MINUTES OF THE SENATE COMMITTEE ON GOVERNMENT AFFAIRS Sixty-eighth Session March 15, 1995 The Senate Committee on Government Affairs was called to order by Chairman Ann O'Connell, at 2:05 p.m., on Wednesday, March 15, 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 Ann O'Connell, Chairman Senator Randolph J. Townsend, Vice Chairman Senator Jon C. Porter Senator William R. O'Donnell Senator Dina Titus Senator Raymond C. Shaffer COMMITTEE MEMBERS ABSENT: Senator William J. Raggio (Excused) STAFF MEMBERS PRESENT: Dana Bennett, Senior Research Analyst Teri J. Spraggins, Committee Secretary OTHERS PRESENT: Barbara McKenzie, Lobbyist, City of Reno Elizabeth Fretwell, Strategic Issues Manager, Administrative Services, Clark County Kathryn McClain, Legislative Analyst, Clark County Paula Treat, Representative, Peace Officers Research Association of Nevada Todd G. Shipley, Sergeant, Police Department, City of Reno Terry Murphy, Assistant Director, Administrative Services, Clark County Ben Graham, Legislative Representative, Nevada District Attorneys Association Robert Hadfield, Executive Director, Nevada Association of Counties Mary Henderson, Director, Washoe County Government Affairs Marvin Leavitt, Legislative Coordinator, City of Las Vegas Nancy Howard, Lobbyist, Nevada League of Cities I.R. Ashleman II, Attorney at Law Irene Porter, Southern Nevada Homebuilders Association Lucille K. Lusk, Lobbyist, Nevada Concerned Citizens Carole Vilardo, Nevada Taxpayers Association SENATE BILL (S.B.) 183: Authorizes certain counties to enact certain ordinances. Senator O'Connell stated to the audience that after the requests for bill drafts are discussed, the committee will be discussing sending S.B. 83 to an interim study. She explained the committee will discuss the creation, mission, and direction of the interim study commission. BILL DRAFT REQUEST (BDR) S-727: Specifies time and manner in which aggrieved party may petition for judicial review of disciplinary action. Barbara McKenzie, Lobbyist, City of Reno, testified in favor of BDR S-727. She stated if a disciplinary action is taken by the Civil Service Commission, the people now have the authority to go to court to appeal, but there is no procedure or time limit. She explained they want to use the provisions already in place by the judicial review section of the Nevada Revised Statutes to provide a mechanism for the people to appeal the decisions of the Civil Service Commission. SENATOR O'DONNELL MOVED TO INTRODUCE BDR S-727. SENATOR SHAFFER SECONDED THE MOTION. THE MOTION CARRIED. (SENATOR RAGGIO WAS ABSENT FOR THE VOTE.) ***** BILL DRAFT REQUEST (BDR) 10-1201: Prohibits mobile home parks from regulating flying of American Flag if not in violation of local ordinance. Senator O'Donnell explained the necessity for BDR 10-1201 to the committee. He stated he has a constituent who is not allowed to fly his American flag on a flagpole. He explained some county and city regulations do not allow for a flagpole to be placed in a mobile home park. SENATOR O'DONNELL MOVED TO INTRODUCE BDR 10-1201. SENATOR SHAFFER SECONDED THE MOTION. THE MOTION CARRIED. (SENATOR RAGGIO WAS ABSENT FOR THE VOTE.) ***** BILL DRAFT REQUEST (BDR) 21-705: Permits maintenance assessments to maintain project financed under Consolidated Local Improvement Law. Elizabeth Fretwell, Strategic Issues Manager, Administrative Services, Clark County, testified in favor of BDR 21-705. She stated this change allows assessments to be levied to maintain any project financed under the Consolidated Local Improvement Law. She explained this proposal would give the owners, of 10 percent or more of the property to be assessed, the power to veto the creation of a maintenance district by protesting at a provisional order hearing. She provided an example of landscaping projects on the strip in Las Vegas. She stated if 10 percent of the owners of businesses on the strip had protested the creation of a special improvement district, there would not be a special improvement district created. She stated that is the intent of this bill draft request. SENATOR PORTER MOVED TO INTRODUCE BDR 21-705. SENATOR TOWNSEND SECONDED THE MOTION. THE MOTION CARRIED. (SENATOR RAGGIO WAS ABSENT FOR THE VOTE.) ***** BILL DRAFT REQUEST (BDR) 20-722: Authorize county to provide medical scholarships to induce students to practice in rural communities. Kathryn McClain, Legislative Analyst, Clark County, testified in favor of BDR 20-722. She stated this will allow Clark County to provide medical scholarships to students in rural areas. She explained Clark County has been precluded in the past from participating in such a venture because of the size of the population in Clark County. SENATOR PORTER MOVED TO INTRODUCE BDR 20-722. SENATOR TOWNSEND SECONDED THE MOTION. THE MOTION CARRIED. (SENATOR RAGGIO WAS ABSENT FOR THE VOTE.) ***** Paula Treat, Representative, Peace Officers Research Association of Nevada asked the committee for bill draft requests (Exhibit C. Original is on file in the Research Library.) She introduced Todd G. Shipley, Sergeant, Police Department, City of Reno, to the committee. Sergeant Shipley stated their association has three bill draft requests for the committee. He explained all three proposals are detailed in Exhibit C. He stated the first proposal is a change to the Police Officer Bill of Rights, sections 1 and 1a of Exhibit C. He added the second proposal contains changes regarding the Public Employees Retirement System (PERS), sections 3 and 3a of Exhibit C. He concluded the third proposal is a proposed addition to the PERS home loan program, sections 4 and 4a of Exhibit C. He explained to the committee that the association will not be asking for the proposal outlined in section 2 and 2a of Exhibit C. Senator O'Connell explained to Ms. Treat and to Sergeant Shipley the Senate Committee on Government Affairs can introduce their first proposal, the change to the Police Officer Bill of Rights. She told them the second and third proposal will need to be addressed to the Senate Committee on Finance. SENATOR TOWNSEND MOVED TO REQUEST A BILL DRAFT. SENATOR SHAFFER SECONDED THE MOTION. THE MOTION CARRIED. (SENATOR RAGGIO WAS ABSENT FOR THE VOTE.) ***** The chairman stated the committee would now discuss S.B. 183. Senator O'Connell stated she assumes the committee will take S.B. 183, delete it and request an interim study. She said the committee will submit a letter to the Senate Committee on Legislative Affairs and Operations. Terry Murphy, Assistant Director, Administrative Services, Clark County, testified Clark County is interested in the issue of home rule. She stated Clark County is looking to adapt to the demands from an increasing population based on the current resources. She said they provide services to the urban areas as well as to 13 rural communities in Clark County. She explained Clark County is one of the fastest growing counties in the United States. She told the committee, Clark County is constantly impacted by unfunded mandates. She testified in the 1993 session Clark County submitted 47 bill draft requests, and in 1995 they have submitted 69 bill draft requests. She stated they view the bill draft requests as a correlation of the increased demand for services. Ms. Fretwell provided the committee with a basic definition of "home rule" (Exhibit D). She stated there is no common definition of "home rule." She explained Dillon's Rule to the committee. She asserted 5 percent of the counties in the nation observe Dillon's Rule and 95 percent of the counties in the United States observe the general laws of the nation. She defined three types of "home rule" to the committee; structural, functional, and fiscal. Ms. Fretwell defined structural home rule as the most common type. She stated it had no council or manager. She said this kind of home rule takes less time to develop. She addressed functional home rule as an expanded service area with no constitutional change, just legislative changes. She interpreted fiscal home rule as the ability to adjust revenues and expenditures according to population areas. She asserted Clark County is not ready to address this type of home rule as it would have a huge impact on the state's financial base. She stated fiscal home rule is the least common type of home rule. Ms. Fretwell cited a few examples of legislative bills pending in the 1995 session and tied them to the three types of home rule. She said home rule is used in 35 of 50 states; and in those states, 5 percent of the counties take advantage of home rule. She cited King County, Washington; Maricopa County and Puma County, Arizona; and Los Angeles County, California as close examples of home rule. She stated more western states have home rule than eastern states. She stated Maricopa County and Puma County have been going through the process for the past 4 years and provided information to Clark County. Ms. Fretwell suggested to the committee that the interim study commission evaluate the current divisions of responsibility in the state. She suggested a clearly defined division of responsibility for the state and for the counties. She proposed they research other states methods and avoid "recreating the wheel." She advocated researching the methods of establishing home rule. She discussed what the parameters could be. She stated several states limit home rule to urban counties. She cited Arizona's minimum qualification for going through the home rule charter process is 500,000 citizens in a county. She recommended that the interim study commission propose statutory language to create and implement home rule. Ms. Fretwell suggested the members of the committee should be from appropriate Senate and Assembly committees with an advisory committee type infrastructure. She added that representatives from Clark County, Washoe County, rural counties, business, and Chamber of Commerce be members of the committee. She stated that the Nevada Association of Counties would have an interest in this interim study. She said the League of Cities might also have an interest. Senator O'Connell asked Ms. Fretwell why it took Arizona 4 years to define home rule for their state? Ms. Fretwell responded that representatives have gone to the Arizona Legislature twice and have made constitutional changes. She stated that was the route chosen in Arizona. She said the governor of Arizona created a study committee in 1981. She explained it took 6 years to get to the point where the Arizona Legislature felt comfortable moving forward. Ms. Fretwell stated, "Obviously we think that this can be done more rapidly than that; but it does show that this is a complex issue. It does merit a lot of study and a lot of work to make it right and to make it work here for us." Senator Porter stated his impression is that at the beginning of the session Clark County wanted to make major changes during this session. He said it is complex and all ramifications must be examined. He stated some of the legislation which has been heard this session could have been handled by the county which it affected. He agrees home rule is a good idea, but cautioned that it must be done right. Ben Graham, Legislative Representative, Nevada District Attorneys Association, responded that the committee was seeing a natural maturing process. He stated instead of a massive overhaul, the interim study is an excellent mechanism to begin the process. Ms. Murphy stated the more input the interim study gathers from the community, the better. She asserted the counties will be looking at how to better serve their growing populations and should have the population involved in what will serve them better. Senator O'Connell informed the committee that it is her intention to create a subcommittee chaired by Senator Porter; and have Robert Hadfield, Executive Director, Nevada Association of Counties; Mary Henderson, Director, Washoe County Government Affairs; and Marvin Leavitt, Legislative Coordinator, City of Las Vegas; work on the language that will formulate the bill requesting the interim study. She added anyone in the room who is interested in working on the subcommittee or interim study to let Senator Porter know. She added that the Senate Committee on Legislative Functions and Operations would have the final say on the bill, but the subcommittee will prepare everything to go to them. Mr. Hadfield stated the Nevada Association of Counties has a home rule committee. He told the committee all the counties need to better understand and develop the relationship between the State of Nevada and its local government. Ms. Henderson said she welcomes the opportunity to work with the subcommittee to create a definition which will work for urban and rural counties. Senator Townsend asked Ms. Henderson to work with Mr. Hadfield and Mr. Leavitt to give the subcommittee insight on the development of county rights and the regional planning process. Ms. Henderson stated they will work on both of those issues and bring them to the subcommittee. She said the local governments want to be more responsive to the public. Mr. Leavitt stated the witnesses from Clark County have adequately described the problems they are faced with. He related city charters come from general law. He said cities should be included in the interim study. He explained some cities perform the same functions as counties. He contended appropriate rights for the various entities would be served by including the cities. He expressed that a joint cooperative effort would be appropriate. Nancy Howard, Lobbyist, Nevada League of Cities stated they are looking forward to working with the subcommittee and the interim study. Irene Porter, Southern Nevada Homebuilders Association, stated her support of the subcommittee and the interim study. She suggested including the construction industry, public works, and zoning groups would be good additions to the interim study. She asserted there must be a system of checks and balances in the system. She gave examples of home rule counties where there were no checks and balances and counties went unbridled. She suggested obtaining Orange County, California's home rule regulations as an example of what not to do in fiscal home rule. She discussed unfunded mandates. Mr. I.R. Ashleman, II, Attorney at Law, representing the Southern Nevada Homebuilders Association, spoke regarding home rule. He stated it is important to remember that scholars divide home rule into the three areas Ms. Fretwell discussed. He asserted that they overlap one another. Carole Vilardo, Nevada Taxpayers Association, suggested the committee seek representatives from Elko, as it is the largest growing county in Nevada. She added that representatives from mining interests should be included in the interim study as they have businesses in 7 to 12 of 17 counties. She stated the Nevada Taxpayers Association does not want to be part of the committee, but will be at every meeting to testify if needed. Ms. Howard added six cities in Nevada are incorporated. She explained the remaining cities in Nevada, with the exception of Boulder City, are charter cities which have to come to the Legislature. She stated the incorporated cities have a lot more leeway in what they are able to do on the local level. Lucille K. Lusk, Lobbyist, Nevada Concerned Citizens, stated S.B. 183 is an "open grant of power" to the counties. She stated she is not representing industry or government, but is representing "ordinary folks." She stated S.B. 183 will create "mini-legislatures." She shared with the committee an example of "backwards government" (Exhibit E). She urged the committee to proceed with caution. She stated local governments should have powers which are specific to those levels, but should not be a duplicate Legislature. Stephanie Licht, Lobbyist, Elko County, distributed a letter to the committee from the Board of County Commissioners supporting S.B. 183 (Exhibit F). She did not testify. The meeting adjourned at 4:05 p.m. Ms. Lusk presented Exhibit G after the meeting. RESPECTFULLY SUBMITTED: Teri J. Spraggins, Committee Secretary APPROVED BY: Senator Ann O'Connell, Chairman DATE: Senate Committee on Government Affairs March 15, 1995 Page