymond D. Rawson, Chairman

Madam President:

    Your Committee on Judiciary, to which were referred Senate Bills Nos. 83, 411, 474, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Mark A. James, Chairman

Madam President:

    Your Committee on Natural Resources, to which was referred Senate Bill No. 534, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and re-refer to the Committee on Finance.

Dean A. Rhoads, Chairman


Madam President:

    Your Committee on Taxation, to which was referred Senate Bill No. 156, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Mike McGinness, Chairman

Madam President:

    Your Committee on Transportation, to which were referred Senate Bills Nos. 257, 270, 481, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

William R. O'Donnell, Chairman

MESSAGES FROM THE ASSEMBLY

Assembly Chamber, Carson City, April 25, 2001

To the Honorable the Senate:

    I have the honor to inform your honorable body that the Assembly on this day passed Assembly Bill No. 341; Assembly Joint Resolution No. 13.

    Also, I have the honor to inform your honorable body that the Assembly on this day passed, as amended, Assembly Bills Nos. 130, 179, 195, 198, 248, 253, 254, 271, 331, 364, 375, 402, 415, 419, 429, 442, 455, 458, 462, 466, 488, 491, 552, 571, 601, 622.

    Also, I have the honor to inform your honorable body that the Assembly on this day adopted Senate Concurrent Resolutions Nos. 7, 17.

              Patricia R. Williams

                   Assistant Chief Clerk of the Assembly

WAIVERS AND EXEMPTIONS

Notice Of Exemption

April 25, 2001

The Fiscal Analysis Division, pursuant to Joint Standing Rule No. 14.6, has determined the exemption of:  Senate Bills Nos. 168, 478.

                                        Gary Ghiggeri

                                        Fiscal Analysis Division

MOTIONS, RESOLUTIONS AND NOTICES

    Senator Raggio moved that for this legislative day, the Secretary of the Senate dispense with reading the histories and titles of all bills and resolutions.

    Remarks by Senator Raggio.

    Motion carried.

    Senator Raggio moved that for this legislative day, all Senate bills and resolutions reported out of committee with amendments be immediately placed on the appropriate reading files, time permitting.

    Remarks by Senator Raggio.

    Motion carried.

    Senator Raggio moved that for this legislative day, that all rules be suspended, and that all Senate bills and joint resolutions returned from reprint be declared emergency measures under the Constitution and immediately placed on third reading and final passage, time permitting.

    Remarks by Senator Raggio.

    Motion carried unanimously.


    Assembly Joint Resolution No. 13.

    Senator Rawson moved that the resolution be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Senator McGinness moved Senate Bill No. 381 be taken from the Secretary's desk and placed on the Second Reading File on the first agenda.

    Remarks by Senator McGinness.

    Motion carried

INTRODUCTION, FIRST READING AND REFERENCE

    Assembly Bill No. 130.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 179.

    Senator Rawson moved that the bill be referred to the Committee on Government Affairs.

    Motion carried.

    Assembly Bill No. 195.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 198.

    Senator Rawson moved that the bill be referred to the Committee on Natural Resources.

    Motion carried.

    Assembly Bill No. 248.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 253.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 254.

    Senator Rawson moved that the bill be referred to the Committee on Judiciary.

    Motion carried.


    Assembly Bill No. 271.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 331.

    Senator Rawson moved that the bill be referred to the Committee on Judiciary.

    Motion carried.

    Assembly Bill No. 341.

    Senator Rawson moved that the bill be referred to the Committee on Commerce and Labor.

    Motion carried.

    Assembly Bill No. 364.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 375.

    Senator Rawson moved that the bill be referred to the Committee on Judiciary.

    Motion carried.

    Assembly Bill No. 402.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 415.

    Senator Rawson moved that the bill be referred to the Committee on Commerce and Labor.

    Motion carried.

    Assembly Bill No. 419.

    Senator Rawson moved that the bill be referred to the Committee on Natural Resources.

    Motion carried.

    Assembly Bill No. 429.

    Senator Rawson moved that the bill be referred to the Committee on Judiciary.

    Motion carried.

    Assembly Bill No. 442.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 455.

    Senator Rawson moved that the bill be referred to the Committee on Taxation.

    Motion carried.

    Assembly Bill No. 458.

    Senator Rawson moved that the bill be referred to the Committee on Government Affairs.

    Motion carried.

    Assembly Bill No. 462.

    Senator Rawson moved that the bill be referred to the Committee on Government Affairs.

    Motion carried.

    Assembly Bill No. 466.

    Senator Rawson moved that the bill be referred to the Committee on Judiciary.

    Motion carried.

    Assembly Bill No. 488.

    Senator Rawson moved that the bill be referred to the Committee on Human Resources and Facilities.

    Motion carried.

    Assembly Bill No. 491.

    Senator Rawson moved that the bill be referred to the Committee on Commerce and Labor.

    Motion carried.

    Assembly Bill No. 552.

    Senator Rawson moved that the bill be referred to the Committee on Commerce and Labor.

    Motion carried.

    Assembly Bill No. 571.

    Senator Rawson moved that the bill be referred to the Committee on Government Affairs.

    Motion carried.

    Assembly Bill No. 601.

    Senator Rawson moved that the bill be referred to the Committee on Government Affairs.

    Motion carried.

    Assembly Bill No. 622.

    Senator Rawson moved that the bill be referred to the Committee on Commerce and Labor.

    Motion carried.

    Senator Raggio moved that the Senate recess subject to the call of the Chair.

    Motion carried.

    Senate in recess at 11:13 a.m.

SENATE IN SESSION

    At 11:21 a.m.

    President Hunt presiding.

    Quorum present.

SECOND READING AND AMENDMENT

    Senate Bill No. 227.

    Bill read second time.

    The following amendment was proposed by the Committee on Taxation:

    Amendment No. 193.

    Amend the bill as a whole by deleting sections 1 through 4 and the text of repealed sections and adding new sections designated sections 1 through 9 and the text of the repealed section, following the enacting clause, to read as follows:

    “Section 1. NRS 361.0685 is hereby amended to read as follows:

    361.0685  1.  Except as otherwise provided in this section, if a:

    (a) Business that engages in the primary trade of preparing, fabricating, manufacturing or otherwise processing raw material or an intermediate product through a process in which at least 50 percent of the material or product is recycled on site; or

    (b) Business that includes as a primary component a facility for the [production of electrical energy] generation of electricity from recycled material, is found by the commission on economic development to have as a primary purpose the conservation of energy or the substitution of other sources of energy for fossil sources of energy and obtains certification from the commission on economic development pursuant to NRS [231.139, 75 percent of the personal and real property of the business is exempt from taxation.

    2.  Before an exemption may be granted pursuant to subsection 1, the business must execute an agreement with the commission on economic development which states that the business will continue in operation in this state for 30 or more years after the date on which the exemption is granted. The agreement must bind the successors in interest of the business. The exemption pursuant to this section continues until the expiration of the period for which the exemption was granted or until the business discontinues in operation in this state, whichever occurs first.

    3.  The exemption] 360.750, the commission may, if the business additionally satisfies the requirements set forth in subsection 2 of NRS 361.0687, grant to the business a partial abatement from the taxes imposed on real property by this chapter.

    2.  If a partial abatement from the taxes imposed on real property by this chapter is approved by the commission on economic development pursuant to NRS 360.750 for a business described in subsection 1:

    (a) The partial abatement must:

        (1) Be for a duration of at least 1 year but not more than 10 years;

        (2) Not exceed 50 percent of the taxes on real property payable by the business each year pursuant to this chapter; and

        (3) Be administered and carried out in the manner set forth in NRS 360.750.

    (b) The executive director of the commission on economic development shall notify the county assessor of the county in which the business is located of the approval of the partial abatement, including, without limitation, the duration and percentage of the partial abatement that the commission granted. The executive director shall, on or before April 15 of each year, advise the county assessor of each county in which a business qualifies for a partial abatement during the current fiscal year as to whether the business is still eligible for the partial abatement in the next succeeding fiscal year.

    3.  The partial abatement provided in this section applies only to the business for which certification was granted pursuant to NRS [231.139] 360.750 and the property used in connection with that business. The exemption does not apply to property in this state that is not related to the business for which the certification was granted pursuant to NRS [231.139] 360.750 or to property in existence and subject to taxation before the certification was granted.

    4.  [Personal property exempted pursuant to subsection 1 may not receive an exemption for more than 10 consecutive years. Real property exempted pursuant to subsection 1 may not receive an exemption for more than 20 consecutive years.

    5.] As used in this section, a “facility for the [production of electrical energy] generation of electricity from recycled material” is a facility which uses recycled material as its primary fuel including material from:

    (a) Industrial or domestic waste, other than hazardous waste, even though it includes a product made from oil, natural gas or coal, such as plastics, asphalt shingles or tires;

    (b) Agricultural crops, whether terrestrial or aquatic, and agricultural waste, such as manure and residue from crops; and

    (c) Municipal waste, such as sewage and sludge.

The term includes all the equipment in the facility used to process and convert into electricity the energy derived from a recycled material fuel.

    Sec. 2. NRS 361.0687 is hereby amended to read as follows:

    361.0687  1.  A person who intends to locate or expand a business in this state may, pursuant to NRS 360.750, apply to the commission on economic development for a partial abatement from the taxes imposed by this chapter.

    2.  For a business to qualify pursuant to NRS 360.750 for a partial abatement from the taxes imposed by this chapter, the commission on economic development must determine that, in addition to meeting the other requirements set forth in subsection 2 of that section:

    (a) If the business is a new business in a county or city whose population is 50,000 or more:

        (1) The business will make a capital investment in the county of at least $50,000,000 if the business is an industrial or manufacturing business or at least $5,000,000 if the business is not an industrial or manufacturing business; and

        (2) The average hourly wage that will be paid by the new business to its employees in this state is at least 100 percent of the average statewide hourly wage as established by the employment security division of the department of employment, training and rehabilitation on July 1 of each fiscal year.

    (b) If the business is a new business in a county or city whose population is less than 50,000:

        (1) The business will make a capital investment in the county of at least $5,000,000 if the business is an industrial or manufacturing business or at least $500,000 if the business is not an industrial or manufacturing business; and

        (2) The average hourly wage that will be paid by the new business to its employees in this state is at least 100 percent of the average statewide hourly wage as established by the employment security division of the department of employment, training and rehabilitation on July 1 of each fiscal year.

    3.  [If] Except as otherwise provided in NRS 361.0685 and subsection 4, if a partial abatement from the taxes imposed by this chapter is approved by the commission on economic development pursuant to NRS 360.750:

    (a) The partial abatement must:

        (1) Be for a duration of at least 1 year but not more than 10 years;

        (2) Not exceed 50 percent of the taxes on personal property payable by a business each year pursuant to this chapter; and

        (3) Be administered and carried out in the manner set forth in NRS 360.750.

    (b) The executive director of the commission on economic development shall notify the county assessor of the county in which the business is located of the approval of the partial abatement, including, without limitation, the duration and percentage of the partial abatement that the commission granted. The executive director shall, on or before April 15 of each year, advise the county assessor of each county in which a business qualifies for a partial abatement during the current fiscal year as to whether the business is still eligible for the partial abatement in the next succeeding fiscal year.

    4.  If a partial abatement from the taxes imposed by this chapter is approved by the commission on economic development pursuant to NRS 360.750 for a facility for the generation of electricity from renewable energy:

    (a) The partial abatement must be:

        (1) For a duration of 10 years;

        (2) Equal to 50 percent of the taxes on real and personal property payable by the facility each year pursuant to this chapter; and

        (3) Administered and carried out in the manner set forth in NRS 360.750.

    (b) The executive director of the commission on economic development shall:

        (1) Notify the county assessor of the county in which the facility is located of the approval of the partial abatement; and

        (2) Advise the county assessor of the county in which the facility is located as to the dates on which the partial abatement will begin and end.

    5.  As used in this section:

    (a) “Biomass” means any organic matter that is available on a renewable basis, including, without limitation:

        (1) Agricultural crops and agricultural wastes and residues;

        (2) Wood and wood wastes and residues;

        (3) Animal wastes;

        (4) Municipal wastes; and

        (5) Aquatic plants.

    (b) “Facility for the generation of electricity from renewable energy” means a facility for the generation of electricity that:

        (1) Uses renewable energy as its primary source of energy; and

        (2) Has a generating capacity of at least 10 kilowatts.

The term includes all the machinery and equipment that is used in the facility to collect and store the renewable energy and to convert the renewable energy into electricity. The term does not include a facility that is located on residential property.

    (c) “Industrial or manufacturing business” does not include a facility for the generation of electricity from renewable energy.

    (d) “Renewable energy” means:

        (1) Biomass;

        (2) Solar energy; or

        (3) Wind.

The term does not include coal, natural gas, oil, propane or any other fossil fuel, or nuclear energy.

    Sec. 3. NRS 361.0687 is hereby amended to read as follows:

    361.0687  1.  A person who intends to locate or expand a business in this state may, pursuant to NRS 360.750, apply to the commission on economic development for a partial abatement from the taxes imposed by this chapter.

    2.  For a business to qualify pursuant to NRS 360.750 for a partial abatement from the taxes imposed by this chapter, the commission on economic development must determine that, in addition to meeting the other requirements set forth in subsection 2 of that section:

    (a) If the business is a new business in a county or city whose population is 50,000 or more:

        (1) The business will make a capital investment in the county of at least $50,000,000 if the business is an industrial or manufacturing business or at least $5,000,000 if the business is not an industrial or manufacturing business; and

        (2) The average hourly wage that will be paid by the new business to its employees in this state is at least 100 percent of the average statewide hourly wage as established by the employment security division of the department of employment, training and rehabilitation on July 1 of each fiscal year.

    (b) If the business is a new business in a county or city whose population is less than 50,000:

        (1) The business will make a capital investment in the county of at least $5,000,000 if the business is an industrial or manufacturing business or at least $500,000 if the business is not an industrial or manufacturing business; and

        (2) The average hourly wage that will be paid by the new business to its employees in this state is at least 100 percent of the average statewide hourly wage as established by the employment security division of the department of employment, training and rehabilitation on July 1 of each fiscal year.

    3.  [If] Except as otherwise provided in NRS 361.0685, if a partial abatement from the taxes imposed by this chapter is approved by the commission on economic development pursuant to NRS 360.750:

    (a) The partial abatement must:

        (1) Be for a duration of at least 1 year but not more than 10 years;

        (2) Not exceed 50 percent of the taxes on personal property payable by a business each year pursuant to this chapter; and

        (3) Be administered and carried out in the manner set forth in NRS 360.750.

    (b) The executive director of the commission on economic development shall notify the county assessor of the county in which the business is located of the approval of the partial abatement, including, without limitation, the duration and percentage of the partial abatement that the commission granted. The executive director shall, on or before April 15 of each year, advise the county assessor of each county in which a business qualifies for a partial abatement during the current fiscal year as to whether the business is still eligible for the partial abatement in the next succeeding fiscal year.

    Sec. 4. NRS 361.079 is hereby amended to read as follows:

    361.079  1.  Except as otherwise provided in subsection 2, for any assessment made on or after July 1, 1983, any value added by a qualified system must be excluded from the assessed value of the building regardless of the date the system was installed.

    2. Value added by a qualified system must not be excluded from the assessed value of a commercial or industrial building during any period in which the business that owns the commercial or industrial building is receiving another abatement or exemption from the taxes imposed by this chapter.

    3. As used in this section, “qualified system” means any system, method, construction, installation, machinery, equipment, device or appliance which is designed, constructed or installed in a residential, commercial or industrial building to heat or cool the building or water used in the building, or to provide electricity used in the building, by using:

    (a) Energy from the wind or from solar devices not thermally insulated from the area where the energy is used;

    (b) Geothermal resources;

    (c) Energy derived from conversion of solid wastes; or

    (d) [Water power,]Waterpower,

which conforms to standards established by regulation of the department.

    [2.  For any assessment made on or after July 1, 1983, any value added by a qualified system must be excluded from the assessed value of the building regardless of the date the system was installed.]

    Sec. 5. NRS 374.357 is hereby amended to read as follows:

    374.357 1. A person who maintains a business or intends to locate a business in this state may, pursuant to NRS 360.750, apply to the commission on economic development for an abatement from the taxes imposed by this chapter on the gross receipts from the sale, and the storage, use or other consumption, of eligible machinery or equipment for use by a business which has been approved for an abatement pursuant to NRS 360.750.

    2. [If]Except as otherwise provided in subsection 3, if an application for an abatement is approved pursuant to NRS 360.750:

    (a)The taxpayer is eligible for an abatement from the tax imposed by this chapter for not more than 2 years.

    (b)The abatement must be administered and carried out in the manner set forth in NRS 360.750.

    3. If an application for an abatement is approved pursuant to NRS 360.750 for a facility for the generation of electricity from renewable energy:

    (a) The taxpayer is eligible for an abatement from the tax imposed by this chapter for 2 years.

    (b) The abatement must be administered and carried out in the manner set forth in NRS 360.750.

    4.  As used in this section, unless the context otherwise requires [, “eligible]:

    (a) “Biomass” means any organic matter that is available on a renewable basis, including, without limitation:

        (1) Agricultural crops and agricultural wastes and residues;

        (2) Wood and wood wastes and residues;

        (3) Animal wastes;

        (4) Municipal wastes; and

        (5) Aquatic plants.

    (b) “Eligible machinery or equipment” means :

        (1) If the business that qualifies for the abatement is not a facility for the generation of electricity from renewable energy, machinery or equipment for which a deduction is authorized pursuant to 26 U.S.C. § 179. The term does not include:

    [(a)] (I) Buildings or the structural components of buildings;

    [(b)] (II) Equipment used by a public utility;

    [(c)] (III) Equipment used for medical treatment;

    [(d)] (IV) Machinery or equipment used in mining; or

    [(e)] (V) Machinery or equipment used in gaming.

        (2) If the business that qualifies for the abatement is a facility for the generation of electricity from renewable energy, all the machinery and equipment that is used in the facility to collect and store the renewable energy and to convert the renewable energy into electricity.

    (c) “Facility for the generation of electricity from renewable energy” means a facility for the generation of electricity that:

        (1) Uses renewable energy as its primary source of energy; and

        (2) Has a generating capacity of at least 10 kilowatts.

The term includes all the machinery and equipment that is used in the facility to collect and store the renewable energy and to convert the renewable energy into electricity. The term does not include a facility that is located on residential property.

    (d) “Fuel cell” means a device or contrivance which, through the chemical process of combining ions of hydrogen and oxygen, produces electricity and water.

    (e) “Renewable energy” means a source of energy that occurs naturally or is regenerated naturally, including, without limitation:

        (1) Biomass;

        (2) Fuel cells;

        (3) Geothermal energy;

        (4) Solar energy;

        (5) Waterpower; and

        (6) Wind.

The term does not include coal, natural gas, oil, propane or any other fossil fuel, or nuclear energy.

    Sec. 6. NRS 231.139 is hereby amended to read as follows:

    231.139  1.  The commission on economic development shall certify a business for the benefits provided pursuant to NRS 704.223 if the commission finds that:

    (a) The business is consistent with the state plan for industrial development and diversification and any guidelines adopted pursuant to the plan;

    (b) The business is engaged in the primary trade of preparing, fabricating, manufacturing or otherwise processing raw material or an intermediate product through a process in which at least 50 percent of the material or product is recycled on site;

    (c) Establishing the business will require the business to make a capital investment of $50,000,000 in Nevada; and

    (d) The economic benefit to the state of approving the certification exceeds the cost to the state.

    2.  [The commission on economic development shall certify a business for the benefits provided pursuant to NRS 361.0685 if the commission finds that:

    (a) The business is consistent with the state plan for industrial development and diversification and any guidelines adopted pursuant to the plan;

    (b) Establishing the business will require the business to make a capital investment of $15,000,000 in Nevada; and

    (c) The economic benefit to the state of approving the certification exceeds the cost to the state.

    3.] The commission on economic development may:

    (a) Request an allocation from the contingency fund pursuant to NRS 353.266, 353.268 and 353.269 to cover the costs incurred by the commission pursuant to this section and NRS 704.032.

    (b) Impose a reasonable fee for an application for certification pursuant to this section to cover the costs incurred by the commission in investigating and ruling on the application.

    (c) Adopt such regulations as it deems necessary to carry out the provisions of this section.

    Sec. 7.  NRS 361.0785 is hereby repealed.

    Sec. 8. 1.  Except as otherwise provided in this section, notwithstanding subsection 2 of section 9 of this act, if the commission on economic development, during the period from July 1, 2001, through June 30, 2006, grants a partial abatement of tax pursuant to NRS 360.750 for a facility for the production of electricity from renewable energy and the partial abatement is for the tax imposed pursuant to:

    (a) Chapter 361 of NRS, the duration of the partial abatement must be 10 years and the terms and conditions of the partial abatement must be as set forth in NRS 361.0687, as amended by section 2 of this act.

    (b) Chapter 374 of NRS, the duration of the partial abatement must be 2 years and the terms and conditions of the partial abatement must be as set forth in NRS 374.357, as amended by section 5 of this act.

    2.  The provisions of subsection 1 do not prevent the commission on economic development, the department of taxation or the Nevada tax commission from exercising any enforcement authority provided by law to ensure that the facility for which the abatement was granted continues to be operated in a manner that is consistent with the terms and conditions pursuant to which the abatement was granted.

    3.  As used in this section, “facility for the generation of electricity from renewable energy”:

    (a) For the purposes of the partial abatement described in NRS 361.0687, has the meaning ascribed to it in section 2 of this act.

    (b) For the purposes of the partial abatement described in NRS 374.357, has the meaning ascribed to it in section 5 of this act.

    Sec. 9.  1.  This section and sections 1, 2 and 4 to 8, inclusive, of this act become effective on July 1, 2001.

    2.  Sections 2 and 5 of this act expire by limitation on June 30, 2006.

    3.  Section 3 of this act becomes effective on July 1, 2006.

TEXT OF REPEALED SECTION

    361.0785  Exemption of property used as facility for production of electrical energy from solar energy.

    1.  Except as otherwise provided in this section, all property, both real and personal, is exempt from taxation as set forth in this section to the extent that the property is used as a facility for the production of electrical energy from solar energy.

    2.  Personal property exempted pursuant to subsection 1 may not receive an exemption for more than 10 consecutive years.

    3.  Real property exempted pursuant to subsection 1 may not receive an exemption for more than 20 consecutive years.

    4.  The provisions of this section do not apply to:

    (a) Residential property; and

    (b) Property that is used as a facility for the production of electrical energy from solar energy before July 1, 1997.

    5.  As used in this section, “facility for the production of electrical energy from solar energy” means a facility which uses solar energy as its primary fuel in the production of electricity. The term includes all the equipment in the facility used to collect, store and convert into electricity the energy derived from solar energy.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to taxation; revising the requirements for certain property of recycling businesses to be exempt from taxation; revising, for a limited period, certain partial abatements from taxation for facilities for the generation of electricity from renewable energy; repealing the provisions that exempt from taxation certain property of businesses that use a facility for the production of electrical energy from solar energy; and providing other matters properly relating thereto.”.

    Senator McGinness moved the adoption of the amendment.

    Remarks by Senator McGinness.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 381.

    Bill read second time.

    The following amendment was proposed by the Committee on Taxation:

    Amendment No. 580.

    Amend section 1, page 1, line 5, by deleting: “customers [.] at retail.” and inserting “customers.”.

    Amend section 1, page 1, line 9, after “3.” by inserting: “Ultimate consumer” means a person who purchases a product made from tobacco, other than cigarettes, for his household or personal use and not for resale.

    4.”.

    Amend section 1, page 1, by deleting lines 15 and 16 and inserting: “products.

    4.] :

    (a) Brings or causes to be brought into this state products made from”.

    Amend section 1, page 1, line 18, by deleting “another” and inserting “a”.

    Amend section 1, page 2, by deleting line 2 and inserting: “ultimate consumers; or”.

    Amend section 1, page 2, line 3, by deleting “Acquires” and inserting “Purchases”.

    Amend section 1, page 2, line 6, by deleting “4.” and inserting “5.”.

    Amend section 1, page 2, by deleting lines 7 through 16 and inserting:

    “(a) Except as otherwise provided in paragraph (b), the established price for which a manufacturer sells a product made from tobacco, other than cigarettes, to a wholesale dealer before any discount or other reduction is made.

    (b) For a product made from tobacco, other than cigarettes, sold to a retail dealer or an ultimate consumer by a wholesale dealer described in paragraph (b) of subsection 3, the established price for which the product is sold to the retail dealer or ultimate consumer before any discount or other reduction is made.”.

    Amend the bill as a whole by deleting sec. 2, renumbering sec. 3 as sec. 8 and adding new sections designated sections 2 through 7, following section 1, to read as follows:

    “Sec. 2. NRS 370.450 is hereby amended to read as follows:

    370.450  1.  Except as otherwise provided in subsection 2, there is hereby imposed upon the purchase or possession of products made from tobacco, other than cigarettes, by a customer in this state a tax of 30 percent of the wholesale price of those products.

    2.  The provisions of subsection 1 do not apply to those products which are [:

    (a) Shipped] shipped out of the state for sale and use outside the state . [; or

    (b) Displayed or exhibited at a trade show, convention or other exhibition in this state by a manufacturer or wholesale dealer who is not licensed in this state.]

    3.  This tax must be collected and paid by the wholesale dealer to the department [before] , in accordance with the provisions of NRS 370.465, after the sale or distribution of those products [to the customer.] by the wholesale dealer. The wholesale dealer is entitled to retain 2 percent of the taxes collected to cover the costs of collecting and administering the taxes.

    4.  Any wholesale dealer who sells or distributes any of those products without [first] paying the tax provided for by this section is guilty of a misdemeanor.

    Sec. 3. NRS 370.460 is hereby amended to read as follows:

    370.460  It is unlawful for any person to sell or offer to sell any products made from tobacco, other than cigarettes, on which the tax [has not been] is not paid as provided for in NRS 370.450.

    Sec. 4. NRS 370.465 is hereby amended to read as follows:

    370.465  1.  A wholesale dealer [or retail dealer] shall, not later than 20 days after the end of each month, submit to the department [:

    (a) A list] a report on a form prescribed by the department setting forth each [purchase] sale of products made from tobacco, other than cigarettes, that [he] the wholesale dealer made during the previous month . [; and

    (b) A copy of the invoice for each such purchase that is required to be provided to him pursuant to NRS 370.470.

    2.  The department shall maintain a record of the invoices for not less than 3 years after the receipt of those invoices.]

    2.  Each report submitted pursuant to this section on or after August 20, 2001, must be accompanied by the tax owed pursuant to NRS 370.450 for products made from tobacco, other than cigarettes, that were sold by the wholesale dealer during the previous month.

    3. The department may impose a penalty on a wholesale dealer [or retail dealer] who violates any of the provisions of [subsection 1] this section as follows:

    (a) For the first violation within 7 years, a fine of $1,000.

    (b) For a second violation within 7 years, a fine of $5,000.

    (c) For a third or subsequent violation within 7 years, revocation of the license of the wholesale dealer . [or retail dealer.]

    Sec. 5. NRS 370.470 is hereby amended to read as follows:

    370.470  [1.] A wholesale dealer must obtain from each manufacturer or wholesale dealer who is not licensed in this state itemized invoices of all products made from tobacco, other than cigarettes, purchased from and delivered by the manufacturer or wholesale dealer who is not licensed in this state. The wholesale dealer must obtain from the manufacturer or wholesale dealer who is not licensed in this state separate invoices for each purchase made. The invoice must include:

    [(a)] 1. The name and address of the manufacturer or wholesale dealer who is not licensed in this state;

    [(b)] 2. The name and address of the wholesale dealer;

    [(c)] 3. The date of the purchase; and

    [(d)] 4. The quantity and wholesale price of those products.

    [2.  A retail dealer must obtain from each manufacturer or wholesale dealer who is not licensed in this state itemized invoices of all products made from tobacco, other than cigarettes, purchased from and delivered by that manufacturer or wholesale dealer. The retail dealer must obtain from the manufacturer or wholesale dealer who is not licensed in this state separate invoices for each purchase made. The invoice must include:

    (a) The name and address of the manufacturer or wholesale dealer who is not licensed in this state;

    (b) The name and address of the retail dealer;

    (c) The date of the purchase; and

    (d) The quantity and wholesale price of those products.]

    Sec. 6.  NRS 370.480 is hereby amended to read as follows:

    370.480  1.  Every wholesale dealer must keep at his place of business complete and accurate records for that place of business, including copies of all invoices of products made from tobacco, other than cigarettes, which he holds, purchases and delivers , distributes or sells in this state. All records must be preserved for at least 3 years after the date of purchase or after the date of the last entry made on the record.

    2.  Every retail dealer shall keep at his place of business complete and accurate records for that place of business, including copies of all itemized invoices or purchases of such products purchased and delivered from wholesale dealers. The invoices must show the name and address of the wholesale dealer and the date of the purchase. All records must be preserved for at least 3 years after the date of the purchase.

    Sec. 7.  NRS 370.490 is hereby amended to read as follows:

    370.490  1.  The department shall allow a credit of 30 percent of the wholesale price, less a discount of 2 percent for the services rendered in collecting the tax, for products made from tobacco, other than cigarettes, upon which the tax has been paid pursuant to NRS 370.450 and that may no longer be sold. If the products have been purchased and delivered, a credit memo of the manufacturer is required for proof of returned merchandise.

    2.  A credit must also be granted for any products made from tobacco, other than cigarettes, shipped from this state and destined for retail sale and consumption outside the state on which the tax has previously been paid. A duplicate or copy of the invoice is required for proof of the sale outside the state.

    3.  A wholesale dealer may claim a credit by filing with the department the proof required by this section. The claim must be made on a form prescribed by the department.”.

    Amend the bill as a whole by renumbering sec. 4 as sec. 10 and adding a new section designated sec. 9, following sec. 3, to read as follows:

    “Sec. 9. 1.  Notwithstanding the provisions of NRS 370.450, as amended by section 2 of this act, and NRS 370.465, as amended by section 4 of this act, a wholesale dealer is not required to pay any tax or report any sales or purchases with respect to products made from tobacco, other than cigarettes, if the purchase of such products was reported to the department of taxation pursuant to NRS 370.465 as a purchase made before July 1, 2001, and the appropriate tax was remitted to the department with respect to that purchase as required by NRS 370.450.

    2.  As used in this section, “wholesale dealer” has the meaning ascribed to it in NRS 370.440, as amended by section 1 of this act.”.

    Amend the title of the bill, third line, after “cigarettes;” by inserting: “requiring the payment of the tax after the sale of the products by a wholesale dealer; abolishing the exemption provided for such products that are displayed or exhibited at a trade show, convention or other exhibition by a manufacturer or wholesale dealer who is not licensed in this state;”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Makes various changes to provisions governing tax on products made from tobacco, other than cigarettes. (BDR 32-818)”.

    Senator McGinness moved the adoption of the amendment.

    Remarks by Senator McGinness.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Assembly Bill No. 580.

    Bill read second time and ordered to third reading.

GENERAL FILE AND THIRD READING

    Senate Bill No. 122.

    Bill read third time.

    Roll call on Senate Bill No. 122:

    Yeas—19.

    Nays—None.

    Not     Voting—Neal, Raggio—2.

    Senate Bill No. 122 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 197.

    Bill read third time.

    Roll call on Senate Bill No. 197:

    Yeas—21.

    Nays—None.

    Senate Bill No. 197 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 245.

    Bill read third time.

    Roll call on Senate Bill No. 245:

    Yeas—21.

    Nays—None.

    Senate Bill No. 245 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 267.

    Bill read third time.

    Roll call on Senate Bill No. 267:

    Yeas—21.

    Nays—None.

    Senate Bill No. 267 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 289.

    Bill read third time.

    Roll call on Senate Bill No. 289:

    Yeas—21.

    Nays—None.

    Senate Bill No. 289 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 301.

    Bill read third time.

    Roll call on Senate Bill No. 301:

    Yeas—21.

    Nays—None.

    Senate Bill No. 301 having received a two-thirds majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 302.

    Bill read third time.

    Remarks by Senators Neal, Rawson and Porter.

    Senator Neal requested that the following remarks be entered in the Journal.

    Senator Neal:

    Thank you, Madam President. I have a question to ask about this bill. Why are we removing the requirements that the hospitals can serve indigent people? This particular bill repeals the requirement that the hospitals are not obligated to serve indigent individuals.

    Senator Rawson:

    Thank you, Madam President. As part of the 1987 language that was placed into the law regarding hospitals, there was a provision to try to stop the widespread process of dumping that was going on. We had private hospitals that were dumping patients to the public hospitals, particularly in Clark County. There was law developed around that issue to require that hospitals see indigent patients and see a certain percentage of patients before they could be paid. The situation has changed radically. Now, we have the reverse situation with divert going on, and the need simply isn’t the same anymore. Additionally, the committee had the discussion of dropping the requirement that so many indigent patients be seen before they could be paid. That simply is a policy discussion. The committee did not feel it was necessary to treat indigents for free as a requirement to do business in Nevada. My sense of it, now, is that the hospitals are actually competing for the indigent patients that have a payment source such as Medicaid or the county fund. It is no longer necessary to have that requirement in the bill.

    Senator Neal:

    Thank you, Madam President. There is another requirement in here that you are setting a standard of a minimum payment for the county to those hospitals who treat indigent patients. Why is that?

    Senator Rawson:

    Thank you, Madam President. There are different standards set in different parts of the State. This simply brings it to a number that is indexed to something. The standard pick was the Medicaid rate, which typically is 37 percent of the billed charge. They have to be able to meet their expenses, and that is actually calculated by the federal government on a yearly basis. That rate is established. It is a standard that we can go to. If we do not have a standard, the State would be faced with either trying to set that rate or having different rates in different hospitals. What can happen is we can have people who are providing care that are not being adequately compensated for it; that is then shifted into other peoples’ bills, into other insurance contracts. It is one of the cost-shifting issues that throw our whole health care market out of whack. This was simply a means to try and tie the rate to something that was a known rate—that is an established low rate. We did not pick a high rate, and the high rate is verifiable; that was the reason for it, to standardize. Washoe County already has accepted the Medicaid rate and Clark County uses a different rate. Because Clark County compensates University Medical Center at a higher rate, we wrote this in such a way that the minimum rate would be established, but they can still compensate University Medical Center at higher than that minimum rate. They have to use the minimum rate for everyone, but they can use a higher rate for the county facilities.

    Senator Neal:

    In my judgment, this legislation does a disservice to the poor who happen to become ill and should need hospital care. As I understand it, the repeal section of this particular bill, is eliminating requirements for hospitals to accept indigent patients, not meaning, of course, UMC (University Medical Center) which is a public hospital and has to do that. This will lead to patient dumping at UMC. These other hospitals will no longer have a requirement to do anything for the indigent. If they are not getting paid, they can send them somewhere else. We put the law on the books some years ago because we were having problems with patient dumping. This is going to lead back to that. The poor are going to suffer as a result. I can recall last summer when UMC was filled with patients and a lot of them were tourists who took advantage of the care at UMC. The poor individuals could not receive hospital care at that establishment. As a result, the other hospitals, Valley, Sunrise and other hospitals in that area, will, now under law, be able to turn those patients away and not treat them. I think this is bad public policy. It is a reversal of what we have done some years ago.

    Senator Porter:

    To the Chairman of Human Resources and Facilities, what impact will this have on the hospitals, such as Boulder City, Saint Rose di Lima and other providers, the smaller hospitals?

    Senator Rawson:

    Thank you, Madam President. I would like to make some general remarks in response and then try to answer the specific question.

    What this does is the reverse of what has been stated. We have had a requirement that hospitals take six-tenths of their net revenue in patients and treat them free. The hospitals, other than the University Medical Center, have met that requirement and no more. There is no advantage to do so. The only reason they have done that is so they are not fined and not punished. What this actually does is remove that free requirement and say that a poor patient can, now, go to Sunrise Hospital, Lake Mead Hospital or Rose di Lima Hospital. If they are indigent, then their care will be paid by the county. It does, probably, put some burden on the county indigent fund, but now, for the first time, any hospital in the valley is available to these people. They can go, not only to the hospital that they are close to but they can go to the hospital they prefer, where they may feel there is better care in a specific hospital. They will not be turned away because they have no payment source. Now, there is a payment source, the county. That only works to the extent that there is money available. It doesn’t obligate the county beyond the size of the fund. But it does open up that fund. Lake Mead Hospital, Rose di Lima Hospital and Boulder City Hospital won’t have that burden of indigent care that they are writing off and to try to find funds from somewhere else to cover their expenses by covering their basic expenses. It should make these hospitals more viable. I do not expect a negative effect upon them. When it comes to the amount of care that is given, 60 percent, at least, of this indigent care is provided by UMC. Probably 35 or 40 percent, or close to that, is provided by Lake Mead Hospital, which is not being compensated for that at this point. That hospital performs the same function as UMC in North Las Vegas. It simply isn’t appropriate to have that mix of care go there without any compensation. Ultimately, I think this is fair. It is better for the people who have no payment source. I really see it as sunshine, opening it up. It is a freer opportunity for everyone.

    Senator Neal:

    If I may ask the Senator just one more question. What happens when the fund is expended and there is not any money? What happens to the patient? Will they be treated then by the various hospitals under this proposal?

    Senator Rawson:

    You can ask the same thing about what happens now. What happens to a patient that goes into a hospital without a payment source? Any patient that shows up at a UMC Quick Care Center without a payment source is referred out of there. Any patient that goes into any hospital that doesn’t have a payment source isn’t an attractive patient for that institution. I don’t care who they are. Rose di Lima Hospital and UMC Hospital have a mission. There are places where people can be treated. The problem is that we are short of beds in southern Nevada right now. At any particular time, any time of year, any one of those hospitals may be on divert. But there are still divert laws in place, and if a patient is taken to one of those hospitals with an emergency condition, there is still an obligation by law to treat them regardless of their payment source. I won’t say this solves all of the problems because we need more beds and competition, but this goes a long way to opening up the doors to people who simply had no other access to those facilities before.

    Roll call on Senate Bill No. 302:

    Yeas—17.

    Nays—Carlton, Coffin, Neal—3.

    Not     Voting—Titus.

    Senate Bill No. 302 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 349.

    Bill read third time.

    Roll call on Senate Bill No. 349:

    Yeas—21.

    Nays—None.

    Senate Bill No. 349 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 371.

    Bill read third time.

    Senator Rawson moved that Senate Bill No. 371 be re-referred to the Committee on Finance.

    Remarks by Senator Rawson.

    Motion carried.

    Senate Bill No. 396.

    Bill read third time.

    The following amendment was proposed by Senator McGinness:

    Amendment No. 610.

    Amend the bill as a whole by deleting sec. 3 and inserting:

    “Sec. 3. (Deleted by amendment.)”.

    Amend the title of the bill, second and third lines, by deleting: “prohibiting a person from driving a vehicle in an imprudent or careless manner;”.

    Senator McGinness moved the adoption of the amendment.

    Remarks by Senators McGinness and O'Donnell.

    Amendment adopted.

    Bill ordered reprinted, re-engrossed and to third reading.

    Senate Bill No. 416.

    Bill read third time.

    Roll call on Senate Bill No. 416:

    Yeas—14.

    Nays—Amodei, Care, Carlton, James, Mathews, Titus, Wiener—7.

    Senate Bill No. 416 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 489.

    Bill read third time.

    Roll call on Senate Bill No. 489:

    Yeas—21.

    Nays—None.

    Senate Bill No. 489 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 513.

    Bill read third time.

    Remarks by Senators Carlton, James, Townsend, Neal and Raggio.

    Senator James requested that the following remarks be entered in the Journal.

    Senator Carlton:

    Testimony indicated that confusion has arisen in some judicial proceedings regarding whether all occupational regulatory bodies have statutory authority to recover costs and attorney’s fees incurred in connection with disciplinary proceedings. This is because some of the chapters only refer to recovering costs and some use language specifically mentioning costs and attorney’s fees.

    On occasion the courts have interpreted the use of the term “costs” when it appears without the corresponding reference to attorney’s fees to indicate a legislative intent to limit these bodies to administrative costs alone and not allow the recovery of attorney’s fees. However, the use of the term “costs” was always meant to include attorney’s fees as well. In more recent years, when newer occupational regulatory bodies were created, our drafting language has been more precise, and we have started, specifically, referring to all of the elements of “cost” which does include attorney’s fees.

    Attorney’s fees and disciplinary cases can be quite large. Proponents testified that unless the language granting occupational regulatory bodies the authority to recover all the costs and attorney’s fees associated with successful disciplinary proceedings is clarified, some of the bodies, especially the smaller ones, may not be able to afford to discipline violators. In such an event, the regulatory body would not be able to discharge their primary function, which is to protect the public.

    The bill merely clarifies the legislative intent that all occupational regulatory bodies are authorized to recover costs, including attorney’s fees. There is no rational basis for allowing some bodies to collect all costs and fees while limiting others to administrative costs alone.

    Senator James:

    Thank you, Madam President. I didn’t get a chance to look at this as carefully as the committee, but please tell me how this process works? It looks like there is more here than just adding attorney’s fees to the ability to recover attorney’s fees and costs. It looks like a procedure for determining a disciplinary action, and then there is an award of costs. How does this work? How do you get the award of attorney’s fees and costs? Is it reduced to a judgment? Do you have an appeal right with the court?

    Senator Townsend:

    The bill stemmed from an issue that has occurred with a number of licensing boards where, in fact, there were sealed disciplinary actions and the purpose of the board, as you know, is to protect the public, not the licensee. An issue became so egregious on behalf of the public that the committee believes there should be no sealed agreements and that all disciplinary actions should be made public. It came to our attention, during those proceedings, that over the course of 32 boards that come in front of us, various approaches to this issue were used. We made all licensing boards consistent in the requirements for their investigations in the requirements to have all public debate on the disciplinary action and any action provided by that board to be made in public and to make it public.

    This makes all licensing boards consistent in the prohibition of closed disciplinary actions. Additionally, the bill clarifies the process by which you recover your costs in a disciplinary proceeding. It includes court fees and attorney’s fees. If you appeal and go to district court, then you make that argument in front of the court. But attorney’s fees and all costs of the board can be awarded so licensees are not penalized when the board disciplines one of the other licensees.

    Senator James:

    Thank you, Madam President. Could I ask a member of the committee, or the Chairman, what the policy is behind the requirement that if there is a consent agreement that, at least, it take place in a public meeting and that the consent agreement has to become a public record.

    Senator Townsend:

    Thank you, Madam President. This policy has been debated in front of this committee in a bi-partisan fashion, and the members of the public are the single most important part of the regulatory process. At no time should a licensee’s rights supersede the protection of the public if, in fact, a disciplinary action took place. The investigation is not public. Many investigations prove to be fruitless. As a result, the committee felt strongly that any time there is a consent decree entered into, or a disciplinary action taken, the public has a right to know to protect the public interest.


    Senator James:

    Thank you, Madam President. I would further ask if there is a case where there has been a disciplinary action or there has been a proceeding, and then there is an award of attorney’s fees, is there then a provision in every case that the person can appeal the determination to the court whether it is the disciplinary action itself or also the award of attorney’s fees?

    Senator Townsend:

    Thank you, Madam President. The appeal process has not changed under this bill. You still have the right to appeal not only the decision but the award of attorney’s fees.

    Senator Raggio:

    I have to acknowledge that I have not had the opportunity to really look through this bill, but the explanation was given that it only applied to attorney’s fees and costs. In looking at the bill, it goes further. It seems to be largely an effort to make everything a public record, determining when it is connected with the disciplinary action of boards. As an example, in the case of attorneys, in many instances, historically, private reprimands have been given because they did not necessarily impact the public. They were given as guidance. If I understand what you are saying, this bill, for example, even with the State Bar Association, would preclude any private reprimand being given?

    Senator Townsend:

    Thank you, Madam President. The question is an excellent one. Neither the committee nor the bill has jurisdiction over the bar association. The bill deals only with professional licensing boards. In answer to your question, the remarks read by the committee member from southern Nevada were, specifically, to make sure that if anyone came back to review the record, we would have it on record what, in fact, costs meant.

    The bill brings all licensing boards for professions up to a common code of conduct. It says about half our boards have prohibitions against private reprimands or private disciplinary actions. When we came upon one that did not, and a disciplinary action was taken, it was an egregious situation in which the person who made the complaint was not going to find out about the discipline. Therefore, other persons using those professional services would not know that a licensee had a severe reprimand, and it was sealed. We feel that policy is a bad one. Most of these professions are health care professions. The investigation remains private until the board makes a determination, then the action would be made public.

    Senator Raggio moved that Senate Bill No. 513 be taken from the General File and placed on the General File for the next legislative day.

    Remarks by Senator Raggio.

    Motion carried.

    Senate Bill No. 531.

    Bill read third time.

    Remarks by Senators Rhoads and Neal.

    Senator Rhoads moved that Senate Bill No. 531 be taken from the General File and placed on the Secretary’s desk.

    Remarks by Senator Rhoads.

    Motion carried.

    Senate Bill No. 541.

    Bill read third time.

    Roll call on Senate Bill No. 541:

    Yeas—21.

    Nays—None.

    Senate Bill No. 541 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 552.

    Bill read third time.

    Roll call on Senate Bill No. 552:

    Yeas—21.

    Nays—None.

    Senate Bill No. 552 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 565.

    Bill read third time.

    Roll call on Senate Bill No. 565:

    Yeas—21.

    Nays—None.

    Senate Bill No. 565 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Joint Resolution No. 12.

    Resolution read third time.

    Roll call on Senate Joint Resolution No. 12:

    Yeas—21.

    Nays—None.

    Senate Joint Resolution No. 12 having received a constitutional majority, Madam President declared it passed, as amended.

    Resolution ordered transmitted to the Assembly.

    Assembly Bill No. 162.

    Bill read third time.

    Remarks by Senators Neal and Care.

    Roll call on Assembly Bill No. 162:

    Yeas—20.

    Nays—Neal.

    Assembly Bill No. 162 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Assembly Bill No. 176.

    Bill read third time.

    Roll call on Assembly Bill No. 176:

    Yeas—21.

    Nays—None.

    Assembly Bill No. 176 having received a constitutional majority, Madam President declared it passed.

    Bill ordered transmitted to the Assembly.

    Assembly Bill No. 293.

    Bill read third time.

    Roll call on Assembly Bill No. 293:

    Yeas—21.

    Nays—None.

    Assembly Bill No. 293 having received a constitutional majority, Madam President declared it passed.

    Bill ordered transmitted to the Assembly.

    Assembly Bill No. 441.

    Bill read third time.

    Roll call on Assembly Bill No. 441:

    Yeas—21.

    Nays—None.

    Assembly Bill No. 441 having received a constitutional majority, Madam President declared it passed.

    Bill ordered transmitted to the Assembly.

    Assembly Joint Resolution No. 1.

    Resolution read third time.

    Roll call on Assembly Joint Resolution No. 1:

    Yeas—21.

    Nays—None.

    Assembly Joint Resolution No. 1 having received a constitutional majority, Madam President declared it passed.

    Resolution ordered transmitted to the Assembly.

    Assembly Joint Resolution No. 4.

    Resolution read third time.

    Roll call on Assembly Joint Resolution No. 4:

    Yeas—21.

    Nays—None.

    Assembly Joint Resolution No. 4 having received a constitutional majority, Madam President declared it passed.

    Resolution ordered transmitted to the Assembly.

SECOND READING AND AMENDMENT

    Senate Bill No. 44.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:

    Amendment No. 486.

    Amend sec. 6, page 2, line 30, by deleting “[$150,000,000] $250,000,000” and inserting “$150,000,000”.

    Amend sec. 6, page 2, line 31, by deleting “[$150,000,000] $250,000,000” and inserting “$150,000,000”.

    Senator Schneider moved the adoption of the amendment.

    Remarks by Senator Schneider.

    Conflict of interest declared by Senators James, Raggio and Porter.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 83.

    Bill read second time.

    The following amendment was proposed by the Committee on Judiciary:

    Amendment No. 612.

    Amend the bill as a whole by deleting sections 1 through 5 and adding new sections designated sections 1 through 11, following the enacting clause, to read as follows:

    “Section 1. Chapter 115 of NRS is hereby amended by adding thereto the provisions set forth as sections 2, 3 and 4 of this act.

    Sec. 2.  “Agricultural real property” has the meaning ascribed to it in NRS 361A.020.

    Sec. 3. “Homestead” means the property consisting of:

    1.  A quantity of land, together with the dwelling house thereon and its appurtenances;

    2.  A mobile home whether or not the underlying land is owned by the claimant; or

    3.  A unit, whether real or personal property, existing pursuant to chapter 116 or 117 of NRS, with any appurtenant limited common elements and its interest in the common elements of the common-interest community,

to be selected by the husband and wife, or either of them, or a single person claiming the homestead.

    Sec. 4. For the purposes of this chapter, the county assessor of the county in which a homestead is wholly or predominantly located has the final authority in determining whether real property upon which a dwelling and its appurtenances are located is agricultural real property that qualifies for agricultural use assessment pursuant to chapter 361A of NRS. The determination of the county assessor with respect to the matters described in this section is not appealable.

    Sec. 5. NRS 115.005 is hereby amended to read as follows:

    115.005  As used in this chapter, unless the context otherwise requires [:

    1.  “Equity” means the amount that is determined by subtracting from the fair market value of the property, the value of any liens excepted from the homestead exemption pursuant to subsection 3 of NRS 115.010.

    2.  “Homestead” means the property consisting of:

    (a) A quantity of land, together with the dwelling house thereon and its appurtenances;

    (b) A mobile home whether or not the underlying land is owned by the claimant; or

    (c) A unit, whether real or personal property, existing pursuant to chapter 116 or 117 of NRS, with any appurtenant limited common elements and its interest in the common elements of the common-interest community,

to be selected by the husband and wife, or either of them, or a single person claiming the homestead.], the words and terms defined in sections 2 and 3 of this act have the meanings ascribed to them in those sections.

    Sec. 6. NRS 115.010 is hereby amended to read as follows:

    115.010  1.  The homestead is not subject to forced sale on execution or any final process from any court, except as otherwise provided by subsections 2, 3 and 5.

    2.  The exemption provided in subsection 1 [extends] :

    (a) Extends only to [that amount of equity in the property held by the claimant which does not exceed $125,000 in value,] :

        (1) If the land on which the dwelling and its appurtenances are located does not include any agricultural real property that qualifies for agricultural use assessment pursuant to chapter 361A of NRS:

            (I) The dwelling;

            (II) The appurtenances of the dwelling; and

            (III) A quantity of appurtenant land not to exceed 1 acre in size; or

        (2) If the land on which the dwelling and its appurtenances are located includes agricultural real property that qualifies for agricultural use assessment pursuant to chapter 361A of NRS:

            (I) The dwelling;

            (II) The appurtenances of the dwelling;

            (III) A quantity of appurtenant land not to exceed 1 acre in size, regardless of whether that acre is agricultural real property that qualifies for agricultural use assessment pursuant to chapter 361A of NRS; and

            (IV) An additional quantity of appurtenant land which is agricultural real property that qualifies for agricultural use assessment pursuant to chapter 361A of NRS, but in no event to exceed an additional 159 acres,

unless allodial title has been established and not relinquished, in which case the exemption provided in subsection 1 extends to [all equity in] the dwelling, its appurtenances and [the] any quantity of land on which [it is] the dwelling and its appurtenances are located.

    (b) Does not extend to any buildings, structures or other improvements other than the dwelling and its appurtenances.

    3.  Except as otherwise provided in subsection 4, the exemption provided in subsection 1 does not extend to process to enforce the payment of obligations contracted for the purchase of the property, or for improvements made thereon, including any mechanic’s lien lawfully obtained, or for legal taxes, or for:

    (a) Any mortgage or deed of trust thereon executed and given; or

    (b) Any lien to which prior consent has been given through the acceptance of property subject to any recorded declaration of restrictions, deed restriction, restrictive covenant or equitable servitude, specifically including any lien in favor of an association pursuant to NRS 116.3116 or 117.070,

by both husband and wife, when that relation exists.

    4.  If allodial title has been established and not relinquished, the exemption provided in subsection 1 extends to process to enforce the payment of obligations contracted for the purchase of the property, and for improvements made thereon, including any mechanic’s lien lawfully obtained, and for legal taxes levied by a state or local government, and for:

    (a) Any mortgage or deed of trust thereon; and

    (b) Any lien even if prior consent has been given through the acceptance of property subject to any recorded declaration of restrictions, deed restriction, restrictive covenant or equitable servitude, specifically including any lien in favor of an association pursuant to NRS 116.3116 or 117.070,

unless a waiver for the specific obligation to which the judgment relates has been executed by all allodial titleholders of the property.

    5.  Establishment of allodial title does not exempt the property from forfeiture pursuant to NRS 179.1156 to 179.119, inclusive, or 207.350 to 207.520, inclusive.

    6.  Any declaration of homestead which has been filed before October 1, [1995,]2001, shall be deemed to have been amended on that date by extending the homestead exemption [commensurate with any increase in the amount of equity held by the claimant in the property selected and claimed for the exemption up to the amount permitted by law] to the fullest extent authorized pursuant to subsection 2 on that date, but the [increase] change does not impair the right of any creditor to execute upon the property when that right existed before October 1, [1995.]2001.

    Sec. 7. NRS 115.020 is hereby amended to read as follows:

    115.020  1.  The selection must be made by either the husband or wife, or both of them, or the single person, declaring an intention in writing to claim the property as a homestead.

    2.  The declaration must state:

    (a) When made by a married person or persons, that they or either of them are married, or if not married, that he or she is a householder.

    (b) When made by a married person or persons, that they or either of them, as the case may be, are, at the time of making the declaration, residing with their family, or with the person or persons under their care and maintenance, on the premises, particularly describing the premises.

    (c) When made by any claimant under this section, that it is their or his intention to use and claim the property as a homestead.

    (d)Whether the homestead includes agricultural real property that qualifies for agricultural use assessment pursuant to chapter 361A of NRS and, if so, the quantity of acreage that qualifies for agricultural use assessment pursuant to chapter 361A of NRS.

    3.  The declaration must be signed by the person or persons making it, and acknowledged and recorded as conveyances affecting real property are required to be acknowledged and recorded. If the property declared upon as a homestead is the separate property of either spouse, both must join in the execution and acknowledgment of the declaration.

    4.  If a person solicits another person to allow the soliciting person to file a declaration of homestead on behalf of the other person and charges or accepts a fee or other valuable consideration for recording the declaration of homestead for the other person, the soliciting person shall, before the declaration is recorded or before the fee or other valuable consideration is charged to or accepted from the other person, provide that person with a notice written in bold type which states that:

    (a) Except for the fee which may be charged by the county recorder for recording a declaration of homestead, a declaration of homestead may be recorded in the county in which the property is located without the payment of a fee; and

    (b) The person may record the declaration of homestead on his own behalf.

The notice must clearly indicate the amount of the fee which may be charged by the county recorder for recording a declaration of homestead.

    5.  The rights acquired by declaring a homestead are not extinguished by the conveyance of the underlying property in trust for the benefit of the person or persons who declared it. A trustee may by similar declaration claim property, held by him, as a homestead for the settlor or for one or more beneficiaries of the trust, or both, if the person or persons for whom the claim is made reside on or in the property.

    6.  A person who violates the provisions of subsection 4 is guilty of a misdemeanor.

    Sec. 8. NRS 115.050 is hereby amended to read as follows:

    115.050  1.  Whenever execution has been issued against the property of a party claiming the property as a homestead, and the creditor in the judgment makes an oath before the judge of the district court of the county in which the property is situated, that the amount of [equity]property held by the claimant [in the property] exceeds, to the best of the creditor’s information and belief, the [sum of $125,000,]amount allowed pursuant to subsection 2 of NRS 115.010, the judge shall, upon notice to the debtor, appoint three disinterested and competent persons [as appraisers] to estimate and report as to the amount of [equity]property held by the claimant ,[in the property,] and if the amount of [equity]property exceeds the [sum of $125,000,]amount allowed pursuant to subsection 2 of NRS 115.010, determine whether the property can be divided so as to leave the property subject to the homestead exemption without material injury.

