[Rev. 9/10/2021 11:33:17 AM]

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ê2021 Statutes of Nevada, Page 1361ê

 

CHAPTER 257, AB 71

Assembly Bill No. 71–Committee on Natural Resources

 

CHAPTER 257

 

[Approved: June 2, 2021]

 

AN ACT relating to conservation; providing, with certain exceptions, that certain information related to a rare plant or animal species or ecological community that is included in the data systems maintained by the Division of Natural Heritage of the State Department of Conservation and Natural Resources is confidential; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law requires the Division of Natural Heritage of the State Department of Conservation and Natural Resources to maintain data systems related to the location, biology and conservation status of plants and animal species and ecosystems. (NRS 232.1369) Section 1 of this bill provides, with certain exceptions, that the specific location of a rare plant or animal species or ecological community that is included in the Division’s data systems is confidential. Section 1 authorizes, under certain circumstances, the Administrator of the Division or his or her designee to release this confidential information to a person upon request. Section 1 further requires the Administrator or his or her designee to release this confidential information to certain persons who enter into a written agreement which includes a provision that requires the person to maintain the confidentiality of the information. Section 1 also requires the Administrator or his or her designee to make a reasonable effort to notify an owner of private property if the Administrator or designee releases any confidential information related to the specific location of a rare plant or animal species or ecological community which is located on the owner’s property.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 232.1369 is hereby amended to read as follows:

      232.1369  1.  The Division of Natural Heritage shall:

      (a) Provide expertise in the areas of zoology, botany and community ecology, including the study of wetland ecosystems; and

      (b) Maintain data systems related to the location, biology and conservation status of plant and animal species and ecosystems.

      2.  Except as otherwise provided in this section, the specific location of a rare plant or animal species or ecological community that is included in the data systems maintained by the Division pursuant to subsection 1 is confidential.

      3.  Except as otherwise provided in subsection 4, the Administrator or his or her designee may release information declared confidential pursuant to subsection 2 upon request to any person, including, without limitation, an owner of property on which a rare plant or animal species occurs or on which a sensitive ecological community is located, if:

      (a) The release of the information is not otherwise prohibited by law;

      (b) The release of the information is not restricted by the original provider of the information; and

 


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ê2021 Statutes of Nevada, Page 1362 (CHAPTER 257, AB 71)ê

 

      (c) The Administrator or his or her designee determines that the request is:

             (1) Related to conservation, environmental review, education, land management, scientific research or a similar purpose;

             (2) Limited to the release of information necessary to achieve the purpose of the request; and

             (3) Unlikely to result in harm to a rare plant or animal species or ecological community.

      4.  The Administrator or his or her designee shall release information declared confidential pursuant to subsection 2 upon request to a person who is engaged in conservation, environmental review or scientific research and enters into a written agreement with the Administrator or his or her designee which includes a provision that requires the person to maintain the confidentiality of the information to the extent necessary to protect the rare plant or animal species or ecological community.

      5.  The provisions of chapter 239 of NRS apply to the release of any information that is authorized or required pursuant to this section.

      6.  The Administrator or his or her designee shall make a reasonable effort to notify an owner of private property if the Administrator or designee releases any confidential information related to the specific location of a rare plant or animal species or ecological community which is located on the owner’s property.

      7.  The Administrator may adopt any regulations necessary to carry out the provisions of this section.

      8.  As used in this section, “rare plant or animal species or ecological community” includes, without limitation, any species, subspecies or ecological community:

      (a) Declared as threatened or endangered or designated as a candidate for listing as threatened or endangered pursuant to the federal Endangered Species Act of 1973, as amended, 16 U.S.C. §§ 1531 et seq.;

      (b) Designated as sensitive by the United States Bureau of Land Management or the United States Forest Service;

      (c) Classified as protected, sensitive, threatened or endangered by the Board of Wildlife Commissioners pursuant to NRS 501.110;

      (d) Protected under the provisions of chapter 527 of NRS, including, without limitation, Christmas trees, cacti and yucca protected pursuant to NRS 527.060 to 527.120, inclusive, and any species listed as a fully protected species of native flora pursuant to NRS 527.270; or

      (e) Considered rare or at risk of extinction by the Division of Natural Heritage.

      Sec. 2. NRS 239.010 is hereby amended to read as follows:

      239.010  1.  Except as otherwise provided in this section and NRS 1.4683, 1.4687, 1A.110, 3.2203, 41.071, 49.095, 49.293, 62D.420, 62D.440, 62E.516, 62E.620, 62H.025, 62H.030, 62H.170, 62H.220, 62H.320, 75A.100, 75A.150, 76.160, 78.152, 80.113, 81.850, 82.183, 86.246, 86.54615, 87.515, 87.5413, 87A.200, 87A.580, 87A.640, 88.3355, 88.5927, 88.6067, 88A.345, 88A.7345, 89.045, 89.251, 90.730, 91.160, 116.757, 116A.270, 116B.880, 118B.026, 119.260, 119.265, 119.267, 119.280, 119A.280, 119A.653, 119A.677, 119B.370, 119B.382, 120A.690, 125.130, 125B.140, 126.141, 126.161, 126.163, 126.730, 127.007, 127.057, 127.130, 127.140, 127.2817, 128.090, 130.312, 130.712, 136.050, 159.044, 159A.044, 172.075, 172.245, 176.01249, 176.015, 176.0625, 176.09129, 176.156, 176A.630, 178.39801, 178.4715, 178.5691, 179.495, 179A.070, 179A.165, 179D.160, 200.3771,

 


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ê2021 Statutes of Nevada, Page 1363 (CHAPTER 257, AB 71)ê

 

200.3772, 200.5095, 200.604, 202.3662, 205.4651, 209.392, 209.3923, 209.3925, 209.419, 209.429, 209.521, 211A.140, 213.010, 213.040, 213.095, 213.131, 217.105, 217.110, 217.464, 217.475, 218A.350, 218E.625, 218F.150, 218G.130, 218G.240, 218G.350, 226.300, 228.270, 228.450, 228.495, 228.570, 231.069, 231.1473, 232.1369, 233.190, 237.300, 239.0105, 239.0113, 239.014, 239B.030, 239B.040, 239B.050, 239C.140, 239C.210, 239C.230, 239C.250, 239C.270, 239C.420, 240.007, 241.020, 241.030, 241.039, 242.105, 244.264, 244.335, 247.540, 247.550, 247.560, 250.087, 250.130, 250.140, 250.150, 268.095, 268.0978, 268.490, 268.910, 269.174, 271A.105, 281.195, 281.805, 281A.350, 281A.680, 281A.685, 281A.750, 281A.755, 281A.780, 284.4068, 286.110, 286.118, 287.0438, 289.025, 289.080, 289.387, 289.830, 293.4855, 293.5002, 293.503, 293.504, 293.558, 293.5757, 293.870, 293.906, 293.908, 293.910, 293B.135, 293D.510, 331.110, 332.061, 332.351, 333.333, 333.335, 338.070, 338.1379, 338.1593, 338.1725, 338.1727, 348.420, 349.597, 349.775, 353.205, 353A.049, 353A.085, 353A.100, 353C.240, 360.240, 360.247, 360.255, 360.755, 361.044, 361.2242, 361.610, 365.138, 366.160, 368A.180, 370.257, 370.327, 372A.080, 378.290, 378.300, 379.0075, 379.008, 379.1495, 385A.830, 385B.100, 387.626, 387.631, 388.1455, 388.259, 388.501, 388.503, 388.513, 388.750, 388A.247, 388A.249, 391.033, 391.035, 391.0365, 391.120, 391.925, 392.029, 392.147, 392.264, 392.271, 392.315, 392.317, 392.325, 392.327, 392.335, 392.850, 393.045, 394.167, 394.16975, 394.1698, 394.447, 394.460, 394.465, 396.3295, 396.405, 396.525, 396.535, 396.9685, 398A.115, 408.3885, 408.3886, 408.3888, 408.5484, 412.153, 414.280, 416.070, 422.2749, 422.305, 422A.342, 422A.350, 425.400, 427A.1236, 427A.872, 432.028, 432.205, 432B.175, 432B.280, 432B.290, 432B.407, 432B.430, 432B.560, 432B.5902, 432C.140, 432C.150, 433.534, 433A.360, 437.145, 437.207, 439.4941, 439.840, 439.914, 439B.420, 439B.754, 439B.760, 440.170, 441A.195, 441A.220, 441A.230, 442.330, 442.395, 442.735, 442.774, 445A.665, 445B.570, 445B.7773, 447.345, 449.209, 449.245, 449.4315, 449A.112, 450.140, 450B.188, 453.164, 453.720, 453A.610, 453A.700, 458.055, 458.280, 459.050, 459.3866, 459.555, 459.7056, 459.846, 463.120, 463.15993, 463.240, 463.3403, 463.3407, 463.790, 467.1005, 480.535, 480.545, 480.935, 480.940, 481.063, 481.091, 481.093, 482.170, 482.5536, 483.340, 483.363, 483.575, 483.659, 483.800, 484A.469, 484E.070, 485.316, 501.344, 503.452, 522.040, 534A.031, 561.285, 571.160, 584.655, 587.877, 598.0964, 598.098, 598A.110, 599B.090, 603.070, 603A.210, 604A.303, 604A.710, 612.265, 616B.012, 616B.015, 616B.315, 616B.350, 618.341, 618.425, 622.238, 622.310, 623.131, 623A.137, 624.110, 624.265, 624.327, 625.425, 625A.185, 628.418, 628B.230, 628B.760, 629.047, 629.069, 630.133, 630.2673, 630.30665, 630.336, 630A.555, 631.368, 632.121, 632.125, 632.3415, 632.405, 633.283, 633.301, 633.4715, 633.524, 634.055, 634.214, 634A.185, 635.158, 636.107, 637.085, 637B.288, 638.087, 638.089, 639.2485, 639.570, 640.075, 640A.220, 640B.730, 640C.580, 640C.600, 640C.620, 640C.745, 640C.760, 640D.190, 640E.340, 641.090, 641.221, 641.325, 641A.191, 641A.262, 641A.289, 641B.170, 641B.282, 641B.460, 641C.760, 641C.800, 642.524, 643.189, 644A.870, 645.180, 645.625, 645A.050, 645A.082, 645B.060, 645B.092, 645C.220, 645C.225, 645D.130, 645D.135, 645G.510, 645H.320, 645H.330, 647.0945, 647.0947, 648.033, 648.197, 649.065, 649.067, 652.228, 653.900, 654.110, 656.105, 657A.510, 661.115, 665.130, 665.133, 669.275, 669.285, 669A.310, 671.170, 673.450, 673.480, 675.380, 676A.340, 676A.370, 677.243, 678A.470, 678C.710, 678C.800, 679B.122, 679B.124, 679B.152, 679B.159, 679B.190, 679B.285, 679B.690, 680A.270, 681A.440, 681B.260,

 


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ê2021 Statutes of Nevada, Page 1364 (CHAPTER 257, AB 71)ê

 

681B.410, 681B.540, 683A.0873, 685A.077, 686A.289, 686B.170, 686C.306, 687A.110, 687A.115, 687C.010, 688C.230, 688C.480, 688C.490, 689A.696, 692A.117, 692C.190, 692C.3507, 692C.3536, 692C.3538, 692C.354, 692C.420, 693A.480, 693A.615, 696B.550, 696C.120, 703.196, 704B.325, 706.1725, 706A.230, 710.159, 711.600, sections 35, 38 and 41 of chapter 478, Statutes of Nevada 2011 and section 2 of chapter 391, Statutes of Nevada 2013 and unless otherwise declared by law to be confidential, all public books and public records of a governmental entity must be open at all times during office hours to inspection by any person, and may be fully copied or an abstract or memorandum may be prepared from those public books and public records. Any such copies, abstracts or memoranda may be used to supply the general public with copies, abstracts or memoranda of the records or may be used in any other way to the advantage of the governmental entity or of the general public. This section does not supersede or in any manner affect the federal laws governing copyrights or enlarge, diminish or affect in any other manner the rights of a person in any written book or record which is copyrighted pursuant to federal law.

      2.  A governmental entity may not reject a book or record which is copyrighted solely because it is copyrighted.

      3.  A governmental entity that has legal custody or control of a public book or record shall not deny a request made pursuant to subsection 1 to inspect or copy or receive a copy of a public book or record on the basis that the requested public book or record contains information that is confidential if the governmental entity can redact, delete, conceal or separate, including, without limitation, electronically, the confidential information from the information included in the public book or record that is not otherwise confidential.

      4.  If requested, a governmental entity shall provide a copy of a public record in an electronic format by means of an electronic medium. Nothing in this subsection requires a governmental entity to provide a copy of a public record in an electronic format or by means of an electronic medium if:

      (a) The public record:

             (1) Was not created or prepared in an electronic format; and

             (2) Is not available in an electronic format; or

      (b) Providing the public record in an electronic format or by means of an electronic medium would:

             (1) Give access to proprietary software; or

             (2) Require the production of information that is confidential and that cannot be redacted, deleted, concealed or separated from information that is not otherwise confidential.

      5.  An officer, employee or agent of a governmental entity who has legal custody or control of a public record:

      (a) Shall not refuse to provide a copy of that public record in the medium that is requested because the officer, employee or agent has already prepared or would prefer to provide the copy in a different medium.

      (b) Except as otherwise provided in NRS 239.030, shall, upon request, prepare the copy of the public record and shall not require the person who has requested the copy to prepare the copy himself or herself.

      Sec. 3.  This act becomes effective upon passage and approval.

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ê2021 Statutes of Nevada, Page 1365ê

 

CHAPTER 258, AB 84

Assembly Bill No. 84–Committee on Government Affairs

 

CHAPTER 258

 

[Approved: June 2, 2021]

 

AN ACT relating to wildfires; authorizing the State Forester Firewarden to enter into certain public-private partnerships; authorizing the State Forester Firewarden to purchase or acquire certain equipment for the early warning or detection of wildfires; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law authorizes the State Forester Firewarden, with certain approval, to enter into certain cooperative agreements for the purpose of securing cooperation in forest management and the protection of the forest and watershed areas of Nevada from fire. (NRS 472.050) Section 1 of this bill authorizes the State Forester Firewarden, with certain approval, to also enter into certain public-private partnerships for the purpose of addressing the threat of wildfires.

      Existing law sets forth the powers and duties of the State Forester Firewarden, which include the discretionary authority to purchase, or acquire by donation, supplies and equipment necessary for fire protection and forest and watershed management. (NRS 472.040) Section 2 of this bill further authorizes the State Forester Firewarden to purchase, or acquire by donation, cameras or other equipment necessary for the early warning or detection of wildfires.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 472 of NRS is hereby amended by adding thereto a new section to read as follows:

      The State Forester Firewarden, with the approval of the Director of the State Department of Conservation and Natural Resources, may represent the State of Nevada in negotiating and entering into, cancelling, modifying and renewing one or more public-private partnerships for the purpose of addressing the threat of catastrophic wildfires in this State. Any such public-private partnership may address, without limitation, investment in wildfire prevention, restoration, infrastructure and workforce development for enhancing landscape resiliency against the threat of wildfires.

      Sec. 2. NRS 472.040 is hereby amended to read as follows:

      472.040  1.  The State Forester Firewarden shall:

      (a) Supervise or coordinate all forestry and watershed work on state-owned and privately owned lands, including fire control, in Nevada, working with federal agencies, private associations, counties, towns, cities or private persons.

      (b) Administer all fire control laws and all forestry laws in Nevada outside of townsite boundaries, and perform any other duties designated by the Director of the State Department of Conservation and Natural Resources or by state law.

 


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ê2021 Statutes of Nevada, Page 1366 (CHAPTER 258, AB 84)ê

 

      (c) Assist and encourage county or local fire protection districts to create legally constituted fire protection districts where they are needed and offer guidance and advice in their operation.

      (d) Designate the boundaries of each area of the State where the construction of buildings on forested lands creates such a fire hazard as to require the regulation of roofing materials.

      (e) Adopt and enforce regulations relating to standards for fire retardant roofing materials to be used in the construction, alteration, change or repair of buildings located within the boundaries of fire hazardous forested areas.

      (f) Purchase communication equipment which can use the microwave channels of the state communications system and store this equipment in regional locations for use in emergencies.

      (g) Administer money appropriated and grants awarded for fire prevention, fire control and the education of firefighters and award grants of money for those purposes to fire departments and educational institutions in this State.

      (h) Determine the amount of wages that must be paid to offenders who participate in conservation camps and who perform work relating to fire fighting and other work projects of conservation camps.

      (i) Cooperate with the State Fire Marshal in the enforcement of all laws and the adoption of regulations relating to the prevention of fire through the management of vegetation in counties located within or partially within the Lake Tahoe Basin and the Lake Mead Basin.

      (j) Assess the codes, rules and regulations which are adopted by other agencies that have specific regulatory authority within the Lake Tahoe Basin and the Lake Mead Basin, and which are not subject to the authority of a state or local fire agency, for consistency with fire codes, rules and regulations.

      (k) Ensure that any adopted regulations are consistent with those of fire protection districts created pursuant to chapter 318 or 474 of NRS.

      (l) Upon the request of the State Engineer, review a plan submitted with an application for the issuance of a temporary permit pursuant to NRS 533.436.

      2.  The State Forester Firewarden in carrying out the provisions of this chapter may:

      (a) Appoint paid foresters and firewardens to enforce the provisions of the laws of this State respecting forest and watershed management or the protection of forests and other lands from fire, subject to the approval of the board of county commissioners of each county concerned.

      (b) Appoint suitable citizen-wardens. Citizen-wardens serve voluntarily except that they may receive compensation when an emergency is declared by the State Forester Firewarden.

      (c) Appoint, upon the recommendation of the appropriate federal officials, resident officers of the United States Forest Service and the United States Bureau of Land Management as voluntary firewardens. Voluntary firewardens are not entitled to compensation for their services.

      (d) Appoint certain paid foresters or firewardens to be arson investigators.

 


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ê2021 Statutes of Nevada, Page 1367 (CHAPTER 258, AB 84)ê

 

      (e) Employ, with the consent of the Director of the State Department of Conservation and Natural Resources, clerical assistance, county and district coordinators, patrol officers, firefighters, and other employees as needed, and expend such sums as may be necessarily incurred for this purpose.

      (f) Purchase, or acquire by donation, supplies, material, equipment and improvements necessary [to] for fire protection , fire prevention and forest and watershed management [.] , including, without limitation, cameras or other equipment necessary for the early warning or detection of wildfires.

      (g) With the approval of the Director of the State Department of Conservation and Natural Resources and the State Board of Examiners, purchase or accept the donation of real property to be used for lookout sites and for other administrative, experimental or demonstration purposes. No real property may be purchased or accepted unless an examination of the title shows the property to be free from encumbrances, with title vested in the grantor. The title to the real property must be examined and approved by the Attorney General.

      (h) Expend any money appropriated by the State to the Division of Forestry of the State Department of Conservation and Natural Resources for paying expenses incurred in fighting fires or in emergencies which threaten human life.

      3.  The State Forester Firewarden, in carrying out the powers and duties granted in this section, is subject to administrative supervision by the Director of the State Department of Conservation and Natural Resources.

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CHAPTER 259, AB 85

Assembly Bill No. 85–Committee on Natural Resources

 

CHAPTER 259

 

[Approved: June 2, 2021]

 

AN ACT relating to agriculture; revising provisions relating to the control of noxious weeds; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law authorizes the State Quarantine Officer to declare by regulation which weeds of the State are noxious weeds but prohibits the State Quarantine Officer from designating a weed as noxious if the weed is so well established in the State that the State Quarantine Officer judges its control to be impracticable. (NRS 555.130) This bill removes the prohibition, thereby authorizing the State Quarantine Officer to declare any weed to be noxious by regulation.

      Existing law authorizes the State Quarantine Officer to temporarily designate a weed as a noxious weed if he or she determines that immediate control of the weed is necessary. Such a temporary designation expires 18 months after the designation is made. (NRS 555.130) This bill requires the State Quarantine Officer to hold a public meeting before making such a temporary designation.

      Finally, this bill authorizes the State Quarantine Officer to limit a declaration or temporary designation to a specific geographic area or to specific geographic areas in this State so that a declaration or temporary designation would only apply to those specific geographic areas and not to the entire State.

 


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ê2021 Statutes of Nevada, Page 1368 (CHAPTER 259, AB 85)ê

 

apply to those specific geographic areas and not to the entire State. If the State Quarantine Officer makes a temporary designation that is limited to a specific geographic area or to specific geographic areas, this bill requires the State Quarantine Officer to consult with each applicable state agency or department or governing body of a local government which has jurisdiction over any public right-of-way in that area.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 555.130 is hereby amended to read as follows:

      555.130  1.  Except as otherwise provided in subsection 2, the State Quarantine Officer may declare by regulation the weeds of the state that are noxious weeds . [, but a weed must not be designated as noxious which is already introduced and established in the State to such an extent as to make its control impracticable in the judgment of the State Quarantine Officer.]

      2.  [The] After holding a public meeting, the State Quarantine Officer may temporarily designate a weed as a noxious weed if he or she determines that immediate control of the weed is necessary. A temporary designation expires 18 months after the State Quarantine Officer makes the designation.

      3.  The State Quarantine Officer may limit a declaration made pursuant to subsection 1 or a temporary designation made pursuant to subsection 2 to a specific geographic area or to specific geographic areas in this State. Before the State Quarantine Officer makes a temporary designation pursuant to subsection 2 that is limited to a specific geographic area or to specific geographic areas pursuant to this subsection, the State Quarantine Officer shall consult with each applicable state agency or department or governing body of a local government which has jurisdiction over any public right-of-way in the specific geographic area or areas.

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ê2021 Statutes of Nevada, Page 1369ê

 

CHAPTER 260, AB 86

Assembly Bill No. 86–Committee on Government Affairs

 

CHAPTER 260

 

[Approved: June 2, 2021]

 

AN ACT relating to emergencies; revising provisions relating to the recovery of expenses incurred by certain governmental entities in extinguishing a fire or meeting an emergency; authorizing, with certain exceptions, counties, cities and certain general improvement districts to bring an action to recover certain expenses related to wildfires; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law provides that a person, firm, association or agency who willfully or negligently causes a fire or other emergency which threatens human life may, in certain circumstances, be liable for the expenses incurred in extinguishing the fire or meeting the emergency to the federal, state, county or municipal agency which incurred those expenses. (NRS 472.540, 474.550) Sections 1 and 2 of this bill: (1) revise the circumstances under which a person, firm, association or agency may be liable for such expenses to remove the requirement that the fire or other emergency must have threatened human life for expenses to be recovered; and (2) provide that, with certain exceptions, a person, firm, association or agency may also be liable for the expenses incurred in extinguishing a fire or meeting an emergency by a city agency or general improvement district created to furnish fire protection.

      Sections 3-5 of this bill authorize, with certain exceptions, the governing body of a county, city or general improvement district created to furnish fire protection to bring an action against a person, firm, association or agency that is responsible for willfully or negligently causing a wildfire to recover any expenses incurred in extinguishing the wildfire and reasonable attorney’s fees and litigation expenses.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 472.540 is hereby amended to read as follows:

      472.540  1.  Except as otherwise provided in this section or by specific statute, if the State Forester Firewarden determines that a person, firm, association or agency is responsible for willfully or negligently causing any fire or other emergency , [which threatens human life,] the person, firm, association or agency may be charged with the expenses incurred in extinguishing the fire or meeting the emergency, together with the cost of necessary patrol. This charge constitutes a debt of the person, firm, association or agency charged and is collectible by the federal, state, county , city or municipal agency , or general improvement district created pursuant to NRS 318.1181 for the purpose of furnishing fire protection, incurring such expenses in the same manner as in the case of an obligation under a contract, express or implied.

      2.  In determining whether a person, firm, association or agency is responsible for willfully or negligently causing a fire pursuant to subsection 1, the State Forester Firewarden shall consider, without limitation, whether the person, firm, association or agency failed to exercise reasonable care given:

 


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ê2021 Statutes of Nevada, Page 1370 (CHAPTER 260, AB 86)ê

 

      (a) The forecasted and existing weather conditions;

      (b) The conditions of fuel moisture; and

      (c) The topography of the area of the fire.

      3.  Notwithstanding the provisions of subsections 1 and 2, a person, firm, association or agency is immune from liability for the payment of expenses and costs described in subsection 1 if the person, firm, association or agency immediately notified the nearest fire-fighting agency of the fire, was forthright and truthful in responding to questions from the State Forester Firewarden, any fire-fighting agency and any other state or local agency investigating the fire, and at least one of the following circumstances apply:

      (a) The person, firm, association or agency had permission from a federal, state or local agency to start a fire or conduct a controlled burn and was in compliance with the terms of such permission;

      (b) The person, firm, association or agency started a warming fire to protect human life due to dangerous weather conditions; or

      (c) The person, firm, association or agency is in the business of raising livestock and started a controlled campfire for the purpose of branding livestock.

      4.  If the State Forester Firewarden determines that the fire or other emergency [which threatens human life] was the result of an unavoidable accident, the State Forester Firewarden shall not charge the person, firm, association or agency that caused the fire or emergency the expenses incurred in extinguishing the fire or meeting the emergency.

      5.  As used in this section:

      (a) “Fire-fighting agency” means a public fire department, fire protection district or other agency of this State or a political subdivision of this State, the primary functions of which are to control, extinguish, prevent and suppress fires.

      (b) “Livestock” has the meaning ascribed to it in NRS 569.0085.

      Sec. 2. NRS 474.550 is hereby amended to read as follows:

      474.550  1.  Except as otherwise provided in this section and NRS 527.126, within the boundaries of any fire protection district created pursuant to this chapter, any person, firm, association or agency which willfully or negligently causes a fire or other emergency [which threatens human life] may be charged with the expenses incurred in extinguishing the fire or meeting the emergency and the cost of necessary patrol. Such a charge constitutes a debt which is collectible by the federal, state, county , city or district agency , or general improvement district created pursuant to NRS 318.1181 to furnish fire protection, incurring the expenses in the same manner as an obligation under a contract, express or implied.

      2.  In determining whether a person, firm, association or agency is responsible for willfully or negligently causing a fire, it must be considered, without limitation, whether the person, firm, association or agency failed to exercise reasonable care given:

      (a) The forecasted and existing weather conditions;

      (b) The conditions of fuel moisture; and

      (c) The topography of the area of the fire.

      3.  Notwithstanding the provisions of subsections 1 and 2, a person, firm, association or agency is immune from liability for the payment of expenses and costs described in subsection 1 if the person, firm, association or agency immediately notified the nearest fire-fighting agency of the fire, was forthright and truthful in responding to questions from the State Forester Firewarden, any fire-fighting agency and any other state or local agency investigating the fire, and at least one of the following circumstances apply:

 


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ê2021 Statutes of Nevada, Page 1371 (CHAPTER 260, AB 86)ê

 

of the fire, was forthright and truthful in responding to questions from the State Forester Firewarden, any fire-fighting agency and any other state or local agency investigating the fire, and at least one of the following circumstances apply:

      (a) The person, firm, association or agency had permission from a federal, state or local agency to start a fire or conduct a controlled burn and was in compliance with the terms of such permission;

      (b) The person, firm, association or agency started a warming fire to protect human life due to dangerous weather conditions; or

      (c) The person, firm, association or agency is in the business of raising livestock and started a controlled campfire for the purpose of branding livestock.

      4.  If it is determined that the fire or other emergency [which threatens human life] was the result of an unavoidable accident, the person, firm, association or agency that caused the fire or emergency may not be charged the expenses incurred in extinguishing the fire or meeting the emergency.

      5.  As used in this section:

      (a) “Fire-fighting agency” means a public fire department, fire protection district or other agency of this State or a political subdivision of this State, the primary functions of which are to control, extinguish, prevent and suppress fires.

      (b) “Livestock” has the meaning ascribed to it in NRS 569.0085.

      Sec. 3. Chapter 244 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  A board of county commissioners may bring an action in a court of competent jurisdiction against any person, firm, association or agency that is responsible for willfully or negligently causing a wildfire to recover any expenses incurred by the county in extinguishing the wildfire and reasonable attorney’s fees and litigation expenses.

      2.  In determining whether a person, firm, association or agency is responsible for willfully or negligently causing a wildfire, it must be considered, without limitation, whether the person, firm, association or agency failed to exercise reasonable care given:

      (a) The forecasted and existing weather conditions;

      (b) The conditions of fuel moisture; and

      (c) The topography of the area of the wildfire.

      3.  Notwithstanding the provisions of subsections 1 and 2, a person, firm, association or agency is immune from liability for the payment of any expenses incurred by the county in extinguishing a wildfire and attorney’s fees and litigation expenses if the person, firm, association or agency immediately notified the nearest fire-fighting agency of the wildfire, was forthright and truthful in responding to questions from the State Forester Firewarden, any fire-fighting agency and any other state or local agency investigating the wildfire, and at least one of the following circumstances apply:

      (a) The person, firm, association or agency had permission from a federal, state or local agency to start a fire or conduct a controlled burn and was in compliance with the terms of such permission;

      (b) The person, firm, association or agency started a warming fire to protect human life due to dangerous weather conditions; or

 


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ê2021 Statutes of Nevada, Page 1372 (CHAPTER 260, AB 86)ê

 

      (c) The person, firm, association or agency is in the business of raising livestock and started a controlled campfire for the purpose of branding livestock.

      4.  As used in this section:

      (a) “Fire-fighting agency” means a public fire department, fire protection district or other agency of this State or a political subdivision of this State, the primary functions of which are to control, extinguish, prevent and suppress fires.

      (b) “Livestock” has the meaning ascribed to it in NRS 569.0085.

      Sec. 4. Chapter 268 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  A city council or other governing body of a city may bring an action in a court of competent jurisdiction against any person, firm, association or agency that is responsible for willfully or negligently causing a wildfire to recover any expenses incurred by the city in extinguishing the wildfire and reasonable attorney’s fees and litigation expenses.

      2.  In determining whether a person, firm, association or agency is responsible for willfully or negligently causing a wildfire, it must be considered, without limitation, whether the person, firm, association or agency failed to exercise reasonable care given:

      (a) The forecasted and existing weather conditions;

      (b) The conditions of fuel moisture; and

      (c) The topography of the area of the wildfire.

      3.  Notwithstanding the provisions of subsections 1 and 2, a person, firm, association or agency is immune from liability for the payment of any expenses incurred by the city in extinguishing a wildfire and attorney’s fees and litigation expenses if the person, firm, association or agency immediately notified the nearest fire-fighting agency of the wildfire, was forthright and truthful in responding to questions from the State Forester Firewarden, any fire-fighting agency and any other state or local agency investigating the wildfire, and at least one of the following circumstances apply:

      (a) The person, firm, association or agency had permission from a federal, state or local agency to start a fire or conduct a controlled burn and was in compliance with the terms of such permission;

      (b) The person, firm, association or agency started a warming fire to protect human life due to dangerous weather conditions; or

      (c) The person, firm, association or agency is in the business of raising livestock and started a controlled campfire for the purpose of branding livestock.

      4.  As used in this section:

      (a) “Fire-fighting agency” means a public fire department, fire protection district or other agency of this State or a political subdivision of this State, the primary functions of which are to control, extinguish, prevent and suppress fires.

      (b) “Livestock” has the meaning ascribed to it in NRS 569.0085.

      Sec. 5. NRS 318.1181 is hereby amended to read as follows:

      318.1181  1.  In the case of a district created wholly or in part for the purpose of furnishing fire protection, the board may:

 


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ê2021 Statutes of Nevada, Page 1373 (CHAPTER 260, AB 86)ê

 

      [1.](a) Acquire fire protection equipment and acquire, construct or improve fire protection facilities and make improvements necessary and incidental thereto;

      [2.](b) Eliminate fire hazards existing within the district in the manner prescribed in NRS 474.580 for districts created pursuant to chapter 474 of NRS;

      [3.](c) Clear public highways and private lands of dry grass, stubble, bushes, rubbish and other inflammable material which in its judgment constitute a fire hazard;

      [4.](d) Coordinate fire protection activities with the State Forester Firewarden; [and

      5.](e) Cooperate with the State Forester Firewarden in formulating a statewide plan for the prevention and control of fires [.] ; and

      (f) Bring an action in any court of competent jurisdiction against any person, firm, association or agency that is responsible for willfully or negligently causing a wildfire to recover any expenses incurred by the district in extinguishing the wildfire and reasonable attorney’s fees and litigation expenses.

      2.  In determining whether a person, firm, association or agency is responsible for willfully or negligently causing a wildfire, it must be considered, without limitation, whether the person, firm, association or agency failed to exercise reasonable care given:

      (a) The forecasted and existing weather conditions;

      (b) The conditions of fuel moisture; and

      (c) The topography of the area of the wildfire.

      3.  Notwithstanding the provisions of paragraph (f) of subsection 1 and subsection 2, a person, firm, association or agency is immune from liability for the payment of any expenses incurred by the district in extinguishing a wildfire and attorney’s fees and litigation expenses if the person, firm, association or agency immediately notified the nearest fire-fighting agency of the wildfire, was forthright and truthful in responding to questions from the State Forester Firewarden, any fire-fighting agency and any other state or local agency investigating the wildfire, and at least one of the following circumstances apply:

      (a) The person, firm, association or agency had permission from a federal, state or local agency to start a fire or conduct a controlled burn and was in compliance with the terms of such permission;

      (b) The person, firm, association or agency started a warming fire to protect human life due to dangerous weather conditions; or

      (c) The person, firm, association or agency is in the business of raising livestock and started a controlled campfire for the purpose of branding livestock.

      4.  As used in this section:

      (a) “Fire-fighting agency” means a public fire department, fire protection district or other agency of this State or a political subdivision of this State, the primary functions of which are to control, extinguish, prevent and suppress fires.

      (b) “Livestock” has the meaning ascribed to it in NRS 569.0085.

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ê2021 Statutes of Nevada, Page 1374ê

 

CHAPTER 261, AB 104

Assembly Bill No. 104–Assemblyman Yeager

 

CHAPTER 261

 

[Approved: June 2, 2021]

 

AN ACT relating to actions concerning persons; exempting certain records concerning a civil action for wrongful conviction from the requirement to be sealed; exempting the State from provisions governing offers of judgment in an action for wrongful conviction; exempting a judgment for wrongful conviction from interest on certain judgments; clarifying the period of time used to calculate the amount of a judgment for wrongful conviction; establishing certain limitations applicable to awards for certain items; limiting the amount of monetary compensation which may be awarded to a person who has previously obtained an award of monetary compensation or a settlement from this State or other governmental entity; requiring a person who previously received compensation for a wrongful conviction, and who subsequently obtains an award of monetary compensation or a settlement from this State for the wrongful conviction, to notify and reimburse the State for the amount previously obtained; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law requires a court to seal all records of a conviction upon entry of a certificate of innocence, if a person is successful in a wrongful conviction action. (NRS 41.910) Section 1 of this bill exempts records of a conviction maintained by the parties concerning a civil action for wrongful conviction from this requirement. Section 1 also specifies that such records maintained by the parties must remain confidential.

      Under existing law, the State waives its immunity from liability in civil actions brought for a wrongful conviction and consents to have its liability determined in accordance with the rules of law governing civil actions against natural persons and corporations. (NRS 41.920) Existing law authorizes a party in a civil action to serve an offer of judgment upon another party prior to trial and subjects the offeree to certain penalties if the offeree rejects the offer and fails to obtain a more favorable judgment at trial. (NRS 17.117) Existing law also provides that a judgment draws interest from the time of service of the summons and complaint until the judgment is satisfied. (NRS 17.130) Section 2 of this bill exempts the State from the requirements of the provisions governing offers of judgment in civil actions brought for a wrongful conviction. Section 2 also exempts a judgment for a wrongful conviction from provisions governing interest on judgments.

      Existing law requires a court to award a person who has obtained a certificate of innocence in a wrongful conviction action a certain amount of monetary compensation for each year of imprisonment. (NRS 41.950) Section 3 of this bill clarifies that the period of time used to calculate an award of monetary compensation is each year the person was imprisoned for his or her wrongful conviction. Existing law authorizes a court to award such a person payment for certain items, including, without limitation, payment for tuition, health care and counseling services. (NRS 41.950) Section 3 prohibits a court from awarding payment for such items: (1) in an amount greater than $100,000 per calendar year; and (2) for a length of time that exceeds the period of time the person was imprisoned or on parole. Section 3 also establishes certain additional limitations applicable to such items.

 


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ê2021 Statutes of Nevada, Page 1375 (CHAPTER 261, AB 104)ê

 

      Existing law limits an award of monetary compensation for a person who has obtained a certificate of innocence in an action for wrongful conviction and who has previously obtained an award or settlement from the State for the wrongful conviction to the amount provided in NRS 41.950, less the amount previously obtained. (NRS 41.960) Section 4 of this bill expands the applicability of this limitation to awards and settlements for the wrongful conviction obtained from this State or any other governmental entity. Existing law requires a person who was successful in his or her action against the State for a wrongful conviction pursuant to NRS 41.900, and who subsequently obtains an award or settlement for the wrongful conviction that exceeds the amount previously obtained, to reimburse the State for the amount previously obtained. (NRS 41.960) Section 4 additionally: (1) expands the application of this requirement to compensation received from the State whether through an award of damages or a settlement; (2) requires such a person to notify the State Board of Examiners of the subsequent award of damages or settlement not later than 4 months after the date of the subsequent award of damages or settlement; (3) requires such a person to reimburse the State not later than 6 months after the date of the subsequent award of damages or settlement; and (4) authorizes a court to order the termination of any future payment for certain items, including, without limitation, payment for tuition, health care and counseling services, if such a person does not so notify the State Board of Examiners or reimburse the State. Section 4 also exempts awards for certain items, including, without limitation, payment for tuition, health care and counseling services from the calculation of the amount of an award or settlement for the purposes of limiting an award or requiring an award to be reimbursed.

      Existing law requires a person who was successful in his or her action for a wrongful conviction to submit a claim to the State Board of Examiners. (NRS 41.900, 41.970) Section 4.5 of this bill specifies that payment does not become effective without the prior approval of the State Board of Examiners.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 41.910 is hereby amended to read as follows:

      41.910  1.  If a court finds that a person is entitled to a judgment pursuant to NRS 41.900, the court shall enter a certificate of innocence finding that the person was innocent of the felony for which the person was wrongfully convicted.

      2.  If a court does not find that a person is entitled to a judgment pursuant to NRS 41.900, the action must be dismissed and the court shall not enter a certificate of innocence.

      3.  Upon an entry of a certificate of innocence pursuant to subsection 1, the court shall order sealed all records of the conviction , except such records maintained by the parties concerning a civil action for wrongful conviction brought pursuant to NRS 41.900, which are in the custody of any agency of criminal justice or any public or private agency, company, official or other custodian of records in the State of Nevada and shall order all such records of the person returned to the file of the court where the underlying criminal action was commenced from, including, without limitation, the Federal Bureau of Investigation and all other agencies of criminal justice which maintain such records and which are reasonably known by either the person or the court to have possession of such records. Such records must be sealed regardless of whether the person has any prior criminal convictions in this State.

 


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ê2021 Statutes of Nevada, Page 1376 (CHAPTER 261, AB 104)ê

 

      4.  The records maintained by the parties concerning a civil action for wrongful conviction pursuant to subsection 3 must remain confidential.

      Sec. 2. NRS 41.920 is hereby amended to read as follows:

      41.920  1.  The State of Nevada waives its immunity from liability in any action brought pursuant to NRS 41.900 and consents to have its liability determined in accordance with the same rules of law as are applied to civil actions against natural persons and corporations [.] , except that:

      (a) The State shall be exempt from the requirements of NRS 17.117; and

      (b) A person who has obtained a certificate of innocence pursuant to NRS 41.910 shall not be entitled to prejudgment or postjudgment interest.

      2.  An action brought pursuant to NRS 41.900 is not subject to any requirement of an action brought pursuant to NRS 41.031, including, without limitation, the limitations on an award of damages described in NRS 41.035.

      3.  All provisions of existing law relating to the absolute or qualified immunity of any judicial officer, prosecutor or law enforcement officer, including all applicable provisions of federal and state law, apply to an action brought pursuant to NRS 41.900.

      Sec. 3. NRS 41.950 is hereby amended to read as follows:

      41.950  1.  In an action brought pursuant to NRS 41.900 which results in the court entering a certificate of innocence pursuant to NRS 41.910, the court shall award the person:

      (a) If the person was imprisoned for:

             (1) One to 10 years, $50,000 for each year [of imprisonment;] the person was imprisoned for his or her wrongful conviction;

             (2) Eleven to 20 years, $75,000 for each year [of imprisonment;] the person was imprisoned for his or her wrongful conviction; or

             (3) Twenty-one years or more, $100,000 for each year [of imprisonment;] the person was imprisoned for his or her wrongful conviction; and

      (b) Not less than $25,000 for each year the person was on parole or not less than $25,000 for each year the person was required to register as a sex offender, whichever period of time was greater.

      2.  In addition to any damages awarded pursuant to subsection 1, the court may award:

      (a) Reasonable attorney’s fees, not to exceed $25,000, unless a greater amount is authorized by a court upon a finding of good cause shown.

      (b) [Payment] Subject to the limitations in subsection 6, payment for the cost of:

             (1) Tuition, books and fees for the person to [attend] enroll in any course or academic program at an institution operated by the Nevada System of Higher Education [;] commenced not later than 3 years and completed not later than 10 years after the date the award of damages is issued pursuant to subsection 1.

             (2) Participation by the person in [a health care program of this State;] Medicare or Medicaid, if the person is eligible for Medicare or Medicaid, or a qualified health plan offered on the health insurance exchange administered by the Silver State Health Insurance Exchange which has been designated by the Exchange as a Bronze or Silver plan, if the person is not eligible for Medicare or Medicaid.

 


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ê2021 Statutes of Nevada, Page 1377 (CHAPTER 261, AB 104)ê

 

the person is not eligible for Medicare or Medicaid. The court shall not award payment pursuant to this subparagraph for any period in which the person is enrolled in an employer-based health insurance plan.

             (3) Programs for reentry into the community for the person [; and] commenced not later than 3 years and completed not later than 5 years after the date the award of damages is issued pursuant to subsection 1.

             (4) Counseling services for the person [;] commenced not later than 2 years after the date the award of damages is issued pursuant to subsection 1.

             (5) Housing assistance in an amount not greater than $15,000 per year.

             (6) Programs for assistance for financial literacy for the person commenced not later than 2 years and completed not later than 3 years after the date the award of damages is issued pursuant to subsection 1.

      (c) Reimbursement for:

             (1) Restitution ordered to be paid by the person in the criminal proceeding for which he or she was wrongfully convicted; and

             (2) Medical care paid for by the person while he or she was imprisoned for his or her wrongful conviction . [; and]

      (d) Any other relief . [, including, without limitation, housing assistance or assistance for financial literacy for the person.]

      3.  Any award of damages issued pursuant to subsection 1 must be rounded up to the nearest half year.

      4.  A court shall not award and a person shall not receive compensation for any period of imprisonment during which the person was concurrently serving a sentence for a conviction of another offense for which the person was lawfully convicted and imprisoned.

      5.  If counseling services are awarded to the person pursuant to subsection 2, the person may select a relative to receive counseling with the person. As used in this subsection, “relative” means a person who is related by blood, adoption, marriage or domestic partnership within the third degree of consanguinity or affinity.

      6.  A court shall not award payment pursuant to paragraph (b) of subsection 2:

      (a) In an amount greater than $100,000 in a calendar year.

      (b) For a length of time that exceeds the period of time described in subsection 1 during which the person was imprisoned or on parole.

      7.  As used in this section, “qualified health plan” has the meaning ascribed to it in NRS 695I.080.

      Sec. 4. NRS 41.960 is hereby amended to read as follows:

      41.960  1.  If a person in an action brought pursuant to NRS 41.900 has previously won a monetary award against this State or against any other governmental entity in a civil action related to his or her wrongful conviction, the person is only entitled to receive any amount described in NRS 41.950, less the award obtained in the previous civil action.

      2.  If a person in an action brought pursuant to NRS 41.900 has entered into a settlement agreement with this State or with any other governmental entity related to his or her wrongful conviction, the person is only entitled to receive any amount described in NRS 41.950, less the amount of the settlement agreement.

 


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ê2021 Statutes of Nevada, Page 1378 (CHAPTER 261, AB 104)ê

 

      3.  A person who [was successful] received compensation from this State in his or her action brought pursuant to NRS 41.900 , whether through an award of damages or a settlement, and who subsequently receives a civil settlement or award relating to his or her wrongful conviction [that exceeds the amount awarded pursuant to NRS 41.950] shall :

      (a) Not later than 4 months after the date of the subsequent civil settlement or award, notify the State Board of Examiners of the subsequent civil settlement or award; and

      (b) Not later than 6 months after the date of the subsequent civil settlement or award, reimburse this State for [his or her award of damages issued pursuant to this act.] the compensation previously received, not to exceed the amount of the monetary compensation which the person receives in the subsequent civil settlement or award.

      4.  If a person who received compensation from this State in his or her action brought pursuant to NRS 41.900, whether through an award of damages or a settlement, and who subsequently receives a civil settlement or award relating to his or her wrongful conviction does not notify the State Board of Examiners or reimburse this State pursuant to subsection 3, a court may order the termination of any future payment awarded pursuant to subsection 2 of NRS 41.950.

      5.  The calculation of an award of damages or a settlement amount pursuant to this section must not include items listed in subsection 2 of NRS 41.950, including, without limitation, attorney’s fees and the costs for bringing the action.

      6.  As used in this section, “governmental entity” has the meaning ascribed to it in NRS 363C.040.

      Sec. 4.5. NRS 41.970 is hereby amended to read as follows:

      41.970  To recover damages or other monetary relief awarded by a court pursuant to NRS 41.950, less any adjustment pursuant to NRS 41.960, a person who was successful in his or her action brought pursuant to NRS 41.900 must submit a claim to the State Board of Examiners. The claim must be for payment of the damages or other monetary relief from the Reserve for Statutory Contingency Account, upon approval by the State Board of Examiners. Payment does not become effective without the prior approval of the State Board of Examiners.

      Sec. 5.  This act becomes effective on July 1, 2021.

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ê2021 Statutes of Nevada, Page 1379ê

 

CHAPTER 262, AB 182

Assembly Bill No. 182–Assemblymen Tolles, Roberts, Hardy, Yeager, O’Neill; Bilbray-Axelrod, Hansen, Kasama, Krasner, Marzola and Nguyen

 

Joint Sponsors: Senators Pickard; Seevers Gansert and Spearman

 

CHAPTER 262

 

[Approved: June 2, 2021]

 

AN ACT relating to crimes; revising the elements of the crime of advancing prostitution; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Under existing law, a person is guilty of the crime of advancing prostitution if the person owns, leases, operates, controls or manages any business or private property and: (1) knows or should know that illegal prostitution is being conducted at the business or upon such private property; (2) knows or should know that one or more prostitutes engaging in such illegal prostitution are victims of involuntary servitude; and (3) fails to take reasonable steps to abate such illegal prostitution within 30 days after the person knows or should know about such illegal prostitution. (NRS 201.395) This bill revises the elements of the crime of advancing prostitution by: (1) providing that a person who owns, leases, operates, controls or manages any business or private property is guilty of the crime if the person knows that illegal prostitution is being conducted at the business or upon such private property because the person has been notified, in writing, by a law enforcement agency of at least one incident of illegal prostitution that occurred at the business or upon such private property, including notice that the illegal prostitution may result in prosecution for pandering or sex trafficking, but fails to take reasonable steps to abate such illegal prostitution within 30 days after receipt of such written notice; (2) removing the elements of the crime relating to involuntary servitude; and (3) removing from the list of actions deemed to be reasonable steps to abate illegal prostitution the promotion of ongoing education for employees about illegal prostitution.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 201.395 is hereby amended to read as follows:

      201.395  1.  A person who owns, leases, operates, controls or manages any business or private property [and who:] is guilty of advancing prostitution if the person:

      (a) Knows [or should know] that illegal prostitution is being conducted at the business or upon such private property [;

      (b) Knows or should know that one or more prostitutes engaging in such illegal prostitution are victims of involuntary servitude as described in NRS 200.463;] because the person has been notified, in writing, by a law enforcement agency of at least one incident of illegal prostitution that occurred at the business or upon such private property;

      (b) Receives notice pursuant to paragraph (a) that the illegal prostitution may result in prosecution for pandering or sex trafficking pursuant to NRS 201.300 or facilitating sex trafficking pursuant to NRS 201.301; and

 


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ê2021 Statutes of Nevada, Page 1380 (CHAPTER 262, AB 182)ê

 

      (c) Fails to take reasonable steps to abate such illegal prostitution within 30 days after the date on which the person [knows the circumstances set forth in paragraphs (a) and (b),

Ê is guilty of advancing prostitution.] receives such written notice from the law enforcement agency.

      2.  Unless a greater penalty is provided by specific statute, a person who is guilty of advancing prostitution shall be punished for a category C felony as provided in NRS 193.130.

      3.  For the purposes of this section, a person who owns, leases, operates, controls or manages any business or private property shall be deemed [:

      (a) To know that illegal prostitution is being conducted at the business or upon the private property of the person if a law enforcement agency has notified the person who owns, leases, operates, controls or manages the business or private property, in writing, of at least three incidents of illegal prostitution that occurred at the business or upon the private property of the person within a period of 180 consecutive days.

      (b) To know that one or more prostitutes engaging in such illegal prostitution are victims of involuntary servitude as described in NRS 200.463 if, in light of all the surrounding facts and circumstances which are known to the person at the time, a reasonable person would believe, under those facts and circumstances, that one or more prostitutes engaging in such illegal prostitution are victims of involuntary servitude as described in NRS 200.463.

      (c) To] to have taken reasonable steps to abate [such] illegal prostitution if the person has:

             [(1)] (a) Filed a report of such illegal prostitution with a law enforcement agency;

             [(2)] (b) Allowed a law enforcement agency to conduct surveillance or an unrestricted undercover operation;

             [(3) Promoted ongoing education about such illegal prostitution for employees;] or

             [(4)] (c) Used any other available legal means to abate such illegal prostitution.

      4.  Any action taken to abate illegal prostitution pursuant to this section must comply with any other applicable law of this State, including, without limitation, the provisions of chapters 118A and 118C of NRS.

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ê2021 Statutes of Nevada, Page 1381ê

 

CHAPTER 263, AB 195

Assembly Bill No. 195–Assemblymen Torres, Nguyen, Flores, Watts; Brown-May, Duran, González, Martinez, C.H. Miller and Peters

 

Joint Sponsors: Senators Denis and Donate

 

CHAPTER 263

 

[Approved: June 2, 2021]

 

AN ACT relating to education; requiring the board of trustees of a school district to collect certain data relating to pupils who are English learners; establishing certain rights for pupils who are English learners and the parents or legal guardians of pupils who are English learners; requiring the board of trustees of each school district to post certain information on its Internet website authorizing the Department of Education to adopt certain regulations; requiring the board of trustees of each school district to identify the primary language of each pupil; requiring a pupil who is an English learner to remain in a program for English learners until the pupil obtains language proficiency, with certain exceptions; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law requires the board of trustees of each school district to develop a policy to teach English to pupils who are English learners. Under existing law, the policy must, without limitation, be designed to eliminate any gaps in achievement between pupils who are English learners and pupils who are proficient in English. (NRS 388.407) Section 6 of this bill requires the policy to identify the primary language of each pupil enrolled in the school district to assist in the identification of pupils who are English learners. Section 6 also requires the policy to provide that a pupil who is an English learner shall be placed in a program for English learners until the pupil obtains language proficiency based on an appropriate assessment for English learners unless the parent or guardian of the pupil declines for the pupil to participate in a program for English learners.

      Section 2 of this bill requires the board of trustees of each school district to determine the number of pupils enrolled in a school within the school district who are: (1) immigrants; (2) refugees; (3) new, short-term and long-term English learners; and (4) English learners who participate in various programs, courses or activities, receive a high school diploma and go on to attend an institution of higher education after receiving a high school diploma. Section 2 also requires the board of trustees of each school district to determine the number of teachers who are qualified to teach English as a second language and are trained in a program of language instruction. Section 2 requires the data collected by the board of trustees of each school district to be disaggregated by certain categories. Section 2 authorizes the Department of Education to make recommendations to the board of trustees of a school district to improve programs for English learners based on a report submitted by the board of trustees of each school district. Finally, section 2 requires the Department to submit the reports it receives from the board of trustees of each school district to the Director of the Legislative Counsel Bureau for transmittal to the Legislature or the Legislative Committee on Education, as appropriate.

      Section 3 of this bill establishes various rights of a pupil who is an English learner and the parent or legal guardian of a pupil who is an English learner. Section 3 generally provides to a pupil who is an English learner, without limitation, the right to equal access to public education, academic instruction, extracurricular programs or activities and other support services provided by the school or school district in which the pupil is enrolled.

 


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ê2021 Statutes of Nevada, Page 1382 (CHAPTER 263, AB 195)ê

 

the pupil is enrolled. Section 3 generally provides to the parent or legal guardian of a pupil who is an English learner, without limitation, the right to receive information related to the placement and development of the pupil in a program for English learners in both English and the primary language of the parent or legal guardian. Section 3 requires the board of trustees of a school district to disseminate a copy of these rights to the parent or legal guardian of a pupil who is an English learner. Section 3 also requires the board of trustees of a school district, the Department of Education and each school to post a copy of these rights on their respective Internet websites.

      Under Title III of the Every Student Succeeds Act of 2015, a state that receives certain money is required to provide for language instruction for English learners and immigrant students. (20 U.S.C. §§ 6812 et seq.) Section 4 of this bill requires the board of trustees of each school district to post on its Internet website by category the manner in which the school district uses money received under the Act.

      Section 5 of this bill authorizes the Department to adopt regulations to carry out provisions relating to pupils who are English learners.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 388 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 5, inclusive, of this act.

      Sec. 2. 1.  The board of trustees of each school district shall determine the number of pupils enrolled in schools within the school district who are:

      (a) Immigrants;

      (b) Refugees;

      (c) Newcomers to the English language and short-term and long-term English learners; and

      (d) English learners, in total and disaggregated by English learners who:

             (1) Are pupils with an individualized education program or a plan developed in accordance with section 504 of the Rehabilitation Act of 1973, 29 U.S.C. § 794;

             (2) Are enrolled, placed or participating in:

                   (I) A special program, including, without limitation, a special program for gifted and talented pupils;

                   (II) A program for career and technical education;

                   (III) A magnet school or program;

                   (IV) An advanced placement course;

                   (V) An international baccalaureate course;

                   (VI) A dual credit course; or

                   (VII) An extracurricular or athletic activity, if known;

             (3) Receive a high school diploma, disaggregated by type of diploma; and

             (4) Attend an institution of higher education after receiving a high school diploma and, if known, receive a scholarship to attend an institution of higher education.

