MINUTES OF THE
SENATE Committee on Government Affairs
Seventy-First Session
March 23, 2001
The Senate Committee on Government Affairswas called to order by Chairman Ann O'Connell, at 11:49 a.m., on Friday, March 23, 2001, in Room 2149 of the Legislative Building, Carson City, Nevada. Exhibit A is the Agenda. Exhibit B is the Attendance Roster. All exhibits are available and on file at the Research Library of the Legislative Counsel Bureau.
COMMITTEE MEMBERS PRESENT:
Senator Ann O'Connell, Chairman
Senator William J. Raggio, Vice Chairman
Senator William R. O’Donnell
Senator Jon C. Porter
Senator Joseph M. Neal, Jr.
Senator Dina Titus
Senator Terry Care
GUEST LEGISLATORS PRESENT:
Senator Mark E. Amodei, Capital Senatorial District
STAFF MEMBERS PRESENT:
Kimberly Marsh Guinasso, Committee Counsel
Juliann K. Jenson, Committee Policy Analyst
Laura Hale, Committee Secretary
OTHERS PRESENT:
Brian K. Krolicki, State Treasurer
Richard Zygmunt Pawlowski, Concerned Citizen
Patricia A. Puchert, Member, Nevada Society of Scottish Clans
James Bennett, Chief, Nevada Society of Scottish Clans
J. J. McDonald III, Clansman
Mike Steele, Member, St. Andrews Society of Southern Nevada
William Ward, Concerned Citizen
Anne Posner, Member, Desert Sky Pipes and Drums Band, Las Vegas
Deborah Sgambati, Founding Member and Secretary, St. Andrews Society of Southern Nevada
Janice R. Ayres, Chairman, Tricounty Railway Commission, and President, Northern Nevada Railway Foundation
Charles Haynes, Member, Storey County Board of Commissioners, Chairman, Virginia City Convention and Tourism Authority, and Member, Tricounty Railway Commission
James Michael Nolan, Principal Budget Analyst, Budget Division, Department of Administration
Bob Gagnier, Lobbyist, State of Nevada Employees Association
Chairman O’Connell opened the hearing on Bill Draft Request (BDR) 31-359.
BILL DRAFT REQUEST 31-359: Authorizes additional types of investments for money in certain public funds. (Later introduced as Senate Bill 487.)
Brian K. Krolicki, State Treasurer, testified this bill makes modest changes to the investment portfolio, to include federal agricultural mortgage corporation agency paper into his office’s ability to purchase for the portfolio. He said the bill would also enable investment of permanent school fund monies, and some of the tobacco monies that are subject to securitization, in investment equities.
SENATOR RAGGIO MOVED TO INTRODUCE BDR 31-359.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR PORTER WAS ABSENT FOR THE VOTE.)
*****
Chairman O’Connell opened the hearing on BDR 18-360.
BILL DRAFT REQUEST 18-360: Makes various changes regarding powers and duties of state treasurer and revises Uniform Disposition of Unclaimed Property Act. (Later introduced as Senate Bill 489.)
Mr. Krolicki testified this bill would incorporate many different concepts for the state treasury. He added it would transfer responsibilities for unclaimed properties from the Department of Business and Industry to the state treasurer’s office, and would also incorporate the uniform code for the Uniform Disposition of Unclaimed Property Act of 1965. He said it also would address employee- classification issues and some housekeeping items for the treasurer’s office.
SENATOR RAGGIO MOVED TO INTRODUCE BDR 18-360.
SENATOR O’DONNELL SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR PORTER WAS ABSENT FOR THE VOTE.)
*****
Chairman O’Connell opened the hearing on BDR 18-361.
BILL DRAFT REQUEST 18-361: Revises authority of state treasurer to invest money held in certain trust funds and to administer proceeds from settlement agreements and civil litigation between State of Nevada and tobacco companies. (Later introduced as Senate Bill 488.)
Mr. Krolicki testified the bill would secure tobacco revenues received by the state of Nevada, through a master services agreement, to sell future cash flows to the market today. A briefing book, Tobacco Settlement Securitization Proposal, is available from the Office of the State Treasurer.
SENATOR O’DONNELL MOVED TO INTRODUCE BDR 18-361.
SENATOR RAGGIO SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR PORTER WAS ABSENT FOR THE VOTE.)
*****
Chairman O’Connell opened the hearing on S.B. 347.
SENATE BILL 347: Designates state tartan. (BDR 19-749)
Senator Alice Costandina (Dina) Titus, Clark County Senatorial District No. 7, testified April 6 is Nevada Tartan Day and is on the list of resolutions to celebrate on the Senate Floor. If this bill is supported by the committee, she suggested, April 6 would be a good day to vote for it on the Senate Floor.
