MINUTES OF THE SENATE COMMITTEE ON COMMERCE AND LABOR Sixty-eighth Session May 18, 1995 The Senate Committee on Commerce and Labor was called to order by Chairman Randolph J. Townsend, at 9:30 a.m., on Thursday, May 18, 1995, in Room 227 of the Legislative Building, Carson City, Nevada. Exhibit A is the Agenda. Exhibit B is the Attendance Roster. COMMITTEE MEMBERS PRESENT: Senator Randolph J. Townsend, Chairman Senator Ann O'Connell, Vice Chairman Senator Sue Lowden Senator Kathy M. Augustine Senator Raymond C. Shaffer Senator Joseph M. Neal, Jr. COMMITTEE MEMBERS ABSENT: Senator John B. (Jack) Regan (Excused) STAFF MEMBERS PRESENT: Beverly Willis, Committee Secretary Scott Young, Senior Research Analyst OTHERS PRESENT: Joan Buchanan, Administrator, Real Estate Division Len Nevin, Lobbyist, Whittlesea Bell/Baker Drake Cecilia Colling, Assistant General Manager, State Industrial Insurance Company (SIIS) Lenard Ormsby, General Counsel, State Industrial Insurance Company (SIIS) J. Thomas Susich, Counsel, Employment Security Division, Department of Employment, Training and Rehabilitation Daryl Capurro, Lobbyist, Managing Director, Nevada Motor Transport Association Rose McKinney-James, Director, Department of Business & Industry Larry Mathies, Lobbyist, Executive Director, Nevada Sate Medical Association Pat Coward, Lobbyist, Nevada Association of Realtors Patsy Redmond, Executive Vice President, Nevada Association of Realtors Darrell Clark, Staff Counsel, Nevada Association of Realtors Stephanie Tyler, Lobbyist, Nevada Nurses Association Sam McMullen, Lobbyist, Nevada State Board of Nursing Jean Lyon, Secretary, Nevada Nurses Association Lonna Burress, Executive Director, Nevada State Board of Nursing Diane Armstrong, Washoe County District Health Department Paula Berkley, Lobbyist, Board of Psychological Examiners Mike Hillerby, Lobbyist, Nevada Dental Hygienist Association James Wadhams, Lobbyist, Nevada Dental Association Joe Guild, Lobbyist, Nevada Dietetic Association Rob Watson, President, VRP, NNFA Daniel Markels, Government Relations Representative, Shaklee Corporation Kay Oring, President, Nevada Dietetic Association Carol Pruner, Owner, The Herb Lady Senator Townsend opened the meeting with the proposed introduction of Bill Draft Request (BDR) 57-1797: BILL DRAFT REQUEST 57-1797: Authorize provision for mandatory binding arbitration in certain group health insurance contracts. Since there was no action on BDR 57-1797 Senator Townsend opened the hearing on BDR 54-1832 and BDR 54-1771. BILL DRAFT REQUEST 54-1832: Changes composition of real estate commission. BILL DRAFT REQUEST 54-1771: Allows appraiser examination fees to be set by regulation. First to testify, Joan Buchanan, Administrator, Real Estate Division, gave background on BDR 54-1832, noting it provides the director the ability to establish where the administrator's office will be, in either Carson City or Las Vegas. Ms. Buchanan went on to state a very important part of the legislation, is the provision that no one can apply for a real estate license until they have completed their parole or probation. SENATOR SHAFFER MOVED TO INTRODUCE BILL DRAFT REQUEST 54- 1832 AND BILL DRAFT REQUEST 54-1771. SENATOR AUGUSTINE SECONDED THE MOTION. THE MOTION CARRIED. (SENATORS NEAL AND REGAN WERE ABSENT FOR THE VOTE.) * * * * * Senator Townsend then opened the hearing on BDR 52-643. BILL DRAFT REQUEST 52-643. Makes various changes concerning telemarketing. Rose McKinney-James, Director, Department of Business & Industry, noted this legislation is being presented on behalf of the attorney general's office in an effort to fill the gap by telemarketers who have now become telefunders. SENATOR O'CONNELL MOVED TO INTRODUCE BILL DRAFT REQUEST 52- 643. SENATOR LOWDEN SECONDED THE MOTION. THE MOTION CARRIED. (SENATORS NEAL AND REGAN WERE ABSENT FOR THE VOTE.) * * * * * The next item to be addressed was Senate Bill (S.B.384). SENATE BILL 384: Revises provision governing unemployment compensation and industrial insurance for certain subcontractors and independent contractors. Len Nevin, Lobbyist, Whittlesea Bell/Baker Drake, came forward to testify. Mr. Nevin presented Exhibit C and gave an explanation. Mr. Nevin stated this amendment will disclose what an independent contractor is and the responsibility of the subcontractor. Senator O'Connell and Mr. Nevin held further discussion regarding any fiscal issue that might evolve. Mr. Nevin noted this might amount to around $8 million. Cecilia Colling, Assistant General Manager, State Industrial Insurance Company (SIIS), noted she feels the fiscal note on the legislation will not be significantly reduced and thinks the estimate of $8 million is low. Lenard Ormsby, General Counsel, State Industrial Insurance Company (SIIS), testified noting that SIIS is opposed to S.B. 384 and gave several reasons. Mr. Ormsby also noted the legislation might give some the ability to have a group of independent contractors, who will be uninsured or underinsured. Senator Townsend determined S.B. 384 should be referred to a subcommittee. J. Thomas Susich, Counsel, Employment Security Division, Department of Employment, Training and Rehabilitation, was next to testify. Mr. Susich noted he is opposed to this legislation, as well. Daryl Capurro, Lobbyist, Managing Director, Nevada Motor Transport Association, however, noted his organization is in favor of S.B. 384. Mr. Capurro asserted his organization does support this legislation as they feel it may clear up differences in definition of the independent contractor and employee. Further discussion ensued between Mr. Capurro and Senator Neal, with Senator Neal expressing doubts concerning S.B. 384. Senator Townsend closed the hearing on S.B. 384 and opened the hearing on S.B. 300. SENATE BILL 300: Allows limitation or denial of insurance claim for medical condition if certain notice or information is not provided to insurer. Since a new amendment was forthcoming and the committee had not had the opportunity to study this material, Senator Townsend postponed the hearing. He did comment, however, on the aims of the committee, specifically mentioning the concern for rate reduction. At this time, Ms. McKinney-James appeared to present testimony on BDR 52-882. BILL DRAFT REQUEST 52-882: Makes changes concerning deceptive trade practices. Ms. Mckinney-James stated this legislation would enable effective jurisdiction over deceptive trade practices. Senator Townsend questioned Ms. McKinney-James for information regarding any fiscal note involved with this BDR. SENATOR NEAL MOVED TO INTRODUCE BILL DRAFT REQUEST 52-882. SENATOR AUGUSTINE SECONDED THE MOTION. THE MOTION CARRIED. (SENATOR LOWDEN WAS ABSENT FOR THE VOTE.) * * * * * At this time, the hearing was closed on BDR 52-882 and opened on S.B. 389. SENATE BILL 389: Authorizes physicians' assistants to prescribe controlled substances. Senator Townsend noted an amendment will be forthcoming on S.B. 389, however, Larry Mathies, Lobbyist, Executive Director, Nevada State Medical Association, appeared to testify. Mr. Mathies stated, "The concept is okay for convenience sake, as long as the physician is actually making the prescribing decisions." Senator Townsend then closed the hearing on S.B. 389 and opened the hearing on S.B. 403. SENATE BILL 403: Revises duties of certain persons who are acting in capacity of agent to parties to real estate transaction. Pat Coward, Lobbyist, Nevada Association of Realtors, Patsy Redmond, Executive Vice President, Nevada Association of Realtors, Darrell Clark, Staff Counsel, Nevada Association of Realtors, came forward to testify. Mr. Coward presented Exhibit D. Ms. Redmond stated the Real Estate Division, the Southern Nevada Homebuilders and the Nevada Association of Realtors have agreed to language to amend this legislation. Senator Townsend summarized, stating he feels this legislation will provide improved consumer awareness. At this time, the hearing on S.B. 403 was closed and the hearing on S.B. 412 was opened. SENATE BILL 412: Revises educational requirements for certification as advanced practitioner of nursing. First to testify, Stephanie Tyler, Lobbyist, Nevada Nurses Association, noted most concerns have been addressed, however there were still some problems. Sam McMullen, Lobbyist, Nevada State Board of Nursing, testified noting there are two parts to this legislation. Number 1 concerns education, another, the availability of qualified practitioners. Jean Lyon, Secretary, Nevada Nurses Association, noted a primary concern of her association, are minimum educational requirements for advanced practitioners of nursing. Next to testify, Lonna Burres, Executive Director, Nevada State Board of Nursing, gave background and comments to this legislation. Senator Augustine, Mr. McMullen, Ms. Lyon, Senator Neal and Senator Townsend continued with dialogue, especially touching on the subject of education. Senator Townsend clarified, stating, "The bill says we will codify the master's degree requirement." Senator Townsend, continued referring to the "grandfather" portion of the legislation, stating, "I don't believe in grandfathering, because it creates two classes of people. You either have a