      2.  The data collected pursuant to subsection 1 must be disaggregated by grade and pupils who are English learners.

      3.  The board of trustees of each school district shall determine the number of teachers:

 


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ê2021 Statutes of Nevada, Page 1383 (CHAPTER 263, AB 195)ê

 

      (a) Employed by the school district who have an endorsement to teach pupils in a program of bilingual education or who have an endorsement to teach English as a second language; and

      (b) Who are trained in a program for language instruction adopted by the board of trustees of the school district, to the extent practicable.

Ê The data collected pursuant to this subsection must be disaggregated by teachers who are licensed to teach elementary education, middle school or junior high school education or secondary education.

      4.  On or before August 1 of each year, the board of trustees of a school district shall review the data collected pursuant to subsections 1 and 3, compile a report of the data and submit the report to the Department. The Department may make recommendations to the board of trustees of each school district to improve programs for English learners based on the reports it receives pursuant to this subsection.

      5.  On or before February 1 of each year, the Department shall submit the reports it receives pursuant to subsection 4 to the Director of the Legislative Counsel Bureau for transmittal to the Legislature, or if the Legislature is not in session, the Legislative Committee on Education.

      6.  As used in this section, “long-term English learner” means a pupil who is an English learner who has lived in the United States for at least 6 consecutive years.

      Sec. 3. 1.  A pupil who is an English learner has the right to:

      (a) Receive a free appropriate public education regardless of the immigration status or primary language of the pupil or the parent or legal guardian of the pupil;

      (b) Equal access to all programming and services offered to pupils in the same grade level who are not English learners by the school or school district in which the pupil is enrolled;

      (c) Receive instruction at the same grade level as other pupils who are of a similar age as the pupil who is an English learner, unless the school or school district in which the pupil is enrolled determines it is appropriate for the pupil who is an English learner to be placed in a different grade level;

      (d) Equal access to participate in extracurricular activities;

      (e) Receive appropriate services for academic support provided by the school or school district to pupils enrolled in the school or school district who are not English learners;

      (f) Be evaluated each year to determine the progress of the pupil in learning the English language and to obtain information about the academic performance of the pupil, including, without limitation, the results of an examination administered pursuant to NRS 390.105; and

      (g) Be continuously placed in a program for English learners for as long as the pupil is classified as an English learner unless the parent or legal guardian of the pupil declines for the pupil to be placed in a program for English learners.

      2.  The parent or legal guardian of a pupil who is an English learner has the right to:

      (a) Enroll his or her child in a public school without disclosing the immigration status of the pupil or the parent or legal guardian;

      (b) To the extent practicable, have a qualified interpreter in the primary language of the parent or legal guardian with the parent or legal guardian during significant interactions with the school district;

 


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ê2021 Statutes of Nevada, Page 1384 (CHAPTER 263, AB 195)ê

 

      (c) To the extent practicable, receive written notice in both English and the primary language of the parent or legal guardian that the pupil has been identified as an English learner and will be placed in a program for English learners;

      (d) Receive information about the progress of the pupil in learning the English language and, if the pupil is enrolled in a program of bilingual education, the progress of the pupil in learning the languages of that program;

      (e) At the request of the parent or legal guardian, meet with staff of the school in which the pupil is enrolled at least once a year, in addition to any other required meetings, to discuss the overall progress of the pupil in learning the English language;

      (f) Transfer the pupil to another school within the school district if the school in which the pupil is currently enrolled does not offer a program for English learners or has been placed on a corrective action plan pursuant to NRS 388.408;

      (g) Receive information related to any evaluations of the pupil pursuant to paragraph (f) of subsection 1; and

      (h) Contact the Department or the school district, as applicable, if the school or school district in which the pupil is enrolled violates the provisions of this section.

      3.  Notwithstanding the provisions of paragraphs (b) and (c) of subsection 2, the board of trustees of each school district shall provide information to the parent or legal guardian of a pupil who is an English learner in a language and format that the parent or legal guardian can understand.

      4.  To the extent practicable, the board of trustees of each school district shall, in writing and in both English and the primary language of the parent or legal guardian of a pupil who is an English learner, inform the parent or legal guardian of the rights described in this section at the time of the registration of the pupil in a school within the school district or at the time the pupil is identified as an English learner. The school district shall provide a copy of the rights described in this section at the annual registration of a pupil in a school within the school district to the parent or legal guardian of a pupil who is an English learner.

      5.  The Department shall provide translated copies of the rights described in this section in the five most common languages other than English primarily spoken in the households within each school district, which may include, without limitation, Spanish and Tagalog. The board of trustees of each school district and each school that enrolls pupils who are English learners shall post a copy of the rights described in this section on their respective Internet websites in as many languages as possible, which may include, without limitation, and as applicable for the school district, the languages translated by the Department pursuant to this subsection.

      Sec. 4.  The board of trustees of each school district shall post annually on its Internet website information on the manner in which the school district uses money received pursuant to Title III of the Every Student Succeeds Act of 2015, 20 U.S.C. §§ 6812 et seq. The information must be organized into the categories of programs and services for which the money was used, which must include, without limitation, the category of engagement of parents and families.

 


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ê2021 Statutes of Nevada, Page 1385 (CHAPTER 263, AB 195)ê

 

      Sec. 5. The Department may adopt regulations as necessary to carry out the provisions of NRS 388.405, 388.407 and 388.408 and sections 2 to 5, inclusive, of this act.

      Sec. 6. NRS 388.407 is hereby amended to read as follows:

      388.407  1.  The board of trustees of each school district shall develop a policy for the instruction to teach English to pupils who are English learners. The policy must be designed to provide pupils enrolled in each public school located in the school district who are English learners with instruction that enables those pupils to attain proficiency in the English language and improve their overall academic achievement and proficiency.

      2.  The policy developed pursuant to subsection 1 must:

      (a) Provide for the identification of pupils who are English learners through the use of an appropriate assessment;

      (b) Provide for the periodic reassessment of each pupil who is classified as an English learner;

      (c) Be designed to eliminate any gaps in achievement, including, without limitation, in the core academic subjects and in high school graduation rates, between those pupils who are English learners and pupils who are proficient in English;

      (d) Provide opportunities for the parents or legal guardians of pupils who are English learners to participate in the program; [and]

      (e) Provide the parents and legal guardians of pupils who are English learners with information regarding other programs that are designed to improve the language acquisition and academic achievement and proficiency of pupils who are English learners and assist those parents and legal guardians in enrolling those pupils in such programs [.] ;

      (f) Provide for the identification of the primary language of each pupil enrolled in the school district at the beginning of each school year to assist in the identification of pupils who are English learners pursuant to paragraph (a); and

      (g) Provide that a pupil who is an English learner remain placed in a program for English learners until the pupil obtains language proficiency based on an appropriate assessment of pupils who are English learners unless the parent or legal guardian of the pupil declines for the pupil to remain placed in a program for English learners.

      3.  The board of trustees of a school district shall adopt a plan to ensure that a policy adopted pursuant to this section achieves the objectives prescribed by paragraph (c) of subsection 2.

      4.  The Department shall monitor the implementation of:

      (a) The provisions of the policy developed pursuant to subsection 1 designed to achieve the objectives described in paragraph (c) of subsection 2; and

      (b) The plan adopted pursuant to subsection 3.

      5.  The board of trustees of a school district may identify and purchase an assessment for use by the school district to measure the literacy of pupils who are English learners. Such an assessment:

      (a) Must be approved by the Department; and

      (b) May include tools to assist pupils who are English learners to improve their mastery of the English language.

 


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ê2021 Statutes of Nevada, Page 1386 (CHAPTER 263, AB 195)ê

 

      Sec. 7.  The provisions of subsection 1 of NRS 218D.380 do not apply to any provision of this act which adds or revises a requirement to submit a report to the Legislature.

      Sec. 8.  The provisions of NRS 354.599 do not apply to any additional expenses of a local government that are related to the provisions of this act.

      Sec. 9.  This act becomes effective on July 1, 2021.

________

CHAPTER 264, AB 202

Assembly Bill No. 202–Assemblyman Yeager

 

CHAPTER 264

 

[Approved: June 2, 2021]

 

AN ACT relating to gaming; revising the definition of “qualified organization”; revising provisions relating to the registration of a qualified organization to operate a charitable lottery or charitable game; revising provisions relating to the prohibition against the registration of a qualified organization to operate a charitable lottery or charitable game in certain circumstances; establishing provisions concerning online ticket sales conducted by qualified professional sports organizations; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Under existing law, a qualified organization must register with the Chair of the Nevada Gaming Control Board before operating a charitable lottery. (NRS 462.140) Existing law defines a “qualified organization” as an alumni, charitable, civic, educational, fraternal, patriotic, religious or veterans’ organization or a state or local bar association that has been certified by the Department of Taxation or the Internal Revenue Service as not operated for profit. (NRS 462.125) Section 1 of this bill additionally provides that any such organization or state or local bar association is a qualified organization if it is registered with the Secretary of State as a charitable organization that solicits charitable contributions.

      Existing law requires the Nevada Gaming Commission, upon recommendation by the Board, to adopt regulations establishing the fees that a qualified organization must submit to the Chair to operate a charitable lottery or charitable game. (NRS 462.160) Section 2 of this bill provides that if the total value of the prizes offered by the qualified organization in the same calendar year is less than $100,000: (1) the qualified organization must register annually with the Board; and (2) the regulations adopted by the Commission must not impose an annual fee that exceeds $10 on such a qualified organization.

      Existing law prohibits the Chair from registering a qualified organization to operate a charitable lottery or charitable game outside this State. (NRS 462.180) Section 2.5 of this bill additionally prohibits the Chair from registering a qualified organization to operate a charitable lottery or charitable game through the use of a video lottery terminal or any other mechanical, electromechanical or electronic device or machine that performs all the functions of a lottery by itself or when networked with other similar devices or machines.

      Existing law provides that online ticket sales for a charitable lottery or charitable game are required to be approved by the Chair. (NRS 462.180) Section 2.5 provides that a qualified professional sports organization is authorized to conduct approved online ticket sales in conjunction with a charitable lottery offering a cash prize only: (1) on a day that the professional sports team franchise affiliated with the qualified professional sports organization is playing a home game in this State; and (2) if such online ticket sales are restricted to the use of mobile devices in the arena or stadium of the professional sports team franchise or on any parcel of land upon which the arena or stadium is situated.

 


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ê2021 Statutes of Nevada, Page 1387 (CHAPTER 264, AB 202)ê

 

only: (1) on a day that the professional sports team franchise affiliated with the qualified professional sports organization is playing a home game in this State; and (2) if such online ticket sales are restricted to the use of mobile devices in the arena or stadium of the professional sports team franchise or on any parcel of land upon which the arena or stadium is situated.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 462.125 is hereby amended to read as follows:

      462.125  “Qualified organization” means an alumni, charitable, civic, educational, fraternal, patriotic, religious or veterans’ organization or a state or local bar association that [has] :

      1.  Has been certified by the Department of Taxation or the Internal Revenue Service as not operated for profit [.] ; or

      2.  Is registered with the Secretary of State as a charitable organization that solicits charitable contributions pursuant to NRS 82A.100.

      Sec. 2. NRS 462.160 is hereby amended to read as follows:

      462.160  1.  [To] Except as otherwise provided in subsection 3, to register with the Chair to operate a charitable lottery or charitable game, a qualified organization must submit to the Chair:

      (a) A written application containing:

             (1) The name, address and nature of the organization.

             (2) Proof that the organization is a qualified organization.

             (3) The names of the officers or principals of the organization, and of any person responsible for the management, administration or supervision of the organization’s charitable lotteries or charitable games and any activities related to those charitable lotteries or charitable games.

             (4) A listing of vendors who will assist with each charitable lottery or charitable game operated by the organization and the services that will be provided.

             (5) A description of all the prizes to be offered in each charitable lottery or charitable game operated by the organization.

             (6) A summary of the anticipated expenses of conducting each charitable lottery or charitable game, including copies of any proposed agreements between the organization and any suppliers of material for the operation of each charitable lottery or charitable game.

             (7) A description of the intended use of the net proceeds of each charitable lottery or charitable game operated by the organization.

             (8) The address of the location where each charitable lottery or charitable game will be conducted by the organization.

             (9) The operational controls for each charitable lottery or charitable game, including, without limitation:

                   (I) The methods proposed for ticket sales and, if proposing mobile, online or telephone sales, the procedures for such sales;

                   (II) The audit controls for all ticket sales in this State to ensure compliance with NRS 462.180;

                   (III) The rules which will be presented to the public for each charitable lottery or charitable game;

                   (IV) The method of awarding all prizes and announcing all winners to the public; and

 


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ê2021 Statutes of Nevada, Page 1388 (CHAPTER 264, AB 202)ê

 

                   (V) The rules and time frames for the collection of all prizes.

             (10) A statement verifying that all charitable lotteries or charitable games will be conducted in accordance with the standards of honesty and integrity applicable to licensed gambling games in this State and that any prizes that would be deemed illegal under state or federal law will not be offered.

             (11) Any other information the Chair deems appropriate.

      (b) All applicable fees established by the Commission by regulation pursuant to subsection [3.] 4.

      2.  A qualified organization shall submit such additional information as necessary to correct or complete any information submitted pursuant to this section that becomes inaccurate or incomplete. The registration of a qualified organization is suspended during the period that any of the information is inaccurate or incomplete. The Chair may reinstate the registration of the organization only after all information has been corrected and completed.

      3.  If the total value of the prizes offered by a qualified organization in the same calendar year is less than $100,000:

      (a) The qualified organization must register annually with the Board; and

      (b) The regulations adopted by the Commission pursuant to subsection 4 must not impose an annual fee that exceeds $10 on such a qualified organization.

      4.  The Commission, upon recommendation by the Board, shall adopt regulations establishing the fees that a qualified organization must submit to the Chair pursuant to this section.

      [4.]5.  The money collected pursuant to this section must be expended to administer and enforce the provisions of this chapter.

      Sec. 2.5. NRS 462.180 is hereby amended to read as follows:

      462.180  1.  The Chair shall not register a qualified organization to operate a charitable lottery or charitable game outside this State [.] or through the use of a video lottery terminal or any other mechanical, electromechanical or electronic device or machine that performs all the functions of a lottery by itself or when networked with other similar devices or machines.

      2.  Statewide ticket sales and online ticket sales are permitted upon approval by the Chair, but all lottery ticket sales must be limited to persons who are physically located within this State at the time of purchase.

      3.  A qualified professional sports organization may conduct approved online ticket sales in conjunction with a charitable lottery offering a cash prize only:

      (a) On a day that the professional sports team franchise with which the qualified professional sports organization is affiliated is playing a home game in this State; and

      (b) If such online ticket sales are restricted to the use of mobile devices in the arena or stadium of the professional sports team franchise or on any parcel of land upon which the arena or stadium is situated.

      4.  As used in this section, “qualified professional sports organization” has the meaning ascribed to it in NRS 462.140.

      Sec. 3.  This act becomes effective on July 1, 2021.

________

 


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ê2021 Statutes of Nevada, Page 1389ê

 

CHAPTER 265, AB 207

Assembly Bill No. 207–Assemblymen Watts; Anderson, Flores, González, Nguyen and Peters

 

CHAPTER 265

 

[Approved: June 2, 2021]

 

AN ACT relating to public accommodations; expanding the definition of “place of public accommodation” to include a business which offers goods or services to the general public in this State through an Internet website, mobile application or other electronic medium and which is not operated in conjunction with a physical location which is open to the public; exempting certain online forums from the applicability of provisions governing places of public accommodation; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law provides that all persons have the right to the full and equal enjoyment of the goods, services, facilities, privileges, advantages and accommodations of any place of public accommodation without discrimination or segregation based on race, color, religion, national origin, disability, sexual orientation, sex or gender identity or expression. (NRS 651.070) A person who withholds, denies or deprives any other person of this right, intimidates, threatens or coerces any other person for the purpose of interfering with this right or punishes any other person for exercising this right is guilty of a misdemeanor and is liable to the person for damages. (NRS 651.080, 651.090) Existing law defines “place of public accommodation” to include certain specified establishments and places and any other establishment or place to which the public is invited or which is intended for public use. (NRS 651.050) Section 1 of this bill expands the definition of “place of public accommodation” to include any online establishment, which is defined in section 1 as a business, whether or not conducted for profit, which offers goods or services to the general public in this State through an Internet website, mobile application or other electronic medium and which is not operated in conjunction with a physical location which is open to the public.

      Existing law exempts from the provisions governing places of public accommodation certain private clubs and other establishments not in fact open to the public. (NRS 651.060) Section 2 of this bill additionally exempts from such provisions a private online discussion forum, which is defined in section 2 to mean an online forum with not more than 1,000 members that is operated for the primary purpose of allowing its members to exercise their constitutionally protected right of expressive association and whose operator does not regularly receive certain payments from nonmembers.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 651.050 is hereby amended to read as follows:

      651.050  As used in NRS 651.050 to 651.110, inclusive, unless the context otherwise requires:

      1.  “Disability” means, with respect to a person:

      (a) A physical or mental impairment that substantially limits one or more of the major life activities of the person;

 


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ê2021 Statutes of Nevada, Page 1390 (CHAPTER 265, AB 207)ê

 

      (b) A record of such an impairment; or

      (c) Being regarded as having such an impairment.

      2.  “Gender identity or expression” means a gender-related identity, appearance, expression or behavior of a person, regardless of the person’s assigned sex at birth.

      3.  “Online establishment” means a business, whether or not conducted for profit, which:

      (a) Offers goods or services to the general public in this State through an Internet website, mobile application or other electronic medium; and

      (b) Is not operated in conjunction with a physical location which is open to the public.

      4.  “Place of public accommodation” means:

      (a) Any inn, hotel, motel or other establishment which provides lodging to transient guests, except an establishment located within a building which contains not more than five rooms for rent or hire and which is actually occupied by the proprietor of the establishment as the proprietor’s residence;

      (b) Any restaurant, bar, cafeteria, lunchroom, lunch counter, soda fountain, casino or any other facility where food or spirituous or malt liquors are sold, including any such facility located on the premises of any retail establishment;

      (c) Any gasoline station;

      (d) Any motion picture house, theater, concert hall, sports arena or other place of exhibition or entertainment;

      (e) Any auditorium, convention center, lecture hall, stadium or other place of public gathering;

      (f) Any bakery, grocery store, clothing store, hardware store, shopping center or other sales or rental establishment;

      (g) Any laundromat, dry cleaner, bank, barber shop, beauty shop, travel service, shoe repair service, funeral parlor, office of an accountant or lawyer, pharmacy, insurance office, office of a provider of health care, hospital or other service establishment;

      (h) Any terminal, depot or other station used for specified public transportation;

      (i) Any museum, library, gallery or other place of public display or collection;

      (j) Any park, zoo, amusement park or other place of recreation;

      (k) Any nursery, private school or university or other place of education;

      (l) Any day care center, senior citizen center, homeless shelter, food bank, adoption agency or other social service establishment;

      (m) Any gymnasium, health spa, bowling alley, golf course or other place of exercise or recreation;

      (n) Any other establishment or place to which the public is invited or which is intended for public use; [and]

      (o) Any establishment physically containing or contained within any of the establishments described in paragraphs (a) to (n), inclusive, which holds itself out as serving patrons of the described establishment [.

      4.]; and

      (p) Any online establishment.

      5.  “Sexual orientation” means having or being perceived as having an orientation for heterosexuality, homosexuality or bisexuality.

 


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ê2021 Statutes of Nevada, Page 1391 (CHAPTER 265, AB 207)ê

 

      Sec. 2. NRS 651.060 is hereby amended to read as follows:

      651.060  1.  The provisions of NRS 651.050 to 651.110, inclusive, do not apply to any private club , private online discussion forum or other establishment not in fact open to the public, except to the extent that the facilities of such establishment are made available to the customers or patrons of an establishment within the scope of NRS 651.050.

      2.  As used in this section, “private online discussion forum” means an online forum:

      (a) Which is operated for the primary purpose of allowing its members to exercise their constitutionally protected right of expressive association;

      (b) Which has not more than 1,000 members; and

      (c) The operator of which does not regularly receive payment, directly or indirectly, from or on behalf of nonmembers for dues, fees, use of facilities or goods or services for the furtherance of trade or business.

________

CHAPTER 266, AB 214

Assembly Bill No. 214–Assemblywomen Considine and Krasner

 

Joint Sponsor: Senator Scheible

 

CHAPTER 266

 

[Approved: June 2, 2021]

 

AN ACT relating to sexual assault; revising the definition of sexual assault by replacing gendered language with gender-neutral language; requiring the Advisory Commission on the Administration of Justice to appoint a subcommittee to conduct an interim study concerning sexual assault and to make a report to the Advisory Commission; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law provides that a person is guilty of sexual assault if he or she: (1) subjects another person to sexual penetration, or forces another person to make a sexual penetration on himself or herself or another, or on a beast, against the will of the victim or under conditions in which the perpetrator knows or should know that the victim is mentally or physically incapable of resisting or understanding the nature of his or her conduct; or (2) commits a sexual penetration upon a child under the age of 14 years or causes a child under the age of 14 years to make a sexual penetration on himself or herself or another, or on a beast. (NRS 200.366) Section 1 of this bill revises the definition of sexual assault by replacing the gendered language in the statute with gender-neutral language.

      Existing law creates the Advisory Commission on the Administration of Justice and requires the Advisory Commission, among other duties, to evaluate and study the elements of this State’s system of criminal justice. (NRS 176.0123, 176.0125) Section 2 of this bill requires the Advisory Commission to appoint a subcommittee to conduct an interim study concerning sexual assault and to make a report to the Advisory Commission.

 


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ê2021 Statutes of Nevada, Page 1392 (CHAPTER 266, AB 214)ê

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 200.366 is hereby amended to read as follows:

      200.366  1.  A person is guilty of sexual assault if [he or she:] the person:

      (a) Subjects another person to sexual penetration, or forces another person to make a sexual penetration on [himself or herself] themselves or another, or on a beast, against the will of the victim or under conditions in which the perpetrator knows or should know that the victim is mentally or physically incapable of resisting or understanding the nature of [his or her] the perpetrator’s conduct; or

      (b) Commits a sexual penetration upon a child under the age of 14 years or causes a child under the age of 14 years to make a sexual penetration on [himself or herself] themselves or another, or on a beast.

      2.  Except as otherwise provided in subsections 3 and 4, a person who commits a sexual assault is guilty of a category A felony and shall be punished:

      (a) If substantial bodily harm to the victim results from the actions of the defendant committed in connection with or as a part of the sexual assault, by imprisonment in the state prison:

             (1) For life without the possibility of parole; or

             (2) For life with the possibility of parole, with eligibility for parole beginning when a minimum of 15 years has been served.

      (b) If no substantial bodily harm to the victim results, by imprisonment in the state prison for life with the possibility of parole, with eligibility for parole beginning when a minimum of 10 years has been served.

      3.  Except as otherwise provided in subsection 4, a person who commits a sexual assault against a child under the age of 16 years is guilty of a category A felony and shall be punished:

      (a) If the crime results in substantial bodily harm to the child, by imprisonment in the state prison for life without the possibility of parole.

      (b) Except as otherwise provided in paragraph (c), if the crime does not result in substantial bodily harm to the child, by imprisonment in the state prison for life with the possibility of parole, with eligibility for parole beginning when a minimum of 25 years has been served.

      (c) If the crime is committed against a child under the age of 14 years and does not result in substantial bodily harm to the child, by imprisonment in the state prison for life with the possibility of parole, with eligibility for parole beginning when a minimum of 35 years has been served.

      4.  A person who commits a sexual assault against a child under the age of 16 years and who has been previously convicted of:

      (a) A sexual assault pursuant to this section or any other sexual offense against a child; or

      (b) An offense committed in another jurisdiction that, if committed in this State, would constitute a sexual assault pursuant to this section or any other sexual offense against a child,

Ê is guilty of a category A felony and shall be punished by imprisonment in the state prison for life without the possibility of parole.

 


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ê2021 Statutes of Nevada, Page 1393 (CHAPTER 266, AB 214)ê

 

      5.  The provisions of this section do not apply to a person who is less than 18 years of age and who commits any of the acts described in paragraph (b) of subsection 1 if the person is not more than 2 years older than the person upon whom the act was committed unless:

      (a) The person committing the act uses force or threatens the use of force; or

      (b) The person committing the act knows or should know that the victim is mentally or physically incapable of resisting or understanding the nature of [his or her] the perpetrator’s conduct.

      6.  For the purpose of this section, “other sexual offense against a child” means any act committed by an adult upon a child constituting:

      (a) Incest pursuant to NRS 201.180;

      (b) Lewdness with a child pursuant to NRS 201.230;

      (c) Sado-masochistic abuse pursuant to NRS 201.262; or

      (d) Luring a child using a computer, system or network pursuant to NRS 201.560, if punished as a felony.

      Sec. 2.  1.  The Advisory Commission on the Administration of Justice created by NRS 176.0123 shall appoint a subcommittee to conduct an interim study concerning sexual assault, and make a report thereof.

      2.  The study and report must include, without limitation:

      (a) An evaluation of:

             (1) The laws governing sexual assault in this State;

             (2) The laws governing sexual assault in other states and territories of the United States; and

             (3) Any other matter that the Advisory Commission determines is relevant to the study.

      (b) Recommendations and input from attorneys, victims and any other stakeholders concerning necessary changes to the laws governing sexual assault in this State.

      3.  The subcommittee shall submit a report of the results of the study and any recommendations for legislation to the Advisory Commission not later than September 1, 2022.

      Sec. 3.  1.  This section and section 2 of this act become effective on July 1, 2021.

      2.  Section 1 of this act becomes effective on October 1, 2021.

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ê2021 Statutes of Nevada, Page 1394ê

 

CHAPTER 267, AB 222

Assembly Bill No. 222–Assemblywoman Torres

 

CHAPTER 267

 

[Approved: June 2, 2021]

 

AN ACT relating to employment; revising provisions governing periods of limitation in certain civil actions concerning unlawful employment practices; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Under existing law, if, after a complaint alleging an unfair employment practice is filed with the Nevada Equal Rights Commission, the Commission does not conclude that an unfair employment practice has occurred, the person alleging such a practice has occurred is authorized to bring a civil action in the district court for an order granting or restoring to that person the rights to which the person is entitled. (NRS 613.420) Existing law prohibits a person from bringing such a civil action more than 180 days after the act constituting the unfair employment practice occurred or more than 90 days after the receipt of a right-to-sue letter issued by the Commission, whichever is later. Existing law further provides that the 90-day and 180-day periods of limitation are tolled during the pendency of the complaint before the Commission. (NRS 613.430) This bill extends the coverage of those provisions to: (1) actions in the district court for the occurrence of unlawful employment practices prohibited under Title VII of the Civil Rights Act of 1964; (2) issuance of right-to-sue letters by the federal Equal Employment Opportunity Commission; and (3) the tolling of the 90-day and 180-day periods of limitation during the pendency of a complaint before the federal Equal Employment Opportunity Commission.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Sections 1-3. (Deleted by amendment.)

      Sec. 4. NRS 613.430 is hereby amended to read as follows:

      613.430  To the extent consistent with federal law:

      1.  No action authorized by NRS 613.420 or Title VII of the Civil Rights Act of 1964, 42 U.S.C. §§ 2000e et seq., may be brought:

      (a) More than 180 days after the date of the act complained of; or

      (b) More than 90 days after the date of the:

             (1) Issuance of the letter described in subsection 1 of NRS 613.420; or

             (2) Receipt of the right-to-sue notice issued by the Nevada Equal Rights Commission pursuant to NRS 613.412 [,] or by the United States Equal Employment Opportunity Commission pursuant to 42 U.S.C. § 2000e-5(f)(1), as applicable,

Ê whichever is later.

      2.  When a complaint is filed with the Nevada Equal Rights Commission [,] or the United States Equal Employment Opportunity Commission, the limitation provided by this section is tolled as to any action authorized by NRS 613.420 or Title VII of the Civil Rights Act of 1964, 42 U.S.C.

 


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ê2021 Statutes of Nevada, Page 1395 (CHAPTER 267, AB 222)ê

 

authorized by NRS 613.420 or Title VII of the Civil Rights Act of 1964, 42 U.S.C. §§ 2000e et seq., during the pendency of the complaint before the Nevada Equal Rights Commission [.] or the United States Equal Employment Opportunity Commission, as applicable.

      Sec. 5.  This act becomes effective upon passage and approval.

________

CHAPTER 268, AB 237

Assembly Bill No. 237–Assemblywoman Jauregui

 

CHAPTER 268

 

[Approved: June 2, 2021]

 

AN ACT relating to real property; establishing a process for the Real Estate Division of the Department of Business and Industry to investigate complaints alleging violations of provisions governing certain fees which may be imposed or charged by a unit-owners’ association for a common-interest community; revising provisions pertaining to the applicability of certain provisions of law governing the creation, alteration and termination of common-interest communities; prohibiting a unit-owners’ association from imposing or charging certain fees other than or in excess of those that the association is expressly authorized or required by statute to impose or charge; increasing the cost of a demand or intent to lien letter; revising provisions relating to the exemption from providing certain information in the case of certain dispositions of a unit in a common-interest community; requiring certain notice to be provided for a foreclosure sale; revising provisions relating to the sale of real property consisting of several lots or parcels; revising provisions regarding the ascertainment of title of real property to be partitioned; making certain technical changes and removing certain obsolete provisions; revising provisions concerning instruments that subordinate or waive priority of a mortgage or deed of trust of, lien upon or interest in real property; revising provisions relating to certain liens on real property; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law authorizes a unit-owners’ association for a common-interest community to charge certain fees for opening or closing a file relating to a unit and preparing a certificate containing certain information which is required to be provided by a unit’s owner or his or her authorized agent to a purchaser in a resale package. (NRS 116.3102, 116.4109) Section 5.5 of this bill: (1) provides for an inflationary adjustment of the maximum amount of the fee that may be imposed for opening or closing a file relating to a unit; and (2) prohibits the imposition of a fee for those services other than or in excess of the authorized fees. Section 7.2 of this bill: (1) establishes a statutory maximum fee which may be charged for a certificate containing certain information which is required in a resale package; and (2) prohibits the imposition of a fee for providing such a certificate or related services other than or in excess of the authorized fees. Section 1.5 of this bill establishes a process for the Real Estate Division of the Department of Business and Industry to investigate complaints alleging violations of the fee provisions and imposes administrative fines for such violations.

 


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ê2021 Statutes of Nevada, Page 1396 (CHAPTER 268, AB 237)ê

 

complaints alleging violations of the fee provisions and imposes administrative fines for such violations. Sections 7.4-7.8 of this bill make conforming changes to indicate the placement of section 1.5 within the Nevada Revised Statutes.

      Existing law provides that chapter 116 of NRS, which pertains to common-interest ownership, generally applies to all common-interest communities created within this State, however the provisions of chapter 116 of NRS do not require a common-interest community created before January 1, 1992, to comply with certain provisions governing the creation, alteration and termination of common-interest communities. (NRS 116.1201) Existing law also provides that the provisions of chapter 116 of NRS do not apply to nonresidential condominiums or nonresidential planned communities except in certain circumstances, including when the declaration of such a condominium or planned community provides that only certain provisions governing the creation, alteration and termination of common-interest communities and certain other provisions apply to the condominium or planned community. (NRS 116.12075, 116.12077) Sections 2, 4 and 5 of this bill revise such provisions to include a reference to all provisions governing the creation, alteration and termination of common-interest communities.

      Existing law authorizes a unit’s owner, his or her authorized agent or the holder of a security interest on the unit to request a statement of demand from an association, which the association is required to provide not later than 10 days after receipt of the request. Existing law authorizes an association to charge a fee of not more than $165 to prepare and provide such a statement. (NRS 116.4109) Existing law also provides that, with regard to enforcing an association’s lien against a unit, the cost for a demand or intent to lien letter must not exceed $150. (NRS 116.3116) Section 6 of this bill increases such an amount to $165 to conform with the amount an association is authorized to charge to prepare and provide a statement of demand.

      Existing law generally requires a unit’s owner whose unit is being sold, or his or her authorized agent, to provide to a purchaser a resale package containing certain information. Existing law requires an association, upon request by a unit’s owner or his or her authorized agent, to provide to the unit’s owner or his or her authorized agent certain documents for inclusion in a resale package, including a certificate that contains information necessary to enable the unit’s owner to provide information required to be included in the resale package. (NRS 116.4109) Existing law provides that a public offering statement and such a certificate do not need to be prepared or delivered in the case of certain dispositions of a unit. (NRS 116.4101) Section 7 of this bill instead provides that a public offering statement and the entire resale package do not need to be prepared or delivered in the case of such dispositions of a unit.

      Existing law establishes certain specific requirements for providing notice of a sale of property on execution and additional requirements for a sale of property that is a residential foreclosure, which is the sale by foreclosure of a single family residence comprised of not more than four units. (NRS 21.130) Section 8 of this bill additionally requires that in the case of a foreclosure sale, which is the sale by foreclosure of any real property, notice must be given to: (1) each person who has recorded a request for a copy of a notice of default or notice of sale with respect to the mortgage or other lien being foreclosed; (2) each other person with an interest in the real property whose interest or claimed interest is subordinate to the mortgage or other lien being foreclosed; and (3) an association that has recorded a request for a copy of a deed upon a foreclosure sale.

      Existing law establishes certain requirements for the sale of real property that consists of several known lots or parcels. (NRS 21.150) Section 9 of this bill provides that such requirements do not apply to the foreclosure of a mortgage or other lien upon real estate.

      Existing law establishes provisions relating to an abstract of title concerning real property to be partitioned, which must be verified by the affidavit of the person making the abstract of title. (NRS 39.180, 39.190) Section 10 of this bill instead requires a court, to the extent necessary to grant appropriate relief, to ascertain the state of the title to the property to be partitioned pursuant to the report of a title company in which the title company certifies that it has issued a guarantee for the benefit of the plaintiff or defendant and that lists the names of each owner of record of the property and each holder of record of certain security interests in the property.

 


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ê2021 Statutes of Nevada, Page 1397 (CHAPTER 268, AB 237)ê

 

benefit of the plaintiff or defendant and that lists the names of each owner of record of the property and each holder of record of certain security interests in the property. Section 11 of this bill authorizes any such guarantee issued by a title company that is incorrect to be corrected under the direction of the court.

      Existing law generally provides that there can only be one action for the recovery of any debt or the enforcement of any right secured by a mortgage or other lien upon real estate, but specifies that such an action does not include any act or proceeding for the exercise of any right or remedy authorized by the Uniform Commercial Code. (NRS 40.430) Section 12 of this bill makes a technical change to include a reference to additional articles of the Uniform Commercial Code as codified in the Nevada Revised Statutes.

      Sections 13 and 14 of this bill remove obsolete provisions regarding certain mortgages of personal property or crops from the provisions of law relating to the recording of assignments of mortgages and the subordination or waiver of priority of mortgages and other interests in real property. Section 14 also provides that an instrument that subordinates or waives priority of a mortgage or deed of trust of, lien upon or interest in real property is not enforceable in connection with a foreclosure or a trustee’s sale until it is recorded.

      Existing law authorizes a deed of trust to adopt by reference certain covenants, agreements, obligations, rights and remedies. (NRS 107.030) Section 15 of this bill makes a technical change to provide uniformity in the language used in the covenants.

      Existing law requires every owner of property who records a notice of waiver of owners’ rights with the county recorder of the county in which the property is located before the commencement of construction of a work of improvement on the property to serve such notice on any prime contractor of the work of improvement and all other lien claimants who give the owner a notice of right to lien within 10 days after: (1) the owner’s receipt of a notice to lien; or (2) the date on which the notice of waiver is recorded with the county recorder. (NRS 108.2405) Section 16 of this bill provides that the 10-day time limitation applies to whichever of the two events occurs later.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. (Deleted by amendment.)

      Sec. 1.5. Chapter 116 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  Notwithstanding the provisions of NRS 116.745 to 116.795, inclusive, a person who is aggrieved by an alleged violation of subsection 6 of NRS 116.3102 or subsection 8 of NRS 116.4109 may file with the Division a written complaint that sets forth the facts constituting the alleged violation. The complaint may allege any actual damages suffered by the aggrieved person as a result of the alleged violation.

      2.  The Division shall:

      (a) Review a complaint filed pursuant to subsection 1 in a timely manner.

      (b) If circumstances warrant, issue to the person who is alleged to have committed the violation a notice requesting a written response and proof of corrective action, including, without limitation, the reimbursement of any excessive fees to the aggrieved person.

      3.  Failure to respond to a notice issued pursuant to paragraph (b) of subsection 2 within 30 days after receipt of the notice:

 


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ê2021 Statutes of Nevada, Page 1398 (CHAPTER 268, AB 237)ê

 

      (a) Shall be deemed to be an admission of the violation; and

      (b) Is punishable by an administrative fine in the amount of $250.

      Sec. 2. NRS 116.1201 is hereby amended to read as follows:

      116.1201  1.  Except as otherwise provided in this section and NRS 116.1203, this chapter applies to all common-interest communities created within this State.

      2.  This chapter does not apply to:

      (a) A limited-purpose association, except that a limited-purpose association:

             (1) Shall pay the fees required pursuant to NRS 116.31155, except that if the limited-purpose association is created for a rural agricultural residential common-interest community, the limited-purpose association is not required to pay the fee unless the association intends to use the services of the Ombudsman;

             (2) Shall register with the Ombudsman pursuant to NRS 116.31158;

             (3) Shall comply with the provisions of:

                   (I) NRS 116.31038;

                   (II) NRS 116.31083 and 116.31152, unless the limited-purpose association is created for a rural agricultural residential common-interest community;

                   (III) NRS 116.31073, if the limited-purpose association is created for maintaining the landscape of the common elements of the common-interest community; and

                   (IV) NRS 116.31075, if the limited-purpose association is created for a rural agricultural residential common-interest community;

             (4) Shall comply with the provisions of NRS 116.4101 to 116.412, inclusive, as required by the regulations adopted by the Commission pursuant to paragraph (b) of subsection 5; and

             (5) Shall not enforce any restrictions concerning the use of units by the units’ owners, unless the limited-purpose association is created for a rural agricultural residential common-interest community.

      (b) Common-interest communities or units located outside of this State, but NRS 116.4102 and 116.4103, and, to the extent applicable, NRS 116.41035 to 116.4107, inclusive, apply to a contract for the disposition of a unit in that common-interest community signed in this State by any party unless exempt under subsection 2 of NRS 116.4101.

      (c) A common-interest community that was created before January 1, 1992, is located in a county whose population is less than 55,000, and has less than 50 percent of the units within the community put to residential use, unless a majority of the units’ owners otherwise elect in writing.

      (d) Except as otherwise provided in this chapter, time shares governed by the provisions of chapter 119A of NRS.

      3.  The provisions of this chapter do not:

      (a) Prohibit a common-interest community created before January 1, 1992, from providing for separate classes of voting for the units’ owners;

      (b) Require a common-interest community created before January 1, 1992, to comply with the provisions of NRS 116.2101 to [116.2122,] 116.2124, inclusive;

      (c) Invalidate any assessments that were imposed on or before October 1, 1999, by a common-interest community created before January 1, 1992;

      (d) Except as otherwise provided in subsection 8 of NRS 116.31105, prohibit a common-interest community created before January 1, 1992, or a common-interest community described in NRS 116.31105 from providing for a representative form of government, except that, in the election or removal of a member of the executive board, the voting rights of the units’ owners may not be exercised by delegates or representatives;

 


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ê2021 Statutes of Nevada, Page 1399 (CHAPTER 268, AB 237)ê

 

common-interest community described in NRS 116.31105 from providing for a representative form of government, except that, in the election or removal of a member of the executive board, the voting rights of the units’ owners may not be exercised by delegates or representatives;

      (e) Prohibit a master association which governs a time-share plan created pursuant to chapter 119A of NRS from providing for a representative form of government for the time-share plan; or

      (f) Prohibit a master association which governs a planned community containing both units that are restricted exclusively to nonresidential use and other units that are not so restricted and which is exempt from the provisions of this chapter pursuant to subsection 2 of NRS 116.12077 from providing for a representative form of government.

      4.  The provisions of chapters 117 and 278A of NRS do not apply to common-interest communities.

      5.  The Commission shall establish, by regulation:

      (a) The criteria for determining whether an association, a limited-purpose association or a common-interest community satisfies the requirements for an exemption or limited exemption from any provision of this chapter; and

      (b) The extent to which a limited-purpose association must comply with the provisions of NRS 116.4101 to 116.412, inclusive.

      6.  As used in this section, “limited-purpose association” means an association that:

      (a) Is created for the limited purpose of maintaining:

             (1) The landscape of the common elements of a common-interest community;

             (2) Facilities for flood control; or

             (3) A rural agricultural residential common-interest community; and

      (b) Is not authorized by its governing documents to enforce any restrictions concerning the use of units by units’ owners, unless the limited-purpose association is created for a rural agricultural residential common-interest community.

      Sec. 3.  (Deleted by amendment.)

      Sec. 4. NRS 116.12075 is hereby amended to read as follows:

      116.12075  1.  The provisions of this chapter do not apply to a nonresidential condominium except to the extent that the declaration for the nonresidential condominium provides that:

      (a) This entire chapter applies to the condominium;

      (b) Only the provisions of NRS 116.001 to [116.2122,] 116.2124, inclusive, and 116.3116 to 116.31168, inclusive, apply to the condominium; or

      (c) Only the provisions of NRS 116.3116 to 116.31168, inclusive, apply to the condominium.

      2.  If this entire chapter applies to a nonresidential condominium, the declaration may also require, subject to NRS 116.1112, that:

      (a) Notwithstanding NRS 116.3105, any management, maintenance operations or employment contract, lease of recreational or parking areas or facilities and any other contract or lease between the association and a declarant or an affiliate of a declarant continues in force after the declarant turns over control of the association; and

      (b) Notwithstanding NRS 116.1104 and subsection 3 of NRS 116.311, purchasers of units must execute proxies, powers of attorney or similar devices in favor of the declarant regarding particular matters enumerated in those instruments.

 


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ê2021 Statutes of Nevada, Page 1400 (CHAPTER 268, AB 237)ê

 

      Sec. 5. NRS 116.12077 is hereby amended to read as follows:

      116.12077  1.  The provisions of this chapter do not apply to a planned community in which all units are restricted exclusively to nonresidential use unless the declaration provides that this chapter or a part of this chapter does apply to that planned community pursuant to this section.

      2.  This chapter applies to a planned community containing both units that are restricted exclusively to nonresidential use and other units that are not so restricted only if the declaration so provides or if the real estate comprising the units that may be used for residential purposes would be a planned community in the absence of the units that may not be used for residential purposes.

      3.  The declaration for the nonresidential planned community may provide that:

      (a) This entire chapter applies to the planned community;

      (b) Only the provisions of NRS 116.001 to [116.2122,] 116.2124, inclusive, and 116.3116 to 116.31168, inclusive, apply to the planned community; or

      (c) Only the provisions of NRS 116.3116 to 116.31168, inclusive, apply to the planned community.

      4.  If this entire chapter applies to a nonresidential planned community pursuant to subsection 3, the declaration may also require, subject to NRS 116.1112, that:

      (a) Notwithstanding NRS 116.3105, any management, maintenance operations or employment contract, lease of recreational or parking areas or facilities and any other contract or lease between the association and a declarant or an affiliate of a declarant continues in force after the declarant turns over control of the association; and

      (b) Notwithstanding NRS 116.1104 and subsection 3 of NRS 116.311, purchasers of units must execute proxies, powers of attorney or similar devices in favor of the declarant regarding particular matters enumerated in those instruments.

      Sec. 5.5. NRS 116.3102 is hereby amended to read as follows:

      116.3102  1.  Except as otherwise provided in this chapter, and subject to the provisions of the declaration, the association:

      (a) Shall adopt and, except as otherwise provided in the bylaws, may amend bylaws and may adopt and amend rules and regulations.

      (b) Shall adopt and may amend budgets in accordance with the requirements set forth in NRS 116.31151, may collect assessments for common expenses from the units’ owners and may invest funds of the association in accordance with the requirements set forth in NRS 116.311395.

      (c) May hire and discharge managing agents and other employees, agents and independent contractors.

      (d) May institute, defend or intervene in litigation or in arbitration, mediation or administrative proceedings in its own name on behalf of itself or two or more units’ owners on matters affecting the common-interest community. The association may not institute, defend or intervene in litigation or in arbitration, mediation or administrative proceedings in its own name on behalf of itself or units’ owners with respect to an action for a constructional defect pursuant to NRS 40.600 to 40.695, inclusive, unless the action pertains to:

             (1) Common elements;

             (2) Any portion of the common-interest community that the association owns; or

 


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ê2021 Statutes of Nevada, Page 1401 (CHAPTER 268, AB 237)ê

 

             (3) Any portion of the common-interest community that the association does not own but has an obligation to maintain, repair, insure or replace because the governing documents of the association expressly make such an obligation the responsibility of the association.

      (e) May make contracts and incur liabilities. Any contract between the association and a private entity for the furnishing of goods or services must not include a provision granting the private entity the right of first refusal with respect to extension or renewal of the contract.

      (f) May regulate the use, maintenance, repair, replacement and modification of common elements.

      (g) May cause additional improvements to be made as a part of the common elements.

      (h) May acquire, hold, encumber and convey in its own name any right, title or interest to real estate or personal property, but:

             (1) Common elements in a condominium or planned community may be conveyed or subjected to a security interest only pursuant to NRS 116.3112; and

             (2) Part of a cooperative may be conveyed, or all or part of a cooperative may be subjected to a security interest, only pursuant to NRS 116.3112.

      (i) May grant easements, leases, licenses and concessions through or over the common elements.

      (j) May impose and receive any payments, fees or charges for the use, rental or operation of the common elements, other than limited common elements described in subsections 2 and 4 of NRS 116.2102, and for services provided to the units’ owners, including, without limitation, any services provided pursuant to NRS 116.310312.

      (k) May impose charges for late payment of assessments pursuant to NRS 116.3115.

      (l) May impose construction penalties when authorized pursuant to NRS 116.310305.

      (m) May impose reasonable fines for violations of the governing documents of the association only if the association complies with the requirements set forth in NRS 116.31031.

      (n) May impose reasonable charges for the preparation and recordation of any amendments to the declaration or any statements of unpaid assessments, and impose reasonable fees, not to exceed the amounts authorized by NRS 116.4109, for preparing and furnishing the documents and certificate required by that section.

      (o) May impose a reasonable fee for opening or closing any file for each unit. Such a fee:

             (1) Must be based on the actual cost the association incurs to open or close any file.

             (2) Must not exceed $350. Beginning on January 1, 2022, the monetary amount in this subparagraph must be adjusted for each calendar year by adding to each amount the product of the amount multiplied by the percentage increase in the Consumer Price Index (All Items) published by the United States Department of Labor from December 2020 to the December preceding the calendar year for which the adjustment is calculated, but must not increase by more than 3 percent each year.

             (3) Must not be charged to both the seller and the purchaser of a unit.

 


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             (4) Except as otherwise provided in this subparagraph and subject to the limitation set forth in subparagraph (2), may increase, on an annual basis, by a percentage equal to the percentage of increase in the Consumer Price Index (All Items) published by the United States Department of Labor for the preceding calendar year. The fee must not increase by more than 3 percent each year.

      (p) May provide for the indemnification of its officers and executive board and maintain directors and officers liability insurance.

      (q) May assign its right to future income, including the right to receive assessments for common expenses, but only to the extent the declaration expressly so provides.

      (r) May exercise any other powers conferred by the declaration or bylaws.

      (s) May exercise all other powers that may be exercised in this State by legal entities of the same type as the association.

      (t) May direct the removal of vehicles improperly parked on property owned or leased by the association, as authorized pursuant to NRS 487.038, or improperly parked on any road, street, alley or other thoroughfare within the common-interest community in violation of the governing documents. In addition to complying with the requirements of NRS 487.038 and any requirements in the governing documents, if a vehicle is improperly parked as described in this paragraph, the association must post written notice in a conspicuous place on the vehicle or provide oral or written notice to the owner or operator of the vehicle at least 48 hours before the association may direct the removal of the vehicle, unless the vehicle:

             (1) Is blocking a fire hydrant, fire lane or parking space designated for the handicapped; or

             (2) Poses an imminent threat of causing a substantial adverse effect on the health, safety or welfare of the units’ owners or residents of the common-interest community.

      (u) May exercise any other powers necessary and proper for the governance and operation of the association.

      2.  The declaration may not limit the power of the association to deal with the declarant if the limit is more restrictive than the limit imposed on the power of the association to deal with other persons.

      3.  The executive board may determine whether to take enforcement action by exercising the association’s power to impose sanctions or commence an action for a violation of the declaration, bylaws or rules, including whether to compromise any claim for unpaid assessments or other claim made by or against it. The executive board does not have a duty to take enforcement action if it determines that, under the facts and circumstances presented:

      (a) The association’s legal position does not justify taking any or further enforcement action;

      (b) The covenant, restriction or rule being enforced is, or is likely to be construed as, inconsistent with current law;

      (c) Although a violation may exist or may have occurred, it is not so material as to be objectionable to a reasonable person or to justify expending the association’s resources; or

      (d) It is not in the association’s best interests to pursue an enforcement action.

 


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      4.  The executive board’s decision under subsection 3 not to pursue enforcement under one set of circumstances does not prevent the executive board from taking enforcement action under another set of circumstances, but the executive board may not be arbitrary or capricious in taking enforcement action.

      5.  Notwithstanding any provision of this chapter or the governing documents to the contrary, an association may not impose any assessment pursuant to this chapter or the governing documents on the owner of any property in the common-interest community that is exempt from taxation pursuant to NRS 361.125. For the purposes of this subsection, “assessment” does not include any charge for any utility services, including, without limitation, telecommunications, broadband communications, cable television, electricity, natural gas, sewer services, garbage collection, water or for any other service which is delivered to and used or consumed directly by the property in the common-interest community that is exempt from taxation pursuant to NRS 361.125.

      6.  In providing any service or performing any act set forth in paragraph (n) or (o) of subsection 1, an association, or entity related to or acting on behalf of an association, shall not impose on a unit’s owner, the authorized agent of a unit’s owner, a purchaser or, pursuant to subsection 7 of NRS 116.4109, the holder of a security interest on a unit, a fee:

      (a) Not authorized in paragraph (n) or (o), as applicable, of subsection 1; or

      (b) In an amount which exceeds any limitation provided or set forth in paragraph (n) or (o), as applicable, of subsection 1.

      Sec. 6. NRS 116.3116 is hereby amended to read as follows:

      116.3116  1.  The association has a lien on a unit for any construction penalty that is imposed against the unit’s owner pursuant to NRS 116.310305, any assessment levied against that unit or any fines imposed against the unit’s owner from the time the construction penalty, assessment or fine becomes due. Unless the declaration otherwise provides, any penalties, fees, charges, late charges, fines and interest charged pursuant to paragraphs (j) to (o), inclusive, of subsection 1 of NRS 116.3102 and any costs of collecting a past due obligation charged pursuant to NRS 116.310313 are enforceable as assessments under this section. If an assessment is payable in installments, the full amount of the assessment is a lien from the time the first installment thereof becomes due.

      2.  A lien under this section is prior to all other liens and encumbrances on a unit except:

      (a) Liens and encumbrances recorded before the recordation of the declaration and, in a cooperative, liens and encumbrances which the association creates, assumes or takes subject to;

      (b) A first security interest on the unit recorded before the date on which the assessment sought to be enforced became delinquent or, in a cooperative, the first security interest encumbering only the unit’s owner’s interest and perfected before the date on which the assessment sought to be enforced became delinquent, except that a lien under this section is prior to a security interest described in this paragraph to the extent set forth in subsection 3;

      (c) Liens for real estate taxes and other governmental assessments or charges against the unit or cooperative; and

      (d) Liens for any fee or charge levied pursuant to subsection 1 of NRS 444.520.

 


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      3.  A lien under this section is prior to all security interests described in paragraph (b) of subsection 2 to the extent of:

      (a) Any charges incurred by the association on a unit pursuant to NRS 116.310312;

      (b) The unpaid amount of assessments, not to exceed an amount equal to assessments for common expenses based on the periodic budget adopted by the association pursuant to NRS 116.3115 which would have become due in the absence of acceleration during the 9 months immediately preceding the date on which the notice of default and election to sell is recorded pursuant to paragraph (b) of subsection 1 of NRS 116.31162; and

      (c) The costs incurred by the association to enforce the lien in an amount not to exceed the amounts set forth in subsection 5,

Ê unless federal regulations adopted by the Federal Home Loan Mortgage Corporation or the Federal National Mortgage Association require a shorter period of priority for the lien. If federal regulations adopted by the Federal Home Loan Mortgage Corporation or the Federal National Mortgage Association require a shorter period of priority for the lien, the period during which the lien is prior to all security interests described in paragraph (b) of subsection 2 must be determined in accordance with those federal regulations, except that notwithstanding the provisions of the federal regulations, the period of priority for the lien must not be less than the 6 months immediately preceding the recording of a notice of default and election to sell pursuant to paragraph (b) of subsection 1 of NRS 116.31162 or the institution of a judicial action to enforce the lien.

      4.  This section does not affect the priority of mechanics’ or materialmen’s liens, or the priority of liens for other assessments made by the association.

      5.  The amount of the costs of enforcing the association’s lien that are prior to the security interest described in paragraph (b) of subsection 2 must not exceed the actual costs incurred by the association, must not include more than one trustee’s sale guaranty and must not exceed:

      (a) For a demand or intent to lien letter, [$150.] $165.

      (b) For a notice of delinquent assessment, $325.

      (c) For an intent to record a notice of default letter, $90.

      (d) For a notice of default, $400.

      (e) For a trustee’s sale guaranty, $400.

Ê No costs of enforcing the association’s lien, other than the costs described in this subsection, and no amount of attorney’s fees may be included in the amount of the association’s lien that is prior to the security interest described in paragraph (b) of subsection 2.

      6.  Notwithstanding any other provision of law, an association, or member of the executive board, officer, employee or unit’s owner of the association, acting under the authority of this chapter or the governing documents of the association, or the community manager of the association, or any employee, agent or affiliate of the community manager, while engaged in the management of the common-interest community governed by the association, is not required to be licensed as a collection agency pursuant to chapter 649 of NRS or hire or contract with a collection agency licensed pursuant to chapter 649 of NRS to collect amounts due to the association in accordance with subsection 1 before the recording of a notice of default and election to sell pursuant to paragraph (b) of subsection 1 of NRS 116.31162.

 


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      7.  The holder of the security interest described in paragraph (b) of subsection 2 or the holder’s authorized agent may establish an escrow account, loan trust account or other impound account for advance contributions for the payment of assessments for common expenses based on the periodic budget adopted by the association pursuant to NRS 116.3115 if the unit’s owner and the holder of that security interest consent to the establishment of such an account. If such an account is established, payments from the account for assessments for common expenses must be made in accordance with the same due dates as apply to payments of such assessments by a unit’s owner.