    2.  If it appears, upon the report, to the satisfaction of the judge that the property can be thus divided, he shall order the excess to be sold under execution. If it appears that the property cannot be thus divided, and the amount of [equity]property held by the claimant [in the property] exceeds the [exemption allowed by this chapter,]amount allowed pursuant to subsection 2 of NRS 115.010, he shall order the entire property to be sold, and out of the proceeds the [sum of $125,000]following sums to be paid [to]

    (a)To the defendant in execution, that portion of the proceeds allocable to the sale of the amount of property allowed pursuant to subsection 2 of NRS 115.010; and [the]

    (b)The excess to be applied to the satisfaction on the execution. [No bid under $125,000 may be received by the officer making the sale.]

    3.  When the execution is against a husband or wife, the judge may direct [the $125,000]that portion of the proceeds described in paragraph (a) of subsection 2 to be deposited in court, to be paid out only upon the joint receipt of the husband and wife, and the deposit possesses all the protection against legal process and voluntary disposition by either spouse as did the original homestead.

    Sec. 9. NRS 21.075 is hereby amended to read as follows:

    21.075  1.  Execution on the writ of execution by levying on the property of the judgment debtor may occur only if the sheriff serves the judgment debtor with a notice of the writ of execution pursuant to NRS 21.076 and a copy of the writ. The notice must describe the types of property exempt from execution and explain the procedure for claiming those exemptions in the manner required in subsection 2. The clerk of the court shall attach the notice to the writ of execution at the time the writ is issued.

    2.  The notice required pursuant to subsection 1 must be substantially in the following form:

NOTICE OF EXECUTION

YOUR PROPERTY IS BEING ATTACHED OR

YOUR WAGES ARE BEING GARNISHED

    A court has determined that you owe money to ..........(name of person), the judgment creditor. He has begun the procedure to collect that money by garnishing your wages, bank account and other personal property held by third persons or by taking money or other property in your possession.

    Certain benefits and property owned by you may be exempt from execution and may not be taken from you. The following is a partial list of exemptions:

    1.  Payments received under the Social Security Act.

    2.  Payments for benefits or the return of contributions under the public employees’ retirement system.

    3.  Payments for public assistance granted through the welfare division of the department of human resources.

    4.  Proceeds from a policy of life insurance.

    5.  Payments of benefits under a program of industrial insurance.

    6.  Payments received as unemployment compensation.

    7.  Veteran’s benefits.

    8.  A homestead in a dwelling or a mobile home, not to exceed [$125,000, unless:

    (a) The judgment is for a medical bill, in which case all of the primary dwelling, including a mobile or manufactured home, may be exempt.

    (b) Allodial title has been established and not relinquished for the dwelling or mobile home, in which case all of the dwelling or mobile home and its appurtenances are exempt, including the land on which they are located,] the amount allowed pursuant to subsection 2 of NRS 115.010, unless a valid waiver executed pursuant to [NRS 115.010] subsection 4 of that section is applicable to the judgment.

    9.  A vehicle, if your equity in the vehicle is less than $4,500.

    10.  Seventy-five percent of the take-home pay for any pay period, unless the weekly take-home pay is less than 30 times the federal minimum wage, in which case the entire amount may be exempt.

    11.  Money, not to exceed $500,000 in present value, held for retirement pursuant to certain arrangements or plans meeting the requirements for qualified arrangements or plans of sections 401 et seq. of the Internal Revenue Code ,[(] 26 U.S.C. §§ 401 et seq. [).]

    12.  All money and other benefits paid pursuant to the order of a court of competent jurisdiction for the support, education and maintenance of a child, whether collected by the judgment debtor or the state.

    13.  All money and other benefits paid pursuant to the order of a court of competent jurisdiction for the support and maintenance of a former spouse, including the amount of any arrearages in the payment of such support and maintenance to which the former spouse may be entitled.

    14.  A vehicle for use by you or your dependent which is specially equipped or modified to provide mobility for a person with a permanent disability.

    15.  A prosthesis or any equipment prescribed by a physician or dentist for you or your dependent.

These exemptions may not apply in certain cases such as a proceeding to enforce a judgment for support of a person or a judgment of foreclosure on a mechanic’s lien. You should consult an attorney immediately to assist you in determining whether your property or money is exempt from execution. If you cannot afford an attorney, you may be eligible for assistance through ..........(name of organization in county providing legal services to indigent or elderly persons).

PROCEDURE FOR CLAIMING EXEMPT PROPERTY

    If you believe that the money or property taken from you is exempt, you must complete and file with the clerk of the court a notarized affidavit claiming the exemption. A copy of the affidavit must be served upon the sheriff and the judgment creditor within 8 days after the notice of execution is mailed. The property must be returned to you within 5 days after you file the affidavit unless you or the judgment creditor files a motion for a hearing to determine the issue of exemption. If this happens, a hearing will be held to determine whether the property or money is exempt. The motion for the hearing to determine the issue of exemption must be filed within 10 days after the affidavit claiming exemption is filed. The hearing to determine whether the property or money is exempt must be held within 10 days after the motion for the hearing is filed.

    IF YOU DO NOT FILE THE AFFIDAVIT WITHIN THE TIME SPECIFIED, YOUR PROPERTY MAY BE SOLD AND THE MONEY GIVEN TO THE JUDGMENT CREDITOR, EVEN IF THE PROPERTY OR MONEY IS EXEMPT.

    Sec. 10. NRS 21.090 is hereby amended to read as follows:

    21.090  1.  The following property is exempt from execution, except as otherwise specifically provided in this section:

    (a) Private libraries not to exceed $1,500 in value, and all family pictures and keepsakes.

    (b) Necessary household goods, as defined in 16 C.F.R. § 444.1(i) as that section existed on January 1, 1987, and yard equipment, not to exceed $3,000 in value, belonging to the judgment debtor to be selected by him.

    (c) Farm trucks, farm stock, farm tools, farm equipment, supplies and seed not to exceed $4,500 in value, belonging to the judgment debtor to be selected by him.

    (d) Professional libraries, office equipment, office supplies and the tools, instruments and materials used to carry on the trade of the judgment debtor for the support of himself and his family not to exceed $4,500 in value.

    (e) The cabin or dwelling of a miner or prospector, his cars, implements and appliances necessary for carrying on any mining operations and his mining claim actually worked by him, not exceeding $4,500 in total value.

    (f) Except as otherwise provided in paragraph (o), one vehicle if the judgment debtor’s equity does not exceed $4,500 or the creditor is paid an amount equal to any excess above that equity.

    (g) For any pay period, 75 percent of the disposable earnings of a judgment debtor during that period, or for each week of the period 30 times the minimum hourly wage prescribed by section 6(a)(1) of the federal Fair Labor Standards Act of 1938 , 29 U.S.C. § 206(a)(1), and in effect at the time the earnings are payable, whichever is greater. Except as otherwise provided in paragraphs (n), (r) and (s), the exemption provided in this paragraph does not apply in the case of any order of a court of competent jurisdiction for the support of any person, any order of a court of bankruptcy or of any debt due for any state or federal tax. As used in this paragraph, “disposable earnings” means that part of the earnings of a judgment debtor remaining after the deduction from those earnings of any amounts required by law, to be withheld.

    (h) All fire engines, hooks and ladders, with the carts, trucks and carriages, hose, buckets, implements and apparatus thereunto appertaining, and all furniture and uniforms of any fire company or department organized under the laws of this state.

    (i) All arms, uniforms and accouterments required by law to be kept by any person, and also one gun, to be selected by the debtor.

    (j) All courthouses, jails, public offices and buildings, lots, grounds and personal property, the fixtures, furniture, books, papers and appurtenances belonging and pertaining to the courthouse, jail and public offices belonging to any county of this state, all cemeteries, public squares, parks and places, public buildings, town halls, markets, buildings for the use of fire departments and military organizations, and the lots and grounds thereto belonging and appertaining, owned or held by any town or incorporated city, or dedicated by the town or city to health, ornament or public use, or for the use of any fire or military company organized under the laws of this state and all lots, buildings and other school property owned by a school district and devoted to public school purposes.

    (k) All money, benefits, privileges or immunities accruing or in any manner growing out of any life insurance, if the annual premium paid does not exceed $1,000. If the premium exceeds that amount, a similar exemption exists which bears the same proportion to the money, benefits, privileges and immunities so accruing or growing out of the insurance that the $1,000 bears to the whole annual premium paid.

    (l) The homestead as provided for by law, including a homestead for which allodial title has been established and not relinquished and for which a waiver executed pursuant to subsection 4 of NRS 115.010 is not applicable.

    (m) The dwelling of the judgment debtor occupied as a home for himself and family, where the [amount of equity held by the judgment debtor in the home does not exceed $125,000 in value and the] dwelling is situate upon lands not owned by him.

    (n) All property in this state of the judgment debtor where the judgment is in favor of any state for failure to pay that state’s income tax on benefits received from a pension or other retirement plan.

    (o) Any vehicle owned by the judgment debtor for use by him or his dependent that is equipped or modified to provide mobility for a person with a permanent disability.

    (p) Any prosthesis or equipment prescribed by a physician or dentist for the judgment debtor or a dependent of the debtor.

    (q) Money, not to exceed $500,000 in present value, held in:

        (1) An individual retirement arrangement which conforms with the applicable limitations and requirements of 26 U.S.C. § 408;

        (2) A written simplified employee pension plan which conforms with the applicable limitations and requirements of 26 U.S.C. § 408;

        (3) A cash or deferred arrangement which is a qualified plan pursuant to the Internal Revenue Code; and

        (4) A trust forming part of a stock bonus, pension or profit-sharing plan which is a qualified plan pursuant to sections 401 et seq. of the Internal Revenue Code ,[(] 26 U.S.C. §§ 401 et seq. [).]

    (r) All money and other benefits paid pursuant to the order of a court of competent jurisdiction for the support, education and maintenance of a child, whether collected by the judgment debtor or the state.

    (s) All money and other benefits paid pursuant to the order of a court of competent jurisdiction for the support and maintenance of a former spouse, including the amount of any arrearages in the payment of such support and maintenance to which the former spouse may be entitled.

    2.  Except as otherwise provided in NRS 115.010, no article or species of property mentioned in this section is exempt from execution issued upon a judgment to recover for its price, or upon a judgment of foreclosure of a mortgage or other lien thereon.

    3.  Any exemptions specified in subsection (d) of section 522 of the Bankruptcy Act of 1978 [(92 Stat. 2586)], 11 U.S.C. § 522(d), do not apply to property owned by a resident of this state unless conferred also by subsection 1, as limited by subsection 2, of this section.

    Sec. 11. NRS 31.045 is hereby amended to read as follows:

    31.045  1.  Execution on the writ of attachment by attaching property of the defendant may occur only if:

    (a) The judgment creditor serves the defendant with notice of the execution when the notice of the hearing is served pursuant to NRS 31.013; or

    (b) Pursuant to an ex parte hearing, the sheriff serves upon the judgment debtor notice of the execution and a copy of the writ at the same time and in the same manner as set forth in NRS 21.076.

If the attachment occurs pursuant to an ex parte hearing, the clerk of the court shall attach the notice to the writ of attachment at the time the writ is issued.

    2.  The notice required pursuant to subsection 1 must be substantially in the following form:

NOTICE OF EXECUTION

YOUR PROPERTY IS BEING ATTACHED OR

YOUR WAGES ARE BEING GARNISHED

    Plaintiff, .......... (name of person), alleges that you owe him money. He has begun the procedure to collect that money. To secure satisfaction of judgment the court has ordered the garnishment of your wages, bank account or other personal property held by third persons or the taking of money or other property in your possession.

    Certain benefits and property owned by you may be exempt from execution and may not be taken from you. The following is a partial list of exemptions:

    1.  Payments received under the Social Security Act.

    2.  Payments for benefits or the return of contributions under the public employees’ retirement system.

    3.  Payments for public assistance granted through the welfare division of the department of human resources.

    4.  Proceeds from a policy of life insurance.

    5.  Payments of benefits under a program of industrial insurance.

    6.  Payments received as unemployment compensation.

    7.  Veteran’s benefits.

    8.  A homestead in a dwelling or a mobile home, not to exceed [$125,000, unless:

    (a) The judgment is for a medical bill, in which case all of the primary dwelling, including a mobile or manufactured home, may be exempt.

    (b) Allodial title has been established and not relinquished for the dwelling or mobile home, in which case all of the dwelling or mobile home and its appurtenances are exempt, including the land on which they are located,]the amount allowed pursuant to subsection 2 of NRS 115.010, unless a valid waiver executed pursuant to [NRS 115.010]subsection 4 of that section is applicable to the judgment.

    9.  A vehicle, if your equity in the vehicle is less than $4,500.

    10.  Seventy-five percent of the take-home pay for any pay period, unless the weekly take-home pay is less than 30 times the federal minimum wage, in which case the entire amount may be exempt.

    11.  Money, not to exceed $500,000 in present value, held for retirement pursuant to certain arrangements or plans meeting the requirements for qualified arrangements or plans of sections 401 et seq. of the Internal Revenue Code ,[(] 26 U.S.C. §§ 401 et seq. [).]

    12.  All money and other benefits paid pursuant to the order of a court of competent jurisdiction for the support, education and maintenance of a child, whether collected by the judgment debtor or the state.

    13.  All money and other benefits paid pursuant to the order of a court of competent jurisdiction for the support and maintenance of a former spouse, including the amount of any arrearages in the payment of such support and maintenance to which the former spouse may be entitled.

    14.  A vehicle for use by you or your dependent which is specially equipped or modified to provide mobility for a person with a permanent disability.

    15.  A prosthesis or any equipment prescribed by a physician or dentist for you or your dependent.

These exemptions may not apply in certain cases such as proceedings to enforce a judgment for support of a child or a judgment of foreclosure on a mechanic’s lien. You should consult an attorney immediately to assist you in determining whether your property or money is exempt from execution. If you cannot afford an attorney, you may be eligible for assistance through .......... (name of organization in county providing legal services to the indigent or elderly persons).


PROCEDURE FOR CLAIMING EXEMPT PROPERTY

    If you believe that the money or property taken from you is exempt or necessary for the support of you or your family, you must file with the clerk of the court on a form provided by the clerk a notarized affidavit claiming the exemption. A copy of the affidavit must be served upon the sheriff and the judgment creditor within 8 days after the notice of execution is mailed. The property must be returned to you within 5 days after you file the affidavit unless the judgment creditor files a motion for a hearing to determine the issue of exemption. If this happens, a hearing will be held to determine whether the property or money is exempt. The hearing must be held within 10 days after the motion for a hearing is filed.

    IF YOU DO NOT FILE THE AFFIDAVIT WITHIN THE TIME SPECIFIED, YOUR PROPERTY MAY BE SOLD AND THE MONEY GIVEN TO THE JUDGMENT CREDITOR, EVEN IF THE PROPERTY OR MONEY IS EXEMPT.

    If you received this notice with a notice of a hearing for attachment and you believe that the money or property which would be taken from you by a writ of attachment is exempt or necessary for the support of you or your family, you are entitled to describe to the court at the hearing why you believe your property is exempt. You may also file a motion with the court for a discharge of the writ of attachment. You may make that motion any time before trial. A hearing will be held on that motion.

    IF YOU DO NOT FILE THE MOTION BEFORE THE TRIAL, YOUR PROPERTY MAY BE SOLD AND THE MONEY GIVEN TO THE PLAINTIFF, EVEN IF THE PROPERTY OR MONEY IS EXEMPT OR NECESSARY FOR THE SUPPORT OF YOU OR YOUR FAMILY.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to property; changing the homestead exemption from an exemption based on equity to an exemption based on acreage; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY¾Changes homestead exemption from exemption based on equity to exemption based on acreage. (BDR 10‑4)”.

    Senator James moved the adoption of the amendment.

    Remarks by Senators James and Titus.

    Senator Titus requested that the following remarks be entered in the Journal.

    Senator James:

    Thank you, Madam President. As you can see, we replaced the bill. This amendment makes a substantial change in the Nevada law. The Chairman of the Committee on Government Affairs introduced this. She has introduced this bill numerous times in the Legislature to increase the amount of the homestead exemption. What the sponsor of the bill, along with the Judiciary committee, decided to do was to develop a homestead that was not tied to equity and instead is tied to land, similar to what Texas has.

    We worked hard on this, worked through different definitions and came up with a definition of urban land verses agricultural real property. If you are in an urban area and you do not have the agricultural real property as defined in Nevada law, already, as part of your homestead, your homestead is going to be one acre regardless of the value. If you have agriculture real property as part of your home, and the curtilage and the appendances to it, your homestead exemption is going to be 159 acres plus the one-acre upon which your primary residence would stand.

    No longer will we have to come back, continually, to the Legislature to calculate equity as an addition. This is a different policy for the homestead law, which, again, I say, is a fairly revolutionary thing for Nevada to do. You would not have your house executed on. Now, if your house exceeds the value, exceeds the equity that is protected under state law, the house would still be sold and executed for creditors in this situation. Under this amendment, now, your home is truly your castle.

    Senator Titus:

    Thank you, Madam President. I would just like to ask, for the record, if the people who have already filed homestead exemption forms would still be covered under this or would they have to file new forms?

    Senator James:

    Thank you, Madam President. The way it works is if you have a homestead already on file, the homestead is determined to be agricultural or non-agricultural, based upon the character of the property as of the effective date of this law. If the property changes in character, subsequently, you would have to file another homestead declaration. That is the provision in the amendment.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 99.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:

    Amendment No. 583.

    Amend the bill as a whole by renumbering section 1 as sec. 1.5 and adding a new section designated section 1, following the enacting clause, to read as follows:

    “Section 1. NRS 679B.138 is hereby amended to read as follows:

    679B.138  1.  The commissioner shall adopt regulations which require the use of uniform claim forms and billing codes and the ability to make compatible electronic data transfers for all insurers and administrators authorized to conduct business in this state relating to a health care plan or health insurance or providing or arranging for the provision of health care services, including, without limitation, an insurer that issues a policy of health insurance, an insurer that issues a policy of group health insurance, a carrier serving small employers, a fraternal benefit society, a hospital or medical service corporation, a health maintenance organization, a plan for dental care and a prepaid limited health service organization. The regulations must include, without limitation, a uniform billing format to be used for the submission of claims to such insurers and administrators.

    2.  As used in this section:

    (a) “Administrator” has the meaning ascribed to it in NRS 683A.025.

    (b) “Health care plan” means a policy, contract, certificate or agreement offered or issued by an insurer to provide, deliver, arrange for, pay for or reimburse any of the costs of health care services.”.

    Amend section 1, pages 1 and 2, by deleting lines 7 through 19 on page 1 and lines 1 through 3 on page 2, and inserting: “administrator shall pay interest on the claim at [the] a rate of interest [established pursuant to NRS 99.040 unless a different rate of interest is established pursuant to an express written contract between the administrator and the provider of health care.] equal to the prime rate at the largest bank in Nevada, as ascertained by the commissioner of financial institutions, on January 1 or July 1, as the case may be, immediately preceding the date on which the payment was due, plus 6 percent. The interest must be calculated from 30 days after the date on which the claim is approved until the date on which the claim is paid.”.

    Amend section 1, page 2, by deleting lines 24 through 26 and inserting:

    “6.  The payment of interest provided for in this section for the late payment of an approved claim may not be waived.”.

    Amend section 1, page 2, by deleting lines 34 and 35 and inserting: “section, the commissioner may require the administrator to pay an administrative fine in an amount to be determined by the commissioner.”.

    Amend sec. 3, pages 2 and 3, by deleting lines 48 and 49 on page 2 and lines 1 through 13 on page 3, and inserting: “on the claim at [the] a rate of interest [established pursuant to NRS 99.040 unless a different rate of interest is established pursuant to an express written contract between the insurer and the provider of health care.] equal to the prime rate at the largest bank in Nevada, as ascertained by the commissioner of financial institutions, on January 1 or July 1, as the case may be, immediately preceding the date on which the payment was due, plus 6 percent. The interest must be calculated from 30 days after the date on which the claim is approved until the date on which the claim is paid.”.

    Amend sec. 3, page 3, by deleting lines 33 through 35 and inserting:

    “6.  The payment of interest provided for in this section for the late payment of an approved claim may not be waived.”.

    Amend sec. 3, page 3, by deleting line 43 and inserting: “require the insurer to pay an administrative fine in an amount to be determined by the commissioner.”.

    Amend sec. 5, page 4, by deleting lines 9 through 23 and inserting: “shall pay interest on the claim at [the] a rate of interest [established pursuant to NRS 99.040 unless a different rate of interest is established pursuant to an express written contract between the insurer and the provider of health care.] equal to the prime rate at the largest bank in Nevada, as ascertained by the commissioner of financial institutions, on January 1 or July 1, as the case may be, immediately preceding the date on which the payment was due, plus 6 percent. The interest must be calculated from 30 days after the date on which the claim is approved until the date on which the claim is paid.”.

    Amend sec. 5, page 4, by deleting lines 43 through 45 and inserting:

    “6.  The payment of interest provided for in this section for the late payment of an approved claim may not be waived.”.

    Amend sec. 5, page 5, by deleting line 4 and inserting: “require the insurer to pay an administrative fine in an amount to be determined by the commissioner.”.

    Amend sec. 7, page 5, by deleting lines 20 through 34 and inserting: “shall pay interest on the claim at [the] a rate of interest [established pursuant to NRS 99.040 unless a different rate of interest is established pursuant to an express written contract between the carrier and the provider of health care.] equal to the prime rate at the largest bank in Nevada, as ascertained by the commissioner of financial institutions, on January 1 or July 1, as the case may be, immediately preceding the date on which the payment was due, plus 6 percent. The interest must be calculated from 30 days after the date on which the claim is approved until the date on which the claim is paid.”.

    Amend sec. 7, page 6, by deleting lines 5 through 7 and inserting:

    “6.  The payment of interest provided for in this section for the late payment of an approved claim may not be waived.”.

    Amend sec. 7, page 6, by deleting line 15 and inserting: “require the carrier to pay an administrative fine in an amount to be determined by the commissioner.”.

    Amend sec. 10, pages 6 and 7, by deleting lines 36 through 47 on page 6 and lines 1 through 3 on page 7, and inserting: “interest on the claim at [the] a rate of interest [established pursuant to NRS 99.040 unless a different rate of interest is established pursuant to an express written contract between the corporation and the provider of health care.] equal to the prime rate at the largest bank in Nevada, as ascertained by the commissioner of financial institutions, on January 1 or July 1, as the case may be, immediately preceding the date on which the payment was due, plus 6 percent. The interest must be calculated from 30 days after the date on which the claim is approved until the date on which the claim is paid.”.

    Amend sec. 10, page 7, by deleting lines 24 through 26 and inserting:

    “6.  The payment of interest provided for in this section for the late payment of an approved claim may not be waived.”.

    Amend sec. 10, page 7, by deleting lines 34 and 35 and inserting: “commissioner may require the corporation to pay an administrative fine in an amount to be determined by the commissioner.”.

    Amend sec. 15, page 9, by deleting lines 3 through 18 and inserting: “shall pay interest on the claim at [the] a rate of interest [established pursuant to NRS 99.040 unless a different rate of interest is established pursuant to an express written contract between the health maintenance organization and the provider of health care.] equal to the prime rate at the largest bank in Nevada, as ascertained by the commissioner of financial institutions, on January 1 or July 1, as the case may be, immediately preceding the date on which the payment was due, plus 6 percent. The interest must be calculated from 30 days after the date on which the claim is approved until the date on which the claim is paid.”.

    Amend sec. 15, page 9, by deleting lines 41 through 43 and inserting:

    “6.  The payment of interest provided for in this section for the late payment of an approved claim may not be waived.”.

    Amend sec. 15, page 10, by deleting lines 2 through 4 and inserting: “the requirements set forth in this section, the commissioner may require the health maintenance organization to pay an administrative fine in an amount to be determined by the commissioner.”.

    Amend the bill as a whole by deleting sec. 17, renumbering sec. 18 as sec. 22 and adding new sections designated sections 17 through 21, following sec. 16, to read as follows:

    “Sec. 17. Chapter 616C of NRS is hereby amended by adding thereto the provisions set forth as sections 18 and 19 of this act.

    Sec. 18. 1.  Except as otherwise provided in this section, an insurer shall approve or deny a bill for accident benefits received from a provider of health care within 30 calendar days after the insurer receives the bill. If the bill for accident benefits is approved, the insurer shall pay the bill within 30 calendar days after it is approved. If the approved bill for accident benefits is not paid within that period, the insurer shall pay interest to the provider of health care at a rate of interest equal to the prime rate at the largest bank in Nevada, as ascertained by the commissioner of financial institutions, on January 1 or July 1, as the case may be, immediately preceding the date on which the payment was due, plus 6 percent. The interest must be calculated from 30 calendar days after the date on which the bill is approved until the date on which the bill is paid.

    2.  If an insurer needs additional information to determine whether to approve or deny a bill for accident benefits received from a provider of health care, he shall notify the provider of health care of his request for the additional information within 20 calendar days after he receives the bill. The insurer shall notify the provider of health care of all the specific reasons for the delay in approving or denying the bill for accident benefits. Upon the receipt of such a request, the provider of health care shall furnish the additional information to the insurer within 20 calendar days after receiving the request. If the provider of health care fails to furnish the additional information within that period, the provider of health care is not entitled to the payment of interest to which he would otherwise be entitled for the late payment of the bill for accident benefits. The insurer shall approve or deny the bill for accident benefits within 20 calendar days after he receives the additional information. If the bill for accident benefits is approved, the insurer shall pay the bill within 20 calendar days after he receives the additional information. Except as otherwise provided in this subsection, if the approved bill for accident benefits is not paid within that period, the insurer shall pay interest to the provider of health care at the rate set forth in subsection 1. The interest must be calculated from 20 calendar days after the date on which the insurer receives the additional information until the date on which the bill is paid.

    3.  An insurer shall not request a provider of health care to resubmit information that the provider of health care has previously provided to the insurer, unless the insurer provides a legitimate reason for the request and the purpose of the request is not to delay the payment of the accident benefits, harass the provider of health care or discourage the filing of claims.

    4.  An insurer shall not pay only a portion of a bill for accident benefits that has been approved and is fully payable.

    5.  The administrator may require an insurer to provide evidence which demonstrates that the insurer has substantially complied with the requirements of this section, including, without limitation, payment within the time required of at least 95 percent of approved accident benefits or at least 90 percent of the total dollar amount of approved accident benefits. If the administrator determines that an insurer is not in substantial compliance with the requirements of this section, the administrator may require the insurer to pay an administrative fine in an amount to be determined by the administrator.

    6.  The payment of interest provided for in this section for the late payment of an approved bill for accident benefits may not be waived.

    7.  Payments made by an insurer pursuant to this section are not an admission of liability for the accident benefits or any portion of the accident benefits.

    Sec. 19.  1.  If an insurer, organization for managed care or employer who provides accident benefits for injured employees pursuant to NRS 616C.265 denies payment for some or all of the services itemized on a statement submitted by a provider of health care on the sole basis that those services were not related to the employee’s industrial injury or occupational disease, the insurer, organization for managed care or employer shall, at the same time that it sends notification to the provider of health care of the denial, send a copy of the statement to the injured employee and notify the injured employee that it has denied payment. The notification sent to the injured employee must:

    (a) State the relevant amount requested as payment in the statement, that the reason for denying payment is that the services were not related to the industrial injury or occupational disease and that, pursuant to subsection 2, the injured employee will be responsible for payment of the relevant amount if he does not, in a timely manner, appeal the denial pursuant to NRS 616C.305 and 616C.315 to 616C.385, inclusive, or appeals but is not successful.

    (b) Include an explanation of the injured employee’s right to request a hearing to appeal the denial pursuant to NRS 616C.305 and 616C.315 to 616C.385, inclusive, and a suitable form for requesting a hearing to appeal the denial.

    2.  An injured employee who does not, in a timely manner, appeal the denial of payment for the services rendered or who appeals the denial but is not successful is responsible for payment of the relevant charges on the itemized statement.

    3.  To succeed on appeal, the injured employee must show that the:

    (a) Services provided were related to the employee’s industrial injury or occupational disease; or

    (b) Insurer, organization for managed care or employer who provides accident benefits for injured employees pursuant to NRS 616C.265 gave prior authorization for the services rendered and did not withdraw that prior authorization before the services of the provider of health care were rendered.

    Sec. 20. NRS 616C.065 is hereby amended to read as follows:

    616C.065  1.  [Within] Except as otherwise provided in section 18 of this act, within 30 days after the insurer has been notified of an industrial accident, every insurer shall:

    (a) Commence payment of a claim for compensation; or

    (b) Deny the claim and notify the claimant and administrator that the claim has been denied.

Payments made by an insurer pursuant to this section are not an admission of liability for the claim or any portion of the claim.

    2.  If an insurer unreasonably delays or refuses to pay that portion of the claim for compensation that is not required to be paid pursuant to section 18 of this act within 30 days after the insurer has been notified of an industrial accident, the insurer shall pay upon order of the administrator an additional amount equal to three times the amount specified in the order as refused or unreasonably delayed. This payment is for the benefit of the claimant and must be paid to him with the compensation assessed pursuant to chapters 616A to 617, inclusive, of NRS.

    Sec. 21. NRS 616C.135 is hereby amended to read as follows:

    616C.135  1.  A provider of health care who accepts a patient as a referral for the treatment of an industrial injury or an occupational disease may not charge the patient for any treatment related to the industrial injury or occupational disease, but must charge the insurer. The provider of health care may charge the patient for any [other unrelated services which are requested in writing by the patient.] services that are not related to the employee’s industrial injury or occupational disease.

    2.  The insurer is liable for the charges for approved services related to the industrial injury or occupational disease if the charges do not exceed:

    (a) The fees established in accordance with NRS 616C.260 or the usual fee charged by that person or institution, whichever is less; and

    (b) The charges provided for by the contract between the provider of health care and the insurer or the contract between the provider of health care and the organization for managed care.

    3.  If a provider of health care, an organization for managed care, an insurer or an employer violates the provisions of this section, the administrator shall impose an administrative fine of not more than $250 for each violation.”.

    Amend sec. 18, page 11, by deleting line 28 and inserting: “care, the amendatory provisions of sections 1.5, 3, 5, 7, 10, 11, 15 and 18 of”.

    Amend the bill as a whole by deleting sec. 19.

    Senator O'Connell moved the adoption of the amendment.

    Remarks by Senator O'Connell.

    Conflict of interest declared by Senator Raggio.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 156.

    Bill read second time.

    The following amendment was proposed by the Committee on Taxation:

    Amendment No. 209.

    Amend the bill as a whole by deleting sections 1 through 8 and adding new sections designated sections 1 through 15, following the enacting clause, to read as follows:

    “Section 1. NRS 361.090 is hereby amended to read as follows:

    361.090  1.  The property, to the extent of [$1,000] the assessed valuation [,] as set forth in subsection 2, of any actual bona fide resident of the State of Nevada who:

    (a) Has served a minimum of 90 days on active duty, who was assigned to active duty at some time between April 21, 1898, and June 15, 1903, or between April 6, 1917, and November 11, 1918, or between December 7, 1941, and December 31, 1946, or between June 25, 1950, and January 31, 1955;

    (b) Has served a minimum of 90 continuous days on active duty none of which was for training purposes, who was assigned to active duty at some time between January 1, 1961, and May 7, 1975; or

    (c) Has served on active duty in connection with carrying out the authorization granted to the President of the United States in Public Law 102‑1, and who received, upon severance from service, an honorable discharge or certificate of satisfactory service from the Armed Forces of the United States, or who, having so served, is still serving in the Armed Forces of the United States, is exempt from taxation.

    2.  The amount of assessed valuation that is exempt from taxation pursuant to subsection 1:

    (a) For fiscal year 2001-2002, is $1,250;

    (b) For fiscal year 2002-2003, is $1,500; and

    (c) For fiscal year 2003-2004, is $1,750.

    3.  For the purpose of this section [,] :

    (a) For fiscal year 2001-2002, thefirst [$1,000] $1,250 assessed valuation of property in which such a person has any interest ;

    (b) For fiscal year 2002-2003, the first $1,500 assessed valuation of property in which such a person has any interest; and

    (c) For fiscal year 2003-2004, the first $1,750 assessed valuation of property in which such a person has any interest, shall be deemed the property of that person.

    [3.] 4. The exemption may be allowed only to a claimant who files an affidavit with his claim for exemption on real property pursuant to NRS 361.155. The affidavit may be filed at any time by a person claiming exemption from taxation on personal property.

    [4.] 5. The affidavit must be made before the county assessor or a notary public and filed with the county assessor. It must state that the affiant is an actual bona fide resident of the State of Nevada who meets all the other requirements of subsection 1 and that the exemption is claimed in no other county in this state. After the filing of the original affidavit, the county assessor shall mail a form for:

    (a) The renewal of the exemption; and

    (b) The designation of any amount to be credited to the veterans’ home account, to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    [5.] 6. Persons in actual military service are exempt during the period of such service from filing annual affidavits of exemption , and the county assessors shall continue to grant exemption to such persons on the basis of the original affidavits filed. In the case of any person who has entered the military service without having previously made and filed an affidavit of exemption, the affidavit may be filed in his behalf during the period of such service by any person having knowledge of the facts.

    [6.] 7. Before allowing any veteran’s exemption pursuant to the provisions of this chapter, the county assessor of each of the several counties of this state shall require proof of status of the veteran, and for that purpose shall require production of an honorable discharge or certificate of satisfactory service or a certified copy thereof, or such other proof of status as may be necessary.

    [7.] 8. If any person files a false affidavit or produces false proof to the county assessor, and as a result of the false affidavit or false proof a tax exemption is allowed to a person not entitled to the exemption, he is guilty of a gross misdemeanor.

    Sec. 2. NRS 361.090 is hereby amended to read as follows:

    361.090  1.  The property, to the extent of [the] $2,000 assessed valuation , [as set forth in subsection 2,] of any actual bona fide resident of the State of Nevada who:

    (a) Has served a minimum of 90 days on active duty, who was assigned to active duty at some time between April 21, 1898, and June 15, 1903, or between April 6, 1917, and November 11, 1918, or between December 7, 1941, and December 31, 1946, or between June 25, 1950, and January 31, 1955;

    (b) Has served a minimum of 90 continuous days on active duty none of which was for training purposes, who was assigned to active duty at some time between January 1, 1961, and May 7, 1975; or

    (c) Has served on active duty in connection with carrying out the authorization granted to the President of the United States in Public Law 102 1, and who received, upon severance from service, an honorable discharge or certificate of satisfactory service from the Armed Forces of the United States, or who, having so served, is still serving in the Armed Forces of the United States, is exempt from taxation.

    2.  [The amount of assessed valuation that is exempt from taxation pursuant to subsection 1:

    (a) For fiscal year 2001-2002, is $1,250;

    (b) For fiscal year 2002-2003, is $1,500; and

    (c) For fiscal year 2003-2004, is $1,750.

    3.] For the purpose of this section , [:

    (a) For fiscal year 2001-2002, the first $1,250 assessed valuation of property in which such a person has any interest;

    (b) For fiscal year 2002-2003, the first $1,500 assessed valuation of property in which such a person has any interest; and

    (c) For fiscal year 2003-2004,] the first [$1,750] $2,000 assessed valuation of property in which such a person has any interest [,]shall be deemed the property of that person.

    [4.] 3.  The exemption may be allowed only to a claimant who files an affidavit with his claim for exemption on real property pursuant to NRS 361.155. The affidavit may be filed at any time by a person claiming exemption from taxation on personal property.

    [5.] 4.  The affidavit must be made before the county assessor or a notary public and filed with the county assessor. It must state that the affiant is an actual bona fide resident of the State of Nevada who meets all the other requirements of subsection 1 and that the exemption is claimed in no other county in this state. After the filing of the original affidavit, the county assessor shall mail a form for:

    (a) The renewal of the exemption; and

    (b) The designation of any amount to be credited to the veterans’ home account, to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    [6.] 5.  Persons in actual military service are exempt during the period of such service from filing annual affidavits of exemption, and the county assessors shall continue to grant exemption to such persons on the basis of the original affidavits filed. In the case of any person who has entered the military service without having previously made and filed an affidavit of exemption, the affidavit may be filed in his behalf during the period of such service by any person having knowledge of the facts.

    [7.] 6.  Before allowing any veteran’s exemption pursuant to the provisions of this chapter, the county assessor of each of the several counties of this state shall require proof of status of the veteran, and for that purpose shall require production of an honorable discharge or certificate of satisfactory service or a certified copy thereof, or such other proof of status as may be necessary.

    [8.] 7.  If any person files a false affidavit or produces false proof to the county assessor, and as a result of the false affidavit or false proof a tax exemption is allowed to a person not entitled to the exemption, he is guilty of a gross misdemeanor.

    8.  Beginning with the 2005-2006 fiscal year, the monetary amounts in subsections 1 and 2 must be adjusted for each fiscal year by adding to each amount the product of the amount multiplied by the percentage increase in the Consumer Price Index (All Items) from December 2003 to the December preceding the fiscal year for which the adjustment is calculated.

    Sec. 3. NRS 361.0905 is hereby amended to read as follows:

    361.0905  1.  Any person who qualifies for an exemption pursuant to NRS 361.090 may, in lieu of claiming his exemption:

    (a) Pay to the county assessor all or any portion of the amount by which the tax would be reduced if he claimed his exemption; and

    (b) Direct the county assessor to deposit that amount for credit to the veterans’ home account established pursuant to NRS 417.145.

    2.  Any person who wishes to waive his exemption pursuant to this section shall designate the amount to be credited to the account on a form provided by the Nevada tax commission.

    3.  The county assessor shall deposit any money received pursuant to this section with the state treasurer for credit to the veterans’ home account established pursuant to NRS 417.145. The state treasurer shall not accept :

    (a) For fiscal year 2001-2002, more than a total of [$1,000,000] $1,250,000;

    (b) For fiscal year 2002-2003, more than a total of $1,500,000; and

    (c) For fiscal year 2003-2004, more than a total of $1,750,000,

for credit to the account pursuant to this section and NRS 371.1035 during any fiscal year.

    Sec. 4. NRS 361.0905 is hereby amended to read as follows:

    361.0905  1.  Any person who qualifies for an exemption pursuant to NRS 361.090 may, in lieu of claiming his exemption:

    (a) Pay to the county assessor all or any portion of the amount by which the tax would be reduced if he claimed his exemption; and

    (b) Direct the county assessor to deposit that amount for credit to the veterans’ home account established pursuant to NRS 417.145.

    2.  Any person who wishes to waive his exemption pursuant to this section shall designate the amount to be credited to the account on a form provided by the Nevada tax commission.

    3.  The county assessor shall deposit any money received pursuant to this section with the state treasurer for credit to the veterans’ home account established pursuant to NRS 417.145. The state treasurer shall not accept [:

    (a) For fiscal year 2001-2002, more than a total of $1,250,000;

    (b) For fiscal year 2002-2003, more than a total of $1,500,000; and

    (c) For fiscal year 2003-2004,] more than a total of [$1,750,000,] $2,000,000 for credit to the account pursuant to this section and NRS 371.1035 during any fiscal year.

    Sec. 5. NRS 361.091 is hereby amended to read as follows:

    361.091  1.  A bona fide resident of the State of Nevada who has incurred a permanent service-connected disability and has been honorably discharged from the Armed Forces of the United States, or his surviving spouse, is entitled to a disabled veteran’s exemption.

    2.  The amount of exemption is based on the total percentage of permanent service-connected disability. The maximum allowable exemption for total permanent disability is :

    (a) For fiscal year 2001-2002, thefirst [$10,000] $12,500 assessed valuation [.] ;

    (b) For fiscal year 2002-2003, the first $15,000 assessed valuation; and

    (c) For fiscal year 2003-2004, the first $17,500 assessed valuation.

    3.  A person with a permanent service-connected disability of:

    (a) Eighty to 99 percent, inclusive, is entitled to :

        (1) For fiscal year 2001-2002, an exemption of [$7,500] $9,375 assessed value [.] ;

        (2) For fiscal year 2002-2003, an exemption of $11,250 assessed value; and

        (3) For fiscal year 2003-2004, an exemption of $13,125 assessed value.

    (b) Sixty to 79 percent, inclusive, is entitled to :

        (1) For fiscal year 2001-2002, anexemption of [$5,000] $6,250 assessed value [.] ;

        (2) For fiscal year 2002-2003, an exemption of $7,500 assessed value; and

        (3) For fiscal year 2003-2004, an exemption of $8,750 assessed value.

For the purposes of this section, any property in which an applicant has any interest is deemed to be the property of the applicant.

    [3.] 4. The exemption may be allowed only to a claimant who has filed an affidavit with his claim for exemption on real property pursuant to NRS 361.155. The affidavit may be made at any time by a person claiming an exemption from taxation on personal property.

    [4.] 5. The affidavit must be made before the county assessor or a notary public and be submitted to the county assessor. It must be to the effect that the affiant is a bona fide resident of the State of Nevada, that he meets all the other requirements of subsection 1 and that he does not claim the exemption in any other county within this state. After the filing of the original affidavit, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    [5.] 6. Before allowing any exemption pursuant to the provisions of this section, the county assessor shall require proof of the applicant’s status, and for that purpose shall require him to produce an original or certified copy of:

    (a) An honorable discharge or other document of honorable separation from the Armed Forces of the United States which indicates the total percentage of his permanent service-connected disability;

    (b) A certificate of satisfactory service which indicates the total percentage of his permanent service-connected disability; or

    (c) A certificate from the Department of Veterans Affairs or any other military document which shows that he has incurred a permanent service-connected disability and which indicates the total percentage of that disability, together with a certificate of honorable discharge or satisfactory service.

    [6.] 7. A surviving spouse claiming an exemption pursuant to this section must file with the county assessor an affidavit declaring that:

    (a) The surviving spouse was married to and living with the disabled veteran for the 5 years preceding his death;

    (b) The disabled veteran was eligible for the exemption at the time of his death or would have been eligible if he had been a resident of the State of Nevada;

    (c) The surviving spouse has not remarried; and

    (d) The surviving spouse is a bona fide resident of the State of Nevada.

The affidavit required by this subsection is in addition to the certification required pursuant to subsections [4 and 5.] 5 and 6. After the filing of the original affidavit required by this subsection, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    [7.] 8. If a tax exemption is allowed under this section, the claimant is not entitled to an exemption under NRS 361.090.

    [8.] 9. If any person makes a false affidavit or produces false proof to the county assessor or a notary public, and as a result of the false affidavit or false proof, the person is allowed a tax exemption to which he is not entitled, he is guilty of a gross misdemeanor.

    Sec. 6. NRS 361.091 is hereby amended to read as follows:

    361.091  1.  A bona fide resident of the State of Nevada who has incurred a permanent service-connected disability and has been honorably discharged from the Armed Forces of the United States, or his surviving spouse, is entitled to a disabled veteran’s exemption.

    2.  The amount of exemption is based on the total percentage of permanent service-connected disability. The maximum allowable exemption for total permanent disability is [:

    (a) For fiscal year 2001-2002, the first $12,500 assessed valuation;

    (b) For fiscal year 2002-2003, the first $15,000 assessed valuation; and

    (c) For fiscal year 2003-2004,] the first [$17,500] $20,000 assessed valuation.

    [3.] A person with a permanent service-connected disability of:

    (a) Eighty to 99 percent, inclusive, is entitled to [:

        (1) For fiscal year 2001-2002, an exemption of $9,375 assessed value;

        (2) For fiscal year 2002-2003, an exemption of $11,250 assessed value; and

        (3) For fiscal year 2003-2004,] an exemption of [$13,125] $15,000 assessed value.

    (b) Sixty to 79 percent, inclusive, is entitled to [:

        (1) For fiscal year 2001-2002, an exemption of $6,250 assessed value;

        (2) For fiscal year 2002-2003, an exemption of $7,500 assessed value; and

        (3) For fiscal year 2003-2004,] an exemption of [$8,750] $10,000 assessed value.

For the purposes of this section, any property in which an applicant has any interest is deemed to be the property of the applicant.

    [4.] 3. The exemption may be allowed only to a claimant who has filed an affidavit with his claim for exemption on real property pursuant to NRS 361.155. The affidavit may be made at any time by a person claiming an exemption from taxation on personal property.

    [5.] 4. The affidavit must be made before the county assessor or a notary public and be submitted to the county assessor. It must be to the effect that the affiant is a bona fide resident of the State of Nevada, that he meets all the other requirements of subsection 1 and that he does not claim the exemption in any other county within this state. After the filing of the original affidavit, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    [6.] 5. Before allowing any exemption pursuant to the provisions of this section, the county assessor shall require proof of the applicant’s status, and for that purpose shall require him to produce an original or certified copy of:

    (a) An honorable discharge or other document of honorable separation from the Armed Forces of the United States which indicates the total percentage of his permanent service-connected disability;

    (b) A certificate of satisfactory service which indicates the total percentage of his permanent service-connected disability; or

    (c) A certificate from the Department of Veterans Affairs or any other military document which shows that he has incurred a permanent service-connected disability and which indicates the total percentage of that disability, together with a certificate of honorable discharge or satisfactory service.

    [7.] 6. A surviving spouse claiming an exemption pursuant to this section must file with the county assessor an affidavit declaring that:

    (a) The surviving spouse was married to and living with the disabled veteran for the 5 years preceding his death;

    (b) The disabled veteran was eligible for the exemption at the time of his death or would have been eligible if he had been a resident of the State of Nevada;

    (c) The surviving spouse has not remarried; and

    (d) The surviving spouse is a bona fide resident of the State of Nevada.

The affidavit required by this subsection is in addition to the certification required pursuant to subsections [5 and 6.] 4 and 5. After the filing of the original affidavit required by this subsection, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    [8.] 7. If a tax exemption is allowed under this section, the claimant is not entitled to an exemption under NRS 361.090.

    [9.] 8. If any person makes a false affidavit or produces false proof to the county assessor or a notary public, and as a result of the false affidavit or false proof, the person is allowed a tax exemption to which he is not entitled, he is guilty of a gross misdemeanor.

    9.  Beginning with the 2005-2006 fiscal year, the monetary amounts in subsection 2 must be adjusted for each fiscal year by adding to the amount the product of the amount multiplied by the percentage increase in the Consumer Price Index (All Items) from December 2003 to the December preceding the fiscal year for which the adjustment is calculated.

    Sec. 7. NRS 361.095 is hereby amended to read as follows:

    361.095  1.  The funds, furniture, paraphernalia and regalia owned and used exclusively by any post of any national organization of [ex-service men or women] ex-servicemen or ex-servicewomen for the legitimate purposes and customary objects of such posts [shall be] are exempt from taxation, but such an exemption [shall in no case] must not exceed :

    (a) For fiscal year 2001-2002, the sum of [$5,000] $6,250 assessed valuation to any one post or organization thereof [.] ;

    (b) For fiscal year 2002-2003, the sum of $7,500 assessed valuation to any one post or organization thereof; and

    (c) For fiscal year 2003-2004, the sum of $8,750 assessed valuation to any one post or organization thereof.

    2.  The buildings, with their fixtures and the lots of ground on which they stand, used for its legitimate purposes and necessary thereto, of any such organization [shall be] are exempt from taxation, but when any such property is used for purposes other than those of such an organization, and a rent or other valuable consideration is received for its use, the property so used [shall] must be taxed.

    3.  Where any structure or parcel of land is used partly for the purposes of such an organization and partly for rental purposes, the area used for rental purposes [shall] must be assessed separately and that portion only [shall] may be taxed.

    Sec. 8. NRS 361.095 is hereby amended to read as follows:

    361.095  1.  The funds, furniture, paraphernalia and regalia owned and used exclusively by any post of any national organization of ex-servicemen or ex-servicewomen for the legitimate purposes and customary objects of such posts are exempt from taxation, but such an exemption must not exceed [:

    (a) For fiscal year 2001-2002,] the sum of [$6,250] $10,000 assessed valuation to any one post or organization thereof . [;

    (b) For fiscal year 2002-2003, the sum of $7,500 assessed valuation to any one post or organization thereof; and

    (c) For fiscal year 2003-2004, the sum of $8,750 assessed valuation to any one post or organization thereof.]

    2.  The buildings, with their fixtures and the lots of ground on which they stand, used for its legitimate purposes and necessary thereto, of any such organization are exempt from taxation, but when any such property is used for purposes other than those of such an organization, and a rent or other valuable consideration is received for its use, the property so used must be taxed.

    3.  Where any structure or parcel of land is used partly for the purposes of such an organization and partly for rental purposes, the area used for rental purposes must be assessed separately and that portion only may be taxed.

    4.  Beginning with the 2005-2006 fiscal year, the monetary amount in subsection 1 must be adjusted for each fiscal year by adding to the amount the product of the amount multiplied by the percentage increase in the Consumer Price Index (All Items) from December 2003 to the December preceding the fiscal year for which the adjustment is calculated.

    Sec. 9. NRS 371.103 is hereby amended to read as follows:

    371.103  1.  Vehicles, to the extent of [$1,000] the determined valuation [,] as set forth in subsection 2, registered by any actual bona fide resident of the State of Nevada who:

    (a) Has served a minimum of 90 days on active duty, who was assigned to active duty at some time between April 21, 1898, and June 15, 1903, or between April 6, 1917, and November 11, 1918, or between December 7, 1941, and December 31, 1946, or between June 25, 1950, and January 31, 1955;

    (b) Has served a minimum of 90 continuous days on active duty none of which was for training purposes, who was assigned to active duty at some time between January 1, 1961, and May 7, 1975; or

    (c) Has served on active duty in connection with carrying out the authorization granted to the President of the United States in Public Law 102–1, and who received, upon severance from service, an honorable discharge or certificate of satisfactory service from the Armed Forces of the United States, or who, having so served, is still serving in the Armed Forces of the United States, is exempt from taxation.

    2.  The amount of determined valuation that is exempt from taxation pursuant to subsection 1:

    (a) For fiscal year 2001-2002, is $1,250;

    (b) For fiscal year 2002-2003, is $1,500; and

    (c) For fiscal year 2003-2004, is $1,750.

    3.  For the purpose of this section :

    (a) For fiscal year 2001-2002, the first [$1,000] $1,250 determined valuation of vehicles in which such a person has any interest ;

    (b) For fiscal year 2002-2003, the first $1,500 determined valuation of vehicles in which such a person has any interest; and

    (c) For fiscal year 2003-2004, the first $1,750 determined valuation of vehicles in which such a person has any interest, shall be deemed to belong to that person.

    [3.] 4. A person claiming the exemption shall file annually with the department in the county where the exemption is claimed an affidavit declaring that he is an actual bona fide resident of the State of Nevada who meets all the other requirements of subsection 1 [,] and that the exemption is claimed in no other county in this state. The affidavit must be made before the county assessor or a notary public. After the filing of the original affidavit, the county assessor shall mail a form for:

    (a) The renewal of the exemption; and

    (b) The designation of any amount to be credited to the veterans’ home account, to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    [4.] 5. Persons in actual military service are exempt during the period of such service from filing annual affidavits of exemption , and the department shall grant exemptions to those persons on the basis of the original affidavits filed. In the case of any person who has entered the military service without having previously made and filed an affidavit of exemption, the affidavit may be filed in his behalf during the period of such service by any person having knowledge of the facts.

    [5.] 6. Before allowing any veteran’s exemption pursuant to the provisions of this chapter, the department shall require proof of status of the veteran, and for that purpose shall require production of an honorable discharge or certificate of satisfactory service or a certified copy thereof, or such other proof of status as may be necessary.

    [6.] 7. If any person files a false affidavit or produces false proof to the department, and as a result of the false affidavit or false proofa tax exemption is allowed to a person not entitled to the exemption, he is guilty of a gross misdemeanor.

    Sec. 10. NRS 371.103 is hereby amended to read as follows:

    371.103  1.  Vehicles, to the extent of [the] $2,000 determined valuation , [as set forth in subsection 2,] registered by any actual bona fide resident of the State of Nevada who:

    (a) Has served a minimum of 90 days on active duty, who was assigned to active duty at some time between April 21, 1898, and June 15, 1903, or between April 6, 1917, and November 11, 1918, or between December 7, 1941, and December 31, 1946, or between June 25, 1950, and January 31, 1955;

    (b) Has served a minimum of 90 continuous days on active duty none of which was for training purposes, who was assigned to active duty at some time between January 1, 1961, and May 7, 1975; or

    (c) Has served on active duty in connection with carrying out the authorization granted to the President of the United States in Public Law 102–1, and who received, upon severance from service, an honorable discharge or certificate of satisfactory service from the Armed Forces of the United States, or who, having so served, is still serving in the Armed Forces of the United States, is exempt from taxation.

    2.  [The amount of determined valuation that is exempt from taxation pursuant to subsection 1:

    (a) For fiscal year 2001-2002, is $1,250;

    (b) For fiscal year 2002-2003, is $1,500; and

    (c) For fiscal year 2003-2004, is $1,750.

    3.] For the purpose of this section , [:

    (a) For fiscal year 2001-2002,] the first [$1,250] $2,000 determined valuation of vehicles in which such a person has any interest [;

    (b) For fiscal year 2002-2003, the first $1,500 determined valuation of vehicles in which such a person has any interest; and

    (c) For fiscal year 2003-2004, the first $1,750 determined valuation of vehicles in which such a person has any interest,]shall be deemed to belong to that person.

    [4.] 3. A person claiming the exemption shall file annually with the department in the county where the exemption is claimed an affidavit declaring that he is an actual bona fide resident of the State of Nevada who meets all the other requirements of subsection 1 and that the exemption is claimed in no other county in this state. The affidavit must be made before the county assessor or a notary public. After the filing of the original affidavit, the county assessor shall mail a form for:

    (a) The renewal of the exemption; and

    (b) The designation of any amount to be credited to the veterans’ home account, to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    [5.] 4. Persons in actual military service are exempt during the period of such service from filing annual affidavits of exemption, and the department shall grant exemptions to those persons on the basis of the original affidavits filed. In the case of any person who has entered the military service without having previously made and filed an affidavit of exemption, the affidavit may be filed in his behalf during the period of such service by any person having knowledge of the facts.

    [6.] 5. Before allowing any veteran’s exemption pursuant to the provisions of this chapter, the department shall require proof of status of the veteran, and for that purpose shall require production of an honorable discharge or certificate of satisfactory service or a certified copy thereof, or such other proof of status as may be necessary.

    [7.] 6. If any person files a false affidavit or produces false proof to the department,and as a result of the false affidavit or false proof a tax exemption is allowed to a person not entitled to the exemption, he is guilty of a gross misdemeanor.

    7.  Beginning with the 2005-2006 fiscal year, the monetary amounts in subsections 1 and 2 must be adjusted for each fiscal year by adding to each amount the product of the amount multiplied by the percentage increase in the Consumer Price Index (All Items) from December 2003 to the December preceding the fiscal year for which the adjustment is calculated.

    Sec. 11. NRS 371.1035 is hereby amended to read as follows:

    371.1035  1.  Any person who qualifies for an exemption pursuant to NRS 371.103 may, in lieu of claiming his exemption:

    (a) Pay to the department all or any portion of the amount by which the tax would be reduced if he claimed his exemption; and

    (b) Direct the department to deposit that amount for credit to the veterans’ home account established pursuant to NRS 417.145.

    2.  Any person who wishes to waive his exemption pursuant to this section shall designate the amount to be credited to the account on a form provided by the department.

    3.  The department shall deposit any money received pursuant to this section with the state treasurer for credit to the veterans’ home account established pursuant to NRS 417.145. The state treasurer shall not accept :

    (a) For fiscal year 2001-2002, more than a total [$1,000,000] of $1,250,000;

    (b) For fiscal year 2002-2003, more than a total of $1,500,000; and

    (c) For fiscal year 2003-2004, more than a total of $1,750,000,

for credit to the account pursuant to this section and NRS 361.0905 during any fiscal year.

    Sec. 12. NRS 371.1035 is hereby amended to read as follows:

    371.1035  1.  Any person who qualifies for an exemption pursuant to NRS 371.103 may, in lieu of claiming his exemption:

    (a) Pay to the department all or any portion of the amount by which the tax would be reduced if he claimed his exemption; and

    (b) Direct the department to deposit that amount for credit to the veterans’ home account established pursuant to NRS 417.145.

    2.  Any person who wishes to waive his exemption pursuant to this section shall designate the amount to be credited to the account on a form provided by the department.

    3.  The department shall deposit any money received pursuant to this section with the state treasurer for credit to the veterans’ home account established pursuant to NRS 417.145. The state treasurer shall not accept [:

    (a) For fiscal year 2001-2002, more than a total of $1,250,000;

    (b) For fiscal year 2002-2003, more than a total of $1,500,000; and

    (c) For fiscal year 2003-2004,] more than a total of [$1,750,000,] $2,000,000 for credit to the account pursuant to this section and NRS 361.0905 during any fiscal year.

    Sec. 13.  NRS 371.104 is hereby amended to read as follows:

    371.104  1.  A bona fide resident of the State of Nevada who has incurred a permanent service-connected disability and has been honorably discharged from the Armed Forces of the United States, or his surviving spouse, is entitled to a veteran’s exemption from the payment of governmental servicestaxes on vehicles of the following determined valuations:

    (a) If he has a disability of 100 percent [,] :

        (1) For fiscal year 2001-2002, the first [$10,000] $12,500 of determined valuation;

        (2) For fiscal year 2002-2003, the first $15,000 of determined valuation; and

        (3) For fiscal year 2003-2004, the first $17,500 of determined valuation.

    (b) If he has a disability of 80 to 99 percent, inclusive [,] :

        (1) For fiscal year 2001-2002, the first [$7,500] $9,375 of determined valuation; [or]

        (2) For fiscal year 2002-2003, the first $11,250 of determined valuation; and

        (3) For fiscal year 2003-2004, the first $13,125 of determined valuation.

    (c) If he has a disability of 60 to 79 percent, inclusive [,] :

        (1) For fiscal year 2001-2002, the first [$5,000] $6,250 of determined valuation [.] ;

        (2) For fiscal year 2002-2003, the first $7,500 of determined valuation; and

        (3) For fiscal year 2003-2004, the first $8,750 of determined valuation.

    2.  For the purpose of this section [,] :

    (a) For fiscal year 2001-2002, the first [$10,000] $12,500 determined valuation of vehicles in which an applicant has any interest ;

    (b) For fiscal year 2002-2003, the first $15,000 of determined valuation of vehicles in which an applicant has any interest; and

    (c) For fiscal year 2003-2004, the first $17,500 of determined valuation of vehicles in which an applicant has any interest, shall be deemed to belong entirely to that person.

    3.  A person claiming the exemption shall file annually with the department in the county where the exemption is claimed an affidavit declaring that he is a bona fide resident of the State of Nevada who meets all the other requirements of subsection 1 [,] and that the exemption is claimed in no other county within this state. After the filing of the original affidavit, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    4.  Before allowing any exemption pursuant to the provisions of this section, the department shall require proof of the applicant’s status, and for that purpose shall require production of:

    (a) A certificate from the Department of Veterans Affairs that the veteran has incurred a permanent service-connected disability, which shows the percentage of that disability; and

    (b) Any one of the following:

        (1) An honorable discharge;

        (2) A certificate of satisfactory service; or

        (3) A certified copy of either of these documents.

    5.  A surviving spouse claiming an exemption pursuant to this section must file with the department in the county where the exemption is claimed an affidavit declaring that:

    (a) The surviving spouse was married to and living with the disabled veteran for the 5 years preceding his death;

    (b) The disabled veteran was eligible for the exemption at the time of his death; and

    (c) The surviving spouse has not remarried.

The affidavit required by this subsection is in addition to the certification required pursuant to subsections 3 and 4. After the filing of the original affidavit required by this subsection, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    6.  If a tax exemption is allowed under this section, the claimant is not entitled to an exemption under NRS 371.103.

    7.  If any person makes a false affidavit or produces false proof to the department, and as a result of the false affidavit or false proof the person is allowed a tax exemption to which he is not entitled, he is guilty of a gross misdemeanor.

    Sec. 14. NRS 371.104 is hereby amended to read as follows:

    371.104  1.  A bona fide resident of the State of Nevada who has incurred a permanent service-connected disability and has been honorably discharged from the Armed Forces of the United States, or his surviving spouse, is entitled to a veteran’s exemption from the payment of governmental services taxes on vehicles of the following determined valuations:

    (a) If he has a disability of 100 percent , [:

        (1) For fiscal year 2001-2002, the first $12,500 of determined valuation;

        (2) For fiscal year 2002-2003, the first $15,000 of determined valuation; and

        (3) For fiscal year 2003-2004,] the first [$17,500] $20,000 of determined valuation.

    (b) If he has a disability of 80 to 99 percent, inclusive , [:

        (1) For fiscal year 2001-2002, the first $9,375 of determined valuation;

        (2) For fiscal year 2002-2003, the first $11,250 of determined valuation; and

        (3) For fiscal year 2003-2004,] the first [$13,125] $15,000 of determined valuation.

    (c) If he has a disability of 60 to 79 percent, inclusive , [:

        (1)  For fiscal year 2001-2002, the first $6,250 of determined valuation;

        (2) For fiscal year 2002-2003, the first $7,500 of determined valuation; and

        (3) For fiscal year 2003-2004,] the first [$8,750] $10,000 of determined valuation.

    2.  For the purpose of this section , [:

    (a) For fiscal year 2001-2002, the first $12,500 determined valuation of vehicles in which an applicant has any interest;

    (b) For fiscal year 2002-2003, the first $15,000 of determined valuation of vehicles in which an applicant has any interest; and

    (c) For fiscal year 2003-2004,] the first [$17,500] $20,000 of determined valuation of vehicles in which an applicant has any interest, shall be deemed to belong entirely to that person.

    3.  A person claiming the exemption shall file annually with the department in the county where the exemption is claimed an affidavit declaring that he is a bona fide resident of the State of Nevada who meets all the other requirements of subsection 1 and that the exemption is claimed in no other county within this state. After the filing of the original affidavit, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    4.  Before allowing any exemption pursuant to the provisions of this section, the department shall require proof of the applicant’s status, and for that purpose shall require production of:

    (a) A certificate from the Department of Veterans Affairs that the veteran has incurred a permanent service-connected disability, which shows the percentage of that disability; and

    (b) Any one of the following:

        (1) An honorable discharge;

        (2) A certificate of satisfactory service; or

        (3) A certified copy of either of these documents.

    5.  A surviving spouse claiming an exemption pursuant to this section must file with the department in the county where the exemption is claimed an affidavit declaring that:

    (a) The surviving spouse was married to and living with the disabled veteran for the 5 years preceding his death;

    (b) The disabled veteran was eligible for the exemption at the time of his death; and

    (c) The surviving spouse has not remarried.

The affidavit required by this subsection is in addition to the certification required pursuant to subsections 3 and 4. After the filing of the original affidavit required by this subsection, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    6.  If a tax exemption is allowed under this section, the claimant is not entitled to an exemption under NRS 371.103.

    7.  If any person makes a false affidavit or produces false proof to the department, and as a result of the false affidavit or false proof the person is allowed a tax exemption to which he is not entitled, he is guilty of a gross misdemeanor.

    8.  Beginning with the 2005-2006 fiscal year, the monetary amounts in subsections 1 and 2 must be adjusted for each fiscal year by adding to each amount the product of the amount multiplied by the percentage increase in the Consumer Price Index (All Items) from December 2003 to the December preceding the fiscal year for which the adjustment is calculated.

    Sec. 15. 1.  This section and sections 1, 3, 5, 7, 9 and 11 of this act become effective on July 1, 2001.

    2.  Section 13 of this act becomes effective at 12:01 a.m. on July 1, 2001.

    3.  Sections 2, 4, 6, 8, 10, 12 and 14 of this act become effective on     July 1, 2004.”.

    Senator McGinness moved the adoption of the amendment.

    Remarks by Senator McGinness.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 257.

    Bill read second time.

    The following amendment was proposed by the Committee on Transportation:

    Amendment No. 568.

    Amend the bill as a whole by deleting sections 1 through 3 and adding new sections designated sections 1 through 7, following the enacting clause, to read as follows:

    “Section 1. Chapter 482 of NRS is hereby amended by adding thereto a new section to read as follows:

    1.  Except as otherwise provided in this section, the department, in cooperation with the Nevada State Firefighters’ Association or its successor, shall design, prepare and issue license plates that recognize current or former service as a volunteer fire fighter using any colors and designs which the department deems appropriate. The department shall not design, prepare or issue the license plates unless it receives at least 250 applications for the issuance of those plates.

    2.  The department shall issue license plates that recognize current or former service as a volunteer fire fighter for a passenger car or a light commercial vehicle upon application by a qualified person who is entitled to license plates pursuant to NRS 482.265 and who otherwise complies with the requirements for registration and licensing pursuant to this chapter. A person may request that personalized prestige license plates issued pursuant to NRS 482.3667 be combined with license plates that recognize current or former service as a volunteer fire fighter if that person pays the fees for the personalized prestige license plates in addition to the fees for the license plates that recognize current or former service as a volunteer fire fighter.

    3.  An application for the issuance or renewal of license plates that recognize current or former service as a volunteer fire fighter is void unless it is accompanied by documentation which, in the determination of the department, provides reasonable proof of the identity of the applicant and proof of his current service as a volunteer fire fighter or his status as a former volunteer fire fighter who retired from service as a volunteer fire fighter within this state after completing at least 10 years of active service. Proof of an applicant’s current or former service as a volunteer fire fighter must consist of:

    (a) An identification card which indicates that the applicant currently serves as a volunteer fire fighter; or

    (b) A letter from the chief officer of a volunteer or combination fire department certifying the applicant’s current or former service as a volunteer fire fighter.

    4.  The fee payable to the department for license plates that recognize current or former service as a volunteer fire fighter is $35, in addition to all other applicable registration and license fees and governmental services taxes. The license plates are renewable upon the payment to the department of $10 in addition to all other applicable registration and license fees and governmental services taxes.

    5.  In addition to all other applicable registration and license fees and governmental services taxes and the fees prescribed in subsection 4, a person who requests a set of license plates that recognize current or former service as a volunteer fire fighter must pay for the initial issuance of the plates an additional fee of $25 and for each renewal of the plates an additional fee of $20 to support the training of volunteer fire fighters.

    6.  The department shall deposit the fees collected pursuant to subsection 5 with the state treasurer for credit to the state general fund. The state treasurer shall account separately for the money deposited pursuant to this subsection and reserve such money for expenditure by the state fire marshal in accordance with this subsection. The state fire marshal may expend the money reserved pursuant to this subsection solely for the support of, and to pay expenses related to, training for volunteer fire fighters provided by or as directed by the board of directors of the Nevada State Firefighters’ Association or its successor.

    7.  If, during a registration year, the holder of license plates issued pursuant to the provisions of this section disposes of the vehicle to which the plates are affixed, the holder shall:

    (a) Retain the plates and affix them to another vehicle that meets the requirements of this section if the transfer and registration fees are paid as set out in this chapter; or

    (b) Within 30 days after removing the plates from the vehicle, return them to the department.

    8.  As used in this section:

    (a) “Combination fire department” means a fire department that is:

        (1) Served by both volunteer and full-time salaried fire fighters; and

        (2) Recognized as such by the state fire marshal.

    (b) “Volunteer fire department” means a fire department recognized as a bona fide volunteer fire department by the state fire marshal.

    (c) “Volunteer fire fighter” means a person who serves actively in an unpaid capacity in a volunteer or combination fire department within this state as a fire fighter for the benefit or safety of the public.

    Sec. 2.  NRS 482.216 is hereby amended to read as follows:

    482.216  1.  Upon the request of a new vehicle dealer, the department may authorize the new vehicle dealer to:

    (a) Accept applications for the registration of the new motor vehicles he sells and the related fees and taxes;

    (b) Issue certificates of registration to applicants who satisfy the requirements of this chapter; and

    (c) Accept applications for the transfer of registration pursuant to NRS 482.399 if the applicant purchased from the new vehicle dealer a new vehicle to which the registration is to be transferred.

    2.  A new vehicle dealer who is authorized to issue certificates of registration pursuant to subsection 1 shall:

    (a) Transmit the applications he receives to the department within the period prescribed by the department;

    (b) Transmit the fees he collects from the applicants and properly account for them within the period prescribed by the department;

    (c) Comply with the regulations adopted pursuant to subsection 4; and

    (d) Bear any cost of equipment which is necessary to issue certificates of registration, including any computer hardware or software.

    3.  A new vehicle dealer who is authorized to issue certificates of registration pursuant to subsection 1 shall not:

    (a) Charge any additional fee for the performance of those services;

    (b) Receive compensation from the department for the performance of those services;

    (c) Accept applications for the renewal of registration of a motor vehicle; or

    (d) Accept an application for the registration of a motor vehicle if the applicant wishes to:

        (1) Obtain special license plates pursuant to NRS 482.3667 to 482.3825, inclusive [;] , and section 1 of this act; or

        (2) Claim the exemption from the governmental services tax provided pursuant to NRS 361.1565 to veterans and their relations.

    4.  The director shall adopt such regulations as are necessary to carry out the provisions of this section. The regulations adopted pursuant to this subsection must provide for:

    (a) The expedient and secure issuance of license plates and decals by the department; and

    (b) The withdrawal of the authority granted to a new vehicle dealer pursuant to subsection 1 if that dealer fails to comply with the regulations adopted by the department.

    Sec. 3. NRS 482.3753 is hereby amended to read as follows:

    482.3753  1.  Except as otherwise provided in this section, the department, in cooperation with [professional] full-time salaried fire fighters in the State of Nevada, shall design, prepare and issue license plates that recognize current or former employment as a [professional] full-time salaried fire fighter using any colors and designs which the department deems appropriate. The department shall not design, prepare or issue the license plates unless it receives at least 250 applications for the issuance of those plates.

    2.  The department shall issue license plates that recognize current or former employment as a [professional] full-time salaried fire fighter for a passenger car or a light commercial vehicle upon application by a qualified person who is entitled to license plates pursuant to NRS 482.265 and who otherwise complies with the requirements for registration and licensing pursuant to this chapter. A person may request that personalized prestige license plates issued pursuant to NRS 482.3667 be combined with license plates that recognize current or former employment as a [professional] full‑time salaried fire fighter if that person pays the fees for the personalized prestige license plates in addition to the fees for the license plates that recognize current or former employment as a [professional] full-time salaried fire fighter.

    3.  An application for the issuance or renewal of license plates that recognize current or former employment as a [professional] full-time salaried fire fighter is void unless it is accompanied by documentation which, in the determination of the department, provides reasonable proof of the identity of the applicant and proof of his current employment as a [professional] full-time salaried fire fighter or his status as a [retired professional] former full-time salaried fire fighter[. Such documentation may include, but is not limited to:] who retired from employment with a fire department within this state after completing at least 10 years of creditable service as a fire fighter within this state. Proof of an applicant’s current or former employment as a full-time salaried fire fighter must consist of:

    (a) An identification card [which indicates that the applicant is currently employed as a professional fire fighter or is currently a member of a fire-fighters’ union; or

    (b) Evidence of his] issued by the Professional Fire Fighters of Nevada or its successor;

    (b) An identification card issued by the Nevada Fire Chiefs Association or its successor; or

    (c) A letter from the Professional Fire Fighters of Nevada or the Nevada Fire Chiefs Association or their respective successors certifying the applicant’s current or former employment as a [professional] full-time salaried fire fighter.

    4.  The fee payable to the department for license plates that recognize current or former employment as a [professional] full-time salaried fire fighter is $35, in addition to all other applicable registration and license fees and governmental services taxes. The license plates are renewable upon the payment to the department of $10 in addition to all other applicable registration and license fees and governmental services taxes.

    5.  In addition to all other applicable registration and license fees and governmental services taxes and the fees prescribed in subsection 4, a person who requests a set of license plates that recognize current or former employment as a full-time salaried fire fighter must pay for the initial issuance of the plates an additional fee of $25 and for each renewal of the plates an additional fee of $20 to support facilities for the treatment of burns which are located within this state.

    6.  The department shall deposit the fees collected pursuant to subsection 5 with the state treasurer for credit to the state general fund. The state treasurer shall, on a quarterly basis, distribute the fees deposited pursuant to this subsection in equal shares to each facility for the treatment of burns that is located within this state.

    7.  If, during a registration year, the holder of license plates issued pursuant to the provisions of this section disposes of the vehicle to which the plates are affixed, [he may retain the plates and:

    (a) Affix] the holder shall:

    (a) Retain the plates and affix them to another vehicle that meets the requirements of this section if the transfer and registration fees are paid as set out in this chapter; or

    (b) Within 30 days after removing the plates from the vehicle, return them to the department.

    [6.] 8.  As used in this section[, “retired professional] :

    (a) “Facility for the treatment of burns” means a facility that:

        (1) Offers specialized services for the treatment of injuries resulting from burns; and

        (2) Is part of or located within a hospital that has a center for the treatment of trauma which is designated as a level I center by the administrator of the health division of the department of human resources.

    (b) “Full-time salaried fire fighter” means a person [who retired from employment with a fire department within this state after completing at least 10 years of creditable service as a fire fighter within this state.] employed in this state in a full-time salaried occupation of fire fighting for the benefit or safety of the public.

    Sec. 4. NRS 482.500 is hereby amended to read as follows:

    482.500  1.  Except as otherwise provided in subsection 2 or 3, whenever upon application any duplicate or substitute certificate of registration, decal or number plate is issued, the following fees must be paid:

       For a certificate of registration   $5.00

       For every substitute number plate or set of plates   5.00

       For every duplicate number plate or set of plates   10.00

       For every decal displaying a county name  .50

       For every other decal, license plate sticker or tab   5.00

    2.  The following fees must be paid for any replacement plate or set of plates issued for the following special license plates:

    (a) For any special plate issued pursuant to NRS 482.3667, 482.3672, 482.3675, 482.370 to 482.376, inclusive, and section 1 of this act, or 482.379 to 482.3816, inclusive, a fee of $10.

    (b) For any special plate issued pursuant to NRS 482.368, 482.3765, 482.377 or 482.378, a fee of $5.

    (c) For any souvenir license plate issued pursuant to NRS 482.3825 or sample license plate issued pursuant to NRS 482.2703, a fee equal to that established by the director for the issuance of those plates.

    3.  A fee must not be charged for a duplicate or substitute decal requested pursuant to NRS 482.37635.

    4.  The fees which are paid for duplicate number plates and decals displaying county names must be deposited with the state treasurer for credit to the motor vehicle fund and allocated to the department to defray the costs of duplicating the plates and manufacturing the decals.

    5.  As used in this section:

    (a) “Duplicate number plate” means a license plate or a set of license plates issued to a registered owner which repeat the code of a plate or set of plates previously issued to the owner to maintain his registration using the same code.

    (b) “Substitute number plate” means a license plate or a set of license plates issued in place of a previously issued and unexpired plate or set of plates. The plate or set of plates does not repeat the code of the previously issued plate or set.

    Sec. 5. For the period beginning July 1, 2001, through July 1, 2002, the provisions of NRS 482.280 to the contrary notwithstanding, the department of motor vehicles and public safety:

    1.  Shall cooperate with a representative of the Professional Fire Fighters of Nevada and of the Nevada Fire Chiefs Association in their efforts to assist the department in:

    (a) Identifying persons who:

        (1) Possess license plates issued pursuant to NRS 482.3753; and

        (2) Do not meet the eligibility requirements set forth in NRS 482.3753.

    (b) Ensuring that ineligible persons do not possess license plates issued pursuant to NRS 482.3753.

    2.  Shall require each person who is applying to renew a license plate issued pursuant to NRS 482.3753 to appear in person and present to an agent or office of the department:

    (a) The application for renewal;

    (b) The applicable fees and taxes; and

    (c) The required proof of eligibility.

    3.  Shall, upon receipt of an application for renewal, suspend the registration of a vehicle for which a license plate has been issued pursuant to NRS 482.3753 to a person who does not meet the eligibility requirements set forth in NRS 482.3753 until the license plates are surrendered to the department.

    4.  Shall not accept an application for the renewal of a license plate issued pursuant to NRS 482.3753 that:

    (a) Is delivered by mail during the period beginning July 1, 2001, through July 1, 2002; or

    (b) Is not accompanied by the required proof of eligibility.

    Sec. 6.  On or before July 1, 2005, the department of motor vehicles and public safety shall determine and publicly declare the number of applications it has received for the issuance of license plates pursuant to section 1 of this act.

    Sec. 7. 1.  This section and sections 1, 4, 5 and 6 of this act become effective on July 1, 2001.

    2.  Sections 2 and 3 of this act become effective at 12:01 a.m. on July 1, 2001.

    3.  The amendatory provisions of sections 1, 2 and 4 of this act expire by limitation on July 1, 2005, if on that date the department of motor vehicles and public safety has received fewer than 250 applications for the issuance of license plates pursuant to section 1 of this act.”.

    Amend the title of the bill by deleting the first and second lines and inserting:

    “AN ACT relating to motor vehicles; providing for the issuance of special license plates recognizing current or former service as a volunteer fire fighter; imposing a fee for the issuance and renewal of those license plates to pay expenses related to the training of volunteer fire fighters; limiting the issuance of special license plates indicating current or former employment as a full-time salaried fire fighter; imposing a fee for”.

    Amend the summary of the bill to read as follows:

    “SUMMARY¾Provides for issuance of special license plates recognizing current or former service as volunteer fire fighter and revises provisions relating to special license plates indicating employment as current or former full-time salaried fire fighter. (BDR 43‑505)”.

    Senator O'Donnell moved the adoption of the amendment.

    Remarks by Senator O'Donnell.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 270.

    Bill read second time.

    The following amendment was proposed by the Committee on Transportation:

    Amendment No. 604.

    Amend section 1, page 1, line 2, by deleting “15,” and inserting “23,”.

    Amend the bill as a whole by renumbering sections 2 and 3 as sections 3 and 4 and adding a new section designated sec. 2, following section 1, to read as follows:

    “Sec. 2. 1.  “Bus” means a motor vehicle:

    (a) That is capable of carrying 16 or more persons, including the driver; and

    (b) With a chassis that when originally designed and constructed by the original manufacturer was designed and constructed to carry 16 or more persons, including the driver.

    2.  The term does not include a motor vehicle with a chassis which when originally manufactured was designed to carry less than 16 persons, including the driver, but which has been modified to carry 16 or more persons, including the driver.”.

    Amend sec. 3, page 1, by deleting line 10 and inserting: “taxicab, traditional limousine or livery limousine.”.

    Amend the bill as a whole by renumbering sections 4 through 15 as sections 7 through 18 and adding new sections designated sections 5 and 6, following sec. 3, to read as follows:

    “Sec. 5.  “Livery limousine” means a motor vehicle which:

    1.  Was a light truck, as that term is defined in 49 C.F.R. § 523.5, at the time of its manufacture;

    2.  Has a capacity of 11 or more persons but less than 16 persons, including the driver; and

    3.  Is engaged in the general transportation of persons for compensation and not operated on a regular schedule or over regular routes.

    Sec. 6. “Traditional limousine” means a motor vehicle that is engaged in the general transportation of persons for compensation and not operated on a regular schedule or over regular routes and:

    1.  Was a passenger automobile, as that term is defined in 49 C.F.R. § 523.4, at the time of its manufacture and was later modified to increase its length; or

    2.  Has a capacity of less than 11 persons, including the driver.” .  

    Amend sec. 9, page 3, line 36, by deleting “8” and inserting “11”.

    Amend sec. 9, page 3, line 37, by deleting “5” and inserting “8”.

    Amend sec. 9, page 3, lines 41 and 45, by deleting “15,” and inserting “23,”.

    Amend sec. 10, page 4, by deleting line 1 and inserting:

    “Sec. 13. 1.  Each driver of a fully regulated carrier of passengers shall”.

    Amend sec. 10, page 4, line 2, by deleting: “each of its drivers to”.

    Amend sec. 10, page 4, by deleting lines 7 and 8 and inserting:

    “(b) The time at which he began his period of duty; and”.

    Amend sec. 10, page 4, by deleting lines 16 and 17 and inserting:

    “(a) The time at which he ended his period of duty; and”.

    Amend sec. 10, page 4, line 19, by deleting: “A carrier shall” and inserting: “Each driver of a fully regulated carrier of passengers shall file each trip sheet with the carrier. The carrier or a person designated by the carrier shall review and”.

    Amend sec. 10, page 4, line 24, after “sheet” by inserting: “or file a trip sheet with a carrier”.

    Amend sec. 10, page 4, between lines 25 and 26 by inserting:

    “7.  The provisions of this section do not relieve a carrier from any obligation under its certificate of public convenience and necessity or from its duty to comply with this chapter and the regulations adopted pursuant to this chapter.”.

    Amend sec. 13, page 5, line 16, by deleting “orderly”.

    Amend sec. 13, page 5, line 27, by deleting “or”.

    Amend sec. 13, page 5, line 29, by deleting “transportation.” and inserting: “transportation; or

    (d) The person requesting service acted in a disorderly manner, including, without limitation, the use of:

        (1) Hostile or offensive gestures; or

        (2) Indecent or offensive language.

    3.  The authority shall adopt regulations which define when a person acts in a disorderly manner, when a person uses hostile or offensive gestures and when a person uses indecent or offensive language for the purposes of paragraph (d) of subsection 2.”.

    Amend sec. 14, page 5, line 31, by deleting: “8 to 13,” and inserting: “11 to 16,”.

    Amend the bill as a whole by renumbering sec. 16 as sec. 24 and adding new sections designated sections 19 through 23, following sec. 15, to read as follows:

    “Sec. 19. 1.  Each week, a common motor carrier or contract motor carrier authorized to operate a taxicab, traditional limousine, livery limousine or bus shall perform a preventative maintenance and safety inspection as recommended by the maintenance specifications of the manufacturer of the vehicle.

    2.  Any person, including, without limitation, a safety inspector, service maintenance person, supervisor, manager, owner or driver, who operates a motor vehicle for a common motor carrier or contract motor carrier engaged in passenger or light express service shall:

    (a) Report and notify the owner or manager of the common or contract carrier of a safety defect or unsafe condition in a vehicle as soon as possible after becoming aware of the defect or condition; and

    (b) Return the vehicle to the maintenance facility for repair as soon as possible after becoming aware of the defect or condition.

A common motor carrier or contract motor carrier that receives notice of a defect or unsafe condition pursuant to this subsection shall not allow the vehicle to be returned to service until the defect or condition has been repaired.

    Sec. 20. Sections 21, 22 and 23 of this act only apply in a county whose population is 400,000 or more.

    Sec. 21. The authority may:

    1.  Determine the circumstances that require a temporary increase in the number of traditional limousines or livery limousines that are operated by each fully regulated carrier of passengers which operates such vehicles pursuant to section 22 of this act; and

    2.  Allocate a temporary increase in the number of traditional limousines and livery limousines pursuant to section 23 of this act when the circumstances require the increase.

    Sec. 22. 1.  In determining a system of allocation for traditional limousines and livery limousines, or a change in the existing allocation of traditional limousines and livery limousines, the authority shall consider separately the interests, welfare, convenience, necessity and well-being of the customers of taxicab motor carriers and of other fully regulated carriers of passengers. The authority may also consider additional factors, including, without limitation:

    (a) The increase in population during the year immediately preceding the date of consideration of counties whose population is 400,000 or more.

    (b) The increase in the volume of passengers during the year immediately preceding the date of consideration at airports in counties whose population is 400,000 or more.

    (c) The increase in the number of occupied hotel and motel rooms during the year immediately preceding the date of consideration in counties whose population is 400,000 or more.

    (d) The increase in the number of customers using the services of traditional limousines and livery limousines during the year immediately preceding the date of consideration in counties whose population is 400,000 or more.

    2.  If circumstances require an increase in existing allocations, the authority shall allocate the vehicles equally among the fully regulated carriers of passengers who apply for an allocation and who are in the area affected by the allocation.

    3.  Unless a fully regulated carrier of passengers puts additionally allocated traditional limousines or livery limousines into service within 90 days after the effective date of an increased allocation, the increased allocation to that carrier is void.

    4.  The authority may attach to the exercise of the rights granted by an allocation any terms and conditions which, in its judgment, the public interest may require. The authority shall determine from evidence gathered at a hearing which arrangements for capitalization or other security or assets must remain in place and which principals and managers of the applicant must continue to be active in those capacities to provide the fitness and ability required for continued operation under the certificate of public convenience and necessity issued to the fully regulated carrier of passengers.

    5.  Each year, the authority shall review any existing allocation of traditional limousines and livery limousines to determine whether the allocation is appropriate pursuant to subsection 1.

    6.  After considering all information relevant to the operation of traditional limousines and livery limousines in a county whose population is 400,000 or more, the authority shall adopt regulations relating to the number of such vehicles that will be allocated.

    Sec. 23. 1.  In determining whether circumstances require a temporary increase in the number of traditional limousines and livery limousines allocated pursuant to section 22 of this act, the authority shall consider separately the interests, welfare, convenience, necessity and well-being of the customers of taxicab motor carriers and of other fully regulated carriers of passengers.

    2.  If circumstances require a temporary increase in the number of vehicles allocated pursuant to section 22 of this act, the authority shall allocate the temporary increase equally among the fully regulated carriers of passengers who apply for an allocation and who are in the area affected by the allocation.

    3.  The authority shall determine:

    (a) The number of additional vehicles to be allocated; and

    (b) The duration of the temporary allocations, which may not exceed 15 days.

    4.  The authority may adopt regulations governing temporary increases in the allocation of vehicles pursuant to this section.”.

    Amend sec. 16, page 6, line 40, by deleting “15,” and inserting “23,”.

    Amend sec. 16, page 6, line 42, by deleting: “2 and 3” and inserting: “2 to 6, inclusive,”.

    Amend the bill as a whole by  renumbering sec. 17 as sec. 28 and adding new sections designated sections 25 through 27, following sec. 16, to read as follows:

    “Sec. 25. NRS 706.101 is hereby amended to read as follows:

    706.101  “Operator” means a person, other than a lienholder, having a property interest in or title to a vehicle. Except as otherwise provided in this section, the term includes a person entitled to the use and possession of a vehicle under a lease or contract for the purpose of transporting persons or property. The term does not include a person who is the lessee of a taxicab or limousine pursuant to NRS 706.473.

    Sec. 26.  NRS 706.168 is hereby amended to read as follows:

    706.168  1.  The authority of the transportation services authority to supervise and regulate [motor] carriers , drivers and brokers respectively, to the extent provided in this chapter, must be exercised separately. A [motor] carrier is responsible only for his own acts and [those of his employees or agents who are not brokers.] the acts of the driver or broker that were directed or allowed by the carrier. A broker is responsible only for his own acts and [those] the acts of his [employees or agents who are not motor carriers.]employee or agent that were directed or allowed by the broker.

    2.  The provisions of this section do not relieve a carrier from any obligation under its certificate of public convenience and necessity or from its duty to comply with this chapter and the regulations adopted pursuant to this chapter.

    Sec. 27. NRS 706.171 is hereby amended to read as follows:

    706.171  1.  The authority and the department may:

    (a) Make necessary and reasonable regulations governing the administration and enforcement of the provisions of this chapter for which they are each responsible.

    (b) Adopt by reference any appropriate rule or regulation, as it exists at the time of adoption, issued by the United States Department of Transportation, the Surface Transportation Board, any other agency of the Federal Government, or the National Association of Regulatory Utility Commissioners.

    (c) Require such reports and the maintenance of such records as they determine to be necessary for the administration and enforcement of this chapter.

    (d) Except as otherwise provided in this section, examine, at any time during the business hours of the day, the books, papers and records of any fully regulated carrier, and of any other common, contract or private motor carrier doing business in this state to the extent necessary for their respective duties. The authority and the department may examine in other states or require by subpoena the production inside this state of such books, papers and records as are not maintained in this state.

    (e) Temporarily waive any requirement for a certificate or permit when an emergency exists as defined in NRS 706.561.

    2.  No personnel records of an employee of a fully regulated carrier, or of any other common, contract or private motor carrier may be examined pursuant to paragraph (d) of subsection 1 unless the records contain information relating to a matter of public safety or the authority and the department determine that the examination is required to protect the interests of the public.

    3.  The department may adopt regulations to ensure the payment of any fee due or authorized pursuant to the provisions of this chapter.

    4.  If the authority or the department adopts regulations which refer or relate to a bus, the term bus as used in those regulations has the meaning ascribed to it in section 2 of this act.

    5.  As used in this section, “personnel records” does not include:

    (a) The name of the employee who is the subject of the record;

    (b) The gross compensation and perquisites of the employee;

    (c) Any record of the business expenses of the employee;

    (d) The title or any description of the position held by the employee;

    (e) The qualifications required for the position held by the employee;

    (f) The business address of the employee;

    (g) The telephone number of the employee at his place of business;

    (h) The work schedule of the employee;

    (i) The date on which the employee began his employment; and

    (j) If applicable, the date on which the employment of the employee was terminated.”.

    Amend sec. 17, page 7, lines 3, 8 and 10, by deleting “15,” and inserting “23,”.

    Amend the bill as a whole by renumbering sec. 18 as sec. 31 and adding new sections designated sections 29 and 30, following sec. 17, to read as follows:

    “Sec. 29. NRS 706.361 is hereby amended to read as follows:

    706.361  1.  A person with a disability is entitled to the full and equal enjoyment of the facilities of any common motor carrier of passengers, contract motor carrier of passengers or other entity providing a means of public conveyance and transportation operating within this state.

    2.  A common motor carrier of passengers, a contract motor carrier of passengers and other entities providing means of public conveyance and transportation shall designate a person responsible for ensuring that the carrier complies with the applicable provisions of the Americans with Disabilities Act of 1990, 42 U.S.C. §§ 12101 to 12213, inclusive, and 47 U.S.C. §§ 225 and 611, and the regulations adopted pursuant to that act.

    3.  The person designated pursuant to subsection 2 shall conduct training sessions for the employees of the carrier or entity. Each employee must be provided at least 3 hours of training during one or more training sessions. During the training sessions, the designee shall:

    (a) Describe the carrier’s plan for compliance with the Americans with Disabilities Act of 1990 and the regulations adopted pursuant to that act;

    (b) Explain the obligations of the employees to assist a person with a disability to store a mobility device;

    (c) Explain the illegality of charging an additional fee or a higher fare to a person with a disability; and

    (d) Ensure that each employee is trained in accordance with the requirements of 49 C.F.R. § 37.173.

    4.  It is unlawful for any person to deny any of the privileges granted by subsection 1.

    5.  It is unlawful for any driver of a common motor carrier, or for a contract motor carrier, common motor carrier or other entity providing a means of public conveyance or transportation operating within this state, to:

    (a) Deny the equal enjoyment of its services and facilities to a person with a disability by the arbitrary, capricious or unreasonable interference, direct or indirect, with the use of aids and appliances used by a person with a disability;

    (b) Fail to designate a person pursuant to subsection 2; or

    (c) Fail to conduct the training sessions in the manner described in subsection 3.

    6.  As used in this section, “disability” has the meaning ascribed to it in 49 C.F.R. § 37.3.

    Sec. 30. NRS 706.366 is hereby amended to read as follows:

    706.366  1.  It is unlawful for a driver of a common motor carrier of passengers , or for a common motor carrier, contract motor carrier or other means of public conveyance or transportation operating in this state , to:

    (a) Refuse service to a visually, aurally or physically handicapped person because he is accompanied by a guide dog, hearing dog, helping dog or other service animal;

    (b) Refuse service to a person who is training a guide dog, hearing dog, helping dog or other service animal because he is accompanied by such an animal; or

    (c) Charge an additional fee for such an animal.

    2.  This section does not relieve a visually, aurally or physically handicapped person or a person who trains a guide dog, hearing dog, helping dog or other service animal from liability for damage which may be caused by his animal.

    3.  Visually, aurally or physically handicapped persons accompanied by guide dogs, hearing dogs, helping dogs or other service animals are subject to the same conditions and limitations that apply to persons who are not so handicapped and accompanied.

    4.  For the purposes of this section, the terms “guide dog,” “hearing dog,” “helping dog” and “service animal” have the meanings ascribed to them respectively in NRS 426.075, 426.081, 426.083 and 426.097.”.

    Amend the bill as a whole by renumbering sec. 19 as sec. 33 and adding a new section, designated sec. 32, following sec. 18, to read as follows:

    “Sec. 32. NRS 706.391 is hereby amended to read as follows:

    706.391  1.  Upon thefiling of an application for a certificate of public convenience and necessity to operate as a motor carrier other than an operator of a tow car [,] and the payment of a nonrefundable application fee of $200, the authority shall fix a time and place for hearing [thereon.] on the application.

    2.  The authority shall issue [such] a certificate of public convenience and necessity to a person who submits an application and application fee pursuant to subsection 1, if it finds that:

    (a) The applicant is fit, willing and able to perform the services of a common motor carrier;

    (b) The proposed operation will be consistent with the legislative policies set forth in NRS 706.151;

    (c) The granting of the certificate will not unreasonably and adversely affect other carriers operating in the territory for which the certificate is sought; and

    (d) The proposed service will benefit the traveling and shipping public and the motor carrier business in this state.

    3.  The authority shall not find that the potential creation of competition in a territory which may be caused by the granting of a certificate, by itself, will unreasonably and adversely affect other carriers operating in the territory for the purposes of paragraph (c) of subsection 2.

    4.  An applicant for such a certificate [has] :

    (a) Has the burden of proving to the authority that the proposed operation will meet the requirements of subsection 2 [.] ; and

    (b) Must pay the amounts billed to him by the authority for reasonable costs incurred by it in conducting an investigation or hearing regarding the applicant.

    5.  The authority may issue a certificate of public convenience and necessity to operate as a common motor carrier, or issue it for:

    (a) The exercise of the privilege sought.

    (b) The partial exercise of the privilege sought.

    6.  The authority may attach to the certificate such terms and conditions as, in its judgment, the public interest may require.

    7.  The authority may dispense with the hearing on the application if, upon the expiration of the time fixed in the notice thereof, no petition to intervene has been filed on behalf of any person who has filed a protest against the granting of the certificate.”.

    Amend the bill as a whole by renumbering sections 20 and 21 as sections 35 and 36 and adding a new section designated sec. 34, following sec. 19, to read as follows:

    “Sec. 34. NRS 706.473 is hereby amended to read as follows:

    706.473  1.  In a county whose population is less than 400,000, a person who holds a certificate of public convenience and necessity which was issued for the operation of a taxicab business may, upon approval from the authority, lease a taxicab to an independent contractor who does not hold a certificate of public convenience and necessity. A person [may lease only one taxicab to each independent contractor with whom he enters into a lease agreement.] who holds a certificate of public convenience and necessity shall not lease more than one vehicle to each lessee. The taxicab may be used only in a manner authorized by the lessor’s certificate of public convenience and necessity [.] and must not be used to convey passengers or light express without compensation therefor.

    2.  A person who enters into a lease agreement with an independent contractor pursuant to this section shall submit a copy of the agreement to the authority for its approval. The agreement is not effective until approved by the authority. The authority shall review an agreement submitted to it and shall not approve an agreement unless the agreement contains all information that is required to be included in such an agreement.

    3.  A person who leases a taxicab to an independent contractor is jointly and severally [liable] responsible with the independent contractor for any violation of the provisions of this chapter or the regulations adopted pursuant thereto, and shall ensure that the independent contractor complies with such provisions and regulations.

    4.  [The authority or any of its employees may intervene in a civil action involving a lease agreement entered into pursuant to this section.] Each person who holds a certificate of public convenience and necessity and who enters into a lease agreement pursuant to this section shall make each such lease agreement available for public inspection at an office in this state at which the person operates vehicles pursuant to the certificate.”.

    Amend sec. 21, page 8, lines 37, 40, 42 and 45, by deleting “15,” and inserting “23,”.

    Amend sec. 21, page 9, lines 6 and 30, by deleting “15,” and inserting “23,”.

    Amend sec. 21, page 10, line 9, by deleting “15,” and inserting “23,”.

    Amend the bill as a whole by renumbering sections 22 and 23 as sections 38 and 39 and adding a new section designated sec. 37, following sec. 21, to read as follows:

    “Sec. 37. 1.  On or before July 1, 2002, in each county whose population is 400,000 or more, the transportation services authority shall adopt the regulations required pursuant to subsection 6 of section 22 of this act after considering all information that is relevant to traditional limousines and livery limousines and without considering conditions relating to taxicab motor carriers.

    2.  A fully regulated carrier of passengers shall not, before the effective date of those regulations, increase the number of traditional limousines or livery limousines that it operates in a county whose population is 400,000 or more.

    3.  As used in this section:

    (a) “Fully regulated carrier of passengers” has the meaning ascribed to it in section 4 of this act.

    (b) “Livery limousine” has the meaning ascribed to it in section 5 of this act.

    (c) “Taxicab motor carrier” has the meaning ascribed to it in NRS 706.126.

    (d) “Traditional limousine” has the meaning ascribed to it in section 6 of this act.”.

    Amend sec. 23, page 10, line 15, by deleting “6 and 7” and inserting “9 and 10”.

    Amend the title of the bill, sixth line, after “authority;” by inserting: “requiring certain actions with regard to defects and unsafe conditions in vehicles; requiring the transportation services authority to establish a system of allocation for limousines; providing that certain acts of drivers of fully regulated carriers of passengers are unlawful; temporarily prohibiting an increase in the number of limousines that may be operated in certain counties;”.

    Senator O'Donnell moved the adoption of the amendment.

    Remarks by Senator O'Donnell.

    Conflict of interest declared by Senator Care.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 291.

    Bill read second time.

    The following amendment was proposed by the Committee on Human Resources and Facilities:

    Amendment No. 545.

    Amend sec. 6, page 3, by deleting lines 6 through 18.

    Amend sec. 6, page 3, line 19, by deleting “2.” and inserting:

    “Sec. 6. 1.”.

    Amend sec. 6, page 3, line 21, by deleting “3” and inserting “2”.

    Amend sec. 6, page 3, line 30, by deleting “3.” and inserting “2.”.

    Amend sec. 6, page 3, by deleting lines 32 through 35.

    Amend sec. 6, page 3, line 36, by deleting “(b)” and inserting “(a)”.

    Amend sec. 6, page 3, line 38, by deleting “2;” and inserting “1;”.

    Amend sec. 6, page 3, line 39, by deleting “(c)” and inserting “(b)”.

    Amend sec. 6, page 3, line 44, by deleting “4.” and inserting “3.”.

    Amend the title of the bill by deleting the first through fifth lines and inserting:

    “AN ACT relating to schools; requiring certain administrators of public schools that do not have school police officers and of private schools to report certain violent or sexual offenses that are committed on school property, on school buses or at school activities to the appropriate local law enforcement agency;”.

    Senator Rawson moved the adoption of the amendment.

    Remarks by Senators Rawson, Coffin and Wiener.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 372.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:

    Amendment No. 618.

    Amend the bill as a whole by deleting sections 1 through 4 and adding new sections designated sections 1 through 17 and the text of the repealed section, following the enacting clause, to read as follows:

    “Section 1. NRS 703.147 is hereby amended to read as follows:

    703.147  1.  The public utilities commission regulatory fund is hereby created as a special revenue fund. [All] Except as otherwise provided in section 12 of this act, all money collected by the commission pursuant to law must be deposited in the state treasury for credit to the fund. Money collected for the use of the consumer’s advocate of the bureau of consumer protection in the office of the attorney general must be transferred pursuant to the provisions of subsection 8 of NRS 704.035.

    2.  Money in the fund which belongs to the commission may be used only to defray the costs of:

    (a) Maintaining staff and equipment to regulate adequately public utilities and other persons subject to the jurisdiction of the commission.

    (b) Participating in all rate cases involving those persons.

    (c) Audits, inspections, investigations, publication of notices, reports and retaining consultants connected with that regulation and participation.

    (d) The salaries, travel expenses and subsistence allowances of the members of the commission.

    3.  All claims against the fund must be paid as other claims against the state are paid.

    4.  The commission must furnish upon request a statement showing the balance remaining in the fund as of the close of the preceding fiscal year.

    Sec. 2. Chapter 704 of NRS is hereby amended by adding thereto the provisions set forth as sections 3 to 12, inclusive, of this act.

    Sec. 3. As used in sections 3 to 12, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 4 to 9, inclusive, of this act have the meanings ascribed to them in those sections.

    Sec. 4. “Biomass” means any organic matter that is available on a renewable basis, including, without limitation:

    1.  Agricultural crops and agricultural wastes and residues;

    2.  Wood and wood wastes and residues;

    3.  Animal wastes;

    4.  Municipal wastes; and

    5.  Aquatic plants.

    Sec. 5. “Portfolio standard” means a portfolio standard for renewable energy established by the commission pursuant to section 10 of this act.

    Sec. 6. 1.  “Provider of electric service” and “provider” mean any person or entity that is in the business of selling electricity to retail customers in this state, regardless of whether the person or entity is otherwise subject to regulation by the commission.

    2.  The term does not include:

    (a) This state or an agency or instrumentality of this state.

    (b) A rural electric cooperative established pursuant to chapter 81 of NRS.

    (c) A general improvement district established pursuant to chapter 318 of NRS.

    (d) A utility established pursuant to chapter 709 or 710 of NRS.

    (e) A cooperative association, nonprofit corporation, nonprofit association or provider of electric service which is declared to be a public utility pursuant to NRS 704.673 and which provides service only to its members.

    (f) A landlord of a mobile home park or owner of a company town who is subject to any of the provisions of NRS 704.905 to 704.960, inclusive.

    Sec. 7. 1.  “Renewable energy” means:

    (a) Biomass;

    (b) Geothermal energy;

    (c) Solar energy; and

    (d) Wind.

    2.  The term does not include coal, natural gas, oil, propane or any other fossil fuel, or nuclear energy.

    Sec. 8. “Renewable energy system” means:

    1.  A facility or energy system that:

    (a) Uses renewable energy to generate electricity;

    (b) Was installed and commenced operations after January 1, 1997; and

    (c) Transmits or distributes the electricity that it generates from renewable energy via:

        (1) A power line which is dedicated to the transmission or distribution of electricity generated from renewable energy and which is connected to a facility or system owned, operated or controlled by a provider of electric service; or

        (2) A power line which is shared with not more than one facility or energy system generating electricity from nonrenewable energy and which is connected to a facility or system owned, operated or controlled by a provider of electric service.

    2.  A solar thermal energy system which reduces the consumption of electricity and which was installed and commenced operations after January 1, 1997.

    Sec. 9. 1.  “Retail customer” means a customer who purchases electricity at retail.

    2.  The term includes, without limitation:

    (a) This state, a political subdivision of this state or an agency or instrumentality of this state or political subdivision of this state when it purchases electricity at retail; and

    (b) A landlord of a mobile home park or owner of a company town who is subject to any of the provisions of NRS 704.905 to 704.960, inclusive.

    Sec. 10. 1.  For each provider of electric service, the commission shall establish a portfolio standard for renewable energy. The portfolio standard must require each provider to generate or acquire electricity from renewable energy systems in an amount that is:

    (a) For calendar years 2003 and 2004, not less than 5 percent of the total amount of electricity sold by the provider to its retail customers in this state during that calendar year.

    (b) For calendar years 2005 and 2006, not less than 7 percent of the total amount of electricity sold by the provider to its retail customers in this state during that calendar year.

    (c) For calendar years 2007 and 2008, not less than 9 percent of the total amount of electricity sold by the provider to its retail customers in this state during that calendar year.

    (d) For calendar years 2009 and 2010, not less than 11 percent of the total amount of electricity sold by the provider to its retail customers in this state during that calendar year.

    (e) For calendar years 2011 and 2012, not less than 13 percent of the total amount of electricity sold by the provider to its retail customers in this state during that calendar year.

    (f) For calendar year 2013 and for each calendar year thereafter, not less than 15 percent of the total amount of electricity sold by the provider to its retail customers in this state during that calendar year.

    2.  In addition to the requirements set forth in subsection 1, the portfolio standard for each provider must require that:

    (a) Of the total amount of electricity that the provider is required to generate or acquire from renewable energy systems during each calendar year, not less than 10 percent of that amount must be generated or acquired from solar renewable energy systems.

    (b) If the provider acquires electricity from a renewable energy system pursuant to a contract with another party, the term of the contract must be not less than 10 years, unless the other party agrees to a contract with a shorter term. If the provider is a public utility and the commission approves the contract between the provider and the other party, the contract shall be deemed to be a prudent investment and the provider may recover all just and reasonable costs associated with the contract.

    3.  If, for the benefit of one or more of its retail customers in this state, the provider has subsidized, in whole or in part, the acquisition or installation of a solar thermal energy system which qualifies as a renewable energy system and which reduces the consumption of electricity, the total reduction in the consumption of electricity during each calendar year that results from the solar thermal energy system shall be deemed to be electricity that the provider generated or acquired from a renewable energy system for the purposes of complying with its portfolio standard.

    4.  The commission may adopt regulations that establish a system of renewable energy credits that may be used by a provider to comply with its portfolio standard.

    5.  Except as otherwise provided in subsection 6, each provider shall comply with its portfolio standard during each calendar year.

    6.  If, during any calendar year, a provider is unable to comply with its portfolio standard through the generation of electricity from its own renewable energy systems or, if applicable, through the use of renewable energy credits, the provider shall take actions to acquire electricity from renewable energy systems owned, operated or controlled by other parties. If the commission determines that there is not or will not be a sufficient supply of electricity from such renewable energy systems made available to the provider during a calendar year, the commission shall exempt the provider, for that calendar year, from the remaining requirements of its portfolio standard or from any appropriate portion thereof, as determined by the commission.

    Sec. 11. 1.  Each provider of electric service shall submit to the commission an annual report that provides information relating to the actions taken by the provider to comply with its portfolio standard.

    2.  Each provider shall submit the annual report to the commission after the end of each calendar year and within the time prescribed by the commission. The report must be submitted in a format approved by the commission.

    3.  The commission may adopt regulations that require providers to submit to the commission additional reports during each calendar year.

    4.  Each annual report and each additional report must include clear and concise information that sets forth:

    (a) The amount of electricity which the provider generated or acquired from renewable energy systems during the reporting period and, if applicable, the amount of renewable energy credits that the provider acquired, sold or traded during the reporting period to comply with its portfolio standard;

    (b) The capacity of each renewable energy system owned, operated or controlled by the provider, the total amount of electricity generated by each such system during the reporting period and the percentage of that total amount which was generated directly from renewable energy;

    (c) Whether, during the reporting period, the provider began construction on, acquired or placed into operation any renewable energy system and, if so, the date of any such event; and

    (d) Any other information that the commission by regulation may deem relevant.

    Sec. 12. 1.  The commission shall adopt regulations to carry out and enforce the provisions of sections 3 to 12, inclusive, of this act. The regulations adopted by the commission may include any enforcement mechanisms which are necessary and reasonable to ensure that each provider of electric service complies with its portfolio standard. Such enforcement mechanisms may include, without limitation, the imposition of administrative fines.

    2.  If a provider does not comply with its portfolio standard for any calendar year and the commission has not exempted the provider from the requirements of its portfolio standard pursuant to section 10 of this act, the commission may impose an administrative fine against the provider or take other administrative action against the provider, or do both.

    3.  The commission may impose an administrative fine against a provider based upon:

    (a) Each kilowatt-hour of electricity that the provider does not generate or acquire from a renewable energy system or a solar renewable energy system during a calendar year in violation of its portfolio standard; or

    (b) Any other reasonable formula adopted by the commission.

    4.  In the aggregate, the administrative fines imposed against a provider for all violations of its portfolio standard for a single calendar year must not exceed the amount which is necessary and reasonable to ensure that the provider complies with its portfolio standard, as determined by the commission.

    5.  If the commission imposes an administrative fine against a provider that is a public utility:

    (a) The administrative fine is not a cost of service of the provider;

    (b) The provider shall not include any portion of the administrative fine in any application for a rate adjustment or rate increase; and

    (c) The commission shall not allow the provider to recover any of portion of the administrative fine from its retail customers.

    6.  All administrative fines imposed and collected pursuant to this section must be deposited in the state general fund.

    Sec. 13. NRS 704.743 is hereby amended to read as follows:

    704.743  1.  A utility which supplies electricity in this state may apply to the commission for authority to charge, as part of a program of optional pricing, a higher rate for electricity that is [derived] generated from renewable energy . [resources.]

    2.  The program [must] may provide the customers of the utility with the option of paying a higher rate for electricity to support the increased use by the utility of renewable energy [resources] in the [production] generation of electricity.

    3.  As used in this section [, “renewable energy resources” means resources from which electricity is produced, but which are not consumed or combusted and are] :

    (a) “Biomass” has the meaning ascribed to it in section 4 of this act.

    (b) “Renewable energy” means a source of energy that occurs naturally or is regenerated, naturally, including, without limitation:

    [(a)] (1) Wind;

    [(b)] (2) Solar energy; [and

    (c)] (3) Geothermal energy [.] ; and

        (4) Biomass.

The term does not include coal, natural gas, oil, propane or any other fossil fuel, or nuclear energy.

    Sec. 14.  Chapter 278 of NRS is hereby amended by adding thereto a new section to read as follows:

    In each county whose population is 100,000 or more:

    1.  If the governing body of the county or any city in the county has adopted a building code, each such governing body shall, as part of its building code, adopt construction codes and energy codes that regulate:

    (a) The design of energy efficient residential, commercial and industrial structures; and

    (b) The installation of energy efficient mechanical, lighting and power systems in such structures.

    2.  If the governing body of the county or any city in the county has not adopted a building code, each such governing body shall:

    (a) By ordinance, adopt the codes described in subsection 1; and

    (b) Provide for the enforcement of such codes by the officers or employees of the county or city or by the officers or employees of another local government pursuant to an interlocal agreement.

    3.  The codes described in subsection 1 must:

    (a) Be adopted and become effective not later than January 1, 2002; and

    (b) Be applied to each new residential, commercial and industrial structure on which construction begins on or after the date on which the codes become effective.

    Sec. 15. NRS 278.010 is hereby amended to read as follows:

    278.010  As used in NRS 278.010 to 278.630, inclusive, and section 14 of this act, unless the context otherwise requires, the words and terms defined in NRS 278.0105 to 278.0195, inclusive, have the meanings ascribed to them in those sections.

    Sec. 16. NRS 704.989 is hereby repealed.

    Sec. 17. This act becomes effective upon passage and approval.

TEXT OF REPEALED SECTION

    704.989  Renewable energy resources: Portfolio standards; report; exceptions.

    1.  The commission shall establish portfolio standards for domestic energy that set forth the minimum percentage of the total amount of electricity sold by an electric utility to its retail customers in this state during each calendar year that must be derived from renewable energy resources. The portfolio standards must:

    (a) On January 1, 2001, be set at two-tenths of 1 percent of the total amount of electricity sold by the electric utility to its retail customers in this state during the immediately preceding calendar year.

    (b) On January 1 of each successive odd-numbered year, be increased by two-tenths of 1 percent of the total amount of electricity sold by the electric utility to its retail customers in this state during the immediately preceding calendar year until the portfolio standards reach a total of 1 percent of the total amount of electricity sold by the electric utility to its retail customers in this state during the immediately preceding calendar year.

    (c) Be derived from not less than 50 percent renewable energy resources.

    (d) Be derived from not less than 50 percent solar renewable energy systems.

    (e) Be based on renewable energy credits, if applicable.

    2.  Each electric utility shall comply with the portfolio standards established by the commission pursuant to this section. At the end of each calendar year, each electric utility shall submit a report, in a format approved by the commission, of the quantity of renewable energy and credits, if applicable, that the electric utility generated, purchased, sold and traded to meet the portfolio standards.

    3.  In establishing the portfolio standards pursuant to this section, the commission may establish a system of credits pursuant to which an electric utility may comply with the provisions of this section. A system of credits must provide that:

    (a) Credits are issued for renewable energy resources for each kilowatt hour of energy which it produces; and

    (b) Holders of credits may trade or sell the credits to other parties.

    4.  For the purposes of this section, if, on January 1, 1997, at least 9 percent of the total amount of electricity sold by an electric utility to its retail customers in this state during the immediately preceding calendar year was derived from renewable energy resources, the electric utility shall be deemed to be in compliance until January 1, 2005, with the portfolio standards established by the commission pursuant to this section. Between January 1, 2005, and December 31, 2009, such an electric utility shall have one-half of 1 percent of the total amount of electricity sold to its retail customers in this state, increased in annual increments of one-tenth of 1 percent during each calendar year of that period, derived from solar energy resources for full compliance with the portfolio standards established by the commission pursuant to this section.

    5.  In addition to the report required by subsection 2, each electric utility shall submit a report, in a format approved by the commission, that provides information relating to the compliance by the electric utility with the requirements of this section. Such reports must be made at least annually, unless the commission by regulation determines that such reports must be made more frequently than annually, and must include clear and concise information that sets forth:

    (a) If the electric utility installed a renewable energy system during the period for which the report is being made, the date of installation;

    (b) The capacity of renewable energy systems of the electric utility;

    (c) The amount of production of energy from the renewable energy systems;

    (d) The portion of the production of energy that is directly derived from renewable energy resources;

    (e) The quantity of energy from renewable energy systems that is transmitted or distributed, or both, to retail customers in this state by the electric utility; and

    (f) Such other information that the commission by regulation may deem relevant.

    6.  The provisions of this section do not apply to:

    (a) Rural electric cooperatives established pursuant to chapter 81 of NRS;

    (b) General improvement districts established pursuant to chapter 318 of NRS; or

    (c) Utilities established pursuant to chapter 709 or 710 of NRS.

    7.  As used in this section:

    (a) “Electric utility” has the meaning ascribed to it in section 19 of this act.

    (b) “Renewable energy resources” means wind, solar, geothermal and biomass energy resources that are naturally regenerated.

    (c) “Renewable energy system” means an energy system that utilizes renewable energy resources to produce electricity or solar thermal energy systems that reduce the consumption of electricity that was installed and commenced operations after July 1, 1997.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to energy; revising and clarifying provisions requiring certain providers of electric service to comply with a portfolio standard for renewable energy; authorizing the public utilities commission of Nevada to impose administrative fines against noncomplying providers under certain circumstances and to take other administrative actions to ensure compliance with the portfolio standard; requiring the governing bodies of certain counties and cities to adopt certain codes concerning energy efficiency; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Revises provisions concerning conservation of energy and use of renewable energy. (BDR 58‑287)”.

    Senator Townsend moved the adoption of the amendment.

    Remarks by Senator Townsend.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

MOTIONS, RESOLUTIONS AND NOTICES

    Senator Townsend moved that Senate Bill No. 394 be placed at the top of the Second Reading File on the third agenda.

    Remarks by Senator Townsend.

    Motion carried.

SECOND READING AND AMENDMENT

    Senate Bill No. 411.

    Bill read second time.

    The following amendment was proposed by the Committee on Judiciary:

    Amendment No. 451.

    Amend sec. 4, page 1, by deleting lines 8 through 11 and inserting:

    “Sec. 4. “Information concerning a substantial public hazard” means any information concerning a substantial public hazard that may be useful to members of the public in protecting themselves from substantial bodily injury or death which may result from the substantial public hazard.”.

    Amend sec. 6, page 2, by deleting lines 1 through 3 and inserting:

    “Sec. 6. “Substantial public hazard” means any instrumentality, device, procedure, product or condition of any instrumentality, device, procedure or product that has caused or is likely to cause substantial bodily injury or death.”.

    Amend sec. 7, page 2, line 7, before “public” by inserting “substantial”.

    Amend sec. 7, page 2, line 8, before “public” by inserting “substantial”.

    Amend sec. 7, page 2, by deleting line 10 and inserting: “effect of concealing a substantial public hazard or information concerning a substantial public”.

    Amend sec. 8, page 2, by deleting lines 12 through 28 and inserting:

    “Sec. 8. 1.  Any person has standing to contest an order or a judgment that allegedly has the purpose or effect of concealing a substantial public hazard or information concerning a substantial public hazard by filing a motion in the court which entered the order or judgment.

    2.  Any person has standing to contest an agreement or a contract that allegedly has the purpose or effect of concealing a substantial public hazard or information concerning a substantial public hazard by bringing an action for declaratory judgment pursuant to chapter 30 of NRS.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to confidentiality; prohibiting a court from entering an order or judgment that has the purpose or effect of concealing a substantial public hazard or information concerning a substantial public hazard; providing that any portion of an agreement or a contract that has the purpose or effect of concealing a substantial public hazard or information concerning a substantial public hazard is void; providing that if the labor commissioner enters into, effects or approves any compromise or settlement concerning an alleged violation of labor laws, the terms and conditions of the compromise or settlement are not confidential; and providing other matters properly relating thereto.”.

    Senator James moved the adoption of the amendment.

    Remarks by Senators James, O'Donnell and Amodei.

    Conflict of interest declared by Senator Raggio.

    Senator James requested that the following remarks be entered in the Journal.

    Senator James:

    Yes, thank you, Madam President. This bill enacts an important requirement in the law that certain settlements that affect the public interest, may not be concealed from the public by virtue of an agreement that is sanctioned by a court that would prevent this information from becoming public. The amendment restricts the bill to those kinds of cases and agreements that would have the tendency to conceal what is defined in the amendment as a substantial public hazard. Instead of just being any public hazard, which could be any small case, a slip and fall, any kind of an auto accident or malpractice case, or any one of the ad hoc kinds of cases, this concerns itself with an instrumentality, device, procedure, product or condition of any of those things that is likely to cause substantial bodily injury or death.

    We heard a lot of testimony on this bill. We did receive some opposition to the bill as it was originally drafted. But, we also considered, carefully, cases like the Firestone case, the Johns Manville case which involves asbestos litigation, the Xerox case that involved contamination and pollution of a residential area, the Corvair case of General Motors, breast implant litigation, birth control litigation, diet pill litigation. All of these things initially involved cases brought by one or two or just a few individuals, settled, set aside, sealed. Then over a period of months and then years following that, there have been a number of cases that have come up in which the public, had it been warned, would have known about that. I want to assure the body that the amendment applies the bill only to those kinds of cases.

    It will be up to the judgment of a court in considering this in one of two circumstances; either the circumstance in which the parties seek to have the judge enter an order sealing the records of the court and the case, or in a subsequent case filed by an interested party, and the bill makes any interested party able to do this, not just the media, seeking to open up a case which has been sealed under some other circumstance. The judge then makes a determination whether this is a case that is affected by the public interest, that it does, in fact, conceal a substantial public hazard. In those circumstances then, the court requires that to be an open record.

    This doesn’t apply to the run of the mill, small businesses. It doesn’t apply to the run of the mill, personal injury case that’s confronted by a small business. The amendment doesn’t apply to a person. It only applies to a product or a thing, an inanimate object. It wouldn’t apply to a doctor. It would not turn a doctor into a public hazard. That kind of thing would be dealt with separately. It was nice to hear on the floor the discussion about the fact that these disciplinary things will be public because that will be dealt with under a separate area.

    This is where you have a device or a product that is in the stream of commerce and it is running through the stream of commerce. It is available for people to buy, purchase, use or be exposed to if it is being put in building materials like asbestos. It lets people know this is happening. In each one of these cases that I have cited, Madam President and members of the Senate, there was, in fact, an initial case that was brought to the attention, either in litigation or otherwise through a claim to the manufacturer or the person who put the product out, and that then was set aside, and it was not disclosed.

    In some of the more egregious cases like the case involving the tanks that were put into the General Motors trucks, there was a memo sent around the company indicating that this was a problem. The tanks are exploding, and they represent a hazard to the passengers. However, we believe, and this is paraphrasing from the memo, that the cost of settling these cases as wrongful death cases would be outweighed by the costs of recalling all of these trucks and repairing the problem so we don’t have the accidents. Those kinds of egregious circumstances would be averted by having the watchful eye of the public and the media available to scrutinize these types of agreements that would tend to conceal or to secret from the public these substantial public hazards and are known to exist and are exposed through litigation or claims.

    Senator O’Donnell:

    Thank you, Madam President. I have a concern because this issue came up about 10 years ago. In section 8, it says that any person has standing to contest an order or a judgment that allegedly has the purpose or effect of concealing a substantial public hazard. Does that mean that anybody, any attorney can challenge any concealment of records to substantiate that there was a substantial public hazard? And what would be the threshold in which the judge, and I assume it would be a judge, would go ahead and overturn that and open the record.

    Senator James:

    Thank you, Madam President. That’s a good question. It’s a welcomed question regarding this legislation. The answer to the first part of the question is yes. Any interested person, by that section, gains standing. Then the standard is set forth in sections 4 and 6, as amended on page 1 of the amendment. The question for the judge is whether or not the agreement has the effect of concealing a substantial public hazard. I know that you heard this bill 10 years ago, and we heard about that in the committee. In fact, the chairman of the committee at that time was the Minority Leader, and she was the sponsor of the bill, I believe. We have amended that bill, and we have restricted the definition to just a substantial public hazard. The inquiry for the court is: Is this truly a broadly distributed product? Is this a hazard because it is being put into building materials? Is this something that is going to affect a number of people in the world? That’s the inquiry.

    The third part of your question was when that would occur. It could occur at two times. If you are a litigant involved in one of these cases and seek as part of a settlement to seal the records, the judge won’t do that unless he’s convinced that there is not a substantial public hazard that’s going to be concealed in that record. The judge would have the inquiry there. If he/she decides that it is not and goes ahead and seals the records, then sometime down the road there would be standing if there were additional facts and circumstances which arise to change that determination. It might be brought before that judge or another judge in that jurisdiction in an independent action.

    Again, the same standard would apply.  What kind of evidence can be shown that this is truly a substantial public hazard? Is this effected with the public interest? I would point out that it is, by coincidence, similar to the discussion we had earlier today on the amendment regarding the professional associations as these are the people who are serving the public in these various professions. We heard the discussion between the Chairman of Commerce and myself. The idea, he said, of that committee has always been the notion that if you’re a professional serving the public and there is a violation of a disciplinary rule, the public is entitled to know because they are going to be using the services. Well, the same applies to a toy, IUD, breast implant, building material, tire, gas tank or motor. I could go on and on. The public has a right to know and not utilize the courts in a manner that the courts are, essentially, participating in the concealment of that public hazard. That is the reason for that language. That’s the reason for that procedure. It is a good and judicious procedure, and it is one that will protect the interest of the both the public and the litigants who truly don’t have a problem that is effected with the public interest.


    Senator Amodei:

    Thank you, Madam President. I know your committee has done a lot of work on arbitration, fast tracking in various court contexts, trying to reduce the litigation load and the procedure by which claims in civil context go to litigation. Was there any testimony as to what effect this, potentially, would have on that?

    Senator James:

    Yes, thank you, Madam President. I would share with the body that there was some substantial opposition to the bill. It was an interesting situation because, Madam President, if I could extend my remarks to say I requested this bill last legislative session to be put on the rolls for this legislative session. I indicated the Committee on Judiciary requested it on my discretion following the legislative session. We held a hearing on the bill and nobody came except for the supporters of the bill. There was no opposition. Then some opposition materialized so I held a second hearing. At that hearing, there was some substantial discussion.

    To the Senator from Carson City, some of that discussion was that this was going to increase litigation because people are not going to want to settle if their settlements have to be public. I tend not to believe that. I have been a trial lawyer and a litigator myself, on both sides of the issue, both representing defendants and plaintiffs in various types of cases, not personal injury cases or injury cases so to speak. But the notion that someone is not going to settle and that the only reason that they’re not going to settle is because the settlement has to become public, I don’t think always carries the day. It’s a factor to be weighed, but it’s far outweighed by the public policy that’s set forth in this legislation. I believe this is legislation that can be supported by business because good businesses, the ones that are not trying to conceal something that they put into the stream of commerce that can be hazardous are not concerned with this whatsoever. It is not going to happen to them. From the opposition we got in the committee, I think we addressed it with the amendment that’s proposed to you today.

    Senator O'Donnell:

    Thank you, Madam President. I have one more question. You mentioned breast implants and IUDs, and there are even medicines women can take that can cause damage and harm. Is there any protection for the woman who is to be deposed in terms of their lawsuit? Will that very personal information be disclosed in this amended bill? The second question to that would be, if there were a settlement, would the amount of the money be disclosed? And the individuals who received the settlement money, would that be disclosed as well?

    Senator James:

    Thank you, Madam President. That is also an excellent question. It is one that was considered by the committee and is considered in the legislation. I wish I had said this at the beginning because it is a good question. This bill does not affect the inherent power of the court, and the power of the court that comes under Rule 26 regarding discovery, to enter a protective order, to protect people from information being disclosed to the public that is not necessary for the public to know, or, in fact, for the other party to litigation to know.

    Normally, depositions are not filed unless there is a trial. Written discovery is exchanged by the parties but not filed with the court until such time as it’s utilized in a trial on the merits. In most cases that are settled prior to trial, the documents and the discovery will not be filed and won’t be part of the court record.  If they happen to be part of the court record, or they happen to be sought by the person who is obtaining this stuff, there is no question that the court retains the inherent power and the power under Rule 26 to enter a protective order to not disclose that personal information, or indeed, the financial information that is not relevant to the public hazard.

    What’s relevant here is the public hazard that’s being set away. That is what the bill is going to require to become public. This other information can be protected by the court on a discretionary basis, an ad hoc basis, and that situation pertains in the law now. The court has that power now. I think those protections are inherent in the bill as well as the rules that apply to litigation now.


    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 474.

    Bill read second time.

    The following amendment was proposed by the Committee on Judiciary:

    Amendment No. 243.

    Amend the bill as a whole by renumbering sections 6 through 27 as sections 7 through 28 and adding a new section designated sec. 6, following sec. 5, to read as follows:

    “Sec. 6.  NRS 104.9109 is hereby amended to read as follows:

    104.9109  1.  Except as otherwise provided in subsections 3 and 4, this article applies to:

    (a) A transaction, regardless of its form, that creates a security interest in personal property or fixtures by contract;

    (b) An agricultural lien;

    (c) A sale of accounts, chattel paper, payment intangibles or promissory notes;

    (d) A consignment;

    (e) A security interest arising under NRS 104.2401, 104.2505, subsection 3 of NRS 104.2711 [,] or subsection 5 of NRS 104A.2508, as provided in NRS 104.9110; and

    (f) A security interest arising under NRS 104.4210 or 104.5118.

    2.  The application of this article to a security interest in a secured obligation is not affected by the fact that the obligation is itself secured by a transaction or interest to which this article does not apply.

    3.  This article does not apply to the extent that:

    (a) A statute, regulation or treaty of the United States preempts this article; or

    (b) [Another statute of this state expressly governs the creation, perfection, priority or enforcement of a security interest created by this state or a governmental unit of this state;

    (c) A statute of another state, a foreign country, or a governmental unit of another state or a foreign country, other than a statute generally applicable to security interests, expressly governs creation, perfection, priority, or enforcement of a security interest created by the state, country, or governmental unit; or

    (d)] The rights of a transferee beneficiary or nominated person under a letter of credit are independent and superior under NRS 104.5114.

    4.  This article does not apply to:

    (a) A landlord’s lien, other than an agricultural lien;

    (b) A lien, other than an agricultural lien, given by statute or other rule of law for services or materials, but NRS 104.9333 applies with respect to priority of the lien;

    (c) An assignment of a claim for wages, salary or other compensation of an employee;

    (d) A sale of accounts, chattel paper, payment intangibles or promissory notes as part of a sale of the business out of which they arose;

    (e) An assignment of accounts, chattel paper, payment intangibles or promissory notes which is for the purpose of collection only;

    (f) An assignment of a right to payment under a contract to an assignee that is also obligated to perform under the contract;

    (g) An assignment of a single account, payment intangible or promissory note to an assignee in full or partial satisfaction of a preexisting indebtedness;

    (h) A transfer of an interest in or an assignment of a claim under a policy of insurance, other than an assignment by or to a health-care provider of a health-care-insurance receivable and any subsequent assignment of the right to payment, but NRS 104.9315 and 104.9322 apply with respect to proceeds and priorities in proceeds;

    (i) An assignment of a right represented by a judgment, other than a judgment taken on a right to payment that was collateral;

    (j) A right of recoupment or set-off, but:

        (1) NRS 104.9340 applies with respect to the effectiveness of rights of recoupment or set-off against deposit accounts; and

        (2) NRS 104.9404 applies with respect to defenses or claims of an account debtor;

    (k) The creation or transfer of an interest in or lien on real property, including a lease or rents thereunder, except to the extent that provision is made for:

        (1) Liens on real property in NRS 104.9203 and 104.9308;

        (2) Fixtures in NRS 104.9334;

        (3) Fixture filings in NRS 104.9501, 104.9502, 104.9512, 104.9516 and 104.9519; and

        (4) Security agreements covering personal and real property in NRS 104.9604;

    (l) An assignment of a claim arising in tort, other than a commercial tort claim, but NRS 104.9315 and 104.9322 apply with respect to proceeds and priorities in proceeds; [or]

    (m) An assignment of a deposit account in a consumer transaction, but NRS 104.9315 and 104.9322 apply with respect to proceeds and priorities in proceeds [.] ; or

    (n) A transfer by a government or governmental unit.”.

    Senator Care moved the adoption of the amendment.

    Remarks by Senator Care.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 481.

    Bill read second time.

    The following amendment was proposed by the Committee on Transportation:

    Amendment No. 532.

    Amend sec. 55, page 19, line 10, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 58, page 20, line 40, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 58, page 21, line 39, by deleting “privilege” and inserting “governmental services”.

    Amend the bill as a whole by adding a new section designated sec. 148.5, following sec. 148, to read as follows:

    “Sec. 148.5. NRS 408.235 is hereby amended to read as follows:

    408.235  1.  There is hereby created the state highway fund.

    2.  Except as otherwise provided in subsection 7 of NRS 482.180 and NRS 482.1805, the proceeds from the imposition of any:

    (a) License or registration fee and other charges with respect to the operation of any motor vehicle upon any public highway, city, town or county road, street, alley or highway in this state; and

    (b) Excise tax on gasoline or other motor vehicle fuel,

must be deposited in the state highway fund and must, except for costs of administering the collection thereof, be used exclusively for administration, construction, reconstruction, improvement and maintenance of highways as provided for in this chapter.

    3.  The interest and income earned on the money in the state highway fund, after deducting any applicable charges, must be credited to the fund.

    4.  [Costs of administration for the collection of the proceeds for any license or registration fees and other charges with respect to the operation of any motor vehicle must be limited to a sum not to exceed 22 percent of the total proceeds so collected.

    5.] Costs of administration for the collection of any excise tax on gasoline or other motor vehicle fuel must be limited to a sum not to exceed 1 percent of the total proceeds so collected.

    [6.] 5.  All bills and charges against the state highway fund for administration, construction, reconstruction, improvement and maintenance of highways under the provisions of this chapter must be certified by the director and must be presented to and examined by the state board of examiners. When allowed by the state board of examiners and upon being audited by the state controller, the state controller shall draw his warrant therefor upon the state treasurer.”.

    Amend sec. 225, page 117, line 46, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 225, page 118, line 1, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 225, page 118, line 2, by deleting “this chapter;” and inserting: “chapter 371 of NRS;”.

    Amend sec. 226, page 118, line 18, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 226, page 118, line 21, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 241, page 122, line 10, after “43 to” by inserting: “54, inclusive, 56, 57, 59 to”.

    Amend sec. 241, page 122, line 11, by deleting “225” and inserting “227”.

    Amend sec. 241, page 122, line 15, after “2.” by inserting: “Sections 55, 58, 225 and 226 of this act become effective at 12:01 a.m. on July 1, 2001.

    3.”.

    Amend the title of the bill, third line, after “safety;” by inserting: “removing the limitation on the costs of administration payable from the state highway fund for the collection of the proceeds of certain fees and charges relating to the operation of motor vehicles;”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Provides for reorganization of department of motor vehicles and public safety into two departments and removes limitation on costs of administration payable from state highway fund for collection of proceeds of certain fees and charges relating to operation of motor vehicles. (BDR 43‑1107)”.

    Senator O'Donnell moved the adoption of the amendment.

    Remarks by Senator O'Donnell.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 534.

    Bill read second time.

    The following amendment was proposed by the Committee on Natural Resources:

    Amendment No. 605.

    Amend sec. 3, page 1, line 7, by deleting “Review” and inserting: “Coordinate with local air pollution control boards to review”.

    Amend sec. 4, page 2, line 7, after “board” by inserting: “in a county whose population is 400,000 or more”.

    Amend sec. 5, page 2, line 29, after “1.” by inserting: “The commission shall adopt regulations which establish measures for the control and reduction of regional haze to meet the standards established by federal law and the regulations relating thereto.

    2.”.

    Amend sec. 5, page 2, by deleting line 30 and inserting:

    “(a) Enforce the measures for control and reduction of regional haze adopted by the commission;”.

    Amend sec. 5, page 2, by deleting lines 33 through 36 and inserting:

    “(c) Establish and submit to the Federal”.

    Amend sec. 5, page 2, line 38, by deleting “thereto.” and inserting: “thereto; and

    (d) Periodically review the progress and effectiveness of the measures for control and reduction of regional haze adopted by the commission.”.

    Amend sec. 5, page 2, line 39, by deleting “2.” and inserting “3.”.

    Amend sec. 5, page 2, line 42, by deleting “haze.” and inserting: “haze consistent with the measures adopted by the commission.”.

    Amend sec. 5, page 2, line 43, by deleting “3.” and inserting “4.”.

    Amend sec. 11, page 5, by deleting lines 3 and 4 and inserting:

    “In consultation with the department of business and industry, the department shall develop a program that provides”.

    Amend the bill as a whole by adding a new section designated sec. 12, following sec. 11, to read as follows:

    “Sec. 12. 1.  Notwithstanding the provisions of subsection 2 of section 10 and section 11 of this act, the state department of conservation and natural resources shall:

    (a) Complete plans for the development of the programs described in those provisions; and

    (b) Not carry out the programs described in those provisions until the programs are approved and funded by the legislature.

    2.  The state department of conservation and natural resources shall present the plans completed pursuant to subsection 1 to the 72nd session of the Nevada legislature.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to air pollution; requiring the state department of conservation and natural resources to take certain actions with regard to the financing of programs for the control of air pollution; providing for the review of an implementation plan of a local air pollution control board by the department; requiring the state environmental commission to establish standards for the control of regional haze; requiring certain local air pollution control boards to conduct an audit of their programs for the control of air pollution; requiring the department to develop a program that provides incentives for the repair of motor vehicles which do not comply with the standards for emission; revising the provisions relating to the determination of the adequacy of certain programs for the control of air pollution; requiring the department to develop a program to provide incentives for the use of alternative fuels in motor vehicles; requiring the department to report to the legislature concerning such programs; and providing other matters properly relating thereto.”.

    Senator James moved the adoption of the amendment.

    Remarks by Senator James.

    Amendment adopted.

    Senator James moved that Senate Bill No. 534 be re-referred to the Committee on Finance upon return from reprint.

    Remarks by Senator James.

    Motion carried.

    Bill ordered reprinted, engrossed and to the Committee on Finance.

    Senate Bill No. 553.

    Bill read second time.

    The following amendment was proposed by the Committee on Government Affairs:

    Amendment No. 480.

    Amend sec. 23, page 13, by deleting lines 30 through 37 and inserting:

    “[(b) Another statute of this state expressly governs the creation, perfection, priority or enforcement of a security interest created by this state or a governmental unit of this state;

    (c) A statute of another state, a foreign country, or a governmental unit of another state or a foreign country, other than a statute generally applicable to security interests, expressly governs creation, perfection, priority, or enforcement of a security interest created by the state, country, or governmental unit; or”.

    Amend sec. 23, page 13, line 38, by deleting “(d)” and inserting:

    “(d)] or

    (b)”.

    Amend the bill as a whole by deleting sections 25 through 27 and adding:

    “Secs. 25-27.  (Deleted by amendment.)”.

    Amend sec. 32, page 16, line 47, by deleting “expenses.” and inserting: “expenses, except that:

    1.  The proceeds of any obligation issued to construct or acquire a facility may be used to pay operating expenses for the period provided in subsection 7 of NRS 350.516.

    2.  The proceeds of a medium-term obligation issued by a local government with respect to which the Nevada tax commission has determined that a financial emergency exists pursuant to NRS 354.685 may be used to pay operating expenses with the approval of the executive director of the department of taxation.”.

    Amend sec. 44, page 25, line 3, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 44, page 25, lines 6 and 7, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend the bill as a whole by renumbering sections 48 through 59 as sections 49 through 60 and adding a new section designated sec. 48, following sec. 47, to read as follows:

    “Sec. 48. NRS 387.335 is hereby amended to read as follows:

    387.335  1.  The board of trustees of a county school district may issue its general obligations to raise money for the following purposes, and no others:

    (a) Construction, design or purchase of new buildings for schools, including, but not limited to, teacherages, dormitories, dining halls, gymnasiums and stadiums.

    (b) Enlarging, remodeling , [or] repairing or replacing existing buildings or grounds for schools, including, but not limited to, teacherages, dormitories, dining halls, gymnasiums and stadiums.

    (c) Acquiring sites for building schools, or additional real property for necessary purposes related to schools, including, but not limited to, playgrounds, athletic fields and sites for stadiums.

    (d) Paying expenses relating to the acquisition of school facilities which have been leased by a school district pursuant to NRS 393.080.

    (e) Purchasing necessary furniture and equipment for schools [.] , including, without limitation, equipment used in educating pupils, furniture for school buildings and equipment used for the transportation of pupils. If money from the issuance of general obligations is used to purchase furniture and equipment to replace existing furniture and equipment, and that existing furniture and equipment subsequently is sold, the proceeds from the sale must be applied toward the retirement of those obligations. If equipment used for the transportation of pupils is purchased pursuant to this paragraph, only the following equipment may be purchased:

        (1) Motor vehicles that use biodiesel, compressed natural gas or a similar fuel formulated to reduce emissions from the amount of emissions produced from traditional fuels such as gasoline and diesel fuel;

        (2) Equipment to retrofit motor vehicles to use biodiesel, compressed natural gas or a similar fuel formulated to reduce emissions from the amount of emissions produced from traditional fuels such as gasoline and diesel fuel; or

        (3) Equipment for the transportation, storage or dispensing of biodiesel, compressed natural gas or similar fuels formulated to reduce emissions from the amount of emissions produced from traditional fuels such as gasoline and diesel fuel.

    2.  Any one or more of the purposes enumerated in subsection 1 may, by order of the board of trustees entered in its minutes, be united and voted upon as one single proposition.

    3.  Any question submitted pursuant to this section and any question submitted pursuant to NRS 387.3285 may, by order of the board of trustees entered in its minutes, be united and voted upon as a single proposition.

    4.  As used in this section, “biodiesel” has the meaning ascribed to it in 42 U.S.C. § 13220.”.

    Amend sec. 59, page 37, by deleting lines 1 through 4 and inserting:

    “Sec. 60.  1.  This section and section 48 of this act become effective upon passage and approval.

    2.  Sections 1 to 22, inclusive, 24 to 43, inclusive, 45, 46, 47 and 49 to 59, inclusive, become effective on July 1, 2001.

    3.  Sections 23 and 44 of this act become effective at 12:01 a.m. on July 1, 2001.”.

    Senator O'Connell moved the adoption of the amendment.

    Remarks by Senators O'Connell and Neal.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 554.

    Bill read second time.

    The following amendment was proposed by the Committee on Government Affairs:

    Amendment No. 476.

    Amend section 1, page 1, line 3, by deleting “Each” and inserting: “Except as otherwise provided in NRS 278.310, each”.

    Amend section 1, page 1, by deleting line 11 and inserting:

    “(d) Any other person”.

    Amend section 1, page 2, line 1, by deleting “An” and inserting: “Except as otherwise provided in NRS 278.310, an”.

    Amend sec. 6, page 4, lines 28 and 39, by deleting “3,” and inserting “4,”.

    Amend sec. 6, page 4, line 44, after “3.” by inserting: “Each governing body which has created a board of adjustment pursuant to NRS 278.270 shall adopt an ordinance providing that any person who is aggrieved by a decision of the board of adjustment regarding an appeal of an administrative decision may appeal the decision of the board of adjustment. An ordinance that a governing body is required to adopt pursuant to this subsection must either:

    (a) Comply with subsection 2 of section 1 of this act, thereby requiring the aggrieved person first to appeal the decision of the board of adjustment to the governing body; or

    (b) Set forth a separate procedure which allows the aggrieved person to appeal the decision of the board of adjustment directly to the district court of the proper county by filing a petition for judicial review within 25 days after the date of filing of notice of the decision with the clerk or secretary of the board of adjustment, as provided in NRS 278.0235.

    4.”.

    Amend sec. 12, page 9, line 6, after “presented” by inserting: “to that entity for recordation”.

    Amend the title of the bill, fourth line, after “court;” by inserting: “authorizing the governing body of a county or city to adopt an alternative procedure allowing certain decisions of a board of adjustment to be appealed directly to the district court;”.

    Senator Titus moved the adoption of the amendment.

    Remarks by Senator Titus.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.


    Senate Bill No. 555.

    Bill read second time.

    The following amendment was proposed by the Committee on Government Affairs:

    Amendment No. 481.

    Amend sec. 3, page 2, line 11, by deleting “20,000” and inserting “[20,000] 50,000”.

    Amend sec. 3, page 2, by deleting lines 13 and 14 and inserting:

    “2.  Those cities having [more than 5,000 and less than 20,000] 5,000 or more, but fewer than 50,000 inhabitants shall be known as cities of [the second”.

    Amend sec. 4, page 2, line 20, by deleting “20,000” and inserting “[20,000] 50,000”.

    Amend sec. 11, page 4, line 29, by deleting: “misdemeanors by NRS 193.120.” and inserting: “by law for misdemeanors.”.

    Amend sec. 12, page 4, lines 31 and 40, by deleting “temporary” and inserting “[temporary]”.

    Amend sec. 14, page 5, line 39, after “a” by inserting “city”.

    Amend sec. 26, page 8, line 33, by deleting “law, [the” and inserting: “specific law [, the”.

    Amend sec. 26, page 8, line 39, after “resolution.]” by inserting “or ordinance,”.

    Amend sec. 35, page 10, line 30, by deleting “20,000” and inserting “[20,000] 50,000”.

    Amend sec. 36, page 10, line 36, by deleting “20,000.” and inserting “[20,000.] 50,000.”.

    Senator Porter moved the adoption of the amendment.

    Remarks by Senator Porter.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 563.

    Bill read second time.

    The following amendment was proposed by the Committee on Government Affairs:

    Amendment No. 272.

    Amend the bill as a whole by renumbering section 1 as sec. 3 and adding new sections designated sections 1 and 2, following the enacting clause, to read as follows:

    “Section 1. Chapter 244A of NRS is hereby amended by adding thereto a new section to read as follows:

    1.  If a customer of a supplier of mobile telephone service believes that the amount of a surcharge imposed pursuant to NRS 244A.7643 or the designation of a place of primary use is incorrect, the customer may notify the supplier of mobile telephone service in writing of the alleged error. The notice must include:

    (a) The street address for the place of primary use of the customer;

    (b) The account number and name shown on the billing statement of the account for which the customer alleges the error;

    (c) A description of the alleged error; and

    (d) Any other information which the supplier of mobile telephone service may reasonably require to investigate the alleged error.

    2.  Within 60 days after receiving a notice sent pursuant to subsection 1, the supplier of mobile telephone service shall review the records that the supplier of mobile telephone service uses to determine the place of primary use of its customers.

    3.  If the review indicates:

    (a) That the alleged error exists, the supplier of mobile telephone service shall correct the error and refund or credit the customer for the amount which was erroneously collected for the applicable period, not to exceed the 24 months immediately preceding the date on which the customer notified the supplier of mobile telephone service of the alleged error.

    (b) That no error exists, the supplier of mobile service shall provide a written explanation to the customer who alleged the error.

    4.  A customer may not bring a cause of action against a supplier of mobile telephone service for surcharges incorrectly imposed pursuant to NRS 244A.7643 unless he first complies with this section.

    Sec. 2.  NRS 244A.7641 is hereby amended to read as follows:

    244A.7641  As used in NRS 244A.7641 to 244A.7647, inclusive, and section 1 of this act, unless the context otherwise requires:

    1.  “Mobile telephone service” means cellular or other service to a telephone installed in a vehicle or otherwise portable.

    2.  “Place of primary use” has the meaning ascribed to it in 4 U.S.C. § 124(8), as that section existed on October 1, 2001.

    3.  “Supplier” means a person authorized by the Federal Communications Commission to provide mobile telephone service.”.

    Amend section 1, page 2, by deleting lines 20 through 23 and inserting:

    “5.  As used in this section, “trunk line” means a line which provides a channel between a”.

    Amend the bill as a whole by renumbering sections 2 through 5 as sections 8 through 11 and adding new sections designated sections 4 through 7, following section 1, to read as follows:

    “Sec. 4.  Chapter 354 of NRS is hereby amended by adding thereto the provisions set forth as sections 5 and 6 of this act.

    Sec. 5.  1.  If a customer of a public utility that sells or resells personal wireless services believes that the amount of a fee imposed pursuant to this section and NRS 354.59881 to 354.59889, inclusive, or the designation of a place of primary use is incorrect, the customer may notify the public utility in writing of the alleged error. The notice must include:

    (a) The street address for the place of primary use of the customer;

    (b) The account number and name shown on the billing statement of the account for which the customer alleges the error;

    (c) A description of the alleged error; and

    (d) Any other information which the public utility may reasonably require to investigate the alleged error.

    2.  Within 60 days after receiving a notice sent pursuant to subsection 1, the public utility shall review the records which the public utility uses to determine the place of primary use of its customers.

    3.  If the review indicates:

    (a) That the alleged error exists, the public utility shall correct the error and refund or credit the customer for the amount which was erroneously collected for the applicable period, not to exceed the 24 months immediately preceding the date on which the customer notified the public utility of the alleged error.

    (b) That no error exists, the public utility shall provide a written explanation to the customer who alleged the error.

    4.  A customer may not bring a cause of action against a public utility that sells or resells personal wireless services for fees incorrectly imposed pursuant to this section and NRS 354.59881 to 354.59889, inclusive, unless he first complies with this section.

    Sec. 6. “Place of primary use” has the meaning ascribed to it in  4 U.S.C. § 124(8), as that section existed on October 1, 2001.

    Sec. 7.  NRS 354.59881 is hereby amended to read as follows:

    354.59881  As used in NRS 354.59881 to 354.59889, inclusive, and sections 5 and 6 of this act, unless the context otherwise requires, the words and terms defined in NRS 354.598811 to 354.598818, inclusive, and section 6 of this act have the meanings ascribed to them in those sections.”.

    Amend sec. 2, page 2, by deleting lines 46 through 48.

    Amend the title of the bill, first line, after “telecommunications;” by inserting: “providing a procedure by which a customer may dispute a surcharge, fee or designation of place of primary use;”.

    Senator Care moved the adoption of the amendment.

    Remarks by Senator Care.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

MOTIONS, RESOLUTIONS AND NOTICES

    Senator Rhoads moved that Senate Bill No. 531 be taken from the Secretary's desk and placed on General File.

    Remarks by Senator Rhoads.

    Motion carried.


    Senator Raggio moved that the Senate recess until 5 p.m.

    Motion carried.

    Senate in recess at 1:10 p.m.

SENATE IN SESSION

    At 6:36 p.m.

    President Hunt presiding.

    Quorum present.

REPORTS OF COMMITTEES

Madam President:

    Your Committee on Commerce and Labor, to which were referred Senate Bills Nos. 133, 216, 274, 516, 558, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Randolph J. Townsend, Chairman

Madam President:

    Your Committee on Finance, to which was referred Senate Bill No. 498, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

William J. Raggio, Chairman

Madam President:

    Your Committee on Government Affairs, to which was referred Senate Bill No. 123, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

    Also, your Committee on Government Affairs, to which was referred Senate Bill No. 355, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and re-refer to the Committee on Legislative Affairs and Operations.

Ann O'Connell, Chairman

Madam President:

    Your Committee on Human Resources and Facilities, to which were referred Senate Bills Nos. 86, 305, 424, 539, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Raymond D. Rawson, Chairman

Madam President:

    Your Committee on Judiciary, to which was referred Senate Bill No. 412, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

    Also, your Committee on Judiciary, to which was referred Senate Bill No. 295, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and re-refer to the Committee on Finance.

Mark A. James, Chairman

Madam President:

    Your Committee on Natural Resources, to which were referred Senate Bills Nos. 211, 535, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Dean A. Rhoads, Chairman


Madam President:

    Your Committee on Taxation, to which was referred Senate Bill No. 273, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Mike McGinness, Chairman

Madam President:

    Your Committee on Transportation, to which were referred Senate Bills Nos. 56, 303, 503, 520, 523, has had the same under consideration, and begs leave to report the same back with the

recommendation: Amend, and do pass as amended.

William R. O'Donnell, Chairman

SECOND READING AND AMENDMENT

    Senate Bill No. 394.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:

    Amendment No. 626.

    Amend the bill as a whole by deleting sections 1 and 2 and adding new sections designated sections 1 through 6, following the enacting clause, to read as follows:

    “Section 1. Chapter 632 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 and 3 of this act.

    Sec. 2. The board, or a medical facility or any other person who employs a licensee, shall not require a licensee while on duty, to wear a badge or other form of identification that includes the surname of the licensee.

    Sec. 3.  Each employer of a licensee or nursing assistant shall prepare and maintain, for at least 5 years, a record of the work assignments of each licensee or nursing assistant.

    Sec. 4. NRS 632.125 is hereby amended to read as follows:

    632.125  1.  Each hospital or agency in the state employing professional or practical nurses or nursing assistants shall submit alist of such nursing personnel to the board at least three times annually as directed by the board. Each list submitted to the board pursuant to this subsection is confidential.

    2.  A medical facility shall, before hiring a nursing assistant or nursing assistant trainee, obtain validation from the board that the prospective employee has a current certificate, is enrolled in a training program required for certification or is awaiting the results of a certification examination.

    Sec. 5. NRS 632.310 is hereby amended to read as follows:

    632.310  1.  The board may, upon its own motion, and shall, upon the verified complaint in writing of any person, if the complaint alone or together with evidence, documentary or otherwise, presented in connection therewith, is sufficient to require an investigation, investigate the actions of any licensee or holder of a certificate or any person who assumes to act as a licensee or holder of a certificate within the State of Nevada.

    2.  The executive director may, upon receipt of information from a governmental agency, conduct an investigation to determine whether the information is sufficient to require an investigation for referral to the board for its consideration.

    3.  If a written verified complaint filed with the board does not include the complete name of the licensee or nursing assistant against whom the complaint is filed, and the board is unable to identify the licensee or nursing assistant, the board shall request that the employer of the licensee or nursing assistant provide to the board the complete name of the licensee or nursing assistant. The employer shall provide the name to the board within 3 business days after the request is made.

    4.  The employer of a licensee or nursing assistant shall provide to the board, upon its request, the record of the work assignments of any licensee or nursing assistant whose actions are under investigation by the board.

    Sec. 6.  This act becomes effective on July 1, 2001.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to nursing; prohibiting the state board of nursing or an employer of a nurse from requiring the inclusion of the surname of the nurse on the badge or other form of identification worn by the nurse while on duty; requiring the employers of licensees and nursing assistants to prepare and maintain records of the work assignments of those licensees and nursing assistants for a certain period; revising the provisions governing the filing of complaints with the state board of nursing; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Revises provisions relating to practice of nursing. (BDR 54‑1136)”.

    Senator Raggio moved the adoption of the amendment.

    Remarks by Senator Raggio.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 86.

    Bill read second time.

    The following amendment was proposed by the Committee on Human Resources and Facilities:

    Amendment No. 547.

    Amend the bill as a whole by deleting sections 1 and 2 and adding new sections designated sections 1 through 4, following the enacting clause, to read as follows:

    “Section 1.  The Legislative Commission shall appoint a committee consisting of an equal number of legislators from the Assembly and the Senate to conduct an interim study concerning the use of police powers on public school grounds and at school activities.

    Sec. 2.  The committee appointed pursuant to section 1 of this act shall include, without limitation, the following topics in its study:

    1.  An exploration of the feasibility of establishing a community-based policing system within school districts that currently employ school police;

    2.  A full review of potential mechanisms for establishing community police “precincts” or units of local law enforcement within schools currently served by school police, including employee transition matters, such as the retraining of school police personnel, employment opportunities for school police personnel within the new structure and any special training needed for local law enforcement;

    3.  An examination of the possible options for funding such a reassignment of responsibilities, including transfers of funds or the creation of special taxing districts; and

    4.  An analysis of the existing jurisdictional issues and the relationship between school police and local law enforcement.

    Sec. 3.  1.  The Legislative Commission shall submit a report of its findings and any recommendations for legislation to the 72nd session of the Nevada Legislature.

    2.  Any recommended legislation proposed by the committee appointed pursuant to section 1 of this act must be approved by a majority of the members of the Senate and a majority of the members of the Assembly appointed to the committee.

    Sec. 4.  There is hereby appropriated from the state general fund to the legislative fund created by NRS 218.085 the sum of $10,000 for allocation by the Legislative Commission to pay for consulting services to assist the committee in carrying out the interim study.”.

    Amend the bill as a whole by adding a preamble, immediately preceding the enacting clause, to read as follows:

    “Whereas, For at least the past several legislative sessions, jurisdictional issues involving school police and local law enforcement have been reviewed and presented to legislators; and

    Whereas, There are key issues of jurisdiction, interlocal agreements and notification procedures that appear to remain unresolved among the various parties; and

    Whereas, The principal concern of all parties must be the safety of the school children of Nevada and the assurance that schools are a safe haven where learning can take place; now, therefore”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to school police; directing the Legislative Commission to conduct an interim study concerning the use of police powers on public school grounds and at school activities; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Directs the Legislative Commission to conduct interim study concerning use of police powers on public school grounds and at school activities. (BDR S‑823)”.

    Senator Rawson moved the adoption of the amendment.

    Remarks by Senator Rawson.

    Amendment adopted.

    Senator Rawson moved that Senate Bill No. 86 be re-referred to the Committee on Legislative Affairs and Operations upon return from reprint.

    Remarks by Senator Rawson.

    Motion carried.

    Bill ordered reprinted, engrossed and to the Committee on Legislative Affairs and Operations.

    Senate Bill No. 123.

    Bill read second time.

    The following amendment was proposed by the Committee on Government Affairs:

    Amendment No. 34.

    Amend the bill as a whole by renumbering sections 1 and 2 as sections 3 and 4 and adding new sections designated sections 1 and 2, following the enacting clause, to read as follows:

    “Section 1. Chapter 350 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 and 3 of this act.

    Sec. 2.  At the annual meeting in July required by NRS 350.003, the commission shall:

    1.  Specify a percentage, which must not be less than 75 percent, for the purposes of paragraph (d) of subsection 1 of NRS 350.0051; and

    2.  Establish priorities among essential and nonessential facilities and services for the purposes of paragraph (d) of subsection 1 of NRS 350.0051. Facilities and services relating to public safety, education and health must be considered essential facilities and services, and all other facilities and services must be considered nonessential facilities and services.”.

    Amend section 1, page 1, by deleting lines 1 through 11 and inserting:

    “Sec. 3. 1.  Before a municipality may submit to the commission a proposal that will result in an increase in the rate of property taxes, the municipality shall:

    (a) Determine whether there is an affected governmental entity; and

    (b) If there is an affected governmental entity, provide written notification to the affected governmental entity.”.

    Amend section 1, page 2, lines 2, 8, 11, 20 and 21, by deleting “ad valorem” and inserting “property”.

    Amend section 1, page 2, by deleting lines 23 through 34 and inserting:

    “6.  In resolving a conflict pursuant to subsection 5, the commission may impose:

    (a) A condition or provision described in subsection 2 of NRS 350.005; and

    (b) A condition that:

        (1) The amount of the general obligation debt proposed to be imposed must be reduced;

        (2) The rate of the special elective tax must be reduced; or

        (3) Both subparagraphs (1) and (2).

    7.  The commission may establish:

    (a) A method for resolving conflicts over the unlevied amount of property taxes that may be levied pursuant to NRS 354.59811;

    (b) A method for determining the highest and best use of the unlevied amount of property taxes that may be levied pursuant to NRS 354.59811, which must be based upon a comparison of the public”.

    Amend section 1, page 2, by deleting lines 39 and 40 and inserting:

    “(c) A procedure for allowing a municipality that does not levy the maximum amount of property taxes which it may levy pursuant to NRS 354.59811 to reserve a percentage of the remaining allowable increase of property taxes for”.

    Amend section 1, page 2, lines 47 and 49, by deleting “ad valorem” and inserting “property”.

    Amend section 1, page 3, by deleting lines 1 through 5 and inserting:

    “8.  This section does not apply to any proposal that is not expected to result in an increase in the rate of property taxes in any jurisdiction.

    9.  As used in this section:

    (a) “Affected governmental entity” means a governmental entity:

        (1) That has territory which overlaps the territory of the municipality proposing the special elective tax or general obligation debt;

        (2) That is currently not levying the maximum rate of property taxes which it may levy pursuant to NRS 354.59811; and

        (3) For which the total combined tax rate levied on the overlapping territory would exceed the limit set forth in NRS 361.453 if the current combined tax rate levied on the overlapping territory is added to:

            (I) The tax rate projected for the special elective tax or general obligation debt being proposed by the municipality; and

            (II) The unlevied amount of property taxes that currently may be levied by the governmental entity pursuant to NRS 354.59811.

    (b) “Remaining allowable increase of property taxes” means the difference between the tax rate allowed for a municipality in the current fiscal year pursuant to NRS 354.59811 minus the tax rate levied by the municipality in the current fiscal year.”.

    Amend sec. 2, page 3, line 7, by deleting “section 1” and inserting: “sections 2 and 3”.

    Amend the bill as a whole by renumbering sec. 3 as sec. 6 and adding a new section designated sec. 5, following sec. 2, to read as follows:

    “Sec. 5. NRS 350.0035 is hereby amended to read as follows:

    350.0035  1.  Except as otherwise provided in this section, on or before July 1 of each year, the governing body of a municipality which proposes to issue or has outstanding any general obligation debt, other general obligations or special obligations, or which levies or proposes to levy any special elective tax, shall submit to the department of taxation and the commission:

    (a) A complete statement of current [and contemplated] general obligation debt and special elective taxes, and a report of current [and contemplated] debt and special assessments and retirement schedules, in the detail and form established by the committee on local government finance.

    (b) A complete statement, in the detail and form established by the committee on local government finance, of general obligation debt and special elective taxes contemplated to be submitted to the commission during the fiscal year.

    (c) A written statement of the debt management policy of the municipality, which must include, without limitation:

        (1) A discussion of its ability to afford existing general obligation debt, authorized future general obligation debt and proposed future general obligation debt;

        (2) A discussion of its capacity to incur authorized and proposed future general obligation debt without exceeding the applicable debt limit;

        (3) A discussion of its general obligation debt that is payable from [ad valorem] property taxes per capita as compared with such debt of other municipalities in this state;

        (4) A discussion of its general obligation debt that is payable from [ad valorem] property taxes as a percentage of assessed valuation of all taxable property within the boundaries of the municipality;

        (5) Policy regarding the manner in which the municipality expects to sell its debt;

        (6) A discussion of its sources of money projected to be available to pay existing general obligation debt, authorized future general obligation debt and proposed future general obligation debt; and

        (7) A discussion of its operational costs and revenue sources, for the ensuing 5 fiscal years, associated with each project included in its plan for capital improvement submitted pursuant to paragraph [(c),] (d), if those costs and revenues are expected to affect the property tax rate.

    [(c)] (d) Its plan for capital improvement for the ensuing [3] 5 fiscal years, which must include any contemplated issuance of general obligation debt during this period and the sources of money projected to be available to pay the debt.

    [(d)] (e) A statement containing the name, title, mailing address and telephone number of the chief financial officer of the municipality.

    2.  The governing body of a municipality may combine a statement or plan required by subsection 1 with the corresponding statement or plan of another municipality if both municipalities have the same governing body or the governing bodies of both municipalities agree to such a combination.

    3.  [The] Except as otherwise provided in subsection 4, the governing body of each municipality shall update all statements and plans required by subsection 1 not less frequently than [annually.] once each fiscal year.

    4.  In a county whose population is 100,000 or more, the governing body of each municipality shall update all statements and plans required by subsection 1 not less often than once each fiscal year and not more often than twice each fiscal year, except that a municipality may update a statement or plan required by subsection 1 more often than twice each fiscal year:

    (a) If the governing body determines, by a two-thirds vote, that an emergency requires that a statement or plan be updated;

    (b) To include an item related to:

        (1) An installment purchase that does not count against a debt limit; or

        (2) An obligation for which no additional property tax is expected;

    (c) To update the purpose of a special elective tax without changing the rate of the special elective tax; or

    (d) To comply with the requirements of subsection 5 of NRS 268.625 or subsection 1 of NRS 350.091.

    5.  The provisions of this section do not apply to the Airport Authority of Washoe County so long as the authority does not have any general obligation bonds outstanding and does not issue or propose to issue any such bonds. At least 30 days before each annual meeting of the commission, the authority shall submit to the department of taxation a written statement regarding whether the authority is planning to propose to issue any general obligation bonds before the next following annual meeting of the commission.”.

    Amend sec. 3, page 3, line 45, by deleting “ad valorem” and inserting: “[ad valorem] property”.

    Amend sec. 3, page 4, lines 1 and 3, by deleting “ad valorem” and inserting: “[ad valorem] property”.

    Amend sec. 3, page 4, line 16, by deleting “may” and inserting “will”.

    Amend sec. 3, page 4, by deleting lines 17 through 27 and inserting: “affected governmental entity to levy the maximum amount of property taxes that it may levy pursuant to NRS 354.59811, unless:

        (1) The proposal includes a resolution approving the proposal pursuant to subsection 3 of section 3 of this act from each affected governmental entity whose ability to levy property taxes will be affected by the commission’s approval of the proposal; or

        (2) The commission has resolved all conflicts between the municipality and all affected governmental entities and has approved the increase in property taxes resulting from the proposal pursuant to section 3 of this act.”.

    Amend sec. 3, page 5, by deleting lines 4 through 15 and inserting: “subsection 4, will affect the ability of an affected governmental entity to levy the maximum amount of property taxes that it may levy pursuant to NRS 354.59811, unless:

    (a) The proposal includes a resolution approving the proposal pursuant to subsection 3 of section 3 of this act from each affected governmental entity whose ability to levy property taxes will be affected by the commission’s approval of the proposal; or

    (b) The commission has resolved all conflicts between the municipality and all affected governmental entities and has approved the increase in property taxes resulting from the proposal pursuant to section 3 of this act.”.

    Amend sec. 3, page 5, between lines 18 and 19, by inserting:

    “8.  As used in this section, “affected governmental entity” has the meaning ascribed to it in subsection 9 of section 3 of this act.”.

    Amend the bill as a whole by renumbering sections 4 through 6 as sections 8 through 10 and adding a new section designated sec. 7, following sec. 3, to read as follows:

    “Sec. 7. NRS 350.005 is hereby amended to read as follows:

    350.005  1.  The governing body of the municipality proposing to incur general obligation debt or levy a special elective tax and the board of trustees of a general improvement district whose population within its boundaries is less than 5,000, who proposes to borrow money and issue any securities other than securities representing a general obligation debt, shall notify the secretary of each appropriate commission, and shall submit a statement of its proposal in sufficient number of copies for each member of the commission. The secretary, with the approval of the chairman, shall, within 10 days, give notice of a meeting, in the manner required by chapter 241 of NRS, to be held not more than 20 days thereafter. He shall provide a copy of the proposal to each member with the notice of the meeting, and mail notice of the meeting to the chief financial officer of each municipality in the county which has complied with subsection 1 of NRS 350.0035 within the past year.

    2.  The commission may grant a conditional or provisional approval of such proposal. Such conditions or provisions are limited to the scheduling of:

    (a) The issuance and retirement of securities, if the proposal is to incur general obligation debt; or

    (b) The imposition of the tax, if the proposal is to levy a special elective tax.

    3.  If the proposal is from a municipality, the commission may not approve any portion of the proposal that is not included in the statement filed pursuant to paragraph (b) of subsection 1 of NRS 350.0035, as updated pursuant to subsection 3 or 4 of NRS 350.0035.

    4.  The commission may adjourn a meeting called to consider a particular proposal no more than once, for no more than 10 days. Notification of the approval or disapproval of its proposal must be sent to the governing body within 3 days after the meeting.”.

    Amend sec. 4, page 5, line 23, by deleting “1” and inserting “3”.

    Amend sec. 4, page 5, lines 41 and 42, by deleting “90 percent” and inserting: “[90 percent] the specified percentage, pursuant to subsection 1 of section 2 of this act,”.

    Amend sec. 4, page 5, line 44, by deleting “levy;” and inserting: “levy [;] in accordance with the priorities established pursuant to subsection 2 of section 2 of this act;”.

    Amend sec. 4, page 5, line 47, by deleting “paragraph (a)” and inserting: “[paragraph] paragraphs (a) and (b)”.

    Amend the title of the bill by deleting the fifth through eighth lines and inserting: “increase of property taxes and authorizing the establishment of certain methods relating thereto; authorizing a debt management commission to establish a procedure for allowing a municipality to reserve a percentage of the remaining allowable increase of property taxes within a certain geographical area; revising the duties of the debt management commission relating to consideration of a proposal to incur general obligation debt or levy a special elective tax, and amending the conditions pursuant to which the debt management commission is authorized to grant approval of such a proposal; revising the duties of a municipality with regard to filing and amending statements of current and contemplated general obligation debt and special elective taxes; and providing other matters”.

    Amend the bill as a whole by renumbering sections 1 and 2 as sections 3 and 4 and adding new sections designated sections 1 and 2, following the enacting clause, to read as follows:

    “Section 1. Chapter 350 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 and 3 of this act.

    Sec. 2.  At the annual meeting in July required by NRS 350.003, the commission shall:

    1.  Specify a percentage, which must not be less than 75 percent, for the purposes of paragraph (d) of subsection 1 of NRS 350.0051; and

    2.  Establish priorities among essential and nonessential facilities and services for the purposes of paragraph (d) of subsection 1 of NRS 350.0051. Facilities and services relating to public safety, education and health must be considered essential facilities and services, and all other facilities and services must be considered nonessential facilities and services.”.

    Amend section 1, page 1, by deleting lines 1 through 11 and inserting:

    “Sec. 3. 1.  Before a municipality may submit to the commission a proposal that will result in an increase in the rate of property taxes, the municipality shall:

    (a) Determine whether there is an affected governmental entity; and

    (b) If there is an affected governmental entity, provide written notification to the affected governmental entity.”.

    Amend section 1, page 2, lines 2, 8, 11, 20 and 21, by deleting “ad valorem” and inserting “property”.

    Amend section 1, page 2, by deleting lines 23 through 34 and inserting:

    “6.  In resolving a conflict pursuant to subsection 5, the commission may impose:

    (a) A condition or provision described in subsection 2 of NRS 350.005; and

    (b) A condition that:

        (1) The amount of the general obligation debt proposed to be imposed must be reduced;

        (2) The rate of the special elective tax must be reduced; or

        (3) Both subparagraphs (1) and (2).

    7.  The commission may establish:

    (a) A method for resolving conflicts over the unlevied amount of property taxes that may be levied pursuant to NRS 354.59811;

    (b) A method for determining the highest and best use of the unlevied amount of property taxes that may be levied pursuant to NRS 354.59811, which must be based upon a comparison of the public”.

    Amend section 1, page 2, by deleting lines 39 and 40 and inserting:

    “(c) A procedure for allowing a municipality that does not levy the maximum amount of property taxes which it may levy pursuant to NRS 354.59811 to reserve a percentage of the remaining allowable increase of property taxes for”.

    Amend section 1, page 2, lines 47 and 49, by deleting “ad valorem” and inserting “property”.

    Amend section 1, page 3, by deleting lines 1 through 5 and inserting:

    “8.  This section does not apply to any proposal that is not expected to result in an increase in the rate of property taxes in any jurisdiction.

    9.  As used in this section:

    (a) “Affected governmental entity” means a governmental entity:

        (1) That has territory which overlaps the territory of the municipality proposing the special elective tax or general obligation debt;

        (2) That is currently not levying the maximum rate of property taxes which it may levy pursuant to NRS 354.59811; and

        (3) For which the total combined tax rate levied on the overlapping territory would exceed the limit set forth in NRS 361.453 if the current combined tax rate levied on the overlapping territory is added to:

            (I) The tax rate projected for the special elective tax or general obligation debt being proposed by the municipality; and

            (II) The unlevied amount of property taxes that currently may be levied by the governmental entity pursuant to NRS 354.59811.

    (b) “Remaining allowable increase of property taxes” means the difference between the tax rate allowed for a municipality in the current fiscal year pursuant to NRS 354.59811 minus the tax rate levied by the municipality in the current fiscal year.”.

    Amend sec. 2, page 3, line 7, by deleting “section 1” and inserting: “sections 2 and 3”.

    Amend the bill as a whole by renumbering sec. 3 as sec. 6 and adding a new section designated sec. 5, following sec. 2, to read as follows:

    “Sec. 5. NRS 350.0035 is hereby amended to read as follows:

    350.0035  1.  Except as otherwise provided in this section, on or before July 1 of each year, the governing body of a municipality which proposes to issue or has outstanding any general obligation debt, other general obligations or special obligations, or which levies or proposes to levy any special elective tax, shall submit to the department of taxation and the commission:

    (a) A complete statement of current [and contemplated] general obligation debt and special elective taxes, and a report of current [and contemplated] debt and special assessments and retirement schedules, in the detail and form established by the committee on local government finance.

    (b) A complete statement, in the detail and form established by the committee on local government finance, of general obligation debt and special elective taxes contemplated to be submitted to the commission during the fiscal year.

    (c) A written statement of the debt management policy of the municipality, which must include, without limitation:

        (1) A discussion of its ability to afford existing general obligation debt, authorized future general obligation debt and proposed future general obligation debt;

        (2) A discussion of its capacity to incur authorized and proposed future general obligation debt without exceeding the applicable debt limit;

        (3) A discussion of its general obligation debt that is payable from [ad valorem] property taxes per capita as compared with such debt of other municipalities in this state;

        (4) A discussion of its general obligation debt that is payable from [ad valorem] property taxes as a percentage of assessed valuation of all taxable property within the boundaries of the municipality;

        (5) Policy regarding the manner in which the municipality expects to sell its debt;

        (6) A discussion of its sources of money projected to be available to pay existing general obligation debt, authorized future general obligation debt and proposed future general obligation debt; and

        (7) A discussion of its operational costs and revenue sources, for the ensuing 5 fiscal years, associated with each project included in its plan for capital improvement submitted pursuant to paragraph [(c),] (d), if those costs and revenues are expected to affect the property tax rate.

    [(c)] (d) Its plan for capital improvement for the ensuing [3] 5 fiscal years, which must include any contemplated issuance of general obligation debt during this period and the sources of money projected to be available to pay the debt.

    [(d)] (e) A statement containing the name, title, mailing address and telephone number of the chief financial officer of the municipality.

    2.  The governing body of a municipality may combine a statement or plan required by subsection 1 with the corresponding statement or plan of another municipality if both municipalities have the same governing body or the governing bodies of both municipalities agree to such a combination.

    3.  [The] Except as otherwise provided in subsection 4, the governing body of each municipality shall update all statements and plans required by subsection 1 not less frequently than [annually.] once each fiscal year.

    4.  In a county whose population is 100,000 or more, the governing body of each municipality shall update all statements and plans required by subsection 1 not less often than once each fiscal year and not more often than twice each fiscal year, except that a municipality may update a statement or plan required by subsection 1 more often than twice each fiscal year:

    (a) If the governing body determines, by a two-thirds vote, that an emergency requires that a statement or plan be updated;

    (b) To include an item related to:

        (1) An installment purchase that does not count against a debt limit; or

        (2) An obligation for which no additional property tax is expected;

    (c) To update the purpose of a special elective tax without changing the rate of the special elective tax; or

    (d) To comply with the requirements of subsection 5 of NRS 268.625 or subsection 1 of NRS 350.091.

    5.  The provisions of this section do not apply to the Airport Authority of Washoe County so long as the authority does not have any general obligation bonds outstanding and does not issue or propose to issue any such bonds. At least 30 days before each annual meeting of the commission, the authority shall submit to the department of taxation a written statement regarding whether the authority is planning to propose to issue any general obligation bonds before the next following annual meeting of the commission.”.

    Amend sec. 3, page 3, line 45, by deleting “ad valorem” and inserting: “[ad valorem] property”.

    Amend sec. 3, page 4, lines 1 and 3, by deleting “ad valorem” and inserting: “[ad valorem] property”.

    Amend sec. 3, page 4, line 16, by deleting “may” and inserting “will”.

    Amend sec. 3, page 4, by deleting lines 17 through 27 and inserting: “affected governmental entity to levy the maximum amount of property taxes that it may levy pursuant to NRS 354.59811, unless:

        (1) The proposal includes a resolution approving the proposal pursuant to subsection 3 of section 3 of this act from each affected governmental entity whose ability to levy property taxes will be affected by the commission’s approval of the proposal; or

        (2) The commission has resolved all conflicts between the municipality and all affected governmental entities and has approved the increase in property taxes resulting from the proposal pursuant to section 3 of this act.”.

    Amend sec. 3, page 5, by deleting lines 4 through 15 and inserting: “subsection 4, will affect the ability of an affected governmental entity to levy the maximum amount of property taxes that it may levy pursuant to NRS 354.59811, unless:

    (a) The proposal includes a resolution approving the proposal pursuant to subsection 3 of section 3 of this act from each affected governmental entity whose ability to levy property taxes will be affected by the commission’s approval of the proposal; or

    (b) The commission has resolved all conflicts between the municipality and all affected governmental entities and has approved the increase in property taxes resulting from the proposal pursuant to section 3 of this act.”.

    Amend sec. 3, page 5, between lines 18 and 19, by inserting:

    “8.  As used in this section, “affected governmental entity” has the meaning ascribed to it in subsection 9 of section 3 of this act.”.

    Amend the bill as a whole by renumbering sections 4 through 6 as sections 8 through 10 and adding a new section designated sec. 7, following sec. 3, to read as follows:

    “Sec. 7. NRS 350.005 is hereby amended to read as follows:

    350.005  1.  The governing body of the municipality proposing to incur general obligation debt or levy a special elective tax and the board of trustees of a general improvement district whose population within its boundaries is less than 5,000, who proposes to borrow money and issue any securities other than securities representing a general obligation debt, shall notify the secretary of each appropriate commission, and shall submit a statement of its proposal in sufficient number of copies for each member of the commission. The secretary, with the approval of the chairman, shall, within 10 days, give notice of a meeting, in the manner required by chapter 241 of NRS, to be held not more than 20 days thereafter. He shall provide a copy of the proposal to each member with the notice of the meeting, and mail notice of the meeting to the chief financial officer of each municipality in the county which has complied with subsection 1 of NRS 350.0035 within the past year.

    2.  The commission may grant a conditional or provisional approval of such proposal. Such conditions or provisions are limited to the scheduling of:

    (a) The issuance and retirement of securities, if the proposal is to incur general obligation debt; or

    (b) The imposition of the tax, if the proposal is to levy a special elective tax.

    3.  If the proposal is from a municipality, the commission may not approve any portion of the proposal that is not included in the statement filed pursuant to paragraph (b) of subsection 1 of NRS 350.0035, as updated pursuant to subsection 3 or 4 of NRS 350.0035.

    4.  The commission may adjourn a meeting called to consider a particular proposal no more than once, for no more than 10 days. Notification of the approval or disapproval of its proposal must be sent to the governing body within 3 days after the meeting.”.

    Amend sec. 4, page 5, line 23, by deleting “1” and inserting “3”.

    Amend sec. 4, page 5, lines 41 and 42, by deleting “90 percent” and inserting: “[90 percent] the specified percentage, pursuant to subsection 1 of section 2 of this act,”.

    Amend sec. 4, page 5, line 44, by deleting “levy;” and inserting: “levy [;] in accordance with the priorities established pursuant to subsection 2 of section 2 of this act;”.

    Amend sec. 4, page 5, line 47, by deleting “paragraph (a)” and inserting: “[paragraph] paragraphs (a) and (b)”.

    Amend the title of the bill by deleting the fifth through eighth lines and inserting: “increase of property taxes and authorizing the establishment of certain methods relating thereto; authorizing a debt management commission to establish a procedure for allowing a municipality to reserve a percentage of the remaining allowable increase of property taxes within a certain geographical area; revising the duties of the debt management commission relating to consideration of a proposal to incur general obligation debt or levy a special elective tax, and amending the conditions pursuant to which the debt management commission is authorized to grant approval of such a proposal; revising the duties of a municipality with regard to filing and amending statements of current and contemplated general obligation debt and special elective taxes; and providing other matters”.

    Senator O'Connell moved the adoption of the amendment.

    Remarks by Senators O'Connell and Coffin.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 133.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:

    Amendment No. 614.

    Amend the bill as a whole by deleting sections 1 through 6 and adding new sections designated sections 1 through 12, following the enacting clause, to read as follows:

    “Section 1. Chapter 631 of NRS is hereby amended by adding thereto the provisions set forth as sections 2, 3 and 4 of this act.

    Sec. 2. 1.  The board shall, without a clinical demonstration required by NRS 631.240, issue a temporary license to practice dentistry to a person who:

    (a) Has a license to practice dentistry issued pursuant to the laws of another state or territory of the United States or the District of Columbia;

    (b) Has practiced dentistry pursuant to the laws of another state or territory of the United States or the District of Columbia for a minimum of 5 years;

    (c) Has not had his license to practice dentistry revoked or suspended in this state, another state or territory of the United States or the District of Columbia;

    (d) Has not been refused a license to practice dentistry in this state, another state or territory of the United States or the District of Columbia;

    (e) Is not involved in or does not have pending a disciplinary action concerning his license to practice dentistry in this state, another state or territory of the United States or the District of Columbia;

    (f) Pays the application, examination and renewal fees in the same manner as a person licensed pursuant to NRS 631.240; and

    (g) Submits the statement required by NRS 631.225.

    2.  A person to whom a temporary license is issued pursuant to subsection 1 may:

    (a) Practice dentistry for the duration of the temporary license; and

    (b) Apply for a permanent license to practice dentistry without a clinical demonstration required by NRS 631.240 if:

        (1) The person has held a temporary license to practice dentistry pursuant to subsection 1 for a minimum of 2 years; and

        (2) The person has not been involved in any disciplinary action during the time he has held a temporary license pursuant to subsection 1.

    3.  The board shall examine each applicant in writing on the contents and interpretation of this chapter and the regulations of the board.

    Sec. 3. 1.  The board may, without a clinical demonstration required by NRS 631.240, issue a specialist’s license to a person who:

    (a) Presents a current certification as a diplomate from a certifying board approved by the Commission on Dental Accreditation of the American Dental Association;

    (b) Has an active license to practice dentistry pursuant to the laws of another state or territory of the United States or the District of Columbia;

    (c) Is a specialist as identified by the board;

    (d) Pays the application, examination and renewal fees in the same manner as a person licensed pursuant to NRS 631.240; and

    (e) Submits the statement required by NRS 631.225.

    2.  The board shall not issue a specialist’s license to a person:

    (a) Whose license to practice dentistry has been revoked or suspended;

    (b) Who has been refused a license to practice dentistry; or

    (c) Who is involved in or has pending a disciplinary action concerning his license to practice dentistry, in this state, another state or territory of the United States or the District of Columbia.

    3.  The board shall examine each applicant in writing on the contents and interpretation of this chapter and the regulations of the board.

    4.  A person to whom a specialist’s license is issued pursuant to this section shall limit his practice to the specialty.

    5.  The board shall revoke a specialist’s license at any time upon proof satisfactory to the board that the holder of the license violated any provision of this chapter or the regulations of the board.

    Sec. 4. 1.  The board shall, without a clinical demonstration required by NRS 631.240 or a practical examination required by NRS 631.300, issue a restricted geographical license to practice dentistry or dental hygiene to a person if he meets the requirements of subsection 2 and:

    (a) A board of county commissioners submits a request that the board of dental examiners of Nevada waive the requirements of NRS 631.240 or 631.300 for any applicant intending to practice dentistry or dental hygiene in a rural area of a county in which dental or dental hygiene needs are underserved as that term is defined by the officer of rural health of the University of Nevada School of Medicine; or

    (b) The director of a federally qualified health center or a nonprofit clinic submits a request that the board waive the requirements of NRS 631.240 or 631.300 for any applicant who has entered into a contract with a federally qualified health center or nonprofit clinic which treats underserved populations in Washoe County or Clark County.

    2.  A person may apply for a restricted geographical license if he:

    (a) Has a license to practice dentistry or dental hygiene issued pursuant to the laws of another state or territory of the United States or the District of Columbia;

    (b) Is otherwise qualified for a license to practice dentistry or dental hygiene in this state;

    (c) Pays the application, examination and renewal fees in the same manner as a person licensed pursuant to NRS 631.240 or 631.300; and

    (d) Submits the statement required by NRS 631.225.

    3.  The board shall not issue a restricted geographical license to a person:

    (a) Whose license to practice dentistry or dental hygiene has been revoked or suspended;

    (b) Who has been refused a license to practice dentistry or dental hygiene; or

    (c) Who is involved in or has pending a disciplinary action concerning his license to practice dentistry or dental hygiene, in this state, another state or territory of the United States or the District of Columbia.

    4.  The board shall examine each applicant in writing on the contents and interpretation of this chapter and the regulations of the board.

    5.  A person to whom a restricted geographical license is issued pursuant to this section:

    (a) May practice dentistry or dental hygiene only in the county which has requested the restricted geographical licensure pursuant to paragraph (a) of subsection 1.

    (b) Shall not, for the duration of the restricted geographical license, engage in the private practice of dentistry or dental hygiene in this state or accept compensation for the practice of dentistry or dental hygiene except such compensation as may be paid to him by a federally qualified health center or nonprofit clinic pursuant to paragraph (b) of subsection 1.

    6.  Within 7 days after the termination of his contract pursuant to paragraph (b) of subsection 1, the holder of a restricted geographical license shall notify the board of the termination, in writing, and surrender the restricted geographical license.

    7.  A person to whom a restricted geographical license was issued pursuant to this section may petition the board for an unrestricted license without a clinical demonstration required by NRS 631.240 or a practical examination required by NRS 631.300 if the person:

    (a) Has not had his license to practice dentistry or dental hygiene revoked or suspended in this state, another state or territory of the United States or the District of Columbia;

    (b) Has not been refused a license to practice dentistry or dental hygiene in this state, another state or territory of the United States or the District of Columbia;

    (c) Is not involved in or does not have pending a disciplinary action concerning his license to practice dentistry or dental hygiene in this state, another state or territory of the United States or the District of Columbia; and

    (d) Has:

        (1) Actively practiced dentistry or dental hygiene for 3 years at a minimum of 30 hours per week in the restricted geographical area; or

        (2) Been under contract with a federally qualified health center or nonprofit clinic for a minimum of 3 years.

    8.  The board shall revoke a restricted geographical license at any time upon proof satisfactory to the board that the holder of the license violated any provision of this chapter or the regulations of the board.

    Sec. 5. NRS 631.240 is hereby amended to read as follows:

    631.240  1.  Any person desiring to obtain a license to practice dentistry in this state, after having complied with the regulations of the board to determine eligibility, must:

    (a) Present to the board a certificate granted by the [National Board of Dental Examiners] Joint Commission on National Dental Examinations which contains a notation that [he] the applicant has passed the [board’s examination] National Board Dental Examination with an average score of at least 75; and

    (b) Be examined by the board on [his] the applicant’s practical knowledge of dentistry.

    2.  The board shall examine each applicant in writing on the contents and interpretation of this chapter [631 of NRS] and the regulations of the board.

    3.  Except as otherwise provided in NRS 631.271 [,] and sections 2, 3 and 4 of this act, the examination required by paragraph (b) of subsection 1 must include clinical demonstrations of the applicant’s skill in dentistry.

    4.  All persons who present the appropriate certificate and successfully complete the examination must be registered as licensed dentists on the board register, as provided in this chapter, and are entitled to receive a certificate of registration, signed by the member of the board who is a representative of the general public and those members of the board who are dentists.

    Sec. 6. NRS 631.240 is hereby amended to read as follows:

    631.240  1.  Any person desiring to obtain a license to practice dentistry in this state, after having complied with the regulations of the board to determine eligibility, must:

    (a) Present to the board a certificate granted by the Joint Commission on National Dental Examinations which contains a notation that the applicant has passed the National Board Dental Examination with an average score of at least 75; and

    (b) Be examined by the board on the applicant’s practical knowledge of dentistry.

    2.  The board shall examine each applicant in writing on the contents and interpretation of this chapter and the regulations of the board.

    3.  Except as otherwise provided in NRS 631.271 and sections [2,] 3 and 4 of this act, the examination required by paragraph (b) of subsection 1 must include clinical demonstrations of the applicant’s skill in dentistry.

    4.  All persons who present the appropriate certificate and successfully complete the examination must be registered as licensed dentists on the board register, as provided in this chapter, and are entitled to receive a certificate of registration, signed by the member of the board who is a representative of the general public and those members of the board who are dentists.

    Sec. 7. NRS 631.250 is hereby amended to read as follows:

    631.250  1.  The board may issue a specialist’s license authorizing a [licensed] dentist licensed in this state to announce, hold himself out and practice as a specialist in a special area of dentistry for which there is a certifying board approved by the Commission on Dental Accreditation of the American Dental Association.

    2.  No [licensee] dentist licensed in this state may announce or hold himself out to the public as a specialist or practice as a specialist unless he has successfully completed the educational requirements currently specified for qualification in the special area by the certifying board.

    3.  A [licensed] dentist licensed in this state who has successfully completed those educational requirements, has passed the general dentistry examination and has been issued a specialist’s license under this section may commence specialty practice immediately in the special area without:

    (a) Examination by the certifying board.

    (b) Certification as a diplomate of the certifying board.

    4.  A dentist licensed in this state to whom a specialist’s license [has been issued must] is issued shall limit his practice to the specialty.

    Sec. 8. NRS 631.300 is hereby amended to read as follows:

    631.300  1.  Any person desiring to obtain a license to practice dental hygiene, after having complied with the regulations of the board to determine eligibility, must be examined by the board upon such subjects as the board deems necessary, and, except as otherwise provided in NRS 631.271[,] and section 4 of this act, be given a practical examination in dental hygiene, including, but not limited to, the removal of deposits from, and the polishing of, the exposed surface of the teeth.

    2.  The examination must be:

    (a) Written, oral or a combination of both; and

    (b) Practical, as in the opinion of the board is necessary to test the qualifications of the applicant.

    3.  The board shall examine each applicant in writing on the contents and interpretation of this chapter [631 of NRS] and the regulations of the board.

    4.  In lieu of the written examination which may be required by subsection 2, the board shall recognize a certificate from the [National Board of Dental Examiners] Joint Commission on National Dental Examinations which contains a notation that the applicant has passed the [examination of the board] National Board Dental Examination with a score of at least 75.

    Sec. 9. Section 2 of this act is hereby amended to read as follows:

    Sec. 2.  1.  The board shall, without a clinical demonstration required by NRS 631.240, issue a temporary license to practice dentistry to a person who:

    (a) Has a license to practice dentistry issued pursuant to the laws of another state or territory of the United States or the District of Columbia;

    (b) Has practiced dentistry pursuant to the laws of another state or territory of the United States or the District of Columbia for a minimum of 5 years;

    (c) Has not had his license to practice dentistry revoked or suspended in this state, another state or territory of the United States or the District of Columbia;

    (d) Has not been refused a license to practice dentistry in this state, another state or territory of the United States or the District of Columbia;

    (e) Is not involved in or does not have pending a disciplinary action concerning his license to practice dentistry in this state, another state or territory of the United States or the District of Columbia; and

    (f) Pays the application, examination and renewal fees in the same manner as a person licensed pursuant to NRS 631.240 . [; and

    (g) Submits the statement required by NRS 631.225.]

    2.  A person to whom a temporary license is issued pursuant to subsection 1 may:

    (a) Practice dentistry for the duration of the temporary license; and

    (b) Apply for a permanent license to practice dentistry without a clinical demonstration required by NRS 631.240 if:

        (1) The person has held a temporary license to practice dentistry pursuant to subsection 1 for a minimum of 2 years; and

        (2) The person has not been involved in any disciplinary action during the time he has held a temporary license pursuant to subsection 1.

    3.  The board shall examine each applicant in writing on the contents and interpretation of this chapter and the regulations of the board.

    Sec. 10. Section 3 of this act is hereby amended to read as follows:

    Sec. 3.  1.  The board may, without a clinical demonstration required by NRS 631.240, issue a specialist’s license to a person who:

    (a) Presents a current certification as a diplomate from a certifying board approved by the Commission on Dental Accreditation of the American Dental Association;

    (b) Has an active license to practice dentistry pursuant to the laws of another state or territory of the United States or the District of Columbia;

    (c) Is a specialist as identified by the board; and

    (d) Pays the application, examination and renewal fees in the same manner as a person licensed pursuant to NRS 631.240 . [; and

    (e) Submits the statement required by NRS 631.225.]

    2.  The board shall not issue a specialist’s license to a person:

    (a) Whose license to practice dentistry has been revoked or suspended;

    (b) Who has been refused a license to practice dentistry; or

    (c) Who is involved in or has pending a disciplinary action concerning his license to practice dentistry, in this state, another state or territory of the United States or the District of Columbia.

    3.  The board shall examine each applicant in writing on the contents and interpretation of this chapter and the regulations of the board.

    4.  A person to whom a specialist’s license is issued pursuant to this section shall limit his practice to the specialty.

    5.  The board shall revoke a specialist’s license at any time upon proof satisfactory to the board that the holder of the license violated any provision of this chapter or the regulations of the board.

    Sec. 11. Section 4 of this act is hereby amended to read as follows:

    Sec. 4.  1.  The board shall, without a clinical demonstration required by NRS 631.240 or a practical examination required by NRS 631.300, issue a restricted geographical license to practice dentistry or dental hygiene to a person if he meets the requirements of subsection 2 and:

    (a) A board of county commissioners submits a request that the board of dental examiners of Nevada waive the requirements of NRS 631.240 or 631.300 for any applicant intending to practice dentistry or dental hygiene in a rural area of a county in which dental or dental hygiene needs are underserved as that term is defined by the officer of rural health of the University of Nevada School of Medicine; or

    (b) The director of a federally qualified health center or a nonprofit clinic submits a request that the board waive the requirements of NRS 631.240 or 631.300 for any applicant who has entered into a contract with a federally qualified health center or nonprofit clinic which treats underserved populations in Washoe County or Clark County.

    2.  A person may apply for a restricted geographical license if he:

    (a) Has a license to practice dentistry or dental hygiene issued pursuant to the laws of another state or territory of the United States or the District of Columbia;

    (b) Is otherwise qualified for a license to practice dentistry or dental hygiene in this state; and

    (c) Pays the application, examination and renewal fees in the same manner as a person licensed pursuant to NRS 631.240 or 631.300 . [; and

    (d) Submits the statement required by NRS 631.225.]

    3.  The board shall not issue a restricted geographical license to a person:

    (a) Whose license to practice dentistry or dental hygiene has been revoked or suspended;

    (b) Who has been refused a license to practice dentistry or dental hygiene; or

    (c) Who is involved in or has pending a disciplinary action concerning his license to practice dentistry or dental hygiene, in this state, another state or territory of the United States or the District of Columbia.

    4.  The board shall examine each applicant in writing on the contents and interpretation of this chapter and the regulations of the board.

    5.  A person to whom a restricted geographical license is issued pursuant to this section:

    (a) May practice dentistry or dental hygiene only in the county which has requested the restricted geographical licensure pursuant to paragraph (a) of subsection 1.

    (b) Shall not, for the duration of the restricted geographical license, engage in the private practice of dentistry or dental hygiene in this state or accept compensation for the practice of dentistry or dental hygiene except such compensation as may be paid to him by a federally qualified health center or nonprofit clinic pursuant to paragraph (b) of subsection 1.

    6.  Within 7 days after the termination of his contract pursuant to paragraph (b) of subsection 1, the holder of a restricted geographical license shall notify the board of the termination, in writing, and surrender the restricted geographical license.

    7.  A person to whom a restricted geographical license was issued pursuant to this section may petition the board for an unrestricted license without a clinical demonstration required by NRS 631.240 or a practical examination required by NRS 631.300 if the person:

    (a) Has not had his license to practice dentistry or dental hygiene revoked or suspended in this state, another state or territory of the United States or the District of Columbia;

    (b) Has not been refused a license to practice dentistry or dental hygiene in this state, another state or territory of the United States or the District of Columbia;

    (c) Is not involved in or does not have pending a disciplinary action concerning his license to practice dentistry or dental hygiene in this state, another state or territory of the United States or the District of Columbia; and

    (d) Has:

        (1) Actively practiced dentistry or dental hygiene for 3 years at a minimum of 30 hours per week in the restricted geographical area; or

        (2) Been under contract with a federally qualified health center or nonprofit clinic for a minimum of 3 years.

    8.  The board shall revoke a restricted geographical license at any time upon proof satisfactory to the board that the holder of the license violated any provision of this chapter or the regulations of the board.

    Sec. 12.  1.  This section and sections 1 to 5, inclusive, 7 and 8 of this act become effective on October 1, 2001.

    2.  Section 6 of this act becomes effective on October 1, 2005.

    3.  Sections 9, 10 and 11 of this act become effective on the date on which the provisions of 42 U.S.C. § 666 requiring each state to establish procedures under which the state has authority to withhold or suspend, or to restrict the use of professional, occupational and recreational licenses of persons who:

    (a) Have failed to comply with a subpoena or warrant relating to a procedure to determine the paternity of a child or to establish or enforce an obligation for the support of a child; or

    (b) Are in arrears in the payment for the support of one or more children,

are repealed by the Congress of the United States.

    4.  Sections 2, 5 and 9 of this act expire by limitation on September 30, 2005.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to dentistry; authorizing the board of dental examiners of Nevada to issue certain licenses without examination or clinical demonstrations to dentists and dental hygienists licensed in other jurisdictions under certain circumstances; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Authorizes board of dental examiners of Nevada to issue certain licenses without examinations or clinical demonstrations to dentists and dental hygienists licensed in other jurisdictions under certain circumstances. (BDR 54‑241)”.

    Senator Carlton moved the adoption of the amendment.

    Remarks by Senator Carlton.

    Senator Rawson disclosed that he is a dentist and has a son in dental school.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

MOTIONS, RESOLUTIONS AND NOTICES

    Senator Rhoads moved that Senate Bill No. 211 be taken from the Second Reading File and placed on the Secretary’s desk.

    Motion carried.

SECOND READING AND AMENDMENT

    Senate Bill No. 216.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:


    Amendment No. 616.

    Amend the bill as a whole by renumbering section 1 as sec. 5 and adding new sections designated sections 1 through 4, following the enacting clause, to read as follows:

    “Section 1.  Chapter 597 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 6, inclusive, of this act.

    Sec. 2.  1.  The board shall adopt by regulation standards for advertisements used by contractors in connection with the sale of contracts for the repair, restoration, improvement or construction of residential pools or spas.

    2.  The regulations adopted pursuant to subsection 1 must prohibit a contractor from employing “bait and switch” advertising or otherwise intentionally publishing, displaying or circulating any advertisement which is misleading or inaccurate in any material particular or which misrepresents any of the goods or services sold or furnished by the contractor to members of the public.

    3.  The board shall, in adopting the standards required by subsection 1, give consideration to the provisions of chapter 598 of NRS relating to advertisements that constitute deceptive trade practices and, to the extent practicable, adopt standards that are at least as stringent as those provisions.

    4.  A contractor shall not cause to be published or display or circulate any advertisement that does not comply with the standards adopted by the board pursuant to subsection 1.

    5.  As used in this section, “bait and switch” advertising has the meaning ascribed to it in NRS 482.351.

    Sec. 3.  1.  No person may be employed by a contractor to carry out a contract for the repair, restoration, improvement or construction of a residential pool or spa unless he holds a work card issued pursuant to subsection 2 by the sheriff of the county in which the work is to be performed.

    2.  The sheriff of a county shall issue a work card to each person who is required by this section to obtain a work card and who complies with the requirements established by the sheriff for the issuance of such a card. A work card issued pursuant to this section must be renewed each year.

    3.  If the sheriff of a county requires an applicant for a work card to submit a set of his fingerprints with his application, the sheriff may submit the fingerprints to the central repository for Nevada records of criminal history and to the Federal Bureau of Investigation to determine the criminal history of the applicant.

    Sec. 4.  1.  A contractor shall obtain the services of a construction control for each contract he enters into on or after July 1, 2001, for the repair, restoration, improvement or construction of a residential pool or spa.

    2.  The contractor may not:

    (a) Be related to the construction control or to an employee or agent of the construction control; or

    (b) Hold, directly or indirectly, a financial interest in the business of the construction control.

    3.  As used in this section, “construction control” has the meaning ascribed to it in NRS 627.050.”.

    Amend section 1, page 1, by deleting lines 1 through 14 and inserting:

    “Sec. 5.  1.  If a contract for the repair, restoration, improvement or construction of a residential pool or spa entered into on or after July 1, 2001, is later found to be void and unenforceable against the owner pursuant to subsection 5 of NRS 597.719, the obligation of the owner to repay a loan to finance that repair, restoration, improvement or construction is discharged.”.

    Amend the bill as a whole by renumbering sections 2 through 5 as sections 7 through 10, and adding a new section designated sec. 6, following section 1, to read as follows:

    “Sec. 6.  1.  A violation of any provision of NRS 597.716 or 597.719 or sections 2 to 5, inclusive, of this act by a contractor constitutes cause for disciplinary action pursuant to NRS 624.300.

    2.  Any contractor who violates any provision of NRS 597.716 or 519.719 or sections 2 to 5, inclusive, of this act is guilty of a category D felony and shall be punished as provided in NRS 193.130.

    3.  The imposition of a penalty provided for in subsection 2 is not precluded by any disciplinary action taken by the board against a contractor pursuant to the provisions of NRS 624.300 to 624.305, inclusive.”.

    Amend sec. 2, page 2, by deleting lines 36 and 37 and inserting:

    “597.713  As used in this section and NRS 597.716 and 597.719, [“contractor”] and sections 2 to 6, inclusive, of this act:

    1.  “Board” means the state contractors’ board.

    2.  “Contractor” means a person licensed pursuant to the”.

    Amend sec. 3, page 3, line 25, by deleting “section 1” and inserting: “sections 2 to 6, inclusive,”.

    Amend sec. 3, page 3, by deleting lines 31 and 32 and inserting:

    “[7.  A violation of the provisions of this section by a contractor constitutes cause for disciplinary action pursuant to NRS 624.300.]”.

    Amend sec. 4, page 3, by deleting lines 34 through 36 and inserting:

    “597.719  1.  [A] The commissioner of financial institutions, in consultation with the board, shall adopt by regulation a standard contract to be used by contractors for the repair, restoration, improvement or construction of a residential pool or spa and for acquiring a loan to finance that repair, restoration, improvement or construction. On and after October 1, 2001, any contract entered into between a contractor and the owner of a single-family residence for the repair, restoration, improvement or construction of a residential pool or spa must comply with the standard contract adopted by the commissioner.

    2.  Any such contract in an amount of more than $1,000 [entered into between a contractor and the owner of a single-family residence for the construction or alteration of a residential pool or spa] must contain in”.

    Amend sec. 4, page 4, line 16, by deleting “4,” and inserting “[4,] 5,”.

    Amend sec. 4, page 4, by deleting lines 19 through 21 and inserting:

    “[2.] 3.  The contract must contain [, in] :

    (a) A method whereby the owner may initial provisions of the contract, thereby indicating that those provisions have been read and are understood.

    (b) In close proximity to the signatures of the owner and the contractor, a notice stating that the owner [has] :

        (1) May contact the board if assistance is needed to clarify any of the provisions of the contract that the owner does not fully understand; and

        (2) Has the right to request a bond for payment and performance [.

    3.] if such a bond is not otherwise required pursuant to NRS 624.270.”.

    Amend sec. 4, page 4, line 22, by deleting “3.” and inserting “4.”.

    Amend sec. 4, page 4, line 26, by deleting “4.” and inserting “[4.] 5.”.

    Amend sec. 4, page 4, lines 28 and 31, by deleting “section 1” and inserting: “sections 2 to 6, inclusive,”.

    Amend sec. 5, page 4, by deleting lines 37 through 48 and inserting: “residential pools and spas.

    2.  The ombudsman for residential pools and spas shall:

    (a) Assist owners of single-family residences, contractors and financial institutions to understand their rights and responsibilities as set forth in NRS 597.713, 597.716 and 597.719 and sections 2 to 6, inclusive, of this act, and any regulations adopted pursuant thereto.

    (b) Notify the board if it appears that any person has engaged in any act or practice that constitutes a violation of any of the provisions of NRS 597.713, 597.716 and 597.719 or sections 2 to 6, inclusive, of this act, or any regulations adopted pursuant thereto.”.

    Amend the bill as a whole by deleting sec. 6 and adding new sections designated sections 11 through 17, following sec. 5, to read as follows:

    “Sec. 11.  NRS 624.262 is hereby amended to read as follows:

    624.262  1.  A licensee or an applicant for a contractor’s license must prove his financial responsibility by demonstrating that his past and current financial solvency and expectations for financial solvency in the future are such as to provide the board with a reasonable expectation that the licensee or applicant can successfully do business as a contractor without jeopardy to the public health, safety and welfare.

    2.  The board shall require a licensee or applicant who engages in the repair, restoration, improvement or construction of residential pools or spas to provide a surety bond or other form of security to guarantee that a comprehensive investigation of his financial responsibility is conducted.

    Sec. 12.  NRS 624.265 is hereby amended to read as follows:

    624.265  1.  An applicant for a contractor’s license or a licensed contractor and each officer, director, partner and associate thereof must possess good character. Lack of character may be established by showing that the applicant or licensed contractor, or any officer, director, partner or associate thereof, has:

    (a) Committed any act which would be grounds for the denial, suspension or revocation of a contractor’s license;

    (b) A bad reputation for honesty and integrity;

    (c) Entered a plea of novo contendere, guilty or guilty but mentally ill to, been found guilty of or been convicted of a crime arising out of, in connection with or related to the activities of such person in such a manner as to demonstrate his unfitness to act as a contractor, and the time for appeal has elapsed or the judgment of conviction has been affirmed on appeal; or

    (d) Had a license revoked or suspended for reasons that would preclude the granting or renewal of a license for which the application has been made.

    2.  Upon the request of the board, an applicant for a contractor’s license, and any officer, director, partner or associate of the applicant, must submit to the board completed fingerprint cards and a form authorizing an investigation of the applicant’s background and the submission of his fingerprints to the central repository for Nevada records of criminal history and the Federal Bureau of Investigation. The fingerprint cards and authorization form submitted must be those that are provided to the applicant by the board. The applicant’s fingerprints may be taken by an agent of the board or an agency of law enforcement.

    3.  Before granting an original contractor’s license to, or renewing the contractor’s license of, an applicant who engages or will engage in the repair, restoration, improvement or construction of residential pools or spas, the board shall require the applicant, and any officer, director, partner or associate of the applicant, to submit to the board completed fingerprint cards and a form authorizing an investigation of their background and the submission of their fingerprints to the central repository for Nevada records of criminal history and the Federal Bureau of Investigation pursuant to subsection 2.

    4.  The board shall keep the results of the investigation confidential and not subject to inspection by the general public.

    [4.] 5.  The board shall establish by regulation the fee for processing the fingerprints to be paid by the applicant. The fee must not exceed the sum of the amounts charged by the central repository for Nevada records of criminal history and the Federal Bureau of Investigation for processing the fingerprints.

    [5.] 6.  The board may obtain records of a law enforcement agency or any other agency that maintains records of criminal history, including, without limitation, records of:

    (a) Arrests;

    (b) Guilty pleas;

    (c) Sentencing;

    (d) Probation;

    (e) Parole;

    (f) Bail;

    (g) Complaints; and

    (h) Final dispositions, for the investigation of a licensee or an applicant for a contractor’s license.

    Sec. 13.  NRS 624.270 is hereby amended to read as follows:

    624.270  1.  Before issuing a contractor’s license to any applicant, the board shall require that the applicant:

    (a) File with the board a surety bond in a form acceptable to the board executed by the contractor as principal with a corporation authorized to transact surety business in the State of Nevada as surety; or

    (b) In lieu of such a bond, establish with the board a cash deposit as provided in this section.

    2.  Before granting renewal of a contractor’s license to any applicant, the board shall require that the applicant file with the board satisfactory evidence that his surety bond or cash deposit is in full force, unless the applicant has been relieved of the requirement as provided in this section.

    3.  Failure of an applicant or licensee to file or maintain in full force the required bond or to establish the required cash deposit constitutes cause for the board to deny, revoke, suspend or refuse to renew a license.

    4.  Except as otherwise provided in subsection 6, the amount of each bond or cash deposit required by this section must be fixed by the board with reference to the contractor’s financial and professional responsibility and the magnitude of his operations, but must be not less than $1,000 or more than $100,000. The bond must be continuous in form and must be conditioned that the total aggregate liability of the surety for all claims is limited to the face amount of the bond irrespective of the number of years the bond is in force. The board may increase or reduce the amount of any bond or cash deposit if evidence supporting such a change in the amount is presented to the board at the time application is made for renewal of a license or at any hearing conducted pursuant to NRS 624.291. Unless released earlier pursuant to subsection 5, any cash deposit may be withdrawn 2 years after termination of the license in connection with which it was established, or 2 years after completion of all work authorized by the board after termination of the license, whichever occurs later, if there is no outstanding claim against it.

    5.  After a licensee has acted in the capacity of a licensed contractor in the State of Nevada for not less than 5 consecutive years, the board may relieve the licensee of the requirement of filing a bond or establishing a cash deposit if evidence supporting such relief is presented to the board. The board may at any time thereafter require the licensee to file a new bond or establish a new cash deposit as provided in subsection 4 [if] :

    (a) If evidence is presented to the board supporting this requirement [or, pursuant] ;

    (b) Pursuant to subsection 6, after notification of a final written decision by the labor commissioner [.] ; or

    (c) Pursuant to subsection 7.

If a licensee is relieved of the requirement of establishing a cash deposit, the deposit may be withdrawn 2 years after such relief is granted, if there is no outstanding claim against it.

    6.  If the board is notified by the labor commissioner pursuant to NRS 607.165 that three substantiated claims for wages have been filed against a contractor within a 2-year period, the board shall require the contractor to file a bond or establish a cash deposit in an amount fixed by the board. The contractor shall maintain the bond or cash deposit for the period required by the board.

    7.  The board may require a contractor who engages in the repair, restoration, improvement or construction of residential pools or spas to file a bond or establish a cash deposit in an amount fixed by the board if the board:

    (a) Has received a complaint against the contractor regarding the repair, restoration, improvement or construction of a residential pool or spa and determines that the contractor has committed an act which constitutes a cause for disciplinary action; or

    (b) Determines that the contractor has entered into a contract which did not comply with the provisions of NRS 597.716 or 597.719.

The contractor shall maintain the bond or cash deposit for the period required by the board.

    8.  As used in this section, “substantiated claims for wages” has the meaning ascribed to it in NRS 607.165.

    Sec. 14.  NRS 624.750 is hereby amended to read as follows:

    624.750  1.  It is unlawful for a person to commit any act or omission described in subsection 2 of NRS 624.3013, NRS 624.3014 or subsection 1, 3 or 7 of NRS 624.3016.

    2.  [Any] Unless a greater penalty is otherwise provided by specific statute, any person who violates subsection 1, NRS 624.305, subsection 1 of NRS 624.700 or NRS 624.720 or 624.740:

    (a) For a first offense, is guilty of a misdemeanor and shall be punished by a fine of not more than $1,000, and may be further punished by imprisonment in the county jail for not more than 6 months.

    (b) For the second offense, is guilty of a gross misdemeanor and shall be punished by a fine of not less than $2,000 nor more than $4,000, and may be further punished by imprisonment in the county jail for not more than 1 year.

    (c) For the third or subsequent offense, is guilty of a class E felony and shall be punished by a fine of not less than $5,000 nor more than $10,000 and may be further punished by imprisonment in the state prison for not less than 1 year and not more than 4 years.

    3.  Imposition of a penalty provided for in this section is not precluded by any disciplinary action taken by the board against a contractor pursuant to the provisions of NRS 624.300 to 624.305, inclusive.

    Sec. 15.  NRS 627.175 is hereby amended to read as follows:

    627.175  [The]

    1.  Except as otherwise provided in subsection 2, the following shall not be a construction control or subject to the provisions of this chapter:

    [1.] (a) A contractor licensed under the laws of the State of Nevada, paying a subcontractor, supplier of material, laborer [,] or other person for bills incurred in the construction, repair, alteration or improvement of any premises.

    [2.] (b) A subcontractor licensed to do business under the laws of the State of Nevada, paying a subcontractor, supplier of material, laborer or other person for bills incurred in the construction, repair, alteration or improvement of any premises.

    [3.] (c) An owner-contractor paying a contractor, subcontractor, supplier of material, laborer or other person for bills incurred in the construction, repair, alteration or improvement of any premises.

    [4.] (d) A lender of construction loan [moneys,] money, provided that he disburses the [funds] money directly to a contractor authorized by the borrower to do the work, or disburses the [funds] money directly to the owner of the premises.

    [5.] (e) A lender of construction loan [moneys,] money, to an owner of a residential property or to an owner of not more than four units if the loan is made to repair or improve such property and the construction costs are $10,000 or less, or 35 percent of the appraised value of the improvements and repairs, whichever is greater.

    2.  The provisions of this chapter apply to a contractor who is required to obtain the services of a construction control pursuant to the provisions of section 4 of this act.

    Sec. 16.  The amendatory provisions of this act do not apply to offenses committed before July 1, 2001.

    Sec. 17.  1.  This section and section 1 of this act become effective upon passage and approval.

    2.  Sections 2 and 9 of this act become effective upon passage and approval for the purpose of adopting regulations necessary to carry out those sections and on October 1, 2001, for all other purposes.

    3.  Section 3 of this act becomes effective 60 days after passage and approval of this act.

    4.  Sections 4 to 8, inclusive, and 10 to 16, inclusive, of this act become effective on July 1, 2001.”.

    Amend the title of the bill by deleting the second through fifth lines and inserting: “restoration, improvement or construction of residential pools and spas; providing for the adoption of standards for advertisements used by contractors who repair, restore, improve or construct such pools and spas; requiring the commissioner of financial institutions to adopt a standard contract for use by such contractors; providing for the designation of an ombudsman for residential pools and spas; providing a penalty; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Makes various changes to provisions governing contracts for repair, restoration, improvement or construction of residential pools and spas. (BDR 52-1037)”.

    Senator Carlton moved the adoption of the amendment.

    Remarks by Senator Carlton.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 273.

    Bill read second time.

    The following amendment was proposed by the Committee on Taxation:

    Amendment No. 289.

    Amend the bill as a whole by deleting sections 1 through 10 and adding new sections designated sections 1 through 3, following the enacting clause, to read as follows:

    “Section 1.  Chapter 374 of NRS is hereby amended by adding thereto a new section to read as follows:

    1.  There are exempted from the taxes imposed by this chapter the gross receipts from the sale of, and the storage, use or other consumption in this state of, any product or system designed or adapted to use renewable energy to generate electricity and all of its integral components.

    2.  As used in this section:

    (a) “Biomass” means any organic matter that is available on a renewable basis, including, without limitation:

        (1) Agricultural crops and agricultural wastes and residues;

        (2) Wood and wood wastes and residues;

        (3) Animal wastes;

        (4) Municipal wastes; and

        (5) Aquatic plants.

    (b) “Fuel cell” means a device or contrivance that, through the chemical process of combining ions of hydrogen and oxygen, produces electricity and water.

    (c) “Renewable energy” means a source of energy that occurs naturally or is regenerated naturally, including, without limitation:

        (1) Biomass;

        (2) Fuel cells;

        (3) Geothermal energy;

        (4) Solar energy;

        (5) Waterpower; and

        (6) Wind.

The term does not include coal, natural gas, oil, propane or any other fossil fuel, or nuclear energy.

    (d) “System designed or adapted to use renewable energy to generate electricity” means a system of related components:

        (1) From which at least 75 percent of the electricity generated is produced from one or more sources of renewable energy; and

        (2) That is designed to work as an integral package such that the system is not complete without one of its related components.

    Sec. 2.  NRS 374.265 is hereby amended to read as follows:

    “Exempted from the taxes imposed by this chapter,” as used in NRS 374.265 to 374.355, inclusive, and section 1 of this act, means exempted from the computation of the amount of taxes imposed.”.

    Sec. 3.  1.  This section become effective on July 1, 2001.

    2.  Sections 1 and 2 of this act become effective on July 1, 2001, for the purpose of adopting regulations and on January 1, 2002, for all other purposes.

    3.  This act expires by limitation on June 30, 2003.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to taxation; exempting from the local school support tax and certain analogous taxes certain systems designed or adapted to use renewable energy to generate electricity; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY¾Exempts from local school support tax and certain analogous taxes certain systems designed or adapted to use renewable energy to generate electricity. (BDR 32‑641)”.

    Senator Rhoads moved the adoption of the amendment.

    Remarks by Senator Rhoads.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 274.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:

    Amendment No. 625.

    Amend the bill as a whole by deleting section 1, renumbering sec. 2 as sec. 10 and adding new sections designated sections 1 through 9, following the enacting clause, to read as follows:

    “Section 1.  Chapter 624 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 9, inclusive, of this act.

    Sec. 2.  As used in NRS 624.610, 624.620 and 624.630 and sections 2 to 9, inclusive, of this act, the words and terms defined in sections 3 and 4 of this act have the meanings ascribed to them in those sections.

    Sec. 3.  “Higher-tiered subcontractor” means a subcontractor under a contract who has entered into an oral or written subcontract with another subcontractor pursuant to which the other subcontractor has agreed to perform any of the duties of the subcontractor under the oral or written subcontract.

    Sec. 4.  “Lower-tiered subcontractor” means a subcontractor who has agreed in an oral or written contract to perform any of the duties of another subcontractor under another oral or written subcontract.

    Sec. 5.  1.  Except as otherwise provided in this section, if a contractor or higher-tiered subcontractor enters into a written subcontract with a subcontractor that includes a schedule for payments, the contractor or higher-tiered subcontractor shall pay the subcontractor on or before the date payment is due. If a written subcontract does not contain a schedule for payments or if a subcontract is oral, the contractor or higher-tiered subcontractor shall pay the subcontractor:

    (a) Within 30 days after the date the subcontractor submits a request for payment; or

    (b) Within 10 days after the date the contractor or higher-tiered subcontractor receives payment for all or a portion of the work, labor, materials, equipment or services described in a request for payment submitted by the subcontractor, whichever is earlier.

    2.  If a contractor or higher-tiered subcontractor has complied with subsection 3, the contractor or higher-tiered subcontractor may:

    (a) Withhold from any payment owed to the subcontractor:

        (1) A retention amount that the subcontractor is authorized to withhold pursuant to the contract;

        (2) An amount equal to the sum of the value of:

            (I) Any work or labor that has not been performed or materials or equipment that has not been furnished for which payment is being sought; and

            (II) Costs and expenses reasonably necessary to correct or repair any work which is the subject of the request for payment and which is not materially in compliance with the subcontract to the extent that such costs and expenses exceed 50 percent of the amount withheld pursuant to subparagraph (1); and

        (3) The amount the owner, contractor or higher-tiered subcontractor has paid or is required to pay pursuant to an official notice from a state agency or employee benefit trust fund, for which the owner, contractor or higher-tiered subcontractor is or may reasonably be liable for the subcontractor or his subcontractors in accordance with chapter 608, 612, 616A to 616D, inclusive, or 617 of NRS; and

    (b) Require as a condition precedent to the payment of any amount due, lien releases furnished by the subcontractor and his lower-tiered subcontractors and suppliers. For purposes of this paragraph:

        (1) If the amount due is paid with a check or is not paid concurrently with the contractor’s or higher-tiered subcontractor’s receipt of the lien releases, the lien releases must be conditioned upon the check clearing the bank upon which it is drawn and the receipt of payment and shall be deemed to become unconditional upon the receipt of payment; and

        (2) The lien releases must be limited to the amount of the payment received.

    3.  If, pursuant to subparagraphs (2) or (3) of paragraph (a) of subsection 2 or paragraph (b) of subsection 2, a contractor or higher-tiered subcontractor intends to withhold any amount from a payment to be made to a subcontractor, the contractor or higher-tiered subcontractor must give, on or before the date the payment is due, a written notice to the subcontractor of any amount that will be withheld and give a copy of such notice to all reputed higher-tiered subcontractors, contractors and the owner. The written notice must:

    (a) Identify the amount of the request for payment that will be withheld from the subcontractor;

    (b) Give a reasonably detailed explanation of the reason the contractor or higher-tiered subcontractor will withhold that amount, including, without limitation, a specific reference to the provision or section of the subcontract, and any documents relating thereto, and the applicable building code, law or regulation with which the subcontractor has failed to comply; and

    (c) Be signed by an authorized agent of the contractor or higher-tiered subcontractor.

    4.  A subcontractor who receives a notice pursuant to subsection 3 may provide written notice to the contractor or higher-tiered subcontractor of the correction of a condition described in the notice received pursuant to subsection 3. The notice of correction must be sufficient to identify the scope and manner of the correction of the condition and be signed by an authorized representative of the subcontractor. If a contractor or higher-tiered subcontractor receives a written notice from the subcontractor of the correction of a condition pursuant to this subsection, the contractor or higher-tiered subcontractor must:

    (a) Pay the amount withheld by the contractor or higher-tiered subcontractor for that condition on or before the date the next payment is due the subcontractor; or

    (b) Object to the scope and manner of the correction of the condition, on or before the date the next payment is due to the subcontractor, in a written statement which sets forth the reason for the objection and which complies with subsection 3. If the contractor or higher-tiered subcontractor objects to the scope and manner of the correction of a condition, he shall nevertheless pay to the subcontractor, along with payment made pursuant to the subcontractor’s next payment request, the amount withheld for the correction of conditions to which the contractor or higher-tiered subcontractor no longer objects.

    Sec. 6.  1.  If a contractor or higher-tiered subcontractor fails to:

    (a) Pay the subcontractor within the time provided in subsection 1 or 4 of section 5 of this act;

    (b) Pay the subcontractor within 45 days after the 25th day of the month in which the subcontractor submits a request for payment, even if the contractor or higher-tiered subcontractor has not been paid and the subcontract contains a provision which requires the contractor or higher-tiered subcontractor to pay the subcontractor only if or when the contractor or higher-tiered subcontractor is paid; or

    (c) Give the subcontractor written notice of any withholding in the time and manner required by subsection 3 or 4 of section 5 of this act,

the subcontractor may stop work under the subcontract until payment is received if the subcontractor gives written notice to the contractor or higher-tiered subcontractor at least 10 days before stopping work.

    2.  If a subcontractor stops work pursuant to paragraph (a) or (c) of subsection 1, the subcontractor may terminate the subcontract by giving written notice of the termination to the contractor or higher-tiered subcontractor after stopping work but at least 15 days before the termination of the subcontract. If the subcontractor is paid the amount due before the date for termination set forth in the written notice, the subcontractor shall not terminate the subcontract and shall resume work.

    3.  If an owner, contractor or a higher-tiered subcontractor through his own act or neglect, or through an act or neglect of his agent, excluding acts of God, floods, fires, labor disputes, strikes or reasonable adjustments in work schedules, causes the work to be stopped for a period of 15 days or more, the subcontractor may terminate the subcontract if:

    (a) The subcontractor gives written notice of his intent to terminate to the contractor or higher-tiered subcontractor at least 10 days before terminating the subcontract; and

    (b) The contractor or higher-tiered subcontractor fails to allow the subcontractor to resume the work within the time set forth in the written notice given pursuant to paragraph (a).

    4.  If a subcontractor stops work pursuant to paragraph (a) or (c) of subsection 1, the contractor or higher-tiered subcontractor may terminate the subcontract by giving the subcontractor written notice of his intent to terminate at least 15 days before terminating the subcontract.

    5.  If the subcontract is terminated pursuant to subsection 3, or if the subcontractor stops work in accordance with this section and the subcontract is terminated pursuant to subsection 2 or 4, the subcontractor is entitled to recover from the contractor or higher-tiered subcontractor with whom he has contracted the amount found by a trier of fact to be due the subcontractor, including, without limitation:

    (a) The cost of all work, labor, materials, equipment and services furnished by and through the subcontractor, including any profit and overhead the subcontractor incurred or earned through the date of termination;

    (b) The profit that the subcontractor and his lower-tiered subcontractors would have received if the subcontract had been performed in full;

    (c) Interest at a rate equal to the rate agreed upon in the subcontract, or, if no interest rate is so provided, interest at a rate equal to the prime rate at the largest bank in this state, as determined by the commissioner of financial institutions on January 1 or July 1, as the case may be, immediately preceding:

        (1) The time the subcontract was signed; or

        (2) If the subcontract was oral, the time the terms of the subcontract were agreed upon by the parties, plus 2 percent; and

    (d) The reasonable costs, including court costs, incurred by the subcontractor and his lower-tiered subcontractors in collecting the amount due.

At any action brought to enforce the rights or obligations set forth in this subsection, the trier of fact may award reasonable attorney’s fees to the subcontractor or, if the trier of fact determines that the subcontractor stopped work or terminated the contract without reasonable cause, the trier of fact may award reasonable attorney’s fees to the contractor or higher-tiered subcontractor.

    6.  If a subcontractor stops work pursuant to this section, each lower-tiered subcontractor with whom the subcontractor has contracted who has not fully performed under the contract may also stop work on the project. If a subcontractor terminates a subcontract pursuant to this section, all such lower-tiered subcontractors may terminate their contracts with the subcontractor.

    7.  The right of a subcontractor to stop work or terminate a subcontract pursuant to this section is in addition to all other rights that the subcontractor may have at law or in equity and does not impair or affect the right of a subcontractor to maintain a civil action or to submit any controversy arising under the contract to arbitration.

    8.  No subcontractor or his lower-tiered subcontractors, or their respective sureties, may be held liable for any delays or damages that an owner, contractor or higher-tiered subcontractor may suffer as a result of the subcontractor stopping his work or terminating a subcontract in accordance with this section.

    Sec. 7.  1.  A subcontractor shall provide a copy of any notice given to a contractor or higher-tiered subcontractor pursuant to this section or section 5 or 6 of this act to each lower-tiered subcontractor with whom the subcontractor has contracted who has not fully performed under the contract. Upon receipt of payment pursuant to section 5 of this act, the subcontractor shall notify all such lower-tiered subcontractors in writing of his receipt of payment.

    2.  A subcontractor shall provide a copy of any notice given to a contractor or higher-tiered subcontractor pursuant to this section or section 5 or 6 of this act to each reputed higher-tiered subcontractor, contractor and the owner, if known. The failure of a subcontractor to comply with this subsection does not invalidate any notice otherwise properly given.

    3.  A condition, stipulation or provision in a subcontract or other agreement which requires a subcontractor to waive any rights provided in this section or section 5 or 6 of this act, or which limits those rights, is void.

    4.  All notices required pursuant to this section or section 5 or 6 of this act must be:

    (a) Delivered personally, in which case the subcontractor shall obtain a notarized statement from the person who delivered the notice as proof of delivery;

    (b) Sent by facsimile and delivered by regular mail, in which case the subcontractor shall retain proof of a successful transmission of the facsimile;

    (c) Delivered by certified mail; or

    (d) Delivered in the manner provided in the contract.

    5.  Within 5 days after a contractor receives a written request for the information set forth in paragraphs (a), (b) and (c) from a subcontractor with respect to a subcontract that has not been fully performed, the contractor shall notify the subcontractor in writing of the following:

    (a) The date the contractor made a specified payment to his subcontractor;

    (b) Whether the contractor has paid his subcontractor the entire amount of a specified payment; and

    (c) The amount withheld by the contractor of a specified payment to his subcontractor and the reason for the withholding.

    Sec. 8.  1.  Except as otherwise provided in subsections 2 and 4 and subsection 4 of section 9 of this act, if an owner of real property enters into a written or oral contract with a contractor for the performance of work by the contractor, the owner must:

    (a) Pay that contractor on or before the date a payment is due pursuant to a schedule for payments established in a written contract; or

    (b) If no such schedule is established or if the contract is oral, pay the contractor within 21 days after the date the contractor submits a request for payment.

    2.  If an owner has complied with subsection 3, the owner may:

    (a) Withhold from any payment to be made to the contractor:

        (1) A retention amount that the owner is authorized to withhold pursuant to the contract;

        (2) An amount equal to the sum of the value of:

            (I) Any work or labor that has not been performed or materials or equipment that has not been furnished for which payment is being sought; and

            (II) Costs and expenses reasonably necessary to correct or repair any work which is the subject of the request for payment and which is not materially in compliance with the contract to the extent that such costs and expenses exceed 50 percent of the amount withheld pursuant to subparagraph (1); and

        (3) The amount the owner has paid or is required to pay pursuant to an official notice from a state agency or employee benefit trust fund, for which the owner is or may reasonably be liable for the contractor or his subcontractors in accordance with chapter 608, 612, 616A to 616D, inclusive, or chapter 617 of NRS; and

    (b) Require as a condition precedent to the payment of any amount due, lien releases furnished by the contractor and his subcontractors and suppliers. For purposes of this paragraph:

        (1) If the amount due is paid with a check or is not paid concurrently with the owner’s receipt of the lien releases, the lien releases must be conditioned upon the check clearing the bank upon which it is drawn and the receipt of payment and shall be deemed to become unconditional upon the receipt of payment; and

        (2) The lien releases must be limited to the amount of the payment received.

    3.  If, pursuant to subparagraph (2) or (3) of paragraph (a) of subsection 2 or paragraph (b) of subsection 2, an owner intends to withhold any amount from a payment to be made to a contractor, the owner must give, on or before the date the payment is due, a written notice to the contractor of any amount that will be withheld. The written notice must:

    (a) Identify the amount of the request for payment that will be withheld from the contractor;

    (b) Give a reasonably detailed explanation of the reason the owner will withhold that amount, including, without limitation, a specific reference to the provision or section of the contract, and any documents relating thereto, and the applicable building code, law or regulation with which the contractor has failed to comply; and

    (c) Be signed by an authorized agent of the owner.

    4.  A contractor who receives a notice pursuant to subsection 3 may provide written notice to the owner of the correction of a condition described in the notice received pursuant to subsection 3. The notice of correction must be sufficient to identify the scope and manner of the correction of the condition and be signed by an authorized representative of the contractor. If an owner receives a written notice from the contractor of the correction of a condition pursuant to this subsection, the owner must:

    (a) Pay the amount withheld by the owner for that condition on or before the date the next payment is due the contractor; or

    (b) Object to the scope and manner of the correction of the condition, on or before the date the next payment is due to the contractor, in a written statement which sets forth the reason for the objection and which complies with subsection 3. If the owner objects to the scope and manner of the correction of a condition, he shall nevertheless pay to the contractor, along with payment made pursuant to the contractor’s next payment request, the amount withheld for the correction of conditions to which the owner no longer objects.

    Sec. 9.  1.  A contractor shall provide a copy of any notice given to an owner pursuant to subsection 1 or 2 of NRS 624.610 to each subcontractor with whom the contractor has contracted who has not fully performed under that contract. Upon receipt of payment pursuant to section 8 of this act, the contractor shall notify all such subcontractors in writing of his receipt of payment.

    2.  A condition, stipulation or provision in a contract or other agreement which requires a contractor to waive any rights provided in this section, NRS 624.610 or section 8 of this act or which limits those rights is void.

    3.  All notices required pursuant to this section, NRS 624.610 and section 8 of this act must be:

    (a) Delivered personally, in which case the contractor shall obtain a notarized statement from the person who delivered the notice as proof of delivery;

    (b) Sent by facsimile and delivered by regular mail, in which case the contractor shall retain proof of a successful transmission of the facsimile;

    (c) Delivered by certified mail; or

    (d) Delivered in the manner provided for in the contract.

    4.  This section, NRS 624.610 and section 8 of this act do not apply to a contract between:

    (a) A residential contractor and a natural person who owns a single-family residence for the performance of qualified services with respect to the residence; and

    (b) A public body and a contractor for the performance of work and labor on a public work.

    5.  Within 5 days after an owner receives a written request for the information set forth in paragraphs (a), (b) and (c) from a subcontractor with respect to a subcontract that has not been fully performed, the owner shall notify the subcontractor in writing of the following:

    (a) The date the owner made a specified payment to his contractor;

    (b) Whether the owner has paid the entire amount of a specified payment to his contractor; and

    (c) The amount withheld by the owner from a specified payment to the contractor and the reason for the withholding.”.

    Amend the bill as a whole by deleting sections 3 and 4 and adding new sections designated sections 11 and 12, following sec. 2, to read as follows:

    “Sec. 11.  NRS 624.610 is hereby amended to read as follows:

    624.610  1.  If [, through no fault or act of a prime contractor or anyone employed by him, the] an owner fails to [pay that contractor:

    (a) Pursuant to their schedule for payments under the contract, or within a reasonable time after maturity and presentation of charges if no schedule is established;

    (b) Any sum certified by the architect, engineer or other supervisory agent of the owner; or

    (c) Such sum as is otherwise properly due, or if] :

    (a) Pay the contractor in the time and manner required by subsection 1 or 4 of section 8 of this act; or

    (b) Give the contractor written notice of any withholding in the time and manner required by subsection 3 or 4 of section 8 of this act,

the contractor may stop work after giving written notice to the owner at least 10 days before stopping work. If a contractor stops work pursuant to this subsection, the contractor may terminate the contract by giving written notice of termination to the owner after stopping work but at least 15 days before terminating the contract. If the contractor is paid the amount due before the date for termination of the contract set forth in the written notice, the contractor shall not terminate the contract and shall resume his work.

    2.  If theowner throughhis own act or neglect, or through an act or neglect of his agent, excluding acts of God, floods, fires [or strikes,] , labor disputes, strikes or reasonable adjustments to work schedules, causes the work to be stopped for a period of [5 working] 15 days or more, the contractor may[, after 5 working days’] terminate the contract if:

    (a) The contractor gives written notice of his intent to terminate to the owner[, stop work or terminate the contract and] at least 10 days before terminating the contract; and

    (b) The owner fails to allow work to resume within the time set forth in the written notice given pursuant to paragraph (a).

    3.  If a contractor stops work pursuant to subsection 1, the owner may terminate the contract by giving the contractor written notice of his intent to terminate at least 15 days before terminating the contract.

    4.  If the contract is terminated pursuant to subsection 2, or if the contractor stops work in accordance with this section and the contract is terminated pursuant to subsection 1 or 3, the contractor is entitled to recover from the owner payment [for] in an amount found by a trier of fact to be due the contractor, including, without limitation:

    (a) The cost of all work [executed.

    2.  If, through no fault of a subcontractor or anyone employed by him, the contractor fails to pay that subcontractor:

    (a) Pursuant to the schedule for payments under the subcontract, or within a reasonable time after maturity and presentation of charges if no schedule is established;

    (b) Any sum certified by the architect, engineer or other supervisory agent of the owner or contractor; or

    (c) Such sum as is otherwise properly due,

or if the contractor through his own acts or neglect, excluding acts of God, floods, fires or strikes, causes the work to be stopped for a period of 5 working days or more, the subcontractor may, after 5 working days’ written notice to the owner and the contractor, stop work or terminate the subcontract and recover from the contractor payment for all work executed. The subcontractor may not be held liable for nonperformance of that subcontract and for the cost incurred by the contractor to complete the work.

    3.  The provisions of subsection 2 do not apply if the contractor’s failure to pay is caused by his need to withhold money pursuant to an official notice from a state agency that he is liable to make payments or contributions for the subcontractor pursuant to chapter 608 or 612 or chapters 616A to 616D, inclusive, or chapter 617 of NRS.] , labor, materials, equipment and services furnished by and through the contractor, including any profit and overhead the contractor incurred or earned through the date of termination;

    (b) The profit that the contractor and his subcontractors would have received if the contract had been performed in full;

    (c) Interest at a rate equal to the rate agreed upon in the contract, or if no interest rate is so provided, then interest at a rate equal to the prime rate at the largest bank in this state, as determined by the commissioner of financial institutions on January 1 or July 1, as the case may be, immediately preceding:

        (1) The time the contract was signed; or

        (2) If the contract was oral, the time the terms of the contract were agreed to by the parties, plus 2 percent; and

    (d) The reasonable costs, including court costs, incurred by the contractor and his subcontractors in collecting the amount due.

At any action brought to enforce the rights or obligations set forth in this subsection, the trier of fact may award reasonable attorney’s fees to the contractor or, if the trier of fact determines that the contractor stopped work or terminated the contract without reasonable cause, the trier of fact may award reasonable attorney’s fees to the owner.

    5.  If a contractor stops work pursuant to subsection 1, each subcontractor with whom the contractor has contracted who has not fully performed under that contract may also stop work on the project. If a contractor terminates a contract pursuant to this section, all such subcontractors may terminate their contracts with the contractor.

    6.  The right of a contractor to stop work or terminate a contract pursuant to this section is in addition to all other rights that the contractor may have at law or in equity and does not impair or affect the right of a contractor to maintain a civil action or to submit any controversy arising under the contract to arbitration.

    7.  No contractor or his subcontractors, or their respective sureties, may be held liable for any delays or damages that an owner may suffer as a result of the contractor stopping his work or terminating a contract in accordance with this section.

    Sec. 12.  NRS 624.620 is hereby amended to read as follows:

    624.620  1.  Except as otherwise provided in [subsections 2, 3 and 5,] this section, any money remaining unpaid for the construction or remodeling of a building is payable to the contractor within 30 days after:

    (a) Occupancy by the owner or by a person acting with the authority of the owner; or

    (b) The availability of a constructed or remodeled building for its intended use. The contractor must have given a written notice of availability to the owner on or before the day on which he claims that the building became available.

    2.  [The] If the owner has complied with subsection 3, the owner may:

    (a) Withhold payment for the amount of [any disputed or uncompleted items if he notifies the contractor in writing at the time of withholding as to any disputed items.] :

        (1) Any work or labor that has not been performed or materials or equipment that has not been furnished for which payment is sought;

        (2) The costs and expenses reasonably necessary to correct or repair any work that is not materially in compliance with the contract to the extent that such costs and expenses exceed 50 percent of the amount of retention being withheld pursuant to the terms of the contract; and

        (3) Money the owner has paid or is required to pay pursuant to an official notice from a state agency, or employee benefit trust fund, for which the owner is liable for the contractor or his subcontractors in accordance with chapter 608, 612, 616A to 616D, inclusive, or chapter 617 of NRS.

    (b) Require, as a condition precedent to the payment of any [money] unpaid amount under the construction contract, that [waivers of] lien releases be furnished by the contractor’s subcontractors, suppliers or employees. For purposes of this paragraph:

        (1) If the amount due is paid with a check or is not paid concurrently with the owner’s receipt of the lien releases, the lien releases must be conditioned upon the check clearing the bank upon which it is drawn and the receipt of payment and shall be deemed to become unconditional upon the receipt of payment; and

        (2) The lien releases must be limited to the amount of the payment received.

    3.  If pursuant to paragraph (a) of subsection 2, an owner intends to withhold any amount from a payment to be made to a contractor, the owner must, on or before the date the payment is due, give written notice to the contractor of any amount that will be withheld. The written notice must:

    (a) Identify the amount that will be withheld from the contractor;

    (b) Give a reasonably detailed explanation of the reason the owner will withhold that amount, including, without limitation, a specific reference to the provision or section of the contract, and any documents relating thereto, and the applicable building code, law or regulation with which the contractor has failed to comply; and

    (c) Be signed by an authorized agent of the owner.

    4.  A contractor who receives a notice pursuant to subsection 3 may provide written notice to the owner of the correction of a condition described in the notice received pursuant to subsection 3. The notice of correction must be sufficient to identify the scope and manner of the correction of the condition and be signed by an authorized representative of the contractor. If an owner receives a written notice from the contractor of the correction of a condition described in an owner’s notice of withholding pursuant to subsection 3, the owner must, within 10 days after receipt of such notice:

    (a) Pay the amount withheld by the owner for that condition; or

    (b) Object to the scope and manner of the correction of the condition in a written statement that sets forth the reason for the objection and complies with subsection 3. If the owner objects to the scope and manner of the correction of a condition, he shall nevertheless pay to the contractor, along with payment made pursuant to the contractor’s next payment request, the amount withheld for the correction of conditions to which the owner no longer objects.

    5.  The partial occupancy or availability of a building requires payment in direct proportion to the value of the part of the building which is partially occupied or partially available. For projects which involve more than one building, each building must be considered separately in determining the amount of money which is payable to the contractor.

    [4.] 6.  Unless otherwise provided in the construction contract, any money which is payable to a contractor pursuant to this section accrues interest at a rate equal to the lowest daily prime rate at the [three largest United States banking institutions on the date the contract is executed plus] largest bank in this state, as determined by the commissioner of financial institutions on January 1 or July 1, as the case may be, immediately preceding:

    (a) The time the contract was signed; or

    (b) If the contract was oral, the time the terms of the contract were agreed to by the parties, plus 2 percent . [, from 30 days after the date on which the money became payable until the date of payment.

    5.] 7.  This section does not apply to:

    (a) Any residential building; or

    (b) Public works.”.

    Senator Carlton moved the adoption of the amendment.

    Remarks by Senators Carlton, Titus and Neal.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 295.

    Bill read second time.

    The following amendment was proposed by the Committee on Judiciary:

    Amendment No. 368.

    Amend the bill as a whole by deleting sections 1 through 14 and adding new sections designated sections 1 through 24, following the enacting clause, to read as follows:

    “Section 1.  Chapter 128 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 12, inclusive, of this act.

    Sec. 2.  “Division” means the health division of the department of human resources.

    Sec. 3.  “Registrant” means a putative father who has registered with the registry pursuant to section 6 of this act.

    Sec. 4.  “Registry” means the registry of putative fathers established pursuant to section 5 of this act.

    Sec. 5.  1.  The division shall establish a registry of putative fathers.

    2.  The registry must include, without limitation, the following information pertaining to a registrant who has not withdrawn his registration:

    (a) The name of the registrant;

    (b) The date of birth of the registrant;

    (c) The name and date of birth of the child who is the subject of the registration, if known;

    (d) The address at which the registrant wishes to receive notice of the filing of a petition for termination of parental rights; and

    (e) The name of the mother of the child and any known aliases used by the mother.

    3.  The division shall establish and maintain a statewide campaign to ensure that the public is aware of the existence and purpose of the registry.

    Sec. 6.  1.  A person who is the putative father of a child may, before the birth of the child or within 30 days after the birth of the child, register with the registry by submitting to the division a registration form in the manner prescribed in the regulations adopted by the division pursuant to section 11 of this act.

    2.  A registration form shall be deemed to be filed in the registry at the time of receipt that is recorded on the registration form by the division.

    3.  A registrant shall notify the division of his new address not later than 5 days after changing the address at which he wishes to receive notice of a filing of a petition for termination of parental rights or summary petition for termination of parental rights, as applicable.

    Sec. 7.  1.  Upon receipt of a written and notarized request of a registrant to withdraw his registration from the registry, the division shall:

    (a) Remove from the registry and destroy all information, whether tangible or intangible, pertaining to the registrant; and

    (b) Refuse to disclose any information pertaining to the registrant or pertaining to the fact that the registrant registered with the registry or requested the withdrawal of his registration.

    2.  A registrant who withdraws his registration pursuant to this section may not submit another registration form for the same child for which he previously registered.

    Sec. 8.  1.  An agency described in NRS 127.050, a person who has filed a petition for termination of parental rights pursuant to this chapter or an attorney acting on behalf of a person who has filed a petition for termination of parental rights pursuant to this chapter may request that the division search the registry to determine whether a person who is the subject of a petition for termination of parental rights filed pursuant to this chapter has registered as the putative father of the child.

    2.  After conducting a search of the registry, if the division determines that a person has registered as the putative father of the child, the division shall:

    (a) Provide the agency or person described in subsection 1 with a certified copy of the registration form submitted by the registrant which indicates the date and time of receipt of the registration form; and

    (b) Notify the registrant by certified mail that:

        (1) A petition or summary petition, as applicable, for the termination of his parental rights has been filed;

        (2) A search of the registry was conducted pursuant to this section; and

        (3) A copy of his registration form was provided to an agency or a person described in subsection 1.

    3.  After conducting a search of the registry, if the division determines that a person has not registered as the putative father of the child, the division shall provide the agency or person described in subsection 1 with a certified statement verifying that:

    (a) A search of the registry was conducted; and

    (b) No person has registered as the putative father of the child.

    Sec. 9.  The division shall not charge any fee for:

    1.  Registering with the registry;

    2.  Withdrawing a registration from the registry;

    3.  Conducting a search of the registry; or

    4.  Providing a certified copy of a registration form or a certified statement pursuant to section 8 of this act.

    Sec. 10.  1.  Except as otherwise provided in this section, all information contained in the registry is confidential and must not be released to any person.

    2.  Information concerning a registrant may be released to:

    (a) A court of competent jurisdiction.

    (b) An agency or a person described in section 8 of this act who submits a written request for a search of the registry.

    (c) A person who submits a written request for the information accompanied by a notarized statement from the registrant authorizing the release of the information.

    (d) A person authorized to receive the information pursuant to an order of a court of competent jurisdiction.

    (e) The state, any political subdivision of the state and any agency of the state or of a political subdivision of the state that is responsible for establishing and enforcing obligations of child support, but the information released must not be used for any purpose other than establishing and enforcing obligations of child support.

    Sec. 11.  The division shall adopt regulations to carry out the provisions of sections 2 to 10, inclusive, of this act.

    Sec. 12.  1.  If the mother of a child relinquishes or proposes to relinquish for adoption a child who does not have:

    (a) A presumed father pursuant to subsection 1 of NRS 126.051;

    (b) A father whose relationship to the child has been determined by a court;

    (c) A father as to whom the child is a legitimate child pursuant to chapter 126 of NRS, the prior law of this state or the law of another jurisdiction; or

    (d) A father who can be identified in any other way,

or if a child otherwise becomes the subject of an adoption proceeding, the agency or person to whom the child has been or is to be relinquished, or the mother or the person having custody of the child, may file a summary petition to terminate parental rights pursuant to this section.

    2.  A summary petition to terminate parental rights must be verified, must be entitled “Summary Petition for Termination of Parental Rights” and must:

    (a) Allege the facts necessary for a court to grant the petition;

    (b) Contain the information set forth in NRS 128.050; and

    (c) Be accompanied by an affidavit of the mother, which states:

        (1) The name of each putative father of the child;

        (2) The probable place or places where conception of the child is believed to have occurred;

        (3) The probable date when conception of the child is believed to have occurred;

        (4) The last known address of each putative father of the child, if known;

        (5) The name of any relative or a friend of each putative father of the child, if known;

        (6) The efforts, if any, by the mother to contact each putative father concerning the conception or birth of the child;

        (7) The substance of any communication between the mother and each putative father concerning the conception or birth of the child;

        (8) The efforts, if any, of each putative father to establish the parentage of the child;

        (9) The date of any visitation between the child and each putative father; and

        (10) The amount of any financial assistance provided by each putative father to the mother during the pregnancy or after the birth of the child.

    3.  Notice of the filing of a summary petition must be sent by certified mail to the address of any putative father identified in the registry. The notice must contain a statement in substantially the following form:

As a person who has registered with the putative father registry as the putative father of a child, any parental rights that you may have concerning the child will be subject to summary termination unless you file an objection with the court identified in the summary petition for termination of parental rights within 25 days after this notice was personally served on you or within 25 days after the date on which this notice was mailed to you, whichever is applicable.

    4.  The filing of a summary petition does not relieve the petitioner of the duty to conduct a diligent search for the putative father before the petition is decided by the court. Such a search must be based upon the information provided in the affidavit of the mother pursuant to subsection 1 and any other reasonably accessible information.

    5.  If a putative father is found, the putative father must be notified by certified mail of the following:

    (a) The name of the birth mother and date of birth or anticipated date of birth of the child.

    (b) That he may be the father of the child.

    (c) That the child is being placed for adoption.

    (d) That if he has any interest in establishing or asserting his parental rights, he must register with the registry within 30 days after the birth of the child and that the failure to register with the registry within 30 days after the birth of the child will result in the termination of his parental rights.

    6.  If a putative father cannot be found or a putative father who received notification of the filing of a summary petition pursuant to this section does not register with the registry within 30 days after the birth of the child, the petitioner may, in accordance with the provisions of subsection 7, submit a request for submission of the petition, together with a proposed order, to the court for decision.

    7.  If notice of a summary petition has been served or mailed to one or more putative fathers, the petitioner may submit a request for submission of the petition, together with a proposed order, to the court for decision 25 days after service of the notice or 25 days after notice is mailed to the putative fathers if each putative father who has been served or sent notice fails to:

    (a) Enter an appearance; or

    (b) Otherwise notify the court of any attempt to establish parentage.

    8.  A putative father who fails to register with the registry pursuant to section 6 of this act shall be deemed to have waived his right and opportunity to receive further notice, other than the notice provided in this section, of proceedings for the summary termination of his parental rights.

    9.  A summary petition filed pursuant to this section must not be granted or denied sooner than 35 days after the birth of the child.

    10.  A court may grant a summary petition filed pursuant to this section if the court finds that:

    (a) The petitioner has satisfied the provisions of this section; and

    (b) Granting of the petition is in the best interests of the child.

    Sec. 13.  NRS 128.010 is hereby amended to read as follows:

    128.010  As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 128.011 to 128.018, inclusive, and sections 2, 3 and 4 of this act have the meanings ascribed to them in those sections.

    Sec. 14.  NRS 128.016 is hereby amended to read as follows:

    128.016  “Putative father” means a person who [is or is] :

    1.  Is alleged or reputed to be the father of an illegitimate child [.] ;

    2.  Is not the presumed father of a child pursuant to NRS 126.051;

    3.  Has not acknowledged paternity of the child pursuant to NRS 126.053; and

    4.  Has not been determined to have a parent and child relationship with the child by:

    (a) A court of competent jurisdiction pursuant to the laws of this state;

    (b) A court of competent jurisdiction in another state;

    (c) An administrative agency or quasi-judicial entity pursuant to NRS 425.382 to 425.3852, inclusive; or

    (d) An administrative agency or quasi-judicial entity in another state that is authorized to establish or to determine parentage or the existence of a parent and child relationship.

    Sec. 15.  NRS 128.050 is hereby amended to read as follows:

    128.050  1.  [The] Except as otherwise provided in section 12 of this act, proceedings must be entitled, “In the matter of the parental rights as to ........, a minor.”

    2.  A petition must be verified and may be upon information and belief. It must set forth plainly:

    (a) The facts which bring the child within the purview of this chapter.

    (b) The name, age and residence of the child.

    (c) The names and residences of his parents.

    (d) The name and residence of the person or persons having physical custody or control of the child.

    (e) The name and residence of his legal guardian, if there is one.

    (f) The name and residence of the child’s nearest known relative residing within the state, if no parent or guardian can be found.

    (g) Whether the child is known to be an Indian child.

    3.  If any of the facts required by subsection 2 are not known by the petitioner, the petition must so state.

    4.  If the petitioner is a mother filing with respect to her unborn child, the petition must so state and must contain the name and residence of the father or putative father, if known.

    5.  If the petitioner or the child is receiving public assistance, the petition must so state.

    Sec. 16.  NRS 128.060 is hereby amended to read as follows:

    128.060  1.  [After] Except as otherwise provided in section 12 of this act, after a petition has been filed, unless the party or parties to be served voluntarily appear and consent to the hearing, the court shall direct the clerk to issue a notice, reciting briefly the substance of the petition and stating the date set for the hearing thereof, and requiring the person served therewith to appear before the court at the time and place if that person desires to oppose the petition.

    2.  The following persons must be personally served with the notice:

    (a) The father or mother of the minor person, if residing within this state, and if his or her place of residence is known to the petitioner, or, if there is no parent so residing, or if the place of residence of the father or mother is not known to the petitioner, then the nearest known relative of that person, if there is any residing within the state, and if his residence and relationship are known to the petitioner; and

    (b) The minor’s legal custodian or guardian, if residing within this state and if his place of residence is known to the petitioner.

    3.  If the petitioner or the child is receiving public assistance, the petitioner shall mail a copy of the notice of hearing and a copy of the petition to the chief of the child enforcement program of the welfare division of the department of human resources by registered or certified mail , return receipt requested , at least 45 days before the hearing.

    Sec. 17.  NRS 128.070 is hereby amended to read as follows:

    128.070  1.  [When] Except as otherwise provided in subsection 6, when the father or mother of a minor child or the child’s legal custodian or guardian resides out of the state, has departed from the state, or cannot, after due diligence, be found within the state, or conceals himself or herself to avoid the service of the notice of hearing, and the fact appears, by affidavit, to the satisfaction of the court thereof, and it appears, either by affidavit or by a verified petition on file, that the named father or mother or custodian or guardian is a necessary or proper party to the proceedings, the court may grant an order that the service be made by the publication of the notice of hearing. When the affidavit is based on the fact that the father or mother or custodian or guardian resides out of the state, and his or her present address is unknown, it is a sufficient showing of that fact if the affiant states generally in the affidavit that:

    (a) At a previous time the person resided out of this state in a certain place (naming the place and stating the latest date known to the affiant when the person so resided there);

    (b) That place is the last place in which the person resided to the knowledge of the affiant;

    (c) The person no longer resides at that place;

    (d) The affiant does not know the present place of residence of the person or where the person can be found; and

    (e) The affiant does not know and has never been informed and has no reason to believe that the person now resides in this state.

In such case, it [shall be] is presumed that the person still resides and remains out of the state, and the affidavit shall be deemed to be a sufficient showing of due diligence to find the father or mother or custodian or guardian.

    2.  The order must direct the publication to be made in a newspaper, to be designated by the court, for a period of 4 weeks, and at least once a week during that time. In case of publication, where the residence of a nonresident or absent father or mother or custodian or guardian is known, the court shall also direct a copy of the notice of hearing and petition to be deposited in the post office, directed to the person to be served at his place of residence. When publication is ordered, personal service of a copy of the notice of hearing and petition, out of the state, is equivalent to completed service by publication and deposit in the post office, and the person so served has 20 days after the service to appear and answer or otherwise plead. The service of the notice of hearing shall be deemed complete in cases of publication at the expiration of 4 weeks from the first publication, and in cases when a deposit of a copy of the notice of hearing and petition in the post office is also required, at the expiration of 4 weeks from the deposit.

    3.  Personal service outside the state upon a father or mother over the age of 18 years or upon the minor’s legal custodian or guardian may be made in any action where the person served is a resident of this state. When the facts appear, by affidavit, to the satisfaction of the court, and it appears, either by affidavit or by a verified petition on file, that the person in respect to whom the service is to be made is a necessary or proper party to the proceedings, the court may grant an order that the service be made by personal service outside the state. The service must be made by delivering a copy of the notice of hearing together with a copy of the petition in person to the person served. The methods of service are cumulative, and may be utilized with, after or independently of other methods of service.

    4.  Whenever personal service cannot be made, the court may require, before ordering service by publication or by publication and mailing, such further and additional search to determine the whereabouts of the person to be served as may be warranted by the facts stated in the affidavit of the petitioner to the end that actual notice be given whenever possible.

    5.  If one or both of the parents of the minor is unknown, or if the name of either or both of his parents is uncertain, then those facts must be set forth in the affidavit and the court shall order the notice to be directed and addressed to either the father or the mother of the person, and to all persons claiming to be the father or mother of the person. The notice, after the caption, must be addressed substantially as follows: “To the father and mother of the above-named person, and to all persons claiming to be the father or mother of that person.”

    6.  The provisions of this section do not apply to a summary petition for termination of parental rights pursuant to section 12 of this act.

    Sec. 18.  NRS 128.080 is hereby amended to read as follows:

    128.080  The notice required pursuant to NRS 128.060 and 128.070 must be in substantially the following form:


    In the .......... Judicial District Court of the State of Nevada, in and for the County of .............

    In the matter of parental rights as to ............, a minor.

Notice

    To ............, the father or ............, the mother of the above-named person; or, to the father and mother of the above-named person, and to all persons claiming to be the father or mother of this person; or, to ............, related to the above-named minor as ............; and, to ............, the legal custodian or guardian of the above-named minor:

    You are hereby notified that there has been filed in the above-entitled court a petition praying for the termination of parental rights over the above-named minor person, and that the petition has been set for hearing before this court, at the courtroom thereof, at ............, in the County of ............, on the ..... day of the month of ..... of the year .... at.... o’clock ....m., at which time and place you are required to be present if you desire to oppose the petition.

    Dated .... (month) .... (day) .... (year)

…………………………….………………….

                Clerk of court.

(SEAL)

By ……………….………….……………….

                            Deputy.

    Sec. 19.  NRS 128.085 is hereby amended to read as follows:

    128.085  [When] Except as otherwise provided in section 12 of this act:

    1.  If the mother of an unborn child files a petition for termination of the father’s parental rights, the father or putative father, if known, [shall] must be served with notice of the hearing in the manner provided for in NRS 128.060, 128.070 and 128.080.

    2.  The hearing [shall] must not be held until the birth of the child or 6 months after the filing of the petition, whichever is later.

    Sec. 20.  NRS 128.090 is hereby amended to read as follows:

    128.090  1.  [At] Except in the case of a summary petition filed pursuant to section 12 of this act, at the time stated in the notice, or at the earliest time thereafter to which the hearing may be postponed, the court shall proceed to hear the petition.

    2.  The proceedings are civil in nature and are governed by the Nevada Rules of Civil Procedure. The court shall in all cases require the petitioner to establish the facts by clear and convincing evidence and shall give full and careful consideration to all of the evidence presented, with regard to the rights and claims of the parent of the child and to any and all ties of blood or affection, but with a dominant purpose of serving the best interests of the child.

    3.  Information contained in a report filed pursuant to NRS 432.100 to 432.130, inclusive, or chapter 432B of NRS may not be excluded from the proceeding by the invoking of any privilege.

    4.  In the event of postponement, all persons served, who are not present or represented in court at the time of the postponement, must be notified thereof in the manner provided by the Nevada Rules of Civil Procedure.

    5.  Any hearing held pursuant to this section must be held in closed court without admittance of any person other than those necessary to the action or proceeding, unless the court determines that holding such a hearing in open court will not be detrimental to the child.

    Sec. 21.  NRS 128.110 is hereby amended to read as follows:

    128.110  1.  Whenever the [procedure] procedures described in this chapter [has] have been followed, and upon finding grounds for the termination of parental rights pursuant to NRS 128.105 at a hearing upon the petition [,] or without a hearing in the case of a summary petition filed pursuant to section 12 of this act, the court shall make a written order, signed by the judge presiding in the court, judicially depriving the parent or parents of the custody and control of, and terminating the parental rights of the parent or parents with respect to the child, and declaring the child to be free from such custody or control, and placing the custody and control of the child in some person or agency qualified by the laws of this state to provide services and care to children, or to receive any children for placement.

    2.  If the child is placed in the custody and control of a person or agency qualified by the laws of this state to receive children for placement, the person or agency, in seeking to place the child:

    (a) May give preference to the placement of the child with any person related within the third degree of consanguinity to the child whom the person or agency finds suitable and able to provide proper care and guidance for the child, regardless of whether the relative resides within this state.

    (b) Shall, if practicable, give preference to the placement of the child together with his siblings.

Any search for a relative with whom to place a child pursuant to this subsection must be completed within 1 year after the initial placement of the child outside of his home.

    Sec. 22.  NRS 128.120 is hereby amended to read as follows:

    128.120  Any order made and entered by the court [under] pursuant to the provisions of NRS 128.110 or section 12 of this act is conclusive and binding upon the person declared to be free from the custody and control of his parent or parents, and upon all other persons who have been served with notice by publication or otherwise, as provided by this chapter. After the making of the order, the court has no power to set aside, change or modify it, but nothing in this chapter impairs the right of appeal.

    Sec. 23.  NRS 128.150 is hereby amended to read as follows:

    128.150  1.  If a mother relinquishes or proposes to relinquish for adoption a child who has:

    (a) A presumed father [under] pursuant to subsection 1 of NRS 126.051;

    (b) A father whose relationship to the child has been determined by a court; or

    (c) A father as to whom the child is a legitimate child [under] pursuant to chapter 126 of NRS, [under] pursuant to prior law of this state or [under] pursuant to the law of another jurisdiction, and the father has not consented to the adoption of the child or relinquished the child for adoption, a proceeding must be brought pursuant to this chapter and a determination made of whether a parent and child relationship exists and if so, if it should be terminated.

    2.  If a mother relinquishes or proposes to relinquish for adoption a child who does not have:

    (a) A presumed father [under] pursuant to subsection 1 of NRS 126.051;

    (b) A father whose relationship to the child has been determined by a court;

    (c) A father as to whom the child is a legitimate child [under] pursuant to chapter 126 of NRS, [under] the prior law of this state or [under] the law of another jurisdiction; or

    (d) A father who can be identified in any other way, or if a child otherwise becomes the subject of an adoption proceeding, the agency or person to whom the child has been or is to be relinquished, or the mother or the person having custody of the child, shall file a petition in the district court to terminate the parental rights of the father, unless a summary petition is filed pursuant to section 12 of this act or unless the father’s relationship to the child has been previously terminated or determined not to exist by a court.

    3.  [In] Except in the case of a summary petition filed pursuant to section 12 of this act, in an effort to identify and protect the interests of the natural father, the court which is conducting a proceeding pursuant to this chapter shall cause inquiry to be made of the mother and any other appropriate person. The inquiry must include the following:

    (a) Whether the mother was married at the time of conception of the child or at any time thereafter.

    (b) Whether the mother was cohabiting with a man at the time of conception or birth of the child.

    (c) Whether the mother has received support payments or promises of support with respect to the child or in connection with her pregnancy.

    (d) Whether any man has formally or informally acknowledged or declared his possible paternity of the child.

    4.  If, after the inquiry [,] pursuant to subsection 3, the natural father is identified to the satisfaction of the court, or if more than one man is identified as a possible father, each must be given notice of the proceeding in accordance with subsection 6 of this section or with this chapter, as applicable. If any of them fails to appear or, if appearing, fails to claim custodial rights, such failure constitutes abandonment of the child. If the natural father or a man representing himself to be the natural father, claims custodial rights, the court shall proceed to determine custodial rights.

    5.  If, after the inquiry [,] pursuant to subsection 3, the court is unable to identify the natural father or any possible natural father and no person has appeared claiming to be the natural father and claiming custodial rights, the court shall enter an order terminating the unknown natural father’s parental rights with reference to the child. Subject to the disposition of any appeal, upon the expiration of 6 months after an order terminating parental rights is issued under this subsection, or this chapter, the order cannot be questioned by any person in any manner or upon any ground, including fraud, misrepresentation, failure to give any required notice or lack of jurisdiction of the parties or of the subject matter.

    6.  [Notice] Except in the case of a summary petition filed pursuant to section 12 of this act, notice of the proceeding must be given to every person identified as the natural father or a [possible] person presumed to be the natural father in the manner provided by law and the Nevada Rules of Civil Procedure for the service of process in a civil action, or in any manner the court directs. Proof of giving the notice must be filed with the court before the petition is heard.

    Sec. 24.  The amendatory provisions of this act apply with respect to any child who is born on or after October 1, 2001.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to domestic relations; providing for the establishment of a registry of putative fathers; requiring the health division of the department of human resources to adopt regulations to administer the registry of putative fathers; revising the provisions governing the termination of parental rights and adoption of children of putative fathers; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Provides for establishment of registry of putative fathers for purposes of facilitating termination of parental rights and adoption of certain children. (BDR 11‑50)”.

    Senator Rawson moved the adoption of the amendment.

    Remarks by Senator Rawson.

    Amendment adopted.

    Senator James moved that Senate Bill No. 295 be re-referred to the Committee on Finance upon return from reprint.

    Motion carried.

    Bill ordered reprinted, engrossed and to the Committee on Finance.

    Senate Bill No. 303.

    Bill read second time.

    The following amendment was proposed by the Committee on Transportation:

    Amendment No. 599.

    Amend sec. 3, page 2, line 47, after “person” by inserting: “who is the owner of three or more motor vehicles which are or are required to be registered in this state”.

    Amend sec. 6, page 4, line 44, by deleting “shall,” and inserting “[shall,] may,”.

    Amend sec. 6, page 5, by deleting lines 3 and 4 and inserting:

    “2.  The department may use any information, including, without limitation, the name of the owner of a motor vehicle, to verify, pursuant to subsection 1, whether the motor vehicle is”.

    Amend the title of the bill by deleting the first through third lines and inserting:

    “AN ACT relating to insurance for motor vehicles; specifying that any information may be used to verify that a motor vehicle is insured; prohibiting an”.

    Senator O'Donnell moved the adoption of the amendment.

    Remarks by Senator O'Donnell.

    Conflict of interest declared by Senator Porter.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 305.

    Bill read second time.

    The following amendment was proposed by the Committee on Human Resources and Facilities:

    Amendment No. 542.

    Amend the bill as a whole by deleting sections 1 through 26 and adding new sections designated sections 1 and 2, following the enacting clause, to read as follows:

    “Section 1.  1.  The board of trustees of each school district shall identify the schools within the school district in which a high percentage of pupils enrolled in the school are at risk of dropping out of school and using drugs.

    2.  The board of trustees of each school district shall disseminate information to each school identified in subsection 1 concerning research-based programs of education and counseling that have proven effective with pupils who are at risk of dropping out of school and using drugs. The dissemination may include, without limitation, information concerning “Reconnecting Youth,” which is a program produced by the National Education Service and designed for at-risk youth to increase school performance and prevent drug abuse, school dropout, depression and suicidal behaviors. After the board of trustees disseminates the information pursuant to this subsection, the board of trustees shall determine whether any schools within the school district are willing to carry out a program of education and counseling such as “Reconnecting Youth.”

    3.  On or before July 1, 2002, the board of trustees of each school district shall submit a report to the Legislative Committee on Education concerning the number of schools within the school district that are willing to carry out a program of education and counseling such as “Reconnecting Youth.” The report must include, without limitation, projected costs for each school to carry out the program and any recommendations for providing money to carry out the program at each school.

    Sec. 2.  This act becomes effective on July 1, 2001.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to education; requiring boards of trustees of school districts to disseminate information to schools concerning programs of education and counseling for certain at-risk pupils; requiring boards of trustees of school districts to report to the Legislative Committee on Education concerning the number of schools within the school district that are willing to carry out such a program; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Requires boards of trustees of school districts to disseminate information to schools concerning programs of education and counseling for certain at-risk pupils. (BDR S‑263)”.

    Senator Rawson moved the adoption of the amendment.

    Remarks by Senator Rawson.

    Senator Rawson moved that Senate Bill No. 305 be taken from the Second Reading File and placed on the General File for the next legislative day.

    Remarks by Senator Rawson.

    Motion carried.

    Senate Bill No. 355.

    Bill read second time.

    The following amendment was proposed by the Committee on Government Affairs:

    Amendment No. 473.

    Amend the bill as a whole by deleting section 1 and adding new sections designated sections 1 through 3, following the enacting clause, to read as follows:

    “Section 1.  The Legislative Commission shall appoint a committee consisting of an equal number of legislators from the Assembly and the Senate to conduct an interim study of the competition between local governments and private enterprises in the provision of certain goods or services.

    Sec. 2.  The committee appointed pursuant to section 1 of this act must include, without limitation, the following topics in its study:

    1.  A review of the history of the provision of the same goods or services by both local governments and private enterprises in Nevada, especially government-subsidized services such as medical care;

    2.  A study of the feasibility of applying some of the same tax laws to local governments that apply to private enterprises;

    3.  An assessment of the potential fiscal effect on local governments if local governments were required to pay certain fees and other charges that private enterprises pay as a normal cost of conducting business;

    4.  An analysis of the effect of a prohibition on the provision by local governments of goods or services in competition with private enterprises if the local governments receive ad valorem taxes as a source of funding; and

    5.  A review of the possible options for minimizing any negative effect that may occur to private enterprises when a local government provides certain goods or services in direct competition with those private enterprises by taking advantage of the tax exemptions and tax subsidies that are only available to local governments.

    Sec. 3.  1.  The Legislative Commission shall submit a report of the findings of the committee and any recommendations of the committee for legislation to the 72nd session of the Nevada Legislature.

    2.  Any recommended legislation proposed by the committee appointed pursuant to section 1 of this act must be approved by a majority of the members of the Senate and a majority of the members of the Assembly appointed to the committee.”.

    Amend the bill as a whole by adding a preamble, immediately preceding the enacting clause, to read as follows:

    “Whereas, The structure of Nevada tax laws allows local governments to provide certain goods or services to consumers at a reduced rate because of certain tax exemptions and tax subsidies; and

    Whereas, The tax exemptions and tax subsidies available to local governments are not also available to private enterprises that offer the same goods or services as the local governments offer; and

    Whereas, In certain markets in the state the tax advantages available to local governments place the local governments in direct competition with private enterprises, and in some situations have threatened the economic viability of certain private enterprises; now, therefore”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to local governments; directing the Legislative Commission to conduct an interim study of the competition between local governments and private enterprises in the provision of certain goods or services; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Directs Legislative Commission to conduct interim study of competition between local governments and private enterprises in provision of certain goods or services. (BDR S‑49)”.

    Senator O'Connell moved the adoption of the amendment.

    Remarks by Senator O'Connell.

    Amendment adopted.

    Senator O'Connell moved that Senate Bill No. 355 be re-referred to the Committee on Legislative Affairs and Operations upon return from reprint.

    Remarks by Senator O'Connell.

    Motion carried.

    Bill ordered reprinted, engrossed and to the Committee on Legislative Affairs and Operations.

    Senate Bill No. 412.

    Bill read second time.

    The following amendment was proposed by the Committee on Judiciary:

    Amendment No. 341.

    Amend section 1, page 1, line 20, after “resided,” by inserting: “in person or”.

    Amend sec. 2, page 2, line 29, after “resided,” by inserting: “in person or”.

    Amend sec. 4, page 4, line 41, after “resided,” by inserting: “in person or”.

    Amend sec. 5, page 6, line 40, by deleting “registrant.” and inserting “offender.”.

    Amend sec. 6, page 7, line 6, after “address,” by inserting: “in person or”.

    Amend sec. 10, page 10, line 10, by deleting “agencies” and inserting “agency”.

    Amend sec. 10, page 10, line 11, by deleting “resided” and inserting: “resided, in person or”.

    Amend sec. 11, page 12, line 20, by deleting “registrant.” and inserting “sex offender.”.

    Amend sec. 12, page 12, line 39, after “address,” by inserting: “in person or”.

    Amend the bill as a whole by renumbering sections 16 and 17 as sections 31 and 32 and adding new sections designated sections 16 through 30, following sec. 15, to read as follows:

    “Sec. 16.  Chapter 62 of NRS is hereby amended by adding thereto the provisions set forth as sections 17 to 21, inclusive, of this act.

    Sec. 17.  1.  If a child is adjudicated delinquent for an act that, if committed by an adult, would constitute kidnapping in the first or second degree, false imprisonment, burglary or invasion of the home, the court shall, at the request of the prosecuting attorney, conduct a separate hearing to determine whether the act was sexually motivated.

    2.  At the hearing, only evidence concerning the question of whether the act was sexually motivated may be presented.

    3.  After hearing the evidence, the court shall determine whether the act was sexually motivated and shall enter its finding in the record.

    4.  For the purposes of this section, an act is “sexually motivated” if one of the purposes for which the child committed the act was his sexual gratification.

    Sec. 18.  “Sexually motivated act” means an act that is determined to be sexually motivated pursuant to section 17 of this act.

    Sec. 19.  1.  A probation officer assigned to a child who is subject to the provisions of this section, NRS 62.405 to 62.485, inclusive, and section 18 of this act may submit a petition to the court requesting that the court terminate the applicability of the provisions of this section, NRS 62.405 to 62.485, inclusive, and section 18 of this act with respect to the child if:

    (a) At the time the child committed the sexual offense or the sexually motivated act for which the child was adjudicated delinquent, the child and the victim of the sexual offense or sexually motivated act committed by the child were members of the same family or household;

    (b) The child has complied with the terms and conditions of his probation, including, without limitation, the completion of any counseling in which the child was ordered to participate;

    (c) The child’s counselor recommends, in writing, that the court terminate the applicability of the provisions of this section, NRS 62.405 to 62.485, inclusive, and section 18 of this act with respect to the child to allow the reunification of the family or household; and

    (d) The victim and the parents or guardians of the victim consent, in writing, to the termination of the applicability of the provisions of this section, NRS 62.405 to 62.485, inclusive, and section 18 of this act with respect to the child to allow the reunification of the family or household.

    2.  If the court grants a petition requested pursuant to this section, the court shall notify the public school or private school which the child is attending, in writing, that the court has terminated the applicability of the provisions of this section, NRS 62.405 to 62.485, inclusive, and section 18 of this act with respect to the child.

    Sec. 20.  “Sexually motivated act” means an act that is determined to be sexually motivated pursuant to section 17 of this act.

    Sec. 21.  1.  If a child who has been adjudicated delinquent for a sexual offense or a sexually motivated act has not previously been relieved of being subject to community notification as a juvenile sex offender, the court may, at any appropriate time, hold a hearing to determine whether the child should be relieved of being subject to community notification as a juvenile sex offender.

    2.  If the court determines at the hearing that the child has been rehabilitated to the satisfaction of the court and that the child is not likely to pose a threat to the safety of others, the court may relieve the child of being subject to community notification as a juvenile sex offender.

    Sec. 22.  NRS 62.405 is hereby amended to read as follows:

    62.405  As used in NRS 62.405 to 62.485, inclusive, and sections 18 and 19 of this act, unless the context otherwise requires, the words and terms defined in NRS 62.415 to 62.445, inclusive, and section 18 of this act have the meanings ascribed to them in those sections.

    Sec. 23.  NRS 62.435 is hereby amended to read as follows:

    62.435  “Sexual offense” means:

    1.  Sexual assault pursuant to NRS 200.366;

    2.  Battery with intent to commit sexual assault pursuant to NRS 200.400;

    3.  An offense involving pornography and a minor pursuant to NRS 200.710 to 200.730, inclusive;

    4.  Open or gross lewdness pursuant to NRS 201.210 [;] , if punishable as a felony;

    5.  Indecent or obscene exposure pursuant to NRS 201.220 [;] , if punishable as a felony;

    6.  Lewdness with a child pursuant to NRS 201.230;

    7.  Sexual penetration of a dead human body pursuant to NRS 201.450;

    8.  Annoyance or molestation of a minor pursuant to NRS 207.260 [;] , if punishable as a felony; or

    9.  An attempt to commit an offense listed in this section [.] , if punishable as a felony.

    Sec. 24.  NRS 62.455 is hereby amended to read as follows:

    62.455  1.  In addition [to the options set forth in NRS 62.211 and 62.213 and in addition] to any other [requirements set forth in this chapter,] action authorized or required pursuant to this chapter and except as otherwise provided in section 19 of this act, if a child is adjudicated delinquent for an act that, if committed by an adult, would be a sexual offense, or for a sexually motivated act, the court shall:

    (a) Place the child under the supervision of a probation officer [until the child is no longer attending a public school or private school within this state.] for a period of not less than 3 years.

    (b) Except as otherwise provided in NRS 62.475 and 62.485, prohibit the child from attending a public school or private school that a victim of the sexual offense or the sexually motivated act is attending [.] for the period ordered by the court pursuant to paragraph (a).

    (c) Order the parents or guardians of the child to inform the probation officer assigned to the child each time the child expects to change the public school or private school that [he] the child is attending, not later than 20 days before the expected date of the change.

    (d) Order the parents or guardians of the child, to the extent of their financial ability, to reimburse all or part of the additional costs of transporting the child, if such costs are incurred by a county school district pursuant to NRS 392.251 to 392.271, inclusive[.] , and sections 34 and 35 of this act.

    (e) Inform the parents or guardians of the child of the requirements of NRS 62.405 to 62.485, inclusive, and sections 18 and 19 of this act, 392.251 to 392.271, inclusive, and sections 34 and 35 of this act, and 394.162 to 394.167, inclusive[.] , and sections 42 and 43 of this act.

    2.  The court may authorize a superintendent or the executive head of a private school who receives notification from a probation officer pursuant to NRS 62.465 to inform other appropriate educational personnel that the child has been adjudicated delinquent for a sexual offense [.

    3.  The] or a sexually motivated act.

    3.  Except as otherwise provided in section 19 of this act, the court may not terminate its jurisdiction concerning the child for the purposes of carrying out the provisions of NRS 62.405 to 62.485, inclusive, [until the child is no longer attending a public school or private school within this state.] and sections 18 and 19 of this act, for the period ordered by the court pursuant to paragraph (a) of subsection 1.

    Sec. 25.  NRS 62.465 is hereby amended to read as follows:

    62.465  1.  If a child has been adjudicated delinquent for a sexual offense [,] or a sexually motivated act, the probation officer assigned to the child shall provide notification that the child has been adjudicated delinquent for a sexual offense or a sexually motivated act to:

    (a) The superintendent of the county school district in which the child resides; or

    (b) If the child is attending a private school within this state, the executive head of the private school.

    2.  If the probation officer assigned to the child is informed by the parents or guardians of the child that the child expects to change the public school or private school [he] that the child is attending or if the probation officer otherwise becomes aware of such a change, the probation officer shall provide notification that the child has been adjudicated delinquent for a sexual offense or a sexually motivated act to:

    (a) The superintendent of the county school district in which the child is or will be residing; or

    (b) If the child is or will be attending a private school within this state, the executive head of the private school.

    3.  Notification provided pursuant to this section must include the name of each victim of a sexual offense or a sexually motivated act committed by the child if the victim is attending a public school or private school within this state.

    Sec. 26.  NRS 62.475 is hereby amended to read as follows:

    62.475  1.  The court may permit a child who has been adjudicated delinquent for a sexual offense or a sexually motivated act to attend a public school or private school that a victim of the sexual offense or the sexually motivated act is attending if, upon the request of the child, the superintendent or the executive head of the private school:

    (a) The court develops and approves an alternative plan of supervision for the child that protects the safety and the interests of the victim;

    (b) The victim and the parents or guardians of the victim consent, in writing, to the plan;

    (c) The superintendent or the executive head of the private school consents, in writing, to the plan; and

    (d) The child and the parents or guardians of the child agree, in writing, to comply with the conditions of the plan.

    2.  As part of an alternative plan of supervision, the court shall impose reasonable conditions on the child and, if necessary to facilitate the alternative plan, on the parents or guardians of the child. The conditions must be designed to protect the safety and the interests of the victim and to ensure that the child complies with the plan.

    3.  Upon its own motion or upon a request from the prosecuting attorney, the victim, the parents or guardians of the victim or the probation officer assigned to the child, the court may modify or rescind the alternative plan of supervision or a condition of the alternative plan after providing notice and an opportunity to be heard to the child, the parents or guardians of the child, the prosecuting attorney and the parties who consented to the alternative plan. If a proposed modification is reasonably likely to increase contact between the victim and the child, the court may not make the modification without the written consent of the victim and the parents or guardians of the victim. If the court rescinds the alternative plan of supervision, the child is subject to the provisions of NRS 62.405 to 62.485, inclusive, and sections 18  and 19 of this act as if the alternative plan had not existed.

    4.  Before the court accepts the written consent of the victim and the parents or guardians of the victim pursuant to this section, the court shall inform them of their right to withhold consent and, except as otherwise provided in NRS 62.485, their right to have the child not attend the public school or private school the victim is attending.

    Sec. 27.  NRS 62.485 is hereby amended to read as follows:

    62.485  1.  If the court does not approve an alternative plan of supervision pursuant to NRS 62.475 for a child who has been adjudicated delinquent for a sexual offense [,] or a sexually motivated act, the superintendent or the executive head of the private school may request that the court approve an alternative plan of attendance for the child.

    2.  An alternative plan of attendance:

    (a) Must be designed to prevent contact between the victim and the child during school hours and during extracurricular activities conducted on school grounds; and

    (b) Must not interfere with or alter the schedule of classes or the extracurricular activities of the victim.

    3.  Before approving an alternative plan of attendance, the court shall provide notice and an opportunity to be heard to the child, the parents or guardians of the child, the prosecuting attorney, the victim and the parents or guardians of the victim.

    4.  If the court approves an alternative plan of attendance, the prosecuting attorney, the victim or the parents or guardians of the victim may petition the court to modify or rescind the alternative plan on the basis that:

    (a) The alternative plan is not protecting the safety or the interests of the victim; or

    (b) The child or the public school or private school is not complying with the alternative plan.

    5.  Upon receiving a petition to modify or rescind an alternative plan of attendance, the court may modify or rescind the alternative plan after providing notice and an opportunity to be heard to the child, the parents or guardians of the child, the prosecuting attorney, the victim, the parents or guardians of the victim and the superintendent or the executive head of the private school. If the court rescinds the alternative plan of attendance, the child is subject to the provisions of NRS 62.405 to 62.485, inclusive, and sections 18 and 19 of this act as if the alternative plan had not existed.

    Sec. 28.  NRS 62.500 is hereby amended to read as follows:

    62.500  As used in NRS 62.500 to 62.600, inclusive, and sections 20 and 21 of this act, unless the context otherwise requires, the words and terms defined in NRS 62.510 to 62.550, inclusive, and section 20 of this act have the meanings ascribed to them in those sections.

    Sec. 29.  NRS 62.570 is hereby amended to read as follows:

    62.570  1.  In addition to [the options set forth in NRS 62.211 and 62.213 and in addition to any other requirements set forth in] any other action authorized or required pursuant to this chapter, if a child is adjudicated delinquent for an act that, if committed by an adult, would be a sexual offense [,] or for a sexually motivated act, the court shall:

    (a) Notify the attorney general of the adjudication, so the attorney general may arrange for the assessment of the risk of recidivism of the child pursuant to the guidelines and procedures for community notification;

    (b) Place the child under the supervision of a probation officer [until the child reaches 21 years of age or is no longer subject to community notification as a juvenile sex offender pursuant to NRS 62.500 to 62.600, inclusive;] for a period of not less than 3 years;

    (c) Inform the child and the parents or guardians of the child that the child is subject to community notification as a juvenile sex offender and may be subject to registration and community notification as an adult sex offender pursuant to NRS 62.590; and

    (d) Order the child, and the parents or guardians of the child during the minority of the child, while the child is subject to community notification as a juvenile sex offender, to inform the probation officer assigned to the child of a change of the address at which the child resides not later than 48 hours after the change of address.