certain class and therefore qualify, or you don't." He also noted there was no fiscal note on S.B. 412. Ms. Lyons stated she feels a fiscal note will not be an obstacle. Diane Armstrong, Washoe County District Health Department, attested she would like to see this legislation stay as it is with the board of nursing in control of the requirement for education. There followed a detailed explanation from Mr. McMullen concerning the reasons for this legislation. Ms. Tyler noted her association approves of the board of nursing maintaining its autonomy of authority regarding certification. However, Ms. Tyler went on to state, her association does want the basic education requirement in statute. Further dialogue regarding salaries and time implementation of this legislation was held by Senator Augustine, Mr. McMullen, Senator Neal, and Ms. Armstrong. Ms. Burres joined the discussion. Senator Townsend closed the hearing on S.B. 412 and opened the hearing on S.B. 447. SENATE BILL 447: Provides for confidentiality of certain records or information obtained by board of homeopathic medical examiners during investigation. SENATOR NEAL MOVED TO DO PASS S.B. 447. SENATOR LOWDEN SECONDED THE MOTION. THE MOTION CARRIED. (SENATORS O'CONNELL, REGAN AND SHAFFER WERE ABSENT FOR THE VOTE.) * * * * * Senator Townsend then opened the hearing on S.B. 448. SENATE BILL 448: Revises provisions governing licensing and regulation of psychologists. Paula Berkley, Lobbyist, Board of Psychological Examiners, came forward to testify and presented Exhibit E with an explanation. Senator Augustine and Ms. Berkley, referring to Exhibit E, discussed fees and the budget. Senator Townsend closed the hearing on S.B. 448 and opened the hearing on Assembly Bill (A. B.) 261. ASSEMBLY BILL 261: Authorizes a dental hygienist to perform certain tasks without the supervision of a dentist. Mike Hillerby, Lobbyist, Nevada Dental Hygienist Association, testified, presenting Exhibit F. Mr. Hillerby along with Senator Townsend then gave clarification on Exhibit F. SENATOR O'CONNELL MOVED TO AMEND AND DO PASS A.B. 261 WITH AMENDMENT NO 397. SENATOR NEAL SECONDED THE MOTION. THE MOTION CARRIED. (SENATOR REGAN WAS ABSENT FOR THE VOTE.) * * * * * James Wadhams, Lobbyist, Nevada Dental Association came forward with his approval of the Amendment No. 397. The hearing then opened on S. B. 193. SENATE BILL 193: Regulates practice of dietitians. Senator Townsend opened the hearing by referring to Exhibit G. At this time, Joe Guild, Lobbyist, Nevada Dietetic Association, came forward to testify. Referring to Exhibit H, Mr. Guild gave explanation agreed on by his association. Next to testify, Rob Watson, President, NNFA, testified giving his organization's preference for the proposed legislation. Daniel Markels, Government Relations Representative, Shaklee Corporation, testified next, referring to Exhibit H, voiced concerns his organization has on the proposed legislation. Senator Neal questioned Mr. Markels with special emphasis on how this legislation might affect dietitians in the employ of hospitals. Senator Neal continued, noting he feels this profession cannot be pigeonholed. Mr. Markels proceeded with his concerns. Mr. Guild, Mr. Markels and Senator O'Connell continued the dialogue. Kay Oring, President, Nevada Dietetic Association, then joined the discussion, noting her organization prefers language in the proposed legislation as it stands now. Senator Townsend then inquired if any language would please all concerned, to which Mr. Guild responded, "I think the intent of this legislation is absolutely clear...... We make it very clear that unless you do two things, hold yourself out to be a registered dietitian and hold yourself as being qualified to engage in the practice of being a dietitian, and you can only do that if you have a registration card." A lengthy deliberation ensued, with Mr. Markels, Senator Townsend and Mr. Guild examining various new wording for this legislation. Mr. Watson disagreed with some of the language. At this time Senator Augustine and Senator Lowden joined the discussion. Carol Pruner, Owner, The Herb Lady, presented Exhibit I, with an explanation. As no agreement could be reached among any of those concerned with the legislation, Senator Townsend stated when agreement was reached, the legislation would be given another hearing. There being no further business, the meeting was adjourned at 11:35 a.m. RESPECTFULLY SUBMITTED: Beverly Willis, Committee Secretary APPROVED BY: Senator Randolph J. Townsend, Chairman DATE: Senate Committee on Commerce and Labor May 18, 1995 Page