      8.  Unless the declaration otherwise provides, if two or more associations have liens for assessments created at any time on the same property, those liens have equal priority.

      9.  Recording of the declaration constitutes record notice and perfection of the lien. No further recordation of any claim of lien for assessment under this section is required.

      10.  A lien for unpaid assessments is extinguished unless a notice of default and election to sell is recorded as required by paragraph (b) of subsection 1 of NRS 116.31162, or judicial proceedings to enforce the lien are instituted, within 3 years after the full amount of the assessments becomes due.

      11.  This section does not prohibit actions to recover sums for which subsection 1 creates a lien or prohibit an association from taking a deed in lieu of foreclosure.

      12.  A judgment or decree in any action brought under this section must include costs and reasonable attorney’s fees for the prevailing party.

      13.  The association, upon written request, shall furnish to a unit’s owner a statement setting forth the amount of unpaid assessments against the unit. If the interest of the unit’s owner is real estate or if a lien for the unpaid assessments may be foreclosed under NRS 116.31162 to 116.31168, inclusive, the statement must be in recordable form. The statement must be furnished within 10 business days after receipt of the request and is binding on the association, the executive board and every unit’s owner.

      14.  In a cooperative, upon nonpayment of an assessment on a unit, the unit’s owner may be evicted in the same manner as provided by law in the case of an unlawful holdover by a commercial tenant, and:

      (a) In a cooperative where the owner’s interest in a unit is real estate under NRS 116.1105, the association’s lien may be foreclosed under NRS 116.31162 to 116.31168, inclusive.

      (b) In a cooperative where the owner’s interest in a unit is personal property under NRS 116.1105, the association’s lien:

             (1) May be foreclosed as a security interest under NRS 104.9101 to 104.9709, inclusive; or

             (2) If the declaration so provides, may be foreclosed under NRS 116.31162 to 116.31168, inclusive.

      15.  In an action by an association to collect assessments or to foreclose a lien created under this section, the court may appoint a receiver to collect all rents or other income from the unit alleged to be due and owing to a unit’s owner before commencement or during pendency of the action. The receivership is governed by chapter 32 of NRS. The court may order the receiver to pay any sums held by the receiver to the association during pendency of the action to the extent of the association’s common expense assessments based on a periodic budget adopted by the association pursuant to NRS 116.3115.

 


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pendency of the action to the extent of the association’s common expense assessments based on a periodic budget adopted by the association pursuant to NRS 116.3115.

      16.  Notwithstanding any other provision of law, any payment of an amount due to an association in accordance with subsection 1 by the holder of any lien or encumbrance on a unit that is subordinate to the association’s lien under this section becomes a debt due from the unit’s owner to the holder of the lien or encumbrance.

      Sec. 7. NRS 116.4101 is hereby amended to read as follows:

      116.4101  1.  NRS 116.4101 to 116.412, inclusive, apply to all units subject to this chapter, except as otherwise provided in subsection 2 or as modified or waived by agreement of purchasers of units in a common-interest community in which all units are restricted to nonresidential use.

      2.  Neither a public offering statement nor a [certificate of] resale package described in NRS 116.4109 need be prepared or delivered in the case of a:

      (a) Gratuitous disposition of a unit;

      (b) Disposition pursuant to court order;

      (c) Disposition by a government or governmental agency;

      (d) Disposition by foreclosure or deed in lieu of foreclosure;

      (e) Disposition to a dealer;

      (f) Disposition that may be cancelled at any time and for any reason by the purchaser without penalty;

      (g) Disposition of a unit in a planned community which contains no more than 12 units if:

             (1) The declarant reasonably believes in good faith that the maximum assessment stated in the declaration will be sufficient to pay the expenses of the planned community; and

             (2) The declaration cannot be amended to increase the assessment during the period of the declarant’s control without the consent of all units’ owners; or

      (h) Disposition of a unit restricted to nonresidential purposes.

      Sec. 7.2.NRS 116.4109 is hereby amended to read as follows:

      116.4109  1.  Except in the case of a sale in which delivery of a public offering statement is required, or unless exempt under subsection 2 of NRS 116.4101, a unit’s owner or his or her authorized agent shall, at the expense of the unit’s owner, furnish to a purchaser a resale package containing all of the following:

      (a) A copy of the declaration, other than any plats, the bylaws, the rules or regulations of the association and the information statement required by NRS 116.41095.

      (b) A statement from the association setting forth the amount of the monthly assessment for common expenses and any unpaid obligation of any kind, including, without limitation, management fees, transfer fees, fines, penalties, interest, collection costs, foreclosure fees and attorney’s fees currently due from the selling unit’s owner.

      (c) A copy of the current operating budget of the association and current year-to-date financial statement for the association, which must include a summary of the reserves of the association required by NRS 116.31152 and which must include, without limitation, a summary of the information described in paragraphs (a) to (e), inclusive, of subsection 3 of NRS 116.31152.

 


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      (d) A statement of any unsatisfied judgments or pending legal actions against the association and the status of any pending legal actions relating to the common-interest community of which the unit’s owner has actual knowledge.

      (e) A statement of any transfer fees, transaction fees or any other fees associated with the resale of a unit.

      (f) In addition to any other document, a statement describing all current and expected fees or charges for each unit, including, without limitation, association fees, fines, assessments, late charges or penalties, interest rates on delinquent assessments, additional costs for collecting past due fines and charges for opening or closing any file for each unit.

      2.  The purchaser may, by written notice, cancel the contract of purchase until midnight of the fifth calendar day following the date of receipt of the resale package described in subsection 1, and the contract for purchase must contain a provision to that effect. If the purchaser elects to cancel a contract pursuant to this subsection, the purchaser must hand deliver the notice of cancellation to the unit’s owner or his or her authorized agent, mail the notice of cancellation by prepaid United States mail to the unit’s owner or his or her authorized agent or deliver the notice of cancellation by electronic transmission to the unit’s owner or his or her authorized agent. Cancellation is without penalty, and all payments made by the purchaser before cancellation must be refunded promptly. If the purchaser has accepted a conveyance of the unit, the purchaser is not entitled to:

      (a) Cancel the contract pursuant to this subsection; or

      (b) Damages, rescission or other relief based solely on the ground that the unit’s owner or his or her authorized agent failed to furnish the resale package, or any portion thereof, as required by this section.

      3.  Within 10 calendar days after receipt of a written request by a unit’s owner or his or her authorized agent, the association shall furnish all of the following to the unit’s owner or his or her authorized agent for inclusion in the resale package:

      (a) Copies of the documents required pursuant to paragraphs (a) and (c) of subsection 1; and

      (b) A certificate containing the information necessary to enable the unit’s owner to comply with paragraphs (b), (d), (e) and (f) of subsection 1.

      4.  If the association furnishes the documents and certificate pursuant to subsection 3:

      (a) The unit’s owner or his or her authorized agent shall include the documents and certificate in the resale package provided to the purchaser, and neither the unit’s owner nor his or her authorized agent is liable to the purchaser for any erroneous information provided by the association and included in the documents and certificate.

      (b) The association may charge the unit’s owner a reasonable fee to cover the cost of preparing the certificate furnished pursuant to subsection 3. Such a fee must be based on the actual cost the association incurs to fulfill the requirements of this section in preparing the certificate [. The Commission shall adopt regulations establishing the maximum amount of the fee that an association may charge for preparing the certificate, which] and must not exceed $185, except that if a unit’s owner or an authorized agent thereof requests that the certificate be furnished sooner than 3 business days after the date of the request, the association may charge a fee [of up to the maximum amount established by the Commission] , which must not exceed $100, to expedite the preparation of the certificate.

 


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$100, to expedite the preparation of the certificate. The amount of the fee may increase, on an annual basis, by a percentage equal to the percentage of increase in the Consumer Price Index (All Items) published by the United States Department of Labor for the preceding calendar year, but must not increase by more than 3 percent each year.

      (c) The other documents furnished pursuant to subsection 3 must be provided in electronic format to the unit’s owner. If the association is unable to provide such documents in electronic format, the association may charge the unit’s owner a reasonable fee, not to exceed 25 cents per page for the first 10 pages, and 10 cents per page thereafter, to cover the cost of copying.

      (d) Except for the fees allowed pursuant to paragraphs (b) and (c), the association may not charge the unit’s owner any other fees for preparing or furnishing the documents and certificate pursuant to subsection 3.

      5.  Neither a purchaser nor the purchaser’s interest in a unit is liable for any unpaid assessment or fee greater than the amount set forth in the documents and certificate prepared by the association. If the association fails to furnish the documents and certificate within the 10 calendar days allowed by this section, the purchaser is not liable for the delinquent assessment. A resale package provided to a unit’s owner or his or her authorized agent pursuant to this section remains effective for 90 calendar days.

      6.  Upon the request of a unit’s owner or his or her authorized agent, or upon the request of a purchaser to whom the unit’s owner has provided a resale package pursuant to this section or his or her authorized agent, the association shall make the entire study of the reserves of the association which is required by NRS 116.31152 reasonably available for the unit’s owner, purchaser or authorized agent to inspect, examine, photocopy and audit. The study must be made available at the business office of the association or some other suitable location within the county where the common-interest community is situated or, if it is situated in more than one county, within one of those counties.

      7.  A unit’s owner, the authorized agent of the unit’s owner or the holder of a security interest on the unit may request a statement of demand from the association. Not later than 10 calendar days after receipt of a written request from the unit’s owner, the authorized agent of the unit’s owner or the holder of a security interest on the unit for a statement of demand, the association shall furnish a statement of demand to the person who requested the statement and provide a copy of the statement to any other interested party. The association may charge a fee of not more than $165 to prepare and furnish a statement of demand pursuant to this subsection and an additional fee of not more than $100 to furnish a statement of demand within 3 business days after receipt of a written request for a statement of demand. The amount of the fees for preparing and furnishing a statement of demand and the additional fee for furnishing a statement of demand within 3 business days may increase, on an annual basis, by a percentage equal to the percentage of increase in the Consumer Price Index (All Items) published by the United States Department of Labor for the preceding calendar year, but must not increase by more than 3 percent each year. The statement of demand:

      (a) Must set forth the amount of the monthly assessment for common expenses and any unpaid obligation of any kind, including, without limitation, management fees, transfer fees, fines, penalties, interest, collection costs, foreclosure fees and attorney’s fees currently due from the selling unit’s owner; and

 


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      (b) Remains effective for the period specified in the statement of demand, which must not be less than 15 business days after the date of delivery by the association to the unit’s owner, the authorized agent of the unit’s owner or the holder of a security interest on the unit, whichever is applicable.

Ê As used in this subsection, “interested party” includes the unit’s owner selling the unit and the prospective purchaser of the unit.

      8.  In preparing, copying, furnishing or expediting or otherwise providing any document or other item pursuant to this section, an association, or entity related to or acting on behalf of an association, shall not charge a unit’s owner, the authorized agent of a unit’s owner, a purchaser or, pursuant to subsection 7, the holder of a security interest on a unit, any fee:

      (a) Not authorized in this section; or

      (b) In an amount which exceeds any limit set forth in this section.

      9.  If the association becomes aware of an error in a statement of demand furnished pursuant to subsection 7 during the period in which the statement of demand is effective but before the consummation of a resale for which a resale package was furnished pursuant to subsection 1, the association must deliver a replacement statement of demand to the person who requested the statement of demand. Unless the person who requested the statement of demand receives a replacement statement of demand, the person may rely upon the accuracy of the information set forth in the statement of demand provided by the association for the resale. Payment of the amount set forth in the statement of demand constitutes full payment of the amount due from the selling unit’s owner.

      Sec. 7.4. NRS 116.745 is hereby amended to read as follows:

      116.745  As used in NRS 116.745 to 116.795, inclusive, and section 1.5 of this act, unless the context otherwise requires, “violation” means a violation of:

      1.  Any provision of this chapter except NRS 116.31184;

      2.  Any regulation adopted pursuant to this chapter; or

      3.  Any order of the Commission or a hearing panel.

      Sec. 7.6. NRS 116.750 is hereby amended to read as follows:

      116.750  1.  In carrying out the provisions of NRS 116.745 to 116.795, inclusive, and section 1.5 of this act, the Division and the Ombudsman have jurisdiction to investigate and the Commission and each hearing panel has jurisdiction to take appropriate action against any person who commits a violation, including, without limitation:

      (a) Any association and any officer, employee or agent of an association.

      (b) Any member of an executive board.

      (c) Any community manager who holds a certificate and any other community manager.

      (d) Any person who is registered as a reserve study specialist, or who conducts a study of reserves, pursuant to chapter 116A of NRS.

      (e) Any declarant or affiliate of a declarant.

      (f) Any unit’s owner.

      (g) Any tenant of a unit’s owner if the tenant has entered into an agreement with the unit’s owner to abide by the governing documents of the association and the provisions of this chapter and any regulations adopted pursuant thereto.

 


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      2.  The jurisdiction set forth in subsection 1 applies to any officer, employee or agent of an association or any member of an executive board who commits a violation and who:

      (a) Currently holds his or her office, employment, agency or position or who held the office, employment, agency or position at the commencement of proceedings against him or her.

      (b) Resigns his or her office, employment, agency or position:

             (1) After the commencement of proceedings against him or her; or

             (2) Within 1 year after the violation is discovered or reasonably should have been discovered.

      Sec. 7.8. NRS 116.755 is hereby amended to read as follows:

      116.755  1.  The rights, remedies and penalties provided by NRS 116.745 to 116.795, inclusive, and section 1.5 of this act are cumulative and do not abrogate and are in addition to any other rights, remedies and penalties that may exist at law or in equity.

      2.  If the Commission, a hearing panel or another agency or officer elects to take a particular action or pursue a particular remedy or penalty authorized by NRS 116.745 to 116.795, inclusive, and section 1.5 of this act or another specific statute, that election is not exclusive and does not preclude the Commission, the hearing panel or another agency or officer from taking any other actions or pursuing any other remedies or penalties authorized by NRS 116.745 to 116.795, inclusive, and section 1.5 of this act or another specific statute.

      3.  In carrying out the provisions of NRS 116.745 to 116.795, inclusive, and section 1.5 of this act, the Commission or a hearing panel shall not intervene in any internal activities of an association except to the extent necessary to prevent or remedy a violation.

      Sec. 8. NRS 21.130 is hereby amended to read as follows:

      21.130  1.  Before the sale of property on execution, notice of the sale, in addition to the notice required pursuant to NRS 21.075 and 21.076, must be given as follows:

      (a) In cases of perishable property, by posting written notice of the time and place of sale in three public places at the township or city where the sale is to take place, for such a time as may be reasonable, considering the character and condition of the property.

      (b) In case of other personal property, by posting a similar notice in three public places of the township or city where the sale is to take place, not less than 5 or more than 10 days before the sale, and, in case of sale on execution issuing out of a district court, by the publication of a copy of the notice in a newspaper, if there is one in the county, at least twice, the first publication being not less than 10 days before the date of the sale.

      (c) In case of real property, by:

             (1) Personal service upon each judgment debtor or by registered mail to the last known address of each judgment debtor and, if the property of the judgment debtor is operated as a facility licensed under chapter 449 of NRS, upon the State Board of Health;

             (2) Posting a similar notice particularly describing the property, for 20 days successively, in three public places of the township or city where the property is situated and where the property is to be sold;

             (3) Publishing a copy of the notice three times, once each week, for 3 successive weeks, in a newspaper, if there is one in the county. The cost of publication must not exceed the rate for legal advertising as provided in NRS 238.070.

 


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NRS 238.070. If the newspaper authorized by this section to publish the notice of sale neglects or refuses from any cause to make the publication, then the posting of notices as provided in this section shall be deemed sufficient notice. Notice of the sale of property on execution upon a judgment for any sum less than $500, exclusive of costs, must be given only by posting in three public places in the county, one of which must be the courthouse;

             (4) Recording a copy of the notice in the office of the county recorder; [and]

             (5) If the sale of property is a residential foreclosure, posting a copy of the notice in a conspicuous place on the property. In addition to the requirements of NRS 21.140, the notice must not be defaced or removed until the transfer of title is recorded or the property becomes occupied after completion of the sale, whichever is earlier [.] ; and

             (6) In the case of a foreclosure sale, depositing in the United States mail an envelope, registered or certified, return receipt requested and with postage prepaid, containing a copy of the notice, addressed to:

                   (I) Each person who, in accordance with subsection 1 of NRS 107.090, has recorded a request for a copy of a notice of default or notice of sale with respect to the mortgage or other lien being foreclosed;

                   (II) Each other person with an interest in the real property whose interest or claimed interest is subordinate to the mortgage or other lien being foreclosed; and

                   (III) An association that, pursuant to subsection 4 of NRS 107.090, has recorded a request for a copy of the deed upon a foreclosure sale.

      2.  If the sale of property is a residential foreclosure, the notice must include, without limitation:

      (a) The physical address of the property; and

      (b) The contact information of the party who is authorized to provide information relating to the foreclosure status of the property.

      3.  If the sale of property is a residential foreclosure, a separate notice must be posted in a conspicuous place on the property and mailed, with a certificate of mailing issued by the United States Postal Service or another mail delivery service, to any tenant or subtenant, if any, other than the judgment debtor, in actual occupation of the premises not later than 3 business days after the notice of the sale is given pursuant to subsection 1. The separate notice must be in substantially the following form:

 

NOTICE TO TENANTS OF THE PROPERTY

 

Foreclosure proceedings against this property have started, and a notice of sale of the property to the highest bidder has been issued.

 

You may either: (1) terminate your lease or rental agreement and move out; or (2) remain and possibly be subject to eviction proceedings under chapter 40 of the Nevada Revised Statutes. Any subtenants may also be subject to eviction proceedings.

 

Between now and the date of the sale, you may be evicted if you fail to pay rent or live up to your other obligations to the landlord.

 


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After the date of the sale, you may be evicted if you fail to pay rent or live up to your other obligations to the successful bidder, in accordance with chapter 118A of the Nevada Revised Statutes.

 

Under the Nevada Revised Statutes, eviction proceedings may begin against you after you have been given a notice to surrender.

 

If the property is sold and you pay rent by the week or another period of time that is shorter than 1 month, you should generally receive notice after not less than the number of days in that period of time.

 

If the property is sold and you pay rent by the month or any other period of time that is 1 month or longer, you should generally receive notice at least 60 days in advance.

 

Under Nevada Revised Statutes 40.280, notice must generally be served on you pursuant to chapter 40 of the Nevada Revised Statutes.

 

If the property is sold and a landlord, successful bidder or subsequent purchaser files an eviction action against you in court, you will be served with a summons and complaint and have the opportunity to respond. Eviction actions may result in temporary evictions, permanent evictions, the awarding of damages pursuant to Nevada Revised Statutes 40.360 or some combination of those results.

 

Under the Justice Court Rules of Civil Procedure:

       (1) You will be given at least 10 days to answer a summons and complaint;

       (2) If you do not file an answer, an order evicting you by default may be obtained against you;

       (3) A hearing regarding a temporary eviction may be called as soon as 11 days after you are served with the summons and complaint; and

       (4) A hearing regarding a permanent eviction may be called as soon as 20 days after you are served with the summons and complaint.

 

      4.  The sheriff shall not conduct a sale of the property on execution or deliver the judgment debtor’s property to the judgment creditor if the judgment debtor or any other person entitled to notice has not been properly notified as required in this section and NRS 21.075 and 21.076.

      5.  As used in this section [, “residential] :

      (a) “Foreclosure sale” means the sale of real property pursuant to NRS 40.430.

      (b) “Residential foreclosure” means the sale of a single family residence pursuant to NRS 40.430. As used in this subsection, “single family residence” means a structure that is comprised of not more than four units.

      Sec. 9. NRS 21.150 is hereby amended to read as follows:

      21.150  1.  All sales of property under execution [shall] must be made at auction to the highest bidder [, and shall be made] between the hours of 9 a.m. and 5 p.m. All sales of real property must be made at the courthouse of the county in which the property or some part thereof is situated.

 


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      2.  After sufficient property has been sold to satisfy the execution, [no] more [shall] property must not be sold. [Neither the]

      3.  The officer holding the execution [nor] and the officer’s deputy shall not become a purchaser or be interested in any purchase at such sale.

      4.  When the sale is of personal property capable of manual delivery, it shall be in view of those who attend the sale and be sold in such parcels as are likely to bring the highest price . [; and]

      5.  Except as otherwise provided in subsection 6, when the sale is of real property and consisting of several known lots or parcels, they shall be sold separately, or when a portion of such real property is claimed by a third person and the third party requires it to be sold separately, such portion shall be thus sold. [All sales of real property shall be made at the courthouse of the county in which the property or some part thereof is situated.] If the land to be sold under execution consists of a single parcel, or two or more contiguous parcels, situated in two or more counties, notice of the sale must be posted and published in each of such counties, as provided in this chapter. The judgment debtor, if present at the sale, may also direct the order in which property, real or personal, shall be sold. When such property consists of several known lots or parcels, or of articles which can be sold to advantage separately, the sheriff shall be bound to follow such directions.

      6.  The provisions of subsection 5 do not apply to a sale pursuant to NRS 40.430.

      Sec. 10. NRS 39.180 is hereby amended to read as follows:

      39.180  [If it appears to the court that it was]

      1.  To the extent necessary to [have made an abstract] grant the relief sought or other appropriate relief, the court shall upon adequate proof ascertain the state of the title to the property to be partitioned [, and such abstract shall have been procured by] pursuant to a report from a title company in which the title company certifies that it has issued a guarantee for the benefit of the plaintiff [,] or [if the plaintiff shall have failed to have the same made before the commencement of the action, and any one of the defendants shall have had such abstract afterward made,] the defendant, and which lists the names of:

      (a) Each owner of record of the property to be partitioned; and

      (b) Each holder of record of a security interest in the property to be partitioned, if the security interest was created by a mortgage or a deed of trust.

      2.  The cost of the [abstract,] guarantee, with interest thereon from the time the same is subject to the inspection of the respective parties to the action, must be allowed and taxed. [Whenever such abstract is procured by the plaintiff, before the commencement of the action, the plaintiff must file with the plaintiff’s complaint a notice that an abstract of the title has been made, and is subject to the inspection and use of all the parties to the action, designating therein where the abstract will be kept for inspection. But if the plaintiff shall have failed to procure such abstract before commencing the action, and any defendant shall procure the same to be made, the defendant shall, as soon as the defendant has directed it to be made, file a notice thereof in the action with the clerk of the court, stating who is making the same, and where it will be kept when finished. The court, or the judge thereof, may direct from time to time during the progress of the action, who shall have the custody of the abstract.]

 


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      3.  As used in this section, “guarantee” means a guarantee of the type filed with the Commissioner of Insurance pursuant to paragraph (e) of subsection 1 of NRS 692A.120.

      Sec. 11. NRS 39.190 is hereby amended to read as follows:

      39.190  The [abstract] guarantee mentioned in NRS 39.180 [may be made by any competent searcher of records, and need not be certified by the recorder or other officer, but instead thereof it must be verified by the affidavit of the person making it, to the effect that the person believes it to be correct; but the same] may be corrected from time to time if found incorrect, under the direction of the court.

      Sec. 12. NRS 40.430 is hereby amended to read as follows:

      40.430  1.  Except in cases where a person proceeds under subsection 2 of NRS 40.495 or subsection 1 of NRS 40.512, and except as otherwise provided in NRS 118C.220, there may be but one action for the recovery of any debt, or for the enforcement of any right secured by a mortgage or other lien upon real estate. That action must be in accordance with the provisions of NRS 40.426 to 40.459, inclusive. In that action, the judgment must be rendered for the amount found due the plaintiff, and the court, by its decree or judgment, may direct a sale of the encumbered property, or such part thereof as is necessary, and apply the proceeds of the sale as provided in NRS 40.462.

      2.  This section must be construed to permit a secured creditor to realize upon the collateral for a debt or other obligation agreed upon by the debtor and creditor when the debt or other obligation was incurred.

      3.  At any time not later than 5 business days before the date of sale directed by the court, if the deficiency resulting in the action for the recovery of the debt has arisen by failure to make a payment required by the mortgage or other lien, the deficiency may be made good by payment of the deficient sum and by payment of any costs, fees and expenses incident to making the deficiency good. If a deficiency is made good pursuant to this subsection, the sale may not occur.

      4.  A sale directed by the court pursuant to subsection 1 must be conducted in the same manner as the sale of real property upon execution, by the sheriff of the county in which the encumbered land is situated, and if the encumbered land is situated in two or more counties, the court shall direct the sheriff of one of the counties to conduct the sale with like proceedings and effect as if the whole of the encumbered land were situated in that county.

      5.  Within 30 days after a sale of property is conducted pursuant to this section, the sheriff who conducted the sale shall record the sale of the property in the office of the county recorder of the county in which the property is located.

      6.  As used in this section, an “action” does not include any act or proceeding:

      (a) To appoint a receiver for, or obtain possession of, any real or personal collateral for the debt or as provided in NRS 32.015.

      (b) To enforce a security interest in, or the assignment of, any rents, issues, profits or other income of any real or personal property.

      (c) To enforce a mortgage or other lien upon any real or personal collateral located outside of the State which does not, except as required under the laws of that jurisdiction, result in a personal judgment against the debtor.

 


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ê2021 Statutes of Nevada, Page 1415 (CHAPTER 268, AB 237)ê

 

      (d) For the recovery of damages arising from the commission of a tort, including a recovery under NRS 40.750, or the recovery of any declaratory or equitable relief.

      (e) For the exercise of a power of sale pursuant to NRS 107.080.

      (f) For the exercise of any right or remedy authorized by chapter 104 or 104A of NRS or by the Uniform Commercial Code as enacted in any other state, including, without limitation, an action for declaratory relief pursuant to chapter 30 of NRS to ascertain the identity of the person who is entitled to enforce an instrument pursuant to NRS 104.3309.

      (g) For the exercise of any right to set off, or to enforce a pledge in, a deposit account pursuant to a written agreement or pledge.

      (h) To draw under a letter of credit.

      (i) To enforce an agreement with a surety or guarantor if enforcement of the mortgage or other lien has been automatically stayed pursuant to 11 U.S.C. § 362 or pursuant to an order of a federal bankruptcy court under any other provision of the United States Bankruptcy Code for not less than 120 days following the mailing of notice to the surety or guarantor pursuant to subsection 1 of NRS 107.095.

      (j) To collect any debt, or enforce any right, secured by a mortgage or other lien on real property if the property has been sold to a person other than the creditor to satisfy, in whole or in part, a debt or other right secured by a senior mortgage or other senior lien on the property.

      (k) Relating to any proceeding in bankruptcy, including the filing of a proof of claim, seeking relief from an automatic stay and any other action to determine the amount or validity of a debt.

      (l) For filing a claim pursuant to chapter 147 of NRS or to enforce such a claim which has been disallowed.

      (m) Which does not include the collection of the debt or realization of the collateral securing the debt.

      (n) Pursuant to NRS 40.507 or 40.508.

      (o) Pursuant to an agreement entered into pursuant to NRS 361.7311 between an owner of the property and the assignee of a tax lien against the property, or an action which is authorized by NRS 361.733.

      (p) Which is exempted from the provisions of this section by specific statute.

      (q) To recover costs of suit, costs and expenses of sale, attorneys’ fees and other incidental relief in connection with any action authorized by this subsection.

      Sec. 13. NRS 106.210 is hereby amended to read as follows:

      106.210  1.  Any assignment of a mortgage of real property [, or of a mortgage of personal property or crops recorded prior to March 27, 1935,] and any assignment of the beneficial interest under a deed of trust must be recorded in the office of the recorder of the county in which the property is located, and from the time any of the same are so filed for record shall operate as constructive notice of the contents thereof to all persons. A mortgage of real property [, or a mortgage of personal property or crops recorded prior to March 27, 1935,] which has been assigned may not be enforced unless and until the assignment is recorded pursuant to this subsection. If the beneficial interest under a deed of trust has been assigned, the trustee under the deed of trust may not exercise the power of sale pursuant to NRS 107.080 unless and until the assignment is recorded pursuant to this subsection.

 


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ê2021 Statutes of Nevada, Page 1416 (CHAPTER 268, AB 237)ê

 

      2.  Each such filing or recording must be properly indexed by the recorder.

      Sec. 14. NRS 106.220 is hereby amended to read as follows:

      106.220  1.  Any instrument by which any mortgage or deed of trust of, lien upon or interest in real property is subordinated or waived as to priority [, must, in case it concerns only] concerning one or more other mortgages or deeds of trust of, liens upon or interests in real property [, together with, or in the alternative, one or more mortgages of, liens upon or interests in personal property or crops, the instruments or documents evidencing or creating which have been recorded prior to March 27, 1935,] must be recorded in the office of the recorder of the county in which the property is located, and from the time any of the same are so filed for record operates as constructive notice of the contents thereof to all persons. The instrument is not enforceable in connection with a foreclosure under this chapter or a trustee’s sale under chapter 107 of NRS unless and until it is recorded.

      2.  Each such filing or recording must be properly indexed by the recorder.

      Sec. 15. NRS 107.030 is hereby amended to read as follows:

      107.030  Every deed of trust made after March 29, 1927, may adopt by reference all or any of the following covenants, agreements, obligations, rights and remedies:

      1.  Covenant No. 1. That grantor agrees to pay and discharge at maturity all taxes and assessments and all other charges and encumbrances which now are or shall hereafter be, or appear to be, a lien upon the premises, or any part thereof; and that grantor will pay all interest or installments due on any prior encumbrance, and that in default thereof, beneficiary may, without demand or notice, pay the same, and beneficiary shall be sole judge of the legality or validity of such taxes, assessments, charges or encumbrances, and the amount necessary to be paid in satisfaction or discharge thereof.

      2.  Covenant No. 2. That the grantor will at all times keep the buildings and improvements which are now or shall hereafter be erected upon the premises insured against loss or damage by fire, to the amount of at least $........, by some insurance company or companies approved by beneficiary, the policies for which insurance shall be made payable, in case of loss, to beneficiary, and shall be delivered to and held by the beneficiary as further security; and that in default thereof, beneficiary may procure such insurance, not exceeding the amount aforesaid, to be effected either upon the interest of trustee or upon the interest of grantor, or his or her assigns, and in their names, loss, if any, being made payable to beneficiary, and may pay and expend for premiums for such insurance such sums of money as the beneficiary may deem necessary.

      3.  Covenant No. 3. That if, during the existence of the trust, there be commenced or pending any suit or action affecting the premises, or any part thereof, or the title thereto, or if any adverse claim for or against the premises, or any part thereof, be made or asserted, the trustee or beneficiary may appear or intervene in the suit or action and retain counsel therein and defend same, or otherwise take such action therein as they may be advised, and may settle or compromise same or the adverse claim; and in that behalf and for any of the purposes may pay and expend such sums of money as the trustee or beneficiary may deem to be necessary.

 


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ê2021 Statutes of Nevada, Page 1417 (CHAPTER 268, AB 237)ê

 

      4.  Covenant No. 4. That the grantor will pay to trustee and to beneficiary respectively, on demand, the amounts of all sums of money which they shall respectively pay or expend pursuant to the provisions of the implied covenants of this section, or any of them, together with interest upon each of the amounts, until paid, from the time of payment thereof, at the rate of ................ percent per annum.

      5.  Covenant No. 5. That in case grantor shall well and truly perform the obligation or pay or cause to be paid at maturity the debt or promissory note, and all moneys agreed to be paid, and interest thereon for the security of which the transfer is made, and also the reasonable expenses of the trust in this section specified, then the trustee, its successors or assigns, shall reconvey to the grantor all the estate in the premises conveyed to the trustee by the grantor. Any part of the trust property may be reconveyed at the request of the beneficiary.

      6.  Covenant No. 6. That if default be made in the performance of the obligation, or in the payment of the debt, or interest thereon, or any part thereof, or in the payment of any of the other moneys agreed to be paid, or of any interest thereon, or if any of the conditions or covenants in this section adopted by reference be violated, and if the notice of breach and election to sell, required by this chapter, be first recorded, then trustee, its successors or assigns, on demand by beneficiary, or assigns, shall sell the above-granted premises, or such part thereof as in its discretion it shall find necessary to sell, in order to accomplish the objects of these trusts, in the manner following, namely:

      The [trustees] trustee shall first give notice of the time and place of such sale, in the manner provided in NRS 107.080 and may postpone such sale not more than three times by proclamation made to the persons assembled at the time and place previously appointed and advertised for such sale, and on the day of sale so advertised, or to which such sale may have been postponed, the trustee may sell the property so advertised, or any portion thereof, at public auction, at the time and place specified in the notice, at a public location in the county in which the property, or any part thereof, to be sold, is situated, to the highest cash bidder. The beneficiary, obligee, creditor, or the holder or holders of the promissory note or notes secured thereby may bid and purchase at such sale. The beneficiary may, after recording the notice of breach and election, waive or withdraw the same or any proceedings thereunder, and shall thereupon be restored to the beneficiary’s former position and have and enjoy the same rights as though such notice had not been recorded.

      7.  Covenant No. 7. That the trustee, upon such sale, shall make (without warranty), execute and, after due payment made, deliver to purchaser or purchasers, his, her or their heirs or assigns, a deed or deeds of the premises so sold which shall convey to the purchaser all the title of the grantor in the premises, and shall apply the proceeds of the sale thereof in payment, firstly, of the expenses of such sale, together with the reasonable expenses of the trust, including counsel fees, in an amount equal to ................ percent of the amount secured thereby and remaining unpaid or reasonable counsel fees and costs actually incurred, which shall become due upon any default made by grantor in any of the payments aforesaid; and also such sums, if any, as trustee or beneficiary shall have paid, for procuring a search of the title to the premises, or any part thereof, subsequent to the execution of the deed of trust; and in payment, secondly, of the obligation or debts secured, and interest thereon then remaining unpaid, and the amount of all other moneys with interest thereon herein agreed or provided to be paid by grantor; and the balance or surplus of such proceeds of sale it shall pay to grantor, his or her heirs, executors, administrators or assigns.

 


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ê2021 Statutes of Nevada, Page 1418 (CHAPTER 268, AB 237)ê

 

debts secured, and interest thereon then remaining unpaid, and the amount of all other moneys with interest thereon herein agreed or provided to be paid by grantor; and the balance or surplus of such proceeds of sale it shall pay to grantor, his or her heirs, executors, administrators or assigns.

      8.  Covenant No. 8. That in the event of a sale of the premises, or any part thereof, and the execution of a deed or deeds therefor under such trust, the recital therein of default, and of recording notice of breach and election of sale, and of the elapsing of the 3-month period, and of the giving of notice of sale, and of a demand by beneficiary, his or her heirs or assigns, that such sale should be made, shall be conclusive proof of such default, recording, election, elapsing of time, and of the due giving of such notice, and that the sale was regularly and validly made on due and proper demand by beneficiary, his or her heirs and assigns; and any such deed or deeds with such recitals therein shall be effectual and conclusive against grantor, his or her heirs and assigns, and all other persons; and the receipt for the purchase money recited or contained in any deed executed to the purchaser as aforesaid shall be sufficient discharge to such purchaser from all obligation to see to the proper application of the purchase money, according to the trusts aforesaid.

      9.  Covenant No. 9. That the beneficiary or his or her assigns may, from time to time, appoint another trustee, or trustees, to execute the trust created by the deed of trust. An instrument executed and acknowledged by the beneficiary is conclusive proof of the proper appointment of such substituted trustee. Upon the recording of such executed and acknowledged instrument, the new trustee or trustees shall be vested with all the title, interest, powers, duties and trusts in the premises vested in or conferred upon the original trustee. If there be more than one trustee, either may act alone and execute the trusts upon the request of the beneficiary, and all of the trustee’s acts thereunder shall be deemed to be the acts of all trustees, and the recital in any conveyance executed by such sole trustee of such request shall be conclusive evidence thereof, and of the authority of such sole trustee to act.

      Sec. 16. NRS 108.2405 is hereby amended to read as follows:

      108.2405  1.  The provisions of NRS 108.2403 and 108.2407 do not apply:

      (a) In a county with a population of 700,000 or more with respect to a ground lessee who enters into a ground lease for real property which is designated for use or development by the county for commercial purposes which are compatible with the operation of the international airport for the county.

      (b) If all owners of the property, individually or collectively, record a written notice of waiver of the owners’ rights set forth in NRS 108.234 with the county recorder of the county where the property is located before the commencement of construction of the work of improvement. Such a written notice of waiver may be with respect to one or more works of improvement as described in the written notice of waiver.

      2.  Each owner who records a notice of waiver pursuant to paragraph (b) of subsection 1 must serve such notice by certified mail, return receipt requested, upon any prime contractor of the work of improvement and all other lien claimants who give the owner a notice of right to lien pursuant to NRS 108.245, within 10 days after the owner’s receipt of a notice of right to lien or 10 days after the date on which the notice of waiver is recorded pursuant to this subsection [.]

 


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ê2021 Statutes of Nevada, Page 1419 (CHAPTER 268, AB 237)ê

 

lien or 10 days after the date on which the notice of waiver is recorded pursuant to this subsection [.] , whichever is later.

      3.  As used in this section:

      (a) “Ground lease” means a written agreement:

             (1) To lease real property which, on the date on which the agreement is signed, does not include any existing buildings or improvements that may be occupied on the land; and

             (2) That is entered into for a period of not less than 10 years, excluding any options to renew that may be included in any such lease.

      (b) “Ground lessee” means a person who enters into a ground lease as a lessee with the county as record owner of the real property as the lessor.

      Sec. 17.  1.  This section and section 7.2 of this act become effective upon passage and approval.

      2.  Sections 1, 1.5 and 3 of this act become effective:

      (a) Upon passage and approval for the purpose of adopting any regulations and performing any other preparatory administrative tasks that are necessary to carry out the provisions of sections 1, 1.5 and 3; and

      (b) On January 1, 2022, for all other purposes.

      3.  Sections 2, 4 to 7, inclusive, and 7.4 to 16, inclusive, of this act become effective on January 1, 2022.

________

CHAPTER 269, AB 277

Assembly Bill No. 277–Assemblymen Duran, Flores, Torres, González; Considine, Summers-Armstrong and Thomas

 

CHAPTER 269

 

[Approved: June 2, 2021]

 

AN ACT relating to insurance; revising provisions relating to the exchange of medical and insurance information by certain persons involved in a claim for personal injury asserted under a policy of motor vehicle insurance; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Section 2 of this bill authorizes a claimant or the claimant’s attorney to provide a written authorization to allow the party against whom a claim is asserted for personal injury under a policy of motor vehicle insurance or the party’s attorney and the insurer of the party to receive all reports, records, films and bills from the claimant’s provider of health care. If such a written authorization is provided, section 2: (1) requires the insurer of the party to, within 5 business days after receiving the written authorization, disclose to the claimant or the claimant’s attorney a copy of the declarations page of the policy, with certain redactions to the declaration page being authorized; and (2) authorizes the claimant or the claimant’s attorney to request copies of all such reports, records, films and bills from the party, the party’s attorney or the insurer of the party.

 


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ê2021 Statutes of Nevada, Page 1420 (CHAPTER 269, AB 277)ê

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. (Deleted by amendment.)

      Sec. 2. NRS 690B.024 is hereby amended to read as follows:

      690B.024  1.  [Any party against whom a claim is asserted for compensation or damages for any mental or physical injury under a policy of motor vehicle insurance may require the claimant or any attorney representing the claimant to provide to the party or any attorney of the party and to the insurer] A claimant or any attorney representing the claimant may provide to the party against whom a claim is asserted for compensation or damages for any mental or physical injury under a policy of motor vehicle insurance or any attorney of the party and to the insurer of the party a written authorization to receive all medical reports, records , films and bills related to the claim from the providers of health care. An authorization so provided may not be revoked without cause.

      2.  If a written authorization is provided pursuant to subsection 1, the insurer of the party shall, within 5 business days after receiving the written authorization, disclose to the claimant or any attorney representing the claimant a copy of the declarations page of the policy of motor vehicle insurance. The insurer of the party may redact personal information from the declarations page of the policy, except that the name of the party and the policy limits must not be redacted.

      3.  At the written request of the claimant or the attorney of the claimant, copies of all medical reports, records , films and bills obtained by a written authorization pursuant to subsection 1 must be provided to the claimant or the attorney of the claimant within 30 days after the date they are received by the party, any attorney of the party or the insurer [.] of the party. If the claimant or the attorney of the claimant makes a written request for the medical reports, records , films and bills, the claimant or the attorney of the claimant shall pay for the reasonable costs of copying the medical reports, records , films and bills.

      [3.  Within 10 days after receipt of a written authorization pursuant to subsection 1, the insurer who issued the policy specified in subsection 1 shall, upon request, provide the claimant or any attorney representing the claimant with all pertinent facts or provisions of the policy relating to any coverage at issue, including policy limits.]

      4.  [The provisions of subsections 1, 2 and 3 cease to apply upon the commencement of an action in court arising from a claim asserted under a policy of motor vehicle insurance.

      5.] As used in this section, “provider of health care” has the meaning ascribed to it in NRS 629.031.

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ê2021 Statutes of Nevada, Page 1421ê

 

CHAPTER 270, AB 290

Assembly Bill No. 290–Assemblywoman Jauregui

 

CHAPTER 270

 

[Approved: June 2, 2021]

 

AN ACT relating to financial institutions; requiring a trust company or savings bank that assumes the role of custodian of an individual retirement account to provide certain notice to holders of the account under certain circumstances; revising the definition of the term “fiduciary” for the purposes of certain provisions relating to the business of a trust company; authorizing funds held in a fiduciary capacity by a savings bank to be swept to the deposit accounts of the savings bank under certain circumstances; imposing certain requirements on savings banks relating to funds in a fiduciary account administered by a savings bank that are awaiting investment or distribution; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law defines “fiduciary” for the purposes of certain provisions governing the business of a trust company to include a servicer or administrator of individual retirement accounts. (NRS 669.045) Section 1.3 of this bill excludes from the definition of “fiduciary” a trust company or a savings bank that acts as a custodian of individual retirement accounts or an affiliate of such a trust company or savings bank that provides services to the trust company or savings bank.

      Existing law authorizes a savings bank to engage in the business of a trust company and imposes certain requirements and restrictions on a savings bank that engages in such trust company business. (NRS 673.228) Section 2 of this bill makes various changes to reflect the addition of the provisions of section 1.3 which provide that a savings bank acting as a custodian of an individual retirement account does not act as a fiduciary.

      Existing law prohibits funds held in a fiduciary capacity by a savings bank from being used in the conduct of its business, but allows such funds to be invested in the deposit accounts maintained at the savings bank if a trust or custodial retirement plan does not prohibit the investment. (NRS 673.228) Section 2 revises these provisions to instead authorize funds held in a fiduciary capacity by a savings bank to be invested in or swept to the deposit accounts of a savings bank if the instrument governing the trust retirement plan or other fiduciary account does not prohibit the practice.

      Existing federal regulations set forth certain requirements for a national bank with respect to funds in a fiduciary account administered by the national bank that are awaiting investment or distribution. (12 C.F.R. § 9.10) Section 2 sets forth certain requirements for a savings bank with respect to funds in a fiduciary account administered by the savings bank that are awaiting investment or distribution which are similar to the requirements for national banks set forth in existing federal regulations.

      Sections 1 and 1.7 of this bill require a trust company or savings bank that assumes the role of custodian of an individual retirement account from an affiliate of the trust company or savings bank, as applicable, or from another trust company or savings bank or affiliate thereof, to provide to each holder of the account certain notice of the assumption of the role of custodian of the account.

 


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ê2021 Statutes of Nevada, Page 1422 (CHAPTER 270, AB 290)ê

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 669 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  If a trust company or savings bank assumes the role of custodian for any individual retirement account within the meaning of section 408(a) of the Internal Revenue Code of 1986, 26 U.S.C. § 408(a), from:

      (a) An affiliate of the trust company or savings bank, as applicable;

      (b) Another trust company or savings bank; or

      (c) An affiliate of another trust company or savings bank,

Ê the trust company or savings bank, as applicable, which is assuming the role of custodian shall, in the manner required pursuant to the terms of the documentation of the individual retirement account and any requirements set forth in applicable federal law, provide each holder of the account with notice that the trust company or savings bank, as applicable, is assuming the role of custodian of the account.

      2.  As used in this section, “savings bank” has the meaning ascribed to it in NRS 673.0317.

      Sec. 1.3. NRS 669.045 is hereby amended to read as follows:

      669.045  1.  “Fiduciary” means a trustee, executor, administrator, guardian of an estate, personal representative, conservator, assignee for the benefit of creditors, receiver, depositary or person that receives on deposit money or property from a public administrator or a person employed or contracted with pursuant to NRS 253.125, as applicable, under any provision of this chapter or from another fiduciary.

      2.  As used in this section, “administrator” [includes] :

      (a) Includes servicers or administrators of individual retirement accounts within the meaning of section 408(a) of the Internal Revenue Code of 1986, 26 U.S.C. § 408(a), where the servicer or administrator holds itself out to the public for performance of such services and holds or maintains an ownership interest in the servicing rights of such accounts, or possesses or controls any of the assets of such accounts, including cash.

      (b) Does not include a trust company or savings bank that acts as a custodian for individual retirement accounts within the meaning of section 408(a) of the Internal Revenue Code of 1986, 26 U.S.C. § 408(a), or an affiliate of such a trust company or savings bank that provides services to the trust company or savings bank.

      Sec. 1.7. Chapter 673 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  If a trust company or savings bank assumes the role of custodian for any individual retirement account within the meaning of section 408(a) of the Internal Revenue Code of 1986, 26 U.S.C. § 408(a), from:

      (a) An affiliate of the trust company or savings bank, as applicable;

      (b) Another trust company or savings bank; or

      (c) An affiliate of another trust company or savings bank,

Ê the trust company or savings bank, as applicable, which is assuming the role of custodian shall, in the manner required pursuant to the terms of the documentation of the individual retirement account and any requirements set forth in applicable federal law, provide each holder of the account with notice that the trust company or savings bank, as applicable, is assuming the role of custodian of the account.

 


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ê2021 Statutes of Nevada, Page 1423 (CHAPTER 270, AB 290)ê

 

set forth in applicable federal law, provide each holder of the account with notice that the trust company or savings bank, as applicable, is assuming the role of custodian of the account.

      2.  As used in this section, “trust company” has the meaning ascribed to it in NRS 669.070.

      Sec. 2. NRS 673.228 is hereby amended to read as follows:

      673.228  1.  A savings bank shall have the powers, privileges and authorities to engage in trust company business, including engaging in fiduciary or custodial activities and establishing common trust funds, either directly or indirectly through a subsidiary, that any state bank, foreign bank, foreign savings bank, national bank or federal savings bank may exercise, subject to the requirements and conditions for engaging in such business of a trust company set forth in this section.

      2.  Before engaging in trust company business, a savings bank shall apply to the Commissioner on such form as he or she shall determine and pay the same fee as required for a state bank to engage in trust company business. In considering such an application, the Commissioner shall determine whether:

      (a) The management and personnel of the savings bank are qualified to conduct trust company business;

      (b) Trust company business will be adequately conducted in compliance with the law; and

      (c) The financial and managerial resources of the savings bank are sufficient to support the conduct of trust company business.

      3.  A savings bank subscribing to trustee and custodial power authorized by this section shall be required to segregate all funds held in [such] a fiduciary or custodial capacity from the general assets of the savings bank and keep a separate set of books and records showing in proper detail all transactions engaged in under the authority of this section.

      4.  If individual records are kept of each self-employed individual retirement plan, all funds held in such trust or custodial capacity by the savings bank may be commingled for appropriate purposes of investment.

      5.  No funds held in a fiduciary capacity by a savings bank may be used by the savings bank in the conduct of its business, although such funds may be invested in or swept to the deposit accounts of the savings bank if the instrument governing the trust , [or custodial] retirement plan or other fiduciary account does not prohibit the [investment.] funds from being invested or swept as such.

      6.  With respect to a fiduciary account for which a savings bank has investment discretion or discretion over distributions, the savings bank shall not allow funds awaiting investment or distribution to remain uninvested and undistributed any longer than is reasonable for the proper management of the fiduciary account and consistent with applicable law. With respect to a fiduciary account for which a savings bank has investment discretion, the savings bank shall obtain for funds awaiting investment or distribution a rate of return that is consistent with applicable law.

      7.  A savings bank may deposit funds of a fiduciary account that are awaiting investment or distribution in the commercial, savings or another department of the savings bank, unless prohibited by applicable law. To the extent that the funds are not insured by the Federal Deposit Insurance Corporation, the savings bank shall set aside collateral as security, under the control of appropriate fiduciary officers and employees, in accordance with subsection 8.

 


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ê2021 Statutes of Nevada, Page 1424 (CHAPTER 270, AB 290)ê

 

with subsection 8. The market value of the collateral set aside must at all times equal or exceed the amount of the uninsured fiduciary funds.

      8.  A savings bank may satisfy the collateral requirement of subsection 7 with any of the following:

      (a) Direct obligations of the United States, or other obligations fully guaranteed by the United States as to principal and interest;

      (b) Securities that qualify as eligible for investment by savings banks in this State under applicable law;

      (c) Readily marketable securities of the classes in which state banks, trust companies or other corporations exercising fiduciary powers are permitted to invest fiduciary funds under applicable state law;

      (d) Surety bonds, to the extent that they provide adequate security, unless prohibited by applicable law; and

      (e) Any other assets that qualify under applicable state law as appropriate security for deposits of fiduciary funds.

      9.  A savings bank, acting in its fiduciary capacity, may deposit funds of a fiduciary account that are awaiting investment or distribution with an affiliated insured depository institution, unless prohibited by applicable law. A savings bank may set aside collateral as security for a deposit by or with an affiliate of fiduciary funds awaiting investment or distribution, unless prohibited by applicable law.

      10.  As used in this section [, “business] :

      (a) “Applicable law” means the laws of this State governing the fiduciary relationships of a savings bank, any applicable federal law governing such relationships, the terms of the instrument governing a fiduciary relationship or any court order pertaining to such a relationship.

      (b) “Business of a trust company” or “trust company business” has the meaning ascribed to it in NRS 669.029.

      (c) “Fiduciary account” means an account administered by a savings bank acting in a fiduciary capacity.

      (d) “Fiduciary capacity” means:

             (1) Trustee;

             (2) Executor;

             (3) Administrator;

             (4) Registrar of stocks and bonds;

             (5) Transfer agent;

             (6) Guardian;

             (7) Assignee;

             (8) Receiver;

             (9) Custodian under chapter 167 of NRS;

             (10) Investment advisor, if the savings bank receives a fee for its investment advice;

             (11) Any capacity in which the savings bank possesses investment discretion on behalf of another; or

             (12) Any other similar capacity that the Commissioner authorizes.

      (e) “Guardian” means a guardian or conservator of the estate of a minor, an incompetent person, an absent person or a person over whose estate a court has taken jurisdiction, other than under laws governing bankruptcy or insolvency.

 


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ê2021 Statutes of Nevada, Page 1425 (CHAPTER 270, AB 290)ê

 

      (f) “Investment discretion” means, with respect to an account, the sole or shared authority, whether or not that authority is exercised, to determine what securities or other assets to purchase or sell on behalf of the account. A savings bank that delegates its authority over investments and a savings bank that receives delegated authority over investments are both deemed to have investment discretion.

________

CHAPTER 271, AB 298

Assembly Bill No. 298–Assemblyman Flores

 

CHAPTER 271

 

[Approved: June 2, 2021]

 

AN ACT relating to vehicles; establishing the conditions under which a default by a lessee in a consumer vehicle lease may be enforced; setting forth certain requirements for a consumer vehicle lease; requiring certain lessors to use a lease agreement that satisfies those requirements; authorizing certain civil actions; revising certain definitions for certain purposes; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law imposes certain requirements on the lessor of a vehicle in connection with a “commercial vehicle lease,” which is generally defined by existing law to mean a lease of a single vehicle for a period of more than 4 months primarily for business or commercial purposes. (NRS 100.095, 100.105)

      Sections 1.5-5.5 of this bill establish provisions that govern a “consumer vehicle lease,” which is generally defined in section 6 of this bill to mean a lease of a single vehicle for a period of more than 4 months, primarily for personal, family or household purposes. Section 1.5 of this bill establishes the conditions under which the lessor in a consumer vehicle lease can enforce a term regarding a default by the lessee. Section 2 of this bill requires a lessor who is a dealer to use a lease agreement for a consumer vehicle lease of a used vehicle that satisfies certain requirements and includes certain provisions, notices and disclosures that are established by that section. Sections 4 and 5 of this bill set forth certain requirements for a consumer vehicle lease which are similar to certain requirements for retail installment contracts set forth in existing law. (NRS 97.165, 97.215) Section 5.5 of this bill provides that a violation of existing law concerning vehicle leases or sections 1.5-5.5 constitutes a deceptive trade practice, and authorizes a lessee and certain other persons to bring a civil action against a lessor for the violation. Section 5.5 further provides that if the person bringing the action is the prevailing party, the court is required to award: (1) the person’s actual damages; (2) any appropriate equitable relief; and (3) the person’s costs and attorney’s fees.

      Existing law defines the term “vehicle lease” to generally include only leases of a single vehicle for a period of more than 4 months where the lessee’s obligation upon termination or expiration of the lease is based on the excess of the unamortized capitalized cost of the vehicle over its residual value. (NRS 100.095) Existing law sets forth certain requirements for the establishment of the residual value of the vehicle at the termination or expiration of such a lease. (NRS 100.145, 100.155) Section 6 defines the terms “closed-end vehicle lease” and “consumer vehicle lease” and revises the definition of the term “open-end vehicle lease” to establish that the lessee’s obligation upon termination or expiration of the lease is based on the difference between the residual value of the leased vehicle and its realized value.

 


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ê2021 Statutes of Nevada, Page 1426 (CHAPTER 271, AB 298)ê

 

Sections 7-9 of this bill change the term “vehicle lease” to “open-end consumer vehicle lease” to account for the addition of the provisions of sections 1.5-5.5 concerning a consumer vehicle lease while maintaining the requirements of existing law concerning the establishment of the residual value of a leased vehicle.

      Section 10 of this bill makes a conforming change to indicate the proper placement of sections 1.5-5.5 in the Nevada Revised Statutes.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 100 of NRS is hereby amended by adding thereto the provisions set forth as sections 1.5 to 5.5, inclusive, of this act.

      Sec. 1.5. Default on the part of the lessee in a consumer vehicle lease is only enforceable to the extent that:

      1.  The lessee fails to make a payment as required by the lease agreement, but in no case less than 30 days after the date required by the lease agreement; or

      2.  The prospect of payment, performance or realization of collateral is significantly impaired. The burden of establishing the prospect of significant impairment is on the lessor.

      Sec. 2. 1.  A lessor who is a dealer shall use a lease agreement in connection with a consumer vehicle lease for a used vehicle that:

      (a) Is accepted and acted upon by the lessor and any other person necessary to effectuate the lease.

      (b) Contains any information required to be disclosed by the Consumer Leasing Act of 1976, 15 U.S.C. §§ 1667 et seq., and the regulations adopted pursuant thereto, including, without limitation, 12 C.F.R. Part 1013, commonly known as Regulation M.

      (c) If the lease provides for the sale of goods or services, identifies and itemizes the goods sold or to be sold or services furnished or rendered or to be furnished or rendered and the price of each item of goods or services.

      (d) Contains a provision that default on the part of the lessee is only enforceable to the extent that:

             (1) The lessee fails to make a payment as required by the agreement, but in no case less than 30 days after the date required by the lease agreement; or

             (2) The prospect of payment, performance or realization of collateral is significantly impaired. The burden of establishing the prospect of significant impairment is on the lessor.

      (e) Includes the following notice in at least 10-point bold type:

 

NOTICE TO LESSEE

 

      Do not sign this agreement before you read it or if it contains any blank spaces. You are entitled to a completed copy of this agreement. If you fail to perform your obligations under this agreement, the vehicle may be repossessed and you may be liable for the unpaid indebtedness evidenced by this agreement.

 

      (f) Limits late fees to the lesser of $15 or 8 percent of any installment amount in default for more than 10 days.

 


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ê2021 Statutes of Nevada, Page 1427 (CHAPTER 271, AB 298)ê

 

      (g) Contains a term regarding residual value in substantially the following form:

 

       Residual value is the value of the leased vehicle at the end of the lease term, as estimated or assigned by the lessor. The residual value is the amount you will have to pay if you decide to buy this vehicle at the end of the lease term.

 

      (h) Contains a term regarding early termination in substantially the following form:

 

       If you terminate this lease before the end of the lease term, you will be responsible for the early termination charge. The early termination charge is the amount you still owe on the vehicle under the lease agreement, commonly referred to as the adjusted lease balance, minus the vehicle’s current fair market value as estimated in the then current version of the Kelley Blue Book or its equivalent.

 

      (i) Contains a term regarding default charges in substantially the following form:

 

       If you default under the terms of this agreement, you will be liable for the adjusted lease balance described in paragraph (h) plus any actual costs incurred by the lessor to repossess the vehicle, prepare it for disposition and dispose of it by sale or other means minus the amounts received by the lessor from the disposition of the vehicle and the cancellation of any optional product or service you purchased as part of this agreement.

      2.  Before a lessor who is a dealer obtains the signature of a lessee on a consumer vehicle lease for a used vehicle, the lessor shall provide the lessee with the disclosures set forth in this subsection. The disclosures must:

      (a) Identify the vehicle and identify and itemize any other goods or services included in the lease and, if the lease provides for the sale of goods or services, identify and itemize the goods sold or to be sold or services furnished or rendered or to be furnished or rendered and the price of the vehicle and each other item of goods or services.

      (b) Be provided to the lessee before he or she signs the lease agreement, in a form the lessee can keep.

      (c) Contain the signature of the lessee and any other party obligated by the terms of the lease agreement.

      (d) Contain a notice that default on the part of the lessee is only enforceable to the extent that:

             (1) The lessee fails to make a payment as required by the lease agreement, but in no case less than 30 days after the date required by the lease agreement; or

             (2) The prospect of payment, performance or realization of collateral is significantly impaired. The burden of establishing the prospect of significant impairment is on the lessor.

      (e) Provide to the lessee the following notices in both English and Spanish in at least 14-point bold type:

 


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ê2021 Statutes of Nevada, Page 1428 (CHAPTER 271, AB 298)ê

 

NOTICE TO LESSEE

 

THIS IS NOT A SALES CONTRACT

      THIS IS A LEASE. YOU ARE NOT BUYING THIS CAR. YOU WILL NOT OWN IT AT THE END OF THE CONTRACT TERM WITHOUT PAYING ADDITIONAL MONEY.

 

      ESTE ES UN CONTRATO DE ARRENDAMIENTO. NO VAS A COMPRAR ESTE AUTO. USTED NO SERÀ DUEÑO AL FINAL DEL CONTRATO CON EL PAGO DE DINERO ADICIONAL.

 

NOTICE TO LESSEE

 

READ EVERYTHING CAREFULLY

       Do not sign the agreement provided by the lessor before you read it or if it contains any blank spaces. You are entitled to a completed copy of the agreement. If there are oral promises not included in the written agreement, the written agreement will prevail. If you fail to perform your obligations under the agreement, the vehicle may be repossessed and you may be liable for the unpaid indebtedness evidenced by the agreement.

 

NOTICE TO LESSEE

 

THERE IS NO COOLING-OFF PERIOD

       Nevada law does not provide for a “cooling off” or other cancellation period for vehicle leases. Therefore, you cannot later cancel the lease simply because you change your mind, decide the vehicle costs too much, or wish you had acquired a different vehicle. You may cancel the lease only with the agreement of the lessor or for legal cause, such as fraud.

 

      3.  If a lessor who is a dealer fails to obtain the signature of a lessee on the disclosures required by subsection 2 before obtaining the signature of the lessee on a consumer vehicle lease for a used vehicle, the consumer vehicle lease shall be deemed a retail installment contract for the sale of the vehicle.

      4.  If a consumer vehicle lease for a used vehicle includes a provision that conflicts with a provision of this section, the provision of this section will control.

      5.  As used in this section:

      (a) “Retail installment contract” has the meaning ascribed to it in NRS 97.105.

      (b) “Used vehicle” has the meaning ascribed to it in NRS 482.132.

      Sec. 3.  (Deleted by amendment.)

      Sec. 4. 1.  Except as otherwise provided in NRS 598.9715, every consumer vehicle lease must be contained in a single document which must contain the entire agreement of the parties, including any promissory notes or other evidences of indebtedness between the parties relating to the transaction.

 


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ê2021 Statutes of Nevada, Page 1429 (CHAPTER 271, AB 298)ê

 

      2.  The consumer vehicle lease must be dated, signed by the lessor and completed as to all essential provisions, except as otherwise provided in section 5 of this act. The printed or typed portion of the lease, other than instructions for completion, must be in a size equal to at least 8-point type.

      Sec. 5. The lessor shall not obtain the signature of the lessee to any consumer vehicle lease when it contains blank spaces of items which are essential provisions of the transaction.

      Sec. 5.5. 1.  A violation of NRS 100.095 to 100.175, inclusive, and sections 1.5 to 5.5, inclusive, of this act constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive. A lessee or other person who is a debtor or secondary obligor under the consumer vehicle lease may bring a civil action in any court of competent jurisdiction for such violation.

      2.  If the person bringing the action pursuant to subsection 1 is the prevailing party, the court shall award the person:

      (a) Any damages that the person has sustained;

      (b) Any equitable relief that the court deems appropriate; and

      (c) The person’s costs in the action and reasonable attorney’s fees.

      Sec. 6. NRS 100.095 is hereby amended to read as follows:

      100.095  As used in NRS 100.095 to 100.175, inclusive [:] and sections 1.5 to 5.5, inclusive, of this act:

      1.  “Closed-end vehicle lease” means a vehicle lease, other than an open-end vehicle lease, commonly referred to as a walk-away lease, in which the lessee is not responsible for the residual value of the leased vehicle at the end of the term of the lease.

      2.  “Commercial vehicle lease” means a bailment or lease of a single vehicle by a person for a period of more than 4 months for a total contractual obligation not exceeding $25,000, primarily for business or commercial purposes, whether or not the lessee has the option to purchase or otherwise become the owner of the vehicle at the termination or expiration of the lease. The term includes a bailment or lease where the lessee becomes or may become owner of the vehicle by payment to the lessor of an amount which is substantially equal to the residual value or the unamortized capitalized cost, if the payment is not nominal. The term does not include a bailment or lease where the lessee contracts to pay as compensation for use of the vehicle a sum substantially equivalent to or in excess of the capitalized cost of the vehicle and it is agreed that the lessee may become the owner for no other consideration or for a nominal consideration.

      [2.] 3.  “Consumer vehicle lease” means a contract in the form of a bailment or lease of a single vehicle by a person for a period of more than 4 months, primarily for personal, family or household purposes, whether or not the lessee has the option to purchase or otherwise become the owner of the vehicle at the expiration of the lease. The term includes:

      (a) A closed-end vehicle lease;

      (b) An open-end vehicle lease; and

      (c) A bailment or lease entered into primarily for personal, family or household purposes where the lessee becomes or may become owner of the vehicle by payment to the lessor of an amount which is substantially equal to the residual value or the unamortized capitalized cost, if the payment is not nominal.

      4.  “Dealer” has the meaning ascribed to it in NRS 482.020.

 


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ê2021 Statutes of Nevada, Page 1430 (CHAPTER 271, AB 298)ê

 

      5.  “Open-end vehicle lease” means a vehicle lease where the lessee’s obligation upon termination or expiration of the lease is based on the difference between the residual value of the leased vehicle and its realized value.

      6.  “Person” includes any governmental entity.

      [3.] 7.  “Vehicle” means every device in, upon or by which any person or property is or may be transported upon a public highway, except devices:

      (a) Moved by human power;

      (b) Used exclusively upon stationary rails or tracks; or

      (c) Having a gross vehicle weight of more than 10,000 pounds, exclusive of the weight of any slide-in camper as defined in NRS 482.113 which may be on it.

Ê The term does not include electric personal assistive mobility devices as defined in NRS 482.029.

      [4.  “Vehicle lease” means a bailment or lease of a single vehicle by a person for a period of more than 4 months where the lessee’s obligation upon termination or expiration of the lease is based on the excess of the unamortized capitalized cost of the vehicle over its residual value as established pursuant to the provisions of NRS 100.145. The term includes a bailment or lease where the lessee becomes or may become owner of the vehicle by payment to the lessor of an amount which is substantially equal to the residual value or the unamortized capitalized cost, if the payment is not nominal.]

      Sec. 7. NRS 100.145 is hereby amended to read as follows:

      100.145  1.  Where the lessee’s liability on the date any open-end consumer vehicle lease or commercial vehicle lease terminates or expires is based on the residual value of the vehicle at that time and the lessor and lessee do not agree in writing on that value or on another method of establishing it, the lessor may, subject to the provisions of NRS 100.165, for the purpose of establishing residual value and thereby providing the basis for determining the lessee’s liability, obtain written bids from third persons.

      2.  The lessor shall act in good faith and in a commercially reasonable manner in obtaining bids for the vehicle. The fact that a better price could have been obtained at a different time or in a different method from that selected by the lessor is not of itself sufficient to establish that the lessor did not act in a commercially reasonable manner. If the lessor obtains bids at the price current in any recognized market for such a vehicle at the time of the bidding, the lessor has acted in a commercially reasonable manner.

      3.  The highest effective bid obtained pursuant to this section or NRS 100.165, where applicable, or the actual sale price, whichever is higher, establishes the residual value of the vehicle.

      Sec. 8. NRS 100.155 is hereby amended to read as follows:

      100.155  1.  The lessor shall give the lessee written notice of his or her intention to establish the residual value of the vehicle under the open-end consumer vehicle lease or commercial vehicle lease at least 15 days before that action is taken. The notice must be given in person to the lessee or sent by mail to the address of the lessee shown on the lease, or to the lessee’s last known address, unless the lessee has notified the lessor in writing of a different address.

 


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ê2021 Statutes of Nevada, Page 1431 (CHAPTER 271, AB 298)ê

 

      2.  The notice must:

      (a) List separately any actual or estimated charges due under the open-end consumer vehicle lease or commercial vehicle lease as of the date of the notice, notwithstanding any possible limitations on the liability of the lessee provided by the Consumer Leasing Act of 1976 (15 U.S.C. § 1667b);

      (b) Inform the lessee that the lessee has the right to submit a written bid for the purchase of the vehicle before its value is established; and

      (c) Inform the lessee of the probable residual value of comparable vehicles on the date of the notice as estimated in the then current version of the Kelley Blue Book or its equivalent.

      3.  If the lease is not in default and has not been terminated before its scheduled expiration, the notice must also inform the lessee that his or her maximum total liability under the open-end consumer vehicle lease or commercial vehicle lease is limited to three times the average payment allocable to a monthly period under the lease if the estimated residual value exceeds the actual residual value and the difference is not the result of physical damage to the vehicle beyond reasonable wear and use or to excessive use.

      Sec. 9. NRS 100.175 is hereby amended to read as follows:

      100.175  If the lessor under [a] an open-end consumer vehicle lease or a commercial vehicle lease fails to comply with NRS 100.145 to 100.165, inclusive, the lessor may not recover any deficiency from the lessee.

      Sec. 10. NRS 104A.2104 is hereby amended to read as follows:

      104A.2104  1.  A lease, although subject to this Article, is also subject to any applicable:

      (a) Certificate of title statute of this State, including any applicable provision of chapters 482, 488, 489 and 490 of NRS;

      (b) Certificate of title statute of another jurisdiction (NRS 104A.2105); or

      (c) Consumer protection statute of this State, including any applicable provision of NRS 97.297, 97.299, 97.301 and 100.095 to 100.175, inclusive, and sections 1.5 to 5.5, inclusive, of this act and a final decision of a court of this State concerning the protection of consumers rendered before January 1, 1990.

      2.  In case of conflict between this Article, other than NRS 104A.2105, subsection 3 of NRS 104A.2304 and subsection 3 of NRS 104A.2305, and a statute or decision referred to in subsection 1, the statute or decision controls.

      3.  Failure to comply with an applicable law has only the effect specified therein.

________

 


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ê2021 Statutes of Nevada, Page 1432ê

 

CHAPTER 272, AB 301

Assembly Bill No. 301–Assemblymen C.H. Miller; Anderson, Considine, Flores, González, Monroe-Moreno, Peters, Summers-Armstrong, Thomas and Watts

 

Joint Sponsor: Senator Spearman

 

CHAPTER 272

 

[Approved: June 2, 2021]

 

AN ACT relating to motor vehicles; revising provisions governing the release of a motor vehicle connected to a tow car at the point of origination of the towing; revising provisions relating to the towing of a motor vehicle from a residential complex or a common-interest community; revising provisions restricting the keeping of unregistered vehicles on real property; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law requires an operator of a tow car to allow the owner, or agent of the owner, of a motor vehicle that has been connected to a tow car to obtain the release of the vehicle at the point of origination of the towing if: (1) a request is made to release the vehicle; and (2) the owner or agent pays a fee established by the operator for releasing the vehicle. (NRS 706.4469) If a vehicle that has been connected to a tow car due to the vehicle not being registered and the owner of the motor vehicle or agent of the owner of the motor vehicle provides proof that the motor vehicle is registered, section 1 of this bill: (1) requires the operator to immediately release the motor vehicle to the owner or agent of the motor vehicle; and (2) provides that the owner or agent is not responsible for paying the fee established by the operator for releasing the vehicle.

      Existing law imposes certain conditions on the towing of a motor vehicle which is requested by a person other than the owner of the vehicle, an agent of the owner of the vehicle or a law enforcement officer. (NRS 706.4477) Section 2 of this bill provides that the conditions also do not apply to a person that is employed by a local government to enforce the laws, ordinances or codes of the local government. Existing law provides that the owner of real property on which a residential complex is located, or an authorized agent of the owner, may only have a vehicle towed: (1) because of a parking violation; (2) if the vehicle is not registered; (3) if the registration of the vehicle has been expired for not less than 60 days or is expired; or (4) if the vehicle is blocking a fire hydrant, fire lane or parking space designated for the handicapped or is posing an imminent threat of causing a substantial adverse effect on the health, safety or welfare of the residents of a residential complex. (NRS 706.4477) Section 2 prohibits the owner or agent from having a motor vehicle towed solely because the registration of the vehicle is expired. Section 5 of this bill makes a conforming change as a result of this prohibition.

      Existing law provides that, in certain situations, a registered owner of a motor vehicle that is towed is responsible for the cost of removal and storage of the motor vehicle and further provides that an operator of a tow car may impose a fee on the owner of the motor vehicle for the towing and storage of the vehicle. (NRS 706.4477, 706.4479) Section 2 provides that the operator shall not charge any fee or cost for the storage of the motor vehicle until at least 48 hours has passed since the motor vehicle arrived and was registered at the place of storage. If a vehicle has been towed due to the vehicle not being registered and the owner of the vehicle does not provide proof that the vehicle is registered,

 


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ê2021 Statutes of Nevada, Page 1433 (CHAPTER 272, AB 301)ê

 

the vehicle not being registered and the owner of the vehicle does not provide proof that the vehicle is registered, section 2 provides that the owner shall pay a hardship tariff for the removal and storage of a towed motor vehicle if, for reasons outside of the owner’s control, the owner is incapable of paying the normal rate for the removal and storage of the towed motor vehicle. Section 2 requires the Nevada Transportation Authority to adopt regulations to carry out the hardship tariff program.

      Sections 1 and 2 provide that a person may provide proof of registration of a vehicle by providing current registration documents in a physical format or in certain electronic formats that predate the date on which the vehicle was connected or towed.

      Existing law authorizes the unit-owners’ association of a common-interest community to direct the removal of vehicles improperly parked on property owned or leased by the association. (NRS 116.3102) Section 4 of this bill prohibits an association from having a vehicle that is parked on property owned or leased by the association removed solely because the registration of the vehicle is expired. Section 5 makes a conforming change as a result of this prohibition.

      With certain exceptions, existing law makes it a misdemeanor for a person to keep more than two unregistered cars on real property owned by or under possession or control of the person if the vehicles are no longer intended for or in condition for lawful use on the highway. (NRS 487.290, 487.300) Section 5 exempts from prosecution for this crime the owner of real property on which a residential complex is located or an agent thereof and the association of a common-interest community or an agent thereof.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 706.4469 is hereby amended to read as follows:

      706.4469  1.  The operator shall allow the owner, or agent of the owner, of a motor vehicle that has been connected to a tow car to obtain the release of the vehicle at the point of origination of the towing if:

      [1.](a) A request is made to release the vehicle; and

      [2. The]

      (b) Except as otherwise provided in subsection 2, the owner or agent pays a fee established by the operator for releasing the vehicle.

      2.  If a vehicle that has been connected to a tow car was requested to be towed pursuant to subparagraph (2) of paragraph (b) of subsection 2 of NRS 706.4477 and the owner, or agent of the owner, provides proof that the vehicle is registered pursuant to this chapter or chapter 482 of NRS or in any other state:

      (a) The operator shall immediately release the motor vehicle to the owner or agent; and

      (b) The owner or agent is not responsible for paying the fee established by the operator for releasing the vehicle.

      3.  As used in this section, “provide proof” includes, without limitation, providing current registration documents in a physical format or in an electronic format as set forth in NRS 482.255 that predate the date on which the vehicle was connected to the tow car.

 


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ê2021 Statutes of Nevada, Page 1434 (CHAPTER 272, AB 301)ê

 

      Sec. 2. NRS 706.4477 is hereby amended to read as follows:

      706.4477  1.  If towing is requested by a person other than the owner, or an agent of the owner, of the motor vehicle or a law enforcement officer [:] or other person who is employed to enforce the laws, ordinances and codes of a local government:

      (a) The person requesting the towing must be the owner of the real property from which the vehicle is towed or an authorized agent of the owner of the real property and must sign a specific request for the towing. Except as otherwise provided in subsection 2, for the purposes of this section, the operator is not an authorized agent of the owner of the real property.

      (b) The area from which the vehicle is to be towed must be appropriately posted in accordance with state or local requirements.

      (c) Notice must be given to the appropriate law enforcement agency pursuant to state and local requirements.

      (d) The operator may be directed to terminate the towing by a law enforcement officer.

      2.  If, pursuant to subsection 1, the owner of the real property or authorized agent of the owner of the real property requests that a vehicle be towed from a residential complex at which the vehicle is located, the owner of the real property or authorized agent of the owner, which may be the tow operator if the tow operator has entered into a contract for that purpose with the owner of the real property:

      (a) Must:

             (1) Meet the requirements of subsection 1.

             (2) Except as otherwise provided in this subparagraph, if the vehicle is being towed pursuant to subparagraph (1) [,] or (2) [or (3)] of paragraph (b), notify the owner or operator of the vehicle of the tow not less than 48 hours before the tow by affixing to the vehicle a sticker which provides the date and time after which the vehicle will be towed. The provisions of this subparagraph do not apply and the vehicle may be immediately towed if it is a vehicle for which a notice was previously affixed:

                   (I) For the same or a similar reason within the same residential complex.

                   (II) Three or more times during the immediately preceding 6 months within the same residential complex for any reason, regardless of whether the vehicle was subsequently towed.

      (b) May only have a vehicle towed:

             (1) Because of a parking violation;

             (2) If the vehicle is not registered pursuant to this chapter or chapter 482 of NRS or in any other state; or

             (3) [If the registration of the vehicle:

                   (I) Has been expired for not less than 60 days, if the vehicle is owned or operated by a resident of the residential complex or does not meet the requirements of sub-subparagraph (II); or

                   (II) Is expired, if the owner of real property or authorized agent of the owner verifies that the vehicle is not owned or operated by a resident of the residential complex; or

             (4)]If the vehicle is:

                   (I) Blocking a fire hydrant, fire lane or parking space designated for the handicapped; or

 


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ê2021 Statutes of Nevada, Page 1435 (CHAPTER 272, AB 301)ê

 

                   (II) Posing an imminent threat of causing a substantial adverse effect on the health, safety or welfare of the residents of the residential complex, which may include, without limitation, if the vehicle is parked in a space that is clearly marked for a specific resident or the use of a specific unit in the residential complex.

      (c) May not have a vehicle towed solely because the registration of the vehicle is expired.

      3.  If towing is requested by a county or city pursuant to NRS 244.3605 or 268.4122, as applicable:

      (a) Notice must be given to the appropriate law enforcement agency pursuant to state and local requirements.

      (b) The operator may be directed to terminate the towing by a law enforcement officer.

      4.  The [registered] owner of a motor vehicle towed pursuant to the provisions of subsection 1, 2 or 3:

      (a) Is presumed to have left the motor vehicle on the real property from which the vehicle is towed; and

      (b) [Is] Subject to the provisions of subsection 7, is responsible for the cost of removal and storage of the motor vehicle.

      5.  The [registered] owner may rebut the presumption in subsection 4 by showing that:

      (a) The [registered] owner transferred the [registered] owner’s interest in the motor vehicle:

             (1) Pursuant to the provisions set forth in NRS 482.399 to 482.420, inclusive; or

             (2) As indicated by a bill of sale for the vehicle that is signed by the [registered] owner; or

      (b) The vehicle is stolen, if the [registered] owner submits evidence that, before the discovery of the vehicle, the [registered] owner filed an affidavit with the Department or a written report with an appropriate law enforcement agency alleging the theft of the vehicle.

      6.  An operator shall not charge any fee or cost for the storage of the motor vehicle until at least 48 hours after the motor vehicle arrives and is registered at the place of storage. If the motor vehicle arrives at the place of storage after the regular business hours of the place of storage, the 48-hour period begins when the regular business hours of the place of storage next begin.

      7. The owner of the vehicle shall pay a hardship tariff for the cost of removal and storage of the motor vehicle if:

      (a) A vehicle has been towed pursuant to subparagraph (2) of paragraph (b) of subsection 2;

      (b) The owner of the vehicle does not provide proof that the vehicle was registered pursuant to this chapter or chapter 482 of NRS or in any other state at the time the vehicle was towed; and

      (c) The owner, for reasons outside of his or her control as determined by the regulations adopted pursuant to this section, is incapable of paying the normal rate charged for the removal and storage of the motor vehicle.

 


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ê2021 Statutes of Nevada, Page 1436 (CHAPTER 272, AB 301)ê

 

Ê The Authority shall adopt regulations to carry out the provisions of this section, including, without limitation, establishing a range of hardship tariffs a person may pay pursuant to this section and setting forth what qualifies as a reason that is outside of the control of the owner.

      8. As used in this section:

      (a) “Parking violation” means a violation of any:

             (1) State or local law or ordinance governing parking; or

             (2) Parking rule promulgated by the owner or manager of the residential complex that applies to vehicles on the property of the residential complex.

      (b) “Provide proof” includes, without limitation, providing current registration documents in a physical format or in an electronic format as set forth in NRS 482.255 that predate the date on which the vehicle was towed.

      (c) “Residential complex” means a group of apartments, condominiums or townhomes intended for use as residential units and for which a common parking area is provided, regardless of whether each resident or unit has been assigned a specific parking space in the common parking area.

      Sec. 3. (Deleted by amendment.)

      Sec. 4. NRS 116.3102 is hereby amended to read as follows:

      116.3102  1.  Except as otherwise provided in this chapter, and subject to the provisions of the declaration, the association:

      (a) Shall adopt and, except as otherwise provided in the bylaws, may amend bylaws and may adopt and amend rules and regulations.

      (b) Shall adopt and may amend budgets in accordance with the requirements set forth in NRS 116.31151, may collect assessments for common expenses from the units’ owners and may invest funds of the association in accordance with the requirements set forth in NRS 116.311395.

      (c) May hire and discharge managing agents and other employees, agents and independent contractors.

      (d) May institute, defend or intervene in litigation or in arbitration, mediation or administrative proceedings in its own name on behalf of itself or two or more units’ owners on matters affecting the common-interest community. The association may not institute, defend or intervene in litigation or in arbitration, mediation or administrative proceedings in its own name on behalf of itself or units’ owners with respect to an action for a constructional defect pursuant to NRS 40.600 to 40.695, inclusive, unless the action pertains to:

             (1) Common elements;

             (2) Any portion of the common-interest community that the association owns; or

             (3) Any portion of the common-interest community that the association does not own but has an obligation to maintain, repair, insure or replace because the governing documents of the association expressly make such an obligation the responsibility of the association.

      (e) May make contracts and incur liabilities. Any contract between the association and a private entity for the furnishing of goods or services must not include a provision granting the private entity the right of first refusal with respect to extension or renewal of the contract.

 


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ê2021 Statutes of Nevada, Page 1437 (CHAPTER 272, AB 301)ê

 

      (f) May regulate the use, maintenance, repair, replacement and modification of common elements.

      (g) May cause additional improvements to be made as a part of the common elements.

      (h) May acquire, hold, encumber and convey in its own name any right, title or interest to real estate or personal property, but:

             (1) Common elements in a condominium or planned community may be conveyed or subjected to a security interest only pursuant to NRS 116.3112; and

             (2) Part of a cooperative may be conveyed, or all or part of a cooperative may be subjected to a security interest, only pursuant to NRS 116.3112.

      (i) May grant easements, leases, licenses and concessions through or over the common elements.

      (j) May impose and receive any payments, fees or charges for the use, rental or operation of the common elements, other than limited common elements described in subsections 2 and 4 of NRS 116.2102, and for services provided to the units’ owners, including, without limitation, any services provided pursuant to NRS 116.310312.

      (k) May impose charges for late payment of assessments pursuant to NRS 116.3115.

      (l) May impose construction penalties when authorized pursuant to NRS 116.310305.

      (m) May impose reasonable fines for violations of the governing documents of the association only if the association complies with the requirements set forth in NRS 116.31031.

      (n) May impose reasonable charges for the preparation and recordation of any amendments to the declaration or any statements of unpaid assessments, and impose reasonable fees, not to exceed the amounts authorized by NRS 116.4109, for preparing and furnishing the documents and certificate required by that section.

      (o) May impose a reasonable fee for opening or closing any file for each unit. Such a fee:

             (1) Must be based on the actual cost the association incurs to open or close any file.

             (2) Must not exceed $350.

             (3) Must not be charged to both the seller and the purchaser of a unit.

             (4) Except as otherwise provided in this subparagraph and subject to the limitation set forth in subparagraph (2), may increase, on an annual basis, by a percentage equal to the percentage of increase in the Consumer Price Index (All Items) published by the United States Department of Labor for the preceding calendar year. The fee must not increase by more than 3 percent each year.

      (p) May provide for the indemnification of its officers and executive board and maintain directors and officers liability insurance.

      (q) May assign its right to future income, including the right to receive assessments for common expenses, but only to the extent the declaration expressly so provides.

      (r) May exercise any other powers conferred by the declaration or bylaws.

 


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ê2021 Statutes of Nevada, Page 1438 (CHAPTER 272, AB 301)ê

 

      (s) May exercise all other powers that may be exercised in this State by legal entities of the same type as the association.

      (t) [May] Except as otherwise provided in this paragraph, may direct the removal of vehicles improperly parked on property owned or leased by the association, as authorized pursuant to NRS 487.038, or improperly parked on any road, street, alley or other thoroughfare within the common-interest community in violation of the governing documents. An association may not direct the removal of a vehicle parked on property owned or leased by the association solely because the registration of the vehicle is expired. In addition to complying with the requirements of NRS 487.038 and any requirements in the governing documents, if a vehicle is improperly parked as described in this paragraph, the association must post written notice in a conspicuous place on the vehicle or provide oral or written notice to the owner or operator of the vehicle at least 48 hours before the association may direct the removal of the vehicle, unless the vehicle:

             (1) Is blocking a fire hydrant, fire lane or parking space designated for the handicapped; or

             (2) Poses an imminent threat of causing a substantial adverse effect on the health, safety or welfare of the units’ owners or residents of the common-interest community.

      (u) May exercise any other powers necessary and proper for the governance and operation of the association.

      2.  The declaration may not limit the power of the association to deal with the declarant if the limit is more restrictive than the limit imposed on the power of the association to deal with other persons.

      3.  The executive board may determine whether to take enforcement action by exercising the association’s power to impose sanctions or commence an action for a violation of the declaration, bylaws or rules, including whether to compromise any claim for unpaid assessments or other claim made by or against it. The executive board does not have a duty to take enforcement action if it determines that, under the facts and circumstances presented:

      (a) The association’s legal position does not justify taking any or further enforcement action;

      (b) The covenant, restriction or rule being enforced is, or is likely to be construed as, inconsistent with current law;

      (c) Although a violation may exist or may have occurred, it is not so material as to be objectionable to a reasonable person or to justify expending the association’s resources; or

      (d) It is not in the association’s best interests to pursue an enforcement action.

      4.  The executive board’s decision under subsection 3 not to pursue enforcement under one set of circumstances does not prevent the executive board from taking enforcement action under another set of circumstances, but the executive board may not be arbitrary or capricious in taking enforcement action.

      5.  Notwithstanding any provision of this chapter or the governing documents to the contrary, an association may not impose any assessment pursuant to this chapter or the governing documents on the owner of any property in the common-interest community that is exempt from taxation pursuant to NRS 361.125.

 


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ê2021 Statutes of Nevada, Page 1439 (CHAPTER 272, AB 301)ê

 

property in the common-interest community that is exempt from taxation pursuant to NRS 361.125. For the purposes of this subsection, “assessment” does not include any charge for any utility services, including, without limitation, telecommunications, broadband communications, cable television, electricity, natural gas, sewer services, garbage collection, water or for any other service which is delivered to and used or consumed directly by the property in the common-interest community that is exempt from taxation pursuant to NRS 361.125.

      Sec. 5. NRS 487.038 is hereby amended to read as follows:

      487.038  1.  Except as otherwise provided in subsections 3 and 4 [,] and NRS 116.3102 and 706.4477, the owner or person in lawful possession of any real property may, after giving notice pursuant to subsection 2, utilize the services of any tow car operator subject to the jurisdiction of the Nevada Transportation Authority to remove any vehicle parked in an unauthorized manner on that property to the nearest public garage or storage yard if:

      (a) A sign is displayed in plain view on the property declaring public parking to be prohibited or restricted in a certain manner; and

      (b) The sign shows the telephone number of the police department or sheriff’s office.

      2.  Unless notice has been provided pursuant to NRS 706.4477, oral notice must be given to the police department or sheriff’s office, whichever is appropriate, indicating:

      (a) The time the vehicle was removed;

      (b) The location from which the vehicle was removed; and

      (c) The location to which the vehicle was taken.

      3.  Any vehicle which is parked in a space designated for persons with disabilities and is not properly marked for such parking may be removed if notice is given to the police department or sheriff’s office pursuant to subsection 2, whether or not a sign is displayed pursuant to subsection 1.

      4.  The owner or person in lawful possession of residential real property upon which a single-family dwelling is located may, after giving notice pursuant to subsection 2, utilize the services of any tow car operator subject to the jurisdiction of the Nevada Transportation Authority to remove any vehicle parked in an unauthorized manner on that property to the nearest public garage or storage yard, whether or not a sign is displayed pursuant to subsection 1.

      5.  All costs incurred under the provisions of this section for the towing, storage and disposition of the vehicle, as applicable, must be borne by the owner of the vehicle, as that term is defined in NRS 484A.150.

      6.  The provisions of this section do not limit or affect any rights or remedies which the owner or person in lawful possession of real property may have by virtue of other provisions of the law authorizing the removal of a vehicle parked on that property.

      7.  If the owner or person in lawful possession of real property and the tow operator agree that the vehicle is likely to be ultimately disposed of as an abandoned vehicle and that the estimated disposition value of a vehicle to be towed pursuant to this section is less than the estimated cost for the towing, storage and disposal of the vehicle, the owner or person in lawful possession of real property and the tow operator may enter into an agreement whereby the owner or person in lawful possession of real property makes a voluntary payment to the tow operator.

 


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ê2021 Statutes of Nevada, Page 1440 (CHAPTER 272, AB 301)ê

 

of real property and the tow operator may enter into an agreement whereby the owner or person in lawful possession of real property makes a voluntary payment to the tow operator. Such a payment:

      (a) Does not reduce the costs incurred by the owner of the vehicle pursuant to subsection 5.

      (b) May not be a condition for the towing of the vehicle.

      Sec. 6. NRS 487.290 is hereby amended to read as follows:

      487.290  1.  Unless the person first obtains a license pursuant to NRS 487.050 or 487.410, a person shall not for any reason keep more than two unregistered vehicles on real property owned by or under possession or control of the person if the vehicles are no longer intended for or in condition for lawful use on the highway.

      2.  The provisions of subsection 1 do not apply to:

      (a) Premises used by a licensed dealer, manufacturer, distributor or rebuilder.

      (b) Vehicles to be restored or used as a source of parts in conjunction with the operation or maintenance of a fleet of vehicles for the carriage of persons or property.

      (c) Premises used as a farm, ranch, mine or repair shop for motor vehicles.

      (d) Any person engaged in the restoration of one or more vehicles entitled to registration as a Horseless Carriage or otherwise having classic or historic significance.

      (e) The owner of real property on which a residential complex is located or an agent thereof.

      (f) The unit-owners’ association of a common-interest community or an agent thereof.

      3.  As used in this section:

      (a) “Common-interest community” has the meaning ascribed to it in NRS 116.021.

      (b) “Residential complex” has the meaning ascribed to it in NRS 706.4477.

      (c) “Unit-owners’ association” has the meaning ascribed to it in NRS 116.011.

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ê2021 Statutes of Nevada, Page 1441ê

 

CHAPTER 273, AB 320

Assembly Bill No. 320–Assemblyman Leavitt

 

Joint Sponsor: Senator Hardy

 

CHAPTER 273

 

[Approved: June 2, 2021]

 

AN ACT relating to off-highway vehicles; revising provisions governing the operation of certain large all-terrain vehicles on certain streets and highways; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law requires each board of county highway commissioners to lay out and designate roads as main, general or minor county roads. (NRS 403.170) Existing law defines a “large all-terrain vehicle” as any all-terrain vehicle that includes seating capacity for at least two people abreast and: (1) total seating capacity for at least four people; or (2) a truck bed. (NRS 490.043) Under existing law, a person may operate a large all-terrain vehicle on any portion of a highway designated as a general county road or minor county road if the large all-terrain vehicle: (1) has the equipment required for operation on a highway; and (2) is registered with the Department of Motor Vehicles as a motor vehicle intended to be operated upon the highways of this State. Existing law also provides that the governing body of a city or county which contains all or a portion of a highway designated as a general county road or a minor county road may prohibit the operation of a large all-terrain vehicle on any portion of such a road. (NRS 490.105)

      This bill authorizes a person to operate a large all-terrain vehicle on a city street within a city whose population is less than 25,000 (currently all cities except Carson City, Henderson, Las Vegas, North Las Vegas, Reno and Sparks) or on a portion of a highway that has been designated as a main county road if: (1) the large all-terrain vehicle has the equipment required for operation on a highway; (2) the large all-terrain vehicle is registered with the Department of Motor Vehicles as a motor vehicle intended to be operated upon the highways of this State; and (3) the governing body of the city or county with jurisdiction over the street or highway enacts an ordinance or resolution authorizing the operation of large all-terrain vehicles on any portion of such a street or highway.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. (Deleted by amendment.)

      Sec. 2. NRS 490.105 is hereby amended to read as follows:

      490.105  1.  Except as otherwise provided in subsection 2, a person may operate a large all-terrain vehicle on any portion of a highway that has been designated in accordance with NRS 403.170 as a general county road or minor county road if the large all-terrain vehicle:

      (a) Meets the requirements set forth in NRS 490.120; and

      (b) Is registered by the Department in accordance with NRS 490.0825 as a motor vehicle intended to be operated upon the highways of this State.

 


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ê2021 Statutes of Nevada, Page 1442 (CHAPTER 273, AB 320)ê

 

      2.  The governing body of a city or county within which is located a highway or portion of a highway that has been designated in accordance with NRS 403.170 as a general county road or minor county road may by ordinance or resolution prohibit the operation of large all-terrain vehicles on any portion of such a road.

      3.  A person may operate a large all-terrain vehicle on a city street within a city whose population is less than 25,000 or on a portion of a highway that has been designated as a main county road if:

      (a) The large all-terrain vehicle satisfies the requirements of paragraphs (a) and (b) of subsection 1; and

      (b) The governing body of the city or the governing body of the county having jurisdiction over the street or highway enacts an ordinance or resolution authorizing the operation of large all-terrain vehicles on any portion of such a street or highway.

________

CHAPTER 274, AB 333

Assembly Bill No. 333–Assemblymen Krasner, Roberts; Ellison, Hardy and O’Neill

 

CHAPTER 274

 

[Approved: June 2, 2021]

 

AN ACT relating to land use planning; establishing certain requirements for judicial review of certain land use planning decisions of a governing body, commission or board; exempting, under certain circumstances, the retention or detention of developed stormwater flow from provisions related to the appropriation of water; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law prohibits the filing of an action against a governing body, commission or board with respect to any final action, decision or order related to land use planning unless the action is commenced within 25 days after the filing of the notice of a final action, decision or order. (NRS 278.0235) Section 1 of this bill establishes deadlines for: (1) filing a memorandum of points and authorities; (2) serving and filing a reply memorandum of points and authorities; and (3) requesting a hearing. Section 1 authorizes the court to extend the deadlines and requires all memoranda of points and authorities to comply with Rule 28 of the Nevada Rules of Appellate Procedure.

      Existing law requires that, subject to existing rights, the appropriation of any water in this State is subject to the provisions of chapter 533 of NRS, which, among other things, require any person seeking to appropriate water to obtain a permit to do so. (NRS 533.030, 533.325) Section 2.5 of this bill provides that in a county whose population is less than 700,000 (currently all counties other than Clark County), the requirements of chapter 533 of NRS do not apply to the retention or detention of developed stormwater flow for the purpose of flood control or stormwater management if: (1) the governing body of the county or city requires such retention or detention as a condition of the approval of a development; and (2) such retention or detention does not impair the predevelopment recharge of the relevant sources of groundwater or the offsite predevelopment flow of the relevant sources of surface water. Sections 3 and 4 of this bill make conforming changes related to exempting such retention or detention of developed stormwater flow from the general requirements of chapter 533 of NRS.

 


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ê2021 Statutes of Nevada, Page 1443 (CHAPTER 274, AB 333)ê

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 278.0235 is hereby amended to read as follows:

      278.0235  1.  No action or proceeding may be commenced for the purpose of seeking judicial relief or review from or with respect to any final action, decision or order of any governing body, commission or board authorized by NRS 278.010 to 278.630, inclusive, unless the action or proceeding is commenced within 25 days after the date of filing of notice of the final action, decision or order with the clerk or secretary of the governing body, commission or board.

      2.  A petitioner or cross-petitioner who is seeking judicial review must serve and file a memorandum of points and authorities within 40 days after an action is commenced.

      3.  The respondent or cross-petitioners shall serve and file a reply memorandum of points and authorities within 30 days after the service of the memorandum of points and authorities.

      4.  The petition or cross-petitioner may serve and file a reply memorandum of points and authorities within 30 days after service of the reply memorandum.

      5.  Within 7 days after the expiration of the time within which the petitioner is required to reply, any party may request a hearing. Unless a request for hearing has been filed, the matter shall be deemed submitted.

      6.  All memoranda of points and authorities filed in proceedings involving petitions for judicial review must be in the form provided for appellate briefs in Rule 28 of the Nevada Rules of Appellate Procedure.

      7.  The court, for good cause, may extend the times allowed in this section for filing memoranda.

      Sec. 2. (Deleted by amendment.)

      Sec. 2.5. Chapter 533 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  In a county whose population is less than 700,000, the provisions of this chapter do not apply to the retention or detention of developed stormwater flow for the purpose of flood control or stormwater management if:

      (a) The governing body of the county or city requires such retention or detention as a condition of the approval of a development pursuant to NRS 278.010 to 278.630, inclusive; and

      (b) Such retention or detention does not impair the predevelopment recharge of the relevant sources of groundwater or the offsite predevelopment flow of the relevant sources of surface water.

      2.  As used in this section, “developed stormwater flow” means the increase of surface stormwater runoff created by or attributable to the construction of man-made impervious surfaces as part of the development of land.

      Sec. 3. NRS 533.030 is hereby amended to read as follows:

      533.030  1.  Subject to existing rights, and except as otherwise provided in this section and NRS 533.0241 and 533.027 [,] and section 2.5 of this act, all water may be appropriated for beneficial use as provided in this chapter and not otherwise.

 


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ê2021 Statutes of Nevada, Page 1444 (CHAPTER 274, AB 333)ê

 

      2.  The use of water, from any stream system as provided in this chapter and from underground water as provided in NRS 534.080, for any recreational purpose, or the use of water from the Muddy River or the Virgin River to create any developed shortage supply or intentionally created surplus, is hereby declared to be a beneficial use. As used in this subsection:

      (a) “Developed shortage supply” has the meaning ascribed to it in Volume 73 of the Federal Register at page 19884, April 11, 2008, and any subsequent amendment thereto.

      (b) “Intentionally created surplus” has the meaning ascribed to it in Volume 73 of the Federal Register at page 19884, April 11, 2008, and any subsequent amendment thereto.

      3.  Except as otherwise provided in subsection 4, in any county whose population is 700,000 or more:

      (a) The board of county commissioners may prohibit or restrict by ordinance the use of water and effluent for recreational purposes in any artificially created lake or stream located within the unincorporated areas of the county.

      (b) The governing body of a city may prohibit or restrict by ordinance the use of water and effluent for recreational purposes in any artificially created lake or stream located within the boundaries of the city.

      4.  In any county whose population is 700,000 or more, the provisions of subsection 1 and of any ordinance adopted pursuant to subsection 3 do not apply to:

      (a) Water stored in an artificially created reservoir for use in flood control, in meeting peak water demands or for purposes relating to the treatment of sewage;

      (b) Water used in a mining reclamation project; or

      (c) A body of water located in a recreational facility that is open to the public and owned or operated by the United States or the State of Nevada.

      Sec. 4. NRS 533.325 is hereby amended to read as follows:

      533.325  Except as otherwise provided in NRS 533.027 and 534.065 [,] and section 2.5 of this act, any person who wishes to appropriate any of the public waters, or to change the place of diversion, manner of use or place of use of water already appropriated, shall, before performing any work in connection with such appropriation, change in place of diversion or change in manner or place of use, apply to the State Engineer for a permit to do so.

________

 


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ê2021 Statutes of Nevada, Page 1445ê

 

CHAPTER 275, AB 359

Assembly Bill No. 359– Assemblywomen Considine; and Kasama

 

CHAPTER 275

 

[Approved: June 2, 2021]

 

AN ACT relating to trade practices; providing that it is a deceptive trade practice not to provide certain translations in a language other than English of certain contracts, agreements or disclosures to certain persons; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Section 4 of this bill requires a business and an agent or employee of a business that advertises in a language other than English and negotiates certain transactions in a language other than English to provide a translation of the contract or agreement that results from such advertising and negotiations in the language that was used in the advertisement and negotiation to the person who is party to the contract. Section 4 requires such translated contracts or agreements to be provided before the execution of the contract or agreement and to include every term and condition in the contract or agreement. Section 5 of this bill provides that if the business is a financial institution that is required to provide certain disclosures to comply with the federal Consumer Leasing Act and the Truth in Lending Act, such disclosures are required to be translated into the same language as the contract or agreement. Section 5 requires such translated disclosures to be provided before the execution of the contract or agreement. Section 8 provides that certain words, expressions and numerals are not required to be translated. Section 9 of this bill authorizes a person who is aggrieved by a party that fails to comply with the provisions of sections 3-9 of this bill to rescind the contract or agreement. Section 4 provides that the provisions of section 4, and, as a result, the provisions of this bill, do not apply to a person who: (1) is a bank, savings and loan association, savings bank, thrift company or credit union; (2) has a physical location; and (3) engages in a transaction other than the issuance of a credit card or an automobile loan.

      Existing law provides that a variety of actions constitute deceptive trade practices. (NRS 118A.275, 205.377, 228.620, 370.695, 597.997, 603.170, 604B.910, 676A.770; chapter 598 of NRS) Existing law provides that evidence which shows that a person has engaged in a deceptive trade practice is prima facie evidence of intent to injure competitors and to destroy or substantially lessen competition. (NRS 598.0953) Unless a fine has been previously imposed against a person committing a deceptive trade practice by the Department of Motor Vehicles, existing law authorizes a court to impose a civil penalty of not more than $12,500 for each violation upon a person whom the court finds has engaged in a deceptive trade practice. (NRS 598.0973) Additionally, existing law authorizes a court to make such additional orders or judgments as may be necessary to restore to any person in interest any money or property which may have been acquired by means of any deceptive trade practice. (NRS 598.0993) In addition to these mechanisms, existing law provides that when the Commissioner of Consumer Affairs or the Director of the Department of Business and Industry has cause to believe that a person has engaged or is engaging in any deceptive trade practice, the Commissioner or Director may request that the Attorney General represent him or her in instituting an appropriate legal proceeding, including an application for an injunction or temporary restraining order. (NRS 598.0979) Existing law provides that if a person violates a court order or injunction resulting from a complaint brought by the Commissioner, the Director, the district attorney of any county of this State or the Attorney General, the person is required to pay a civil penalty of not more than $10,000 for each violation. Furthermore, if a court finds that a person has willfully engaged in a deceptive trade practice, the person who committed the violation: (1) may have to pay not more than $5,000 for each violation; and (2) is guilty of a misdemeanor for the first offense, a gross misdemeanor for the second offense and a category D felony for the third and all subsequent offenses.

 


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and (2) is guilty of a misdemeanor for the first offense, a gross misdemeanor for the second offense and a category D felony for the third and all subsequent offenses. (NRS 598.0999) Section 2 of this bill provides that a person engages in a deceptive trade practice when, in the course of his or her business or occupation, he or she knowingly violates the provisions of sections 3-9. Sections 10-22 of this bill make conforming changes to indicate the placement of section 2 in the Nevada Revised Statutes.

      Existing law provides that certain deceptive trade practices constitute consumer fraud. (NRS 41.600) Existing law additionally authorizes the Department of Motor Vehicles to impose an administrative fine of not more than $10,000 against any person who engages in a deceptive trade practice. (NRS 482.554) Existing law provides that a person is deemed to engage in a deceptive trade practice in the business of automotive repairs if the person engages in certain deceptive trade practices that involve the repair of a motor vehicle set forth in existing law. (NRS 487.6889, 598.0915-598.0925) Sections 20-22 of this bill include the deceptive trade practice created by section 2 in the list of actions that qualify as deceptive trade practices.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 598 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 9, inclusive, of this act.

      Sec. 2. A person engages in a “deceptive trade practice” when, in the course of his or her business or occupation, he or she knowingly violates a provision of sections 3 to 9, inclusive, of this act.

      Sec. 3. 1.  As used in sections 3 to 9, inclusive, of this act, unless the context otherwise requires, “contract or agreement” means the document that creates the rights and obligations of the parties which results from a negotiation or transaction described in section 4 of this act and which is not excluded pursuant to subsection 4 of section 4 of this act.

      2.  The term includes, without limitation, any subsequent document that makes substantial changes to the rights and obligations of the parties.

      3.  The term does not include:

      (a) Any subsequent documents authorized or contemplated by the original document or the document described in subsection 2. Such subsequent documents that are authorized or contemplated include, without limitation:

             (1) Periodic statements;

             (2) Sales slips or invoices which represent purchases made pursuant to a credit card agreement;

             (3) Memoranda of purchases in an add-on sale; and

             (4) Documents relating to the refinancing of a purchase as provided for or required by the original document or the document described in subsection 2.

      (b) Matters incorporated during the regular course of business in contracts or agreements that result from a transaction listed in paragraph (b) of subsection 3 of section 4 of this act. Such matters include, without limitation:

             (1) Rules and regulations governing a tenancy; and

             (2) Inventories of furnishings.

 


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      Sec. 4. Except as otherwise provided in subsection 4 and section 8 of this act:

      1.  A person who, in the course of his or her business or occupation, advertises in a language other than English and negotiates orally or in writing any of the transactions listed in subsection 3 in a language other than English, or who allows an employee or agent of the person to advertise in a language other than English and to negotiate orally or in writing any of the transactions listed in subsection 3 in a language other than English, shall deliver a translation of the contract or agreement that results from such advertising and negotiations in the language that was used in the advertisement and negotiation of the contract or agreement to the person who is a party to the contract or agreement and to any other person who may sign the contract or agreement.

      2.  The translation of the contract or agreement required by subsection 1 must:

      (a) Be provided to the person who is a party to the contract or agreement and to any other person who may sign the contract or agreement before the execution of the contract or agreement; and

      (b) Include, without limitation, every term and condition in the contract or agreement.

      3.  A person must provide pursuant to subsection 1 a translation of a contract or agreement that results from the following transactions:

      (a) A loan or extension of credit that is secured by property, other than real property, that is used for personal, family or household purposes;

      (b) A lease, sublease, rental contract or agreement or other contract or agreement containing a term of tenancy if the lease, sublease, rental contract or agreement or other contract or agreement:

             (1) Is for a period that is at least 1 month; and

             (2) Applies to a dwelling, apartment, mobile home or other dwelling unit that is used as a residence; or

      (c) Except as otherwise provided in this paragraph, an unsecured loan that is used for personal, family or household purposes. A credit instrument, as defined in NRS 463.01467, is not an unsecured loan for the purposes of this paragraph.

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

      (a) Is a bank, savings and loan association, savings bank, thrift company or credit union;

      (b) Has a physical location; and

      (c) Engages in a transaction other than:

             (1) The issuance of a credit card, as defined in NRS 97A.050; or

             (2) An automobile loan.

      5.  As used in this section, “automobile loan” means a loan or an extension of credit that is expressly intended to finance the purchase of a motor vehicle, as defined in NRS 482.075, when the loan or credit is secured by the motor vehicle being purchased.

      Sec. 5. 1.  Except as otherwise provided in subsection 4 of section 4 of this act and section 8 of this act, if a financial institution is required pursuant to Regulation M or Regulation Z to provide a disclosure to a person in addition to any contract or agreement described in section 4 of this act, the financial institution shall be deemed to be in compliance with section 4 of this act if:

 


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      (a) The disclosure required pursuant to Regulation M or Regulation Z is translated into the same language that the contract or agreement was translated pursuant to section 4 of this act; and

      (b) The translated disclosure is provided to the person who is a party to the contract or agreement and to any other person who may sign the contract or agreement before the execution of the contract or agreement.

      2.  As used in this section:

      (a) “Consumer Leasing Act” means the federal Consumer Leasing Act, as amended, 15 U.S.C. §§ 1667 et seq.

      (b) “Regulation M” means the federal regulations, as amended, 12 C.F.R. Part 1013, adopted pursuant to the Consumer Leasing Act and commonly known as Regulation M.

      (c) “Regulation Z” means the federal regulations, as amended, 12 C.F.R. Part 226, adopted pursuant to the Truth in Lending Act and commonly known as Regulation Z.

      (d) “Truth in Lending Act” means the federal Truth in Lending Act, as amended, 15 U.S.C. §§ 1601 et seq.

      Secs. 6 and 7.  (Deleted by amendment.)

      Sec. 8. A translation that is required pursuant to sections 4 and 5 of this act, if applicable, may retain the following elements of the executed English language contract or agreement or disclosure, if applicable, without translation:

      1.  Names and titles of persons;

      2.  Addresses;

      3.  Brand names;

      4.  Trade names;

      5.  Trademarks;

      6.  Registered service marks;

      7.  Full or abbreviated designations of the make and model of goods or services;

      8.  Alphanumeric codes, numerals, dollar amounts expressed in numerals and dates; and

      9.  Individual words or expressions that do not have a generally accepted non-English translation.

      Sec. 9. If a person fails to comply with the provisions of sections 3 to 9, inclusive, of this act, the aggrieved party may rescind the contract or agreement.

      Sec. 10. NRS 598.0903 is hereby amended to read as follows:

      598.0903  As used in NRS 598.0903 to 598.0999, inclusive, and section 2 of this act, unless the context otherwise requires, the words and terms defined in NRS 598.0905 to 598.0947, inclusive, and section 2 of this act have the meanings ascribed to them in those sections.

      Sec. 11. NRS 598.0953 is hereby amended to read as follows:

      598.0953  1.  Evidence that a person has engaged in a deceptive trade practice is prima facie evidence of intent to injure competitors and to destroy or substantially lessen competition.

      2.  The deceptive trade practices listed in NRS 598.0915 to 598.0925, inclusive, and section 2 of this act are in addition to and do not limit the types of unfair trade practices actionable at common law or defined as such in other statutes of this State.

 


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      Sec. 12. NRS 598.0955 is hereby amended to read as follows:

      598.0955  1.  The provisions of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act do not apply to:

      (a) Conduct in compliance with the orders or rules of, or a statute administered by, a federal, state or local governmental agency.

      (b) Publishers, including outdoor advertising media, advertising agencies, broadcasters or printers engaged in the dissemination of information or reproduction of printed or pictorial matter who publish, broadcast or reproduce material without knowledge of its deceptive character.

      (c) Actions or appeals pending on July 1, 1973.

      2.  The provisions of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act do not apply to the use by a person of any service mark, trademark, certification mark, collective mark, trade name or other trade identification which was used and not abandoned prior to July 1, 1973, if the use was in good faith and is otherwise lawful except for the provisions of NRS 598.0903 to 598.0999, inclusive [.] , and section 2 of this act.