    2.  The court may not terminate its jurisdiction concerning the child for the purposes of carrying out the provisions of NRS 62.500 to 62.600, inclusive, and sections 20 and 21 of this act, until the child [reaches 21 years of age or] is no longer subject to community notification as a juvenile sex offender pursuant to NRS 62.500 to 62.600, inclusive[.] , and sections 20 and 21 of this act.

    Sec. 30.  NRS 62.580 is hereby amended to read as follows:

    62.580  1.  If a child has been adjudicated delinquent for a sexual offense [,] or a sexually motivated act, the probation officer assigned to the child shall notify the local law enforcement agency in whose jurisdiction the child resides that the child:

    (a) Has been adjudicated delinquent for a sexual offense [;] or a sexually motivated act; and

    (b) Is subject to community notification as a juvenile sex offender.

    2.  If the probation officer assigned to the child is informed by the child or the parents or guardians of the child that the child has changed the address at which he resides[,] or if the probation officer otherwise becomes aware of such a change, the probation officer shall notify:

    (a) The local law enforcement agency in whose jurisdiction the child last resided that the child has moved; and

    (b) The local law enforcement agency in whose jurisdiction the child is now residing that the child:

        (1) Has been adjudicated delinquent for a sexual offense [;] or a sexually motivated act; and

        (2) Is subject to community notification as a juvenile sex offender.”.

    Amend sec. 16, page 15, by deleting lines 5 and 6 and inserting: “inclusive[:] , and sections 20 and 21 of this act:

    1.  If a child who has been adjudicated delinquent for a sexual offense [,] or a sexually motivated act is not relieved of being subject to community notification as a juvenile sex offender before the child reaches 21 years of age, the”.

    Amend the bill as a whole by deleting sec. 18, renumbering sec. 19 as sec. 50 and adding new sections designated sections 33 through 49, following sec. 17, to read as follows:

    “Sec. 33.  Chapter 392 of NRS is hereby amended by adding thereto the provisions set forth as sections 34 and 35 of this act.

    Sec. 34.  “Sexual offense” has the meaning ascribed to it in NRS 62.435.

    Sec. 35.  “Sexually motivated act” has the meaning ascribed to it in section 18 of this act.

    Sec. 36.  NRS 392.251 is hereby amended to read as follows:

    392.251  As used in NRS 392.251 to 392.271, inclusive, and sections 34 and 35 of this act, unless the context otherwise requires, the words and terms defined in NRS 392.254, 392.258 and 392.261 and sections 34 and 35 of this act have the meanings ascribed to them in those sections.

    Sec. 37.  NRS 392.254 is hereby amended to read as follows:

    392.254  “Notification” means a notification which indicates that a child has been adjudicated delinquent for a sexual offense or a sexually motivated act and which is provided by a probation officer pursuant to NRS 62.465.

    Sec. 38.  NRS 392.258 is hereby amended to read as follows:

    392.258  “Offender” means a child identified in a notification as the child who has been adjudicated delinquent for a sexual offense [.] or a sexually motivated act.

    Sec. 39.  NRS 392.261 is hereby amended to read as follows:

    392.261  “Victim” means a child identified in a notification as a victim of a sexual offense or a sexually motivated act committed by the offender.

    Sec. 40.  NRS 392.264 is hereby amended to read as follows:

    392.264  1.  If a superintendent of a school district receives notification and a victim identified in the notification is a pupil in the school district, the superintendent shall not permit [the] an offender who is subject to the provisions of NRS 62.405 to 62.485, inclusive, and sections 18 and 19 of this act, to attend a public school that a victim is attending unless:

    (a) An alternative plan of supervision is approved by the court pursuant to NRS 62.475; or

    (b) An alternative plan of attendance is approved by the court pursuant to NRS 62.485.

    2.  If the court does not approve an alternative plan of supervision or an alternative plan of attendance for the offender and the school district in which the offender resides does not have another public school in the district for the offender to attend, the superintendent of the school district shall negotiate an agreement with:

    (a) The superintendent of an adjoining school district within this state for the offender to attend a public school in that adjoining school district; or

    (b) The superintendent, or another appropriate administrator, of an adjoining school district in an adjoining state for the offender to attend a public school in that adjoining school district.

    3.  The superintendent of the school district in which the offender resides shall inform the person with whom he is negotiating that the offender has been adjudicated delinquent for a sexual offense [,] or a sexually motivated act, but the superintendent shall not disclose the name of a victim.

    4.  An agreement which is made pursuant to this section and which is presented to a board of trustees for approval:

    (a) Must not contain the name of a victim;

    (b) Must comply with the provisions of subsections 2 and 3 of NRS 392.010; and

    (c) Must be approved by the superintendent of public instruction.

    5.  A board of trustees may terminate an agreement entered into pursuant to this section if, because of a change in circumstances, the offender is able to attend a public school in the school district in which he resides without violating subsection 1.

    Sec. 41.  Chapter 394 of NRS is hereby amended by adding thereto the provisions set forth as sections 42 and 43 of this act.

    Sec. 42.  “Sexual offense” has the meaning ascribed to it in NRS 62.435.

    Sec. 43.  “Sexually motivated act” has the meaning ascribed to it in section 18 of this act.

    Sec. 44.  NRS 394.162 is hereby amended to read as follows:

    394.162  As used in NRS 394.162 to 394.167, inclusive, and sections 42 and 43 of this act, unless the context otherwise requires, the words and terms defined in NRS 394.163, 394.164 and 394.165 and sections 42 and 43 of this act have the meanings ascribed to them in those sections.

    Sec. 45.  NRS 394.163 is hereby amended to read as follows:

    394.163  “Notification” means a notification which indicates that a child has been adjudicated delinquent for a sexual offense or a sexually motivated act and which is provided by a probation officer pursuant to NRS 62.465.

    Sec. 46.  NRS 394.164 is hereby amended to read as follows:

    394.164  “Offender” means a child identified in a notification as the child who has been adjudicated delinquent for a sexual offense [.] or a sexually motivated act.

    Sec. 47.  NRS 394.165 is hereby amended to read as follows:

    394.165  “Victim” means a child identified in a notification as a victim of a sexual offense or a sexually motivated act committed by the offender.

    Sec. 48.  NRS 394.166 is hereby amended to read as follows:

    394.166  If the executive head of a private school receives notification and a victim identified in the notification is attending a private school under his authority, [he] the executive head shall not permit [the] an offender who is subject to the provisions of NRS 62.405 to 62.485, inclusive, and sections 18 and 19 of this act, to attend the private school that a victim is attending unless:

    1.  An alternative plan of supervision is approved by the court pursuant to NRS 62.475; or

    2.  An alternative plan of attendance is approved by the court pursuant to NRS 62.485.

    Sec 49.  1.  Except as otherwise provided in this section, the amendatory provisions of this act apply to offenses or delinquent acts committed before, on or after July 1, 2001.

    2.  The amendatory provisions of section 8 of this act do not affect the date on which registration is deemed to have begun for an offender convicted of a crime against a child pursuant to subsection 2 of NRS 179D.270.

    3.  The amendatory provisions of section 9 of this act do not apply to violations of NRS 179D.290 committed before July 1, 2001.

    4.  The amendatory provisions of section 14 of this act do not affect the date on which registration is deemed to have begun for a sex offender pursuant to subsection 2 of NRS 179D.490.

    5.  The amendatory provisions of section 15 of this act do not apply to violations of NRS 179D.550 committed before July 1, 2001.

    6.  The amendatory provisions of sections 17 and 23 of this act do not apply to delinquent acts committed before July 1, 2001.”.

    Amend the title of the bill, sixth line, after “address;” by inserting: “revising various provisions governing community notification of juvenile sex offenders; revising various provisions governing attendance of juvenile sex offenders at the same public school or private school as their victims;”.

    Senator James moved the adoption of the amendment.

    Remarks by Senator James.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 424.

    Bill read second time.

    The following amendment was proposed by the Committee on Human Resources and Facilities:

    Amendment No. 537.

    Amend section 1, page 1, line 2, by deleting “6,” and inserting “8,”.

    Amend sec. 2, page 1, by deleting lines 4 and 5 and inserting: “and sections 3 to 8, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 3, 4 and 5 of this act have”.

    Amend the bill as a whole by renumbering sections 5 through 11 as sections 7 through 13 and adding new sections designated sections 5 and 6, following sec. 4, to read as follows:

    “Sec. 5.  “Solid waste management authority” has the meaning ascribed to it in NRS 444.495.

    Sec. 6.  1.  The solid waste management authority in each county whose population is 400,000 or more may establish a program for the control of unlawful dumping and administer the program within its jurisdiction unless superseded.

    2.  The program established pursuant to subsection 1 must:

    (a) Include standards and procedures for the control of unlawful dumping which are equivalent to or stricter than those established by statute or state regulation; and

    (b) Provide for adequate administration and enforcement.

    3.  In a county whose population is 400,000 or more, the solid waste management authority may delegate to an independent hearing officer or hearing board the authority to determine violations and levy administrative penalties for violations of the provisions of NRS 444.440 to 444.620, inclusive, and 444.630 to 444.645, inclusive, and sections 2 to 8, inclusive, of this act, or any regulation adopted pursuant to those sections.”.

    Amend sec. 5, page 1, line 10, by deleting “county” and inserting: “solid waste management authority”.

    Amend sec. 5, page 1, by deleting lines 13 through 16 and inserting: “dumping; and

    3.  Operate and pay the costs of programs of community service relating to the cleaning up of dump sites.”.

    Amend sec. 6, page 1, by deleting lines 18 through 20 and inserting: “444.645, inclusive, and sections 2 to 8, inclusive, of this act, a district health officer”.

    Amend sec. 8, page 3, line 1, by deleting “willfully” and inserting “[willfully]”.

    Amend sec. 8, page 3, by deleting lines 10 through 33 and inserting:

    “(a) For a first offense within the immediately preceding 2 years, a misdemeanor . [and, if the convicted person agrees, he shall be sentenced to]

    (b) For a second offense within the immediately preceding 2 years, a gross misdemeanor and shall be punished by imprisonment in the county jail for not fewer than 14 days but not more than 1 year.

    (c) For a third or subsequent offense within the immediately preceding 2 years, a gross misdemeanor and shall be punished by imprisonment in the county jail for 1 year.

    2.  In addition to any criminal penalty imposed pursuant to subsection 1, any civil penalty imposed pursuant to NRS 444.635 and any administrative penalty imposed pursuant to section 6 of this act, a court shall sentence a person convicted of violating subsection 1:

    (a) If the person is a natural person, to clean up the dump site and perform 10 hours of work for the benefit of the community under the conditions prescribed in NRS 176.087.

    (b) If the person is a business entity:

        (1) For a first or second offense within the immediately preceding 2 years, to:

            (I) Clean up the dump site; and

            (II) Perform 40 hours of community service cleaning up other dump sites identified by the solid waste management authority.

        (2) For a third or subsequent offense within the immediately preceding 2 years, to:

            (I) Clean up the dump site; and

            (II) Perform 200 hours of community service cleaning up other dump sites identified by the solid waste management authority.

    3.  If a person is sentenced to clean up a dump site pursuant to subsection 2, the person shall:

    (a) Within 3 calendar days after sentencing, commence cleaning up the dump site; and

    (b) Within 5 business days after cleaning up the dump site, provide to the solid waste management authority proof of the lawful disposal of the sewage, solid waste or other matter that the person was convicted of disposing of unlawfully.

The solid waste management authority shall prescribe the forms of proof which may be provided to satisfy the provisions of paragraph (b).

    4.  In addition to any other penalty prescribed by law, if a business entity is convicted of violating subsection 1:

    (a) Such violation constitutes reasonable grounds for the revocation of any license to engage in business that has been issued to the business entity by any governmental entity of this state; and

    (b) The solid waste management authority may seek the revocation of such a license by way of any applicable procedures established by the governmental entity that issued the license.

    5.  Except as otherwise provided in NRS 444.585, ownership of”.

    Amend sec. 8, page 3, line 43, by deleting “5.” and inserting “6.”.

    Amend sec. 8, page 4, line 5, by deleting “6.” and inserting “7.”.

    Amend sec. 8, page 4, line 9, by deleting “7.” and inserting “8.”.

    Amend sec. 8, page 4, by deleting lines 22 and 23.

    Amend sec. 9, page 4, by deleting lines 31 through 35 and inserting: “inclusive, a court before whom a defendant is convicted of a violation of the provisions of NRS 444.555, 444.583 or 444.630, shall order the defendant [to pay a civil penalty which is at least $250 but not more than $2,000.]:”.

    Amend sec. 9, page 4, line 36, by deleting “(1)” and inserting “(a)”.

    Amend sec. 9, page 4, line 38, by deleting “(2)” and inserting “(b)”.

    Amend sec. 9, page 4, line 40, by deleting “(3)” and inserting “(c)”.

    Amend sec. 9, page 4, line 42, by deleting “(4)” and inserting “(d)”.

    Amend sec. 9, page 4, by deleting lines 47 and 48 and inserting:

    “[3.  The health authority or division of environmental protection of the state department of conservation and natural resources]

    4.  The solid waste management authority may attempt to”.

    Amend sec. 9, page 5, line 5, after “protection” by inserting: “of the state department of conservation and natural resources”.

    Amend sec. 10, page 5, by deleting lines 17 through 19 and inserting:

    “444.640  1.  The [division of environmental protection of the state department of conservation and natural resources or the district health department] solid waste management authority shall offer a reward[, in an amount equal to 50 percent of the”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to sanitation; providing that a solid waste management authority may authorize a nonprofit organization to engage in certain activities pertaining to the cleaning up of dump sites and the education of persons regarding unlawful dumping; authorizing the solid waste management authorities of certain larger counties to establish a program for the control of unlawful dumping; authorizing such a solid waste management authority to delegate certain matters of enforcement to an independent hearing officer or hearing board; authorizing a district health officer to exercise subpoena powers with respect to the unlawful disposal of sewage and solid waste; providing certain civil and other penalties; and providing other matters properly relating thereto.”.

    Senator Rawson moved the adoption of the amendment.

    Remarks by Senator Rawson.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 498.

    Bill read second time.

    The following amendment was proposed by the Committee on Finance:

    Amendment No. 251.

    Amend section 1, page 2, line 1, by deleting “2001,” and inserting “[2001,] 2003,”.

    Amend section 1, page 2, line 4, by deleting: “paragraph (a) of ”.

    Amend section 1, page 2, by deleting lines 6 through 9.

    Senator Raggio moved the adoption of the amendment.

    Remarks by Senator Raggio.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 503.

    Bill read second time.

    The following amendment was proposed by the Committee on Transportation:

    Amendment No. 607.

    Amend section 1, page 1, line 5, by deleting “any check” and inserting: “[any] a check or any other method of payment”.

    Amend section 1, page 1, line 7, after “drawer” by inserting: “or any other person responsible for payment of the fee”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to the department of motor vehicles and public safety; expanding the methods of payment for which a service charge is assessed by the department if payment for certain fees is dishonored; increasing that service charge; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Revises provisions relating to service charge assessed by department of motor vehicles and public safety for dishonored payment of certain fees. (BDR 43‑1312)”.

    Senator O'Donnell moved the adoption of the amendment.

    Remarks by Senator O'Donnell.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 516.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:

    Amendment No. 562.

    Amend section 1, page 2, line 2, by deleting “13,” and inserting “11,”.

    Amend sec. 2, page 2, line 3, by deleting “12,” and inserting “10,”.

    Amend sec. 10, page 4, line 23, by deleting “12,” and inserting “10,”.

    Amend sec. 10, page 4, line 33, by deleting “12,” and inserting “10,”.

    Amend the bill as a whole by deleting sections 11 and 12 and renumbering sections 13 and 14 as sections 11 and 12.

    Amend the bill as a whole by deleting sec. 15, renumbering sections 16 through 22 as sections 14 through 20 and adding a new section designated sec. 13, following sec. 14, to read as follows:

    “Sec. 13.  NRS 624.270 is hereby amended to read as follows:

    624.270  1.  Before issuing a contractor’s license to any applicant, the board shall require that the applicant:

    (a) File with the board a surety bond in a form acceptable to the board executed by the contractor as principal with a corporation authorized to transact surety business in the State of Nevada as surety; or

    (b) In lieu of such a bond, establish with the board a cash deposit as provided in this section.

    2.  Before granting renewal of a contractor’s license to any applicant, the board shall require that the applicant file with the board satisfactory evidence that his surety bond or cash deposit is in full force, unless the applicant has been relieved of the requirement as provided in this section.

    3.  Failure of an applicant or licensee to file or maintain in full force the required bond or to establish the required cash deposit constitutes cause for the board to deny, revoke, suspend or refuse to renew a license.

    4.  Except as otherwise provided in subsection 6, the amount of each bond or cash deposit required by this section must be fixed by the board with reference to the contractor’s financial and professional responsibility and the magnitude of his operations, but must be not less than $1,000 or more than [$100,000.] $500,000. The bond must be continuous in form , issued by a bonding company with a rating not lower than “A” or its equivalent as determined by a nationally recognized rating service, and must be conditioned that the total aggregate liability of the surety for all claims is limited to the face amount of the bond irrespective of the number of years the bond is in force. The board may increase or reduce the amount of any bond or cash deposit if evidence supporting such a change in the amount is presented to the board at the time application is made for renewal of a license or at any hearing conducted pursuant to NRS 624.291. Unless released earlier pursuant to subsection 5, any cash deposit may be withdrawn 2 years after termination of the license in connection with which it was established, or 2 years after completion of all work authorized by the board after termination of the license, whichever occurs later, if there is no outstanding claim against it. The board shall fix the amount of the bond for a licensee who has acted in the capacity of a licensed contractor in the State of Nevada for less than 5 consecutive years at the maximum amount reasonable with reference to the contractor’s financial and professional responsibility and the magnitude of his operations until the contractor establishes a reliable record of performance with the board.

    5.  [After] The board shall require a licensee who has acted in the capacity of a licensed contractor in the State of Nevada for less than 5 consecutive years and any contractor who has been disciplined by the board to provide a performance bond for each new contract in an amount equal to a percentage of the contract price as determined by the board. Except as otherwise provided in this subsection, after a licensee has acted in the capacity of a licensed contractor in the State of Nevada for not less than 5 consecutive years, the board may relieve the licensee of the requirement of filing a bond or establishing a cash deposit if evidence supporting such relief is presented to the board. The board may at any time thereafter require the licensee to file a new bond or establish a new cash deposit as provided in subsection 4 if evidence is presented to the board supporting this requirement or, pursuant to subsection 6, after notification of a final written decision by the labor commissioner. If a licensee is relieved of the requirement of establishing a cash deposit, the deposit may be withdrawn 2 years after such relief is granted, if there is no outstanding claim against it.

    6.  If the board is notified by the labor commissioner pursuant to NRS 607.165 that three substantiated claims for wages have been filed against a contractor within a 2-year period, the board shall require the contractor to file a bond or establish a cash deposit in an amount fixed by the board. The contractor shall maintain the bond or cash deposit for the period required by the board.

    7.  As used in this section, “substantiated claims for wages” has the meaning ascribed to it in NRS 607.165.”.

    Amend sec. 17, page 7, line 9, by deleting “40” and inserting “37”.

    Amend sec. 18, page 7, line 17, by deleting: “19 to 23,” and inserting:“17 to 20,”.

    Amend sec. 21, page 7, by deleting line 26 and inserting:sections 17 to 20, inclusive, of this act, and sections 2 to 10, inclusive, of”.

    Amend sec. 22, page 7, line 36, by deleting “19” and inserting “17”.

    Amend sec. 22, page 7, by deleting line 37 and inserting:“20, inclusive, of this act, and sections 2 to 10, inclusive, of this act shall”.

    Amend sec. 22, page 7, line 43, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 22, page 7, line 44, by deleting “12,” and inserting “10,”.

    Amend the bill as a whole by deleting sec. 23 and renumbering sections 24  through 45 as sections 21 through 42.

    Amend sec. 24, page 9, lines 17 and 18, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 24, page 9, lines 19 and 20, by deleting: “19 and 20” and inserting: “17 and 18”.

    Amend sec. 26, page 9, line 30, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 26, page 9, line 31, by deleting “12,” and inserting “10,”.

    Amend sec. 27, page 9, line 46, by deleting “12,” and inserting “10,”.

    Amend sec. 28, page 11, line 34, by deleting:“19 to 23,” and inserting: “17  to 20,”.

    Amend sec. 28, page 11, line 35, by deleting “12,” and inserting “10,”.

    Amend sec. 28, page 12, line 2, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 28, page 12, line 3, by deleting “12,” and inserting “10,”.

    Amend sec. 29, page 12, line 13, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 29, page 12, line 14, by deleting “12,” and inserting “10,”.

    Amend sec. 29, page 12, line 38, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 29, page 12, line 41, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 30, page 12, line 47, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 30, page 12, line 48, by deleting “12,” and inserting “10,”.

    Amend sec. 31, page 13, line 46, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 31, page 13, line 47, by deleting “12,” and inserting “10,”.

    Amend sec. 31, page 14, line 1, by deleting “19” and inserting “17”.

    Amend sec. 31, page 14, by deleting line 2 and inserting: “to 20, inclusive, of this act, and sections 2 to 10, inclusive, of this act”.

    Amend sec. 32, page 14, by deleting line 8 and inserting: “sections 17 to 20, inclusive, of this act, and sections 2 to 10, inclusive, of”.

    Amend sec. 32, page 15, line 15, by deleting “12,” and inserting “10,”.

    Amend sec. 32, page 15, by deleting line 34 and inserting: “sections 17 to 20, inclusive, of this act, and sections 2 to 10, inclusive, of”.

    Amend sec. 32, page 15, line 40, by deleting “19” and inserting “17”.

    Amend sec. 32, page 15, by deleting line 41 and inserting:20, inclusive, of this act, and sections 2 to 10, inclusive, of this act.”.

    Amend sec. 32, page 15, line 44, by deleting:“19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 32, page 15, line 45, by deleting “12,” and inserting “10,”.

    Amend sec. 32, page 16, line 7, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 32, page 16, line 8, by deleting “12,” and inserting “10,”.

    Amend sec. 33, page 16, line 20, by deleting “12,” and inserting “10,”.

    Amend sec. 34, page 18, by deleting line 43 and inserting: “sections 17 to 20, inclusive, of this act, and sections 2 to 10, inclusive, of”.

    Amend sec. 34, page 19, line 4, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 34, page 19, line 5, by deleting “12,” and inserting “10,”.

    Amend sec. 34, page 19, line 14, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 34, page 19, line 15, by deleting “12,” and inserting “10,”.

    Amend sec. 35, page 19, by deleting line 21 and inserting: “sections 17 to 20, inclusive, of this act, and sections 2 to 10, inclusive, of”.

    Amend sec. 35, page 19, line 24, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 35, page 19, line 25, by deleting “12,” and inserting “10,”.

    Amend sec. 36, page 19, by deleting line 33 and inserting: “and sections 17 to 20, inclusive, of this act, and sections 2 to 10,”.

    Amend sec. 36, page 19, line 38, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 36, page 19, line 39, by deleting “12,” and inserting “10,”.

    Amend sec. 36, page 19, line 44, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 36, page 19, line 45, by deleting “12,” and inserting “10,”.

    Amend sec. 37, page 20, by deleting line 4 and inserting: “sections 17 to 20, inclusive, of this act, and sections 2 to 10, inclusive, of”.

    Amend sec. 37, page 20, line 10, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 37, page 20, line 11, by deleting “12,” and inserting “10,”.

    Amend sec. 37, page 20, line 27, by deleting “19” and inserting “17”.

    Amend sec. 37, page 20, by deleting line 28 and inserting: “to 20, inclusive, of this act, and sections 2 to 10, inclusive, of this act”.

    Amend sec. 38, page 20, line 33, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 38, page 20, line 34, by deleting “12,” and inserting “10,”.

    Amend sec. 38, page 20, line 39, by deleting “12,” and inserting “10,”.

    Amend sec. 39, page 21, line 7, by deleting: “19 to 23,” and inserting: “17 to 20,”.

    Amend sec. 39, page 21, line 8, by deleting “12,” and inserting “10,”.

    Amend sec. 41, page 22, line 10, by deleting “40” and inserting “37”.

    Amend sec. 43, page 23, line 41, by deleting “40” and inserting “37”.

    Amend sec. 45, page 26, line 26, by deleting “40” and inserting “37”.

    Amend the bill as a whole by adding new sections designated sections 43 through 45, following sec. 45, to read as follows:

    “Sec. 43.  Chapter 278 of NRS is hereby amended by adding thereto the provisions set forth as sections 44 and 45 of this act.

    Sec. 44.  1.  Except as otherwise provided in this subsection, the governing body of each city and county shall not accept an application for a building permit for a project that includes the construction of new footings or a new foundation for a structure or that requires excavation or embankment of more than 5,000 cubic yards of earth, unless the application is submitted with a geotechnical report. The governing body may waive the requirement of the geotechnical report for any project other than a project involving a residential dwelling unit.

    2.  The geotechnical report required pursuant to subsection 1 must include:

    (a) Information concerning the soil and geology of the site where the project will be carried out;

    (b) Information concerning the ground water on the site where the project will be carried out and the potential that the ground water may adversely affect the foundation of the project;

    (c) A written statement from the architect, civil engineer or structural engineer who was responsible for the design of the project verifying that the design of the project is compatible with the geotechnical conditions described in paragraphs (a) and (b);

    (d) A written statement from a geotechnical engineer who has reviewed the plans for the grading and foundation of the project verifying that the project is geotechnically in compliance with the geotechnical conditions of the site as described in paragraphs (a) and (b); and

    (e) Any other information required by the governing body.

    3.  The governing body of each city and county shall require by ordinance the submission of a final report concerning grading of the property, the elevation of the finished floor and the drainage on the property for each construction project for which a geotechnical report is required pursuant to subsection 1.

    4.  The ordinance adopted pursuant to subsection 3 must require:

    (a) The final report concerning grading of the property to include certification that the grading and the excavating or embanking work complies with the requirements set forth in the geotechnical report completed pursuant to subsection 1 and any supplements or addenda to the report;

    (b) The final report concerning the elevation of the finished floor to include certification that the lowest elevation of the finished floor of the project that is habitable complies with the plans for the project that were approved by the governing body; and

    (c) The final report concerning the drainage on the property to include:

        (1) A statement that the conditions of the drainage system on the site of the project at the completion of the project complies with the plan for drainage or the plan for the plot and grading that was approved by the governing body; and

        (2) If the plans for the project that were approved by the governing body required a drainage system or facilities, structures or devices for drainage that were designed by an engineer, verification from a civil engineer that the drainage system and any facilities, structures or devices for drainage were installed and constructed in compliance with those plans. Devices for drainage include, without limitation, detention of drainage on the site, drainage from one lot to another lot and devices for conveying drainage.

    5.  The governing body of each city and county shall adopt an ordinance that requires a developer to provide a person who purchases a completed construction project described in subsection 1 with a written report concerning the applicable building codes and regulations and any recommendations of a geotechnical engineer and a civil engineer concerning the use of the project. The ordinance must provide that this report is part of the sales documents that must be acknowledged by the buyer.

    6.  As used in this section, “residential dwelling unit” has the meaning ascribed to it in NRS 278.4977.

    Sec. 45.  The governing body of each city and county shall adopt ordinances to ensure the prevention and mitigation of harm to a building or structure caused by water that is standing under the building or structure.”.

    Amend sec. 46, page 26, line 30, by deleting: “October 1, 2001.” and inserting: “the effective date of this act.”.

    Amend sec. 47, page 26, line 31, by deleting “40” and inserting “37”.

    Amend sec. 47, page 26, line 32, by deleting: “October 1, 2001.” and inserting: “the effective date of this act.”.

    Amend the bill as a whole by adding a new section designated sec. 48, following sec. 47, to read as follows:

    “Sec. 48.  This act becomes effective upon passage and approval.”

    Amend the preamble of the bill, page 1, by deleting line 11 and inserting:

    “Whereas, To accomplish this goal, homeowners and builders need to cooperate with each other and”.

    Amend the title of the bill, ninth line, after “communities;” by inserting: “requiring the governing body of each city and county to require a geotechnical report as a condition to obtaining a building permit and additional information concerning a completed project; requiring certain information to be provided to a purchaser of a construction project;”.

    Senator Carlton moved the adoption of the amendment.

    Remarks by Senator Carlton.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 520.

    Bill read second time.

    The following amendment was proposed by the Committee on Transportation:

    Amendment No. 529.

    Amend sec. 3, page 2, lines 34, 37 and 39, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 4, page 3, lines 11 and 12, by deleting “vehicle privilege” and inserting: “the governmental services”.

    Amend sec. 4, page 3, line 14, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 4, page 3, lines 17 and 18, by deleting “vehicle privilege” and inserting “governmental services”.

    Amend sec. 4, page 3, line 25, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 4, page 3, lines 43 and 44, by deleting “privilege” and inserting: “the governmental services”.

    Amend sec. 5, page 4, lines 11, 14, 17, 20 and 21, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 5, page 4, line 25, by deleting “basic privilege” and inserting: “the basic governmental services”.

    Amend sec. 5, page 4, line 36, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 5, page 4, line 39, by deleting “basic privilege” and inserting: “the basic governmental services”.

    Amend sec. 6, page 5, line 22, by deleting “privilege” and inserting: “the governmental services”.

    Amend sec. 7, page 5, line 42, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 9, page 7, lines 12 and 27, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 16, page 11, line 24, by deleting “motor vehicle” and inserting “applicable”.

    Amend sec. 17, page 12, lines 10 and 11, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 18, page 12, lines 42 and 43, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 19, page 13, line 3, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 19, page 14, line 2, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 20, page 14, lines 10 and 11, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 21, page 14, lines 30 and 31, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 21, page 14, line 33, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 22, page 15, lines 30 and 31, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 22, page 15, by deleting line 33 and inserting: “license fees and governmental services taxes.]”.

    Amend sec. 23, page 16, line 19, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 25, page 18, lines 28 and 29, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 25, page 18, by deleting line 31 and inserting: “license fees and governmental services taxes.]”.

    Amend sec. 26, page 19, lines 5 and 6, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 28, page 20, line 13, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 30, page 21, lines 18 and 19, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 32, page 22, line 22, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 33, page 22, line 38, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 33, page 22, line 44, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 33, page 22, line 47, by deleting “registration, privilege” and inserting: “registration[,] and governmental services”.

    Amend sec. 34, page 24, lines 17 and 18, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 35, page 25, lines 6 and 7, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 35, page 25, line 9, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 36, page 26, lines 11 and 12, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 36, page 26, line 14, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 37, page 27, lines 11 and 12, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 37, page 27, line 14, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 38, page 28, lines 10 and 11, by deleting “motor vehicle” and inserting “governmental services”.

    Amend sec. 38, page 28, line 12, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 39, page 29, lines 7 and 8, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 39, page 29, line 10, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 40, page 30, lines 7 and 8, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 40, page 30, line 10, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 41, page 31, lines 8 and 9, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 41, page 31, line 11, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 42, page 32, lines 3 and 4, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 42, page 32, line 6, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 43, page 32, lines 32 and 46, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 44, page 34, line 19, by deleting “motor vehicle” and inserting “applicable”.

    Amend sec. 45, page 34, line 33, by deleting “motor vehicle” and inserting “applicable”.

    Amend sec. 46, page 35, lines 6 and 7, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 47, page 35, lines 28 and 29, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 48, page 36, lines 3 and 4, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 51, page 39, lines 34, 35 and 40, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 51, page 40, lines 12, 13, 16, 17 and 30, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 54, page 42, line 25, before “tax” by inserting “governmental services”.

    Amend sec. 54, page 42, lines 29, 41, 45 and 48, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 54, page 43, line 1, by deleting “privilege” and inserting “governmental services”.

    Amend the bill as a whole by adding new sections designated sections 57.3, 57.5 and 57.7, following sec. 57, to read as follows:

    “Sec. 57.3.  NRS 354.705 is hereby amended to read as follows:

    354.705  1.  As soon as practicable after the department takes over the management of a local government, the executive director shall:

    (a) Determine the total amount of expenditures necessary to allow the local government to perform the basic functions for which it was created;

    (b) Determine the amount of revenue reasonably expected to be available to the local government; and

    (c) Consider any alternative sources of revenue available to the local government.

    2.  If the executive director determines that the available revenue is not sufficient to provide for the payment of required debt service and operating expenses, he may submit his findings to the committee who shall review the determinations made by the executive director. If the committee determines that additional revenue is needed, it shall prepare a recommendation to the Nevada tax commission as to which one or more of the following additional taxes or charges should be imposed by the local government:

    (a) The levy of a property tax up to a rate which when combined with all other overlapping rates levied in the state does not exceed $4.50 on each $100 of assessed valuation.

    (b) An additional tax on transient lodging at a rate not to exceed 1 percent of the gross receipts from the rental of transient lodging within the boundaries of the local government upon all persons in the business of providing lodging. Any such tax must be collected and administered in the same manner as all other taxes on transient lodging are collected by or for the local government.

    (c) Additional service charges appropriate to the local government.

    (d) If the local government is a county or has boundaries that are conterminous with the boundaries of the county:

        (1) An additional tax on the gross receipts from the sale or use of tangible personal property not to exceed one quarter of 1 percent throughout the county. The ordinance imposing any such tax must include provisions in substance which comply with the requirements of subsections 2 to 5, inclusive, of NRS 377A.030.

        (2) An additional governmental services tax of not more than [1] 0.35 cent on each $1 of valuation of the vehicle for the privilege of operating upon the public streets, roads and highways of the county on each vehicle based in the county except those vehicles exempt from the governmental services tax imposed pursuant to chapter 371 of NRS or a vehicle subject to NRS 706.011 to 706.861, inclusive, which is engaged in interstate or intercounty operations. As used in this subparagraph, “based” has the meaning ascribed to it in NRS 482.011.

    3.  Upon receipt of the plan from the committee, the Nevada tax commission shall hold a public hearing at a location within the boundaries of the local government in which the severe financial emergency exists after giving public notice of the hearing at least 10 days before the date on which the hearing will be held. In addition to the public notice, the Nevada tax commission shall give notice to the governing body of each local government whose jurisdiction overlaps with the jurisdiction of the local government in which the severe financial emergency exists.

    4.  After the public hearing, the Nevada tax commission may adopt the plan as submitted or adopt a revised plan. Any plan adopted pursuant to this section must include the duration for which any new or increased taxes or charges may be collected which must not exceed 5 years.

    5.  Upon adoption of the plan by the Nevada tax commission, the local government in which the severe financial emergency exists shall impose or cause to be imposed the additional taxes and charges included in the plan for the duration stated in the plan or until the severe financial emergency has been determined by the Nevada tax commission to have ceased to exist.

    6.  The allowed revenue from taxes ad valorem determined pursuant to NRS 354.59811 does not apply to any additional property tax levied pursuant to this section.

    Sec. 57.5.  NRS 371.040 is hereby amended to read as follows:

    371.040  The annual amount of the basic governmental services tax throughout the state is [4] 1.4 cents on each $1 of valuation of the vehicle as determined by the department.

    Sec. 57.7.  NRS 371.045 is hereby amended to read as follows:

    371.045  1.  A board of county commissioners may by ordinance, but not as in a case of emergency, after receiving the approval of a majority of the registered voters voting on the question at a primary, general or special election, impose a supplemental governmental services tax of not more than [1] 0.35 cent on each $1 of valuation of the vehicle for the privilege of operating upon the public streets, roads and highways of the county on each vehicle based in the county except:

    (a) A vehicle exempt from the governmental services tax pursuant to this chapter; or

    (b) A vehicle subject to NRS 706.011 to 706.861, inclusive, which is engaged in interstate or intercounty operations.

    2.  A county may combine this question with questions submitted pursuant to NRS 244.3351, 278.710 or 377A.020, or any combination thereof.

    3.  A special election may be held only if the board of county commissioners determines, by a unanimous vote, that an emergency exists. The determination made by the board is conclusive unless it is shown that the board acted with fraud or a gross abuse of discretion. An action to challenge the determination made by the board must be commenced within 15 days after the board’s determination is final. As used in this subsection, “emergency” means any unexpected occurrence or combination of occurrences which requires immediate action by the board of county commissioners to prevent or mitigate a substantial financial loss to the county or to enable the board to provide an essential service to the residents of the county.

    4.  Collection of the tax imposed pursuant to this section must not commence earlier than the first day of the second calendar month after adoption of the ordinance imposing the tax.

    5.  Except as otherwise provided in subsection 6 and NRS 371.047, the county shall use the proceeds of the tax to pay the cost of:

    (a) Projects related to the construction and maintenance of sidewalks, streets, avenues, boulevards, highways and other public rights of way used primarily for vehicular traffic, including, without limitation, overpass projects, street projects or underpass projects, as defined in NRS 244A.037, 244A.053 and 244A.055, within the boundaries of the county or within 1 mile outside those boundaries if the board of county commissioners finds that such projects outside the boundaries of the county will facilitate transportation within the county;

    (b) Payment of principal and interest on notes, bonds or other obligations incurred to fund projects described in paragraph (a); or

    (c) Any combination of those uses.

    6.  The county may expend the proceeds of the supplemental governmental services tax authorized by this section and NRS 371.047, or any borrowing in anticipation of that tax, pursuant to an interlocal agreement between the county and the regional transportation commission of the county with respect to the projects to be financed with the proceeds of the tax.

    7.  As used in this section, “based” has the meaning ascribed to it in NRS 482.011.”.

    Amend sec. 58, page 44, by deleting lines 7 through 18 and inserting:

“of [35 percent of] the manufacturer’s suggested retail price in Nevada excluding options and extras, as of the time the particular make and model”.

    Amend sec. 58, page 44, by deleting lines 23 and 24 and inserting: “shall determine the valuation upon the basis of [35 percent of] the original retail price to the”.

    Amend sec. 59, pages 44 through 46, by deleting lines 45 through 48 on page 44, lines 1 through 49 on page 45 and lines 1 through 30 on page 46, and inserting: “vehicle must be depreciated by the department for the purposes of the annual amount of the governmental services tax according to the following schedule:

                Percentage of

    Age                        Initial Value

    New............ 100 percent

    1 year   85 percent

    2 years   75 percent

    3 years   65 percent

    4 years   55 percent

    5 years   45 percent

    6 years   35 percent

    7 years   25 percent

    8 years   15 percent

    9 years or more   5 percent

    2.  Each bus, truck or truck tractor having a declared gross weight of 10,000 pounds or more and each trailer or semitrailer having an unladen weight of 4,000 pounds or more must be depreciated by the department for the purposes of the annual amount of the governmental services tax according to the following schedule:

    Percentage of

    Age                        Initial Value

    New   100 percent

    1 year   75 percent

    2 years   59 percent

    3 years   47 percent

    4 years   37 percent

    5 years   28 percent

    6 years   23 percent

    7 years   20 percent

    8 years   17 percent

    9 years   15 percent

    10 years or more   13 percent

    3.  Notwithstanding any other provision of this section, the minimum annual amount of the governmental services tax:

    (a) On any trailer having an unladen weight of 1,000 pounds or less is $3; and

    (b) On any other vehicle is $6.”.

    Amend sec. 59, page 46, line 31, by deleting “6.” and inserting “4.”.

    Amend sec. 60, page 46, line 39, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 60, page 46, by deleting line 40 and inserting: “tax for that calendar year must be reduced [one-twelfth] by 1/12 for”.

    Amend the bill as a whole by adding new sections designated sections 60.3, 60.5 and 60.7, following sec. 60, to read as follows:

    “Sec. 60.3.  NRS 371.101 is hereby amended to read as follows:

    371.101  1.  Vehicles registered by widows and orphan children not to exceed the amount of [$1,000] $2,857 determined valuation, are exempt from taxation, but the exemption must not be allowed to anyone but actual bona fide residents of this state, and must be filed in but one county in this state to the same family.

    2.  For the purpose of this section, vehicles in which the widow or orphan child has any interest shall be deemed to belong entirely to that widow or orphan child.

    3.  The person claiming the exemption shall file with the department in the county where the exemption is claimed an affidavit declaring his residency and that the exemption has been claimed in no other county in this state for that year. The affidavit must be made before the county assessor or a notary public. After the filing of the original affidavit, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    4.  A widow is not entitled to the exemption provided by this section in any fiscal year beginning after her remarriage, even if the remarriage is later annulled.

    Sec. 60.5.  NRS 371.102 is hereby amended to read as follows:

    371.102  1.  Vehicles registered by a blind person, not to exceed the amount of [$3,000] $8,571 determined valuation, are exempt from taxation, but the exemption must not be allowed to anyone but bona fide residents of this state, and must be filed in but one county in this state on account of the same blind person.

    2.  The person claiming the exemption shall file with the department in the county where the exemption is claimed an affidavit declaring his residency and that the exemption has been claimed in no other county in this state for that year. The affidavit must be made before the county assessor or a notary public. After the filing of the original affidavit, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    3.  Upon first claiming the exemption in a county the claimant shall furnish to the department a certificate of a physician licensed under the laws of this state setting forth that he has examined the claimant and has found him to be a blind person.

    4.  As used in this section, “blind person” includes any person whose visual acuity with correcting lenses does not exceed 20/200 in the better eye, or whose vision in the better eye is restricted to a field which subtends an angle of not greater than 20º.

    Sec. 60.7.  NRS 371.103 is hereby amended to read as follows:

    371.103  1.  Vehicles, to the extent of [$1,000] $2,857 determined valuation, registered by any actual bona fide resident of the State of Nevada who:

    (a) Has served a minimum of 90 days on active duty, who was assigned to active duty at some time between April 21, 1898, and June 15, 1903, or between April 6, 1917, and November 11, 1918, or between December 7, 1941, and December 31, 1946, or between June 25, 1950, and January 31, 1955;

    (b) Has served a minimum of 90 continuous days on active duty none of which was for training purposes, who was assigned to active duty at some time between January 1, 1961, and May 7, 1975; or

    (c) Has served on active duty in connection with carrying out the authorization granted to the President of the United States in Public Law 102 1, and who received, upon severance from service, an honorable discharge or certificate of satisfactory service from the Armed Forces of the United States, or who, having so served, is still serving in the Armed Forces of the United States, is exempt from taxation.

    2.  For the purpose of this section , the first [$1,000] $2,857 determined valuation of vehicles in which such a person has any interest shall be deemed to belong to that person.

    3.  A person claiming the exemption shall file annually with the department in the county where the exemption is claimed an affidavit declaring that he is an actual bona fide resident of the State of Nevada who meets all the other requirements of subsection 1, and that the exemption is claimed in no other county in this state. The affidavit must be made before the county assessor or a notary public. After the filing of the original affidavit, the county assessor shall mail a form for:

    (a) The renewal of the exemption; and

    (b) The designation of any amount to be credited to the veterans’ home account, to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    4.  Persons in actual military service are exempt during the period of such service from filing annual affidavits of exemption and the department shall grant exemptions to those persons on the basis of the original affidavits filed. In the case of any person who has entered the military service without having previously made and filed an affidavit of exemption, the affidavit may be filed in his behalf during the period of such service by any person having knowledge of the facts.

    5.  Before allowing any veteran’s exemption pursuant to the provisions of this chapter, the department shall require proof of status of the veteran, and for that purpose shall require production of an honorable discharge or certificate of satisfactory service or a certified copy thereof, or such other proof of status as may be necessary.

    6.  If any person files a false affidavit or produces false proof to the department, and as a result of the false affidavit or false proof a tax exemption is allowed to a person not entitled to the exemption, he is guilty of a gross misdemeanor.”.

    Amend the bill as a whole by adding a new section designated sec. 61.5, following sec. 61, to read as follows:

    “Sec. 61.5.  NRS 371.104 is hereby amended to read as follows:

    371.104  1.  A bona fide resident of the State of Nevada who has incurred a permanent service-connected disability and has been honorably discharged from the Armed Forces of the United States, or his surviving spouse, is entitled to a veteran’s exemption from the payment of governmental services taxes on vehicles of the following determined valuations:

    (a) If he has a disability of 100 percent, the first [$10,000] $28,571 of determined valuation;

    (b) If he has a disability of 80 to 99 percent, inclusive, the first [$7,500] $21,429 of determined valuation; or

    (c) If he has a disability of 60 to 79 percent, inclusive, the first [$5,000] $14,286 of determined valuation.

    2.  For the purpose of this section, the first [$10,000] $28,571 determined valuation of vehicles in which an applicant has any interest shall be deemed to belong entirely to that person.

    3.  A person claiming the exemption shall file annually with the department in the county where the exemption is claimed an affidavit declaring that he is a bona fide resident of the State of Nevada who meets all the other requirements of subsection 1, and that the exemption is claimed in no other county within this state. After the filing of the original affidavit, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    4.  Before allowing any exemption pursuant to the provisions of this section, the department shall require proof of the applicant’s status, and for that purpose shall require production of:

    (a) A certificate from the Department of Veterans Affairs that the veteran has incurred a permanent service-connected disability, which shows the percentage of that disability; and

    (b) Any one of the following:

        (1) An honorable discharge;

        (2) A certificate of satisfactory service; or

        (3) A certified copy of either of these documents.

    5.  A surviving spouse claiming an exemption pursuant to this section must file with the department in the county where the exemption is claimed an affidavit declaring that:

    (a) The surviving spouse was married to and living with the disabled veteran for the 5 years preceding his death;

    (b) The disabled veteran was eligible for the exemption at the time of his death; and

    (c) The surviving spouse has not remarried.

The affidavit required by this subsection is in addition to the certification required pursuant to subsections 3 and 4. After the filing of the original affidavit required by this subsection, the county assessor shall mail a form for renewal of the exemption to the person each year following a year in which the exemption was allowed for that person. The form must be designed to facilitate its return by mail by the person claiming the exemption.

    6.  If a tax exemption is allowed under this section, the claimant is not entitled to an exemption under NRS 371.103.

    7.  If any person makes a false affidavit or produces false proof to the department, and as a result of the false affidavit or false proof, the person is allowed a tax exemption to which he is not entitled, he is guilty of a gross misdemeanor.”.

    Amend sec. 62, page 47, line 12, by deleting “vehicle privilege” and inserting “governmental services”.

    Amend sec. 63, page 47, line 25, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 63, page 47, line 27, by deleting “the” and inserting “the”.

    Amend sec. 63, page 47, lines 29, 30, 31 and 32, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 64, page 47, lines 37 and 41, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 64, page 47, line 44, before “nonoperation” by inserting “the”.

    Amend sec. 66, page 48, line 11, by deleting “privilege” and inserting “governmental services”.

    Amend sec. 70, page 49, lines 45 and 46, by deleting: “at page 1448,” and inserting: “as last amended by section 75 of Senate Bill No. 59 of this session,”.

    Amend sec. 70, page 50, by deleting line 3 and inserting: “impose a special governmental services tax of [1] 0.35 cent on each $1 valuation of the”.

    Amend sec. 70, page 50, line 7, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 70, page 50, by deleting line 8 and inserting: “to chapter 371 of NRS; or”.

    Amend sec. 70, page 50, line 11, after “[The]” by inserting: “If, on or before June 30, 2002, the board of county commissioners of Churchill, Elko, Humboldt or Lander county or the board of supervisors of Carson City imposes a tax pursuant to subsection 1, the board imposing the tax shall reduce the rate of the tax by 65 percent, applicable to fiscal years beginning after that date.

    3.”.

    Amend sec. 70, page 50, line 13, by deleting “subsection 1” and inserting: “[subsection 1] this section”.

    Amend sec. 70, page 50, line 16, by deleting “3.” and inserting “[3.] 4.”.

    Amend the bill as a whole by adding a new section designated sec. 70.5, following sec. 70, to read as follows:

    “Sec. 70.5.  Section 38 of chapter 491, Statutes of Nevada 1991, as last amended by section 76 of Senate Bill No. 59 of this session, is hereby amended to read as follows:

    Sec. 38.  1.  The board of county commissioners of Washoe County shall reduce the rate of the tax ad valorem imposed pursuant to section 33 of this act by 1.5 cents per $100 of assessed valuation for the fiscal year 1993-1994.

    2.  The board of county commissioners of Washoe County shall reduce the rate of the tax ad valorem imposed pursuant to section 33 of this act, in addition to the reduction made pursuant to subsection 1, by 4 cents per $100 of assessed valuation for the fiscal year 1994-1995.

    3.  The board of county commissioners of Washoe County shall reduce the rate of the special governmental services tax imposed pursuant to section 30 of this act to the amounts shown for each $1 of valuation for the respective fiscal years:

    2001-2002   0.8 [cents] cent

    2002-2003   [0.6 cents] 0.21 cent

    2003-2004   [0.4 cents] 0.14 cent

    2004-2005   [0.2 cents] 0.07 cent

The board of county commissioners of Washoe County shall not impose or levy that special governmental services tax for any fiscal year after June 30, 2005.

    4.  The board of county commissioners of Washoe County or Churchill County shall not, after June 30, 1994:

    (a) Except as otherwise provided in subsection 2, 3 or 5, decrease the rate of any of the taxes imposed pursuant to sections 29 to 33, inclusive, of this act unless all of the local governments that are entitled to receive a monthly distribution from the tax distribution fund for the county agree to the decrease.

    (b) Increase the rate of any tax imposed pursuant to sections 29 to 33, inclusive, of this act.

    5.  If necessary to avoid violating the provisions of subsection 2 of section 31 of this act, the board of county commissioners of Washoe County shall reduce the amount of the license fee imposed pursuant to that section by the minimum amount necessary to comply with the provisions of subsection 2 of section 31 of this act.”.

    Amend sec. 71, page 50, lines 18 and 19, by deleting: “at page 1953,” and inserting: “as last amended by section 77 of Senate Bill No. 59 of this session,”.

    Amend sec. 71, page 50, by deleting line 25 and inserting: “a special governmental services tax of [1] 0.35 cent on each $1 valuation of the vehicle”.

    Amend sec. 71, page 50, line 28, by deleting: “motor vehicle privilege” and inserting “governmental services”.

    Amend sec. 71, page 50, line 32, after “[The]” by inserting: “If, on or before June 30, 2002, the board of county commissioners of Douglas, Esmeralda, Lincoln, Lyon, Mineral, Nye, Pershing, Storey or White Pine county imposes a tax pursuant to subsection 1, the board imposing the tax shall reduce the rate of the tax by 65 percent, applicable to fiscal years beginning after that date.

    3.”.

    Amend sec. 71, page 50, line 34, by deleting “subsection 1” and inserting: “[subsection 1] this section”.

    Amend sec. 71, page 50, line 37, by deleting “3.” and inserting “[3.] 4.”.

    Amend the bill as a whole by adding a new section designated sec. 72.5, following sec. 72, to read as follows:

    “Sec.72.5.  If, on or before June 30, 2002:

    1.  A local government imposes an additional governmental services tax pursuant to NRS 354.705, the local government shall reduce the rate of that tax by 65 percent, applicable to fiscal years beginning after that date.

    2.  A board of county commissioners imposes a supplemental governmental services tax pursuant to NRS 371.045, the board shall reduce the rate of that tax by 65 percent, applicable to fiscal years beginning after that date.”.

    Amend sec. 73, page 50, line 42, by deleting “72,” and inserting “72.5,”.

    Amend sec. 73, page 50, by deleting lines 46 through 48 and inserting:

    “(a) Sections 1 to 33, inclusive, 36 to 41, inclusive, and 43 to 72.5, inclusive, of this act become effective on July 1, 2002;”.

    Amend sec. 73, page 51, line 1, by deleting “(c)” and inserting “(b)”.

    Amend sec. 73, page 51, line 5, by deleting “(d)” and inserting “(c)”.

    Amend sec. 73, page 51, line 9, by deleting “(e)” and inserting “(d)”.

    Amend the bill as a whole by deleting the text of the repealed section and adding the new text of the repealed section, following sec. 73, to read as follows:

TEXT OF REPEALED SECTION

    371.080  Reduction on cessation of exemption because of change of ownership.  If any vehicle which is exempt from the governmental services tax pursuant to NRS 371.100 ceases to be exempt after the beginning of the registration year by reason of a change of ownership, the amount of the tax must be reduced one-twelfth for each month which has elapsed since the beginning of that year.”.

    Amend the title of the bill, third line, by deleting “vehicle privilege” and inserting “governmental services”.

    Amend the summary of the bill, to read as follows:

    “SUMMARY—Authorizes optional registration of vehicles for 2-year period and makes various changes in provisions governing imposition and procedure distribution of governmental services tax. (BDR 43‑1171)”.

    Senator O'Donnell moved the adoption of the amendment.

    Remarks by Senators O'Donnell, Neal, Titus and Mathews.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 523.

    Bill read second time.

    The following amendment was proposed by the Committee on Transportation:

    Amendment No. 530.

    Amend the bill as a whole by renumbering sections 2 and 3 as sections 3 and 4 and adding a new section designated sec. 2, following section 1, to read as follows:

    “Sec. 2.  NRS 482.31776 is hereby amended to read as follows:

    482.31776  1.  A consignee of a vehicle shall, upon entering into a consignment contract or other form of agreement to sell a vehicle owned by another person, open and maintain a separate trust account in a federally insured bank or savings and loan association that is located in this state, into which the consignee shall deposit all money received from a prospective buyer as a deposit, or as partial or full payment of the purchase price agreed upon, toward the purchase or transfer of interest in the vehicle. A consignee of a vehicle shall not:

    (a) Commingle the money in the trust account with any other money that is not on deposit or otherwise maintained toward the purchase of the vehicle subject to the consignment contract or agreement; or

    (b) Use any money in the trust account to pay his operational expenses for any purpose that is not related to the consignment contract or agreement.

    2.  Upon the sale or transfer of interest in the vehicle, the consignee shall forthwith:

    (a) Satisfy or cause to be satisfied all outstanding security interests in the vehicle; and

    (b) Satisfy the financial obligations due the consignor pursuant to the consignment contract.

    3.  Upon the receipt of money by delivery of cash, bank check or draft, or any other form of legal monetary exchange, or after any form of transfer of interest in a vehicle, the consignee shall notify the consignor that the money has been received or that a transfer of interest in the vehicle has occurred. Notification by the consignee to the consignor must be given in person or, in the absence of the consignor, by registered or certified mail addressed to the last address or residence of the consignor known to the consignee. The notification must be made within 3 business days after the date on which the money is received or the transfer of interest in the vehicle is made.

    4.  The provisions of this section do not apply to an executor, an administrator, a sheriff or any other person who sells a vehicle pursuant to the powers or duties granted to or imposed on him by specific statute.

    5.  Notwithstanding any provision of NRS 482.423 to 482.4247, inclusive, to the contrary, a vehicle subject to a consignment contract may not be operated by the consignee, an employee or agent of the consignee, or a prospective buyer in accordance with NRS 482.423 to 482.4247, inclusive, by displaying a [special permit or] temporary placard to operate the vehicle unless [such] the operation of the vehicle is authorized by the express written consent of the consignor.

    6.  A vehicle subject to a consignment contract may not be operated by the consignee, an employee or agent of the consignee, or a prospective buyer in accordance with NRS 482.320 by displaying a special plate unless [such] the operation of the vehicle is authorized by the express written consent of the consignor.

    7.  A consignee shall maintain a written log for each vehicle for which he has entered into a consignment contract. The written log must include:

    (a) The name and address, or place of residence, of the consignor;

    (b) A description of the vehicle consigned, including the year, make, model and serial or identification number of the vehicle;

    (c) The date on which the consignment contract is entered into;

    (d) The period that the vehicle is to be consigned;

    (e) The minimum agreed upon sales price for the vehicle;

    (f) The approximate amount of money due any lienholder or other person known to have an interest in the vehicle;

    (g) If the vehicle is sold, the date on which the vehicle is sold;

    (h) The date that the money due the consignor and the lienholder was paid;

    (i) The name and address of the federally insured bank or savings and loan association in which the consignee opened the trust account required pursuant to subsection 1; and

    (j) The signature of the consignor acknowledging that the terms of the consignment contract were fulfilled or terminated, as appropriate.

    8.  A person who:

    (a) Appropriates, diverts or otherwise converts to his own use money in a trust account opened pursuant to subsection 1 or otherwise subject to a consignment contract or agreement is guilty of embezzlement and shall be punished in accordance with NRS 205.300. The court shall, in addition to any other penalty, order the person to pay restitution.

    (b) Violates any other provision of this section is guilty of a misdemeanor.”.

    Amend sec. 3, page 5, line 49, after “tax” by inserting “on”.

    Amend the bill as a whole by renumbering sections 4 through 11 as sections 9 through 16 and adding new sections designated sections 5 through 8, following sec. 3, to read as follows:

    “Sec. 5.NRS 482.423 is hereby amended to read as follows:

    482.423  1.  When a new vehicle is sold in this state for the first time, the seller shall complete and execute a manufacturer’s certificate of origin or a manufacturer’s statement of origin and, unless the vehicle is sold to a licensed dealer, a dealer’s report of sale. The dealer’s report of sale must be in a form prescribed by the department and must include:

    (a) A description of the vehicle;

    (b) The name and address of the seller; and

    (c) The name and address of the buyer.

    2.  If, in connection with the sale, a security interest is taken or retained by the seller to secure all or part of the purchase price, or a security interest is taken by a person who gives value to enable the buyer to acquire rights in the vehicle, the name and address of the secured party or his assignee must be entered on the dealer’s report of sale and on the manufacturer’s certificate or statement of origin.

    3.  Unless an extension of time is granted by the department, the seller shall:

    (a) Collect the fee set forth in NRS 482.429 for a certificate of title for a vehicle registered in this state; and

    (b) Submit the original of the dealer’s report of sale and the manufacturer’s certificate or statement of origin and remit the fee collected pursuant to this subsection for the certificate of title to the department within 20 days after the execution of the dealer’s report of sale . [; and

    (c) Furnish to the buyer :

        (1) One copy of the dealer’s report of sale . ; and

        (2) A temporary placard for use in place of a license plate. The temporary placard must be in a form prescribed by the department, be made of a material appropriate for use on the exterior of a vehicle and contain the date of expiration of the dealer’s report of sale in a size consistent with the unique numbers and letters of a license plate.

    4.  One copy of the dealer’s report of sale must be affixed to the right front windshield of the vehicle, and the temporary placard must be affixed to the rear of the vehicle in place of the license plate.]

    4.  Upon entering into a contract for the sale of a new vehicle, the seller shall affix a temporary placard to the rear of the vehicle. Only one temporary placard may be issued for the vehicle. The temporary placard must:

    (a) Be in a form prescribed by the department;

    (b) Be made of a material appropriate for use on the exterior of a vehicle;

    (c) Be free from foreign materials and clearly visible from the rear of the vehicle; and

    (d) Include the date of its expiration.

    5.  Compliance with the requirements of subsection 4 permits the vehicle to be operated for a period not to exceed [10 days.] 30 days after the execution of the contract. Upon the issuance of the certificate of registration and license plates for the vehicle or the expiration of [10 days after the sale,] the temporary placard, whichever occurs first, the buyer shall remove the [copy of the dealer’s report of sale from the windshield of the vehicle and the] temporary placard from the rear of the vehicle.

    6.  For the purposes of establishing compliance with the period required by paragraph (b) of subsection 3, the department shall use the date imprinted or otherwise indicated on the dealer’s report of sale as the beginning date of the 20-day period.

    7.  [The department shall furnish a special permit for use when a contract of sale is entered to enable the buyer to operate the vehicle for a period not to exceed 20 days.] Upon execution of all required documents to complete the sale of a vehicle, the dealer shall [:

    (a) Remove the special permit; and

    (b) Execute a] execute the dealer’s report of sale and furnish a copy of the report [and a temporary placard] to the buyer [as required by this section.] not less than 10 days before the expiration of the temporary placard.

    Sec. 6.  NRS 482.4235 is hereby amended to read as follows:

    482.4235  1.  If a new vehicle is leased in this state by a long-term lessor, the long-term lessor shall complete and execute a manufacturer’s certificate of origin or a manufacturer’s statement of origin, and a long-term lessor’s report of lease. Such a report must be in a form prescribed by the department and must include:

    (a) A description of the vehicle; and

    (b) The names and addresses of the long-term lessor, long-term lessee and any person having a security interest in the vehicle.

    2.  Unless an extension of time is granted by the department, the long-term lessor shall [:

    (a) Submit] submit the original of the long-term lessor’s report of lease and the manufacturer’s certificate of origin or manufacturer’s statement of origin to the department within 20 days after the execution of the long-term lessor’s report of lease . [; and

    (b) Furnish to the long-term lessee:

        (1) One copy of the long-term lessor’s report of lease; and

        (2) A temporary placard for use in place of a license plate. The temporary placard must be in a form prescribed by the department, be made of a material appropriate for use on the exterior of a vehicle and contain the date of expiration of the long-term lessor’s report of lease in a size consistent with the unique numbers and letters of a license plate.

    3.  The long-term lessor shall affix one copy of the long-term lessor’s report of lease to the right front windshield of the vehicle and the temporary placard to the rear of the vehicle in place of a license plate.]

    3.  Upon entering into a lease for a new vehicle, the seller shall affix a temporary placard to the rear of the vehicle. Only one temporary placard may be issued for the vehicle. The temporary placard must:

    (a) Be in a form prescribed by the department;

    (b) Be made of a material appropriate for use on the exterior of a vehicle;

    (c) Be free from foreign materials and clearly visible from the rear of the vehicle; and

    (d) Include the date of its expiration.

    4.  Compliance with the requirements of subsection 3 permits the vehicle to be operated for a period not to exceed [10 days.] 30 days after the execution of the lease. Upon issuance of the certificate of registration and license plates for the vehicle or the expiration of [10 days after the lease,] the temporary placard, whichever occurs first, the long-term lessee shall remove the [copy of the long-term lessor’s report of lease from the windshield of the vehicle and the] temporary placard from the rear of the vehicle.

    5.  For the purposes of establishing compliance with the period required by [paragraph (a) of] subsection 2, the department shall use the date imprinted or otherwise indicated on the long-term lessor’s report of lease as the beginning date of the 20-day period.

    6.  [When a contract to lease a new vehicle is entered into, the department shall furnish a special permit to the long-term lessor to enable the long-term lessee to operate the vehicle for not more than 20 days.] Upon executing all documents necessary to complete the lease of the vehicle, the long-term lessor shall [:

    (a) Remove the special permit; and

    (b) Execute] execute thelong-term lessor’s report of lease and furnish a copy of the report [and a temporary placard] to the long-term lessee[as required by this section.] not less than 10 days before the expiration of the temporary placard.

    Sec. 7.  NRS 482.424 is hereby amended to read as follows:

    482.424  1.  When a used or rebuilt vehicle is sold in this state to any person, except a licensed dealer, by a dealer, rebuilder, long-term lessor or short-term lessor, the seller shall complete and execute a dealer’s or rebuilder’s report of sale. The dealer’s or rebuilder’s report of sale must be in a form prescribed by the department and must include:

    (a) A description of the vehicle, including whether it is a rebuilt vehicle;

    (b) The name and address of the seller; and

    (c) The name and address of the buyer.

    2.  If a security interest exists at the time of the sale, or if in connection with the sale a security interest is taken or retained by the seller to secure all or part of the purchase price, or a security interest is taken by a person who gives value to enable the buyer to acquire rights in the vehicle, the name and address of the secured party must be entered on the dealer’s or rebuilder’s report of sale.

    3.  Unless an extension of time is granted by the department, the seller shall:

    (a) Collect the fee set forth in NRS 482.429 for a certificate of title for a vehicle registered in this state; and

    (b) Submit the original of the dealer’s or rebuilder’s report of sale and remit the fee collected pursuant to this subsection for the certificate of title to the department within 30 days after the execution of the dealer’s or rebuilder’s report of sale, together with the properly endorsed certificate of title or certificate of ownership previously issued for the vehicle . [; and

    (c) Furnish to the buyer:

        (1) One copy of the dealer’s or rebuilder’s report of sale; and

        (2) A temporary placard for use in place of a license plate. The temporary placard must be in a form prescribed by the department, be made of a material appropriate for use on the exterior of a vehicle and contain the date of expiration of the dealer’s or rebuilder’s report of sale in a size consistent with the unique numbers and letters of a license plate.

    4.  One copy of the dealer’s or rebuilder’s report of sale must be affixed to the front right windshield of the vehicle, and the temporary placard must be affixed to the rear of the vehicle in place of a license plate.]

    4.  Upon entering into a contract for the sale of a used or rebuilt vehicle, the seller shall affix a temporary placard to the rear of the vehicle. Only one temporary placard may be issued for the vehicle. The temporary placard must:

    (a) Be in a form prescribed by the department;

    (b) Be made of a material appropriate for use on the exterior of a vehicle;

    (c) Be free from foreign materials and clearly visible from the rear of the vehicle; and

    (d) Include the date of its expiration.

    5.  Compliance with the requirements of subsection 4 permits the vehicle to be operated for not more than [10 days.] 30 days after the execution of the contract. Upon the issuance of the certificate of registration and license plates for the vehicle or the expiration of [10 days after the sale,] the temporary placard, whichever occurs first, the buyer shall remove the [copy of the dealer’s or rebuilder’s report of sale from the windshield of the vehicle and the] temporary placard from the rear of the vehicle.

    6.  For the purposes of establishing compliance with the period required by paragraph (b) of subsection 3, the department shall use the date imprinted or otherwise indicated on the dealer’s or rebuilder’s report of sale as the beginning date of the 30-day period.

    7.  [The department shall furnish a special permit which may be used when a contract of sale is made, to enable the buyer to operate the vehicle purchased by him for not more than 20 days.] Upon executing all documents necessary to complete the sale of the vehicle, the [dealer shall:

    (a) Remove the special permit ; and

    (b) Execute] seller shall execute the dealer’s or rebuilder’s report of sale and furnish a copy of the report [and a temporary placard] to the buyer[as required by this section.] not less than 10 days before the expiration of the temporary placard.

    Sec. 8.  NRS 482.4245 is hereby amended to read as follows:

    482.4245  1.  If a used or rebuilt vehicle is leased in this state by a long-term lessor, the long-term lessor shall complete and execute a long-term lessor’s report of lease. Such a report must be in a form prescribed by the department and must include:

    (a) A description of the vehicle;

    (b) An indication as to whether the vehicle is a rebuilt vehicle; and

    (c) The names and addresses of the long-term lessor, long-term lessee and any person having a security interest in the vehicle.

    2.  Unless an extension of time is granted by the department, the long-term lessor shall [:

    (a) Submit] submit the original of the long-term lessor’s report of lease to the department within 30 days after the execution of the long-term lessor’s report of lease, together with the properly endorsed certificate of title or certificate of ownership previously issued for the vehicle . [; and

    (b) Furnish to the long-term lessee:

        (1) One copy of the long-term lessor’s report of lease; and

        (2) A temporary placard for use in place of a license plate. The temporary placard must be in a form prescribed by the department, be made of a material appropriate for use on the exterior of a vehicle and contain the date of expiration of the long-term lessor’s report of lease in a size consistent with the unique numbers and letters of a license plate.

    3.  The long-term lessor shall affix one copy of the report to the right front windshield of the vehicle and the temporary placard to the rear of the vehicle in place of a license plate.]

    3.  Upon entering into a lease for a used or rebuilt vehicle, the seller shall affix a temporary placard to the rear of the vehicle. Only one temporary placard may be issued for the vehicle. The temporary placard must:

    (a) Be in a form prescribed by the department;

    (b) Be made of a material appropriate for use on the exterior of a vehicle;

    (c) Be free from foreign materials and clearly visible from the rear of the vehicle; and

    (d) Include the date of its expiration.

    4.  Compliance with the requirements of subsection 3 permits the vehicle to be operated for a period not to exceed [10 days.] 30 days after the execution of the lease. Upon issuance of the certificate of registration and license plates for the vehicle or the expiration of [10 days after the lease,] the temporary placard, whichever occurs first, the long-term lessee shall remove the [copy of the long-term lessor’s report of lease from the windshield of the vehicle and the] temporary placard from the rear of the vehicle.

    5.  For the purposes of establishing compliance with the period required by [paragraph (a) of] subsection 2, the department shall use the date imprinted or otherwise indicated on the long-term lessor’s report of lease as the beginning date of the 30-day period.

    6.  [When a contract to lease a used or rebuilt vehicle is entered into, the department shall furnish a special permit to the long-term lessor to enable the long-term lessee to operate the vehicle for not more than 20 days.] Upon executing all documents necessary to complete the lease of the vehicle, the long-term lessor shall [:

    (a) Remove the special permit; and

    (b) Execute] execute the long-term lessor’s report of lease and furnish a copy of the report [and a temporary placard] to the long-term lessee [as required by this section.] not less than 10 days before the expiration of the temporary placard.”.

    Amend sec. 4, page 6, line 37, by deleting: “5 and 6” and inserting:

“10 and 11”.

    Amend sec. 11, page 9, line 19, by deleting “6” and inserting “11”.

    Amend sec. 11, page 9, line 25, by deleting “6” and inserting “11”.

    Amend the bill as a whole by renumbering sections 12 and 13 as sections 19 and 20 and adding new sections designated sections 17 and 18, following sec. 11, to read as follows:

    “Sec. 17.  NRS 485.187 is hereby amended to read as follows:

    485.187  1.  Except as otherwise provided in subsection 5, the owner of a motor vehicle shall not:

    (a) Operate the motor vehicle, if it is registered or required to be registered in this state, without having insurance as required by NRS 485.185.

    (b) Operate or knowingly permit the operation of the motor vehicle without having evidence of insurance of the operator or the vehicle in the vehicle.

    (c) Fail or refuse to surrender, upon demand, to a peace officer or to an authorized representative of the department the evidence of insurance.

    (d) Knowingly permit the operation of the motor vehicle in violation of subsection 3 of NRS 485.186.

    2.  A person shall not operate the motor vehicle of another person unless:

    (a) He first ensures that the required evidence of insurance is present in the motor vehicle; or

    (b) He has his own evidence of insurance which covers him as the operator of the motor vehicle.

    3.  Except as otherwise provided in subsection 4, any person who violates subsection 1 or 2 is guilty of a misdemeanor. Except as otherwise provided in this subsection, in addition to any other penalty, a person sentenced pursuant to this subsection shall be punished by a fine of not less than $600 nor more than $1,000 for each violation. The fine must be reduced to $100 for the first violation if the person obtains a motor vehicle liability policy by the time of sentencing, unless:

    (a) The person has registered the vehicle as part of a fleet of vehicles pursuant to subsection 5 of NRS 482.215; or

    (b) The person has been issued a certificate of self-insurance pursuant to NRS 485.380.

    4.  A court:

    (a) Shall not find a person guilty or fine a person for a violation of paragraph (a), (b) or (c) of subsection 1 or for a violation of subsection 2 if he presents evidence to the court that the insurance required by NRS 485.185 was in effect at the time demand was made for it.

    (b) Except as otherwise provided in paragraph (a), may impose a fine of not more than $1,000 for a violation of paragraph (a), (b) or (c) of subsection 1, and suspend the balance of the fine on the condition that the person presents proof to the court each month for 12 months that the insurance required by NRS 485.185 is currently in effect.

    5.  The provisions of paragraphs (b) and (c) of subsection 1 do not apply if the motor vehicle in question displays a valid permit issued by the department pursuant to subsection 1 or 2 of NRS 482.3955, or NRS 482.396 [, 482.3965, 482.423 or 482.424] or 482.3965 authorizing the movement or operation of that vehicle within the state for a limited time.

    Sec. 18.  Section 70 of Senate Bill No. 59 of this session is hereby amended to read as follows:

    Sec. 70.  NRS 482.400 is hereby amended to read as follows:

    482.400  1.  Except as otherwise provided in this subsection and subsections 2, 5 and 6, upon a transfer of the title to, or the interest of an owner in, a vehicle registered or issued a certificate of ownership under the provisions of this chapter, the person or persons whose title or interest is to be transferred and the transferee shall write their signatures with pen and ink upon the certificate of ownership issued for the vehicle, together with the residence address of the transferee, in the appropriate spaces provided upon the reverse side of the certificate. The department may, by regulation, prescribe alternative methods by which a signature may be affixed upon a manufacturer’s certificate of origin or a manufacturer’s statement of origin issued for a vehicle. The alternative methods must ensure the authenticity of the signatures.

    2.  The department shall provide a form for use by a dealer for the transfer of ownership of a vehicle. The form must be produced in a manner which ensures that the form may not be easily counterfeited. Upon the attachment of the form to a certificate of ownership issued for a vehicle, the form becomes a part of that certificate of ownership. The department may charge a fee not to exceed the cost to provide the form.

    3.  Except as otherwise provided in subsections 4, 5 and 6, the transferee shall immediately apply for registration as provided in NRS 482.215, and shall pay the [privilege] governmental services taxes due.

    4.  If the transferee is a dealer who intends to resell the vehicle, he is not required to register, pay a transfer or registration fee for, or pay a [privilege] governmental services tax on the vehicle. When the vehicle is resold, the purchaser shall apply for registration as provided in NRS 482.215, and shall pay the [privilege] governmental services taxes due.

    5.  If the transferee consigns the vehicle to a wholesale vehicle auctioneer:

    (a) The transferee shall, within 30 days after that consignment, provide the wholesale vehicle auctioneer with the certificate of ownership for the vehicle, executed as required by subsection 1, and any other documents necessary to obtain another certificate of ownership for the vehicle.

    (b) The wholesale vehicle auctioneer shall be deemed a transferee of the vehicle for the purposes of subsection 4. The wholesale vehicle auctioneer is not required to comply with subsection 1 if he:

        (1) Does not take an ownership interest in the vehicle;

        (2) Auctions the vehicle to a vehicle dealer or automobile wrecker who is licensed as such in this or any other state; and

        (3) Stamps his name, his identification number as a vehicle dealer and the date of the auction on the certificate of ownership and the bill of sale and any other documents of transfer for the vehicle.

    6.  A charitable organization which intends to sell a vehicle which has been donated to the organization must deliver immediately to the department or its agent the certificate of registration and the license plate or plates for the vehicle, if the license plate or plates have not been removed from the vehicle. The charitable organization must not be required to register, pay a transfer or registration fee for, or pay a [privilege] governmental services tax on the vehicle. When the vehicle is sold by the charitable organization, the purchaser shall apply for registration as provided in NRS 482.215 and pay the [privilege] governmental services taxes due.

    7.  As used in this section, “wholesale vehicle auctioneer” means a dealer who:

    (a) Is engaged in the business of auctioning consigned motor vehicles to vehicle dealers or automobile wreckers, or both, who are licensed as such in this or any other state; and

    (b) Does not in the ordinary course of his business buy, sell or own the vehicles he auctions.”.

    Amend the title of the bill, fourth line, after “vehicle;” by inserting: “revising the provisions relating to temporary placards issued upon the sale or lease of motor vehicles; abolishing special permits issued upon the sale or lease of motor vehicles;”.

    Senator O'Donnell moved the adoption of the amendment.

    Remarks by Senator O'Donnell.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 535.

    Bill read second time.

    The following amendment was proposed by the Committee on Natural Resources:

    Amendment No. 559.

    Amend sec. 2, page 3, line 5, by deleting “445B.500:”and inserting:

    445B.500, require each person or entity that is proposing to locate a new source of air pollution within its jurisdiction or to modify an existing source of air pollution within its jurisdiction in such a way as to increase emissions of air pollutants, to reduce or mitigate any increase in emissions in accordance with regulations adopted by such board.

    2.  Regulations established pursuant to subsection 1 must include credits for the reduction of emissions of air pollutants, including, without limitation, credits for the reduction of emissions from mobile sources. The regulations relating to credits for the reduction of emissions from mobile sources must, without limitation:

    (a) Provide a method for determining the baseline emissions from mobile sources to be used for establishing such credits;

    (b) Require operators of fleets that are mobile sources to reduce emissions from vehicles in their fleets which are older than the 1991 model year by a certain amount to be eligible for credits;

    (c) Provide a method for determining credits which results in credits that are real, permanent and subject to a legally enforceable agreement to sell or trade the credits and which will ensure that emission reductions associated with the credit actually occur;

    (d) Establish credits for reducing emissions of carbon monoxide, oxides of nitrogen, volatile organic compounds and particulates that are capable of being inhaled;

    (e) Set forth the manner in which credits will be banked and traded, and the manner in which such transactions will be tracked and accounted for by the board; and

    (f) By not later than January 1, 2002, prohibit any person or entity from purchasing credits of one type of pollutant and using those credits to produce a different type of pollutant.

Regulations adopted pursuant to this subsection must not allow credits for complying with a requirement for the state implementation plan or any other federal law.”.

    Amend sec. 2, page 3, by deleting lines 6 through 30.

    Amend sec. 2, pages 3 and 4, by deleting lines 41 through 49 on page 3 and lines 1 through 14 on page 4, and inserting:

    “4.  A credit earned pursuant to this section does not constitute an interest in property.”.

    Amend sec. 2, page 4, line 15, by deleting “section, “credit”” and inserting: “section [, “credit”] :

    (a) “Credit””.

    Amend sec. 2, page 4, line 17, by deleting “(a)” and inserting “[(a)] (1)”.

    Amend sec. 2, page 4, line 20, by deleting “(b)” and inserting “[(b)] (2)”.

    Amend sec. 2, page 4, between lines 20 and 21, by inserting:

    “(b) “State implementation plan” means a plan adopted by the state pursuant to 42 U.S.C. § 7410.

    (c) “Volatile organic compound” has the meaning ascribed to it in 40 C.F.R. § 51.100 as that section existed on January 1, 2001.”.

    Amend the bill as a whole by renumbering sec. 3 as sec. 4 and adding a new section designated sec. 3, following sec. 2, to read as follows:

    “Sec. 3.  1.  On or before February 1, 2003, a board that adopts regulations pursuant to subsection 2 of NRS 445.508 shall prepare and submit to the director of the legislative counsel bureau, for submission to the 72nd session of the Nevada legislature, a report concerning the programs establishing credits for the reduction of emissions.

    2.  A board that has a program establishing credits for the reduction of emissions from mobile sources which is in existence on the effective date of this act shall adopt the regulations required pursuant to paragraph (a) of subsection 2 of NRS 445.508 concerning the baseline emissions from mobile sources by not later than March 15, 2003.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to air pollution; authorizing the local air pollution control agency in certain counties to establish a program to reduce emissions of air pollutants using credits to allow a certain level of air contaminant which may be traded or sold; requiring such an agency to adopt certain regulations concerning such a program; and providing other matters properly relating thereto.”.

    Senator James moved the adoption of the amendment.

    Remarks by Senator James.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 539.

    Bill read second time.

    The following amendment was proposed by the Committee on Human Resources and Facilities:

    Amendment No. 536.

    Amend sec. 2, page 1, by deleting line 4 and inserting: “of the department pursuant to paragraph (a) of subsection 5 of NRS 439.620, the division shall, except as otherwise provided in subsection 3, award”.

    Amend sec. 2, page 1, line 14, by deleting “shall:” and inserting: “shall, except as otherwise provided in subsection 3:”.

    Amend sec. 2, page 2, line 6, by deleting “3j” and inserting “4j”.

    Amend sec. 2, page 2, line 12, after “3.” by inserting: “The aging services division of the department shall not expend or transfer any money allocated to the aging services division pursuant to paragraph (a) of subsection 5 of NRS 439.620 to subsidize any portion of the cost of policies of health insurance that provide coverage to senior citizens for prescription drugs and pharmaceutical services pursuant to NRS 439.635 to 439.690, inclusive, and section 3 of this act.

    4.”.

    Amend sec. 3, page 2, line 18, by deleting “4.” and inserting “5.”.

    Amend sec. 3, page 2, by deleting lines 22 and 23 and inserting: “paragraph (b) of subsection 5 of NRS 439.620, the department shall subsidize all or a portion of the cost”.

    Amend sec. 4, page 3, by deleting lines 7 through 14 and inserting:

    “4.  The interim finance committee may allocate for expenditure:

    (a) Not more than 2 percent of the money in the fund [may be used] , as calculated pursuant to this subsection, each year to pay the costs [of administering] incurred by the state treasurer to administer the fund[.] ; and

    (b) Not more than 3 percent of the money in the fund, as calculated pursuant to this subsection, each year to pay the costs incurred by the department, including, without limitation, the aging services division of the department, to carry out its duties set forth in NRS 439.625 to 439.690, inclusive, and sections 2 and 3 of this act.

The amount of money available for allocation to pay for such costs”.

    Amend the bill as a whole by renumbering sections 5 through 8 as sections 6 through 9 and adding a new section designated sec. 5, following sec. 4, to read as follows:

    “Sec. 5.  NRS 439.625 is hereby amended to read as follows:

    439.625  1.  The task force for the fund for a healthy Nevada is hereby created. The membership of the task force consists of:

    (a) Three members appointed by the majority leader of the senate, one of whom must be a senator and one of whom must be a member of a nonprofit organization dedicated to health issues in this state; [and]

    (b) Three members appointed by the speaker of the assembly, one of whom must be an assemblyman and one of whom must be a member of a nonprofit organization dedicated to health issues in this state; and

    (c) Three members appointed by the governor, one of whom must have experience with and knowledge of matters relating to health care.

Each member appointed pursuant to this subsection must be a resident of this state and must not be employed in the executive or judicial branch of state government.

    [2.]  Each person who appoints members pursuant to this subsection [1] shall ensure that insofar as practicable, the members whom he appoints reflect the ethnic and geographical diversity of this state.

    2.  At its first meeting on or after July 1 of each odd-numbered year, the task force shall select the chairman and vice chairman of the task force from among the legislative members of the task force. Each such officer shall hold office for a term of 2 years or until his successor is selected. The chairmanship of the task force must alternate each biennium between the houses of the legislature.

    3.  For each day or portion of a day during which a member of the task force who is a legislator attends a meeting of the task force or is otherwise engaged in the work of the task force, except during a regular or special session of the legislature, he is entitled to receive the:

    (a) Compensation provided for a majority of the members of the legislature during the first 60 days of the preceding session;

    (b) Per diem allowance provided for state officers and employees generally; and

    (c) Travel expenses provided pursuant to NRS 218.2207.

The compensation, per diem allowances and travel expenses of the legislative members of the task force must be paid from the legislative fund.

    4.  Members of the task force who are not legislators serve without salary, except that they are entitled to receive travel expenses provided for state officers and employees generally. The travel expenses of:

    (a) A member of the task force who is an officer or employee of a local government thereof must be paid by the local government that employs him.

    (b) Each remaining member of the task force must be paid from the legislative fund.

    5.  Each member of the task force who is an officer or employee of a local government must be relieved from his duties without loss of his regular compensation so that he may perform his duties relating to the task force in the most timely manner practicable. A local government shall not require an officer or employee who is a member of the task force to:

    (a) Make up the time he is absent from work to fulfill his obligations as a member of the task force; or

    (b) Take annual leave or compensatory time for the absence.

    6.  The department shall provide such administrative support to the task force as is required to carry out the duties of the task force. The state health officer shall provide such technical advice and assistance to the task force as is requested by the task force.”.

    Amend sec. 5, page 4, line 41, before “NRS” by inserting: “paragraph (c) of subsection 5 of”.

    Amend sec. 5, page 4, line 46, before “NRS” by inserting: “paragraph (d) of subsection 5 of”.

    Amend sec. 7, pages 6 and 7, by deleting lines 10 through 47 on page 6 and lines 1 through 26 on page 7, and inserting:

    “439.665  1.  The department shall enter into contracts with private insurers who transact health insurance in this state to arrange for the availability, at a reasonable cost, of policies of health insurance that provide coverage to senior citizens for prescription drugs and pharmaceutical services.

    2.  Within the limits of the money available for this purpose in the fund for a healthy Nevada, a senior citizen who is not eligible for Medicaid and who purchases a policy of health insurance that is made available pursuant to subsection 1 is entitled to an annual grant from the trust fund to subsidize all or a portion of the cost of that insurance if he has been domiciled in this state for at least 1 year immediately preceding the date of his application and his household income is within one of the income ranges for which grants are provided pursuant to this [subsection] section.

    3.  A senior citizen described in subsection 2 who purchases a policy of health insurance that is made available pursuant to subsection 1 is entitled to an annual grant to the extent determined by the percentage shown opposite his household income on the following schedule:

    Amount of Household    Cost of Insurance Allowable

         Income Is Over       But Not Over   as a Subsidy

                $0    —        [$12,700    90

        12,700    —]                         14,800    [80] 100

        14,800    —                           17,000                    [50] 80

        17,000    —                           19,100                    [25] 50

        19,100    —                           21,500                    [10] 25

    [3.] 4.  The amount of any subsidy granted pursuant to this section must not exceed the annual cost of insurance that provides coverage for prescription drugs and pharmaceutical services . [or $480 per year, whichever is less.]”.

    Amend the bill as a whole by renumbering sec. 9 as sec. 11 and adding a new section designated sec. 10, following sec. 8, to read as follows:

    “Sec. 10.  1.  As soon as practicable after the effective date of this section, the task force for the fund for a healthy Nevada shall select:

    (a) The chairman of the task force from among the members of the task force who are members of the senate; and

    (b) The vice chairman of the task force from among the remaining legislative members of the task force.

    2.  Each officer selected pursuant to subsection 1 shall hold office for a term of 2 years or until his successor is selected.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to the fund for a healthy Nevada; revising the procedures for allocating money in the fund; providing that a portion of the money in the fund may be used to pay certain administrative costs incurred by the state treasurer and the department of human resources; providing for the appointment and terms of office of certain officers of the task force for the fund; increasing the maximum allowable subsidies under the program of subsidies for the provision of prescription drugs and pharmaceutical services to senior citizens; and providing other matters properly relating thereto.”.

    Senator Rawson moved the adoption of the amendment.

    Remarks by Senator Rawson.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 558.

    Bill read second time.

    The following amendment was proposed by the Committee on Commerce and Labor:

    Amendment No. 177.

    Amend the bill as a whole by deleting sections 1 through 5, renumbering sec. 6 as sec. 2 and adding a new section designated section 1, following the enacting clause, to read as follows:

    “Section 1.  Chapter 600 of NRS is hereby amended by adding thereto a new section to read as follows:

    Except as otherwise provided by express written agreement, an employer is the sole owner of any patentable invention or trade secret developed by his employee during the course of the employment that relates directly to work performed during the course of the employment.”.

    Amend sec. 6, page 3, by deleting lines 4 through 6 and inserting: “maintain its secrecy if the word “Confidential” or “Private” or another indication of secrecy is placed in a reasonably noticeable manner on any medium or container that describes or includes any portion of the trade secret. This presumption may be rebutted only by clear and convincing evidence that the owner did not take reasonable efforts to maintain the secrecy of the trade secret.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to information; providing additional protection for trade secrets; defining an employer’s right to intellectual property created by his employee; and providing other matters properly relating thereto.”.

    Senator Carlton moved the adoption of the amendment.

    Remarks by Senator Carlton.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Bill No. 56.

    Bill read second time.

    The following amendment was proposed by the Committee on Transportation:

    Amendment No. 637.

    Amend the bill as a whole by deleting sections 1 through 4 and adding new sections designated sections 1 through 10, following the enacting clause, to read as follows:

    “Section 1.  Chapter 218 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 7, inclusive, of this act.

    Sec. 2.  As used in sections 2 to 7, inclusive, of this act, unless the context otherwise requires, “committee” means the legislative committee on transportation.

    Sec. 3.  1.  There is hereby created a legislative committee on transportation. The committee consists of:

    (a) Four members appointed by the majority leader of the senate, at least two of whom must have served on the senate standing committee which had jurisdiction of issues relating to transportation during the immediately preceding session of the legislature.

    (b) Four members appointed by the speaker of the assembly, at least two of whom must have served on the assembly standing committee which had jurisdiction of issues relating to transportation during the immediately preceding session of the legislature.

    2.  The members of the committee shall elect a chairman and vice chairman from among their members. The chairman must be elected from one house of the legislature and the vice chairman from the other house. After the initial election of a chairman and vice chairman, each of those officers holds office for a term of 2 years commencing on July 1 of each odd-numbered year. If a vacancy occurs in the chairmanship or vice chairmanship, the members of the committee shall elect a replacement for the remainder of the unexpired term.

    3.  Any member of the committee who is not a candidate for reelection or who is defeated for reelection continues to serve until the convening of the next session of the legislature.

    4.  Vacancies on the committee must be filled in the same manner as the original appointments.

    Sec. 4.  1.  The members of the committee shall meet at least quarterly and at the times and places specified by a call of the chairman. The director of the legislative counsel bureau or a person he has designated shall act as the nonvoting recording secretary. Five members of the committee constitute a quorum, and a quorum may exercise all the power and authority conferred on the committee.

    2.  Except during a regular or special session of the legislature, the members of the committee are entitled to receive the compensation provided for a majority of the members of the legislature during the first 60 days of the preceding session, the per diem allowance provided for state officers and employees generally and the travel expenses provided pursuant to NRS 218.2207 for each day or portion of a day of attendance at a meeting of the committee and while engaged in the business of the committee. The salaries and expenses of the members of the committee and any other expenses incurred by the committee in carrying out its duties must be paid from the state highway fund.

    Sec. 5.  The committee may:

    1.  Evaluate, review and comment upon issues related to transportation within this state.

    2.  Monitor the money deposited in, and any expenditures made from:

    (a) The state highway fund; and

    (b) The state general fund or any other fund, to the extent that the money deposited in the funds or expenditures made from the funds, or both, are related to transportation.

    3.  Consult with and make recommendations to the board of directors of the department of transportation on matters concerning transportation within this state.

    4.  Conduct investigations and hold hearings in connection with carrying out its duties pursuant to this section.

    5.  Direct the legislative counsel bureau to assist in its research, investigations, hearings and reviews.

    6.  Recommend to the legislature as a result of the activities of the committee any appropriate state legislation or corrective federal legislation.

    Sec. 6.  Each witness who appears before the committee by its order, except a state officer or employee, is entitled to receive for his attendance the fees and mileage provided for witnesses in civil cases in the courts of record of this state. The fees and mileage must be audited and paid upon the presentation of proper claims sworn to by the witness and approved by the chairman of the committee.

    Sec. 7.  1.  If the committee conducts investigations or holds hearings pursuant to subsection 4 of section 5 of this act:

    (a) The secretary of the committee or, in his absence, a member designated by the committee may administer oaths.

    (b) The secretary or chairman of the committee may cause the deposition of witnesses, residing either within or outside this state, to be taken in the manner prescribed by rule of court for taking depositions in civil actions in the district courts.

    (c) The chairman of the committee, upon recommendation of a majority of the members of the committee, may issue subpoenas to compel the attendance of witnesses and the production of books and papers.

    2.  If a witness refuses to attend or testify or produce books or papers as required by the subpoena, the chairman of the committee may report to the district court by a petition which sets forth that:

    (a) Due notice has been given of the time and place of attendance of the witness or the production of the books or papers;

    (b) The witness has been subpoenaed by the committee pursuant to this section; and

    (c) The witness has failed or refused to attend or produce the books or papers required by the subpoena before the committee, or has refused to answer questions propounded to him.

The petition may request an order of the court compelling the witness to attend and testify or produce the books and papers before the committee.

    3.  Upon such a petition, the court shall enter an order directing the witness to appear before the court at a time and place to be fixed by the court in its order, the time to be not more than 10 days after the date of the order, and to show cause why he has not attended or testified or produced the books or papers before the committee. A certified copy of the order must be served upon the witness.

    4.  If it appears to the court that the subpoena was regularly issued by the chairman of the committee, upon recommendation of a majority of the members of the committee, the court shall enter an order that the witness appear before the committee at the time and place fixed in the order and testify or produce the required books or papers. Failure to obey the order constitutes contempt of court.

    Sec. 8.  NRS 408.100 is hereby amended to read as follows:

    408.100  Recognizing that safe and efficient highway transportation is a matter of important interest to all the people of the state, and that an adequate highway system is a vital part of the national defense, the legislature hereby determines and declares that:

    1.  An integrated system of state highways and roads is essential to the general welfare of the state.

    2.  Providing such a system of facilities, its efficient management, maintenance and control is recognized as a problem and as the proper prospective of highway legislation.

    3.  Inadequate highways and roads obstruct the free flow of traffic, resulting in undue cost of motor vehicle operation, endangering the health and safety of the citizens of the state, depreciating property values, and impeding general economic and social progress of the state.

    4.  In designating the highways and roads of the state as provided in this chapter, the legislature places a high degree of trust in the hands of those officials whose duty it is, within the limits of available funds, to plan, develop, operate, maintain, control and protect the highways and roads of this state, for present as well as for future use.

    5.  To this end, it is the express intent of the legislature to make the board [of directors of the department of transportation] , in consultation with the legislative committee on transportation created pursuant to section 3 of this act, custodian of the state highways and roads and to provide sufficiently broad authority to enable the board to function adequately and efficiently in all areas of appropriate jurisdiction, subject to the limitations of the constitution and the legislative mandate proposed in this chapter.

    6.  The legislature intends:

    (a) To declare, in general terms, the powers and duties of the board , [of directors,] leaving specific details to be determined by reasonable regulations and declarations of policy which the board may promulgate.

    (b) By general grant of authority to the board [of directors] to delegate sufficient power and authority to enable the board to carry out , in consultation with the legislative committee on transportation created pursuant to section 3 of this act, the broad objectives contained in this chapter.

    7.  The problem of establishing and maintaining adequate highways and roads, eliminating congestion, reducing accident frequency and taking all necessary steps to ensure safe and convenient transportation on these public ways is no less urgent.

    8.  The legislature hereby finds, determines and declares that this chapter is necessary for the preservation of the public safety, the promotion of the general welfare, the improvement and development of facilities for transportation in the state, and other related purposes necessarily included therein, and as a contribution to the system of national defense.

    9.  The words “construction,” “maintenance” and “administration” used in section 5 of Article 9 of the constitution of the State of Nevada are broad enough to be construed to include and as contemplating the construction, maintenance and administration of the state highways and roads as established by this chapter and the landscaping, roadside improvements and planning surveys of the state highways and roads.

    Sec. 9.  NRS 408.203 is hereby amended to read as follows:

    408.203  The director shall:

    1.  Compile a comprehensive report outlining the requirements for the construction and maintenance of highways for the next 10 years, including anticipated revenues and expenditures of the department, and submit it to the legislative committee on transportation created pursuant to section 3 of this act and to the director of the legislative counsel bureau for transmittal to the chairmen of the senate and assembly standing committees on transportation.

    2.  Compile a comprehensive report of the requirements for the construction and maintenance of highways for the next 3 years, including anticipated revenues and expenditures of the department, no later than October 1 of each even-numbered year, and submit it to the legislative committee on transportation created pursuant to section 3 of this act and to the director of the legislative counsel bureau for transmittal to the chairmen of the senate and assembly standing committees on transportation.

    3.  Report to the legislature by February 1 of odd-numbered years the progress being made in the department’s 12-year plan for the resurfacing of state highways. The report must include an accounting of revenues and expenditures in the preceding 2 fiscal years, a list of the projects which have been completed, including mileage and cost, and an estimate of the adequacy of projected revenues for timely completion of the plan.

    Sec. 10.  This act becomes effective on July 1, 2001.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to transportation; creating the legislative committee on transportation; prescribing the membership and powers of the committee; revising certain provisions concerning the board of directors of the department of transportation; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY¾Creates legislative committee on transportation. (BDR 17‑68)”.

    Senator O'Donnell moved the adoption of the amendment.

    Remarks by Senator O'Donnell.


    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

MOTIONS, RESOLUTIONS AND NOTICES

    Senator Rhoads moved that Senate Bill No. 211 be taken from the Secretary's desk and placed on the Second Reading File.

    Remarks by Senator Rhoads.

    Motion carried.

    Senator O'Donnell moved that Senate Bill No. 415 be taken from the Secretary's desk and placed on the General File for this legislative day.

    Remarks by Senator O'Donnell.

    Motion carried.

SECOND READING AND AMENDMENT

    Senate Bill No. 211.

    Bill read second time.

    The following amendment was proposed by the Committee on Natural Resources:

    Amendment No. 555.

    Amend the bill as a whole by deleting sections 1 and 2 and adding new sections designated sections 1 through 4, following the enacting clause, to read as follows:

    “Section 1.  Chapter 704 of NRS is hereby amended by adding thereto a new section to read as follows:

    1.  The Colorado River commission may sell electricity and provide transmission service or distribution service, or both, only to meet the existing and future requirements of:

    (a) Any customer that the Colorado River commission on July 16, 1997, was serving or had a contract to serve; and

    (b) The Southern Nevada Water Authority and its member agencies for their water and wastewater operations,

without being subject to the jurisdiction of the public utilities commission of Nevada.

    2.  The public utilities commission of Nevada shall establish a just and reasonable tariff for such electric distribution service to be provided by an electric utility that primarily serves densely populated counties to the Colorado River commission for its sale of electricity or electric distribution services, or both, to any customer that the Colorado River commission on July 16, 1997, was serving or had a contract to serve, and to the Southern Nevada Water Authority and its member agencies to meet the existing and future requirements for their water and wastewater operations.

    3.  An electric utility that primarily serves densely populated counties shall provide electric distribution service pursuant to the tariff required by subsection 2.

    4.  As used in this section:

    (a) “Electric utility that primarily serves densely populated counties” means an electric utility that, with regard to the provision of electric service, derives more of its annual gross operating revenue in this state from customers located in counties whose population is 400,000 or more than it does from customers located in counties whose population is less than 400,000.

    (b) “Southern Nevada Water Authority” has the meaning ascribed to it in NRS 538.041.

    Sec. 2.  NRS 538.181 is hereby amended to read as follows:

    538.181  1.  The commission shall hold and administer all rights and benefits pertaining to the distribution of the power and water mentioned in NRS 538.041 to 538.251, inclusive, for the State of Nevada and, except as otherwise provided in NRS 538.186, may enter into contracts relating to that power and water, including the transmission and other distribution services, on such terms as the commission determines.

    2.  Every applicant, except a federal or state agency or political subdivision, for power or water to be used within the State of Nevada must, before the application is approved, provide an indemnifying bond by a corporation qualified pursuant to the laws of this state, or other collateral, approved by the state board of examiners, payable to the State of Nevada in such sum and in such manner as the commission may require, conditioned for the full and faithful performance of the lease, sublease, contract or other agreement.

    3.  The power and water must not be sold for less than the actual cost to the State of Nevada.

    4.  Except as otherwise provided in subsection 5, before any such sale or lease is made, a notice of it must be advertised in two papers of general circulation published in the State of Nevada at least once a week for 2 weeks. The commission shall require any person desiring to make objection thereto to file the objection with the commission within 10 days after the date of the last publication of the notice. If any objection is filed, the commission shall set a time and place for a hearing of the objection not more than 30 days after the date of the last publication of the notice.

    5.  The provisions of subsection 4 do not apply to:

    (a) Any contract by the commission to sell supplemental power to a holder of a long-term firm contract with the state for power if the supplemental power is procured by the commission from a prearranged source and is secured by the holder for his own use; or

    (b) Any agreement by the commission to sell short-term or interruptible power on short notice for immediate acceptance to a holder of a long-term firm contract with the state for power who can take delivery of the short-term or interruptible power when it is available.

    6.  Except as otherwise provided in subsection 2 of NRS 538.251, any such lease, sublease, contract or sale of the water or power is not binding upon the State of Nevada until ratified and approved by the governor and, where required by federal law, until approved by the United States.

    7.  The commission shall, upon the expiration of a contract for the sale of power which is in effect on July 1, 1993, offer to the purchaser the right to renew the contract. If the commission is unable to supply the amount of power set forth in the contract because of a shortage of power available for sale, it shall reduce, on a pro rata basis, the amount of power it is required to sell pursuant to the renewed contract.

    8.  [Notwithstanding] Except as otherwise provided in section 1 of this act, notwithstanding any provision of chapter 704 of NRS, any purchase of:

    (a) Power or water for distribution or exchange, and any subsequent distribution or exchange of power or water by the commission; or

    (b) Water for distribution or exchange, and any subsequent distribution or exchange of water by any entity to which or with which the commission has contracted the water,

is not subject to regulation by the public utilities commission of Nevada.

    Sec. 3.  The public utility shall file with the public utilities commission of Nevada the tariffs required by section 1 of this act not later than October 1, 2001.

    Sec. 4.  This act becomes effective upon passage and approval.”.

    Amend the title of the bill to read as follows:

    “AN ACT relating to electricity; revising the provisions governing the sale of electricity and the provision of transmission and distribution services by the Colorado River commission; requiring certain public utilities to make their electric distribution facilities and services available to the Colorado River commission under certain circumstances; requiring such utilities to file tariffs concerning use of their electric distribution facilities and services by the Colorado River commission; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

    “SUMMARY—Revises provisions governing sale of electricity and provision of transmission and distribution services by Colorado River commission and requires certain public utilities to make their electric distribution facilities and services available to Colorado River commission under certain circumstances. (BDR 58‑633)”.

    Senator James moved the adoption of the amendment.

    Remarks by Senators James, Titus, Neal and O'Connell.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

GENERAL FILE AND THIRD READING

    Senate Bill No. 531.

    Bill read third time.

    Roll call on Senate Bill No. 531:

    Yeas—21.

    Nays—None.

    Senate Bill No. 531 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

MOTIONS, RESOLUTIONS AND NOTICES

    Senator Townsend moved that Senate Bill No. 44 be taken from the General File and placed on the Secretary’s desk.

    Remarks by Senator Townsend.

    Motion carried.

GENERAL FILE AND THIRD READING

    Senate Bill No. 83.

    Bill read third time.

    The following amendment was proposed by Senators James, O'Connell, Schneider and Carlton:

    Amendment No. 613.

    Amend sec. 6, page 3, line 3, by deleting “subsection 4,” and inserting: “[subsection 4,]subsections 4 and 5,”.

    Amend sec. 6, page 3, by deleting lines 11 through 14 and inserting: “deed restriction, restrictive covenant or equitable servitude, [specifically including any lien in favor of an association pursuant to NRS 116.3116 or 117.070,] by both husband and wife, when that relation exists.”.

    Amend sec. 6, page 3, by deleting lines 23 through 26 and inserting: “deed restriction, restrictive covenant or equitable servitude, [specifically including any lien in favor of an association pursuant to NRS 116.3116 or 117.070,] unless a waiver for the specific obligation to which the judgment relates”.

    Amend sec. 6, page 3, line 28, after “5.” by inserting: “The exemption provided in subsection 1 extends to process to enforce the payment of any obligation secured by a lien in favor of an association pursuant to NRS 116.3116 or 117.070, regardless of whether allodial title has been established and not relinquished.

    6.”.

    Amend sec. 6, page 3, line 31, by deleting “6.” and inserting “[6.]7.”.

    Amend the title of the bill, second line, after “acreage;” by inserting: “providing that the homestead exemption extends to certain liens pertaining to common-interest communities and condominiums;”.

    Amend the summary of the bill to read as follows:

    “SUMMARYChanges homestead exemption from exemption based on equity to exemption based on acreage and provides that homestead exemption extends to certain liens pertaining to common-interest communities and condominiums. (BDR 10‑4)”.

    Senator James moved the adoption of the amendment.

    Remarks by Senator James.

    Amendment adopted.

    Bill ordered reprinted, re-engrossed and to third reading.

    Senate Bill No. 99.

    Bill read third time.

    Roll call on Senate Bill No. 99:

    Yeas—19.

    Nays—None.

    Not     Voting—Coffin, Raggio—2.

    Senate Bill No. 99 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 156.

    Bill read third time.

    Roll call on Senate Bill No. 156:

    Yeas—20.

    Nays—McGinness.

    Senate Bill No. 156 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 227.

    Bill read third time.

    Roll call on Senate Bill No. 227:

    Yeas—19.

    Nays—Neal, O'Connell—2.

    Senate Bill No. 227 having received a two-thirds majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 257.

    Bill read third time.

    Roll call on Senate Bill No. 257:

    Yeas—21.

    Nays—None.

    Senate Bill No. 257 having received a two-thirds majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 270.

    Bill read third time.

    Remarks by Senators Neal, O'Donnell, Titus, Schneider, Mathews, Carlton and Coffin.

    Senator O'Donnell requested that the following remarks be entered in the Journal.

    Senator Neal:

    Thank you, Madam President. May we have an explanation of this bill?


    Senator O'Donnell:

    Thank you, Madam President. Senate Bill No. 270 makes various changes to provisions governing fully regulated carriers. This bill is in response to the concerns of the transportation services authority and the representatives of regulated carriers. The bill adds the following new provisions: (1) the requirement for background checks and standards of lawful behavior for limousine drivers, (2) the definition for bus and delivery limousine and a traditional limousine are defined, (3) requirements that the TSA adopt on or before July 1, 2002, regulations establishing a system of allocating the number of limousines allowed to operate in Clark County, (4) requirements that regulated carriers perform preventative maintenance and safety inspections each week, and the provisions for reporting vehicles with safety defects and repairing such vehicles, (5) the responsibilities of taxi cab companies and the drivers outside the Clark County area when a company leases a taxi cab to a driver.

    Senator Titus:

    Thank you, Madam President. I’m looking at page 2, line 42, and do I understand this correctly that a person cannot get a permit to drive a taxi that cannot read or orally communicate in English? Is this a new requirement for taxi drivers that they have to speak English? In a city that prides itself on being the international capitol of gaming and welcoming tourists from all over the world, we are going to require our taxi drivers to pass an English test?

    Senator O'Donnell:

    Thank you, Madam President. That is because most of the tourists that come here speak English. If one could not speak with a cab driver, we would be in dire straits if they didn’t know how to tell him where they wanted to go.

    Senator Schneider:

    Thank you, Madam President. I also have a question for the Chairman of Transportation. On page 17, line 3, it starts, “A fully regulated carrier of passengers shall not, before the effective date of those regulations, increase the number of traditional limousines or livery limousines that it operates in a county whose population is 400,000 or more.” If a person has a permit already and he has not put those limousines on the street right now, but has a permit for some, does that mean he cannot put them on the street?

    Senator O'Donnell

    Thank you, Madam President. The question is a good one. There are two types of situations here, some have a restricted license or a permitable license that allows three limousines or six limousines, and that was determined by the TSA, depending upon their financial ability to have limousines. What this will allow them to do is if they have two out of the three, it will allow them to go ahead and put the other one on. In addition to that, it will allow them to participate in the allocation that comes up after the regulations have been drafted. However, there are some limousine companies that have more than enough limousines, and they are unrestricted. What this will do is it will stop, on a certain date, those allocations of limousines. What has happened is that the market is literally destroying the taxicab market because of the abundance of limousines. There is absolutely no restriction, today, on the number of limousines that are put on the street; however, there is an allocation process on taxicabs. Now taxicabs are competing with limousines. You are right, they can still put them on, their permitable number of limousines on the street; however, after that threshold has been met, they can no longer put anymore on until they go though the allocation process.

    Senator Mathews:

    Thank you, Madam President. On page 13, line 26, does this mean that if the person is investigated they need to pay the fees? Can you explain this to me, and also who sets the fees?

    Senator O'Donnell:

    The TSA will determine what the fees are going to be. That process has to do with applying for a limousine license not, necessarily, the limousines themselves as far as the allocation process goes. When individuals want to start up a company, they need to go to the TSA and file an application, and they must pay the amounts billed to them by the authority for reasonable costs incurred by conducting an investigation or hearing regarding the applicant. The applicant has to go through an application process to determine whether they are suitable to put limousines in the market. They have to be able to support the limousines, to afford the limousines and to be able to stay in business. That suitability determination is done by the TSA and the TSA requires them to pay for those costs.

    Senator Carlton:

    Thank you, Madam President. To the chairman of Transportation, going back to the previous discussion on page 17, that was my understanding also in committee, the intent that you had. But in reading this language, could you point out to me the language that specifies those conditions, or is it just subsection 2 on page 17. That does not seem to be clear.

    Senator O'Donnell:

    Could you clarify your question? Thank you.

    Senator Carlton:

    Thank you, Madam President. In the previous discussion, the fully regulated carriers of passengers shall not, before the effective date of those regulations, increase the number of traditional limousines or livery limousines on lines 3, 4 and 5 on page 17. I understand the intent that you spoke of earlier, from the committee, of not restricting the current carriers to be able to increase their fleets before the allocation dates, but in reading that language, I do not see that here in this language.

    Senator O'Donnell:

    I do not either. However, that was testified to by the Chairman of the Transportation Services Agency, and he stated that this bill would allow them to put on those limousines even though they were permitted but they are not allocated. If the permitted amount were permitted six limousines and they only had three so far, they could still put on those extra three limousines and then participate in the allocation process.

    Senator Coffin:

    On page 5, some of the things being put into state law may have some basis or there was some testimony given as to why the committee members chose to put these in state law, but why would we want to put into state law a statute saying that you could not leave your vehicle unattended with the key in the ignition lock. That is under section 14, subsection 2, subparagraph (d), line 33. There are a lot of little things in here that one might say are common sense or could be regulated by the company for which someone is driving. Clean dress makes sense, but why would we want to put all these into state law?

    Senator O'Donnell:

    Thank you Madam President. We had an unfortunate situation happen in Las Vegas a few days ago whereby a cab driver literally had his cab hijacked from him. This provision is there so that a cab driver doesn’t leave the keys in the cab with a fare in the cab and create a dangerous situation which may allow someone to jump into the cab and take the fare where the fare did not want to go. These are all safety concerns that have been dealt with by regulation and now codified in statute. This is here to protect the public.

    Senator Coffin:

    The statute written here does not say that there is a passenger in the car. It just simply says you cannot leave your vehicle unattended. It doesn’t say, “Because, or when there is a passenger in the car” it simply says, “you shall not.”

    Senator O'Donnell:

    Thank you, Madam President. I suppose that would apply to those conditions when a cab driver is alone or with someone.


    Roll call on Senate Bill No. 270:

    Yeas—12.

    Nays—Carlton, Coffin, Mathews, Neal, Schneider, Shaffer, Titus, Wiener—8.

    Not     Voting—Care.

    Senate Bill No. 270 having failed to receive a two-thirds majority, Madam President declared it lost.

    Senate Bill No. 291.

    Bill read third time.

    Remarks by Senator Rawson.

    Roll call on Senate Bill No. 291:

    Yeas—21.

    Nays—None.

    Senate Bill No. 291 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 372.

    Bill read third time.

    Remarks by Senators Titus and Townsend.

    Senator Townsend moved that Senate Bill No. 372 be placed at the bottom of the General File.

    Motion carried.

    Senate Bill No. 381.

    Bill read third time.

    Roll call on Senate Bill No. 381:

    Yeas—21.

    Nays—None.

    Senate Bill No. 381 having received a two-thirds majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 396.

    Bill read third time.

    Remarks by Senators Neal and McGinness.

    Roll call on Senate Bill No. 396:

    Yeas—18.

    Nays—Coffin, Mathews, Neal—3.

    Senate Bill No. 396 having received a constitutional majority, Madam President declared it passed, as amended.

    Bill ordered transmitted to the Assembly.

    Senate Bill No. 411.

    Bill read third time.

    Remarks by Senator James.

    Senator Jacobsen moved that Senate Bill No. 411 be taken from the General File and placed on the Secretary’s desk.

    Conflict of interest declared by Senator Raggio.

    Motion carried.

REMARKS FROM THE FLOOR

    Senator James requested that the following remarks be entered in the Journal.

    Senator James:

    I think Senate Bill No. 411 has been amended to address the concerns of the opposition. It is a good bill. It is only going to apply to cases that are a substantial public hazard. These are the kind of cases like those I gave as examples, today, where this kind of sealing of the records will result in substantial public hazard, not coming to the attention of people who should know and have a right to know about that.

    Senator Titus:

    During the last decade, court-ap