Richard Zygmunt Pawlowski, Concerned Citizen, explained that a tartan is a woven cloth of stripes of varied lengths, crossing at right angles to form a unique pattern. Historically, he said, the tartan has been used to identify clans, families, and districts throughout Scotland, Ireland and Wales. He noted it has taken the form of a kilt, dress, sash, or shawl; and in modern times it is used in ties and trousers.
Mr. Pawlowski said many countries throughout the world, including the United States, have tartans registered with the Scottish Tartan Association. He added, currently, 21 states have official state tartans, 2 states have unofficial tartans, and 3 states have legislation pending to adopt state tartans. He asserted a unique tartan for Nevada would be used as a symbol of pride in official business and in the public domain to express the culture and diverse history of Nevada.
Mr. Pawlowski reported pipe bands, color guards, and civic organizations have shown an interest in an official state tartan to display the pride of our state. Worn as kilts or other clothing, he noted, the tartan is more accessible than the state fossil or state tree. He added that then-Governor Miller was provided a statute section for gubernatorial annual proclamation for the state of Nevada making April 6 Nevada Tartan Day, under Nevada Revised Statutes (NRS) 236.055, but there is no state tartan.
Mr. Pawlowski said he created, over a 2-year period, the proposed state tartan that is visually pleasing and representative of Nevada. He stated the colors and pattern were chosen for specific reasons, as outlined in the bill. Once the proposed tartan is registered with the Scottish Tartan Society, Mr. Pawlowski explained, the copyright would be public domain for the state of Nevada and there would be no legal ramifications for its use or display.
Mr. Pawlowski concluded many organizations, such as the Nevada National Guard Color Guard, the St. Andrews Society of Southern Nevada, the Nevada Society of Scottish Clans, the Nevada Firefighters Association, the Sierra Highland Pipe Bands, the Desert Sky Pipes and Drums Band, the Scottish American Military Society, the Reno Scottish Highland Dancers, and the Caledonian Society of Nevada, would likely adopt this tartan as their official tartan.
Patricia A. Puchert, Member, Nevada Society of Scottish Clans, testified support for the bill, explaining the importance of a tartan is to represent one’s roots and background. She said she was wearing a family tartan representing the area of Scotland from where her ancestors originated. Ms. Puchert noted there are more than 1000 members of Scottish and Irish groups in Nevada who would proudly wear the state tartan in games and competitions at clan gatherings and other events. Also, she said, the Las Vegas Pipe Band has already adopted the proposed tartan.
James Bennett, Chief, Nevada Society of Scottish Clans, testified support for the bill. J. J. McDonald III, Clansman, testified that last Veterans Day, there was a large Scottish contingent in the parade, and clansmen are very proud of their kilts; he said, “anyone who has one always wears it whenever he or she can.” Ms. Puchert provided a copy of a petition signed by members of the Nevada Society of Scottish Clans to endorse the proposed tartan as the official state tartan (Exhibit C).
Mike Steele, Member, St. Andrews Society of Southern Nevada, testified, the tartan would be for all Nevadans, regardless of heritage, and the St. Andrews Society offers membership to anyone. William Ward, Concerned Citizen, testified his paternal grandmother was Margaret McGregor, and he has traced his roots back to 1769, just a few generations from Rob Roy McGregor. He said he wears his clan tartan with great pride, and if the proposed tartan for Nevada were approved, he would wear that with equal pride, because it is a wonderful tribute to the state of Nevada.
Anne Posner, Member, Desert Sky Pipes and Drums Band, Las Vegas, testified she anticipates wearing the state tartan proudly in competition throughout the United States and internationally. Deborah Sgambati, Founding Member and Secretary, St. Andrews Society of Southern Nevada, testified she is very proud of her Scottish heritage and how heritage affects local and national government. She said the Declaration of Arbroath, written in Scotland, was one of the documents that the Declaration of Independence was based upon. She noted, since 1991, Nevada Scottish Heritage Month has been celebrated heavily in Southern Nevada from January 16 to February 15. She said everyone is included in the celebration and she hopes the state tartan will encourage more involvement.
Chairman O’Connell closed the hearing on S.B. 347 and opened the hearing on S.B. 334.
SENATE BILL 334: Expands and changes name of Tricounty Railway Commission. (BDR S-604)
Senator Mark E. Amodei, Capital Senatorial District, testified support for the bill as part of additional legislation he is working on with Speaker Emeritus, Joseph (Joe) E. Dini, Jr., Lyon, Storey, Carson City (part) Assembly District No. 38, to give some assistance in the restoration of the Virginia and Truckee Railroad. Senator Amodei asserted this is really a regional, rather than a tri-county issue, and should have formal input and membership from Washoe and Douglas Counties, in addition to Lyon, Storey, and Carson City Counties. He said the bill would also change the board from five to nine members, with one of two Carson City seats removed and one seat added for each of the new counties.