      Sec. 13. NRS 598.0963 is hereby amended to read as follows:

      598.0963  1.  Whenever the Attorney General is requested in writing by the Commissioner or the Director to represent him or her in instituting a legal proceeding against a person who has engaged or is engaging in a deceptive trade practice, the Attorney General may bring an action in the name of the State of Nevada against that person on behalf of the Commissioner or Director.

      2.  The Attorney General may institute criminal proceedings to enforce the provisions of NRS 598.0903 to 598.0999, inclusive [.] , and section 2 of this act. The Attorney General is not required to obtain leave of the court before instituting criminal proceedings pursuant to this subsection.

      3.  If the Attorney General has reason to believe that a person has engaged or is engaging in a deceptive trade practice, the Attorney General may bring an action in the name of the State of Nevada against that person to obtain a temporary restraining order, a preliminary or permanent injunction, or other appropriate relief.

      4.  If the Attorney General has cause to believe that a person has engaged or is engaging in a deceptive trade practice, the Attorney General may issue a subpoena to require the testimony of any person or the production of any documents, and may administer an oath or affirmation to any person providing such testimony. The subpoena must be served upon the person in the manner required for service of process in this State or by certified mail with return receipt requested. An employee of the Attorney General may personally serve the subpoena.

      Sec. 14. NRS 598.0967 is hereby amended to read as follows:

      598.0967  1.  The Commissioner and the Director, in addition to other powers conferred upon them by NRS 598.0903 to 598.0999, inclusive, and section 2 of this act, may issue subpoenas to require the attendance of witnesses or the production of documents, conduct hearings in aid of any investigation or inquiry and prescribe such forms and adopt such regulations as may be necessary to administer the provisions of NRS 598.0903 to 598.0999, inclusive [.] , and section 2 of this act. Such regulations may include, without limitation, provisions concerning the applicability of the provisions of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act to particular persons or circumstances.

 


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      2.  Except as otherwise provided in this subsection, service of any notice or subpoena must be made by certified mail with return receipt or as otherwise allowed by law. An employee of the Consumer Affairs Division of the Department of Business and Industry may personally serve a subpoena issued pursuant to this section.

      Sec. 15. NRS 598.0971 is hereby amended to read as follows:

      598.0971  1.  If, after an investigation, the Commissioner has reasonable cause to believe that any person has been engaged or is engaging in any deceptive trade practice in violation of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act, the Commissioner may issue an order directed to the person to show cause why the Director should not order the person to cease and desist from engaging in the practice and to pay an administrative fine. The order must contain a statement of the charges and a notice of a hearing to be held thereon. The order must be served upon the person directly or by certified or registered mail, return receipt requested.

      2.  An administrative hearing on any action brought by the Commissioner must be conducted before the Director or his or her designee.

      3.  If, after conducting a hearing pursuant to the provisions of subsection 2, the Director or his or her designee determines that the person has violated any of the provisions of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act or if the person fails to appear for the hearing after being properly served with the statement of charges and notice of hearing, the Director or his or her designee shall issue an order setting forth his or her findings of fact concerning the violation and cause to be served a copy thereof upon the person and any intervener at the hearing. If the Director or his or her designee determines in the report that such a violation has occurred, he or she may order the violator to:

      (a) Cease and desist from engaging in the practice or other activity constituting the violation;

      (b) Pay the costs of conducting the investigation, costs of conducting the hearing, costs of reporting services, fees for experts and other witnesses, charges for the rental of a hearing room if such a room is not available to the Director or his or her designee free of charge, charges for providing an independent hearing officer, if any, and charges incurred for any service of process, if the violator is adjudicated to have committed a violation of NRS 598.0903 to 598.0999, inclusive [;] , and section 2 of this act;

      (c) Provide restitution for any money or property improperly received or obtained as a result of the violation; and

      (d) Impose an administrative fine of $1,000 or treble the amount of restitution ordered, whichever is greater.

Ê The order must be served upon the person directly or by certified or registered mail, return receipt requested. The order becomes effective upon service in the manner provided in this subsection.

      4.  Any person whose pecuniary interests are directly and immediately affected by an order issued pursuant to subsection 3 or who is aggrieved by the order may petition for judicial review in the manner provided in chapter 233B of NRS. Such a petition must be filed within 30 days after the service of the order. The order becomes final upon the filing of the petition.

      5.  If a person fails to comply with any provision of an order issued pursuant to subsection 3, the Commissioner or the Director may, through the Attorney General, at any time after 30 days after the service of the order, cause an action to be instituted in the district court of the county wherein the person resides or has his or her principal place of business requesting the court to enforce the provisions of the order or to provide any other appropriate injunctive relief.

 


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person resides or has his or her principal place of business requesting the court to enforce the provisions of the order or to provide any other appropriate injunctive relief.

      6.  If the court finds that:

      (a) The violation complained of is a deceptive trade practice;

      (b) The proceedings by the Director or his or her designee concerning the written report and any order issued pursuant to subsection 3 are in the interest of the public; and

      (c) The findings of the Director or his or her designee are supported by the weight of the evidence,

Ê the court shall issue an order enforcing the provisions of the order of the Director or his or her designee.

      7.  An order issued pursuant to subsection 6 may include:

      (a) A provision requiring the payment to the Consumer Affairs Division of the Department of Business and Industry of a penalty of not more than $5,000 for each act amounting to a failure to comply with the Director’s or designee’s order;

      (b) An order that the person cease doing business within this State; and

      (c) Such injunctive or other equitable or extraordinary relief as is determined appropriate by the court.

      8.  Any aggrieved party may appeal from the final judgment, order or decree of the court in a like manner as provided for appeals in civil cases.

      9.  Upon the violation of any judgment, order or decree issued pursuant to subsection 6 or 7, the Commissioner, after a hearing thereon, may proceed in accordance with the provisions of NRS 598.0999.

      Sec. 16. NRS 598.0985 is hereby amended to read as follows:

      598.0985  Notwithstanding the requirement of knowledge as an element of a deceptive trade practice, and notwithstanding the enforcement powers granted to the Commissioner or Director pursuant to NRS 598.0903 to 598.0999, inclusive, and section 2 of this act, whenever the district attorney of any county has reason to believe that any person is using, has used or is about to use any deceptive trade practice, knowingly or otherwise, he or she may bring an action in the name of the State of Nevada against that person to obtain a temporary or permanent injunction against the deceptive trade practice.

      Sec. 17. NRS 598.0993 is hereby amended to read as follows:

      598.0993  The court in which an action is brought pursuant to NRS 598.0979 and 598.0985 to 598.099, inclusive, may make such additional orders or judgments as may be necessary to restore to any person in interest any money or property, real or personal, which may have been acquired by means of any deceptive trade practice which violates any of the provisions of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act, but such additional orders or judgments may be entered only after a final determination has been made that a deceptive trade practice has occurred.

      Sec. 18. NRS 598.0999 is hereby amended to read as follows:

      598.0999  1.  Except as otherwise provided in NRS 598.0974, a person who violates a court order or injunction issued pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act upon a complaint brought by the Commissioner, the Director, the district attorney of any county of this State or the Attorney General shall forfeit and pay to the State General Fund a civil penalty of not more than $10,000 for each violation. For the purpose of this section, the court issuing the order or injunction retains jurisdiction over the action or proceeding.

 


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injunction retains jurisdiction over the action or proceeding. Such civil penalties are in addition to any other penalty or remedy available for the enforcement of the provisions of NRS 598.0903 to 598.0999, inclusive [.] , and section 2 of this act.

      2.  Except as otherwise provided in NRS 598.0974, in any action brought pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act, if the court finds that a person has willfully engaged in a deceptive trade practice, the Commissioner, the Director, the district attorney of any county in this State or the Attorney General bringing the action may recover a civil penalty not to exceed $5,000 for each violation. The court in any such action may, in addition to any other relief or reimbursement, award reasonable attorney’s fees and costs.

      3.  A natural person, firm, or any officer or managing agent of any corporation or association who knowingly and willfully engages in a deceptive trade practice:

      (a) For the first offense, is guilty of a misdemeanor.

      (b) For the second offense, is guilty of a gross misdemeanor.

      (c) For the third and all subsequent offenses, is guilty of a category D felony and shall be punished as provided in NRS 193.130.

Ê The court may require the natural person, firm, or officer or managing agent of the corporation or association to pay to the aggrieved party damages on all profits derived from the knowing and willful engagement in a deceptive trade practice and treble damages on all damages suffered by reason of the deceptive trade practice.

      4.  Any offense which occurred within 10 years immediately preceding the date of the principal offense or after the principal offense constitutes a prior offense for the purposes of subsection 3 when evidenced by a conviction, without regard to the sequence of the offenses and convictions.

      5.  If a person violates any provision of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act, 598.100 to 598.2801, inclusive, 598.405 to 598.525, inclusive, 598.741 to 598.787, inclusive, 598.840 to 598.966, inclusive, or 598.9701 to 598.9718, inclusive, fails to comply with a judgment or order of any court in this State concerning a violation of such a provision, or fails to comply with an assurance of discontinuance or other agreement concerning an alleged violation of such a provision, the Commissioner or the district attorney of any county may bring an action in the name of the State of Nevada seeking:

      (a) The suspension of the person’s privilege to conduct business within this State; or

      (b) If the defendant is a corporation, dissolution of the corporation.

Ê The court may grant or deny the relief sought or may order other appropriate relief.

      6.  If a person violates any provision of NRS 228.500 to 228.640, inclusive, fails to comply with a judgment or order of any court in this State concerning a violation of such a provision, or fails to comply with an assurance of discontinuance or other agreement concerning an alleged violation of such a provision, the Attorney General may bring an action in the name of the State of Nevada seeking:

      (a) The suspension of the person’s privilege to conduct business within this State; or

      (b) If the defendant is a corporation, dissolution of the corporation.

 


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Ê The court may grant or deny the relief sought or may order other appropriate relief.

      Sec. 19. NRS 11.190 is hereby amended to read as follows:

      11.190  Except as otherwise provided in NRS 40.4639, 125B.050 and 217.007, actions other than those for the recovery of real property, unless further limited by specific statute, may only be commenced as follows:

      1.  Within 6 years:

      (a) Except as otherwise provided in NRS 62B.420 and 176.275, an action upon a judgment or decree of any court of the United States, or of any state or territory within the United States, or the renewal thereof.

      (b) An action upon a contract, obligation or liability founded upon an instrument in writing, except those mentioned in the preceding sections of this chapter.

      2.  Within 4 years:

      (a) An action on an open account for goods, wares and merchandise sold and delivered.

      (b) An action for any article charged on an account in a store.

      (c) An action upon a contract, obligation or liability not founded upon an instrument in writing.

      (d) An action against a person alleged to have committed a deceptive trade practice in violation of NRS 598.0903 to 598.0999, inclusive, and section 2 of this act, but the cause of action shall be deemed to accrue when the aggrieved party discovers, or by the exercise of due diligence should have discovered, the facts constituting the deceptive trade practice.

      3.  Within 3 years:

      (a) An action upon a liability created by statute, other than a penalty or forfeiture.

      (b) An action for waste or trespass of real property, but when the waste or trespass is committed by means of underground works upon any mining claim, the cause of action shall be deemed to accrue upon the discovery by the aggrieved party of the facts constituting the waste or trespass.

      (c) An action for taking, detaining or injuring personal property, including actions for specific recovery thereof, but in all cases where the subject of the action is a domestic animal usually included in the term “livestock,” which has a recorded mark or brand upon it at the time of its loss, and which strays or is stolen from the true owner without the owner’s fault, the statute does not begin to run against an action for the recovery of the animal until the owner has actual knowledge of such facts as would put a reasonable person upon inquiry as to the possession thereof by the defendant.

      (d) Except as otherwise provided in NRS 112.230 and 166.170, an action for relief on the ground of fraud or mistake, but the cause of action in such a case shall be deemed to accrue upon the discovery by the aggrieved party of the facts constituting the fraud or mistake.

      (e) An action pursuant to NRS 40.750 for damages sustained by a financial institution or other lender because of its reliance on certain fraudulent conduct of a borrower, but the cause of action in such a case shall be deemed to accrue upon the discovery by the financial institution or other lender of the facts constituting the concealment or false statement.

      4.  Within 2 years:

 


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ê2021 Statutes of Nevada, Page 1454 (CHAPTER 275, AB 359)ê

 

      (a) An action against a sheriff, coroner or constable upon liability incurred by acting in his or her official capacity and in virtue of his or her office, or by the omission of an official duty, including the nonpayment of money collected upon an execution.

      (b) An action upon a statute for a penalty or forfeiture, where the action is given to a person or the State, or both, except when the statute imposing it prescribes a different limitation.

      (c) An action for libel, slander, assault, battery, false imprisonment or seduction.

      (d) An action against a sheriff or other officer for the escape of a prisoner arrested or imprisoned on civil process.

      (e) Except as otherwise provided in NRS 11.215, an action to recover damages for injuries to a person or for the death of a person caused by the wrongful act or neglect of another. The provisions of this paragraph relating to an action to recover damages for injuries to a person apply only to causes of action which accrue after March 20, 1951.

      (f) An action to recover damages under NRS 41.740.

      5.  Within 1 year:

      (a) An action against an officer, or officer de facto to recover goods, wares, merchandise or other property seized by the officer in his or her official capacity, as tax collector, or to recover the price or value of goods, wares, merchandise or other personal property so seized, or for damages for the seizure, detention or sale of, or injury to, goods, wares, merchandise or other personal property seized, or for damages done to any person or property in making the seizure.

      (b) An action against an officer, or officer de facto for money paid to the officer under protest, or seized by the officer in his or her official capacity, as a collector of taxes, and which, it is claimed, ought to be refunded.

      Sec. 20. NRS 41.600 is hereby amended to read as follows:

      41.600  1.  An action may be brought by any person who is a victim of consumer fraud.

      2.  As used in this section, “consumer fraud” means:

      (a) An unlawful act as defined in NRS 119.330;

      (b) An unlawful act as defined in NRS 205.2747;

      (c) An act prohibited by NRS 482.36655 to 482.36667, inclusive;

      (d) An act prohibited by NRS 482.351; or

      (e) A deceptive trade practice as defined in NRS 598.0915 to 598.0925, inclusive [.] , and section 2 of this act.

      3.  If the claimant is the prevailing party, the court shall award the claimant:

      (a) Any damages that the claimant has sustained;

      (b) Any equitable relief that the court deems appropriate; and

      (c) The claimant’s costs in the action and reasonable attorney’s fees.

      4.  Any action brought pursuant to this section is not an action upon any contract underlying the original transaction.

      Sec. 21. NRS 482.554 is hereby amended to read as follows:

      482.554  1.  The Department may impose an administrative fine of not more than $10,000 against any person who engages in a deceptive trade practice. The Department shall afford to any person so fined an opportunity for a hearing pursuant to the provisions of NRS 233B.121.

 


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ê2021 Statutes of Nevada, Page 1455 (CHAPTER 275, AB 359)ê

 

      2.  For the purposes of this section, a person shall be deemed to be engaged in a “deceptive trade practice” if, in the course of his or her business or occupation, the person:

      (a) Enters into a contract for the sale of a vehicle on credit with a customer, exercises a valid option to cancel the vehicle sale and then, after the customer returns the vehicle with no damage other than reasonable wear and tear, the seller:

             (1) Fails to return any down payment or other consideration in full, including, returning a vehicle accepted in trade;

             (2) Knowingly makes a false representation to the customer that the customer must sign another contract for the sale of the vehicle on less favorable terms; or

             (3) Fails to use the disclosure as required in subsection 3.

      (b) Uses a contract for the sale of the vehicle or a security agreement that materially differs from the form prescribed by law.

      (c) Engages in any deceptive trade practice, as defined in NRS 598.0915 to 598.0925, inclusive, and section 2 of this act that involves the purchase and sale or lease of a motor vehicle.

      (d) Engages in any other acts prescribed by the Department by regulation as a deceptive trade practice.

      3.  If a seller of a vehicle exercises a valid option to cancel the sale of a vehicle to a customer, the seller must provide a disclosure, and the customer must sign that disclosure, before the seller and customer may enter into a new agreement for the sale of the same vehicle on different terms, or for the sale of a different vehicle. The Department shall prescribe the form of the disclosure by regulation.

      4.  All administrative fines collected by the Department pursuant to this section must be deposited with the State Treasurer to the credit of the State Highway Fund.

      5.  The administrative remedy provided in this section is not exclusive and is in addition to any other remedy provided by law. The provisions of this section do not deprive a person injured by a deceptive trade practice from resorting to any other legal remedy.

      Sec. 22. NRS 487.6889 is hereby amended to read as follows:

      487.6889  A person shall be deemed to be engaged in a “deceptive trade practice” if, in the course of his or her business or occupation, the person:

      1.  Engages in any deceptive trade practice, as defined in NRS 598.0915 to 598.0925, inclusive, and section 2 of this act that involves the repair of a motor vehicle; or

      2.  Engages in any other acts prescribed by the Director by regulation as a deceptive trade practice.

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ê2021 Statutes of Nevada, Page 1456ê

 

CHAPTER 276, AB 396

Assembly Bill No. 396–Committee on Judiciary

 

CHAPTER 276

 

[Approved: June 2, 2021]

 

AN ACT relating to peace officers; revising provisions relating to the use of deadly force to effectuate an arrest; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law authorizes an officer, if necessary to prevent the escape of a person and after giving a warning, if feasible, to use deadly force to effectuate the arrest of the person if there is probable cause to believe that the person: (1) has committed a felony involving the infliction or threat of serious bodily harm or the use of deadly force; or (2) poses a threat of serious bodily harm to the officer or others. (NRS 171.1455) Section 2 of this bill: (1) limits the persons authorized to use deadly force to effectuate an arrest to a peace officer, rather than an officer; and (2) requires that for deadly force to be used, the threat of serious bodily harm must be imminent.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1.  (Deleted by amendment.)

      Sec. 2. NRS 171.1455 is hereby amended to read as follows:

      171.1455  If necessary to prevent escape, [an] a peace officer may, after giving a warning, if feasible, use deadly force to effect the arrest of a person only if there is probable cause to believe that the person:

      1.  Has committed a felony which involves the infliction or threat of serious bodily harm or the use of deadly force; or

      2.  Poses [a] an imminent threat of serious bodily harm to the peace officer or to others.

      Sec. 3.  This act becomes effective on July 1, 2021.

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ê2021 Statutes of Nevada, Page 1457ê

 

CHAPTER 277, AB 400

Assembly Bill No. 400–Committee on Judiciary

 

CHAPTER 277

 

[Approved: June 2, 2021]

 

AN ACT relating to public safety; revising provisions relating to prohibited acts concerning the use of marijuana and certain other controlled substances; establishing provisions relating to administrative suspensions of commercial drivers’ licenses, permits and driving privileges; providing a penalty; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law prohibits a person from driving or being in actual physical control of a vehicle on a highway or on premises to which the public has access or operating or being in actual physical control of a vessel under power or sail on the waters of this State if the person: (1) is under the influence of intoxicating liquor or a controlled substance; (2) has specified amounts of certain prohibited substances in his or her blood or urine; or (3) has specified amounts of marijuana or marijuana metabolite in his or her blood. (NRS 484C.110, 488.410) For the purposes of any such offense punishable as a misdemeanor, sections 1.7 and 6 of this bill remove the prohibition against such a person having specified amounts of marijuana or marijuana metabolite in his or her blood, thereby providing that a person who uses marijuana is subject to the general prohibition against driving or being in actual physical control of a vehicle on a highway or on premises to which the public has access or operating or being in actual physical control of a vessel under power or sail on the waters of this State if the person is under the influence of a controlled substance. Thus, sections 1.7 and 6 provide that the specified amounts of marijuana or marijuana metabolite apply to those circumstances where the violation is punishable as a felony.

      Existing law provides that in certain circumstances compensation is not payable to employees in this State for an injury that occurred while an employee was under the influence of a controlled or prohibited substance unless the employee can prove that being under the influence of a controlled or prohibited substance was not the proximate cause of the injury. Existing law specifies that an employee is under the influence of a controlled or prohibited substance for the purpose of such a provision when the employee has an amount of certain prohibited substances, including marijuana or marijuana metabolite, in his or her system that is equal to or greater than the amount that prohibits a person from driving or being in actual physical control of a vehicle on a highway or on premises to which the public has access and for which the employee does not have a current and lawful prescription. (NRS 616C.230) Section 17 of this bill retains the amounts of such prohibited substances that are currently set forth in existing law for the purpose of determining whether an employee is under the influence of a prohibited substance, but removes the specified amount of marijuana metabolite.

      Existing law also prohibits a person from driving or being in actual physical control of a commercial motor vehicle on a highway or on premises to which the public has access if the person: (1) is under the influence of intoxicating liquor or a controlled substance; (2) has specified amounts of certain prohibited substances in his or her blood or urine; or (3) has specified amounts of marijuana or marijuana metabolite in his or her blood. (NRS 484C.120) Section 2 of this bill prohibits a person from driving or being in control of a commercial motor vehicle if there is any prohibited substance, as defined by 21 C.F.R. 1308.11, including, without limitation, marijuana, in the blood or urine of the person.

 


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ê2021 Statutes of Nevada, Page 1458 (CHAPTER 277, AB 400)ê

 

      Existing law provides that if certain tests show that a person less than 21 years of age had a concentration of alcohol of 0.02 or more but less than 0.08 in his or her blood or breath at the time of the test, the person’s driver’s license, permit or privilege to drive must be suspended for 90 days. (NRS 483.461) Section 1 of this bill establishes similar provisions relating to commercial motor vehicles. Specifically, section 1 provides that if certain tests show that a person 18 years of age or older had a concentration of alcohol of 0.04 or more but less than 0.08 in his or her blood or breath at the time of the test, or the person had any detectable amount of a schedule I controlled substance in his or her blood or urine at the time of the test, the person’s commercial driver’s license, commercial learner’s permit or privilege to drive a commercial motor vehicle must be suspended for 1 year. Sections 1.1-1.3 and 17.5 of this bill make conforming changes relating to such suspensions.

      Existing law prohibits a person from driving a commercial motor vehicle at any time when the driving privilege of the person is subject to disqualification and directs the Department of Motor Vehicles, upon receipt of notice of a disqualification, to: (1) suspend the privilege of the person to drive a commercial motor vehicle; and (2) charge the person a civil penalty. (NRS 483.924, 483.939) Sections 1.4 and 1.5 of this bill expressly provide that the disqualifying conduct includes disqualifications described by certain federal regulations.

      Existing federal regulations prohibit an employer from allowing, requiring, permitting or authorizing a driver to operate a commercial motor vehicle if the employer should have reasonably known that certain circumstances exist, including, a violation of an out-of-service order. (49 C.F.R. § 383.37) Existing state law authorizes the Department to impose a civil penalty against an employer who should have reasonably known that there was a violation of an out-of-service declaration. (NRS 483.939) Section 1.6 expands the circumstances under which the Department may impose the civil penalty on the employer to all the circumstances described in the federal regulation. Section 2 authorizes the imposition of the civil penalty described in section 1.6 on a person who commits certain unlawful acts relating to driving or being in actual physical control of a commercial motor vehicle on a highway or on a premises to which the public has access.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 483 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  If the result of a test given pursuant to NRS 484C.150 or 484C.160 shows that a person 18 years of age or older had a concentration of alcohol of 0.04 or more but less than 0.08 in his or her blood or breath or any detectable amount of a substance described in 21 C.F.R. 1308.11 in his or her blood or urine at the time of the test, the person’s commercial driver’s license, commercial learner’s permit or privilege to drive a commercial motor vehicle must be suspended for a period of 1 year.

      2.  This section does not preclude:

      (a) The prosecution of a person for a violation of any other provision of law; or

      (b) The suspension or revocation of a person’s commercial driver’s license, commercial learner’s permit or privilege to drive a commercial motor vehicle pursuant to any other provision of law.

      Sec. 1.1.NRS 483.461 is hereby amended to read as follows:

      483.461  1.  If the result of a test given pursuant to NRS 484C.150 or 484C.160 shows that a person less than 21 years of age had a concentration of alcohol of 0.02 or more but less than 0.08 in his or her blood or breath at the time of the test, the person’s license, permit or privilege to drive must be suspended for a period of 90 days.

 


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ê2021 Statutes of Nevada, Page 1459 (CHAPTER 277, AB 400)ê

 

or breath at the time of the test, the person’s license, permit or privilege to drive must be suspended for a period of 90 days.

      2.  If a revocation or suspension of a person’s license, permit or privilege to drive for a violation of NRS 62E.640, [484C.110,] 484C.120, 484C.130 or 484C.430 follows a suspension ordered pursuant to subsection 1, the Department shall:

      (a) Cancel the suspension ordered pursuant to subsection 1; and

      (b) Give the person credit toward the period of revocation or suspension ordered pursuant to NRS 62E.640, [484C.110,] 484C.120, 484C.130 or 484C.430, whichever is applicable, for any period during which the person’s license, permit or privilege to drive was suspended pursuant to subsection 1.

      3.  This section does not preclude:

      (a) The prosecution of a person for a violation of any other provision of law; or

      (b) The suspension or revocation of a person’s license, permit or privilege to drive pursuant to any other provision of law.

      Sec. 1.2.NRS 483.900 is hereby amended to read as follows:

      483.900  The purposes of NRS 483.900 to 483.940, inclusive, and section 1 of this act are to implement the Commercial Motor Vehicle Safety Act of 1986, as amended, 49 U.S.C. chapter 313 (§§ 31301 et seq.), and reduce or prevent commercial motor vehicle crashes, fatalities and injuries by:

      1.  Permitting drivers of commercial motor vehicles to hold only one license;

      2.  Providing for the disqualification of drivers of commercial motor vehicles who have committed certain serious traffic violations or other specified offenses;

      3.  Strengthening the licensing and testing standards for drivers of commercial motor vehicles; and

      4.  Ensuring that drivers of commercial motor vehicles carrying hazardous materials are qualified to operate a commercial motor vehicle in accordance with all regulations pertaining to the transportation of hazardous materials and have the skills and knowledge necessary to respond appropriately to any emergency arising out of the transportation of hazardous materials.

      Sec. 1.3.NRS 483.902 is hereby amended to read as follows:

      483.902  The provisions of NRS 483.900 to 483.940, inclusive, and section 1 of this act apply only with respect to commercial drivers’ licenses.

      Sec. 1.4.NRS 483.904 is hereby amended to read as follows:

      483.904  As used in NRS 483.900 to 483.940, inclusive, and section 1 of this act, unless the context otherwise requires:

      1.  “Commercial driver’s license” means a license issued to a person which authorizes the person to drive a class or type of commercial motor vehicle.

      2.  “Commercial Driver’s License Information System” means the information system maintained by the Secretary of Transportation pursuant to 49 U.S.C. § 31309 to serve as a clearinghouse for locating information relating to the licensing, identification and disqualification of operators of commercial motor vehicles.

      [3.  “Out-of-service order” means a temporary prohibition against:

      (a) A person operating a commercial motor vehicle as such a prohibition is described in 49 C.F.R. § 395.13; or

      (b) The operation of a commercial motor vehicle as such a prohibition is described in 49 C.F.R. § 396.9(c).]

 


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ê2021 Statutes of Nevada, Page 1460 (CHAPTER 277, AB 400)ê

 

      Sec. 1.5.NRS 483.924 is hereby amended to read as follows:

      483.924  A person shall not drive a commercial motor vehicle on the highways of this State:

      1.  Unless the person has been issued and has in his or her immediate possession a:

      (a) Commercial driver’s license with applicable endorsements valid for the vehicle the person is driving issued by this State or by any other jurisdiction in accordance with the minimum federal standards for the issuance of a commercial driver’s license; or

      (b) Valid learner’s permit for the operation of a commercial motor vehicle and is accompanied by the holder of a commercial driver’s license valid for the vehicle being driven.

      2.  At any time while the person’s driving privilege is suspended, revoked or cancelled, or while subject to a disqualification, including, without limitation, a disqualification for [violating an out-of-service order that is imposed pursuant to] any conduct described in 49 C.F.R. § [383.51(e).] 383.51.

      Sec. 1.6.NRS 483.939 is hereby amended to read as follows:

      483.939  1.  If the Department receives notice that a person who holds a commercial driver’s license has been convicted of driving a commercial motor vehicle in violation of [an out-of-service declaration, as] the prohibitions described in 49 C.F.R. § 395.13, the Department shall:

      (a) Suspend the privilege of the person to operate a commercial motor vehicle for the period set forth in 49 C.F.R. § [383.51(e);] 383.51; and

      (b) In addition to any other applicable fees and penalties that must be paid to reinstate the commercial driver’s license after suspension, impose against the person a civil penalty in the amount set forth in 49 C.F.R. § 383.53(b)(1).

      2.  If the Department receives notice that the employer of a person who holds a commercial driver’s license has been convicted of a violation of 49 C.F.R. § [383.37(c)] 383.37 for knowingly allowing, requiring, permitting or authorizing the person to operate a commercial motor vehicle during any period in which the person or the commercial motor vehicle is subject to [an out-of-service order,] the circumstances described in 49 C.F.R. § 383.37, the Department shall impose against the employer a civil penalty in the amount set forth in 49 C.F.R. § [383.53(b)(2).] 383.53.

      3.  All money collected by the Department pursuant to paragraph (b) of subsection 1 or subsection 2 must be deposited in the State Treasury for credit to the Motor Vehicle Fund.

      4.  The Department shall adopt regulations to carry out the provisions of this section.

      Sec. 1.7.NRS 484C.110 is hereby amended to read as follows:

      484C.110  1.  It is unlawful for any person who:

      (a) Is under the influence of intoxicating liquor;

      (b) Has a concentration of alcohol of 0.08 or more in his or her blood or breath; or

      (c) Is found by measurement within 2 hours after driving or being in actual physical control of a vehicle to have a concentration of alcohol of 0.08 or more in his or her blood or breath,

Ê to drive or be in actual physical control of a vehicle on a highway or on premises to which the public has access.

      2.  It is unlawful for any person who:

      (a) Is under the influence of a controlled substance;

 


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ê2021 Statutes of Nevada, Page 1461 (CHAPTER 277, AB 400)ê

 

      (b) Is under the combined influence of intoxicating liquor and a controlled substance; or

      (c) Inhales, ingests, applies or otherwise uses any chemical, poison or organic solvent, or any compound or combination of any of these, to a degree which renders the person incapable of safely driving or exercising actual physical control of a vehicle,

Ê to drive or be in actual physical control of a vehicle on a highway or on premises to which the public has access. The fact that any person charged with a violation of this subsection is or has been entitled to use that drug under the laws of this State is not a defense against any charge of violating this subsection.

      3.  It is unlawful for any person to drive or be in actual physical control of a vehicle on a highway or on premises to which the public has access with an amount of any of the following prohibited substances in his or her blood or urine that is equal to or greater than:

 

                                                                                  Urine                                   Blood

                                                                        Nanograms                         Nanograms

      Prohibited substance                            per milliliter                         per milliliter

 

      (a) Amphetamine                                               500                                       100

      (b) Cocaine                                                         150                                         50

      (c) Cocaine metabolite                                      150                                         50

      (d) Heroin                                                         2,000                                         50

      (e) Heroin metabolite:

             (1) Morphine                                             2,000                                         50

             (2) 6-monoacetyl morphine                          10                                         10

      (f) Lysergic acid diethylamide                           25                                         10

      (g) Methamphetamine                                       500                                       100

      (h) Phencyclidine                                                 25                                         10

 

      4.  [It] For any violation that is punishable pursuant to paragraph (c) of subsection 1 of NRS 484C.400, it is unlawful for any person to drive or be in actual physical control of a vehicle on a highway or on premises to which the public has access with an amount of any of the following prohibited substances in his or her blood that is equal to or greater than:

 

                                                                                                                               Blood

                                                                                                                     Nanograms

      Prohibited substance                                                                          per milliliter

 

      (a) Marijuana (delta-9-tetrahydrocannabinol)                                                  2

      (b) Marijuana metabolite (11-OH-tetrahydrocannabinol)                              5

 

      5.  If consumption is proven by a preponderance of the evidence, it is an affirmative defense under paragraph (c) of subsection 1 that the defendant consumed a sufficient quantity of alcohol after driving or being in actual physical control of the vehicle, and before his or her blood or breath was tested, to cause the defendant to have a concentration of alcohol of 0.08 or more in his or her blood or breath. A defendant who intends to offer this defense at a trial or preliminary hearing must, not less than 14 days before the trial or hearing or at such other time as the court may direct, file and serve on the prosecuting attorney a written notice of that intent.

 


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ê2021 Statutes of Nevada, Page 1462 (CHAPTER 277, AB 400)ê

 

      6.  A person who violates any provision of this section may be subject to any additional penalty set forth in NRS 484B.130 or 484B.135.

      Sec. 2. NRS 484C.120 is hereby amended to read as follows:

      484C.120  1.  It is unlawful for any person who:

      (a) Is under the influence of intoxicating liquor;

      (b) Has a concentration of alcohol of 0.04 or more but less than 0.08 in his or her blood or breath; or

      (c) Is found by measurement within 2 hours after driving or being in actual physical control of a commercial motor vehicle to have a concentration of alcohol of 0.04 or more but less than 0.08 in his or her blood or breath,

Ê to drive or be in actual physical control of a commercial motor vehicle on a highway or on premises to which the public has access.

      2.  It is unlawful for any person who:

      (a) Is under the influence of a controlled substance;

      (b) Is under the combined influence of intoxicating liquor and a controlled substance; or

      (c) Inhales, ingests, applies or otherwise uses any chemical, poison or organic solvent, or any compound or combination of any of these, to a degree which renders the person incapable of safely driving or exercising actual physical control of a commercial motor vehicle,

Ê to drive or be in actual physical control of a commercial motor vehicle on a highway or on premises to which the public has access. The fact that any person charged with a violation of this subsection is or has been entitled to use that drug under the laws of this State is not a defense against any charge of violating this subsection.

      3.  It is unlawful for any person to drive or be in actual physical control of a commercial motor vehicle on a highway or on premises to which the public has access with [an amount of] any [of the following] prohibited [substances] substance in his or her blood or urine . [that is equal to or greater than:

 

                                                                                  Urine                                   Blood

                                                                        Nanograms                         Nanograms

      Prohibited substance                            per milliliter                         per milliliter

 

      (a) Amphetamine                                               500                                       100

      (b) Cocaine                                                         150                                         50

      (c) Cocaine metabolite                                      150                                         50

      (d) Heroin                                                         2,000                                         50

      (e) Heroin metabolite:

             (1) Morphine                                             2,000                                         50

             (2) 6-monoacetyl morphine                          10                                         10

      (f) Lysergic acid diethylamide                           25                                         10

      (g) Methamphetamine                                       500                                       100

      (h) Phencyclidine                                                 25                                        10]

As used in this subsection, “prohibited substance” means any substance described in 21 C.F.R. 1308.11.

 

      4.  [It is unlawful for any person to drive or be in actual physical control of a commercial motor vehicle on a highway or on premises to which the public has access with an amount of any of the following prohibited substances in his or her blood that is equal to or greater than:

 


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ê2021 Statutes of Nevada, Page 1463 (CHAPTER 277, AB 400)ê

 

                                                                                                                               Blood

                                                                                                                     Nanograms

      Prohibited substance                                                                          per milliliter

 

      (a) Marijuana (delta-9-tetrahydrocannabinol)                                                  2

      (b) Marijuana metabolite (11-OH-tetrahydrocannabinol)                              5

 

      5.] If consumption is proven by a preponderance of the evidence, it is an affirmative defense under paragraph (c) of subsection 1 that the defendant consumed a sufficient quantity of alcohol after driving or being in actual physical control of the commercial motor vehicle, and before his or her blood or breath was tested, to cause the defendant to have a concentration of alcohol of 0.04 or more in his or her blood or breath. A defendant who intends to offer this defense at a trial or preliminary hearing must, not less than 14 days before the trial or hearing or at such other time as the court may direct, file and serve on the prosecuting attorney a written notice of that intent.

      [6.] 5.  A person who violates any provision of this section may be subject to any additional penalty set forth in NRS 483.939, 484B.130 or 484B.135.

      [7.] 6.  As used in this section:

      (a) “Commercial motor vehicle” means a motor vehicle or combination of motor vehicles used in commerce to transport passengers or property if the motor vehicle:

             (1) Has a gross combination weight rating of 26,001 or more pounds which includes a towed unit with a gross vehicle weight rating of more than 10,000 pounds;

             (2) Has a gross vehicle weight rating of 26,001 or more pounds;

             (3) Is designed to transport 16 or more passengers, including the driver; or

             (4) Regardless of size, is used in the transportation of materials which are considered to be hazardous for the purposes of the federal Hazardous Materials Transportation Act, 49 U.S.C. §§ 5101 et seq., and for which the display of identifying placards is required pursuant to 49 C.F.R. Part 172, Subpart F.

      (b) The phrase “concentration of alcohol of 0.04 or more but less than 0.08 in his or her blood or breath” means 0.04 gram or more but less than 0.08 gram of alcohol per 100 milliliters of the blood of a person or per 210 liters of his or her breath.

      Secs. 3-5. (Deleted by amendment.)

      Sec. 6. NRS 488.410 is hereby amended to read as follows:

      488.410  1.  It is unlawful for any person who:

      (a) Is under the influence of intoxicating liquor;

      (b) Has a concentration of alcohol of 0.08 or more in his or her blood or breath; or

      (c) Is found by measurement within 2 hours after operating or being in actual physical control of a vessel to have a concentration of alcohol of 0.08 or more in his or her blood or breath,

Ê to operate or be in actual physical control of a vessel under power or sail on the waters of this State.

      2.  It is unlawful for any person who:

      (a) Is under the influence of a controlled substance;

      (b) Is under the combined influence of intoxicating liquor and a controlled substance; or

 


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ê2021 Statutes of Nevada, Page 1464 (CHAPTER 277, AB 400)ê

 

      (c) Inhales, ingests, applies or otherwise uses any chemical, poison or organic solvent, or any compound or combination of any of these, to a degree which renders the person incapable of safely operating or exercising actual physical control of a vessel under power or sail,

Ê to operate or be in actual physical control of a vessel under power or sail on the waters of this State.

      3.  It is unlawful for any person to operate or be in actual physical control of a vessel under power or sail on the waters of this State with an amount of any of the following prohibited substances in his or her blood or urine that is equal to or greater than:

 

                                                                                  Urine                                   Blood

                                                                 Nanograms per                  Nanograms per

      Prohibited substance                                  milliliter                               milliliter

 

      (a) Amphetamine                                               500                                       100

      (b) Cocaine                                                         150                                         50

      (c) Cocaine metabolite                                      150                                         50

      (d) Heroin                                                         2,000                                         50

      (e) Heroin metabolite:

             (1) Morphine                                             2,000                                         50

             (2) 6-monoacetyl morphine                          10                                         10

      (f) Lysergic acid diethylamide                           25                                         10

      (g) Methamphetamine                                       500                                       100

      (h) Phencyclidine                                                 25                                         10

 

      4.  [It] For any violation that is punishable pursuant to NRS 488.427, it is unlawful for any person to operate or be in actual physical control of a vessel under power or sail on the waters of this State with an amount of any of the following prohibited substances in his or her blood that is equal to or greater than:

 

                                                                                                                               Blood

                                                                                                              Nanograms per

      Prohibited substance                                                                                 milliliter

 

      (a) Marijuana (delta-9-tetrahydrocannabinol)                                                  2

      (b) Marijuana metabolite (11-OH-tetrahydrocannabinol)                              5

 

      5.  If consumption is proven by a preponderance of the evidence, it is an affirmative defense under paragraph (c) of subsection 1 that the defendant consumed a sufficient quantity of alcohol after operating or being in actual physical control of the vessel, and before his or her blood was tested, to cause the defendant to have a concentration of 0.08 or more of alcohol in his or her blood or breath. A defendant who intends to offer this defense at a trial or preliminary hearing must, not less than 14 days before the trial or hearing or at such other time as the court may direct, file and serve on the prosecuting attorney a written notice of that intent.

      6.  Except as otherwise provided in NRS 488.427, a person who violates the provisions of this section is guilty of a misdemeanor.

      Secs. 7-16. (Deleted by amendment.)

 


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ê2021 Statutes of Nevada, Page 1465 (CHAPTER 277, AB 400)ê

 

      Sec. 17. NRS 616C.230 is hereby amended to read as follows:

      616C.230  1.  Compensation is not payable pursuant to the provisions of chapters 616A to 616D, inclusive, or chapter 617 of NRS for an injury:

      (a) Caused by the employee’s willful intention to injure himself or herself.

      (b) Caused by the employee’s willful intention to injure another.

      (c) That occurred while the employee was in a state of intoxication, unless the employee can prove by clear and convincing evidence that his or her state of intoxication was not the proximate cause of the injury. For the purposes of this paragraph, an employee is in a state of intoxication if the level of alcohol in the bloodstream of the employee meets or exceeds the limits set forth in subsection 1 of NRS 484C.110.

      (d) That occurred while the employee was under the influence of a controlled or prohibited substance, unless the employee can prove by clear and convincing evidence that his or her being under the influence of a controlled or prohibited substance was not the proximate cause of the injury. For the purposes of this paragraph, an employee is under the influence of a controlled or prohibited substance if the employee had an amount of a controlled or prohibited substance for which the employee did not have a current and lawful prescription issued in the employee’s name in his or her system at the time of his or her injury that was equal to or greater than [the limits set forth in subsection 3 or 4 of NRS 484C.110 and for which the employee did not have a current and lawful prescription issued in the employee’s name.] :

 

                                                                                      Urine                              Blood

                                                                    Nanograms per              Nanograms per

            Prohibited substance                              milliliter                         milliliter

 

            (1) Amphetamine                                            500                                   100

            (2) Cocaine                                                       150                                     50

            (3) Cocaine metabolite                                   150                                     50

            (4) Heroin                                                      2,000                                     50

            (5) Heroin metabolite:

                   (I) Morphine                                          2,000                                     50

                   (II) 6-monoacetyl morphine                     10                                     10

            (6) Lysergic acid diethylamide                        25                                     10

            (7) Methamphetamine                                   500                                   100

            (8) Phencyclidine                                              25                                     10

            (9) Marijuana (delta-9-tetrahydrocannabinol)                                             2

 

      2.  For the purposes of paragraphs (c) and (d) of subsection 1:

      (a) The affidavit or declaration of an expert or other person described in NRS 50.310, 50.315 or 50.320 is admissible to prove the existence of an impermissible quantity of alcohol or the existence, quantity or identity of an impermissible controlled or prohibited substance in an employee’s system. If the affidavit or declaration is to be so used, it must be submitted in the manner prescribed in NRS 616C.355.

      (b) When an examination requested or ordered includes testing for the use of alcohol or a controlled or prohibited substance, the laboratory that conducts the testing must be licensed pursuant to the provisions of chapter 652 of NRS.

      (c) The results of any testing for the use of alcohol or a controlled or prohibited substance, irrespective of the purpose for performing the test, must be made available to an insurer or employer upon request, to the extent that doing so does not conflict with federal law.

 


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ê2021 Statutes of Nevada, Page 1466 (CHAPTER 277, AB 400)ê

 

      3.  No compensation is payable for the death, disability or treatment of an employee if the employee’s death is caused by, or insofar as the employee’s disability is aggravated, caused or continued by, an unreasonable refusal or neglect to submit to or to follow any competent and reasonable surgical treatment or medical aid.

      4.  If any employee persists in an unsanitary or injurious practice that imperils or retards his or her recovery, or refuses to submit to such medical or surgical treatment as is necessary to promote his or her recovery, the employee’s compensation may be reduced or suspended.

      5.  An injured employee’s compensation, other than accident benefits, must be suspended if:

      (a) A physician or chiropractor determines that the employee is unable to undergo treatment, testing or examination for the industrial injury solely because of a condition or injury that did not arise out of and in the course of employment; and

      (b) It is within the ability of the employee to correct the nonindustrial condition or injury.

Ê The compensation must be suspended until the injured employee is able to resume treatment, testing or examination for the industrial injury. The insurer may elect to pay for the treatment of the nonindustrial condition or injury.

      6.  As used in this section, “prohibited substance” [has the meaning ascribed to it in NRS 484C.080.] means any of the following substances if the person who uses the substance has not been issued a valid prescription to use the substance and the substance is classified in schedule I or II pursuant to NRS 453.166 or 453.176 when it is used:

      (a) Amphetamine.

      (b) Cocaine.

      (c) Cocaine metabolite.

      (d) Heroin.

      (e) Heroin metabolite:

             (1) Morphine.

             (2) 6-monoacetyl morphine.

      (f) Lysergic acid diethylamide.

      (g) Methamphetamine.

      (h) Phencyclidine.

      (i) Marijuana (delta-9-tetrahydrocannabinol).

      Sec. 17.5. Section 1 of this act is hereby amended to read as follows:

       Section 1.  Chapter 483 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  If the result of a test given pursuant to NRS 484C.150 or 484C.160 shows that a person 18 years of age or older had a concentration of alcohol of 0.04 or more but less than [0.08] 0.10 in his or her blood or breath or any detectable amount of a substance described in 21 C.F.R. 1308.11 in his or her blood or urine at the time of the test, the person’s commercial driver’s license, commercial learner’s permit or privilege to drive a commercial motor vehicle must be suspended for a period of 1 year.

       2.  This section does not preclude:

       (a) The prosecution of a person for a violation of any other provision of law; or

       (b) The suspension or revocation of a person’s commercial driver’s license, commercial learner’s permit or privilege to drive a commercial motor vehicle pursuant to any other provision of law.

 


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ê2021 Statutes of Nevada, Page 1467 (CHAPTER 277, AB 400)ê

 

      Sec. 18.  1.  This section and sections 1 to 17, inclusive, of this act become effective on July 1, 2021.

      2.  Section 17.5 of this act becomes effective on the date of the repeal of the federal law requiring each state to make it unlawful for a person to operate a motor vehicle with a blood alcohol concentration of 0.08 percent or greater as a condition to receiving federal funding for the construction of highways in this State.

________

CHAPTER 278, SB 4

Senate Bill No. 4–Committee on Government Affairs

 

CHAPTER 278

 

[Approved: June 2, 2021]

 

AN ACT relating to fireworks; revising provisions governing the authority of a board of county commissioners to enact certain ordinances related to fireworks; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Under existing law, a board of county commissioners is authorized to pass ordinances that: (1) regulate the sale, use, storage and possession of fireworks; and (2) provide penalties for a violation of such an ordinance. (NRS 244.367) This bill: (1) clarifies that the penalties that may be imposed for such a violation are criminal or civil penalties, or both; (2) limits the minimum and maximum amounts of a civil penalty that may be imposed pursuant to such an ordinance; and (3) prohibits civil penalties from being imposed pursuant to such an ordinance on a person who has received a license or permit pursuant to the ordinance. Section 2 of this bill also requires the consideration of certain factors such as the number and severity of any previous offenses when determining the amount and category of civil and criminal penalties. Section 2 further provides that the prohibitions of such an ordinance do not apply to a child under the age of 18 years unless the child has been emancipated.

      Section 1 of this bill makes a conforming change related to clarifying that a board may provide both criminal and civil penalties related to the regulation, sale, use, storage and possession of fireworks.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 244.33509 is hereby amended to read as follows:

      244.33509  1.  [A] Except as otherwise provided in NRS 244.367, a board of county commissioners may by ordinance provide for the imposition of a civil penalty in lieu of a criminal penalty for the violation of an ordinance enacted by the board concerning the licensing or regulation of businesses unless state law provides a criminal penalty for the same act or omission.

      2.  If a board of county commissioners adopts an ordinance providing for the imposition of a civil penalty in lieu of a criminal penalty as described in subsection 1, the board shall:

      (a) Determine violations and levy civil penalties for those violations; or

      (b) Delegate to a hearing officer or hearing board the authority to determine violations and levy civil penalties for those violations.

 


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ê2021 Statutes of Nevada, Page 1468 (CHAPTER 278, SB 4)ê

 

      3.  The amount of a civil penalty levied pursuant to subsection 2 must not exceed $1,000 for each violation.

      4.  As used in this section, an ordinance “concerning the licensing or regulation of businesses” includes, without limitation, an ordinance that:

      (a) Prescribes the criteria that must be satisfied before the business may be licensed in the county or its license may be renewed in the county;

      (b) Sets forth the licensing fee that must be paid before the business may be licensed in the county or its license may be renewed in the county;

      (c) Describes the practices, transactions or acts in which a business licensed in the county may engage;

      (d) Describes the practices, transactions or acts in which a business licensed in the county is prohibited from engaging; or

      (e) Prohibits the operation within the county of a business that is:

             (1) Unlicensed; or

             (2) Not licensed to engage in the particular activities in which it is engaging.

      Sec. 2. NRS 244.367 is hereby amended to read as follows:

      244.367  1.  [The] Except as otherwise provided in subsection 3, the board of county commissioners shall have power and jurisdiction in their respective counties to pass ordinances [prohibiting,] :

      (a) Prohibiting, restricting, suppressing or otherwise regulating the sale, use, storage and possession of fireworks ; [,] and [providing]

      (b) Providing for the imposition of criminal or civil penalties , or both, for the violation thereof. A civil penalty imposed pursuant to such an ordinance must not be:

             (1) In an amount less than $250 or more than $1,000 for a violation involving less than 100 pounds in gross weight of fireworks, including packaging;

             (2) In an amount less than $1,000 or more than $5,000 for a violation involving not less than 100 pounds or more than 5,000 pounds in gross weight of fireworks, including packaging;

             (3) In an amount less than $5,000 or more than $10,000 for a violation involving more than 5,000 pounds in gross weight of fireworks, including packaging; or

             (4) Imposed against a person who has been issued a license or permit pursuant to the ordinance.

      2.  An ordinance passed pursuant to subsection 1 must [provide] :

      (a) Provide that any license or permit that may be required for the sale of fireworks must be issued by the licensing authority for:

      [(a)](1) The county, if the fireworks are sold within the unincorporated areas of the county; or

      [(b)](2) A city located within the county, if the fireworks are sold within the jurisdiction of that city [.] ; and

      (b) Establish factors for determining the severity of any criminal penalty or any civil penalty within the limits contained in paragraph (b) of subsection 1 that take into account, without limitation, the number and severity of any previous violations.

      3.  An ordinance passed pursuant to subsection 1 must not apply to a child under the age of 18 years unless the child is emancipated.

      Sec. 3.  This act becomes effective upon passage and approval.

________

 


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ê2021 Statutes of Nevada, Page 1469ê

 

CHAPTER 279, SB 75

Senate Bill No. 75–Committee on Commerce and Labor

 

CHAPTER 279

 

[Approved: June 2, 2021]

 

AN ACT relating to unemployment compensation; revising provisions relating to personnel of the Employment Security Division of the Department of Employment, Training and Rehabilitation; revising requirements relating to the confidentiality of information concerning unemployment compensation; authorizing an extended benefit period to begin before the 14th week following the end of a prior extended benefit period under certain circumstances; revising provisions governing the electronic transmission of certain communications related to unemployment compensation; revising provisions relating to eligibility for unemployment benefits under certain circumstances; revising provisions relating to the judicial review of a decision of the Board of Review; revising requirements for the payment of certain refunds and adjustments; modifying certain requirements concerning unemployment benefits paid during certain periods of time; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      The Unemployment Compensation Law generally: (1) requires employers to pay contributions into the Unemployment Compensation Fund at a certain rate of the wages paid by the employer for employment; and (2) makes persons who have become unemployed and comply with certain requirements eligible for benefits from the Unemployment Compensation Fund in an amount based on the person’s previous wages for employment. (Chapter 612 of NRS)

      Existing law requires the Administrator of the Employment Security Division of the Department of Employment, Training and Rehabilitation to fill all positions in the Division, except the post of Administrator and Senior Attorney, from registers prepared by the Division of Human Resource Management of the Department of Administration. (NRS 612.230) Section 2.5 of this bill exempts from this requirement any positions for attorneys.

      Existing federal law imposes various requirements on states concerning the confidentiality and disclosure of information related to unemployment compensation. (20 C.F.R. Part 603) Section 3 of this bill revises and removes certain provisions of existing law concerning the confidentiality of such information and the circumstances under which the Administrator is authorized to disclose such information for the purposes of complying with federal law. (NRS 612.265)

      Existing law requires an eligible person who is unemployed in any week to be paid a benefit for that week in the amount of the person’s weekly benefit amount, less 75 percent of the remuneration payable to the person for that week. (NRS 612.350) Section 4 of this bill reduces this percentage to 66 2/3 percent of the remuneration payable to the person beginning January 1, 2022.

      Existing law provides for the payment of extended unemployment benefits to a person who has exhausted his or her regular unemployment benefits and who meets certain eligibility requirements during an extended benefit period. (NRS 612.377, 612.3774) Under existing law, an extended benefit period: (1) begins after the Administrator makes certain determinations relating to the level of unemployment in this State; and (2) is prohibited from lasting more than 13 consecutive weeks. Existing law also prohibits an extended benefit period from beginning before the 14th week following the end of a prior extended benefit period which was in effect for Nevada. (NRS 612.377) Section 5.5 of this bill authorizes an extended benefit period to begin before the 14th week following the end of a prior extended benefit period if authorized by federal law.

 


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ê2021 Statutes of Nevada, Page 1470 (CHAPTER 279, SB 75)ê

 

to begin before the 14th week following the end of a prior extended benefit period if authorized by federal law. Section 20 of this bill applies this authorization retroactively on and after December 27, 2020.

      Existing federal law requires that unemployment benefits be denied to certain employees of educational institutions for any period between successive academic years or terms, a vacation or a recess for a holiday, if there is reasonable assurance that the employee will return to service in the ensuing academic year for any educational institution. (26 U.S.C. § 3304(a)(6)) The United States Department of Labor has issued guidance setting forth certain procedures concerning the application of this requirement to employees of multiple educational institutions. (U.S. Dept. of Labor UIPL 5-17 (2016)) Sections 6 and 7 of this bill set forth requirements for determining the eligibility for unemployment benefits of persons who provide services in multiple capacities for educational institutions in accordance with federal guidance.

      Under existing law, the Administrator or Division is authorized to provide documents or communications to a person electronically if the person has requested to receive documents or communications electronically. (NRS 612.253) Sections 5, 8-13, 15-17 and 18 of this bill revise provisions of existing law requiring certain notices, bills and other communications relating to unemployment compensation to be mailed or personally served for the purposes of allowing such notices, bills and communications to be provided electronically.

      Section 13.5 of this bill specifies that a petition for judicial review of a decision of the Board of Review that is required to be served upon the Administrator under existing law is required to be served upon the Administrator at a designated office of the Administrator in Carson City. (NRS 612.530)

      Existing law requires an employer who wishes to make an application for a refund or adjustment relating to a payment of contributions, forfeit or interest which has been erroneously collected to make such an application not later than 3 years after the date on which such payments become due. (NRS 612.655) Section 17.5 of this bill removes the 3-year limitation with respect to applications for refunds. Under existing law, an adjustment or refund will not be made with respect to contributions on wages which have been included in the determination of an eligible claim for benefits unless it is shown to the satisfaction of the Administrator that the determination was due entirely to the fault or mistake of the Division. (NRS 612.655) Section 17.5 removes these limitations with respect to the making of refunds.

      Section 18.5 of this bill prohibits the State of Nevada from being charged fees of any kind in any proceeding under the Unemployment Compensation Law.

      Under existing law, an employer’s contribution rate is based on the employer’s experience rating, which reflects the amount of unemployment compensation benefits that are paid to former employees and charged to the employer’s experience rating record. Existing law requires, in general, that a certain percentage of unemployment benefits paid to a person be charged against the experience rating record of each employer from which the person received wages during his or her base period. (NRS 612.550) Section 19.5 of this bill provides that benefits paid to a person during the second or third calendar quarter of calendar year 2020 are prohibited from being charged against the experience rating record of any of the person’s base period employers.

      Existing law authorizes certain employers to reimburse the Unemployment Compensation Fund for benefits paid to their former employees rather than making quarterly contributions to the Fund. Existing law requires the Administrator to, after the end of each calendar quarter or at the end of any other period as determined by the Administrator, determine the amount of reimbursement due from each employer who has elected to make reimbursement in lieu of contributions and bill each such employer for that amount. (NRS 612.553) Existing federal law requires the Secretary of Labor to transfer funds to the accounts of the states in the Unemployment Trust Fund which are required to be used to reduce the amounts required to be paid in lieu of contributions by employers who have elected to make reimbursement in lieu of contributions for weeks of unemployment during the period beginning on March 13, 2020, and ending on September 6, 2021.

 


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ê2021 Statutes of Nevada, Page 1471 (CHAPTER 279, SB 75)ê

 

2020, and ending on September 6, 2021. (42 U.S.C. § 1103(i)) Section 19.5 of this bill requires the Administrator, in determining the amount of reimbursement due from an employer who has elected to make reimbursement in lieu of contributions that is attributable to benefits paid to a person during a week of unemployment in which such federal funds are available, to reduce the amount of reimbursement due by such an amount as to: (1) use all such federal funds which are available; and (2) result in the employer owing no amount of reimbursement for that week.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Sections 1 and 2. (Deleted by amendment.)

      Sec. 2.5. NRS 612.230 is hereby amended to read as follows:

      612.230  1.  For the purpose of ensuring the impartial selection of personnel on the basis of merit, the Administrator shall fill all positions in the Division, except the post of Administrator and Senior Attorney [,] and any positions for attorneys, from registers prepared by the Division of Human Resource Management of the Department of Administration, in conformity with such rules, regulations and classification and compensation plans relating to the selection of personnel as may be adopted or prescribed by the Administrator.

      2.  The Administrator shall select all personnel either from the first five candidates on the eligible lists as provided in this chapter, or from the highest rating candidate within a radius of 60 miles of the place in which the duties of the position will be performed. The Administrator may fix the compensation and prescribe the duties and powers of such personnel, including such officers, accountants, attorneys, experts, and other persons as may be necessary in the performance of the duties under this chapter, and may delegate to any such person such power and authority as the Administrator deems reasonable and proper for its effective administration.

      3.  The Administrator shall classify positions under this chapter and shall establish salary schedules and minimum personnel standards for the positions so classified. The Administrator shall devise and establish fair and reasonable regulations governing promotions, demotions and terminations for cause in accordance with such established personnel practices as will tend to promote the morale and welfare of the organization.

      4.  The Administrator may grant educational leave stipends to officers and employees of the Division if all of the cost of the educational leave stipends may be paid from money of the Federal Government.

      Sec. 3. NRS 612.265 is hereby amended to read as follows:

      612.265  1.  Except as otherwise provided in this section and NRS 239.0115, 607.217 and 612.642, information obtained from any employing unit or person pursuant to the administration of this chapter , [and] any determination as to the benefit rights of any person and any information relating to the contributions paid by an employing unit under this chapter is confidential and may not be disclosed or be open to public inspection in any manner . [which would reveal the person’s or employing unit’s identity.]

      2.  [Any claimant or a legal representative of a claimant is entitled to] The Administrator may disclose any confidential information [from the records of the Division, to the extent necessary for the proper presentation of the claimant’s claim in any proceeding pursuant to this chapter. A claimant or an employing unit is not entitled to information from the records of the Division for any other purpose.]

 


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ê2021 Statutes of Nevada, Page 1472 (CHAPTER 279, SB 75)ê

 

or an employing unit is not entitled to information from the records of the Division for any other purpose.] in accordance with the requirements enumerated in 20 C.F.R. Part 603 or any successor regulation and any written guidance promulgated and issued by the United States Department of Labor consistent with 20 C.F.R. Part 603.

      3.  The Administrator may, in accordance with a cooperative agreement among all participants in the statewide longitudinal data system developed pursuant to NRS 400.037 and administered pursuant to NRS 223.820, make the information obtained by the Division available to:

      (a) The Board of Regents of the University of Nevada for the purpose of complying with the provisions of subsection 4 of NRS 396.531; and

      (b) The Director of the Department of Employment, Training and Rehabilitation for the purpose of complying with the provisions of paragraph (d) of subsection 1 of NRS 232.920.

      4.  [Subject to such restrictions as the Administrator may by regulation prescribe, the information obtained by the Division may be made available to:

      (a) Any agency of this or any other state or any federal agency charged with the administration or enforcement of laws relating to unemployment compensation, public assistance, workers’ compensation or labor and industrial relations, or the maintenance of a system of public employment offices;

      (b) Any state or local agency for the enforcement of child support;

      (c) The Internal Revenue Service of the Department of the Treasury;

      (d) The Department of Taxation;

      (e) The State Contractors’ Board in the performance of its duties to enforce the provisions of chapter 624 of NRS; and

      (f) The Secretary of State to operate the state business portal established pursuant to chapter 75A of NRS for the purposes of verifying that data submitted via the portal has satisfied the necessary requirements established by the Division, and as necessary to maintain the technical integrity and functionality of the state business portal established pursuant to chapter 75A of NRS.

Ê Information obtained in connection with the administration of the Division may be made available to persons or agencies for purposes appropriate to the operation of a public employment service or a public assistance program.

      5.  Upon written request made by the State Controller or a public officer of a local government, the Administrator shall furnish from the records of the Division the name, address and place of employment of any person listed in the records of employment of the Division. The request may be made electronically and must set forth the social security number of the person about whom the request is made and contain a statement signed by the proper authority of the State Controller or local government certifying that the request is made to allow the proper authority to enforce a law to recover a debt or obligation assigned to the State Controller for collection or owed to the local government, as applicable. Except as otherwise provided in NRS 239.0115, the information obtained by the State Controller or local government is confidential and may not be used or disclosed for any purpose other than the collection of a debt or obligation assigned to the State Controller for collection or owed to that local government.

 


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ê2021 Statutes of Nevada, Page 1473 (CHAPTER 279, SB 75)ê

 

Controller for collection or owed to that local government. The Administrator may charge a reasonable fee for the cost of providing the requested information.

      6.]  The Administrator may publish [or otherwise provide] aggregate statistics and information on [the names of] employers, [their addresses,] their type or class of business or industry [,] and the approximate number of employees employed by [each] such [employer,] employers, if the information released will assist unemployed persons to obtain employment or will be generally useful in developing and diversifying the economic interests of this State. Upon request by a state agency which is able to demonstrate that its intended use of the information will benefit the residents of this State, the Administrator may, in addition to the information listed in this subsection, disclose the number of employees employed by each employer and the total wages paid by each employer. The Administrator may charge a fee to cover the actual costs of any administrative expenses relating to the disclosure of this information . [to a state agency. The Administrator may require the state agency to certify in writing that the agency will take all actions necessary to maintain the confidentiality of the information and prevent its unauthorized disclosure.

      7.  Upon request therefor, the Administrator shall furnish to any agency of the United States charged with the administration of public works or assistance through public employment, and may furnish to any state agency similarly charged, the name, address, ordinary occupation and employment status of each recipient of benefits and the recipient’s rights to further benefits pursuant to this chapter.

      8.]5.  To further a current criminal investigation, the chief executive officer of any law enforcement agency of this State , another state or the Federal Government may submit a written request to the Administrator that the Administrator furnish, from the records of the Division, the name, address and place of employment of any person listed in the records of employment of the Division. The request must set forth the social security number of the person about whom the request is made and contain a statement signed by the chief executive officer certifying that the request is made to further a criminal investigation currently being conducted by the agency. Upon receipt of such a request, the Administrator shall furnish the information requested. The Administrator may charge a fee to cover the actual costs of any related administrative expenses.

      [9.  In addition to the provisions of subsection 6, the Administrator shall provide lists containing the names and addresses of employers, and information regarding the wages paid by each employer to the Department of Taxation, upon request, for use in verifying returns for the taxes imposed pursuant to chapters 363A, 363B and 363C of NRS. The Administrator may charge a fee to cover the actual costs of any related administrative expenses.

      10.  Upon the request of any district judge or jury commissioner of the judicial district in which the county is located,]

      6.  In response to a request from a court official with subpoena authority, the Administrator shall, in [accordance with other agreements entered into with other district courts and in] compliance with 20 C.F.R. Part 603, and any other applicable federal laws and regulations governing the Division, furnish the name, address and date of birth of persons who receive benefits in any county, for use in the selection of trial jurors pursuant to NRS 6.045.

 


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ê2021 Statutes of Nevada, Page 1474 (CHAPTER 279, SB 75)ê

 

NRS 6.045. [The court or jury commissioner who requests the list of such persons shall reimburse the Division for the reasonable cost of providing the requested information.

      11.]7.  The Division of Industrial Relations of the Department of Business and Industry shall periodically submit to the Administrator, from information in the index of claims established pursuant to NRS 616B.018, a list containing the name of each person who received benefits pursuant to chapters 616A to 616D, inclusive, or chapter 617 of NRS. Upon receipt of that information, the Administrator shall compare the information so provided with the records of the Employment Security Division regarding persons claiming benefits pursuant to this chapter for the same period. The information submitted by the Division of Industrial Relations must be in a form determined by the Administrator and must contain the social security number of each such person. If it appears from the information submitted that a person is simultaneously claiming benefits under this chapter and under chapters 616A to 616D, inclusive, or chapter 617 of NRS, the Administrator shall notify the Attorney General or any other appropriate law enforcement agency.

      [12.]8.  The Administrator may request the Comptroller of the Currency of the United States to cause an examination of the correctness of any return or report of any national banking association rendered pursuant to the provisions of this chapter, and may in connection with the request transmit any such report or return to the Comptroller of the Currency of the United States as provided in section 3305(c) of the Internal Revenue Code of 1954.

      [13.]9.  The Administrator, any employee or other person acting on behalf of the Administrator, or any employee or other person acting on behalf of an agency or entity allowed to access information obtained from any employing unit or person in the administration of this chapter, or any person who has obtained a list of applicants for work, or of claimants or recipients of benefits pursuant to this chapter, is guilty of a gross misdemeanor if he or she:

      (a) Uses or permits the use of the list for any political purpose;

      (b) Uses or permits the use of the list for any purpose other than one authorized by the Administrator or by law; or

      (c) Fails to protect and prevent the unauthorized use or dissemination of information derived from the list.

      [14.]10.  All letters, reports or communications of any kind, oral , [or] written [,] or electronic, from the employer or employee to each other or to the Division or any of its agents, representatives or employees are [privileged] confidential and must not be the subject matter or basis for any lawsuit if the letter, report or communication is written, sent, delivered or prepared pursuant to the requirements of this chapter.

      Sec. 4. NRS 612.350 is hereby amended to read as follows:

      612.350  1.  An eligible person who is unemployed and otherwise entitled to receive benefits in any week must be paid for that week a benefit in an amount equal to the person’s weekly benefit amount, less [75] 66 2/3 percent of the remuneration payable to him or her for that week.

      2.  The benefit, if not a multiple of $1, must be computed to the next lower multiple of $1.

 


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      Sec. 5. NRS 612.365 is hereby amended to read as follows:

      612.365  1.  Any person who is overpaid any amount as benefits under this chapter is liable for the amount overpaid unless:

      (a) The overpayment was not due to fraud, misrepresentation or willful nondisclosure on the part of the recipient; and

      (b) The overpayment was received without fault on the part of the recipient, and its recovery would be against equity and good conscience, as determined by the Administrator.

      2.  The amount of the overpayment must be assessed to the liable person, and the person must be notified of the basis of the assessment. The notice must specify the amount for which the person is liable. In the absence of fraud, misrepresentation or willful nondisclosure, notice of the assessment must be mailed , electronically transmitted or personally served not later than 1 year after the close of the benefit year in which the overpayment was made.

      3.  Except as otherwise provided in subsection 4, at any time within 5 years after the notice of overpayment, the Administrator may recover the amount of the overpayment by using the same methods of collection provided in NRS 612.625 to 612.645, inclusive, 612.685 and 612.686 for the collection of past due contributions or by deducting the amount of the overpayment from any benefits payable to the liable person under this chapter.

      4.  If the overpayment is due to fraud, misrepresentation or willful nondisclosure, the Administrator may, within 10 years after the notice of overpayment, recover any amounts due in accordance with the provisions of NRS 612.7102 to 612.7116, inclusive.

      5.  The Administrator may waive recovery or adjustment of all or part of the amount of any such overpayment which the Administrator finds to be uncollectible or the recovery or adjustment of which the Administrator finds to be administratively impracticable.

      6.  To the extent allowed pursuant to federal law, the Administrator may assess any administrative fee prescribed by an applicable agency of the United States regarding the recovery of such overpayments.

      7.  Any person against whom liability is determined under this section may appeal therefrom within 11 days after the date the notice provided for in this section was mailed to, electronically transmitted to or served upon, the person. An appeal must be made and conducted in the manner provided in this chapter for the appeals from determinations of benefit status. The 11-day period provided for in this subsection may be extended for good cause shown.

      Sec. 5.5. NRS 612.377 is hereby amended to read as follows:

      612.377  As used in NRS 612.377 to 612.3786, inclusive, unless the context clearly requires otherwise:

      1.  “Extended benefit period” means a period which begins with the third week after a week for which there is a Nevada “on” indicator and ends with the third week after the first week for which there is a Nevada “off” indicator or the 13th consecutive week after it began, except that no extended benefit period may begin by reason of a Nevada “on” indicator before the 14th week following the end of a prior extended benefit period which was in effect for Nevada [.] , unless federal law authorizes an extended benefit period to begin before the 14th week following the end of a prior extended benefit period.

 


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      2.  There is a “Nevada ‘on’ indicator” for a week if the Administrator determines, in accordance with the regulations of the Secretary of Labor, that:

      (a) For the period consisting of that week and the immediately preceding 12 weeks, the rate of insured unemployment in Nevada (not seasonally adjusted) under NRS 612.377 to 612.3786, inclusive:

             (1) Equaled or exceeded 120 percent of the average of those rates for the corresponding 13-week period ending in each of the preceding 2 calendar years and equaled or exceeded 5 percent; or

             (2) Equaled or exceeded 6 percent; or

      (b) For weeks of unemployment beginning on or after March 18, 2020, and ending on or before the week ending 4 weeks before the last week for which full federal sharing is authorized by section 4105(a) of Public Law No. 116-127, or which occur during a period of time specified by the Governor in a proclamation issued pursuant to subsection 4 of NRS 612.378, the average rate of total seasonally adjusted unemployment in Nevada, as determined by the Secretary of Labor, for the period consisting of the most recent 3 months for which data for all states are published before the close of such week:

             (1) Equaled or exceeded 6.5 percent; and

             (2) Equaled or exceeded 110 percent of the average rate for the corresponding 3-month period ending in either of the 2 preceding calendar years.

      3.  There is a “Nevada ‘off’ indicator” for a week if the Administrator determines, in accordance with the regulations of the Secretary of Labor, that for the period consisting of that week and the immediately preceding 12 weeks, the rate of insured unemployment in Nevada (not seasonally adjusted):

      (a) Was less than 120 percent of the average of those rates for the corresponding 13-week period ending in each of the preceding 2 calendar years; or

      (b) Was less than 5 percent.

      4.  “Rate of insured unemployment,” for purposes of subsections 2 and 3, means the percentage derived by dividing the average weekly number of persons filing claims in this State for the weeks of unemployment for the most recent period of 13 consecutive weeks, as determined by the Administrator on the basis of the Administrator’s reports to the Secretary of Labor using the average monthly employment covered under this chapter as determined by the Administrator and recorded in the records of the Division for the first four of the most recent six completed calendar quarters ending before the end of the 13-week period.

      5.  “Regular benefits” means benefits payable to a person under this chapter or under any other state law (including benefits payable to federal civilian employees and to ex-servicemen or ex-servicewomen pursuant to 5 U.S.C. §§ 8501 et seq.) other than extended benefits.

      6.  “Extended benefits” means benefits (including benefits payable to federal civilian employees and to ex-servicemen or ex-servicewomen pursuant to 5 U.S.C. §§ 8501 et seq.) payable to a person under the provisions of NRS 612.377 to 612.3786, inclusive, for the weeks of unemployment in the person’s eligibility period.

      7.  “Additional benefits” means benefits payable to exhaustees by reason of conditions of high unemployment or by reason of other special factors under the provisions of any state law. Any person who is entitled to both additional and extended benefits for the same week must be given the choice of electing which type of benefit to claim regardless of whether his or her rights to additional and extended benefits arise under the law of the same state or different states.

 


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both additional and extended benefits for the same week must be given the choice of electing which type of benefit to claim regardless of whether his or her rights to additional and extended benefits arise under the law of the same state or different states.

      8.  “Eligibility period” of a person means the period consisting of the weeks in the person’s benefit year under this chapter which begin in an extended benefit period and, if that benefit year ends within the extended benefit period, any weeks thereafter which begin in that period.

      9.  “Exhaustee” means a person who, with respect to any week of unemployment in the person’s eligibility period:

      (a) Has received, before that week, all of the regular, seasonal or nonseasonal benefits that were available to him or her under this chapter or any other state law (including augmented weekly benefits for dependents and benefits payable to federal civilian employees and ex-servicemen or ex-servicewomen under 5 U.S.C. §§ 8501 et seq.) in the person’s current benefit year which includes that week, except that, for the purposes of this paragraph, a person shall be deemed to have received all of the regular benefits that were available to him or her, although as a result of a pending appeal with respect to wages that were not considered in the original monetary determination in that benefit year, the person may subsequently be determined to be entitled to added regular benefits; or

      (b) His or her benefit year having expired before that week, has no, or insufficient, wages on the basis of which the person could establish a new benefit year which would include that week,

Ê and has no right to unemployment benefits or allowances, as the case may be, under the Railroad Unemployment Insurance Act, 45 U.S.C. §§ 351 et seq., the Trade Expansion Act of 1962, 19 U.S.C. §§ 1801 et seq., the Automotive Products Trade Act of 1965, 19 U.S.C. §§ 2001 et seq. and such other federal laws as are specified in regulations issued by the Secretary of Labor, and has not received and is not seeking unemployment benefits under the unemployment compensation law of Canada. If the person is seeking such benefits and the appropriate agency finally determines that the person is not entitled to benefits under that law the person is considered an exhaustee.

      10.  “State law” means the unemployment insurance law of any state, approved by the Secretary of Labor under Section 3304 of the Internal Revenue Code of 1954.

      Sec. 6. NRS 612.432 is hereby amended to read as follows:

      612.432  1.  [Benefits] Except as otherwise provided in this section, benefits based on service in an instructional, research or principal administrative capacity in any educational institution or based on other service in any educational institution must be denied to any person for any week of unemployment which begins during an established and customary vacation or recess for a holiday if the person performs service in the period immediately preceding the vacation or recess and there is reasonable assurance that the person will be provided employment immediately succeeding the vacation or recess.

      2.  If a person performs services in more than one capacity for any educational institution, benefits must be denied to the person for any week of unemployment which begins during an established and customary vacation or recess for a holiday if:

      (a) The person performs services in any of his or her capacities in the period immediately preceding the vacation or recess;

 


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      (b) There is reasonable assurance that the person will be provided employment immediately succeeding the vacation or recess in any of his or her capacities with any educational institution; and

      (c) The wages for the employment provided pursuant to paragraph (b) will not be less than 90 percent of the aggregate amount of wages paid to the person for all services performed in all capacities for any educational institution in the period immediately preceding the vacation or recess.

      3.  If a person performs services in more than one capacity for any educational institution and benefits are not denied to the person pursuant to subsection 2, all of the services performed in all capacities for any educational institution in the period immediately preceding an established and customary vacation or recess for a holiday must be included to determine the person’s eligibility for benefits for any week of unemployment which begins during the vacation or recess.

      4.  If a person is paid benefits for a week of unemployment based on the services described in subsection 3, the amount of the benefits paid that is based on services performed for which an educational institution provided the person reasonable assurance of employment immediately succeeding the vacation or recess:

      (a) If the educational institution has not been given the right to make reimbursements in lieu of contributions pursuant to NRS 612.553, must be charged against the records for experience rating of that educational institution.

      (b) If the educational institution has been given the right to make reimbursements in lieu of contributions pursuant to NRS 612.553, is required to be reimbursed into the Unemployment Compensation Fund by that educational institution.

      5.  The provisions of this section apply also to services performed while employed by a governmental agency which is established and operated to provide services to educational institutions and which may make reimbursements in lieu of contributions pursuant to NRS 612.553.

      Sec. 7. NRS 612.434 is hereby amended to read as follows:

      612.434  1.  [Benefits] Except as otherwise provided in subsections 4 and 5, benefits based on service in an instructional, research or principal administrative capacity for any educational institution must be denied to any person for any week of unemployment which begins during the period between two successive academic years, or during a similar period between two regular terms, whether or not successive, or during a period of paid sabbatical leave provided for in the person’s contract, if that person performs the service in the first of the academic years or terms and there is a contract or reasonable assurance that the person will be provided employment in any such capacity for an educational institution in the next academic year or term.

      2.  Except as provided in subsection 3, benefits based on service in any other capacity for any educational institution must be denied to any person for any week of unemployment which begins during the period between two successive academic years or terms if the person performed the service in the first of the academic years or terms and there is reasonable assurance that the person will be provided employment to perform that service in the next academic year or term.

      3.  A person who is denied benefits pursuant to subsection 2 and not offered an opportunity to perform the service for the educational institution for the second academic year or term is entitled to retroactive payment of his or her benefits for each week for which the person filed a timely claim that was denied pursuant to subsection 2.

 


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for the second academic year or term is entitled to retroactive payment of his or her benefits for each week for which the person filed a timely claim that was denied pursuant to subsection 2.

      4.  If a person performs services in more than one capacity for any educational institution, benefits must be denied to the person for any week of unemployment which begins during the period between two successive academic years, or during a similar period between two regular terms, whether or not successive, or during a period of paid sabbatical leave provided for in the person’s contract if:

      (a) The person performs services in any of his or her capacities in the first of the academic years or terms;

      (b) There is a contract or reasonable assurance that the person will be provided employment in any of his or her capacities with any educational institution in the next academic year or term; and

      (c) The wages for the employment provided pursuant to paragraph (b) will not be less than 90 percent of the aggregate amount of wages paid for all services performed in all capacities for any educational institution in the first of the academic years or terms.

      5.  If a person performs services in more than one capacity for any educational institution and benefits are not denied to the person pursuant to subsection 4, all of the services performed in all capacities for any educational institution during the first of the academic years or terms must be included to determine the person’s eligibility for benefits for any week of unemployment which begins during the period between two successive academic years, or during a similar period between two regular terms, whether or not successive, or during a period of paid sabbatical leave provided for in the person’s contract.

      6.  If a person is paid benefits for a week of unemployment based on the services described in subsection 5, the amount of such benefits paid that is based on services performed for which an educational institution provided a contract or reasonable assurance of employment for the academic year or term:

      (a) If the educational institution has not been given the right to make reimbursements in lieu of contributions pursuant to NRS 612.553, must be charged against the records for experience rating of that educational institution.

      (b) If the educational institution has been given the right to make reimbursements in lieu of contributions pursuant to NRS 612.553, is required to be reimbursed into the Unemployment Compensation Fund by the educational institution.

      7.  The provisions of this section apply also to services performed while employed by a governmental agency which is established and operated to provide services to educational institutions and which may make reimbursements in lieu of contributions pursuant to NRS 612.553.

      Sec. 8. NRS 612.485 is hereby amended to read as follows:

      612.485  1.  Any determination or redetermination is final 11 days after the date of notification by electronic transmission or mailing of the notice of determination or redetermination unless a request for reconsideration or an appeal is filed within the 11-day period.

      2.  Nothing in this section limits or abridges the authority of the Administrator to make a redetermination as provided in NRS 612.480.

 


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      3.  Any notice of a determination or redetermination must clearly indicate the interested persons’ right to appeal.

      Sec. 9. NRS 612.495 is hereby amended to read as follows:

      612.495  1.  Any person entitled to a notice of determination or redetermination may file an appeal from the determination with an Appeal Tribunal, and the Administrator shall be a party respondent thereto. The appeal must be filed within 11 days after the date of mailing , electronic transmission or personal service of the notice of determination or redetermination. The 11-day period may be extended for good cause shown. Any employing unit whose rights may be adversely affected may be permitted by the Appeal Tribunal to intervene as a party respondent to the appeal.

      2.  An appeal shall be deemed to be filed on the date it is delivered to the Division, or, if it is mailed, on the postmarked date appearing on the envelope in which it was mailed, if postage is prepaid and the envelope is properly addressed to the office of the Division that mailed notice of the person’s claim for benefits to each employer entitled to notice under NRS 612.475.

      3.  The 11-day period provided for in this section must be computed by excluding the day the determination was mailed , electronically transmitted or personally served, and including the last day of the 11-day period, unless the last day is a Saturday, Sunday or holiday, in which case that day must also be excluded.

      4.  The Appeal Tribunal may permit the withdrawal of the appeal by the appellant at the appellant’s request if there is no coercion or fraud involved in the withdrawal.

      Sec. 10. NRS 612.500 is hereby amended to read as follows:

      612.500  1.  A reasonable opportunity for a fair hearing on appeals must be promptly afforded all parties.

      2.  An Appeal Tribunal shall inquire into and develop all facts bearing on the issues and shall receive and consider evidence without regard to statutory and common-law rules. In addition to the issues raised by the appealed determination, the Appeal Tribunal may consider all issues affecting the claimant’s rights to benefits from the beginning of the period covered by the determination to the date of the hearing.

      3.  An Appeal Tribunal shall include in the record and consider as evidence all records of the Administrator that are material to the issues.

      4.  The Administrator shall adopt regulations governing the manner of filing appeals and the conduct of hearings and appeals consistent with the provisions of this chapter.

      5.  A record of all testimony and proceedings on appeal must be kept for 6 months after the date on which a decision of an Appeal Tribunal is mailed [,] or electronically transmitted, but testimony need not be transcribed unless further review is initiated. If further review is not initiated within that period, the record may be destroyed.

      6.  Witnesses subpoenaed are entitled to fees in the amounts specified in NRS 50.225, and the fees of witnesses so subpoenaed shall be deemed part of the expense of administering this chapter.

      7.  An Appeal Tribunal shall not participate in an appeal hearing in which the Appeal Tribunal has a direct or indirect interest.

      8.  If the records of an appeal have been destroyed pursuant to subsection 5, a person aggrieved by the decision in the appeal may petition a district court for a trial de novo.

 


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district court for a trial de novo. If the district court finds that good cause exists for the party’s failure to pursue the administrative remedies provided in NRS 612.510, it may grant the petitioner’s request.

      Sec. 11. NRS 612.510 is hereby amended to read as follows:

      612.510  1.  After a hearing, an Appeal Tribunal shall make its findings promptly and on the basis thereof affirm, modify or reverse the determination. Each party must be promptly furnished a copy of the decision and the supporting findings [.] by mail or electronic transmission.

      2.  The decision is final unless an appeal to the Board of Review or a request for review or appeal to the Board of Review is filed, within 11 days after the decision has been mailed to each party’s last known address or [otherwise delivered] electronically transmitted to the party. The 11-day period may be extended for good cause shown.

      3.  A request for review or appeal to the Board of Review shall be deemed to be filed on the date it is delivered to the Division, or, if it is mailed, on the postmarked date appearing on the envelope in which it was mailed, if the postage was prepaid and the envelope was properly addressed to one of the offices of the Division.

      4.  The time provided for in this section must be computed in the manner provided in NRS 612.495.

      Sec. 12. NRS 612.515 is hereby amended to read as follows:

      612.515  1.  An appeal to the Board of Review by any party must be allowed as a matter of right if the Appeal Tribunal’s decision reversed or modified the Administrator’s determination. In all other cases, further review must be at the discretion of the Board of Review.

      2.  The Board of Review on its own motion may initiate a review of a decision or determination of an Appeal Tribunal within 11 days after the date of mailing or electronic transmission of the decision.

      3.  The Board of Review may affirm, modify or reverse the findings or conclusions of the Appeal Tribunal solely on the basis of evidence previously submitted, or upon the basis of such additional evidence as it may direct to be taken.

      4.  Each party, including the Administrator, must be promptly furnished a copy of the decision and the supporting findings of the Board of Review.

      Sec. 13. NRS 612.525 is hereby amended to read as follows:

      612.525  1.  Any decision of the Board of Review in the absence of an appeal therefrom as herein provided becomes final 11 days after the date of notification by electronic transmission or mailing thereof, and judicial review thereof is permitted only after any party claiming to be aggrieved thereby has exhausted administrative remedies as provided by this chapter.

      2.  The Administrator shall be deemed to be a party to any judicial action involving any such decision, and may be represented in any such judicial action by:

      (a) Any qualified attorney employed by the Administrator and designated by the Administrator for that purpose; or

      (b) The Attorney General, at the Administrator’s request.

      3.  The Administrator may appeal from any decision of the Board of Review to the courts as may any other party to that decision.

      Sec. 13.5. NRS 612.530 is hereby amended to read as follows:

      612.530  1.  Within 11 days after the decision of the Board of Review has become final, any party aggrieved thereby or the Administrator may secure judicial review thereof by commencing an action in the district court of the county where the employment which is the basis of the claim was performed for the review of the decision, in which action any other party to the proceedings before the Board of Review must be made a defendant.

 


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of the county where the employment which is the basis of the claim was performed for the review of the decision, in which action any other party to the proceedings before the Board of Review must be made a defendant.

      2.  In such action, a petition which need not be verified, but which must state the grounds upon which a review is sought, must, within 45 days after the commencement of the action, be served upon the Administrator [,] at a designated office of the Administrator in Carson City, unless the Administrator is the appellant, or upon such person as the Administrator may designate, and such service shall be deemed completed service on all parties, but there must be left with the party so served as many copies of the petition as there are defendants, and the Administrator shall forthwith mail one such copy to each defendant.

      3.  The Administrator shall file with the court an answer within 45 days after being served with a petition pursuant to subsection 2 or, if the Administrator is the appellant, the Administrator shall serve the petition upon each other party within 45 days after commencement of the action. With the Administrator’s answer or petition, the Administrator shall certify and file with the court originals or true copies of all documents and papers and a transcript of all testimony taken in the matter, together with the Board of Review’s findings of fact and decision therein. The Administrator may certify to the court questions of law involved in any decision.

      4.  In any judicial proceedings under this section, the finding of the Board of Review as to the facts, if supported by evidence and in the absence of fraud, is conclusive, and the jurisdiction of the court is confined to questions of law.

      5.  Such actions, and the questions so certified, must be heard in a summary manner and must be given precedence over all other civil cases except cases arising under chapters 616A to 616D, inclusive, or chapter 617 of NRS.

      6.  An appeal may be taken from the decision of the district court to the appellate court of competent jurisdiction pursuant to the rules fixed by the Supreme Court of Nevada pursuant to Section 4 of Article 6 of the Nevada Constitution in the same manner, but not inconsistent with the provisions of this chapter, as is provided in civil cases.

      7.  It is not necessary, in any judicial proceeding under this section, to enter exceptions to the rulings of the Board of Review, and no bond may be required for entering the appeal.

      8.  Upon the final determination of the judicial proceeding, the Board of Review shall enter an order in accordance with the determination.

      9.  A petition for judicial review does not act as a supersedeas or stay unless the Board of Review so orders.

      Sec. 14. (Deleted by amendment.)

      Sec. 15. NRS 612.551 is hereby amended to read as follows:

      612.551  1.  Except as otherwise provided in subsections 2, 3 and 7, if the Division determines that a claimant has earned 75 percent or more of his or her wages during his or her base period from one employer, it shall notify the employer by mail or electronic transmission of its determination and advise him or her that he or she has a right to protest the charging of benefits to his or her account pursuant to subsection 4 of NRS 612.550.

      2.  Benefits paid pursuant to an elected base period in accordance with NRS 612.344 must not be charged against the record for experience rating of the employer.

 


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      3.  Except as otherwise provided in subsection 7, if a claimant leaves his or her last or next to last employer to take other employment and leaves or is discharged by the latter employer, benefits paid to the claimant must not be charged against the record for experience rating of the former employer.

      4.  If the employer provides evidence within 10 working days after the notice required by subsection 1 was mailed or electronically transmitted which satisfies the Administrator that the claimant:

      (a) Left his or her employment voluntarily without good cause or was discharged for misconduct connected with the employment; or

      (b) Was the spouse of an active member of the Armed Forces of the United States and left his or her employment because the spouse was transferred to a different location,

Ê the Administrator shall order that the benefits not be charged against the record for experience rating of the employer.

      5.  The employer may appeal from the ruling of the Administrator relating to the cause of the termination of the employment of the claimant in the same manner as appeals may be taken from determinations relating to claims for benefits.

      6.  A determination made pursuant to this section does not constitute a basis for disqualifying a claimant to receive benefits.

      7.  If an employer who is given notice of a claim for benefits pursuant to subsection 1 fails to submit timely to the Division all known relevant facts which may affect the claimant’s rights to benefits as required by NRS 612.475, the employer’s record for experience rating is not entitled to be relieved of the amount of any benefits paid to the claimant as a result of such failure that were charged against the employer’s record pursuant to NRS 612.550 or 612.553.

      8.  To the extent allowed by federal law, the Administrator may, by regulation, suspend, modify, amend or waive any requirement of this section for the duration of a state of emergency or declaration of disaster proclaimed pursuant to NRS 414.070 and for any additional period of time during which the emergency or disaster directly affects the requirement of this section if:

      (a) The Administrator determines the action is:

             (1) In the best interest of the Division, this State or the general health, safety and welfare of the citizens of this State; or

             (2) Necessary to comply with instructions received from the Department of Labor; and

      (b) The action of the Administrator is approved by the Governor.

      Sec. 16. NRS 612.553 is hereby amended to read as follows:

      612.553  1.  For the purposes of this section:

      (a) “Indian tribe” includes any entity described in subsection 10 of NRS 612.055.

      (b) “Nonprofit organization” means any entity described in subsection 1 of NRS 612.121.

      (c) “Political subdivision” means any entity described in subsection 9 of NRS 612.055.

      2.  Any nonprofit organization, political subdivision or Indian tribe which is subject to this chapter:

      (a) Shall pay contributions to the Unemployment Compensation Fund in the manner provided in NRS 612.535 to 612.550, inclusive, unless it elects, in accordance with this section, to pay into the Unemployment Compensation Fund, in lieu of contributions, as reimbursement an amount equivalent to the amount of regular unemployment compensation benefits and one-half of the extended benefits paid to claimants that is attributable to wages paid, except that after December 31, 1978, a political subdivision, and after December 21, 2000, an Indian tribe, shall reimburse an amount equal to the regular unemployment compensation benefits and all of the extended benefits.

 


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ê2021 Statutes of Nevada, Page 1484 (CHAPTER 279, SB 75)ê

 

equivalent to the amount of regular unemployment compensation benefits and one-half of the extended benefits paid to claimants that is attributable to wages paid, except that after December 31, 1978, a political subdivision, and after December 21, 2000, an Indian tribe, shall reimburse an amount equal to the regular unemployment compensation benefits and all of the extended benefits. An Indian tribe may elect to become liable for payments by way of reimbursement in lieu of contributions for the tribe as a whole, or for any political subdivision, subsidiary, wholly owned business, or any combination thereof. The amount of benefits payable by each employer who elects to make payments by way of reimbursement in lieu of contributions must be an amount which bears the same ratio to the total benefits paid to a person as the total base-period wages paid to that person by the employer bear to the total base-period wages paid to that person by all of the person’s base-period employers. Two or more employers who have become liable for payments by way of reimbursement in lieu of contributions may file a joint application, in accordance with regulations of the Administrator, for the establishment of a group account for the purpose of sharing the cost of benefits paid that are attributable to service in the employ of such employers.

      (b) May elect to become liable for payments by way of reimbursement in lieu of contributions for a period of not less than 4 consecutive calendar quarters beginning with the first day of the calendar quarter on which it became subject to this chapter by filing a written notice with the Administrator not later than 30 days immediately following the date of the determination that it is subject to this chapter. The organization remains liable for payments by way of reimbursement in lieu of contributions until it files with the Administrator a written notice terminating its election not later than 30 days before the beginning of the taxable year for which the termination is first effective.

      3.  Any nonprofit organization, political subdivision or Indian tribe which is paying contributions as provided in NRS 612.535 to 612.550, inclusive, may change to a reimbursement-in-lieu-of-contributions basis by filing with the Administrator not later than 30 days before the beginning of any taxable year a written notice of its election to become liable for payments by way of reimbursements in lieu of contributions. The election is not terminable by the organization for that and the next taxable year.

      4.  The Administrator may for a good cause extend the period in which a notice of election or a notice of termination must be filed and may permit an election to be retroactive, but not any earlier than with respect to benefits paid after December 31, 1970, for a nonprofit organization, December 31, 1976, for a political entity, or December 21, 2000, for an Indian tribe.

      5.  The Administrator shall notify each nonprofit organization, political subdivision and Indian tribe of any determination which the Administrator may make of its status as an employer and of the effective date of any election which it makes and of any termination of such election. The Administrator’s determination is subject to reconsideration, petitions for hearing and judicial review in accordance with the provisions of this chapter.

      6.  The amount of reimbursement in lieu of contributions due from each employing unit which elects to make reimbursement in lieu of contributions must be determined by the Administrator as soon as practicable after the end of each calendar quarter or at the end of any other period as determined by the Administrator. The Administrator shall bill each employing unit which makes reimbursement in lieu of contributions for an amount determined pursuant to paragraph (a) of subsection 2.

 


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ê2021 Statutes of Nevada, Page 1485 (CHAPTER 279, SB 75)ê

 

pursuant to paragraph (a) of subsection 2. Amounts due under this subsection must be paid not later than 30 days after a bill is mailed to the last known address of the employing unit [.] or electronically transmitted to the employing unit. If payment is not made on or before the date due and payable, the whole or any part thereafter remaining unpaid bears interest at the rate of one-half percent per month or fraction thereof, from and after the due date until payment is received by the Administrator. The amount of payments due, but not paid, may be collected by the Administrator, together with interest and penalties, if any, in the same manner and subject to the same conditions as contributions due from other employers. The amount due specified in any bill from the Administrator is conclusive and binding on the employing unit, unless not later than 15 days after the bill was mailed to its last known address, the employing unit files an application for redetermination. A redetermination made under this subsection is subject to petition for hearing and judicial review in accordance with the provisions of this chapter. Payments made by any nonprofit organization, political subdivision or Indian tribe under the provisions of this section must not be deducted, in whole or in part, from the wages of any person employed by that organization.

      7.  The Administrator shall:

      (a) Suspend the election of an Indian tribe to become liable for payments by way of reimbursement in lieu of contributions if the tribe fails to make payment, together with interest and penalties, if any, within 90 days after the tribe receives a bill from the Administrator.

      (b) Require an Indian tribe whose election to become liable for payments by way of reimbursement in lieu of contributions is suspended pursuant to subsection 1 to pay contributions as set forth in NRS 612.535 to 612.550, inclusive, for the following taxable year unless the Administrator receives its payment in full before the Administrator computes the contribution rates for that year.

      (c) Reinstate the election of an Indian tribe to become liable for payments by way of reimbursement in lieu of contributions that is suspended pursuant to subsection 1 if the tribe:

             (1) Has paid all contributions pursuant to NRS 612.535 to 612.550, inclusive, including interest and penalties, for not less than 1 year; and

             (2) Has no unpaid balance owing to the Administrator for any contribution, payment in lieu of contributions, penalty or interest.

      8.  Benefits are payable on the basis of employment to which this section applies, in the same amount, on the same terms and subject to the same conditions as benefits payable on the basis of other employment subject to this chapter.

      9.  In determining contribution rates assigned to employers under this chapter, the payrolls of employing units liable for payments in lieu of contributions must not be included in computing the contribution rates to be assigned to employers under this chapter. The reimbursement in lieu of contributions paid by or due from such employing units must be included in the total assets of the fund in the same manner as contributions paid by other employers.

      10.  The provisions of NRS 612.550 do not apply to employers who elect reimbursement in lieu of contributions.

 


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ê2021 Statutes of Nevada, Page 1486 (CHAPTER 279, SB 75)ê

 

      11.  Except as inconsistent with the provisions of this section, the provisions of this chapter and regulations of the Administrator apply to any matter arising pursuant to this section.

      Sec. 17. NRS 612.630 is hereby amended to read as follows:

      612.630  1.  In addition to or independently of the remedy by civil action provided in NRS 612.625, the Administrator, or the Administrator’s authorized representative, after giving to any employer who defaults in any payment of contributions, interest or forfeit provided by this chapter 15 days’ notice by registered or certified mail, addressed to the employer’s last known place of business or address, or notice by electronic transmission, may file in the office of the clerk of the district court in the county in which the employer has his or her principal place of business, or if there is no such principal place of business, then in Carson City, a certificate, which need not be verified, but which must specify the amount of contribution, interest and forfeit due, the name and last known place of business of the employer liable for the same, and which must contain a statement that the Division has complied with all the provisions of this chapter in relation to the computation and levy of the contribution, together with the request that judgment be entered for the State of Nevada, and against the employer named, in the amount of the contribution, interest and forfeit set forth in the certificate.

      2.  Within the 15-day period, the employer may pay the amount specified in such notice, under protest, to the Administrator, and thereupon has the right to initiate, within 60 days following such payment, and to maintain his or her action against the Division for a refund of all or any part of any such amount and to recover so much thereof as may have been erroneously assessed or paid. Such an action by the employer must be commenced and maintained in the district court in the county wherein is located the principal place of business of the employer. In the event of entry of judgment for the employer, the Division shall promptly refund such sum without interest as may be determined by the court.

      3.  If no such payment under protest is made as provided in subsection 2, upon filing the certificate as provided in subsection 1, the clerk of the district court shall immediately enter a judgment in favor of the Division and against the employer in the amount of the contributions, interest and forfeit set forth in the certificate.

      Sec. 17.5. NRS 612.655 is hereby amended to read as follows:

      612.655  1.  Where a payment of contributions, forfeit or interest has been erroneously collected, an employer may [, not later than 3 years after the date on which such payments became due,] make application for [an adjustment thereof in connection with subsequent contributions, forfeit or interest payments or for] a refund. All such [adjustments or] refunds will be made without interest. [An]

      2.  Where a payment of contributions, forfeit or interest has been erroneously collected, an employer may, not later than 3 years after the date on which such payments became due, make application for an adjustment [or refund] thereof in connection with subsequent contributions, forfeit or interest payments. An adjustment will not be made in any case with respect to contributions on wages which have been included in the determination of an eligible claim for benefits, unless it is shown to the satisfaction of the Administrator that such determination was due entirely to the fault or mistake of the Division.

 


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ê2021 Statutes of Nevada, Page 1487 (CHAPTER 279, SB 75)ê

 

      [2.]3.  Refunds of interest and forfeit collected under NRS 612.618 to 612.675, inclusive, 612.7102 to 612.7116, inclusive, and 612.740 and paid into the Employment Security Fund established by NRS 612.615 must be made only from the Employment Security Fund.

      Sec. 18. NRS 612.686 is hereby amended to read as follows:

      612.686  1.  If a person is notified of a delinquency pursuant to NRS 612.685, the person shall neither transfer, pay over nor make any other disposition of money or property belonging to the delinquent employing unit, or any portion thereof, until the Administrator consents thereto in writing.

      2.  A person so notified shall, within 11 days after receipt of the notice, advise the Administrator of all credits, debts or other personal property of the delinquent employing unit in the person’s possession, under the person’s control or owing by the person, as the case may be.

      3.  The Administrator may, [personally or] by registered or certified mail [,] or electronic transmission, give the person so notified a demand to transmit. Upon receipt of the demand, that person shall transmit to the Division, within the time and in the manner stated in the demand, the lesser of:

      (a) All the credits, debts or other personal property of the delinquent employing unit in the person’s possession, under the person’s control or owing by the person; or

      (b) The amount specified in the demand.

Ê Except as otherwise provided in subsection 4, no further notice is required.

      4.  If the property of the delinquent employing unit consists of a series of payments owed to it, the person who owes or controls the payments shall transmit them to the Division until otherwise notified by the Administrator. If the debt is not paid within 1 year after the demand to transmit was given, the Administrator shall give another demand to the person who owes or controls the payments, instructing the person to continue to transmit the payments or informing the person that the person’s duty to transmit them has ceased.

      5.  A person notified of a delinquency who makes any transfer or other disposition of property required to be withheld or transmitted to the Division is liable for the amount of the delinquency to the extent of the value of the property or the amount of the debt so transferred or paid.

      6.  The Division shall determine as promptly as practicable whether sufficient liquid assets have been withheld or transmitted to satisfy its claim. As soon as the Division determines that the assets are sufficient, it shall consent in writing to a transfer or other disposition of assets in excess of the amount needed.

      Sec. 18.5. NRS 612.705 is hereby amended to read as follows:

      612.705  1.  [No] Neither the State of Nevada nor any person claiming benefits may be charged fees of any kind in any proceeding under this chapter by the Board of Review, the Administrator, or representatives of the Board of Review or the Administrator, or by any court or officer thereof.

      2.  Any person claiming benefits in any proceeding before the Administrator or the Board of Review, or representatives of the Board of Review or the Administrator, or a court, may be represented by counsel or other duly authorized agent, but no such counsel or agents may either charge or receive for such services more than an amount approved by the Board of Review.

 


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ê2021 Statutes of Nevada, Page 1488 (CHAPTER 279, SB 75)ê

 

      3.  Any person, firm or corporation who exacts or receives any remuneration or gratuity for any services rendered on behalf of a claimant except as allowed by this section and in an amount approved by the Board of Review is guilty of a misdemeanor.

      4.  Any person, firm or corporation who solicits the business of appearing on behalf of a claimant or who makes it a business to solicit employment for another in connection with any claim for benefits under this chapter is guilty of a misdemeanor.

      Sec. 19. (Deleted by amendment.)

      Sec. 19.5.  1.  Notwithstanding the provisions of NRS 612.550, benefits paid to a person during the second or third calendar quarter of calendar year 2020 must not be charged against the experience rating record of any of the person’s base period employers.

      2.  Notwithstanding the provisions of NRS 612.553, as amended by section 16 of this act, in determining the amount of payment by way of reimbursement in lieu of contributions due from an employer who elects to make payments by way of reimbursement in lieu of contributions pursuant to NRS 612.553, as amended by section 16 of this act, the Administrator of the Employment Security Division of the Department of Employment, Training and Rehabilitation shall, for any week of unemployment beginning on or after March 13, 2020, in which federal funds provided pursuant to Section 903(i) of the Social Security Act, 42 U.S.C. § 1103(i) are available, reduce the amount of payment by way of reimbursement due that is attributable to benefits paid to a person during such a week in an amount determined by the Administrator so as to:

      (a) Use all available federal funds provided pursuant to Section 903(i) of the Social Security Act, 42 U.S.C. § 1103(i); and

      (b) Result in the employer owing no amount of payment by way of reimbursement for that week.

      3.  As used in this section:

      (a) “Base period” has the meaning ascribed to it in NRS 612.025.

      (b) “Benefits” has the meaning ascribed to it in NRS 612.035.

      (c) “Calendar quarter” has the meaning ascribed to it in NRS 612.040.

      (d) “Employer” has the meaning ascribed to it in NRS 612.055.

      Sec. 20.  1.  This section becomes effective upon passage and approval.

      2.  Section 4 of this act becomes effective:

      (a) Upon passage and approval for the purposes of adopting regulations and performing preparatory administrative tasks; and

      (b) On January 1, 2022, for all other purposes.

      3.  Section 5.5 of this act becomes effective upon passage and approval and applies retroactively on and after December 27, 2020.

      4.  Sections 1 to 3, inclusive, 5 and 6 to 19.5, inclusive, of this act become effective on July 1, 2021.

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ê2021 Statutes of Nevada, Page 1489ê

 

CHAPTER 280, SB 94

Senate Bill No. 94–Senator Settelmeyer

 

CHAPTER 280

 

[Approved: June 2, 2021]

 

AN ACT relating to property; providing that an unlocked gate which is erected and maintained across certain public roads in certain counties does not, in and of itself, constitute a public nuisance under certain circumstances; removing a provision making a place where vagrants resort a public nuisance; authorizing a board of county commissioners and board of county highway commissioners to take certain actions relating to the erection and maintenance of gates across certain public roads; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law creates in each county, except for a county whose population is 100,000 or more (currently Clark and Washoe Counties), a board of county highway commissioners which has the exclusive control of all matters pertaining to the construction, repair and maintenance of public highways, roads and bridges within its county. (NRS 403.005, 403.010, 403.090) Existing law authorizes a board of county highway commissioners to make certain rules and regulations. (NRS 403.050) Section 5.3 of this bill authorizes a board of county highway commissioners to make rules and regulations to allow the erection and maintenance of gates across certain public roads in the county. Section 5.3: (1) requires such rules and regulations to specify that such a gate is to be kept unlocked; and (2) authorizes such rules and regulations to set forth any specifications, standards and requirements concerning such a gate as the board determines to be necessary.

      Section 5.6 of this bill authorizes the board of county commissioners in a county whose population is 100,000 or more to adopt an ordinance or enter into a written agreement with a person authorizing the person to erect and maintain a gate across a public road in the county. Section 5.6 requires any such ordinance or agreement to contain provisions: (1) specifying that the gate is to be kept unlocked; and (2) ensuring that public access to the public road is not restricted in any manner and that the traveling public is able to travel on the public road without unnecessary delay.

      Existing law makes it a public nuisance for a person, by force, threat, intimidation or any other unlawful means, to prevent or obstruct the free passage or transit over or through certain highways, roads, state lands or other public lands or lands dedicated to public use or to knowingly misrepresent the status of or assert any right to the exclusive use and occupancy of any of those highways, roads, state lands or other public lands or lands dedicated to public use if the person has no leasehold interest in or claim or color of title to the highway, road, state land or other public land or land dedicated to public use. (NRS 202.450) Section 1 of this bill provides that an unlocked gate which is erected and maintained across a public road does not, in and of itself, constitute a public nuisance if the gate is erected and maintained in accordance with the rules and regulations made pursuant to section 5.3 or an ordinance adopted or written agreement entered into pursuant to section 5.6, as applicable. Section 1 further provides that it is not a public nuisance for a person to fence or enclose public land if the fencing or enclosure is authorized or required by a federal agency having jurisdiction over the public land. Section 1 also removes a provision of existing law making a place where vagrants resort a public nuisance.

      Sections 3-5 of this bill make conforming changes to reflect the addition of the provision made by section 1.

 


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ê2021 Statutes of Nevada, Page 1490 (CHAPTER 280, SB 94)ê

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 202.450 is hereby amended to read as follows:

      202.450  1.  A public nuisance is a crime against the order and economy of the State.

      2.  Every place:

      (a) Wherein any gambling, bookmaking or pool selling is conducted without a license as provided by law, or wherein any swindling game or device, or bucket shop, or any agency therefor is conducted, or any article, apparatus or device useful therefor is kept;

      (b) Wherein any fighting between animals or birds is conducted;

      (c) Wherein any dog races are conducted as a gaming activity;

      (d) Wherein any intoxicating liquors are kept for unlawful use, sale or distribution;

      (e) Wherein a controlled substance, immediate precursor or controlled substance analog is unlawfully sold, served, stored, kept, manufactured, used or given away; or

      (f) That is regularly and continuously used by the members of a criminal gang to engage in, or facilitate the commission of, crimes by the criminal gang , [; or

      (g) Where vagrants resort,]

Ê is a public nuisance.

      3.  Every act unlawfully done and every omission to perform a duty, which act or omission:

      (a) Annoys, injures or endangers the safety, health, comfort or repose of any considerable number of persons;

      (b) Offends public decency;

      (c) Unlawfully interferes with, befouls, obstructs or tends to obstruct, or renders dangerous for passage, a lake, navigable river, bay, stream, canal, ditch, millrace or basin, or a public park, square, street, alley, bridge, causeway or highway; or

      (d) In any way renders a considerable number of persons insecure in life or the use of property,

Ê is a public nuisance.

      4.  A building or place which was used for the purpose of unlawfully manufacturing a controlled substance, immediate precursor or controlled substance analog is a public nuisance if the building or place has not been deemed safe for habitation by the board of health and:

      (a) The owner of the building or place allows the building or place to be used for any purpose before all materials or substances involving the controlled substance, immediate precursor or controlled substance analog have been removed from or remediated on the building or place by an entity certified or licensed to do so; or

      (b) The owner of the building or place fails to have all materials or substances involving the controlled substance, immediate precursor or controlled substance analog removed from or remediated on the building or place by an entity certified or licensed to do so within 180 days after the building or place is no longer used for the purpose of unlawfully manufacturing a controlled substance,

 


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ê2021 Statutes of Nevada, Page 1491 (CHAPTER 280, SB 94)ê

 

or controlled substance analog removed from or remediated on the building or place by an entity certified or licensed to do so within 180 days after the building or place is no longer used for the purpose of unlawfully manufacturing a controlled substance, immediate precursor or controlled substance analog.

      5.  [It] Except as otherwise provided in subsections 6 and 7, it is a public nuisance for any person:

      (a) By force, threat or intimidation, or by fencing or otherwise enclosing, or by any other unlawful means, to prevent or obstruct the free passage or transit over or through any:

             (1) Highway designated as a United States highway;

             (2) Highway designated as a state highway pursuant to NRS 408.285;

             (3) Main, general or minor county road designated pursuant to NRS 403.170;

             (4) Public road, as defined in subsection 2 of NRS 405.191;

             (5) State land or other public land; or

             (6) Land dedicated to public use; or

      (b) To knowingly misrepresent the status of or assert any right to the exclusive use and occupancy of such a highway, road, state land or other public land or land dedicated to public use,

Ê if the person has no leasehold interest, claim or color of title, made or asserted in good faith, in or to the highway, road, state land or other public land or land dedicated to public use.

      6.  An unlocked gate which is erected and maintained across:

      (a) A road described in subparagraph (3) or (4) of paragraph (a) of subsection 5 located in a county whose population is less than 100,000, does not, in and of itself, constitute a public nuisance if the gate is erected and maintained in accordance with the rules and regulations of the board of county highway commissioners made pursuant to section 5.3 of this act.

      (b) A road described in subparagraph (4) of paragraph (a) of subsection 5 located in a county whose population is 100,000 or more, does not, in and of itself, constitute a public nuisance if the gate is erected and maintained pursuant to an ordinance adopted or an agreement entered into by the board of county commissioners pursuant to section 5.6 of this act.

      7.  It is not a public nuisance for a person to fence or otherwise enclose any public land if such fencing or enclosure is authorized or required by a federal agency having jurisdiction over the public land.

      8.  Agricultural activity conducted on farmland consistent with good agricultural practice and established before surrounding nonagricultural activities is not a public nuisance unless it has a substantial adverse effect on the public health or safety. It is presumed that an agricultural activity which does not violate a federal, state or local law, ordinance or regulation constitutes good agricultural practice.

      [7.]9.  A shooting range is not a public nuisance with respect to any noise attributable to the shooting range if the shooting range is in compliance with the provisions of all applicable statutes, ordinances and regulations concerning noise:

      (a) As those provisions existed on October 1, 1997, for a shooting range that begins operation on or before October 1, 1997; or

 


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ê2021 Statutes of Nevada, Page 1492 (CHAPTER 280, SB 94)ê

 

      (b) As those provisions exist on the date that the shooting range begins operation, for a shooting range in operation after October 1, 1997.

Ê A shooting range is not subject to any state or local law related to the control of noise that is adopted or amended after the date set forth in paragraph (a) or (b), as applicable, and does not constitute a nuisance for failure to comply with any such law.

      [8.]10.  A request for emergency assistance by a tenant as described in NRS 118A.515 and 118B.152 is not a public nuisance.

      [9.]11.  As used in this section:

      (a) “Board of health” has the meaning ascribed to it in NRS 439.4797.

      (b) “Controlled substance analog” has the meaning ascribed to it in NRS 453.043.

      (c) “Criminal gang” has the meaning ascribed to it in NRS 193.168.

      (d) “Immediate precursor” has the meaning ascribed to it in NRS 453.086.

      (e) “Shooting range” has the meaning ascribed to it in NRS 40.140.

      (f) “State land” has the meaning ascribed to it in NRS 383.425.

      Sec. 2. (Deleted by amendment.)

      Sec. 3. NRS 244.363 is hereby amended to read as follows:

      244.363  Except as otherwise provided in subsection 3 of NRS 40.140 and subsection [7] 9 of NRS 202.450, the boards of county commissioners in their respective counties may, by ordinance regularly enacted, regulate, control and prohibit, as a public nuisance, excessive noise which is injurious to health or which interferes unreasonably with the comfortable enjoyment of life or property within the boundaries of the county.

      Sec. 4. NRS 266.335 is hereby amended to read as follows:

      266.335  The city council may:

      1.  Except as otherwise provided in subsections 3 and 4 of NRS 40.140 and subsections 6, 7 , [and 8] 9 and 10 of NRS 202.450, determine by ordinance what shall be deemed nuisances.

      2.  Provide for the abatement, prevention and removal of the nuisances at the expense of the person creating, causing or committing the nuisances.

      3.  Provide that the expense of removal is a lien upon the property upon which the nuisance is located. The lien must:

      (a) Be perfected by recording with the county recorder a statement by the city clerk of the amount of expenses due and unpaid and describing the property subject to the lien.

      (b) Be coequal with the latest lien thereon to secure the payment of general taxes.

      (c) Not be subject to extinguishment by the sale of any property because of the nonpayment of general taxes.

      (d) Be prior and superior to all liens, claims, encumbrances and titles other than the liens of assessments and general taxes.

      4.  Provide any other penalty or punishment of persons responsible for the nuisances.

      Sec. 5. NRS 268.412 is hereby amended to read as follows:

      268.412  Except as otherwise provided in subsection 3 of NRS 40.140 and subsection [7] 9 of NRS 202.450, the city council or other governing body of a city may, by ordinance regularly enacted, regulate, control and prohibit, as a public nuisance, excessive noise which is injurious to health or which interferes unreasonably with the comfortable enjoyment of life or property within the boundaries of the city.

 


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ê2021 Statutes of Nevada, Page 1493 (CHAPTER 280, SB 94)ê

 

prohibit, as a public nuisance, excessive noise which is injurious to health or which interferes unreasonably with the comfortable enjoyment of life or property within the boundaries of the city.

      Sec. 5.3. Chapter 403 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  The board of county highway commissioners may make rules and regulations to allow a person to erect and maintain a gate across a public road in the county. Such rules and regulations:

      (a) Must require such a gate to be kept unlocked; and

      (b) May set forth any specifications, standards and requirements concerning the erection and maintenance of such a gate as the board of county highway commissioners determines to be necessary.

      2.  As used in this section, “public road” means a:

      (a) Main, general or minor county road designated pursuant to NRS 403.170.

      (b) Public road, as defined in subsection 2 of NRS 405.191.

      Sec. 5.6. Chapter 405 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  In a county whose population is 100,000 or more, the board of county commissioners of the county may, by ordinance or by written agreement with a person, authorize a person to erect and maintain a gate across a public road. Any such ordinance or agreement must contain provisions:

      (a) That require such a gate to be kept unlocked; and

      (b) To ensure that:

             (1) Public access to the public road is not restricted in any manner; and

             (2) The traveling public is able to travel on the public road without unnecessary delay.

      2.  As used in this section, “public road” has the meaning ascribed to it in subsection 2 of NRS 405.191.

      Secs. 6 and 7. (Deleted by amendment.)

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ê2021 Statutes of Nevada, Page 1494ê

 

CHAPTER 281, SB 95

Senate Bill No. 95–Senator Ohrenschall

 

Joint Sponsor: Assemblyman Orentlicher

 

CHAPTER 281

 

[Approved: June 2, 2021]

 

AN ACT relating to business entities; revising provisions relating to service of process on management persons; making various changes to definitions relating to corporations; authorizing a corporation to include a federal forum selection clause in its articles of incorporation or bylaws; revising provisions relating to the breach of a fiduciary duty by a director or officer of a corporation; making various changes relating to meetings of stockholders held by means of remote communication; revising provisions relating to voting agreements of stockholders; revising provisions relating to notice of meetings of stockholders; revising provisions relating to insolvent corporations; revising provisions relating to discretionary indemnification of directors, officers, employees and agents of corporations; providing an exception to the requirement that a corporation issue a certificate of membership; establishing and revising provisions relating to distributions made by limited-liability companies; revising provisions relating to the form of contributions to capital of members of a limited-liability company or series; making various changes relating to the standard of voting for actions taken by corporations, limited partnerships and limited-liability companies; revising provisions relating to dissenter’s rights; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law establishes various provisions relating to business entities, including private corporations and limited-liability companies. (Chapters 78 and 86 of NRS) This bill revises certain provisions relating to business entities and makes certain other changes generally relating to business entities.

      Section 1 of this bill removes the requirement that a clerk of the court mail to certain management persons of a business entity true and attested copies of the process served on the registered agent of the entity, and instead requires that the party serving the registered agent mail to such management persons a copy of any document served upon the registered agent.

      Section 38 of this bill repeals the selectively applicable definitions of “publicly traded corporation,” “Securities Exchange Act ” and “voting shares,” respectively, and replaces the definitions in section 2 of this bill in order to expand the applicability of such definitions to the entirety of chapter 78 of NRS. Sections 3, 7 and 8 of this bill make conforming changes related to the definition of the “Securities Exchange Act.” Section 14.2 of this bill makes a conforming change related to the definition of “voting shares.”

      Section 4 of this bill authorizes a corporation to include a federal forum selection clause in its articles of incorporation or bylaws under certain circumstances.

      Section 5 of this bill expressly provides that the directors and officers of a corporation may consider one or more facts, circumstances, contingencies or constituencies when exercising their respective powers.

 


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ê2021 Statutes of Nevada, Page 1495 (CHAPTER 281, SB 95)ê

 

      Section 6 of this bill revises the definition of “distribution,” as it relates to distributions made by corporations, by delineating that the term applies to all holders of shares of any one or more classes or series of the capital stock of the corporation. Sections 9 and 10 of this bill make conforming changes related to distributions made by corporations.

      Section 11 of this bill authorizes a meeting of stockholders to be held solely by means of remote communication unless otherwise prescribed by the board of directors. Section 11 also provides that, in addition to the stockholders, the corporation may permit certain other persons to attend the remote meeting. Moreover, section 11 provides that the corporation must implement measures to verify the identity of the permitted persons.

      Section 12 of this bill provides that the record date for a meeting of stockholders of the corporation: (1) must be fixed through a resolution adopted by the board of directors; and (2) must not precede the day on which the resolution is adopted by the board of directors, regardless of the effective date of the resolution.

      Section 12 also provides that the date upon which the stockholders of record are entitled to give written consent for certain actions taken by the corporation must not precede the day on which the resolution fixing such a date is adopted by the board of directors, regardless of the effective date of the resolution.

      Section 13 of this bill: (1) establishes provisions concerning the validity and enforceability of certain voting agreements; and (2) revises provisions relating to the limitation on the duration of certain voting agreements.

      Section 14 of this bill revises the form of notice for meetings of stockholders by requiring the notice to include the following information: (1) the date of the meeting; (2) if the meeting is to be held by means of remote communication, the form of the remote communication; and (3) if the meeting is not going to be held solely by means of remote communication, the physical location of the meeting. Section 14 additionally applies these changes to the form of notice required for adjourned meetings of stockholders.

      Section 14 also: (1) revises provisions related to notice by publication; and (2) establishes provisions authorizing certain publicly traded corporations to provide notice by proxy statement under certain circumstances.

      Section 14.5 of this bill expressly provides that whenever a corporation is insolvent and in certain other circumstances, any creditors holding at least 10 percent of the outstanding indebtedness, or stockholders owning at least 10 percent of the outstanding stock entitled to vote, may petition a district court for a writ of injunction and the appointment of receivers or trustees.

      Section 15 of this bill expands the circumstances by which a corporation may discretionally indemnify a person who is or was a party to an action, or threatened to be made a party to an action, by authorizing the corporation to indemnify any such person who is or was serving at the request of the corporation as a manager of a limited-liability company.

      Section 16 of this bill provides exception for corporations that are associations or unit-owners’ associations from the requirement that corporations issue a certificate of membership to any person who becomes a member of the corporation.

      Section 19 of this bill defines the term “distribution” for the purposes of section 21 of this bill concerning noneconomic members of limited-liability companies and sections 23 and 24 of this bill relating to the circumstances by which a limited-liability company is authorized to or prohibited from making distributions and certain other provisions of law relating to limited-liability companies.

      Sections 22 and 25-27 of this bill require that a vote of approval for certain actions taken by a limited-liability company be determined by a specified proportion “in interest” of the members, as defined by section 18 of this bill. Section 38 makes a conforming change by repealing the definition of the term “majority in interest.” Section 20 of this bill makes a conforming change relating to the placement of section 18 in the Nevada Revised Statutes.

 


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ê2021 Statutes of Nevada, Page 1496 (CHAPTER 281, SB 95)ê

 

      Section 22.5 of this bill: (1) provides that the provisions concerning the form of contributions to capital of a member of a limited-liability company or a series apply to the entirety of chapter 86 of NRS; and (2) clarifies the form of such contributions.

      Section 32 of this bill provides the circumstances under which a vote of the stockholders of a domestic corporation is not required to authorize a merger in which the corporation is a constituent entity.

      Section 33 of this bill provides that a plan of merger, conversion or exchange involving a domestic limited partnership must be approved, in relevant part, by a majority of the total contributions of the limited partners.

      Section 34 of this bill provides that a plan of merger, conversion or exchange involving a domestic limited-liability company must be approved by: (1) a majority of the total contributions of the members, if there is one class of members; or (2) a majority of the total contributions of each class of members, if there are two or more classes of members.

      Section 35 of this bill revises the applicability of the limitations on dissenter’s rights. Section 36 of this bill makes various changes related to the notification of stockholders concerning corporate actions creating dissenter’s rights, including, without limitation, authorizing a domestic corporation to send an advance notice statement to the stockholders if a proposed corporate action creating dissenter’s rights is submitted for approval pursuant to a written consent of the stockholders or taken without a vote of the stockholders.

      Section 37 of this bill makes various changes to provisions related to the prerequisites for a demand by a stockholder for payment of the shares of the stockholder, including requiring such a stockholder to file a statement of intent under certain circumstances.

      Sections 29 and 30 of this bill define the terms “advance notice statement” and “statement of intent,” respectively. Section 31 of this bill makes conforming changes related to the placement of the definitions in the Nevada Revised Statutes.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 75.160 is hereby amended to read as follows:

      75.160  1.  Every nonresident of this State who, on or after October 1, 2013, accepts election or appointment, including reelection or reappointment, as a management person of an entity, or who, on or after October 1, 2014, serves in such capacity, and every resident of this State who accepts election or appointment or serves in such capacity and thereafter removes residence from this State shall be deemed, by the acceptance or by the service, to have consented to the appointment of the registered agent of the entity as an agent upon whom service of process may be made in all civil actions or proceedings brought in this State by, on behalf of or against the entity in which the management person is a necessary or proper party, or in any action or proceeding against the management person for a violation of a duty in such capacity, whether or not the person continues to serve as the management person at the time the action or proceeding is commenced. The acceptance or the service by the management person shall be deemed to be signification of the consent of the management person that any process so served has the same legal force and validity as if served upon the management person within this State.

      2.  Service of process must be effected by serving the registered agent with a true copy in the manner provided by law for service of process. In addition, the [clerk of the court in which the civil action or proceeding is pending] party serving the registered agent shall, within 7 days after such service, send by registered or certified mail, postage prepaid, [true and attested] copies of the [process,] documents served upon the registered agent, together with a statement that service is being made pursuant to this section, addressed to the management person at the address as it appears on the records of the Secretary of State, or if no such address appears, at the address last known to the serving party .

 


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pending] party serving the registered agent shall, within 7 days after such service, send by registered or certified mail, postage prepaid, [true and attested] copies of the [process,] documents served upon the registered agent, together with a statement that service is being made pursuant to this section, addressed to the management person at the address as it appears on the records of the Secretary of State, or if no such address appears, at the address last known to the serving party . [desiring to make the service.]

      3.  The appointment of the registered agent is irrevocable. If any entity or management person fails to appoint a registered agent, or fails to file a statement of change of registered agent pursuant to NRS 77.340 before the effective date of a vacancy in the agency pursuant to NRS 77.330 or 77.370, on the production of a certificate of the Secretary of State showing either fact, which is conclusive evidence of the fact so certified to be made a part of the return of service, or if the street address of the registered agent of the entity is not staffed as required pursuant to NRS 14.020, which fact is to be made part of the return of service, the management person may be served with any and all legal process, or a demand or notice described in NRS 14.020, by delivering a copy to the Secretary of State or, in the absence of the Secretary of State, to any deputy secretary of state, and such service is valid to all intents and purposes. The copy must:

      (a) Include a specific citation to the provisions of this section. The Secretary of State may refuse to accept such service if the proper citation is not included.

      (b) Be accompanied by a fee of $10.

Ê The Secretary of State shall keep a copy of the legal process received pursuant to this section in the Office of the Secretary of State for at least 1 year after receipt thereof and shall make those records available for public inspection during normal business hours.

      4.  In all cases of service pursuant to subsection 3, the defendant has 40 days, exclusive of the day of service, within which to answer or plead. Before such service is authorized, the plaintiff shall make or cause to be made and filed an affidavit setting forth the facts, showing that due diligence has been used to ascertain the whereabouts of the management person to be served, and the facts showing that direct or personal service on, or notice to, the management person cannot be made.

      5.  If it appears from the affidavit that there is a last known address of the management person, the plaintiff shall, in addition to and after such service on the Secretary of State, mail or cause to be mailed to the management person at such address, by registered or certified mail, a copy of the summons and a copy of the complaint, and in all such cases the defendant has 40 days after the date of the mailing within which to appear in the action.

      6.  Service pursuant to subsection 3 provides an additional manner of serving process, and does not affect the validity of any other valid service.

      7.  In any action in which any management person has been served with process pursuant to subsection 2, the time in which a defendant is required to appear and file a responsive pleading must be computed from the date of mailing by the [clerk of the court.] serving party. The court may grant an extension of time as may be necessary to afford the management person reasonable opportunity to defend the action.

      8.  In a charter or other writing, a management person or owner of any entity may consent to be subject to the nonexclusive jurisdiction of the courts of, or arbitration in, a specified jurisdiction, or the exclusive jurisdiction of the courts of this State, or the exclusivity of arbitration in a specified jurisdiction or this State, and to be served with process in the manner prescribed in the charter or other writing.

 


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ê2021 Statutes of Nevada, Page 1498 (CHAPTER 281, SB 95)ê

 

the courts of this State, or the exclusivity of arbitration in a specified jurisdiction or this State, and to be served with process in the manner prescribed in the charter or other writing. Notwithstanding any other provision of this subsection, except by agreeing to arbitrate any arbitrable matter in a specified jurisdiction or in this State, an owner of an entity who is not a management person may not waive its right to maintain a legal action or proceeding in the courts of this State with respect to matters relating to the organization or internal affairs of an entity. Without limiting or affecting the enforceability under the laws of this State governing corporations of any consent or agreement by a management person or stockholder of a corporation, this subsection does not apply to an entity which is a corporation.

      9.  This section does not limit or affect the right to serve process in any other manner now existing or hereafter enacted. This section is an extension of, and not a limitation upon, the right otherwise existing of service of legal process upon nonresidents.

      10.  As used in this section:

      (a) “Charter” means the articles of organization or an operating agreement of a limited-liability company, the certificate of limited partnership or partnership agreement of a limited partnership or the certificate of trust or governing instrument of a business trust.

      (b) “Entity” means a domestic:

             (1) Corporation, whether or not for profit;

             (2) Limited-liability company;

             (3) Limited partnership; or

             (4) Business trust.

      (c) “Management person” means a director, officer, manager, managing member, general partner or trustee of an entity.

      (d) “Owner” means a member of a limited-liability company, limited partner of a limited partnership or beneficial owner of a business trust.

      (e) “Registered agent” has the meaning ascribed to it in NRS 77.230.

      Sec. 2. NRS 78.010 is hereby amended to read as follows:

      78.010  1.  As used in this chapter:

      (a) “Approval” and “vote” as describing action by the directors or stockholders mean the vote of directors in person or by written consent or of stockholders in person, by proxy or by written consent.

      (b) “Articles,” “articles of incorporation” and “certificate of incorporation” are synonymous terms and, unless the context otherwise requires, include all certificates filed pursuant to NRS 78.030, 78.180, 78.185, 78.1955, 78.209, 78.380, 78.385, 78.390, 78.725 and 78.730 and any articles of merger, conversion, exchange or domestication filed pursuant to NRS 92A.200 to 92A.240, inclusive, or 92A.270. Unless the context otherwise requires, these terms include restated articles and certificates of incorporation.

      (c) “Directors” and “trustees” are synonymous terms.

      (d) “Entity” means a foreign or domestic:

             (1) Corporation, whether or not for profit;

             (2) Limited-liability company;

             (3) Limited partnership; or

             (4) Business trust.

      (e) “Publicly traded corporation” means a domestic corporation that has a class or series of voting shares which is:

 


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ê2021 Statutes of Nevada, Page 1499 (CHAPTER 281, SB 95)ê

 

             (1) A covered security under section 18(b)(1)(A) or (B) of the Securities Act of 1933, 15 U.S.C. § 77r(b)(1)(A) or (B), as amended; or

             (2) Traded in an organized market and that has at least 2,000 stockholders and a market value of at least $20,000,000, exclusive of the value of such shares held by the corporation’s subsidiaries, senior executives, directors and beneficial stockholders owning more than 10 percent of such shares.

      (f) “Principal office” means the office, in or out of this State, where the principal executive offices of a domestic or foreign corporation are located.

      [(f)](g) “Receiver” includes receivers and trustees appointed by a court as provided in this chapter or in chapter 32 of NRS.

      [(g)](h) “Registered agent” has the meaning ascribed to it in NRS 77.230.

      [(h)](i) “Registered office” means the office maintained at the street address of the registered agent.

      [(i)](j) “Securities Exchange Act” means the Act of Congress known as the Securities Exchange Act of 1934, as amended, 15 U.S.C. §§ 78a et seq.

      (k) “Stockholder of record” means a person whose name appears on the stock ledger of the corporation as the owner of record of shares of any class or series of the stock of the corporation. The term does not include a beneficial owner of shares who is not simultaneously the owner of record of such shares as indicated in the stock ledger.

      (l) “Voting shares” means shares of stock of a corporation entitled to vote generally in the election of directors.

      2.  General terms and powers given in this chapter are not restricted by the use of special terms, or by any grant of special powers contained in this chapter.

      Sec. 3. NRS 78.045 is hereby amended to read as follows:

      78.045  1.  The Secretary of State shall not accept for filing any articles of incorporation or any certificate of amendment of articles of incorporation of any corporation formed pursuant to the laws of this State which provides that the name of the corporation contains the word “bank” or “trust,” unless:

      (a) It appears from the articles or the certificate of amendment that the corporation proposes to carry on business as a banking or trust company, exclusively or in connection with its business as a bank, savings and loan association, savings bank or thrift company; and

      (b) The articles or certificate of amendment is first approved by the Commissioner of Financial Institutions.

      2.  The Secretary of State shall not accept for filing any articles of incorporation or any certificate of amendment of articles of incorporation of any corporation formed pursuant to the provisions of this chapter if it appears from the articles or the certificate of amendment that the business to be carried on by the corporation is subject to supervision by the Commissioner of Insurance or by the Commissioner of Financial Institutions, unless the articles or certificate of amendment is approved by the Commissioner who will supervise the business of the corporation.

      3.  Except as otherwise provided in subsection 7, the Secretary of State shall not accept for filing any articles of incorporation or any certificate of amendment of articles of incorporation of any corporation formed pursuant to the laws of this State if the name of the corporation contains the words “engineer,” “engineered,” “engineering,” “professional engineer,” “registered engineer” or “licensed engineer” unless:

 


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ê2021 Statutes of Nevada, Page 1500 (CHAPTER 281, SB 95)ê

 

“engineer,” “engineered,” “engineering,” “professional engineer,” “registered engineer” or “licensed engineer” unless:

      (a) The State Board of Professional Engineers and Land Surveyors certifies that the principals of the corporation are licensed to practice engineering pursuant to the laws of this State; or

      (b) The State Board of Professional Engineers and Land Surveyors certifies that the corporation is exempt from the prohibitions of NRS 625.520.

      4.  Except as otherwise provided in subsection 7, the Secretary of State shall not accept for filing any articles of incorporation or any certificate of amendment of articles of incorporation of any corporation formed pursuant to the laws of this State if the name of the corporation contains the words “architect,” “architecture,” “registered architect,” “licensed architect,” “registered interior designer,” “registered interior design,” “residential designer,” “registered residential designer,” “licensed residential designer” or “residential design” unless the State Board of Architecture, Interior Design and Residential Design certifies that:

      (a) The principals of the corporation are holders of a certificate of registration to practice architecture or residential design or to practice as a registered interior designer, as applicable, pursuant to the laws of this State; or

      (b) The corporation is qualified to do business in this State pursuant to NRS 623.349.

      5.  The Secretary of State shall not accept for filing any articles of incorporation or any certificate of amendment of articles of incorporation of any corporation formed pursuant to the laws of this State which provides that the name of the corporation contains the word “accountant,” “accounting,” “accountancy,” “auditor” or “auditing” unless the Nevada State Board of Accountancy certifies that the corporation:

      (a) Is registered pursuant to the provisions of chapter 628 of NRS; or

      (b) Has filed with the Nevada State Board of Accountancy under penalty of perjury a written statement that the corporation is not engaged in the practice of accounting and is not offering to practice accounting in this State.

      6.  The Secretary of State shall not accept for filing any articles of incorporation or any certificate of amendment of articles of incorporation of any corporation formed or existing pursuant to the laws of this State which provides that the name of the corporation contains the words “common-interest community,” “community association,” “master association,” “unit-owners’ association” or “homeowners’ association” or if it appears in the articles of incorporation or certificate of amendment that the purpose of the corporation is to operate as a unit-owners’ association pursuant to chapter 116 or 116B of NRS unless the Administrator of the Real Estate Division of the Department of Business and Industry certifies that the corporation has:

      (a) Registered with the Ombudsman for Owners in Common-Interest Communities and Condominium Hotels pursuant to NRS 116.31158 or 116B.625; and

      (b) Paid to the Administrator of the Real Estate Division the fees required pursuant to NRS 116.31155 or 116B.620.

      7.  The provisions of subsections 3 and 4 do not apply to any corporation, whose securities are publicly traded and regulated by the Securities Exchange Act , [of 1934,] which does not engage in the practice of professional engineering, architecture or residential design or interior design, as applicable.

 


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ê2021 Statutes of Nevada, Page 1501 (CHAPTER 281, SB 95)ê

 

      8.  The Commissioner of Financial Institutions and the Commissioner of Insurance may approve or disapprove the articles or amendments referred to them pursuant to the provisions of this section.

      Sec. 4. NRS 78.046 is hereby amended to read as follows:

      78.046  1.  The articles of incorporation or bylaws of a corporation may require, to the extent not inconsistent with any applicable jurisdictional requirements [,] and the laws of the United States, that any, all or certain [internal] :

      (a) Concurrent jurisdiction actions must be brought solely or exclusively in the court or courts specified in the requirement; and

      (b) Internal actions must be brought solely or exclusively in the court or courts specified in the requirement, which must include at least one court in this State.

      2.  Unless otherwise expressly set forth in the articles of incorporation or bylaws, [such a] any requirement described in subsection 1 must not be interpreted as prohibiting any corporation from consenting, or requiring any corporation to consent, to any alternative forum in any instance.

      [2.] 3.  The provisions of this section do not create or authorize any cause of action against a corporation or its directors or officers.

      [3.] 4.  As used in this section:

      (a) “Concurrent jurisdiction action” means any action, suit or proceeding against the corporation or any of its directors or officers, that:

             (1) Asserts a cause of action under the laws of the United States;

             (2) Could be properly commenced in either a federal forum or a forum of this State or any other state; and

             (3) Is brought by or in the name or on behalf of:

                   (I) The corporation;

                   (II) Any stockholder of the corporation; or

                   (III) Any subscriber for, or purchaser or offeree of, any shares or other securities of the corporation.

      (b) “Court” means any court of:

             (1) This State, including, without limitation, those courts in any county having a business court, as that term is defined in NRS 13.050;

             (2) A state other than this State; or

             (3) The United States.

      [(b)] (c) “Internal action” means any action, suit or proceeding:

             (1) Brought in the name or right of the corporation or on its behalf, including, without limitation, any action subject to NRS 41.520;

             (2) For or based upon any breach of any fiduciary duty owed by any director, officer, employee or agent of the corporation in such capacity; or

             (3) Arising pursuant to, or to interpret, apply, enforce or determine the validity of, any provision of this title, the articles of incorporation, the bylaws or any agreement entered into pursuant to NRS 78.365 to which the corporation is a party or a stated beneficiary thereof.

      Sec. 5. NRS 78.138 is hereby amended to read as follows:

      78.138  1.  The fiduciary duties of directors and officers are to exercise their respective powers in good faith and with a view to the interests of the corporation.

      2.  In exercising their respective powers, directors and officers may, and are entitled to, rely on information, opinions, reports, books of account or statements, including financial statements and other financial data, that are prepared or presented by:

 


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ê2021 Statutes of Nevada, Page 1502 (CHAPTER 281, SB 95)ê

 

      (a) One or more directors, officers or employees of the corporation reasonably believed to be reliable and competent in the matters prepared or presented;

      (b) Counsel, public accountants, financial advisers, valuation advisers, investment bankers or other persons as to matters reasonably believed to be within the preparer’s or presenter’s professional or expert competence; or

      (c) A committee on which the director or officer relying thereon does not serve, established in accordance with NRS 78.125, as to matters within the committee’s designated authority and matters on which the committee is reasonably believed to merit confidence,

Ê but a director or officer is not entitled to rely on such information, opinions, reports, books of account or statements if the director or officer has knowledge concerning the matter in question that would cause reliance thereon to be unwarranted.

      3.  Except as otherwise provided in subsection 1 of NRS 78.139, directors and officers, in deciding upon matters of business, are presumed to act in good faith, on an informed basis and with a view to the interests of the corporation. A director or officer is not individually liable for damages as a result of an act or failure to act in his or her capacity as a director or officer except as described in subsection 7.

      4.  Directors and officers, in exercising their respective powers with a view to the interests of the corporation, may:

      (a) Consider all relevant facts, circumstances, contingencies or constituencies, [including,] which may include, without limitation [:] , one or more of the following:

             (1) The interests of the corporation’s employees, suppliers, creditors or customers;

             (2) The economy of the State or Nation;

             (3) The interests of the community or of society;

             (4) The long-term or short-term interests of the corporation, including the possibility that these interests may be best served by the continued independence of the corporation; or

             (5) The long-term or short-term interests of the corporation’s stockholders, including the possibility that these interests may be best served by the continued independence of the corporation.

      (b) Consider or assign weight to the interests of any particular person or group, or to any other relevant facts, circumstances, contingencies or constituencies.

      5.  Directors and officers are not required to consider, as a dominant factor, the effect of a proposed corporate action upon any particular group or constituency having an interest in the corporation.

      6.  The provisions of subsections 4 and 5 do not create or authorize any causes of action against the corporation or its directors or officers.

      7.  Except as otherwise provided in NRS 35.230, 90.660, 91.250, 452.200, 452.270, 668.045 and 694A.030, or unless the articles of incorporation or an amendment thereto, in each case filed on or after October 1, 2003, provide for greater individual liability, a director or officer is not individually liable to the corporation or its stockholders or creditors for any damages as a result of any act or failure to act in his or her capacity as a director or officer unless:

      (a) The presumption established by subsection 3 has been rebutted; and

      (b) It is proven that:

 


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ê2021 Statutes of Nevada, Page 1503 (CHAPTER 281, SB 95)ê

 

             (1) The director’s or officer’s act or failure to act constituted a breach of his or her fiduciary duties as a director or officer; and

             (2) Such breach involved intentional misconduct, fraud or a knowing violation of law.

      8.  This section applies to all cases, circumstances and matters, including, without limitation, any change or potential change in control of the corporation unless otherwise provided in the articles of incorporation or an amendment thereto.

      Sec. 6. NRS 78.191 is hereby amended to read as follows:

      78.191  As used in NRS 78.191 to 78.307, inclusive, unless the context otherwise requires, the word “distribution” means a direct or indirect transfer of money or other property , other than its own shares or the incurrence of indebtedness by a corporation , to or for the benefit of [its stockholders] all holders of shares of any one or more classes or series of the capital stock of the corporation, with respect to [any of its] such shares. A distribution may be in the form of a declaration or payment of a dividend, a purchase, redemption or other acquisition of shares, a distribution of indebtedness, or otherwise.

      Sec. 7. NRS 78.257 is hereby amended to read as follows:

      78.257  1.  Any person who has been a stockholder of record of any corporation and owns not less than 15 percent of all of the issued and outstanding shares of the stock of such corporation or has been authorized in writing by the holders of at least 15 percent of all its issued and outstanding shares, upon at least 5 days’ written demand, including the affidavit required pursuant to subsection 2, is entitled to inspect in person or by agent or attorney, during normal business hours, the books of account and all financial records of the corporation, to make copies of records, and to conduct an audit of such records. Holders of voting trust certificates representing 15 percent of the issued and outstanding shares of the corporation are regarded as stockholders for the purpose of this subsection. The right of stockholders to inspect the corporate records may not be limited in the articles or bylaws of any corporation.

      2.  Together with the written demand required pursuant to subsection 1, a person who wishes to exercise the rights set forth in subsection 1 shall furnish an affidavit to the corporation stating that the inspection, copies or audit is not desired for any purpose not related to his or her interest as a stockholder.

      3.  All costs for making copies of records or conducting an audit must be borne by the person exercising the rights set forth in subsection 1.

      4.  The rights authorized by subsection 1 may be denied to any stockholder upon the stockholder’s refusal to furnish the corporation an affidavit required pursuant to subsection 2. Any stockholder or other person, exercising rights set forth in subsection 1, who uses or attempts to use information, records or other data obtained from the corporation, for any purpose not related to the stockholder’s interest in the corporation as a stockholder, is guilty of a gross misdemeanor.

      5.  If any officer or agent of any corporation keeping records in this State willfully neglects or refuses to permit an inspection of the books of account and financial records upon demand by a person entitled to inspect them, or refuses to permit an audit to be conducted by such a person, as provided in subsection 1, the corporation shall forfeit to the State the sum of $100 for every day of such neglect or refusal, and the corporation, officer or agent thereof is jointly and severally liable to the person injured for all damages resulting to the person.

 


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ê2021 Statutes of Nevada, Page 1504 (CHAPTER 281, SB 95)ê

 

corporation, officer or agent thereof is jointly and severally liable to the person injured for all damages resulting to the person.

      6.  A stockholder who brings an action or proceeding to enforce any right set forth in this section or to recover damages resulting from its denial:

      (a) Is entitled to costs and reasonable attorney’s fees, if the stockholder prevails; or

      (b) Is liable for such costs and fees, if the stockholder does not prevail,

Ê in the action or proceeding.

      7.  Except as otherwise provided in this subsection, the provisions of this section do not apply to any corporation that furnishes to its stockholders a detailed, annual financial statement or any corporation that has filed during the preceding 12 months all reports required to be filed pursuant to section 13 or section 15(d) of the Securities Exchange Act [of 1934.] , 15 U.S.C. §§ 78m or 78o(d). A person who owns, or is authorized in writing by the owners of, at least 15 percent of the issued and outstanding shares of the stock of a corporation that has elected to be governed by subchapter S of the Internal Revenue Code and whose shares are not listed or traded on any recognized stock exchange is entitled to inspect the books of the corporation pursuant to subsection 1 and has the rights, duties and liabilities provided in subsections 2 to 6, inclusive.

      Sec. 8. NRS 78.265 is hereby amended to read as follows:

      78.265  1.  The provisions of this section apply to corporations organized in this State before October 1, 1991.

      2.  Except to the extent limited or denied by this section or the articles of incorporation, shareholders have a preemptive right to acquire unissued shares, treasury shares or securities convertible into such shares.

      3.  Unless otherwise provided in the articles of incorporation:

      (a) A preemptive right does not exist:

             (1) To acquire any shares issued to directors, officers or employees pursuant to approval by the affirmative vote of the holders of a majority of the shares entitled to vote or when authorized by a plan approved by such a vote of shareholders;

             (2) To acquire any shares sold for a consideration other than cash;

             (3) To acquire any shares issued at the same time that the shareholder who claims a preemptive right acquired his or her shares;

             (4) To acquire any shares issued as part of the same offering in which the shareholder who claims a preemptive right acquired his or her shares; or

             (5) To acquire any shares, treasury shares or securities convertible into such shares, if the shares or the shares into which the convertible securities may be converted are upon issuance registered pursuant to section 12 of the Securities Exchange Act , [of 1934,] 15 U.S.C. § 78l.

      (b) Holders of shares of any class that is preferred or limited as to dividends or assets are not entitled to any preemptive right.

      (c) Holders of common stock are not entitled to any preemptive right to shares of any class that is preferred or limited as to dividends or assets or to any obligations, unless convertible into shares of common stock or carrying a right to subscribe to or acquire shares of common stock.

      (d) Holders of common stock without voting power have no preemptive right to shares of common stock with voting power.

      (e) The preemptive right is only an opportunity to acquire shares or other securities upon such terms as the board of directors fixes for the purpose of providing a fair and reasonable opportunity for the exercise of such right.

 


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      Sec. 9. NRS 78.288 is hereby amended to read as follows:

      78.288  1.  Except as otherwise provided in subsection 2 and the articles of incorporation, a board of directors may authorize and the corporation may make distributions to the holders of any class or series of the [corporation’s shares,] capital stock of the corporation, including distributions on shares that are partially paid.

      2.  No distribution may be made if, after giving it effect:

      (a) The corporation would not be able to pay its debts as they become due in the usual course of business; or

      (b) Except as otherwise specifically allowed by the articles of incorporation, the corporation’s total assets would be less than the sum of its total liabilities plus the amount that would be needed, if the corporation were to be dissolved immediately after the time of the distribution, to satisfy the preferential rights upon such dissolution of [stockholders] holders of shares of any class or series of the capital stock of the corporation [whose] having preferential rights [are] superior to those receiving the distribution.

      3.  The board of directors may base a determination that a distribution is not prohibited pursuant to subsection 2 on:

      (a) Financial statements prepared on the basis of accounting practices that are reasonable in the circumstances;

      (b) A fair valuation, including, but not limited to, unrealized appreciation and depreciation; or

      (c) Any other method that is reasonable in the circumstances.

      4.  The effect of a distribution pursuant to subsection 2 must be measured:

      (a) In the case of a distribution by purchase, redemption or other acquisition of shares of the [corporation’s shares,] capital stock of the corporation, as of the earlier of:

             (1) The date money or other property is transferred or debt incurred by the corporation; or

             (2) The date upon which the [stockholder] holder of such shares ceases to [be a stockholder with respect to] hold the acquired shares.

      (b) In the case of any other distribution of indebtedness, as of the date the indebtedness is distributed.

      (c) In all other cases, as of:

             (1) The date the distribution is authorized if the payment occurs within 120 days after the date of authorization; or

             (2) The date the payment is made if it occurs more than 120 days after the date of authorization.

      5.  A corporation’s indebtedness to a [stockholder] holder of shares of one or more classes or series of the capital stock of the corporation incurred by reason of a distribution made in accordance with this section is at parity with the corporation’s indebtedness to its general unsecured creditors except to the extent subordinated by agreement.

      6.  Indebtedness of a corporation, including indebtedness issued as a distribution, is not considered a liability for purposes of determinations pursuant to subsection 2 if its terms provide that payment of principal and interest are made only if and to the extent that payment of a distribution [to stockholders] could then be made pursuant to this section. If the indebtedness is issued as a distribution, each payment of principal or interest must be treated as a distribution, the effect of which must be measured on the date the payment is actually made.

 


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      7.  The board of directors may fix a record date for determining [stockholders] holders of shares of one or more classes or series of the capital stock of the corporation entitled to a distribution authorized by the board of directors pursuant to this section, which record date must not precede the date upon which the resolution fixing the record date is adopted.

      8.  This section does not apply to any distribution in liquidation pursuant to NRS 78.590.

      9.  The provisions of chapter 112 of NRS do not apply to any distribution made by a corporation in accordance with this chapter.

      Sec. 10. NRS 78.300 is hereby amended to read as follows:

      78.300  1.  The directors of a corporation shall not make distributions [to stockholders] except as provided by this chapter.

      2.  Except as otherwise provided in subsection 3 and NRS 78.138, in case of any violation of the provisions of this section, the directors under whose administration the violation occurred are jointly and severally liable, at any time within 3 years after each violation, to the corporation, and, in the event of its dissolution or insolvency, to its creditors at the time of the violation, or any of them, to the lesser of the full amount of the distribution made or of any loss sustained by the corporation by reason of the distribution . [to stockholders.]

      3.  The liability imposed pursuant to subsection 2 does not apply to a director who caused his or her dissent to be entered upon the minutes of the meeting of the directors at the time the action was taken or who was not present at the meeting and caused his or her dissent to be entered on learning of the action.

      Sec. 11. NRS 78.320 is hereby amended to read as follows:

      78.320  1.  Unless this chapter, the articles of incorporation or the bylaws provide for different proportions:

      (a) A majority of the voting power, which includes the voting power that is present in person or by proxy, regardless of whether the proxy has authority to vote on any matter, constitutes a quorum for the transaction of business; and

      (b) Action by the stockholders on a matter other than the election of directors is approved if the number of votes cast in favor of the action exceeds the number of votes cast in opposition to the action.

      2.  Unless otherwise provided in the articles of incorporation or the bylaws, any action required or permitted to be taken at a meeting of the stockholders may be taken without a meeting if, before or after the action, a written consent thereto is signed by stockholders holding at least a majority of the voting power, except that if a different proportion of voting power is required for such an action at a meeting, then that proportion of written consents is required.

      3.  In no instance where action is authorized by written consent need a meeting of stockholders be called or notice given.

      4.  Unless otherwise restricted by the articles of incorporation or bylaws, stockholders and certain other persons permitted by the corporation to attend a meeting of stockholders may participate in [a] the meeting [of stockholders] through remote communication, including, without limitation, electronic communications, videoconferencing, teleconferencing or other available technology , if the corporation has implemented reasonable measures to:

 


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      (a) Verify the identity of each person participating through such means as a stockholder [;] or permitted person; and

      (b) Provide the stockholders a reasonable opportunity to participate in the meeting and to vote on matters submitted to the stockholders, including an opportunity to communicate, and to read or hear the proceedings of the meetings in a substantially concurrent manner with such proceedings.

      5.  Unless otherwise restricted by the articles of incorporation or bylaws, a meeting of stockholders may be held solely by remote communication pursuant to subsection 4 [.] and, if a meeting is so held, no other means of communication is required in the conduct of the meeting unless otherwise prescribed by the board of directors.

      6.  Participation in a meeting pursuant to subsection 4 constitutes presence in person at the meeting.

      7.  Unless this chapter, the articles of incorporation or the bylaws provide for different proportions, if voting by a class or series of stockholders is permitted or required:

      (a) A majority of the voting power of the class or series that is present in person or by proxy, regardless of whether the proxy has authority to vote on any matter, constitutes a quorum for the transaction of business; and

      (b) An act by the stockholders of each class or series is approved if a majority of the voting power of a quorum of the class or series votes for the action.

      8.  Unless otherwise provided in the articles of incorporation or the bylaws, once a share is represented in person or by proxy for any purpose at a meeting, the share shall be deemed present for purposes of determining a quorum for the remainder of the meeting and for any adjournment of the meeting unless a new record date is or must be fixed for the adjourned meeting.

      Sec. 12. NRS 78.350 is hereby amended to read as follows:

      78.350  1.  Unless otherwise provided in the articles of incorporation, or in the certificate of designation establishing the class or series of stock, every stockholder of record of a corporation is entitled at each meeting of stockholders thereof to one vote for each share of stock standing in his or her name on the records of the corporation. If the articles of incorporation, or the certificate of designation establishing the class or series of stock provides for more or less than one vote per share for any class or series of shares on any matter, every reference in this chapter to a majority or other proportion of stock shall be deemed to refer to a majority or other proportion of the voting power of all of the shares or those classes or series of shares, as may be required by the articles of incorporation, or in the certificate of designation establishing the class or series of stock or the provisions of this chapter.

      2.  Unless a period of more than 60 days or a period of less than 10 days is prescribed or fixed in the articles of incorporation, the board of directors may prescribe a period not exceeding 60 days before any meeting of the stockholders during which no transfer of stock on the books of the corporation may be made, or may fix [, in advance,] a record date not more than 60 or less than 10 days before the date of any such meeting as the date as of which stockholders entitled to notice of and to vote at such meetings must be determined.

      3.  If a record date for a meeting of stockholders is fixed by the board of directors:

 


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      (a) The record date:

             (1) Must be so fixed pursuant to a resolution adopted by the board of directors; and

             (2) Must not precede the day on which the resolution is adopted by the board of directors, regardless of the effective date of the resolution.

      (b) Only stockholders of record on [that] the record date are entitled to notice of or to vote at [such a] the meeting.

      4.  If a record date for a meeting of stockholders is not fixed [,] by the board of directors, the record date is at the close of business on the day before the day on which the first notice is given or, if notice is waived, at the close of business on the day before the meeting is held.

      5.  A determination of stockholders of record entitled to notice of or to vote at a meeting of stockholders applies to [an] any adjournment or postponement of the meeting unless the board of directors fixes a new record date for the adjourned or postponed meeting. The board of directors must fix a new record date if the meeting is adjourned or postponed to a date more than 60 days later than the meeting date set for the original meeting.

      [3.] 6.  The board of directors may adopt a resolution prescribing a date upon which the stockholders of record entitled to give written consent pursuant to NRS 78.320 must be determined. The date prescribed by the board of directors may not precede or be more than 10 days after the [date] day on which the resolution is adopted by the board of directors [.] , regardless of the effective date of the resolution.

      7.  If the board of directors does not adopt a resolution prescribing a date upon which the stockholders of record entitled to give written consent pursuant to NRS 78.320 must be determined and:

      (a) No prior action by the board of directors is required by this chapter or chapter 92A of NRS before the matter is submitted for consideration by the stockholders, the date is the first date on which any stockholder delivers to the corporation such consent signed by the stockholder.

      (b) Prior action by the board of directors is required by this chapter or chapter 92A of NRS before the matter is submitted for consideration by the stockholders, the date is at the close of business on the day the board of directors adopts the resolution.

      [4.] 8.  The provisions of this section do not restrict the directors from taking action to protect the interests of the corporation and its stockholders, including, but not limited to, adopting or signing plans, arrangements or instruments that grant or deny rights, privileges, power or authority to a holder or holders of a specified number of shares or percentage of share ownership or voting power.

      Sec. 13. NRS 78.365 is hereby amended to read as follows:

      78.365  1.  A stockholder, by agreement in writing, may transfer his or her stock to a voting trustee or trustees for the purpose of conferring the right to vote the stock for a period not exceeding 15 years upon the terms and conditions therein stated. Any certificates of stock so transferred must be surrendered and cancelled and new certificates for the stock issued to the trustee or trustees in which it must appear that they are issued pursuant to the agreement, and in the entry of ownership in the proper books of the corporation that fact must also be noted, and thereupon the trustee or trustees may vote the stock so transferred during the terms of the agreement. A duplicate of every such agreement must be filed in the registered office of the corporation and at all times during its terms be open to inspection by any stockholder or his or her attorney.

 


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ê2021 Statutes of Nevada, Page 1509 (CHAPTER 281, SB 95)ê

 

      2.  At any time within the 2 years next preceding the expiration of an agreement entered into pursuant to the provisions of subsection 1, or the expiration of an extension of that agreement, any beneficiary of the trust may, by written agreement with the trustee or trustees, extend the duration of the trust for a time not to exceed 15 years after the scheduled expiration date of the original agreement or the latest extension. An extension is not effective unless the trustee, before the expiration date of the original agreement or the latest extension, files a duplicate of the agreement providing for the extension in the registered office of the corporation. An agreement providing for an extension does not affect the rights or obligations of any person not a party to that agreement. An agreement entered into pursuant to the provisions of subsection 1 is not invalidated by the fact that, by its terms, its duration is more than 15 years, but its duration shall be deemed amended to conform with the provisions of this section.

      3.  An agreement between two or more stockholders, if in writing and signed by [them,] each stockholder to be bound thereby, may provide that in exercising any voting rights , the stock held by [them] each such stockholder must be voted:

      (a) Pursuant to the provisions of the agreement;

      (b) As they may subsequently agree; or

      (c) In accordance with a procedure agreed upon.

      4.  An agreement pursuant to the provisions of subsection 3 is valid and enforceable against the transferee of a stockholder party to the agreement only:

      (a) If and to the extent that the transferee agrees in writing to be bound by the agreement; or

      (b) If the agreement expressly provides that it is enforceable against the transferee of a stockholder party to the agreement and:

             (1) The transferee had actual knowledge of the existence of the agreement before the transfer; or

             (2) The existence of the agreement is noted conspicuously on the front or back of the stock certificate or is contained in the written statement of information required by subsection 5 of NRS 78.235.

      5.  An agreement [entered into] pursuant to the provisions of subsection 3 , or an amendment thereto or an extension thereof, in each case entered into before October 1, 2021, is not [effective] :

      (a) Effective for a term of more than 15 years, but at any time within the 2 years next preceding the expiration of the agreement the parties thereto may extend its duration for [as many additional periods, each not to exceed 15 years, as they wish.

      5.  An] such period as is stated in the extension [agreement entered into pursuant to the provisions of subsection 1 or 3 is not invalidated] ; and

      (b) Invalidated by the fact that by its terms its duration is more than 15 years, but its duration shall be deemed amended to conform with the provisions of this section.

      Sec. 14. NRS 78.370 is hereby amended to read as follows:

      78.370  1.  If under the provisions of this chapter stockholders are required or authorized to take any action at a meeting, the notice of the meeting must be in writing.

      2.  Except in the case of the annual meeting, the notice must state the purpose or purposes for which the meeting is called. In all instances, the notice must state [the] :

 


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ê2021 Statutes of Nevada, Page 1510 (CHAPTER 281, SB 95)ê

 

      (a) The date and time [when, and the place, which may be within or without this State, where] of the meeting [is to be held, and the] ;

      (b) The means of [electronic communications,] remote communication, if any, by which stockholders and proxies shall be deemed to be present in person and vote [.] at the meeting; and

      (c) Unless the meeting is to be held solely by remote communication pursuant to subsection 5 of NRS 78.320, the physical location of the meeting, which may be within or without this State.

      3.  A copy of the notice must be delivered personally, mailed postage prepaid or delivered as provided in NRS 75.150 to each stockholder of record entitled to vote at the meeting not less than 10 nor more than 60 days before the meeting. If mailed, it must be directed to the stockholder at his or her address as it appears upon the records of the corporation. Personal delivery of any such notice to any officer of a corporation or association, to any member of a limited-liability company managed by its members, to any manager of a limited-liability company managed by managers, to any general partner of a partnership or to any trustee of a trust constitutes delivery of the notice to the corporation, association, limited-liability company, partnership or trust.

      4.  The articles of incorporation or the bylaws may require that the notice be also published in one or more newspapers [.] but, notwithstanding such a requirement in the articles of incorporation or bylaws, notice by publication in one or more newspapers is not required if the corporation is a publicly traded corporation on the record date for the meeting.

      5.  Notice delivered or mailed to a stockholder in accordance with the provisions of this section and NRS 75.150 and the provisions, if any, of the articles of incorporation or the bylaws is sufficient, and in the event of the transfer of the stockholder’s stock after such delivery or mailing and before the holding of the meeting it is not necessary to deliver or mail notice of the meeting to the transferee.

      6.  Unless otherwise provided in the articles of incorporation or the bylaws, if notice is required to be delivered, under any provision of this chapter or the articles of incorporation or bylaws of any corporation, to any stockholder to whom:

      (a) Notice of two consecutive annual meetings, and all notices of meetings or of the taking of action by written consent without a meeting to the stockholder during the period between those two consecutive annual meetings; or

      (b) All, and at least two, payments sent by first-class mail of dividends or interest on securities during a 12-month period,

Ê have been mailed addressed to the stockholder at his or her address as shown on the records of the corporation and have been returned undeliverable, the delivery of further notices to the stockholder is not required. Any action or meeting taken or held without notice to such a stockholder has the same effect as if the notice had been delivered. If any such stockholder delivers to the corporation a written notice setting forth his or her current address, the requirement that notice be delivered to the stockholder is reinstated. If the action taken by the corporation is such as to require the filing of a certificate under any of the other sections of this chapter, the certificate need not state that notice was not delivered to persons to whom notice was not required to be delivered pursuant to this subsection.

 


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The delivery of further notices to a stockholder is still required for any notice returned as undeliverable if the notice was delivered by electronic transmission.

      7.  Unless the articles of incorporation or bylaws otherwise require, and except as otherwise provided in this subsection, if a [stockholders’] meeting of stockholders is adjourned , [to another date, time or place,] notice of the following information need not be delivered [of the] if the information is announced at the meeting at which the adjournment is taken:

      (a) The date [,] and time [or place] of the adjourned meeting [if they are announced at the meeting at which the adjournment is taken.] ;

      (b) The means of remote communication, if any, by which stockholders and proxies shall be deemed to be present in person and vote at the adjourned meeting; and

      (c) Unless the adjourned meeting is to be held solely by remote communication pursuant to subsection 5 of NRS 78.320, the physical location of the adjourned meeting, which may be within or without this State.

      8.  If a new record date is fixed for an adjourned or postponed meeting, notice of the adjourned or postponed meeting must be delivered to each stockholder of record as of the new record date.

      9.  The requirements for notice pursuant to this section are satisfied by a corporation if the corporation is a publicly traded corporation on the record date for the meeting and the corporation timely files, pursuant to section 14(a) of the Securities Exchange Act, 15 U.S.C. § 78n(a), a proxy statement or an amendment thereto, containing the information described in subsection 2, unless such notice by proxy statement is expressly prohibited in:

      (a) The articles of incorporation or an amendment thereto, which are filed and effective on or after October 1, 2021; or

      (b) The bylaws or an amendment thereto, which are effective on or after October 1, 2021.

      10.  As used in this section, “remote communication” includes any form of communication described in subsection 4 of NRS 78.320.

      Sec. 14.2. NRS 78.411 is hereby amended to read as follows:

      78.411  As used in NRS 78.411 to 78.444, inclusive, unless the context otherwise requires, the words and terms defined in NRS 78.412 to [78.432,] 78.431, inclusive, have the meanings ascribed to them in those sections.

      Sec. 14.5. NRS 78.630 is hereby amended to read as follows:

      78.630  1.  Whenever any corporation becomes insolvent or suspends its ordinary business for want of money to carry on the business, or if its business has been and is being conducted at a great loss and greatly prejudicial to the interest of its creditors or stockholders, any creditors holding at least 10 percent of the outstanding indebtedness, or stockholders owning at least 10 percent of the outstanding stock entitled to vote, may, by petition setting forth the facts and circumstances of the case, apply to the district court of the county in which the principal office of the corporation is located or, if the principal office is not located in this State, to the district court in the county in which the corporation’s registered office is located for a writ of injunction and the appointment of a receiver or receivers or trustee or trustees.

      2.  The court, being satisfied by affidavit or otherwise of the sufficiency of the application and of the truth of the allegations contained in the petition and upon hearing after such notice as the court by order may direct, shall proceed in a summary way to hear the affidavits, proofs and allegations which may be offered in behalf of the parties.

 


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proceed in a summary way to hear the affidavits, proofs and allegations which may be offered in behalf of the parties.

      3.  If upon such inquiry it appears to the court that the corporation has become insolvent and is not about to resume its business in a short time thereafter, or that its business has been and is being conducted at a great loss and greatly prejudicial to the interests of its creditors or stockholders, so that its business cannot be conducted with safety to the public, it may issue an injunction to restrain the corporation and its officers and agents from exercising any of its privileges or franchises and from collecting or receiving any debts or paying out, selling, assigning or transferring any of its estate, money, lands, tenements or effects, except to a receiver appointed by the court, until the court otherwise orders.

      Sec. 15. NRS 78.7502 is hereby amended to read as follows:

      78.7502  1.  A corporation may indemnify pursuant to this subsection any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, except an action by or in the right of the corporation, by reason of the fact that the person is or was a director, officer, employee or agent of the corporation, or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise [,] or as a manager of a limited-liability company, against expenses, including attorneys’ fees, judgments, fines and amounts paid in settlement actually and reasonably incurred by the person in connection with the action, suit or proceeding if the person:

      (a) Is not liable pursuant to NRS 78.138; or

      (b) Acted in good faith and in a manner which he or she reasonably believed to be in or not opposed to the best interests of the corporation, and, with respect to any criminal action or proceeding, had no reasonable cause to believe the conduct was unlawful.

Ê The termination of any action, suit or proceeding by judgment, order, settlement, conviction or upon a plea of nolo contendere or its equivalent, does not, of itself, create a presumption that the person is liable pursuant to NRS 78.138 or did not act in good faith and in a manner which he or she reasonably believed to be in or not opposed to the best interests of the corporation, or that, with respect to any criminal action or proceeding, he or she had reasonable cause to believe that the conduct was unlawful.

      2.  A corporation may indemnify pursuant to this subsection any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action or suit by or in the right of the corporation to procure a judgment in its favor by reason of the fact that the person is or was a director, officer, employee or agent of the corporation, or is or was serving at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise or as a manager of a limited-liability company, against expenses, including amounts paid in settlement and attorneys’ fees actually and reasonably incurred by the person in connection with the defense or settlement of the action or suit if the person:

      (a) Is not liable pursuant to NRS 78.138; or

      (b) Acted in good faith and in a manner which he or she reasonably believed to be in or not opposed to the best interests of the corporation.

Ê Indemnification pursuant to this section may not be made for any claim, issue or matter as to which such a person has been adjudged by a court of competent jurisdiction, after exhaustion of any appeals taken therefrom, to be liable to the corporation or for amounts paid in settlement to the corporation, unless and only to the extent that the court in which the action or suit was brought or other court of competent jurisdiction determines upon application that in view of all the circumstances of the case, the person is fairly and reasonably entitled to indemnity for such expenses as the court deems proper.

 


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competent jurisdiction, after exhaustion of any appeals taken therefrom, to be liable to the corporation or for amounts paid in settlement to the corporation, unless and only to the extent that the court in which the action or suit was brought or other court of competent jurisdiction determines upon application that in view of all the circumstances of the case, the person is fairly and reasonably entitled to indemnity for such expenses as the court deems proper.

      3.  Any discretionary indemnification pursuant to this section, unless ordered by a court or advanced pursuant to subsection 2 of NRS 78.751, may be made by the corporation only as authorized in each specific case upon a determination that the indemnification of a director, officer, employee or agent of a corporation is proper under the circumstances. The determination must be made by:

      (a) The stockholders;

      (b) The board of directors, by majority vote of a quorum consisting of directors who were not parties to the action, suit or proceeding; or

      (c) Independent legal counsel, in a written opinion, if:

             (1) A majority vote of a quorum consisting of directors who were not parties to the action, suit or proceeding so orders; or

             (2) A quorum consisting of directors who were not parties to the action, suit or proceeding cannot be obtained.

      Sec. 16. NRS 81.430 is hereby amended to read as follows:

      81.430  1.  Any person or any number of persons, including and in addition to the original incorporators, may become members of the corporation upon such terms and conditions as to membership, and subject to such rules and regulations as to their, and each of their, contract and other rights and liabilities between it and the member, as the corporation shall prescribe in its bylaws.

      2.  [The] Unless the corporation is an association or a unit-owners’ association, each term as defined in NRS 116.011, the corporation shall issue a certificate of membership to each member, but the membership or the certificate thereof shall not, except as provided in NRS 81.410 to 81.540, inclusive, be assigned by any member to any other person, nor shall the assigns thereof be entitled to membership in the corporation, or to any property rights or interest therein.

      3.  The board of directors may, however, by motion duly adopted by it, consent to such assignment or transfer, and to the acceptance of the assignee or transferee as a member of the corporation.

      4.  The corporation shall also have the right, by its bylaws, to provide for or against the transfer of membership and for or against the assignment of membership certificates, and also the terms and conditions upon which any such transfer or assignment shall be allowed.

      Sec. 17. Chapter 86 of NRS is hereby amended by adding thereto the provisions set forth as sections 18 and 19 of this act.

      Sec. 18. “In interest,” when used in reference to a stated proportion and:

      1.  In reference to a limited-liability company, means such proportion of the total contributions of the members to the capital of the limited-liability company, as adjusted from time to time to properly reflect any additional contributions or withdrawals by the members.

      2.  In reference to a series, means such proportion of the total contributions of the members to the capital of the series, as adjusted from time to time to properly reflect any additional contributions or withdrawals from the series by the members associated with the series.

 


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time to time to properly reflect any additional contributions or withdrawals from the series by the members associated with the series.

      Sec. 19. As used in NRS 86.281 to 86.351, inclusive, unless the context otherwise requires, “distribution” means a direct or indirect transfer of money or property, other than its own member’s interests, or the incurrence of indebtedness, by a limited-liability company to or for the benefit of all holders of any one or more classes or series of its members’ interests with respect to such interests or as otherwise provided in the articles of organization or operating agreement.

      Sec. 20. NRS 86.011 is hereby amended to read as follows:

      86.011  As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 86.022 to 86.1255, inclusive, and section 18 of this act have the meanings ascribed to them in those sections.

      Sec. 21. NRS 86.095 is hereby amended to read as follows:

      86.095  1.  “Noneconomic member” means a member of a limited-liability company who:

      [1.] (a) Does not own a member’s interest in the company;

      [2.] (b) Does not have an obligation to contribute capital to the company;

      [3.] (c) Does not have a right to participate in or receive distributions [of profits of] from the company or an obligation to contribute to the losses of the company; and

      [4.] (d) May have voting rights and other rights and privileges given to noneconomic members of the company by the articles of organization or operating agreement.

      2.  As used in this section, “distribution” has the meaning ascribed to it in section 19 of this act.

      Sec. 22. NRS 86.291 is hereby amended to read as follows:

      86.291  1.  Except as otherwise provided in this section or in the articles of organization or operating agreement, management of a limited-liability company is vested in its members [. in proportion to their contribution to its capital, as adjusted from time to time to reflect properly any additional contributions or withdrawals by the members.] proportionally in interest thereof.

      2.  Unless otherwise provided in the articles of organization or operating agreement, the management of a series is vested in the members associated with the series [in proportion to their contribution to the capital of the series, as adjusted from time to time to reflect properly any additional contributions or withdrawals from the assets or income of the series by the members associated with the series.] proportionally in interest thereof.

      3.  If provision is made in the articles of organization, management of the company may be vested in a manager or managers, who may but need not be members. The manager or managers shall hold the offices, have the responsibilities and otherwise manage the company as set forth in the operating agreement of the company or, if the company has not adopted an operating agreement, then as prescribed by the members.

      Sec. 22.5. NRS 86.321 is hereby amended to read as follows:

      86.321  [The] For purposes of this chapter, [contributions] a contribution to capital of a member to a limited-liability company or series may [be in cash,] consist of tangible or intangible property or any other benefit to the limited-liability company or series, including, without limitation, money, real or personal property, services [rendered,] performed, or a promissory note or other binding obligation to contribute cash or property or to perform services.

 


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      Sec. 23. NRS 86.341 is hereby amended to read as follows:

      86.341  A limited-liability company may, from time to time, [divide the profits of its business and distribute them to its members, and any transferee as his or her interest may appear, upon the basis] make distributions as [stipulated] provided in the articles of organization or operating agreement. If the articles of organization or operating agreement [does] do not otherwise provide, [profits and losses] the distributions must be allocated proportionately to the value, as shown in the records of the company, of the contributions made by each member and not returned.

      Sec. 24. NRS 86.343 is hereby amended to read as follows:

      86.343  1.  Except as otherwise provided in subsection 2, a distribution [of the profits and contributions of] from a limited-liability company must not be made if, after giving it effect:

      (a) The company would not be able to pay its debts as they become due in the usual course of business; or

      (b) Except as otherwise specifically permitted by the articles of organization, the total assets of the company would be less than the sum of its total liabilities.

      2.  A distribution [of the profits and contributions of] from a series of the company must not be made if, after giving it effect:

      (a) The company would not be able to pay the debts of the series from assets of the series as debts of the series become due in the usual course of business; or

      (b) Except as otherwise specifically permitted by the articles of organization, the total assets of the series would be less than the sum of the total liabilities of the series.

      3.  The manager or managers or, if management of the company is not vested in a manager or managers, the members , may base a determination that a distribution is not prohibited pursuant to this section on:

      (a) Financial statements prepared on the basis of accounting practices that are reasonable in the circumstances;

      (b) A fair valuation, including unrealized appreciation and depreciation; or

      (c) Any other method that is reasonable in the circumstances.

      4.  The effect of a distribution pursuant to this section must be measured:

      (a) In the case of a distribution by purchase, redemption or other acquisition by the company of member’s interests, as of the earlier of:

             (1) The date on which money or other property is transferred or debt incurred by the company; or

             (2) The date on which the member ceases to be a member with respect to his or her acquired interest.

      (b) In the case of any other distribution of indebtedness, as of the date on which the indebtedness is distributed.

      (c) In all other cases, as of:

             (1) The date on which the distribution is authorized if the payment occurs within 120 days after the date of authorization; or

             (2) The date on which the payment is made if it occurs more than 120 days after the date of authorization.

      5.  Indebtedness of the company, or a series of the company, including indebtedness issued as a distribution, is not considered a liability for purposes of determinations pursuant to this section if its terms provide that payment of principal and interest are to be made only if and to the extent that payment of a distribution to the members could then be made pursuant to this section.

 


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payment of a distribution to the members could then be made pursuant to this section. If the indebtedness is issued as a distribution, each payment of principal or interest must be treated as a distribution, the effect of which must be measured as of the date of payment.

      6.  Except as otherwise provided in subsection 7, a member who receives a distribution in violation of this section is liable to the limited-liability company or the series, as applicable, for the amount of the distribution. This subsection does not affect the validity of an obligation or liability of a member created by an agreement or other applicable law for the amount of a distribution.

      7.  A member who receives a distribution from a limited-liability company or the series, as applicable, in violation of this section is not liable to the limited-liability company or such series, as applicable, and, in the event of its dissolution or insolvency, to its creditors, or any of them, for the amount of the distribution after the expiration of 3 years after the date of the distribution unless an action to recover the distribution from the member is commenced before the expiration of the 3-year period following the distribution.

      8.  Except as otherwise provided in the articles of organization or operating agreement, the manager or managers or, if the management of the company is not vested in a manager or managers, the members, may fix a record date for determining the members entitled to a distribution authorized pursuant to this section. The record date must not precede the day on which it is fixed.

      Sec. 25. NRS 86.5411 is hereby amended to read as follows:

      86.5411  1.  Whenever any limited-liability company becomes insolvent or suspends its ordinary business for want of money to carry on the business, or if its business has been and is being conducted at a great loss and greatly prejudicial to the interest of its creditors or members, any creditors holding at least 10 percent of the outstanding indebtedness [, or members owning either 10 percent of the outstanding member’s interests or 10 percent of the voting power] of the company [,] or at least 10 percent in interest of the members, may, by petition setting forth the facts and circumstances of the case, apply to the district court of the county in which the principal office of the company is located or, if the principal office is not located in this State, to the district court in the county in which the company’s registered office is located for a writ of injunction and the appointment of a receiver or receivers or trustee or trustees.

      2.  The court, being satisfied by affidavit or otherwise of the sufficiency of the application and of the truth of the allegations contained in the petition and upon hearing after such notice as the court by order may direct, shall proceed in a summary way to hear the affidavits, proofs and allegations which may be offered in behalf of the parties.

      3.  If, upon such inquiry it appears to the court that the company has become insolvent and is not about to resume its business in a short time thereafter, or that its business has been and is being conducted at a great loss and greatly prejudicial to the interests of its creditors or members so that its business cannot be conducted with safety to the public, it may issue an injunction to restrain the company and its managers, managing members, officers and agents from exercising any of its privileges or franchises and from collecting or receiving any debts or paying out, selling, assigning or transferring any of its estate, money, lands, tenements or effects, except to a receiver appointed by the court, until the court otherwise orders.

 


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      4.  The rights of a member set forth in this section may be exercised by a noneconomic member if specifically set forth in the articles of organization or the operating agreement.

      Sec. 26. NRS 86.5415 is hereby amended to read as follows:

      86.5415  1.  [Any member owning either 10 percent of the outstanding member’s interests or] Members holding not less than 10 percent [of the voting power] in interest of the limited-liability company may apply to the district court in the county in which the company has its principal place of business or, if the principal place of business is not located in this State, to the district court in the county in which the company’s registered office is located, for an order appointing a receiver, and by injunction restrain the company from exercising any of its powers or doing business whatsoever, except by and through a receiver appointed by the court, whenever irreparable injury to the company is threatened or being suffered and:

      (a) The company has willfully violated its charter;

      (b) Its managers or managing members have been guilty of fraud or collusion or gross mismanagement in the conduct or control of its affairs and the presumption established by subsection 3 has been rebutted with respect to such conduct or control;

      (c) The assets of the company are in danger of waste, sacrifice or loss through attachment, foreclosure, litigation or otherwise; or

      (d) The company has dissolved, but has not proceeded diligently to wind up its affairs, or to distribute its assets in a reasonable time.

      2.  The application may be for the appointment of a receiver, without at the same time applying for the dissolution of the company, and notwithstanding the absence, if any there be, of any action or other proceeding in the premises pending in such court.

      3.  In any such application for a receivership, it is sufficient for a temporary appointment if notice of the same is given to the company alone, by process as in the case of an application for a temporary restraining order or injunction, and the hearing thereon may be had after 5 days’ notice unless the court directs a longer or different notice and different parties.

      4.  The court may, if good cause exists therefor, appoint one or more receivers for such purpose, but in all cases managers or managing members who have been guilty of no negligence nor active breach of duty must be preferred in making the appointment. The court may at any time for sufficient cause make a decree terminating the receivership, or dissolving the company and terminating its existence, or both, as may be proper.

      5.  Receivers so appointed have, among the usual powers, all the functions, powers, tenure and duties to be exercised under the direction of the court as are conferred on receivers and as provided pursuant to NRS 86.5412, 86.5413 and 86.5414, whether the company is insolvent or not.

      6.  The requirement [as to ownership or voting] to hold not less than 10 percent in interest set forth in subsection 1 shall be maintained from the date of and throughout the pendency of the application for the appointment of a receiver of the company.

      7.  The rights of a member set forth in this section may be exercised by a noneconomic member if specifically set forth in the articles of organization or the operating agreement.

      Sec. 27. NRS 86.5416 is hereby amended to read as follows:

      86.5416  Whenever [members holding member’s interests entitling them to exercise at least] a majority in interest of the [voting power] members of the limited-liability company [shall] have agreed upon a plan for the reorganization of the company and a resumption by it of the management and control of its property and business, the company may, with the consent of the district court:

 


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reorganization of the company and a resumption by it of the management and control of its property and business, the company may, with the consent of the district court:

      1.  Upon the reconveyance to it of its property and franchises, mortgage the same for such amount as may be necessary for the purposes of reorganization; and

      2.  Issue bonds or other evidences of indebtedness, or additional member’s interests of one or more classes, or both bonds and member’s interests, or certificates of investment or participation certificates, and use the same for the full or partial payment of the creditors who will accept the same, or otherwise dispose of the same for the purposes of the reorganization.

      Sec. 28. Chapter 92A of NRS is hereby amended by adding thereto the provisions set forth as sections 29 and 30 of this act.

      Sec. 29. “Advance notice statement” when used in reference to a proposed corporate action creating dissenter’s rights that is taken or submitted for approval pursuant to a written consent of the stockholders or taken without a vote of the stockholders, means written notice of the proposed corporate action sent by the subject corporation to all stockholders of record entitled to assert dissenter’s rights if the corporate action is effectuated. Such notice must:

      1.  Be sent not later than 20 days before the effective date of the proposed corporate action;

      2.  Identify the proposed corporate action;

      3.  Provide that a stockholder who wishes to assert dissenter’s rights with respect to any class or series of shares must deliver a statement of intent to the subject corporation and set a date by which the subject corporation must receive the statement of intent, which may not be less than 15 days after the date the notice is sent, and state that the stockholder shall be deemed to have waived the right to assert dissenter’s rights with respect to the shares unless the statement of intent is received by the subject corporation by such specified date; and

      4.  Be accompanied by a copy of NRS 92A.300 to 92A.500, inclusive.

      Sec. 30. “Statement of intent” when used in reference to a proposed corporate action creating dissenter’s rights, means written notice of a stockholder’s intent to assert dissenter’s rights and demand payment for the stockholder’s shares if the corporate action is effectuated.

      Sec. 31. NRS 92A.005 is hereby amended to read as follows:

      92A.005  As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 92A.007 to 92A.092, inclusive, and sections 29 and 30 of this act have the meanings ascribed to them in those sections.

      Sec. 32. NRS 92A.133 is hereby amended to read as follows:

      92A.133  1.  Unless otherwise expressly required by the articles of incorporation, no vote of the stockholders of a [publicly traded] domestic corporation is necessary to authorize a merger in which the [publicly traded] domestic corporation is a constituent entity if the plan of merger expressly permits or requires the merger to be effected under this section and:

      (a) The ownership threshold requirement is satisfied without any offer, subject to the provisions of subsection 2; or

      (b) The ownership threshold requirement is satisfied in whole or in part by way of an offer and [the] :

 


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ê2021 Statutes of Nevada, Page 1519 (CHAPTER 281, SB 95)ê

 

             (1) The domestic corporation has been a publicly traded corporation at all times during the period between:

                   (I) The date of the commencement of the offer or the date of the adoption of the plan of merger by the board of directors of the domestic corporation, whichever is earlier; and

                   (II) The effective date of the merger; and

             (2) The plan of merger requires that:

             [(1)] (I) The merger must be effected as soon as practicable following the consummation of the offer if the merger is effected under this section; and

             [(2)] (II) Each outstanding share of each class or series of stock of the [publicly traded] domestic corporation that is the subject of, and not irrevocably accepted for purchase or exchange in, the offer must be converted in such merger into, or into the right to receive, the same amount and kind of cash, property, rights or securities to be paid for shares of such class or series of stock of the [publicly traded] domestic corporation irrevocably accepted for purchase or exchange in the offer. The plan of merger may expressly provide that the requirements of this [subparagraph] sub-subparagraph must not apply to specified categories of excluded shares.

      2.  If a merger pursuant to this section is to be effectuated without any offer:

      (a) The ownership threshold requirement must be satisfied without counting the voting power of any shares of the stock of the [publicly traded] domestic corporation acquired from the [publicly traded] domestic corporation, or any of the directors, officers, affiliates or associates thereof, within the 6 months immediately preceding the adoption of the plan of merger [; and] by the board of directors of the domestic corporation;

      (b) The [publicly traded] domestic corporation must provide notice of the merger to all of its stockholders not less than 30 days before the effective date of the merger [.] ; and

      (c) The domestic corporation must have been a publicly traded corporation at all times during the period between the date of the adoption of the plan of merger by the board of directors of the domestic corporation and the effective date of the merger.

      3.  This section does not apply to circumvent or contravene the provisions of NRS 78.378 to 78.3793, inclusive, or NRS 78.411 to 78.444, inclusive.

      4.  As used in this section:

      (a) “Affiliate” has the meaning ascribed to it in NRS 78.412.

      (b) “Associate” has the meaning ascribed to it in NRS 78.413.

      (c) “Consummation” means the irrevocable acceptance for purchase or exchange of shares tendered pursuant to an offer.

      (d) “Excluded shares” means:

             (1) Rollover shares; and

             (2) Shares of the [publicly traded] domestic corporation that are owned beneficially or of record at the commencement of an offer by:

                   (I) The [publicly traded] domestic corporation;

                   (II) The constituent entity making the offer;

                   (III) Any person who owns, directly or indirectly, all of the outstanding equity interests of the constituent entity making the offer; or

                   (IV) Any direct or indirect wholly owned subsidiary of any of the foregoing.

 


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ê2021 Statutes of Nevada, Page 1520 (CHAPTER 281, SB 95)ê

 

      (e) “Offer” means an offer made by the other constituent entity in the merger for all of the outstanding shares of each class or series of stock of the [publicly traded] domestic corporation listed on a national securities exchange, on the terms provided in the plan of merger that, absent this section, would be entitled to vote on the [adoption] approval of the plan of merger. The other constituent entity in the merger may, but is not required to, engage in the consummation of separate offers for separate classes or series of the stock of the [publicly traded] domestic corporation. An offer may, but is not required to:

             (1) Exclude any excluded shares; and

             (2) Be conditioned on the tender of a minimum number or proportion of shares of any class or series of the stock of the [publicly traded] domestic corporation.

      (f) “Owned affiliate” means, with respect to a constituent entity, any other person who owns, directly or indirectly, all of the outstanding equity interests of the constituent entity, or any direct or indirect wholly owned subsidiary of the constituent entity or other person.

      (g) “Ownership threshold requirement” means that the voting power of the stock of the [publicly traded] domestic corporation otherwise owned beneficially or of record by the other constituent entity in the merger or any of the owned affiliates of the other constituent entity, together with the voting power of any rollover shares and any shares irrevocably accepted for purchase or exchange pursuant to any offer and received before the expiration of the offer by the agent or depositary appointed to facilitate the consummation of the offer, equals at least that proportion of the voting power of the stock, and of each class or series thereof, of the [publicly traded] domestic corporation that, absent this section, would be required to approve the plan of merger under this chapter and the articles of incorporation and bylaws of the [publicly traded] domestic corporation. For the purposes of this paragraph, shares are received:

             (1) If the shares are certificated shares, upon physical receipt by the agent or depositary of a stock certificate with an executed letter of transmittal or other instrument of transfer;

             (2) If the shares are uncertificated shares held of record by a clearing corporation as nominee, upon transfer into the account of the agent or depositary by way of an agent’s message; and

             (3) If the shares are uncertificated shares held of record by a person other than a clearing corporation as nominee, upon physical receipt by the agent or depositary of an executed letter of transmittal or other instrument of transfer.

      (h) “Publicly traded corporation” means a domestic corporation that has a class or series of voting shares which is a covered security under section 18(b)(1)(A) or (B) of the Securities Act of 1933, 15 U.S.C. § 77r(b)(1)(A) or (B), as amended.

      (i) “Rollover shares” means any shares of any class or series of the capital stock of the [publicly traded] domestic corporation that are the subject of a written agreement requiring such shares to be contributed or otherwise transferred to the other constituent entity in the merger or any of the owned affiliates of the other constituent entity in exchange for shares or other equity interest in the other constituent entity or any of its owned affiliates. Shares must cease to be rollover shares if, as of the effective time of the merger, the shares have not been contributed or otherwise transferred pursuant to the written agreement.

 


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      Sec. 33. NRS 92A.140 is hereby amended to read as follows:

      92A.140  1.  Unless otherwise provided in the partnership agreement or the certificate of limited partnership, a plan of merger, conversion or exchange involving a domestic limited partnership must be approved by all general partners and by limited partners who own a majority in interest of the partnership then owned by all the limited partners. If the partnership has more than one class of limited partners, the plan of merger, conversion or exchange must be approved by those limited partners who own a majority in interest of the partnership then owned by the limited partners in each class.

      2.  [For the purposes of this section, “majority in interest of the partnership” means a majority of the interests in capital and profits of the limited partners of a domestic limited partnership which:

      (a) In the case of capital, is determined as of the date of the approval of the plan of merger, conversion or exchange.

      (b) In the case of profits, is based on any reasonable estimate of profits for the period beginning on the date of the approval of the plan of merger, conversion or exchange and ending on the anticipated date of the termination of the domestic limited partnership, including any present or future division of profits distributed pursuant to the partnership agreement.

      3.]  If any partner of a domestic limited partnership, which will be the constituent entity in a conversion, will have any liability for the obligations of the resulting entity after the conversion because the partner will be the owner of an owner’s interest in the resulting entity, then that partner must also approve the plan of conversion.

      3.  As used in this section, “majority in interest of the partnership” means a majority of the total contributions of the limited partners to the capital of the partnership, as adjusted from time to time to reflect properly any additional contributions or withdrawals by the partners.

      Sec. 34. NRS 92A.150 is hereby amended to read as follows:

      92A.150  1.  Unless otherwise provided in the articles of organization or an operating agreement:

      (a) A plan of merger, conversion or exchange involving a domestic limited-liability company must be approved by [members who own] a majority [of the interests in the current profits of the company then owned by all] in interest of the members; and

      (b) If the company has more than one class of members, the plan of merger, conversion or exchange must be approved by [those members who own] a majority [of the interests in the current profits] in interest of the [company then owned by the] members in each class.

      2.  If any manager or member of a domestic limited-liability company, which will be the constituent entity in a conversion, will have any liability for the obligations of the resulting entity after the conversion because the manager or member will be the owner of an owner’s interest in the resulting entity, then that manager or member must also approve the plan of conversion.

      3.  As used in this section, “in interest” has the meaning ascribed to it in section 18 of this act.

      Sec. 35. NRS 92A.390 is hereby amended to read as follows:

      92A.390  1.  There is no right of dissent pursuant to paragraph (a), (b), (c) or (f) of subsection 1 of NRS 92A.380 in favor of stockholders of any class or series which is:

      (a) A covered security under section 18(b)(1)(A) or (B) of the Securities Act of 1933, 15 U.S.C. § 77r(b)(1)(A) or (B), as amended;

 


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      (b) Traded in an organized market and has at least 2,000 stockholders and a market value of at least $20,000,000, exclusive of the value of such shares held by the corporation’s subsidiaries, senior executives, directors and beneficial stockholders owning more than 10 percent of such shares; or

      (c) Issued by an open end management investment company registered with the Securities and Exchange Commission under the Investment Company Act of 1940, 15 U.S.C. §§ 80a-1 et seq., as amended, and which may be redeemed at the option of the holder at net asset value,

Ê unless the articles of incorporation of the corporation issuing the class or series or the resolution of the board of directors approving the plan of merger, conversion or exchange expressly provide otherwise.

      2.  The applicability of subsection 1 must be determined as of:

      (a) The record date fixed to determine the stockholders entitled to receive notice of and to vote at the meeting of stockholders to act upon the corporate action otherwise requiring dissenter’s rights; or

      (b) The day before the effective date of such corporate action if [there] :

             (1) There is no meeting of stockholders [.] to act upon the corporate action otherwise requiring dissenter’s rights; or

             (2) The corporate action is a merger described in NRS 92A.133.

      3.  Subsection 1 is not applicable and dissenter’s rights are available pursuant to NRS 92A.380 for the holders of any class or series of shares who are required by the terms of the corporate action to accept for such shares anything other than:

      (a) Cash;

      (b) Any security or other proprietary interest of any other entity, including, without limitation, shares, equity interests or contingent value rights, that satisfies the standards set forth in subsection 1 at the time the corporate action becomes effective; or

      (c) Any combination of paragraphs (a) and (b).

      4.  There is no right of dissent for any holders of stock of the surviving domestic corporation if the plan of merger does not require action of the stockholders of the surviving domestic corporation under NRS 92A.130.

      5.  There is no right of dissent for any holders of stock of the parent domestic corporation if the plan of merger does not require action of the stockholders of the parent domestic corporation under NRS 92A.180.

      6.  There is no right of dissent with respect to any share of stock that was not issued and outstanding on the date of the first announcement to the news media or to the stockholders of the terms of the proposed action requiring dissenter’s rights.

      Sec. 36. NRS 92A.410 is hereby amended to read as follows:

      92A.410  1.  If a proposed corporate action creating dissenter’s rights is submitted for approval pursuant to a vote at a stockholders’ meeting, the notice of the meeting must state that stockholders are, are not or may be entitled to assert dissenter’s rights under NRS 92A.300 to 92A.500, inclusive. If the domestic corporation concludes that dissenter’s rights are or may be available, a copy of NRS 92A.300 to 92A.500, inclusive, must accompany the meeting notice sent to those stockholders of record entitled to exercise dissenter’s rights.

      2.  If [the] a corporate action creating dissenter’s rights is [taken] submitted for approval [by] pursuant to a written consent of the stockholders or taken without a vote of the stockholders, the domestic corporation :

      (a) May send an advance notice statement with respect to the proposed corporate action; and

 


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ê2021 Statutes of Nevada, Page 1523 (CHAPTER 281, SB 95)ê

 

      (b) If the proposed corporate action is taken, the domestic corporation shall notify in writing all stockholders of record entitled to assert dissenter’s rights that the action was taken and send them the dissenter’s notice described in NRS 92A.430.

      Sec. 37. NRS 92A.420 is hereby amended to read as follows:

      92A.420  1.  If a proposed corporate action creating dissenter’s rights is submitted to a vote at a stockholders’ meeting, a stockholder who wishes to assert dissenter’s rights with respect to any class or series of shares:

      (a) Must deliver to the subject corporation, before the vote is taken, [written notice of the stockholder’s] a statement of intent [to demand payment for his or her shares if] with respect to the proposed corporate action ; [is effectuated;] and

      (b) Must not vote, or cause or permit to be voted, any of [his or her] the stockholder’s shares of such class or series in favor of the proposed corporate action.

      2.  If a proposed corporate action creating dissenter’s rights is taken without a vote of the stockholders or submitted for approval [by] pursuant to a written consent of the stockholders, a stockholder who wishes to assert dissenter’s rights with respect to any class or series of shares [must] :

      (a) If an advance notice statement is sent by the subject corporation pursuant to NRS 92A.410, must deliver a statement of intent with respect to any class or series of shares to the subject corporation by the date specified in the advance notice statement; and

      (b) Must not consent to or approve the proposed corporate action with respect to such class or series.

      3.  A stockholder who does not satisfy the requirements of subsection 1 or 2 and NRS 92A.400 is not entitled to payment for his or her shares under this chapter.

      Sec. 38. NRS 78.4265, 78.428, 78.432 and 86.065 are hereby repealed.

________

CHAPTER 282, SB 103

Senate Bill No. 103–Senators Scheible, Donate, Lange, Ratti; Denis, D. Harris and Ohrenschall

 

CHAPTER 282

 

[Approved: June 2, 2021]

 

AN ACT relating to insurance; prohibiting certain insurers from discriminating based on the breed of dog at an applicable property; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      This bill prohibits an insurer from refusing to issue, cancelling, refusing to renew or increasing the premium or rate for certain policies of insurance on the sole basis of the specific breed or mixture of breeds of a dog that is harbored or owned on an applicable property unless the particular dog is known to be dangerous or vicious or declared to be dangerous or vicious pursuant to the public health laws of this State.

 


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ê2021 Statutes of Nevada, Page 1524 (CHAPTER 282, SB 103)ê

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 687B of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  Except as otherwise provided in subsection 2, an insurer shall not:

      (a) Refuse to issue;

      (b) Cancel;

      (c) Refuse to renew; or

      (d) Increase a premium or rate for,

Ê a policy of insurance based solely on the specific breed or mixture of breeds of a dog that is harbored or owned on an applicable property.

      2.  The provisions of subsection 1 do not prohibit an insurer from:

      (a) Refusing to issue;

      (b) Cancelling;

      (c) Refusing to renew; or

      (d) Imposing a reasonable increase to a premium or rate for,

Ê a policy of insurance based on sound underwriting and actuarial principles on the basis that a particular dog which is harbored or owned on an applicable property is known to be dangerous or vicious or has been declared to be dangerous or vicious in accordance with NRS 202.500.

      3.  An insurer may not ask or inquire about the specific breed or mixture of breeds of a dog which is harbored or owned on an applicable property except to ask if the dog is known to be dangerous or vicious or has been declared to be dangerous or vicious in accordance with NRS 202.500.

      4.  As used in this section, “policy of insurance” means:

      (a) A policy of homeowner’s insurance;

      (b) A policy of renter’s insurance;

      (c) A policy of insurance which covers a manufactured home or a mobile home; and

      (d) An umbrella policy as defined in NRS 687B.440.

      Sec. 2.  This act becomes effective on January 1, 2022.

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ê2021 Statutes of Nevada, Page 1525ê

 

CHAPTER 283, SB 150

Senate Bill No. 150–Senators D. Harris, Donate, Buck; Denis and Lange

 

CHAPTER 283

 

[Approved: June 2, 2021]

 

AN ACT relating to housing; requiring the governing body of a city or county to authorize tiny houses in certain zoning districts; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law authorizes a governing body to divide the city, county or region into zoning districts of such number, shape and area as are best suited to carry out certain purposes. Within a zoning district, the governing body may regulate and restrict the erection, construction, reconstruction, alteration, repair or use of buildings, structures or land. (NRS 278.250) Section 1 of this bill requires the governing body of a county whose population is 100,000 or more (currently Clark and Washoe Counties) or the governing body of a city whose population is 150,000 or more (currently, the cities of Henderson, Las Vegas, North Las Vegas and Reno) to designate: (1) at least one zoning district in which a tiny house may be located and classified as an accessory dwelling unit; (2) at least one zoning district in which a tiny house may be located and classified as a single-family residence; and (3) at least one zoning district in which a tiny house may be located in a tiny house park. Section 1 also requires the governing body of a county whose population is less than 100,000 (currently all counties other than Clark and Washoe Counties) or the governing body of a city whose population is less than 150,000 (currently all cities other than the cities of Henderson, Las Vegas, North Las Vegas and Reno) to designate: (1) at least one zoning district in which a tiny house may be located and classified as an accessory dwelling unit; (2) at least one zoning district in which a tiny house may be located and classified as a single-family residence; or (3) at least one zoning district in which a tiny house may be located in a tiny house park. Section 1 further: (1) requires the governing body of a county or city to consider certain health and environmental effects of the locations of tiny houses in the zoning districts designated in the ordinance on certain populations; (2) authorizes the governing body of a county or city to set forth additional requirements for tiny houses and tiny house parks; and (3) requires the governing body of a county or city to define “tiny house” in accordance with the definition adopted in the International Residential Code by the International Code Council or its successor organization.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1.  Chapter 278 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  A governing body of a county whose population is 100,000 or more or a governing body of a city whose population is 150,000 or more shall adopt an ordinance for the zoning of tiny houses that:

      (a) Designates at least one zoning district in which a tiny house may be located and classified as an accessory dwelling unit;

      (b) Designates at least one zoning district in which a tiny house may be located and classified as a single-family residential unit; and

      (c) Designates at least one zoning district in which a tiny house may be located in a tiny house park.

 


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ê2021 Statutes of Nevada, Page 1526 (CHAPTER 283, SB 150)ê

 

      2.  A governing body of a county whose population is less than 100,000 or a governing body of a city whose population is less than 150,000 shall adopt an ordinance for the zoning of tiny houses that:

      (a) Designates at least one zoning district in which a tiny house may be located and classified as an accessory dwelling unit;

      (b) Designates at least one zoning district in which a tiny house is allowed to be located and classified as a single-family residential unit; or

      (c) Designates at least one zoning district in which a tiny house may be located in a tiny house park.

      3.  Before adopting an ordinance pursuant to subsection 1 or 2, the governing body of a county or city must consider whether the locations of tiny houses in the designated zoning districts will have disproportionately high and adverse human health and environmental effects on minority populations and low-income populations.

      4.  An ordinance adopted pursuant to subsection 1 or 2:

      (a) May:

             (1) Include any other requirements for tiny houses that the governing body determines is necessary; and

             (2) Provide that a certificate of occupancy issued for a tiny house may limit the tiny house to use as a single-family residential unit or an accessory dwelling unit.

      (b) Shall require that a tiny house that is:

             (1) Located in:

                   (I) A zoning district designated pursuant to paragraph (a) of subsection 1 or paragraph (a) of subsection 2 is classified as an accessory dwelling unit on any building permit or zoning approval issued for the tiny house;

                   (II) A zoning district designated pursuant to paragraph (b) of subsection 1 or paragraph (b) of subsection 2 is classified as a single-family residential unit on any building permit or zoning approval issued for the tiny house; and

                   (III) A zoning district designated pursuant to paragraph (c) of subsection 1 or paragraph (c) of subsection 2 is classified as a tiny house on any building permit or zoning approval issued within the tiny house park.

             (2) Not built on a permanent foundation may only be issued a certificate of occupancy for the tiny house that is tied to the specific parcel of land on which the tiny house is located. If the tiny house is moved from that parcel, the owner of the tiny house must obtain a new certificate of occupancy.

      5.  An ordinance adopted pursuant to subsection 1 or 2 that allows for tiny houses to be located in tiny house parks must also establish requirements for tiny house parks, including, without limitation, requirements for:

      (a) Community water and wastewater service;

      (b) Adequate spacing between tiny houses in the tiny house park to allow for access for public safety services, including, without limitation, access for firefighting equipment and vehicles and utilities;

      (c) Minimum size requirements for each space in the tiny house park for a tiny house;

      (d) The minimum or maximum lot size of a tiny house park;

 


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      (e) Open space within the tiny house park; and

      (f) Parking within the tiny house park.

      6.  An ordinance adopted pursuant to subsection 1 or 2 must define “tiny house” in accordance with the definition adopted in the International Residential Code by the International Code Council or its successor organization.

      Secs. 2-5.  (Deleted by amendment.)

      Sec. 6. NRS 278.0235 is hereby amended to read as follows:

      278.0235  No action or proceeding may be commenced for the purpose of seeking judicial relief or review from or with respect to any final action, decision or order of any governing body, commission or board authorized by NRS 278.010 to 278.630, inclusive, and section 1 of this act unless the action or proceeding is commenced within 25 days after the date of filing of notice of the final action, decision or order with the clerk or secretary of the governing body, commission or board.

      Sec. 7. NRS 278.250 is hereby amended to read as follows:

      278.250  1.  For the purposes of NRS 278.010 to 278.630, inclusive, and section 1 of this act, the governing body may divide the city, county or region into zoning districts of such number, shape and area as are best suited to carry out the purposes of NRS 278.010 to 278.630, inclusive [.] , and section 1 of this act. Within the zoning district, it may regulate and restrict the erection, construction, reconstruction, alteration, repair or use of buildings, structures or land.

      2.  The zoning regulations must be adopted in accordance with the master plan for land use and be designed:

      (a) To preserve the quality of air and water resources.

      (b) To promote the conservation of open space and the protection of other natural and scenic resources from unreasonable impairment.

      (c) To consider existing views and access to solar resources by studying the height of new buildings which will cast shadows on surrounding residential and commercial developments.

      (d) To reduce the consumption of energy by encouraging the use of products and materials which maximize energy efficiency in the construction of buildings.

      (e) To provide for recreational needs.

      (f) To protect life and property in areas subject to floods, landslides and other natural disasters.

      (g) To conform to the adopted population plan, if required by NRS 278.170.

      (h) To develop a timely, orderly and efficient arrangement of transportation and public facilities and services, including public access and sidewalks for pedestrians, and facilities and services for bicycles.

      (i) To ensure that the development on land is commensurate with the character and the physical limitations of the land.

      (j) To take into account the immediate and long-range financial impact of the application of particular land to particular kinds of development, and the relative suitability of the land for development.

      (k) To promote health and the general welfare.

      (l) To ensure the development of an adequate supply of housing for the community, including the development of affordable housing.

 


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      (m) To ensure the protection of existing neighborhoods and communities, including the protection of rural preservation neighborhoods and, in counties whose population is 700,000 or more, the protection of historic neighborhoods.

      (n) To promote systems which use solar or wind energy.

      (o) To foster the coordination and compatibility of land uses with any military installation in the city, county or region, taking into account the location, purpose and stated mission of the military installation.

      3.  The zoning regulations must be adopted with reasonable consideration, among other things, to the character of the area and its peculiar suitability for particular uses, and with a view to conserving the value of buildings and encouraging the most appropriate use of land throughout the city, county or region.

      4.  In exercising the powers granted in this section, the governing body may use any controls relating to land use or principles of zoning that the governing body determines to be appropriate, including, without limitation, density bonuses, inclusionary zoning and minimum density zoning.

      5.  As used in this section:

      (a) “Density bonus” means an incentive granted by a governing body to a developer of real property that authorizes the developer to build at a greater density than would otherwise be allowed under the master plan, in exchange for an agreement by the developer to perform certain functions that the governing body determines to be socially desirable, including, without limitation, developing an area to include a certain proportion of affordable housing.

      (b) “Inclusionary zoning” means a type of zoning pursuant to which a governing body requires or provides incentives to a developer who builds residential dwellings to build a certain percentage of those dwellings as affordable housing.

      (c) “Minimum density zoning” means a type of zoning pursuant to which development must be carried out at or above a certain density to maintain conformance with the master plan.

      Sec. 8. (Deleted by amendment.)

      Sec. 9.  This act becomes effective on January 1, 2024.

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ê2021 Statutes of Nevada, Page 1529ê

 

CHAPTER 284, SB 166

Senate Bill No. 166–Senator Scheible

 

CHAPTER 284

 

[Approved: June 2, 2021]

 

AN ACT relating to crimes; revising provisions relating to crimes motivated by certain characteristics of the victim; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law provides that if a person commits certain crimes ordinarily punishable as misdemeanors because of certain characteristics of the victim including race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression, then the crime committed is punishable as a gross misdemeanor. (NRS 207.185) Existing law also provides that if a person commits certain crimes punishable as felonies because a certain characteristic of the victim, including race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression, is different from that characteristic of the perpetrator, then the crime is punishable by an additional penalty. (NRS 193.1675) For these crimes punishable as felonies, section 1 of this bill removes the requirement that the perpetrator must have a characteristic that is different from the characteristic of the victim for the additional penalty to apply and instead provides that the perpetrator may be punished by an additional penalty if the perpetrator committed the crime because of the characteristics of the victim, thereby making the standard the same for these crimes as it is for certain crimes punishable as misdemeanors under existing law. Section 1 also adds to the list of such crimes punishable as felonies the crime of making threats or conveying false information concerning acts of terrorism, weapons of mass destruction or lethal agents or toxins.

      Section 2 of this bill adds to the list of crimes ordinarily punishable as misdemeanors that are punishable as gross misdemeanors if committed because of certain characteristics of the victim the crime of threatening to cause bodily harm or death to a pupil or employee of a school district or charter school.

      Sections 1 and 2 also: (1) provide that a person commits a crime because of the characteristics of the victim if the existence of any such characteristic is the primary cause in fact for the commission of the crime; and (2) require the prosecuting attorney to prove beyond a reasonable doubt that the person would not have committed the crime but for the existence of such a characteristic. Sections 1 and 2 additionally provide that any incidental comment about such a characteristic of the victim that is made by the person who commits the crime must not be the sole basis for imposing an additional or enhanced penalty, respectively, against the person, but may be considered together with other evidence as to the motivation of the person for committing the crime.

      Existing law authorizes a person who has suffered injury as the proximate result of the commission of certain crimes by a perpetrator who was motivated by certain characteristics of the injured person to bring a civil action to recover his or her actual damages and punitive damages. (NRS 41.690) Section 3 of this bill adds to the list of such crimes for which such a person may bring such a civil action the crimes of: (1) making threats or conveying false information concerning acts of terrorism, weapons of mass destruction or lethal agents or toxins; and (2) threatening to cause bodily harm or death to a pupil or employee of a school district or charter school.

 


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ê2021 Statutes of Nevada, Page 1530 (CHAPTER 284, SB 166)ê

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 193.1675 is hereby amended to read as follows:

      193.1675  1.  Except as otherwise provided in NRS 193.169, any person who , because of the actual or perceived race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression of another person or group of persons, willfully violates any provision of NRS 200.030, 200.050, 200.280, 200.310, 200.366, 200.380, 200.400, 200.460 to 200.465, inclusive, paragraph (b) of subsection 2 of NRS 200.471, NRS 200.481 which is punishable as a felony, NRS 200.508, 200.5099, subsection 2 of NRS 200.575, NRS 202.448, 205.010 to 205.025, inclusive, 205.060, 205.067, 205.075, NRS 205.0832 which is punishable as a felony, NRS 205.220, 205.226, 205.228, 205.270, 206.150, NRS 206.330 which is punishable as a felony or NRS 207.190 [because the actual or perceived race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression of the victim was different from that characteristic of the perpetrator] may, in addition to the term of imprisonment prescribed by statute for the crime, be punished by imprisonment in the state prison for a minimum term of not less than 1 year and a maximum term of not more than 20 years. In determining the length of any additional penalty imposed, the court shall consider the following information:

      (a) The facts and circumstances of the crime;

      (b) The criminal history of the person;

      (c) The impact of the crime on any victim;

      (d) Any mitigating factors presented by the person; and

      (e) Any other relevant information.

Ê The court shall state on the record that it has considered the information described in paragraphs (a) to (e), inclusive, in determining the length of any additional penalty imposed.

      2.  For the purposes of this section, a person willfully violates any provision of law listed in subsection 1 because of the actual or perceived race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression of another person or group of persons if the existence of any such protected characteristic is the primary cause in fact for the commission of the crime, regardless of whether one or more other causes for the commission of the crime exist. For an additional penalty to be imposed pursuant to this section, the prosecuting attorney must prove beyond a reasonable doubt that the person would not have committed the crime but for the existence of such a protected characteristic.

      3.  If a person willfully violates any provision of law listed in subsection 1, any comment made by the person about the actual or perceived race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression of another person or group of persons that the court determines is incidental must not be the sole basis for imposing an additional penalty pursuant to this section, but may be considered in conjunction with other evidence as to the motivation of the person for committing the crime.

      4.  A sentence imposed pursuant to this section:

 


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ê2021 Statutes of Nevada, Page 1531 (CHAPTER 284, SB 166)ê

 

      (a) Must not exceed the sentence imposed for the crime; and

      (b) Runs consecutively with the sentence prescribed by statute for the crime.

      [3.]5.  This section does not create a separate offense but provides an additional penalty for the primary offense, whose imposition is contingent upon the finding of the prescribed fact.

      Sec. 2. NRS 207.185 is hereby amended to read as follows:

      207.185  1.  Unless a greater penalty is provided by law, a person who, [by reason] because of the actual or perceived race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression of another person or group of persons, willfully violates any provision of NRS 200.471, 200.481, 200.5099, 200.571, 200.575, 203.010, 203.020, 203.030, 203.060, 203.080, 203.090, 203.100, 203.110, 203.119, NRS 205.0832 which is punishable as a misdemeanor, NRS 205.240, 205.2715, 205.274, 205.2741, 206.010, 206.040, 206.125, 206.140, 206.200, 206.310, NRS 206.330 which is punishable as a misdemeanor, NRS 207.180, 207.200 [or] , 207.210 or 392.915 is guilty of a gross misdemeanor.

      2.  For the purposes of this section, a person willfully violates any provision of law listed in subsection 1 because of the actual or perceived race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression of another person or group of persons if the existence of any such protected characteristic is the primary cause in fact for the commission of the crime, regardless of whether one or more other causes for the commission of the crime exist. For an enhanced penalty to be imposed pursuant to this section, the prosecuting attorney must prove beyond a reasonable doubt that the person would not have committed the crime but for the existence of such a protected characteristic.

      3.  If a person willfully violates any provision of law listed in subsection 1, any comment made by the person about the actual or perceived race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression of another person or group of persons that the court determines is incidental must not be the sole basis for imposing an enhanced penalty pursuant to this section, but may be considered in conjunction with other evidence as to the motivation of the person for committing the crime.

      Sec. 3. NRS 41.690 is hereby amended to read as follows:

      41.690  1.  A person who has suffered injury as the proximate result of the willful violation of the provisions of NRS 200.030, 200.050, 200.280, 200.310, 200.366, 200.380, 200.400, 200.460, 200.463, 200.4631, 200.464, 200.465, 200.467, 200.468, 200.471, 200.481, 200.508, 200.5099, 200.571, 200.575, 202.448, 203.010, 203.020, 203.030, 203.060, 203.080, 203.090, 203.100, 203.110, 203.119, 205.010 to 205.025, inclusive, 205.060, 205.067, 205.075, 205.0832, 205.220, 205.226, 205.228, 205.240, 205.270, 205.2715, 205.274, 205.2741, 206.010, 206.040, 206.125, 206.140, 206.150, 206.200, 206.310, 206.330, 207.180, 207.190, 207.200 [or] , 207.210 or 392.915 by a perpetrator who was motivated by the injured person’s actual or perceived race, color, religion, national origin, physical or mental disability, sexual orientation or gender identity or expression may bring an action for the recovery of his or her actual damages and any punitive damages which the facts may warrant. If the person who has suffered injury prevails in an action brought pursuant to this subsection, the court shall award the person costs and reasonable attorney’s fees.

 


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      2.  The liability imposed by this section is in addition to any other liability imposed by law.

      3.  As used in this section, “gender identity or expression” has the meaning ascribed to it in NRS 193.0148.

      Sec. 4.  The amendatory provisions of this act apply to offenses committed on or after October 1, 2021.

________

CHAPTER 285, SB 179

Senate Bill No. 179–Committee on Commerce and Labor

 

CHAPTER 285

 

[Approved: June 2, 2021]

 

AN ACT relating to interpreters; revising the activities for which registration as an interpreter or realtime captioning provider is required; revising the requirements and professional classifications for registration as an interpreter or realtime captioning provider; providing for the establishment of qualifications to serve as a professional mentor and additional professional classifications in the field of interpreting; revising certain terminology related to interpreting; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law provides for the regulation of the practice of interpreting and the practice of realtime captioning by the Aging and Disability Services Division of the Department of Health and Human Services. (Chapter 656A of NRS) Existing law defines the term “practice of interpreting” to mean translating spoken language into certain visual or tactile representations of spoken language and vice versa. (NRS 656A.060) Section 6 of this bill: (1) changes the term “practice of interpreting” to “practice of sign language interpreting” and (2) amends the definition to mean interpreting or translating between any spoken language and certain visual or tactile representations of spoken language. Section 7 of this bill removes an exemption from provisions of existing law governing the practice of sign language interpreting and the practice of realtime captioning for persons who engage in the practice of sign language interpreting or the practice of realtime captioning solely for meetings of nonprofit civic organizations, thereby requiring, under certain circumstances, such persons to register with the Division to engage in the practice of sign language interpreting or the practice of realtime captioning, as applicable. (NRS 656A.070)

      Existing law establishes requirements for an applicant for registration to engage in the practice of interpreting in: (1) a community setting as an apprentice level interpreter, a skilled interpreter or an advanced certified interpreter; and (2) an educational setting as an apprentice level, intermediate or advanced interpreter. (NRS 656A.100) Section 9 of this bill eliminates the apprentice, intermediate, skilled and advanced levels of interpreter and instead establishes qualifications for registration or provisional registration as an interpreter. Section 9 also: (1) requires an applicant for provisional registration to submit proof of ongoing participation in a program of professional development for interpreters and engagement with a professional mentor; and (2) prohibits provisional registration in a professional classification for longer than 5 years in total. Section 9 additionally eliminates a supplemental registration to practice in a legal or medical setting. Section 18 of this bill provides that an interpreter who is registered to engage in the practice of interpreting on July 1, 2021, but who does not meet the requirements for such a registration, as amended by section 9, must be issued a provisional registration that expires on July 1, 2026.

 


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ê2021 Statutes of Nevada, Page 1533 (CHAPTER 285, SB 179)ê

 

section 9, must be issued a provisional registration that expires on July 1, 2026. Sections 5 and 8 of this bill make conforming changes to reflect that interpreters may be either registered or provisionally registered.

      Sections 1, 3, 4, 9 and 14-17 of this bill make revisions so that an interpreter must register to practice as an interpreter in: (1) a primary or secondary educational setting if the person wishes to facilitate communication relating to educational programming or other school activities provided through grade 12; and (2) a community setting if the person wishes to facilitate communication in any other setting, including a postsecondary educational setting, a legal setting or a medical setting. Section 10 of this bill: (1) requires the Division to adopt regulations prescribing qualifications for professional mentors; and (2) authorizes the Division to establish additional professional classifications of the practice of sign language interpreting.

      Sections 9-12 of this bill replace the term “certification” with the term “credentialing” in provisions governing the qualifications of sign language interpreters and realtime captioning providers.

      Existing law prohibits a person from holding himself or herself out as certified to engage in the practice of interpreting or the practice of realtime captioning unless he or she is registered with the Division. (NRS 656A.800) Section 13 of this bill removes the term “certified” and instead prohibits a person from holding himself or herself out as registered or provisionally registered to engage in the practice of sign language interpreting or registered to engage in the practice of realtime captioning unless he or she is registered or provisionally registered, as applicable, with the Division. Section 20 of this bill removes a definition of a term that is no longer used in the relevant portion of the Nevada Revised Statutes. Section 2 of this bill makes a conforming change to indicate the proper placement in the Nevada Revised Statutes of a new definition added by section 1.

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 656A of NRS is hereby amended by adding thereto a new section to read as follows:

      “Postsecondary educational setting” means communication relating to participation by students in curricular or extracurricular programming provided by or through:

      1.  A university, college or community college within the Nevada System of Higher Education; or

      2.  A postsecondary educational institution, as defined in NRS 394.099.

      Sec. 2. NRS 656A.020 is hereby amended to read as follows:

      656A.020  As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 656A.023 to 656A.065, inclusive, and section 1 of this act have the meanings ascribed to them in those sections.

      Sec. 3. NRS 656A.027 is hereby amended to read as follows:

      656A.027  “Community setting” means any setting that is not [an] a primary or secondary educational setting. The term includes, without limitation, a postsecondary educational setting, a legal setting and a medical setting.

      Sec. 4. NRS 656A.029 is hereby amended to read as follows:

      656A.029  [“Educational] “Primary or secondary educational setting” means [a] all communication relating to participation by pupils in educational programming or any other activity provided by or through a public school, school district or private school [or charter school] in this State.

 


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educational programming or any other activity provided by or through a public school, school district or private school [or charter school] in this State.

      Sec. 5. NRS 656A.030 is hereby amended to read as follows:

      656A.030  “Interpreter” means a person who is registered or provisionally registered with the Division to engage in the practice of sign language interpreting in this State pursuant to NRS 656A.100.

      Sec. 6. NRS 656A.060 is hereby amended to read as follows:

      656A.060  “Practice of sign language interpreting” means the facilitation of communication between persons who are deaf or whose hearing is impaired and other persons. The term includes, without limitation:

      1.  [Translating] Interpreting or translating between any spoken language [into] and American Sign Language or any other visual-gestural system of communication ; [or vice versa;]

      2.  [Translating] Interpreting or translating between any spoken language [into] and a tactile method of sign language ; [or vice versa;]

      3.  [Translating] Interpreting or translating between any spoken language [into] and an oral interpretation of the speaker’s words by enunciating, repeating or rephrasing those words without using the voice to assist a person who is deaf or whose hearing is impaired in lipreading the information conveyed by the speaker;

      4.  [Translating] Interpreting or translating between any spoken language [into] and a visual representation of spoken language that:

      (a) Uses eight hand shapes to represent groups of consonants and the placement of those hand shapes in four positions around the face to indicate groups of vowel sounds; and

      (b) Is used in conjunction with lipreading;

      5.