Senator Amodei explained the Senate majority leader, the speaker of the Assembly, and the Governor, would make appointments to increase the potential for statewide participation. He noted the proposed legislation has been coordinated with the effected counties who are believed to be on board. Also, he said the Tricounty Railway Commission would be renamed to the Nevada Commission for the reconstruction of the V & T Railway.
Janice R. Ayres, Chairman, Tricounty Railway Commission, and President, Northern Nevada Railway Foundation, testified that in summits and meetings over the last 9 years of her participation, other people have resisted participation because they thought the commission was only for the three counties. She claimed it actually benefits the whole state, asserting the railroad restoration would bring jobs, tourism, and economic development. Ms. Ayres noted Washoe and Douglas counties have been asked to participate on the foundation board and county commissioners from Washoe and Douglas, as well as a City of Reno Councilman, David Rigdon, have shown a great deal of interest and have been instrumental in helping move this bill forward. Ms. Ayres concluded reconstruction of the V & T Railway would be a national treasure, and a tourism event of this magnitude could benefit the entire state.
Senator Neal inquired about polling data on tourism potential and public support. Ms. Ayers responded that studies have been submitted to the Senate finance committee as well as to the Governor, the Lieutenant Governor, and the Commission on Tourism. Further, she said, the Commission on Tourism recently awarded $1 million for this project.
Senator Amodei also responded to Senator Neal, reporting that three election cycles ago, a ballot measure for a sales tax override to support reconstruction passed in Storey County, but lost by narrow margins in Lyon and Carson City Counties. Pursuant to that measure, he said there were extensive marketing studies done that showed positive results in terms of viability for rider volume and interest, both locally and nationally. He said the studies also show operating costs and business plan documents, and are available through the Senate finance committee.
Charles Haynes, Member, Storey County Board of Commissioners, Chairman, Virginia City Convention and Tourism Authority, and Member, Tricounty Railway Commission, testified agreement with the statements from Ms. Ayers and Senator Amodei. He asserted the proposed regional and statewide project would support economic diversification through tourism, which, in his experience has proved to be an excellent medium.
Chairman O’Connell closed the hearing on S.B. 334 and opened the hearing on S.B. 353.
SENATE BILL 353: Establishes procedures for certain state agencies to provide uniforms for certain employees. (BDR 23-406)
James Michael Nolan, Principal Budget Analyst, Budget Division, Department of Administration, testified, representing John P. Comeaux, Director, Department of Administration. He said the bill does some housecleaning, such as removing guns and accessories from personal uniform items. He added the bill would also empower the state, if determined to be economically feasible, to convert from cash payments to voucher allowances, to be issued by agencies, for uniforms.
Mr. Nolan said the budget office would be required to consult with agency organizations and labor unions, as has been done for a number of years, but this would put it in writing, and specify that the Purchasing Division would be responsible for determining prices under the guise of a statewide contract for one or more uniform suppliers.
Mr. Nolan reported that currently, the cash payment for uniforms might be subject to 15 percent federal income tax, 7.25 percent sales tax, and 1.45 percent Medicare fringe benefit tax. He claimed if uniforms were purchased through the proposed voucher system, a conservative projection for savings would be about 10 percent. He reported the state spends about $1.5 million to $1.6 million per year on uniforms and with the growth of prison and highway patrol personnel, that amount will not decrease.
Bob Gagnier, Lobbyist, State of Nevada Employees Association (SNEA), said he signed in as being in opposition to the bill, but maybe should be neutral. He reported the four prison chapters have reviewed this concept before and are not opposed to the concept of vouchers, but are concerned about the language on page 2, line 18, requiring employees to return uniforms. Specifically, he said, the concern is that old uniforms would be recycled, resulting in ill-fitting uniforms. He added the bill seems to be a little less open-ended than explained earlier in the requirement of vouchers, but he does support getting good uniforms and realizes the benefit of not paying extra taxes.
Mr. Nolan testified that he had met previously with SNEA on a lot of their concerns and he agrees that uniforms should not be recycled. However, he said, in a prison environment, a pool of spare uniforms for emergency purposes is helpful. Mr. Nolan asserted the other issues raised by SNEA are not a problem. He said the uniform section can be expanded, more specifics can be added to the state administrative manual, and policies can be set up for agencies to follow.
In response to Senator Neal, Mr. Nolan explained this has been a project of his since 1985 when he worked at the prison and they first instituted modification of uniforms. He said he felt that vouchers would be a better utilization of resources in providing standardization and consistency in uniforms among staff as well as being more economical by avoiding individual taxes.
Chairman O’Connell adjourned the meeting at 12:32 p.m.
RESPECTFULLY SUBMITTED:
Laura Hale,
Committee Secretary
APPROVED BY:
Senator Ann O'Connell, Chairman
DATE: