THE ONE HUNDRED AND FOURTEENTH DAY

                               

 

Carson City (Tuesday), May 25, 1999

    Assembly called to order at 11:38 a.m.

    Mr. Speaker presiding.

    Roll called.

    All present except Assemblywoman Evans, who was excused.

    Prayer by the Chaplain, Reverend Elaine Ludlum Morgan.

    O God, the fountain of wisdom, whose will is good and gracious, and whose law is truth: We beseech You so to guide and bless our legislators in the Nevada State Assembly that they may enact such laws as shall please You, to the glory of Your Name and the welfare of Nevada.  We pray in Your Son's Name.                                         Amen.

    Pledge of allegiance to the Flag.

    Assemblyman Lee moved that further reading of the Journal be dispensed with, and the Speaker and Chief Clerk be authorized to make the necessary corrections and additions.

    Motion carried.

REPORTS OF COMMITTEES

Mr. Speaker:

    Your Committee on Ways and Means, to which was referred Senate Joint Resolution No. 12 of the 69th Session, has had the same under consideration, and begs leave to report the same back with the recommendation: Do pass.

    Also, your Committee on Ways and Means, to which was re-referred Senate Bill No. 263, has had the same under consideration, and begs leave to report the same back with the recommendation: Do pass.

    Also, your Committee on Ways and Means, to which was referred Assembly Bill No. 360, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

    Also, your Committee on Ways and Means, to which were re-referred Assembly Bills Nos. 189, 373, 386; Senate Bill No. 149, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Morse Arberry Jr., Chairman

Mr. Speaker:

    Your Concurrent Committee on Ways and Means, to which was referred Senate Bill No. 404, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Morse Arberry Jr., Chairman

MESSAGES FROM THE Senate

Senate Chamber, Carson City, May 24, 1999

To the Honorable the Assembly:

    I have the honor to inform your honorable body that the Senate on this day passed Assembly Bills Nos. 103, 346; Senate Bills Nos. 443, 545; Assembly Joint Resolution No. 26.


    Also, I have the honor to inform your honorable body that the Senate on this day passed, as

amended, Senate Bills Nos. 184, 504.

                                      Mary Jo Mongelli

                        Assistant Secretary of the Senate

MOTIONS, RESOLUTIONS AND NOTICES

    By Assemblymen Bache and Giunchigliani; Senators O'Connell and Rhoads:

    Assembly Joint Resolution No. 27—Proposing to amend the Constitution of the State of Nevada to provide that the state controller is appointed by and serves at the pleasure of the governor.

    Resolved by the Assembly and Senate of the State of Nevada, Jointly, That section 19 of article 5 of the Constitution of the State of Nevada be amended to read as follows:

            Sec. 19.  1.  A secretary of state, a treasurer[, a controller,] and an attorney general, shall be elected at the same time and places, and in the same manner as the governor. The term of office of each shall be the same as is prescribed for the governor.

    2.  Any elector shall be eligible to any of these offices, but no person may be elected to any of them more than twice, or more than once if he has previously held the office by election or appointment.

    3.  The governor shall appoint a state controller. The state controller serves at the pleasure of the governor. The legislature may prescribe by law the qualifications and duties of the state controller. The state treasurer may submit recommendations for the appointment of the state controller to the governor.

And be it further

    Resolved, That if the legislature provides by law for a special election to be held throughout the State of Nevada on June 5, 2001, and if it is approved by the voters at the special election on June 5, 2001, the amendment made to section 19 of article 5 of the Constitution of the State of Nevada by this resolution becomes effective on June 28, 2001. Notwithstanding the amendatory provisions of this resolution, the term of office of the controller elected at the general election in 1998, expires on December 31, 2002, unless the person so elected vacates the office before December 31, 2002. If the person elected to the office of the controller at the general election in 1998, vacates the office before December 31, 2002, the governor shall, as soon as practicable, appoint a state controller.

    Assemblyman Bache moved that the resolution be referred to the Committee on Ways and Means.

    Motion carried.

    By Assemblymen Dini, Perkins and Hettrick:

    Assembly Resolution No. 9—Designating certain members of the Assembly as regular and alternate members of the Legislative Commission.

    Assemblyman Perkins moved the adoption of the resolution.

    Remarks by Assemblyman Perkins.

    Resolution adopted.

    Assembly Concurrent Resolution No. 15.

    Assemblyman Williams moved the adoption of the resolution.

    Remarks by Assemblyman Williams.

    Resolution adopted.


INTRODUCTION, FIRST READING AND REFERENCE

    By the Committee on Natural Resources, Agriculture, and Mining (emergency request of Dini):

    Assembly Bill No. 694—AN ACT relating to dairy products; revising provisions relating to the packaging for retail sale of fluid dairy products; authorizing the state sealer of weights and measures to adopt regulations relating to the size of containers used in such packaging; and providing other matters properly relating thereto.

    Assemblyman de Braga moved that the bill be referred to the Committee on Natural Resources, Agriculture, and Mining.

    Motion carried.

    Senate Bill No. 184.

    Assemblyman Perkins moved that the bill be referred to the Committee on Ways and Means.

    Motion carried.

    Senate Bill No. 443.

    Assemblyman Perkins moved that the bill be referred to the Committee on Ways and Means.

    Motion carried.

    Senate Bill No. 504.

    Assemblyman Perkins moved that the bill be referred to the Committee on Ways and Means.

    Motion carried.

    Senate Bill No. 545.

    Assemblyman Perkins moved that the bill be referred to the Committee on Ways and Means.

    Motion carried.

MOTIONS, RESOLUTIONS AND NOTICES

    Assemblyman Perkins moved that Assembly Bills Nos. 360, 386 and Senate Joint Resolution No. 12 of the 69th Session be placed on the Second Reading File.

    Motion carried.

SECOND READING AND AMENDMENT

    Assembly Bill No. 360.

    The following amendment was proposed by the Committee on Ways and Means:

    Amendment No. 1142.

    Amend section 1, page 1, by deleting lines 2 through 6 and inserting:

“fund to the State Public Works Board the sum of $150,000 for two feasibility studies regarding the construction of Hi-Tech Learning Centers in:

    (a) Lyon County at Yerington High School or Fernley High School; and

    (b) Douglas County.

    2.  On or before March 1, 2001, the State Public Works Board shall report the results of its studies to the Director of the Legislative Counsel”.

    Amend the title of the bill by deleting the first and second lines and inserting:

“AN ACT making an appropriation to the State Public Works Board for feasibility studies regarding the construction of Hi-Tech Learning Centers in Lyon County and in Douglas County,”.

    Amend the summary of the bill by deleting the first and second lines and inserting:

“SUMMARY—Makes appropriation to State Public Works Board for feasibility studies regarding construction of Hi-Tech Learning Centers in Lyon County and in Douglas County,”.

    Assemblyman Arberry moved the adoption of the amendment.

    Remarks by Assemblyman Arberry.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Assembly Bill No. 386.

    Bill read second time.

    The following amendment was proposed by the Committee on Ways and Means:

    Amendment No. 1147.

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

    “Section 1.  1.  The Department of Human Resources shall conduct a study of the methodology used in determining the amount and distribution of payments made to public and private hospitals pursuant to NRS 422.387. The study must review:

    (a) Whether the payments received by hospitals based on the volume of medical care provided to Medicaid patients, indigent patients and other low-income patients are equitable;

    (b) Whether it is feasible to redistribute payments to increase payments to hospitals located in rural counties;

    (c) Whether it is feasible to redistribute payments to provide payments to private hospitals located in counties that have a public hospital; and

    (d) Alternative sources of revenue that may be used to offset the cost of care provided to Medicaid patients, indigent patients and other low-income patients.

    2.  The Department shall seek to obtain relevant information from public and private hospitals as part of the study. Any such information obtained by the Department may be used only for the purpose of conducting the study.

    3.  The Department shall complete the study and submit a copy of its findings and recommendations on or before July 1, 2000, to the Governor, the Interim Finance Committee and the Legislative Committee on Health Care.”.

    Amend sec. 2, page 2, by deleting lines 8 through 10 and inserting:

“July 1, 1999, transfer from the intergovernmental transfer account in the general fund to the fund for the institutional care of the medically indigent created pursuant to NRS 428.470 the amount necessary to restore the amount in the fund for the institutional care of the medically indigent to $300,000.”.

    Amend the bill as a whole by renumbering sec. 3 as sec. 4 and adding a new section designated sec. 3, following sec. 2, to read as follows:

    “Sec. 3.  1.  Except as otherwise provided in subsection 2:

    (a) In a county whose population is more than 100,000 but less than 400,000, the state plan for Medicaid must allocate among any private hospitals that are qualified to receive a payment pursuant to NRS 422.387 and that are located in a county which does not have a public hospital or hospital district, $4,800,000 or the amount of the uncompensated costs of the hospitals as defined in the state plan for Medicaid, whichever is less, for the fiscal year 1999-2000 and for the fiscal year 2000-2001.

    (b) The state plan for Medicaid may allocate among any private hospitals that are qualified to receive a payment pursuant to NRS 422.387 and that are located in a county which does not have a public hospital or hospital district:

        (1) In a county whose population is more than 35,000 but less than 100,000, $2,000,000 or the amount of the uncompensated costs of the hospitals as defined in the state plan for Medicaid, whichever is less, for the fiscal year 1999-2000 and for the fiscal year 2000-2001.

        (2) In a county whose population is less than 35,000, $1,000,000 or the amount of the uncompensated costs of the hospitals as defined in the state plan for Medicaid, whichever is less, for the fiscal year 1999-2000 and for the fiscal year 2000-2001.

    (c) If a private hospital receives a payment pursuant to paragraph (a) or (b), the county within which the hospital is located shall transfer to the Department of Human Resources:

        (1) If the payment was received pursuant to paragraph (a), $1,550,000 for the fiscal year 1999-2000 and for the fiscal year 2000-2001.

        (2) If the payment was received pursuant to subparagraph (1) of paragraph (b), $1,500,000 or 75 percent of the amount received by the hospital, whichever is less, for the fiscal year 1999-2000 and for the fiscal year 2000-2001.

        (3) If the payment was received pursuant to subparagraph (2) of paragraph (b), $750,000 or 75 percent of the amount received by the hospital, whichever is less, for the fiscal year 1999-2000 and for the fiscal year 2000-2001.

    2.  If federal law changes the amount payable pursuant to paragraph (a) of subsection 2 of NRS 422.387:

    (a) The respective amounts required to be allocated and transferred pursuant to subsection 1 must be reduced proportionally in accordance with the limits of federal law.

    (b) The Administrator of the Division of Health Care Financing and Policy of the Department of Human Resources shall adopt a regulation specifying the amount of the reductions required by paragraph (a).”.

    Amend sec. 3, page 2, by deleting lines 18 through 20 and inserting:

    “Sec. 4.  This act becomes effective on July 1, 1999.”.

    Amend the title of the bill to read as follows:

“AN ACT relating to public welfare; requiring the Department of Human Resources to conduct a study of the methodology used in determining the amount of payments made to certain hospitals that treat Medicaid, indigent or other low-income patients; providing monetary assistance to restore a certain base amount in the fund for the institutional care of the medically indigent; providing for the allocation and transfer of certain funding for the treatment of Medicaid, indigent and other low-income patients; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

“SUMMARY—Makes various changes concerning financial matters affecting medical treatment provided to low-income persons in this state. (BDR S‑519)”.

    Assemblywoman Giunchigliani moved the adoption of the amendment.

    Remarks by Assemblywoman Giunchigliani.

    Amendment adopted.

    Bill ordered reprinted, engrossed and to third reading.

    Senate Joint Resolution No. 12 of 69th session.

    Resolution read second time and ordered to third reading.

MOTIONS, RESOLUTIONS AND NOTICES

    Assemblyman Perkins moved that Assembly Bill No. 189, 373; Senate Bills Nos. 149, 263 and 404 be placed at the top of the General File.

    Motion carried.

general file and third reading

    Assembly Bill No. 189.

    Bill read third time.

    The following amendment was proposed by the Committee on Ways and Means:

    Amendment No. 1146.

    Amend the bill as a whole by renumbering sections 1 through 4 as sections 2 through 5 and adding a new section designated section 1, following the enacting clause, to read as follows:

    “Section 1.  Chapter 286 of NRS is hereby amended by adding thereto a new section to read as follows:

    Except as otherwise required as a result of NRS 286.535 or 286.537:

    1.  A public employee on a leave of absence to serve in the Nevada legislature may remain a contributing member of the system during the leave of absence if retirement contributions to the system are paid by the legislator at the contribution rate otherwise applicable to him as a public employee during the period in which he is on the leave of absence to serve in the Nevada legislature.

    2.  When a public employee on a leave of absence to serve in the Nevada legislature continues to be a contributing member of the system pursuant to subsection 1, the employee shall pay the contributions required directly to the system. The system shall ensure that the employer of the public employee who is on a leave of absence to serve in the Nevada legislature provides to the system documentation of the period during which the employee is on the leave of absence. The public employer is not required to pay the employer contribution during the leave of absence.

    3.  A public employee on a leave of absence to serve in the Nevada legislature may elect to have the amount deducted pursuant to NRS 218.2387 paid to the system to partially offset the contributions that the employee is required to pay to remain a member of the system. If the public employee makes the election authorized pursuant to this subsection, he does not accrue any service credit for retirement under the legislators’ retirement system during the period during which his election pursuant to this subsection is effective.

    4.  For the purposes of this section, “compensation” shall be deemed to be the salary paid for the position from which the employee is on leave.”.

    Amend sec. 3, page 3, between lines 13 and 14, by inserting:

    “3.  In addition to the purchase authorized pursuant to the provisions of subsection 1, any member who:

    (a) Is a licensed teacher;

    (b) Has 5 years of creditable service;

    (c) Is, pursuant to statute, regulation or contract, entitled to payment for unused sick leave; and

    (d) Is employed by the board of trustees of a school district that has, pursuant to subsection 5 of NRS 391.180, provided for the payment of unused sick leave in the form of purchase of service,

may cause to be purchased on his behalf service credit, not to exceed the number of hours of unused sick leave or 1 year, whichever is less. The full actuarial cost of the service as determined by an actuary of the system must be paid for such a purchase. Any service credit purchased pursuant to this subsection must be included as a part of, and is not in addition to, service purchased pursuant to subsection 2.”.

    Amend sec. 3, page 3, line 14, by deleting “3.” and inserting “4.”.

    Amend the bill as a whole by renumbering sections 5 through 12 as sections 7 through 14 and adding a new section designated sec. 6, following sec. 4, to read as follows:

    “Sec. 6.  NRS 286.481 is hereby amended to read as follows:

    286.481 A member shall not be credited with service for:

    1.  [Leave]Except as otherwise provided in section 1 of this act, leave of absence without pay;

    2.  Overtime work;

    3.  Employment in a position which does not qualify him for participation in the system;

    4.  More than 1 day within a day, 1 month within a month, or 1 year of service in any 12‑month period; or

    5.  Any period for which compensation is not received by the member unless specifically otherwise provided in this chapter.”.

    Amend the bill as a whole by renumbering sections 13 through 15 as sections 19 through 21 and adding new sections designated sections 15 through 18, following sec. 12, to read as follows:

    “Sec. 15.  NRS 218.2379 is hereby amended to read as follows:

    218.2379 1.  Within a reasonable time after July 1, 1967, the board shall notify all incumbent legislators in writing concerning credit for service, other than legislative service, covered under the public employees’ retirement system. Unless the legislator requests in writing within 30 days after receipt of such written notice that his service, other than legislative service, be continued under the public employees’ retirement system, the board shall transfer from the public employees’ retirement fund all sums contributed by the legislator through service, other than legislative service, together with the sums contributed by his employer for such service. The service so transferred shall be accredited under the legislators’ retirement system as if performed in a legislative capacity. Service so transferred may be retransferred to the public employees’ retirement system, and the related contributions shall then be returned to the public employees’ retirement fund, at any time when the person ceases to be a legislator and reestablishes membership in the public employees’ retirement system.

    2.  Except as otherwise provided in section 1 of this act or for the transfer of service from the public employees’ retirement system to the legislators’ retirement system, as provided in this section, service after July 1, 1967, as a legislator cannot be accredited under the public employees’ retirement system and service in capacities covered by the public employees’ retirement system cannot be accredited under the legislators’ retirement system.

    3.  Nothing in NRS 218.2371 to 218.2395, inclusive, or in any other law prevents or prohibits coverage of a person under both the public employees’ retirement system and the legislators’ retirement system when service is compatible with the provisions of each system.

    4.  Legislators receiving retirement allowances from the public employees’ retirement system on July 1, 1967, are not eligible for transfer to the legislators’ retirement system.

    Sec. 16.  NRS 218.2381 is hereby amended to read as follows:

    218.2381 1.  Except as otherwise provided in section 1 of this act or required as a result of NRS 218.23815, each legislator shall be a member of the legislators’ retirement system and shall make contributions to the legislators’ retirement fund in the amounts and manner provided in NRS 218.2371 to 218.2395, inclusive.

    2.  Within 5 days after the commencement of each regular or special session of the legislature each legislator who has not previously filed a beneficiary designation form with the board shall file with the board, upon a form provided by the board, the designation of a beneficiary who is entitled to receive the contributions of the legislator in case of death before retirement or termination of services as a legislator and subsequent withdrawal of contributions. If no beneficiary is designated, payment must be made to the estate of the deceased legislator. Payment may be made directly to the designated beneficiary without probate or administration of the estate of the deceased legislator.

    3.  A beneficiary may be changed at any time by written notice given by a legislator to the board on a form prescribed by the board.

    Sec. 17.  NRS 218.2387 is hereby amended to read as follows:

    218.2387 [The]Except as otherwise provided in section 1 of this act, the director of the legislative counsel bureau shall:

    1.  Deduct from the compensation of each legislator an amount equal to 15 percent of the gross compensation earned as a legislator and transmit that amount to the board together with the necessary forms prescribed by the board at intervals designated by the board; and

    2.  Pay to the board from the legislative fund an amount as the contribution of the State of Nevada as employer which is actuarially determined to be sufficient to provide the system with enough money to pay all benefits for which the system will be liable.

    Sec. 18.  1.  In addition to the election authorized pursuant to section 1 of this act, a legislator who is also a member of the public employees’ retirement system may elect to waive any service credit that he has accrued for retirement under the legislators’ retirement system while on leave as a public employee and take that service credit as credit in the public employees’ retirement system.

    2.  A legislator who makes the election authorized pursuant to subsection 1 shall pay to the public employees’ retirement system the contributions applicable to the periods in which he was on a leave of absence as a public employee, plus interest accrued, for each period to be credited.

    3.  An election pursuant to subsection 1 must be made on or before December 31, 1999.”.

    Amend sec. 13, page 10, line 6, by deleting “2” and inserting “3”.

    Amend sec. 14, page 10, line 11, by deleting “8” and inserting “10”.

    Amend sec. 15, page 10, line 14, by deleting:

“2 and 4 to 14,” and inserting:

“2, 3 and 5 to 20,”.

    Amend sec. 15, page 10, line 16, by deleting “3” and inserting “4”.

    Amend the title of the bill, first line, after “system;” by inserting:

“authorizing legislators who are also public employees to obtain credit for retirement under the system for periods of service in the Nevada Legislature while on leave from public employment in certain circumstances;”.

    Assemblywoman Giunchigliani moved the adoption of the amendment.

    Remarks by Assemblywoman Giunchigliani.

    Amendment adopted.

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

    Assembly Bill No. 373.

    Bill read third time.

    The following amendment was proposed by the Committee on Ways and Means:

    Amendment No. 1130.

    Amend sec. 3, pages 1 and 2, by deleting line 13 on page 1 and lines 1 and 2 on page 2, and inserting:

residential facilities for groups;

    (b) Standards relating to the fees charged by such businesses;

    (c) Regulations governing the licensing of such businesses; and

    (d) Regulations establishing requirements for training the employees of such businesses.

    3.  A licensed nurse, social worker, physician or hospital, or a provider of geriatric care who is licensed as a nurse or social worker, may”.

    Amend sec. 3, page 2, line 4, after “section.” by inserting:

The board may, by regulation, authorize a public guardian or any other person it determines appropriate to provide referrals to residential facilities for groups through a business that is licensed pursuant to this section.”.

    Amend sec. 3, page 2, by deleting lines 9 through 11 and inserting:

    “(b) Refer a person to a residential facility for groups that is owned by the same person who owns the business.”.

    Amend sec. 3, page 2, line 14, after “offense of” by inserting:

not more than”.

    Amend sec. 3, page 2, line 23, by deleting:

3 and 5” and inserting:

2 and 4”.

    Amend sec. 4, page 2, by deleting lines 25 and 26 and inserting:

person who operates a residential facility for groups for abuse, neglect or isolation of the occupants of the”.

    Amend sec. 6, page 2, by deleting lines 38 through 40 and inserting:

“assistance and limited supervision to an aged, infirm, mentally retarded or handicapped person.”.

    Amend sec. 6, page 3, by deleting lines 5 and 6 and inserting:

    “(d)] (c) A facility funded by a division or program of the department of human resources [.] ;”.

    Amend sec. 7, page 3, line 15, by deleting “freestanding”.

    Amend sec. 8, page 4, by deleting line 26 and inserting:

    “7.  The board shall, if it determines necessary, adopt”.

    Amend sec. 8, page 4, line 28, by deleting “is” and inserting “are”.

    Amend sec. 9, page 5, line 9, after “offense of” by inserting:

not more than”.

    Amend sec. 10, page 5, line 33, after “the” by inserting “adoption of”.

    Amend sec. 10, page 5, line 34, by deleting “adopted.

    Amend sec. 10, page 5, by deleting lines 36 through 40 and inserting:

    “3.  The state health officer or his designee shall enter and inspect at least annually each building or the premises”.

    Amend the bill as a whole by adding a new section designated sec. 11.5, following sec. 11, to read as follows:

    “Sec. 11.5.  Section 1 of Assembly Bill No. 167 of this session is hereby amended to read as follows:

    Section 1. NRS 449.017 is hereby amended to read as follows:

    449.017 1.  Except as otherwise provided in subsection 2, “residential facility for groups” means an establishment that furnishes food, shelter, assistance and limited supervision to[:

    (a) Any]an aged, infirm, mentally retarded or handicapped person . [; or

    (b) Four or more females during pregnancy or after delivery.]

    2.  The term does not include:

    (a) An establishment which provides care only during the day;

    (b) A natural person who provides care for no more than two persons in his own home;

    (c) A natural person who provides care for one or more persons related to him within the third degree of consanguinity or affinity; or

    (d) A facility funded by [the welfare] a division or [the division of mental health and developmental services] program of the department of human resources.”.

    Amend sec. 13, page 7, by deleting lines 9 and 10 and inserting:

    “Sec. 13.  1.  This section and sections 1, 2, 4, 5 and 7 to 12, inclusive, of this act become effective on October 1, 1999.

    2.  Section 6 of this act becomes effective at 12:01 a.m. on October 1, 1999.

    3.  Section 3 of this act becomes effective upon passage and approval for the purpose of adopting standards and regulations, and on January 1, 2000, for all other purposes.”.

    Assemblywoman Giunchigliani moved the adoption of the amendment.

    Remarks by Assemblywoman Giunchigliani.

    Amendment adopted.

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

    Senate Bill No. 149.

    Bill read third time.

    The following amendment was proposed by the Committee on Ways and Means:

    Amendment No. 1141.

Amend the bill as a whole by deleting sections 1 through 6 and renumbering sections 7 through 9 as sections 1 through 3.

    Amend sec. 8, page 7, line 34, by deleting:

“of section 7”.

    Amend the title of the bill to read as follows:

“AN ACT relating to prisoners; making it unlawful for prisoners to commit certain acts involving human excrement or bodily fluid; requiring that prisoners who commit certain acts involving human excrement or bodily fluid be tested for communicable diseases; providing penalties; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

“SUMMARY—Makes commission of certain acts by prisoners unlawful. (BDR 16‑512)”.

    Assemblyman Arberry moved the adoption of the amendment.

    Remarks by Assemblyman Arberry.

    Amendment adopted.

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

    Senate Bill No. 263.

    Bill read third time.

    Remarks by Assemblywoman Giunchigliani.

    Roll call on Senate Bill No. 263:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 263 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 404.

    Bill read third time.

    The following amendment was proposed by the Committee on Ways and Means:

    Amendment No. 1143.

Amend the bill as a whole by adding a new section designated sec. 7, following sec. 6, to read as follows:

    “Sec. 7.  This act becomes effective upon passage and approval.”.

    Assemblyman Arberry moved the adoption of the amendment.

    Remarks by Assemblyman Arberry.

    Amendment adopted.

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

    Assembly Bill No. 224.

    Bill read third time.

    Remarks by Assemblywoman Giunchigliani.

    Roll call on Assembly Bill No. 224:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Assembly Bill No. 224 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 324.

    Bill read third time.

    Remarks by Assemblyman Marvel.

    Roll call on Assembly Bill No. 324:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Assembly Bill No. 324 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 480.

    Bill read third time.

    Remarks by Assemblyman de Braga.

    Roll call on Assembly Bill No. 480:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Assembly Bill No. 480 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 687.

    Bill read third time.

    Remarks by Assemblyman Parks.

    Roll call on Assembly Bill No. 687:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Assembly Bill No. 687 having received a constitutional majority, Mr. Speaker declared it passed.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 508.

    Bill read third time.

    Remarks by Assemblyman Arberry.

    Roll call on Senate Bill No. 508:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 508 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

UNFINISHED BUSINESS

Consideration of Senate Amendments

    Assembly Bill No. 14.

    The following Senate amendment was read:

    Amendment No. 821.

    Amend section 1, page 1, by deleting line 3 and inserting:

A pupil shall be deemed suspended from school”.

    Amend sec. 2, pages 1 and 2, by deleting line 13 on page 1 and lines 1 and 2 on page 2 and inserting:

shall deem a pupil enrolled in the school a habitual disciplinary”.

    Amend sec. 2, page 2, line 9, by deleting “property;” and inserting:

“property [;] , at an activity sponsored by a public school, on a school bus or, if the fight occurs within 1 hour of the beginning or end of a school day, on his way to or from school;”.

    Amend sec. 2, page 2, by deleting lines 12 and 13 and inserting:

    “2.  At least one teacher of a pupil who is enrolled in elementary school and at least two teachers of a pupil who is enrolled in junior high, middle school or high school may request that the principal of the school deem a pupil a habitual disciplinary problem. Upon such a request, the principal of the school shall meet with each teacher who made the request to review the pupil’s record of discipline. If, after the review, the principal of the school determines that the provisions of subsection 1 do not apply to the pupil, a teacher who submitted a request pursuant to this subsection may appeal that determination to the board of trustees of the school district. Upon receipt of such a request, the board of trustees shall review the initial request and determination pursuant to the procedure established by the board of trustees for such matters.

    3.  If a pupil is suspended for initiating a fight described in paragraph (b) of subsection 1 and the fight is the first such fight that the pupil has initiated”.

    Amend sec. 2, page 2, line 20, by deleting:

on school property”.

    Amend sec. 2, page 2, line 32, by deleting “3.” and inserting “4.”.

    Amend sec. 2, page 2, by deleting lines 38 and 39 and inserting:

    4.  If a pupil is suspended for initiating a fight described in paragraph (b) of subsection 1 and the fight is the first such fight that the pupil has initiated”.

    Amend sec. 2, page 3, by deleting line 1 and inserting:

the pupil, a plan of behavior for the pupil. Such a plan must be”.

    Amend sec. 2, page 3, by deleting line 11 and inserting:

to subsection 3 after he enters into a plan of behavior, the pupil shall”.

    Amend sec. 2, page 3, line 13, by deleting “4.” and inserting “5.”.

    Amend sec. 2, page 3, line 28, by deleting “5.” and inserting “6.”.

    Amend sec. 2, page 3, line 34, by deleting “5.” and inserting “6.”.

    Amend sec. 2, page 3, line 36, by deleting “contract” and inserting “plan”.

    Amend sec. 2, page 3, line 37, by deleting “contract” and inserting “plan”.

    Amend sec. 2, page 4, by deleting lines 4 through 6 and inserting:

If the pupil violates the conditions of the plan or commits the same act for which notice was provided pursuant to subsection 5 after he enters into a plan of behavior, the pupil shall be deemed a habitual”.

    Amend sec. 2, page 4, line 8, by deleting “6.” and inserting “7.”.

    Amend sec. 2, page 4, between lines 9 and 10 by inserting:

    8.  The parent or legal guardian of a pupil who has entered into a plan of behavior with a school pursuant to this section may appeal to the board of trustees of the school district a determination made by the school concerning the contents of the plan of behavior or action taken by the school pursuant to the plan of behavior. Upon receipt of such a request, the board of trustees of the school district shall review the determination in accordance with the procedure established by the board of trustees for such matters.”.

    Amend the title of the bill to read as follows:

“AN ACT relating to pupils; prescribing the conditions under which a pupil shall be deemed suspended from school; requiring schools to notify parents before pupils are deemed habitual disciplinary problems; authorizing schools, under certain circumstances, to develop plans of behavior designed to prevent pupils from being deemed habitual disciplinary problems; and providing other matters properly relating thereto.”.

    Amend the summary of the bill, first line, by deleting “contracts” and inserting “plans”.

    Assemblyman Collins moved that the Assembly concur in the Senate amendment to Assembly Bill No. 14.

    Remarks by Assemblyman Collins.

    Motion carried.

    Bill ordered enrolled.

REPORTS OF COMMITTEES

Mr. Speaker:

    Your Committee on Ways and Means, to which was re-referred Senate Bill No. 288, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Morse Arberry Jr., Chairman

MOTIONS, RESOLUTIONS AND NOTICES

    Assemblyman Perkins moved that Senate Bill No. 288 be placed on the General File.

    Motion carried.


UNFINISHED BUSINESS

Consideration of Senate Amendments

    Assembly Bill No. 152.

    The following Senate amendment was read:

    Amendment No. 820.

    Amend section 1, page 2, by deleting lines 7 through 9 and inserting:

institution or person offering only educational services or programs at the introductory level on the use of computer software to persons who have purchased that software from the institution or person.”.

    Assemblyman Collins moved that the Assembly concur in the Senate amendment to Assembly Bill No. 152.

    Remarks by Assemblyman Collins.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 429.

    The following Senate amendment was read:

    Amendment No. 1055.

    Amend sec. 7, page 3, line 22, by deleting “and” and inserting “and”.

    Amend sec. 7, page 3, line 23, by deleting “[and 422.580,]”.

    Amend sec. 22, page 11, line 41, by deleting “director” and inserting “administrator”.

    Amend sec. 22, page 12, line 20, by deleting “generally.” and inserting:

“generally[.] , except that members of the committee may receive any per diem allowance and travel expenses that may be authorized by the committee if the payment of the per diem allowance and travel expenses:

    (a) Is made from money received by the committee from a source other than the State of Nevada; and

    (b) Is not inconsistent with any condition attached to the acceptance of that money.”.

    Amend sec. 22, page 12, line 22, by deleting “director” and inserting “administrator”.

    Amend sec. 22, page 12, line 24, by deleting “director” and inserting “administrator”.

    Amend sec. 22, page 12, between lines 26 and 27, by inserting:

    “(d) Apply for grants.

    (e) Accept and expend any money made available to the committee by gift, grant, donation or bequest.”.

    Amend sec. 22, page 12, line 29, by deleting the semicolon and inserting:

“of the department;

    (b) Administrator;”.

    Amend sec. 22, page 12, line 30, by deleting “(b)” and inserting “(c)”.

    Amend sec. 22, page 12, line 31, by deleting “(c)” and inserting “(d)”.

    Amend sec. 22, page 12, by deleting line 33 and inserting:

    “(a) “Administrator” means the administrator of the rehabilitation division of the department.”.

    Amend the bill as a whole by renumbering sec. 38 as sec. 39 and adding a new section designated sec. 38, following sec. 37, to read as follows:

    “Sec. 38.  Section 2 of chapter 442, Statutes of Nevada 1997, at page 1559, is hereby amended to read as follows:

    Sec. 2.  1.  On or before October 1, [1999,] 2001, except as otherwise provided in subsection 3, in carrying out its duties regarding the administration of Medicaid, the welfare division of the department of human resources may enter into a contract for the provision of pharmaceutical services through managed care to recipients of Medicaid if the welfare division and the legislative committee on health care determine that such a contract:

    (a) Is cost effective;

    (b) Is the most convenient method of providing pharmaceutical services to the recipients of Medicaid; and

    (c) Includes access to pharmacies licensed in this state to the maximum extent possible.

    2.  If the welfare division enters into a contract pursuant to subsection 1, except for any limitations on coverage provided pursuant to 42 U.S.C. § 1396r-8(d)(2) or (6), the contract must provide for reimbursement for the dispensing of a drug to a recipient of Medicaid, without requiring any prior or retroactive approval, if the drug:

    (a) Has been approved or designated as safe and effective by the Food and Drug Administration; and

    (b) Is prescribed by a physician who determines that the drug is appropriate for the diagnosis or treatment of the recipient of Medicaid.

    3.  The provisions of this section do not apply to a contract that provides services only to recipients who are eligible to receive benefits pursuant to:

    (a) The program established to provide temporary assistance for needy families pursuant to Title IV of the Social Security Act , [(]42 U.S.C. §§ 601 et seq[.)] , and other provisions of that act relating to temporary assistance for needy families; or

    (b) The child health assurance program established pursuant to 42 U.S.C. § 1396a(a)(10)(A)(i)(IV), (VI) or (VII).”.

    Amend sec. 38, page 20, line 17, after “5.” by inserting:

Section 14.1 of this act expires by limitation on June 30, 1998.

    6.”.

    Amend the bill as a whole by renumbering sec. 39 as sec. 52 and adding new sections designated sections 40 through 51, following sec. 38, to read as follows:

    “Sec. 40.  Section 3 of Assembly Bill No. 249 of this session is hereby amended to read as follows:

    Sec. 3.  NRS 422.2935 is hereby amended to read as follows:

    422.2935 1.  Except as otherwise provided in this section[, the welfare division shall,] and to the extent it is not prohibited by federal law and when circumstances allow[:

    (a) Recover] , the welfare division shall recover benefits correctly paid for Medicaid from:

        [(1)] (a) The undivided estate of the person who received those benefits; and

        [(2)] (b) Any recipient of money or property from the undivided estate of the person who received those benefits.

    [(b) Recover from the recipient of Medicaid or the person who signed the application for Medicaid on behalf of the recipient an amount not to exceed the benefits incorrectly paid to the recipient if the person who signed the application:

        (1) Failed to report any required information to the welfare division which he knew at the time he signed the application; or

        (2) Failed within the period allowed by the welfare division to report any required information to the welfare division which he obtained after he filed the application.]

    2.  The welfare division shall not recover benefits pursuant to [paragraph (a) of] subsection 1, except from a person who is neither a surviving spouse nor a child, until after the death of the surviving spouse, if any, and only at a time when the person who received the benefits has no surviving child who is under 21 years of age or is blind or permanently and totally disabled.

    3.  Except as otherwise provided by federal law, if a transfer of real or personal property by a recipient of Medicaid is made for less than fair market value, the welfare division may pursue any remedy available pursuant to chapter 112 of NRS with respect to the transfer.

    4.  The amount of Medicaid paid to or on behalf of a person is a claim against the estate in any probate proceeding only at a time when there is no surviving spouse or surviving child who is under 21 years of age or is blind or permanently and totally disabled.

    5.  The state welfare administrator may elect not to file a claim against the estate of a recipient of Medicaid or his spouse if he determines that the filing of the claim will cause an undue hardship for the spouse or other survivors of the recipient. The administrator shall adopt regulations defining the circumstances that constitute an undue hardship.

    6.  Any recovery of money obtained pursuant to this section must be applied first to the cost of recovering the money. Any remaining money must be divided among the Federal Government, the department and the county in the proportion that the amount of assistance each contributed to the recipient bears to the total amount of the assistance contributed.

    7.  [An action to recover money owed to the department as a result of the payment of benefits for Medicaid must be commenced within 6 months after the cause of action accrues. A cause of action accrues after all of the following events have occurred:

    (a) The death of the recipient of Medicaid;

    (b) The death of the surviving spouse of the recipient of Medicaid;

    (c) The death of all children of the recipient of Medicaid who are blind or permanently and totally disabled as determined in accordance with 42 U.S.C. § 1382c; and

    (d) The arrival of all other children of the recipient of Medicaid at the age of 21 years.] Any recovery by the welfare division from the undivided estate of a recipient pursuant to this section must be paid in cash to the extent of:

    (a) The amount of Medicaid paid to or on behalf of the recipient after October 1, 1993; or

    (b) The value of the remaining assets in the undivided estate,

whichever is less.

    Sec. 41.  Section 4 of Assembly Bill No. 249 of this session is hereby amended to read as follows:

    Sec. 4.  NRS 422.29355 is hereby amended to read as follows:

    422.29355 1.  The welfare division may, to the extent not prohibited by federal law, petition for the imposition of a lien pursuant to the provisions of NRS 108.850 against real or personal property of a recipient of Medicaid as follows:

    (a) The welfare division may obtain a lien against a recipient’s property, both real or personal, before or after his death in the amount of assistance paid or to be paid on his behalf if the court determines that assistance was incorrectly paid for the recipient.

    (b) The welfare division may seek a lien against the real property of a recipient at any age before his death in the amount of assistance paid or to be paid for him if he is an inpatient in a nursing facility, intermediate care facility for the mentally retarded or other medical institution and the welfare division determines, after notice and opportunity for a hearing in accordance with its regulations, that he cannot reasonably be expected to be discharged and return home.

    2.  No lien may be placed on a recipient’s home pursuant to paragraph (b) of subsection 1 for assistance correctly paid if:

    (a) His spouse;

    (b) His child who is under 21 years of age or blind or permanently and totally disabled as determined in accordance with 42 U.S.C. § 1382c; or

    (c) His brother or sister who is an owner or part owner of the home and who was residing in the home for at least 1 year immediately before the date the recipient was admitted to the medical institution,

is lawfully residing in the home.

    3.  Upon the death of a recipient the welfare division may seek a lien upon his undivided estate as defined in NRS 422.054.

    4.  The state welfare administrator shall release a lien pursuant to this section:

    (a) Upon notice by the recipient or his representative to the administrator that the recipient has been discharged from the medical institution and has returned home;

    (b) If the lien was incorrectly determined; or

    (c) Upon satisfaction of the claim of the welfare division.

    Sec. 42.  Assembly Bill No. 305 of this session is hereby amended by deleting sec. 33 and adding:

    Sec. 33.  (Deleted by amendment.)

    Sec. 43.  Assembly Bill No. 305 of this session is hereby amended by deleting sec. 37 and adding:

    Sec. 37.  (Deleted by amendment.)

    Sec. 44.  Section 45 of Assembly Bill No. 305 of this session is hereby amended to read as follows:

    Sec. 45.  [1.  This section and sections 1 to 32, inclusive, 34, 35, 36, 38 to 44, inclusive, and 46 of this act become] This act becomes effective upon passage and approval.

    [2.  Sections 33 and 37 of this act become effective at 12:01 a.m. on July 1, 1999.

    3.  Sections 32 and 36 of this act expire by limitation on July 1, 1999.]

    Sec. 45.  Section 2 of Assembly Bill No. 483 of this session is hereby amended to read as follows:

    Sec. 2.  NRS 441A.220 is hereby amended to read as follows:

    441A.220 All information of a personal nature about any person provided by any other person reporting a case or suspected case of a communicable disease, or by any person who has a communicable disease, or as determined by investigation of the health authority, is confidential medical information and must not be disclosed to any person under any circumstances, including pursuant to any subpoena, search warrant or discovery proceeding, except as follows:

    1.  For statistical purposes, provided that the identity of the person is not discernible from the information disclosed.

    2.  In a prosecution for a violation of this chapter.

    3.  In a proceeding for an injunction brought pursuant to this chapter.

    4.  In reporting the actual or suspected abuse or neglect of a child or elderly person.

    5.  To any person who has a medical need to know the information for his own protection or for the well-being of a patient or dependent person, as determined by the health authority in accordance with regulations of the board.

    6.  If the person who is the subject of the information consents in writing to the disclosure.

    7.  Pursuant to subsection 2 of NRS 441A.320[.] or section 3 of this act.

    8.  If the disclosure is made to the department of human resources and the person about whom the disclosure is made has been diagnosed as having acquired immunodeficiency syndrome or an illness related to the human immunodeficiency virus and is a recipient of or an applicant for Medicaid.

    9.  To a fireman, police officer or person providing emergency medical services if the board has determined that the information relates to a communicable disease significantly related to that occupation. The information must be disclosed in the manner prescribed by the board.

    10.  If the disclosure is authorized or required by specific statute.

    Sec. 46.  Section 1 of Assembly Bill No. 649 of this session is hereby amended to read as follows:

    Section 1.  NRS 200.5093 is hereby amended to read as follows:

    200.5093 1.  A person required to make a report pursuant to this section shall make the report immediately, but in no event later than 24 hours after there is reason to believe that an older person has been abused, neglected, exploited or isolated. The report must be made to:

    (a) The local office of the aging services division of the department of human resources;

    (b) A police department or sheriff’s office;

    (c) The county’s office for protective services, if one exists in the county where the suspected action occurred; or

    (d) A toll-free telephone service designated by the aging services division of the department of human resources.

If the report of abuse, neglect, exploitation or isolation of an older person involves an act or omission of the aging services division, another division of the department of human resources or a law enforcement agency, the report must be made to an agency other than the one alleged to have committed the act or omission. Each agency, after reducing the report to writing, shall forward a copy of the report to the aging services division of the department of human resources.

    2.  Reports must be made by the following persons who, in their professional or occupational capacities, know or have reason to believe that an older person is being or has been abused, neglected, exploited or isolated:

    (a) Every physician, dentist, dental hygienist, chiropractor, optometrist, podiatric physician, medical examiner, resident, intern, professional or practical nurse, physician’s assistant, psychiatrist, psychologist, marriage and family therapist, alcohol or drug abuse counselor, driver of an ambulance, advanced emergency medical technician or other person providing medical services licensed or certified to practice in this state, who examines, attends or treats an older person who appears to have been abused, neglected, exploited or isolated.

    (b) Any personnel of a hospital or similar institution engaged in the admission, examination, care or treatment of persons or an administrator, manager or other person in charge of a hospital or similar institution upon notification of the suspected abuse, neglect, exploitation or isolation of an older person by a member of the staff of the hospital.

    (c) A coroner.

    (d) Every clergyman, practitioner of Christian Science or religious healer, unless he acquired the knowledge of abuse, neglect, exploitation or isolation of the older person from the offender during a confession.

    (e) Every person who maintains or is employed by an agency to provide nursing in the home.

    (f) Every attorney, unless he has acquired the knowledge of abuse, neglect, exploitation or isolation of the older person from a client who has been or may be accused of such abuse, neglect, exploitation or isolation.

    (g) Any employee of the department of human resources.

    (h) Any employee of a law enforcement agency or a county’s office for protective services or an adult or juvenile probation officer.

    (i) Any person who maintains or is employed by a facility or establishment that provides care for older persons.

    (j) Any person who maintains, is employed by or serves as a volunteer for an agency or service which advises persons regarding the abuse, neglect, exploitation or isolation of an older person and refers them to persons and agencies where their requests and needs can be met.

    (k) Every social worker.

    (l) Any person who owns or is employed by a funeral home or mortuary.

    3.  A report may be filed by any other person.

    4.  A person required to make a report pursuant to this section who has reasonable cause to believe that an older person has died as a result of abuse, neglect or isolation shall report this belief to the appropriate medical examiner or coroner, who shall investigate the cause of death of the older person and submit to the appropriate local law enforcement agencies, the appropriate prosecuting attorney and the aging services division of the department of human resources his written findings. The written findings must include the information required pursuant to the provisions of NRS 200.5094, when possible.

    5.  A division, office or department which receives a report pursuant to this section shall cause the investigation of the report to commence within 3 working days. A copy of the final report of the investigation conducted by a division, office or department, other than the aging services division of the department of human resources, must be forwarded to the aging services division within 90 days after the completion of the report.

    6.  If the investigation of the report results in the belief that the older person is abused, neglected, exploited or isolated, the aging services division of the department of human resources or the county’s office for protective services may provide protective services to the older person if he is able and willing to accept them.

    7.  A person who knowingly and willfully violates any of the provisions of this section is guilty of a misdemeanor.

    Sec. 47.  Section 2 of Assembly Bill No. 649 of this session is hereby amended to read as follows:

    Sec. 2.  NRS 200.50984 is hereby amended to read as follows:

    200.50984 1.  Notwithstanding any other statute to the contrary, the local office of the aging services division of the department of human resources and a county’s office for protective services, if one exists in the county where a violation is alleged to have occurred, may for the purpose of investigating an alleged violation of NRS 200.5091 to 200.50995, inclusive, inspect all records pertaining to the older person on whose behalf the investigation is being conducted, including, but not limited to, that person’s medical and financial records.

    2.  Except as otherwise provided in this subsection, if a guardian has not been appointed for the older person, the [department of human resources] aging services division or the county’s office for protective services shall obtain the consent of the older person before inspecting those records. If the [department of human resources] aging services division or the county’s office for protective services determines that the older person is unable to consent to the inspection, the inspection may be conducted without his consent. Except as otherwise provided in this subsection, if a guardian has been appointed for the older person, the [department of human resources] aging services division or the county’s office for protective services shall obtain the consent of the guardian before inspecting those records. If the [department of human resources] aging services division or the county’s office for protective services has reason to believe that the guardian is abusing, neglecting, exploiting or isolating the older person, the inspection may be conducted without the consent of the guardian, except that if the records to be inspected are in the personal possession of the guardian, the inspection must be approved by a court of competent jurisdiction.

    Sec. 48.  Section 3 of Assembly Bill No. 649 of this session is hereby amended to read as follows:

    Sec. 3.  NRS 200.50986 is hereby amended to read as follows:

    200.50986 The local office of the aging services division of the department of human resources or the county’s office for protective services may petition a court in accordance with NRS 159.185 or 159.1905 for the removal of the guardian of an older person, or the termination or modification of that guardianship, if, based on its investigation, the [department of human resources] aging services division or the county’s office of protective services has reason to believe that the guardian is abusing, neglecting, exploiting or isolating the older person in violation of NRS 200.5095 to 200.50995, inclusive.

    Sec. 49.  Section 4 of Assembly Bill No. 649 of this session is hereby amended to read as follows:

    Sec. 4.  This act becomes effective on July 1, 1999.

    Sec. 50.  Section 1 of Senate Bill No. 398 of this session is hereby amended to read as follows:

    Section 1.  NRS 422.245 is hereby amended to read as follows:

    422.245 Any federal money allotted to the State of Nevada for public assistance programs and other programs for which the welfare division or the division of health care financing and policy is responsible and such other money as may be received by the state for such purposes must , except as otherwise provided in section 2 of this act, be deposited in the appropriate accounts of the welfare division or the division of health care financing and policy in the state general fund.

    Sec. 51.  Section 4 of Senate Bill No. 398 of this session is hereby amended to read as follows:

    Sec. 4.  This act becomes effective on July 1, 1999.”.

    Assemblywoman Freeman moved that the Assembly concur in the Senate amendment to Assembly Bill No. 429.

    Remarks by Assemblywoman Freeman.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 504.

    The following Senate amendment was read:

    Amendment No. 1089.

    Amend the bill as a whole by adding a new section designated sec. 6, following sec. 5, to read as follows:

    “Sec. 6.  The amendatory provisions of this act expire by limitation on October 1, 2029.”.

    Assemblyman Goldwater moved that the Assembly concur in the Senate amendment to Assembly Bill No. 504.

    Remarks by Assemblyman Goldwater.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 669.

    The following Senate amendment was read:

    Amendment No. 896.

    Amend the bill as a whole by renumbering sec. 7 as sec. 8 and adding a new section designated sec. 7, following sec. 6, to read as follows:

    “Sec. 7.  The amendatory provisions of section 5 of this act do not apply to any taxes levied pursuant to NRS 463.401 on any amounts paid before the effective date of this act.”.

    Amend the summary of the bill by deleting:

“casino entertainment tax.” and inserting “gaming.”.

    Assemblyman Goldwater moved that the Assembly concur in the Senate amendment to Assembly Bill No. 669.

    Remarks by Assemblyman Goldwater.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 527.

    The following Senate amendment was read:

    Amendment No. 1103

Amend sec. 2, page 2, line 20, by deleting “$32,500,000” and inserting “$67,500,000”.

    Amend sec. 2, page 2, by deleting line 21 and inserting:

“Nevada, Las Vegas [;] , $35,000,000 of which may be used for the construction, other acquisition and improvement of a dental school and other structures and clinics associated with the dental school.”.

    Amend the bill as a whole by renumbering sec. 3 as sec. 5 and adding new sections designated sections 3 and 4, following sec. 2, to read as follows:

    “Sec. 3.  1.  The board of regents of the University of Nevada may, on behalf and in the name of the university, finance the construction, other acquisition and improvement of a dental school and other structures and clinics associated with the dental school at the University of Nevada, Las Vegas, by the issuance of bonds and other securities of the university in a total principal amount not exceeding $35,000,000. The bonds and other securities may be issued at one time or from time to time, within 5 years after the effective date of this act and, except as otherwise provided in this section, must be issued in accordance with the provisions of the University Securities Law. The total principal amount of any bonds issued pursuant to this section and pursuant to chapter 501, Statutes of Nevada 1991, as amended, for this purpose must not exceed $35,000,000.

    2.  The bonds or other securities issued pursuant to subsection 1 must be secured by a pledge of the revenues derived from or otherwise pertaining to the imposition and collection of fees for dental services provided at a facility for the University of Nevada, Las Vegas.

    3.  The provisions of this section do not limit the board in funding, refunding or reissuing any securities of the university or the board at any time as provided in the University Securities Law.

    4.  Any bonds or other securities issued pursuant to this section must not be considered to be obligations general, special, or otherwise of the state, or to be securities of debt of the state, and are not enforceable against the state.

    Sec. 4.  NRS 396.828 is hereby amended to read as follows:

    396.828 “Pledged revenues” means the money pledged wholly or in part for the payment of bonds or other securities issued hereunder, and, subject to any existing pledges or other contractual limitations, may include at the board’s discretion, all loans, grants or contributions to the university or board, if any, conditional or unconditional, from the Federal Government, the state, any public body or other donor for the payment of the principal of, the interest on, and any prior redemption premiums due in connection with any securities issued hereunder, or any combination thereof, and may include income or money derived from one, all or any combination of the following sources of revenue, including , without limitation , student fees and other fees, rates and charges appertaining thereto:

    1.  Dormitories, apartments and other facilities for housing;

    2.  Cafeterias, dining halls and other facilities for food service;

    3.  Student union and other facilities for student activities;

    4.  Store or other facilities for the sale or lease of books, stationery, student supplies, faculty supplies, office supplies and like material;

    5.  Stadium, arena, theater, fieldhouse and other athletic or recreational facilities for use in part by spectators or otherwise;

    6.  Land and any structures, other facilities, or other improvements thereon used or available for use for the parking of vehicles used for the transportation by land or air of persons to or from such land and any improvements thereon;

    7.  Properties for providing heat or any other utility furnished by the university or the board to any facilities on its campus;

    8.  Investments and reinvestments of unrestricted endowments; [and]

    9.  Any revenue derived from or otherwise pertaining to the imposition and collection of fees for dental services provided at a facility of the university; and

    10.  Facilities of the desert research institute, including , without limitation , money from:

    (a) Grants to the desert research institute by any person or the Federal Government;

    (b) Contracts and leases between the desert research institute and any person or governmental entity;

    (c) The investment of any money of the desert research institute; and

    (d) Any other revenue received by the desert research institute, or by the board on behalf of the desert research institute pursuant to NRS 396.795 to 396.7956, inclusive.”.

    Amend the title of the bill, sixth line, after “issued;” by inserting:

“authorizing the issuance of bonds for the construction of a dental school; including any revenue derived from dental services provided at a facility of the system within the definition of “pledged revenues” for the purposes of the University Securities Law;”.

    Assemblyman Goldwater moved that the Assembly do not concur in the Senate amendment to Assembly Bill No. 527.

    Remarks by Assemblyman Goldwater.

    Motion carried.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 200.

    The following Senate amendment was read:

    Amendment No. 1027.

    Amend the bill as a whole by renumbering sections 1 through 8 as sections 2 through 9 and adding a new section designated section 1, following the enacting clause, to read as follows:

    “Section 1.  NRS 293.481 is hereby amended to read as follows:

    293.481 1.  Except as otherwise provided in subsection 2[,] or section 5 or 6 of this act, every governing body of a political subdivision, public or quasi-public corporation, or other local agency authorized by law to submit questions to the qualified electors or registered voters of a designated territory, when the governing body decides to submit a question:

    (a) At a general election, shall provide a copy of the question, including an explanation of and arguments for and against the question, to each county clerk within the designated territory on or before the third Monday in July preceding the election.

    (b) At a primary election, shall provide a copy of the question, including an explanation of and arguments for and against the question, to each county clerk within the designated territory on or before the third Monday in May preceding the election.

    (c) At any election other than a primary or general election at which the county clerk gives notice of the election or otherwise performs duties in connection therewith other than the registration of electors and the making of records of registered voters available for the election, shall provide a copy of the question, including an explanation of and arguments for and against the question, to each county clerk at least 60 days before the election.

    (d) At any city election at which the city clerk gives notice of the election or otherwise performs duties in connection therewith, shall provide a copy of the question, including an explanation of and arguments for and against the question, to the city clerk at least 60 days before the election.

    2.  The requirements of subsection 1 do not apply to any question expressly privileged or required pursuant to the provisions of article 19 of the constitution of the State of Nevada or pursuant to the provisions of chapter 295 of NRS or any other statute to be submitted if proposed after the dates specified.

    3.  A county or city clerk may charge any political subdivision, public or quasi-public corporation or other local agency which submits a question a reasonable fee sufficient to pay for the increased costs incurred in including the question, explanation and arguments on the ballot.”.

    Amend section 1, page 1, line 6, by deleting “Sets” and inserting:

[Sets] Except as otherwise provided in section 5 or 6 of this act, sets”.

    Amend section 1, page 2, by deleting lines 6 through 8.

    Amend sec. 2, page 2, line 19, by deleting:

4 or 5” and inserting:

5 or 6”.

    Amend sec. 3, page 3, line 2, by deleting:

“4 and 5” and inserting:

“5 and 6”.

    Amend sec. 4, page 3, by deleting lines 6 through 13 and inserting:

293.482, 295.115 or 295.160, the board shall, in consultation with the county clerk, pursuant to subsection 2, appoint a committee of six persons, three of whom are known to favor approval by the voters of the initiative, referendum or other question and three of whom are known to oppose approval by the voters of the initiative, referendum or other question. A person may serve on more than one committee. Members of the committee serve without compensation. The term of office for each member commences upon appointment and expires upon the publication of the sample ballot containing the initiative, referendum or other question.

    2.  Before the board appoints a committee pursuant to subsection 1, the county clerk shall:

    (a) Recommend to the board persons to be appointed to the committee; and

    (b) Consider recommending pursuant to paragraph (a):

        (1) Any person who has expressed an interest in serving on the committee; and

        (2) A person who is a member of an organization that has expressed an interest in having a member of the organization serve on the committee.”.

    Amend sec. 4, page 3, line 14, by deleting “2.” and inserting “3.”.

    Amend sec. 4, page 3, line 15, by deleting “each” and inserting “a”.

    Amend sec. 4, page 3, by deleting lines 17 through 43 and inserting:

    “4.  A committee appointed pursuant to this section:

    (a) Shall elect a chairman for the committee;

    (b) Shall meet and conduct its affairs as necessary to fulfill the requirements of this section;

    (c) May seek and consider comments from the general public;

    (d) Shall prepare an argument advocating approval by the voters of the initiative, referendum or other question, and prepare a rebuttal to that argument;

    (e) Shall prepare an argument opposing approval by the voters of the initiative, referendum or other question, and prepare a rebuttal to that argument; and

    (f) Shall submit the arguments and rebuttals prepared pursuant to paragraphs (d) and (e) to the county clerk not later than the date prescribed by the county clerk pursuant to subsection 5.

    5.  The county clerk of a county whose population is 50,000 or more shall provide, by rule or regulation:

    (a) The maximum permissible length of an argument or rebuttal prepared pursuant to this section; and

    (b) The date by which an argument or rebuttal prepared pursuant to this section must be submitted by the committee to the county clerk.

    6.  Upon receipt of an argument or rebuttal prepared pursuant to this section, the county clerk shall reject each statement in the argument or rebuttal that he believes is libelous or factually inaccurate. Not later than 5 days after the county clerk rejects a statement pursuant to this subsection, the committee may appeal that rejection to the district attorney. The district attorney shall review the statement and the reasons for its rejection and may receive evidence, documentary or testimonial, to aid him in his decision. Not later than 3 business days after the appeal by the committee, the district attorney shall issue his decision rejecting or accepting the statement. The decision of the district attorney is a final decision for the purposes of judicial review.

    7.  The county clerk shall place in the sample ballot provided to the registered voters of the county each argument and rebuttal prepared pursuant to this section, containing all statements that were not rejected pursuant to subsection 6. The county clerk may revise the language submitted by the committee so that it is clear, concise and suitable for incorporation in the sample ballot, but shall not alter the meaning or effect without the consent of the committee.

    8.  In a county whose population is less than 50,000:

    (a) The board may appoint a committee pursuant to subsection 1.

    (b) If the board appoints a committee, the county clerk shall provide for rules or regulations pursuant to subsection 5.”.

    Amend sec. 5, page 4, by deleting lines 4 through 11 and inserting:

295.215, the council shall, in consultation with the city clerk, pursuant to subsection 2, appoint a committee of six persons, three of whom are known to favor approval by the voters of the initiative, referendum or other question and three of whom are known to oppose approval by the voters of the initiative, referendum or other question. A person may serve on more than one committee. Members of the committee serve without compensation. The term of office for each member commences upon appointment and expires upon the publication of the sample ballot containing the initiative, referendum or other question.

    2.  Before the council appoints a committee pursuant to subsection 1, the city clerk shall:

    (a) Recommend to the council persons to be appointed to the committee; and

    (b) Consider recommending pursuant to paragraph (a):

        (1) Any person who has expressed an interest in serving on the committee; and

        (2) A person who is a member of an organization that has expressed an interest in having a member of the organization serve on the committee.”.

    Amend sec. 5, page 4, line 12, by deleting “2.” and inserting “3.”.

    Amend sec. 5, page 4, line 13, by deleting “each” and inserting “a”.

    Amend sec. 5, page 4, by deleting lines 15 through 41 and inserting:

    “4.  A committee appointed pursuant to this section:

    (a) Shall elect a chairman for the committee;

    (b) Shall meet and conduct its affairs as necessary to fulfill the requirements of this section;

    (c) May seek and consider comments from the general public;

    (d) Shall prepare an argument advocating approval by the voters of the initiative, referendum or other question, and prepare a rebuttal to that argument;

    (e) Shall prepare an argument opposing approval by the voters of the initiative, referendum or other question, and prepare a rebuttal to that argument; and

    (f) Shall submit the arguments and rebuttals prepared pursuant to paragraphs (d) and (e) to the city clerk not later than the date prescribed by the city clerk pursuant to subsection 5.

    5.  The city clerk of a city whose population is 50,000 or more shall provide, by rule or regulation:

    (a) The maximum permissible length of an argument or rebuttal prepared pursuant to this section; and

    (b) The date by which an argument or rebuttal prepared pursuant to this section must be submitted by the committee to the city clerk.

    6.  Upon receipt of an argument or rebuttal prepared pursuant to this section, the city clerk shall reject each statement in the argument or rebuttal that he believes is libelous or factually inaccurate. Not later than 5 days after the city clerk rejects a statement pursuant to this subsection, the committee may appeal that rejection to the city attorney. The city attorney shall review the statement and the reasons for its rejection and may receive evidence, documentary or testimonial, to aid him in his decision. Not later than 3 business days after the appeal by the committee, the city attorney shall issue his decision rejecting or accepting the statement. The decision of the city attorney is a final decision for the purposes of judicial review.

    7.  The city clerk shall place in the sample ballot provided to the registered voters of the city each argument and rebuttal prepared pursuant to this section, containing all statements that were not rejected pursuant to subsection 6. The city clerk may revise the language submitted by the committee so that it is clear, concise and suitable for incorporation in the sample ballot, but shall not alter the meaning or effect without the consent of the committee.

    8.  In a city whose population is less than 50,000:

    (a) The council may appoint a committee pursuant to subsection 1.

    (b) If the council appoints a committee, the city clerk shall provide for rules or regulations pursuant to subsection 5.”.

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

    Amend sec. 7, page 5, line 6, by deleting “5” and inserting “6”.

    Assemblywoman Giunchigliani moved that the Assembly concur in the Senate amendment to Assembly Bill No. 200.

    Remarks by Assemblywoman Giunchigliani.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 614.

    The following Senate amendment was read:

    Amendment No. 965.

    Amend sec. 3, page 2, line 34, by deleting “state;” and inserting:

state, which must, in 14-point type or larger:

        (1) Identify the person who is mailing the form;

        (2) Include a notice stating, “This is a request for an absent ballot.”; and

        (3) State that by returning the form the form will be submitted to the county clerk;”.

    Amend sec. 26, page 20, line 31, by deleting “state;” and inserting:

state, which must, in 14-point type or larger:

        (1) Identify the person who is mailing the form;

        (2) Include a notice stating, “This is a request for an absent ballot.”; and

        (3) State that by returning the form the form will be submitted to the city clerk;”.  Amend sec. 27, page 21, line 1, by deleting “40” and inserting “70”.

    Amend sec. 27, page 21, line 2, by deleting “30th” and inserting “60th”.

    Assemblywoman Giunchigliani moved that the Assembly concur in the Senate amendment to Assembly Bill No. 614.

    Remarks by Assemblywoman Giunchigliani.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 631.

    The following Senate amendment was read:

    Amendment No. 913.

    Amend sec. 3, page 2, by deleting lines 19 through 24 and inserting:

    “Sec. 3. 1.  Each:

    (a) Incumbent assemblyman may request the drafting of not more than 4 legislative measures submitted to the legislative counsel before September 1 preceding the commencement of a regular session of the legislature and not more than 4 legislative measures submitted to the legislative counsel on or after September 1 but on or before December 15 preceding the commencement of a regular session of the legislature.

    (b) Incumbent senator may request the drafting of not more than 8 legislative measures submitted to the legislative counsel before September 1 preceding the commencement of a regular session of the legislature and not more than 8 legislative measures submitted to the legislative counsel on or after September 1 but on or before December 15 preceding the commencement of a regular session of the legislature.

    (c) Newly elected assemblyman may request the drafting of not more than 4 legislative measures submitted to the legislative counsel on or before December 15 preceding the commencement of a regular session of the legislature.

    (d) Newly elected senator may request the drafting of not more than 8 legislative measures submitted to the legislative counsel on or before December 15 preceding the commencement of a regular session of the legislature.”.

    Amend sec. 6, page 4, lines 6 and 7, by deleting:

the commencement of a regular legislative session not more than 250” and inserting:

September 1 preceding a regular legislative session not more than 125”.

    Amend sec. 6, page 4, line 10, by deleting:

NRS 218.245, except that the” and inserting:

NRS 218.245.

    2.   The”.

    Amend sec. 6, page 4, line 11, by deleting “first” and inserting “19th”.

    Amend sec. 6, page 4, line 15, by deleting “2.” and inserting “3.”.

    Amend sec. 6, page 4, lines 16 and 17, by deleting:

the commencement of” and inserting:

September 1 preceding”.

    Amend sec. 6, page 4, line 20, by deleting “15” and inserting “8”.

    Amend sec. 6, page 4, line 23, by deleting “35” and inserting “25”.

    Amend sec. 6, page 4, line 25, by deleting “3.” and inserting “4.”.

    Amend sec. 6, page 4, lines 27 and 28, by deleting:

the commencement of” and inserting:

September 1 preceding”.

    Amend the bill as a whole by renumbering sections 18 through 51 as sections 20 through 53 and adding new sections designated sections 18 and 19, following sec. 17, to read as follows:

    “Sec. 18.  NRS 218.2413 is hereby amended to read as follows:

    218.2413 1.  Except as otherwise provided in subsections 3, 4 and 5, each board of county commissioners, board of trustees of a school district and city council may request the legislative counsel and the legal division of the legislative counsel bureau to prepare any legislative measure which has been approved by the governing body of the county, school district or city at a public hearing before its submission to the legislative counsel bureau.

    2.  The legislative counsel shall notify the requesting county, school district or city if its request substantially duplicates a request previously submitted by another county, school district or city.

    3.  The board of county commissioners of a county whose population:

    (a) Is 400,000 or more shall not request the preparation of more than [33] 15 legislative measures pursuant to subsection 1 for a regular legislative session. At least [three] one of the measures must be recommended by a metropolitan police department that is located within the county.

    (b) Is 100,000 or more but less than 400,000 shall not request the preparation of more than [25] 10 legislative measures pursuant to subsection 1 for a regular legislative session.

    (c) Is less than 100,000 shall not request the preparation of more than [5] 2 legislative measures pursuant to subsection 1 for a regular legislative session.

    4.  The board of trustees of a school district in a county whose population:

    (a) Is 400,000 or more shall not request the preparation of more than 5 legislative measures pursuant to subsection 1 for a regular legislative session.

    (b) Is 100,000 or more but less than 400,000 shall not request the preparation of more than [3] 2 legislative measures pursuant to subsection 1 for a regular legislative session.

    (c) Is less than 100,000 shall not request the preparation of more than 1 legislative measure pursuant to subsection 1 for a regular legislative session.

    5.  The city council of a city whose population:

    (a) Is 100,000 or more shall not request the preparation of more than [10] 4 legislative measures pursuant to subsection 1 for a regular legislative session.

    (b) Is less than 100,000 shall not request the preparation of more than [5legislative measures] 1 legislative measure pursuant to subsection 1 for a regular legislative session.

    6.  As used in this section, “population” means the current population estimate for that city or county as determined and published by the department of taxation and the demographer employed pursuant to NRS 360.283.

    Sec. 19.  NRS 218.2415 is hereby amended to read as follows:

    218.2415 1.  An association of elected officials may directly request the legislative counsel and the legal division of the legislative counsel bureau to prepare no more than 5 legislative measures for a regular legislative session.

    2.  An association of counties or cities may directly request the legislative counsel and the legal division of the legislative counsel bureau to prepare no more than [10] 20 legislative measures for a regular legislative session.”.

    Amend sec. 19, page 13, by deleting lines 37 through 39 and inserting:

[upon the request of a member of the legislature or the personal written request of the governor.] as authorized by statute or joint rule of the legislature.”.

    Amend sec. 19, page 14, line 3, by deleting “1.” and inserting:

“1 [.] of this section and subsection 1, 3 or 4 of section 6 of this act.”.

    Amend sec. 20, page 14, line 13, by deleting “20” and inserting “16”.

    Amend sec. 20, page 14, line 14, by deleting “5” and inserting “4”.

    Amend sec. 44, page 24, line 22, by deleting “30th” and inserting “final”.

    Amend sec. 44, page 24, line 23, by deleting “30th” and inserting “final”.

    Amend sec. 44, page 24, line 24, by deleting the comma and inserting:

“or other appropriate legislative measure,”.

    Amend sec. 44, page 24, line 27, by deleting “30th” and inserting “final”.

    Amend sec. 50, page 28, line 34, by deleting:

[19th calendar]first” and inserting: “19th calendar”.

    Amend sec. 50, page 28, line 37, by deleting “budget.” and inserting:

“budget [.] or to carry out the governor’s legislative agenda.”.

    Assemblywoman Giunchigliani moved that the Assembly concur in the Senate amendment to Assembly Bill No. 631.

    Remarks by Assemblymen Giunchigliani, Marvel, Collins, Chowning, Anderson, Brower, Carpenter, Freeman, Von Tobel, Ohrenschall, Price, Buckley and Hettrick.

    Mr. Speaker requested the privilege of the Chair for the purpose of giving remarks.

    Assemblywoman Giunchigliani moved the motion to concur in the amendment to Assembly Bill No. 631 be withdrawn.

    Motion carried.

    Assembly Bill No. 470.

    The following Senate amendment was read:

    Amendment No. 1104

    Amend sec. 8, page 4, line 5, after “inclusive,” by inserting:

“or chapter 617”.

    Amend the bill as a whole by adding a new section designated sec. 8.5, following sec. 8, to read as follows:

    “Sec. 8.5.  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 617of NRS for an injury:

    (a) Caused by the employee’s willful intention to injure himself.

    (b) Caused by the employee’s willful intention to injure another.

    (c) Proximately caused by the employee’s intoxication. If the employee was intoxicated at the time of his injury, intoxication must be presumed to be a proximate cause unless rebutted by evidence to the contrary.

    (d) Proximately caused by the employee’s use of a controlled substance. If the employee had any amount of a controlled substance in his system at the time of his injury for which the employee did not have a current and lawful prescription issued in his name, the controlled substance must be presumed to be a proximate cause unless rebutted by evidence to the contrary.

    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 50.315 is admissible to prove the existence of any alcohol or the existence, quantity or identity of a controlled 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 substance , [:

        (1) If]the laboratory that conducts the testing [is located in a county whose population is 100,000 or more and the testing is of urine, the laboratory] must be [certified for forensic testing of urine for drugs by the College of American Pathologists or a successor organization or by the federal Department of Health and Human Services; and

        (2) Any such testing of breath for alcohol must be performed pursuant to the regulations of the federal Department of Transportation.] licensed pursuant to the provisions of chapter 652 of NRS.

    3.  No compensation is payable for the death, disability or treatment of an employee if his death is caused by, or insofar as his 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 recovery, or refuses to submit to such medical or surgical treatment as is necessary to promote his recovery, his 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 his employment; and

    (b) It is within the ability of the employee to correct the nonindustrial condition or injury.

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.”.

    Amend sec. 10, page 6, by deleting lines 4 and 5 and inserting:

“refer the employee to a physician or chiropractor [chosen by the hearing officer.] of his choice who has demonstrated special competence to treat the particular medical condition of the employee. If the medical question concerns the rating of a permanent”.

    Amend sec. 12, page 8, by deleting lines 6 and 7 and inserting:

“refer the employee to a physician or chiropractor [chosen by the appeals officer.]of his choice who has demonstrated special competence to treat the particular medical condition of the employee. If the medical question concerns the rating of a permanent”.

    Amend the bill as a whole by adding new sections designated sections 13 through 26, following sec. 12, to read as follows:

    “Sec. 13.  Chapter 686B of NRS is hereby amended by adding thereto a new section to read as follows:

    “Prospective loss cost” means the portion of a rate that is based on historical aggregate losses and loss adjustment expenses which are adjusted to their ultimate value and projected to a future point in time. Except as otherwise provided in this section, the term does not include provisions for expenses or profit.

    Sec. 14.  NRS 686B.1751 is hereby amended to read as follows:

    686B.1751 As used in NRS 686B.1751 to 686B.1799, inclusive, and section 13 of this act, unless the context otherwise requires, the words and terms defined in NRS 686B.1752 to 686B.1762, inclusive, and section 13 of this act, have the meanings ascribed to them in those sections.

    Sec. 15.  NRS 686B.1765 is hereby amended to read as follows:

    686B.1765 The advisory organization may:

    1.  Develop statistical plans including definitions for the classification of risks.

    2.  Collect statistical data from its members and subscribers or any other reliable source.

    3.  Prepare and distribute data on [the basic premium rate or rates, adjusted for expected changes in reported losses and for trends in losses, according to its statistical plan.]prospective loss costs.

    4.  Prepare and distribute manuals of rules and schedules for rating which do not permit calculating the final rates without using information other than the information in the manual.

    5.  Distribute any information filed with the commissioner which is open to public inspection.

    6.  Conduct research and collect statistics to discover, identify and classify information on the causes and prevention of losses.

    7.  Prepare and file forms and endorsements for policies and consult with its members, subscribers and any other knowledgeable persons on their use.

    8.  Collect, compile and distribute information on the past and current premiums charged by individual insurers if the information is available for public inspection.

    9.  Conduct research and collect information to determine what effect changes in benefits to injured employees pursuant to chapters 616A to 617, inclusive, of NRS will have on [the basic premium rate or rates.] prospective loss costs.

    10.  Prepare and distribute rules and rating values for the uniform plan for rating experience.

    11.  Calculate and provide to the insurer the modification of premiums based on the individual employer’s losses.

    12.  Assist an individual insurer to develop rates, supplementary rate information or other supporting information if authorized to do so by the insurer.

    Sec. 16.  NRS 686B.177 is hereby amended to read as follows:

    686B.177 1.  The advisory organization shall file with the commissioner a copy of every basic premium rate, the portion of the rate that is allowable for expenses as determined by the advisory organization, every manual of rating rules, every rating schedule and every change, amendment or modification to them which is proposed for use in this state at least 60 days before they are distributed to the organization’s members, subscribers or other persons. The rates shall be deemed to be approved unless they are disapproved by the commissioner within 60 days after they are filed.

    2.  The commissioner shall report any changes in rates or in the uniform plan for rating experience, the uniform statistical plan or the uniform system of classification, when approved, to the director of the legislative counsel bureau.

    3.  The rates filed by the advisory organization and approved by the commissioner apply to every insurer. In no case may an insurer’s rate be less than the approved rate by more than the following percentages:

    (a) For the period beginning on July 1, 1999, and ending on June 30, 2000, no variance.

    (b) For the period beginning on July 1, 2000, and ending on June 30, 2001, no more than a [5] 15 percent variance.

    [(c) For the period beginning on July 1, 2001, and ending on June 30, 2002, no more than a 10 percent variance.

    (d) For the period beginning on July 1, 2002, and ending on June 30, 2003, no more than a 15 percent variance.]

    Sec. 17.  NRS 686B.177 is hereby amended to read as follows:

    686B.177 1.  The advisory organization shall file with the commissioner a copy of every [basic premium rate,] prospective loss cost, every manual of rating rules, every rating schedule and every change, amendment or modification to them which is proposed for use in this state at least 60 days before they are distributed to the organization’s members, subscribers or other persons. The rates shall be deemed to be approved unless they are disapproved by the commissioner within 60 days after they are filed.

    2.  The commissioner shall report any changes in rates or in the uniform plan for rating experience, the uniform statistical plan or the uniform system of classification, when approved, to the director of the legislative counsel bureau.

    Sec. 18.  NRS 686B.1775 is hereby amended to read as follows:

    686B.1775 1.  [If the interaction among insurers and employers is presumed or found to be competitive, each] Each insurer shall file with the commissioner all the rates , [and] supplementary rate information, supporting data, and changes and amendments thereof, except any information filed by the advisory organization, which the insurer intends to use in this state.  [The insurer shall file the rates and supplementary rate information] An insurer may adopt by reference any supplementary rate information or supporting data that has been previously filed by that insurer and approved by the commissioner. The filing must indicate the date the rates will become effective. An insurer may file its rates pursuant to this subsection by filing:

    (a) Final rates; or

    (b) A multiplier and, if used by an insurer, a premium charged to each policy of industrial insurance regardless of the size of the policy which, when applied to the prospective loss costs filed by the advisory organization pursuant to NRS 686B.177, will result in final rates.

    2.  Each insurer shall file the rates, supplementary rate information and supporting data pursuant to subsection 1:

    (a) Except as otherwise provided in subsection 4, if the interaction among insurers and employers is presumed or found to be competitive, not later than 15 days [after] before the date the rates become effective. [An insurer may adopt by reference, with or without a deviation, the rates or supplementary rate information filed by any other insurer.

    2.] (b) If the commissioner has issued a finding that the interaction is not competitive, [each insurer shall file with the commissioner all the rates and supplementary rate information, except for the information filed by the advisory organization, at least] not later than 60 days before the rates become effective.

    3.  If the information supplied by an insurer pursuant to [this] subsection 1 is insufficient, the commissioner shall notify the insurer and [the information shall be deemed to be filed when] require the insurer to provide additional information. The filing must not be deemed complete or available for use by the insurer and review by the commissioner must not commence until all the information requested by the commissioner is received by him.

    [3.]  If the requested information is not received by the commissioner within 60 days after its request, the filing may be disapproved without further review.

    4. If, after notice to the insurer and a hearing, the commissioner finds that an insurer’s rates require supervision because of the insurer’s financial condition or because of rating practices which are unfairly discriminatory, the commissioner shall order the insurer to file its rates, supplementary rate information , supporting data and any other information required by the commissioner, at least 60 days before they become effective.

    [4.] 5. For any filing made by an insurer pursuant to this section, the commissioner may authorize an earlier effective date for the rates upon a written request from the insurer.

    [5.  Every]

    6.  Except as otherwise provided in subsection 1, every rate filed by an insurer must be filed in the form and manner prescribed by the commissioner.

    7.  As used in this section, “supporting data” means:

    (a) The experience and judgment of the insurer and of other insurers or of the advisory organization, if relied upon by the insurer;

    (b) The interpretation of any statistical data relied upon by the insurer;

    (c) A description of the actuarial and statistical methods employed in setting the rates; and

    (d) Any other relevant matters required by the commissioner.

    Sec. 19.  NRS 686B.1777 is hereby amended to read as follows:

    686B.1777 1.  If the commissioner finds that:

    (a) The interaction among insurers is not competitive;

    (b) The rates filed by insurers whose interaction is competitive are inadequate or unfairly discriminatory; or

    (c) The rates violate the provisions of this chapter,

the commissioner may require the insurers to file information supporting their existing rates. Before the commissioner may disapprove those rates, he shall notify the insurers and hold a hearing on the rates and the supplementary rate information.

    2.  The commissioner may disapprove any rate [which must be filed before it becomes effective] without a hearing. Any insurer whose rates are disapproved in this manner may request in writing and within 30 days after the disapproval that the commissioner conduct a hearing on the matter.

    Sec. 20.  NRS 686B.1779 is hereby amended to read as follows:

    686B.1779 1.  The commissioner may disapprove a rate filed by an insurer[:

    (a) At any time after the rate becomes effective; or

    (b) At] at any time . [before the rate becomes effective.]

    2.  The commissioner shall disapprove a rate if:

    (a) An insurer has failed to meet the requirements for filing a rate pursuant to this chapter or the regulations of the commissioner; or

    (b) The rate is inadequate, excessive or unfairly discriminatory.

    Sec. 21.  NRS 686B.1779 is hereby amended to read as follows:

    686B.1779 1.  The commissioner may disapprove a rate filed by an insurer[:

    (a) At any time after the rate becomes effective; or

    (b) At] at any time . [before the rate becomes effective if the insurer is required to file its rates before they become effective.]

    2.  The commissioner shall disapprove a rate if:

    (a) An insurer has failed to meet the requirements for filing a rate pursuant to this chapter or the regulations of the commissioner;

    (b) The rate is inadequate or unfairly discriminatory and the interaction among insurers and employers is competitive; or

    (c) A rate is inadequate, excessive or unfairly discriminatory and the commissioner has found and issued an order that the interaction among the insurers and employers is not competitive.

    Sec. 22.  NRS 686B.1784 is hereby amended to read as follows:

    686B.1784 1.  The commissioner may examine any insurer, advisory organization or plan for apportioned risks whenever he determines that such an examination is necessary.

    2.  The reasonable cost of an examination must be paid by the insurer or other person examined upon presentation by the commissioner of an accounting of those costs pursuant to NRS 679B.290.

    3.  In lieu of an examination, the commissioner may accept the report of an examination made by the agency of another state that regulates insurance.

    Sec. 23.  NRS 686B.1793 is hereby amended to read as follows:

    686B.1793 1.  [A]An insurer or other person who violates any provision of NRS 686B.1751 to 686B.1799, inclusive, and section 13 of this act shall, upon the order of the commissioner, pay an administrative fine not to exceed $1,000 for each violation and not to exceed $10,000 for each willful violation. These administrative fines are in addition to any other penalty provided by law. Any insurer using a rate before it has been filed with the commissioner as required by NRS 686B.1775, shall be deemed to have committed a separate violation for each day the insurer failed to file the rate.

    2.  The commissioner may suspend or revoke the license of any advisory organization or insurer who fails to comply with an order within the time specified by the commissioner or any extension of that time made by the commissioner. Any suspension of a license is effective for the time stated by the commissioner in his order or until the order is modified, rescinded or reversed.

    3.  The commissioner, by written order, may impose a penalty or suspend a license pursuant to this section only after written notice to the insurer, organization or plan for apportioned risks and a hearing.

    Sec. 24.  Section 197 of chapter 580, Statutes of Nevada 1995, as amended by chapter 410, Statutes of Nevada 1997, at page 1456, is hereby amended to read as follows:

    Sec. 197.  1.  This section and sections 25 to 36, inclusive, 44, 86, 119, 127, 128, 186.5, 188, 194, 195 and 196 of this act become effective upon passage and approval.

    2.  Section 68 of this act becomes effective at 12:01 a.m. on July 1, 1995.

    3.  Section 161 of this act becomes effective on July 1, [2003.]2001.

    4.  The remaining sections of this act become effective:

    (a) Upon passage and approval for the purposes of:

        (1) The adoption of regulations by the commissioner of insurance and the administrator of the division of industrial relations of the department of business and industry.

        (2) The qualification of private carriers to sell industrial insurance.

        (3) The designation of a licensed advisory organization by the commissioner and the initial filing of classifications of risk, the uniform plan for rating experience and the uniform statistical plan, by that organization.

        (4) The inspection of the records of the system, the Nevada industrial commission and the administrator with respect to the self-insured employers, by the commissioner and the advisory organization.

        (5) The filing, by private carriers and the system, of rates to be used by them.

    (b) For all other purposes on July 1, 1999.

    5.  Section 145 of this act expires by limitation on July 1, 2001.

    Sec. 25.  Section 81 of chapter 410, Statutes of Nevada 1997, as amended by section 36 of Senate Bill No. 453 of this session, is hereby amended to read as follows:

    Sec. 81.  1.  This section and sections 3 to 10, inclusive, 12, 13, 15, 15.5, 16, 17, 20, 21, 22, 27, 28, 35, 40.5, 41, 42, 61, 62, 62.5, 63, 65, 67, 70, 72, 74, 76, 78, 79 and 80 of this act become effective on July 1, 1997.

    2.  Section 14 of this act becomes effective at 12:01 a.m. on July 1, 1997.

    3.  Sections 1, 11, 26, 36, 37, 38, 39, 43, 45, 46, 49, 51, 52, 53, 54, 58 and 59 of this act become effective on January 1, 1998.

    4.  Section 50 of this act becomes effective at 12:01 a.m. on January 1, 1998.

    5.  Sections 18, 23, 40, 48, 57, 60, 77 and 77.5 of this act become effective on July 1, 1999.

    6.  Sections 64, 66, 68, 71, 73 and 75 of this act become effective on July 1, [2003.] 2001.

    Sec. 26.  1.  This section and sections 14, 16, 20, 22, 23, 24 and 25 of this act become effective at 12:01 a.m. on July 1, 1999.

    2.  Sections 1 to 7, inclusive, and 9 to 12, inclusive, of this act become effective on October 1, 1999.

    3.  Sections 8 and 8.5 of this act become effective at 12:01 a.m. on October 1, 1999.

    4.  Section 13, 15, 17, 18, 19 and 21 of this act become effective at 12:01 a.m. on July 1, 2001.”.

    Amend the title of the bill to read as follows:

“AN ACT relating to industrial insurance; prohibiting organizations for managed care that provide medical and health care services to injured employees from engaging in certain practices that restrict the actions of a provider of health care; requiring a response to a request for prior authorization for medical treatment to be issued within a certain number of days; allowing an injured employee whose employer’s insurer has entered into a contract with an organization for managed care or providers of health care to change treating physicians or chiropractors under certain circumstances; requiring that a test of an injured employee for the presence of alcohol or a controlled substance be performed by a laboratory that is licensed by the health division of the department of human resources; allowing hearing officers and appeals officers to refer an injured employee to a physician or chiropractor competent to determine the necessity of certain medical treatment;  revising the provisions governing the filing of rates for industrial insurance with the commissioner of insurance; and providing other matters properly relating thereto.”.

    Amend the summary of the bill, second line, by deleting the period and inserting:

“and filing of rates for industrial insurance.”.

    Assemblywoman Buckley moved that the Assembly concur in the Senate amendment to Assembly Bill No. 470.

    Remarks by Assemblywoman Buckley.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 628.

    The following Senate amendment was read:

    Amendment No. 993.

    Amend section 1, page 1, by deleting line 9 and inserting:

    “(a) Regular routes and fixed schedules[. Under such an agreement,] ;”.

    Amend section 1, page 2, by deleting lines 2 through 8 and inserting:

schedules;

    (c) Nonmedical transportation of disabled persons without regard to regular routes or fixed schedules; or

    (d) In a county whose population is less than 100,000 or an incorporated city within such a county, nonmedical transportation of persons if the transportation is available by reservation 1 day in advance of the transportation and without regard to regular routes or fixed schedules.

    3.  Under any agreement for a system of public transit that provides for the transportation of passengers that is described in subsection 2:

    (a) The public entity shall provide for any required safety inspections; or

    (b) If the public entity is unable to do so, the authority shall provide for any required safety inspections.

    4.  In addition to the requirements of subsection 3, under an agreement for a system of public transit that provides for the transportation of passengers that is described in:

    (a) Paragraph (a) of subsection 2, the public entity shall establish the routes and fares . [and provide for any required safety inspections.

    3.] (b) Paragraph (c) or (d) of subsection 2, the common motor carrier:

        (1) May provide transportation to any passenger who can board a vehicle with minimal assistance from the operator of the vehicle.

        (2) Shall not offer medical assistance as part of its transportation service.

    5.  A nonprofit carrier of elderly or[physically or mentally handicapped] disabled”.

    Amend section 1, page 2, by deleting lines 13 through 17 and inserting:

    [4.]6. An incorporated city, county or regional transportation commission is not required to obtain a certificate of public convenience and necessity to operate a system of public transportation.

    7.  Before an incorporated city or a county enters into an agreement with a common motor carrier for a system of public transit that provides for the transportation of passengers that is described in paragraph (c) or (d) of subsection 2 in an area of the incorporated city or an area of the county, it must determine that:

    (a) There are no other common motor carriers of passengers who are authorized to provide such services in that area; or

    (b) Although there are other common motor carriers of passengers who are authorized to provide such services in the area, the common motor carriers of passengers do not wish to provide, or are not capable of providing, such services.”.

    Amend sec. 3, page 3, by deleting lines 31 and 32 and inserting:

schedules;

    (c) Nonmedical transportation of disabled persons without regard to regular routes or fixed schedules; or

    (d) In a county whose population is less than 100,000 or an incorporated city within such a county, nonmedical transportation of persons if the transportation is available by reservation 1 day in advance of the transportation and without regard to regular routes or fixed schedules.”.

    Amend sec. 3, page 3, lines 42 and 43, by deleting “paragraph (b)” and inserting:

paragraph (b), (c) or (d)”.

    Amend sec. 4, page 5, by deleting lines 14 through 17 and inserting:

    “5.  Transportation that is available pursuant to NRS 373.117.”.

    Amend the title of the bill by deleting the fourth through seventh lines and inserting:

“certain circumstances; expanding the authorized purposes of”.

    Assemblywoman Chowning moved that the Assembly concur in the Senate amendment to Assembly Bill No. 628.

    Remarks by Assemblywoman Chowning.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 237.

    The following Senate amendment was read:

    Amendment No. 1081.

Amend sec. 2, page 2, between lines 31 and 32, by inserting:

    “(c) An eligible recipient, to pay the following costs associated with connecting a domestic well or well with a temporary permit to a municipal water system, if the well was in existence on or before October 1, 1999, and the well is located in an area designated by the state engineer pursuant to NRS 534.120 as an area where the ground water basin is being depleted:

        (1) Any local or regional fee for connection to the municipal water system.

        (2) The cost of any capital improvement that is required to comply with a decision or regulation of the state engineer.”.

    Amend sec. 2, page 2, lines 34 and 35, by deleting:

means:

    (a) A and inserting “means a”.

    Amend sec. 2, page 2, line 36, after “county,” by inserting:

unincorporated town, water authority, conservation district,”.

    Amend sec. 2, page 2, by deleting lines 37 through 39 and inserting “district.”.

    Amend the title of the bill, first line, after “for” by inserting:

“certain costs associated with connections to municipal water systems and for”.

    Amend the summary of the bill, first line, by deleting:

“Revises provisions relating to grants for” and inserting:

“Authorizes grants for certain costs associated with connections to municipal water systems and for”.

    Assemblyman Bache moved that the Assembly concur in the Senate amendment to Assembly Bill No. 237.

    Remarks by Assemblyman Bache.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 298.

    The following Senate amendment was read:

    Amendment No. 971.

    Amend section 1, page 1, line 2, by deleting “5,” and inserting “11,”.

    Amend the bill as a whole by renumbering sections 2 through 4 as sections 3 through 5 and adding a new section designated sec. 2, following section 1, to read as follows:

    “Sec. 2.  1.  A local government shall award a contract for the construction, alteration or repair of a public work pursuant to the provisions of:

    (a) Sections 3 to 11, inclusive, of this act; or

    (b) NRS 338.143, 338.145 and 338.147.

    2.  The provisions of sections 3 to 11, inclusive, of this act and NRS 338.143, 338.145 and 338.147 do not apply with respect to contracts for the construction, reconstruction, improvement and maintenance of highways that are awarded by the department of transportation pursuant to NRS 408.313 to 408.433, inclusive.”.

    Amend sec. 2, page 1, line 3, by deleting “subsection 4,” and inserting:

section 6 of this act,”.

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

    Amend sec. 2, page 2, by deleting lines 1 through 22.

    Amend sec. 2, page 2, line 23, by deleting “5.” and inserting “4.”.

    Amend sec. 3, page 2, line 31, by deleting “2” and inserting “3”.

    Amend sec. 4, page 3, line 1, by deleting:

subsection 4 of section 2” and inserting “section 6”.

    Amend sec. 4, page 3, line 15, by deleting “5” and inserting “7”.

    Amend sec. 4, page 3, line 17, by deleting “3” and inserting “4”.

    Amend the bill as a whole by renumbering sec. 5 as sec. 7 and adding a new section designated sec. 6, following sec. 4, to read as follows:

    “Sec. 6.  A public body may accept a bid on a contract for a public work from a person who does not qualify pursuant to section 5 of this act if the person holds:

    1.  An unlimited contractor’s license issued by the state contractors’ board in the branch of general engineering contracting or general building contracting, or in both branches, and:

    (a) At the time he submits his bid, he provides a bid bond equal to 10 percent of the amount of the bid; and

    (b) At the time the contract is awarded, he provides a performance bond, a labor and material bond, and a guaranty bond, each equal to 100 percent of the amount of the contract; or

    2.  A contractor’s license issued by the state contractors’ board that is designated in any classification if he:

    (a) Has, in the 5 years immediately preceding the submission of the bid, been found to be a responsible contractor in the classification in which his contractor’s license is designated;

    (b) Provides a bid bond, a performance bond, a guaranty bond, and a labor and material bond in such amounts as the state public works board or governing body may require; and

    (c) Employs a person determined by the state contractors’ board to be qualified to supervise each classification of construction upon which the person submitting the bid is bidding.”.

    Amend the bill as a whole by renumbering sec. 6 as sec. 12 and adding new sections designated sections 8 through 11, following sec. 5, to read as follows:

    “Sec. 8. 1.  Except as otherwise provided in subsection 7 and NRS 338.1906 and 338.1907, this state, or a local government that awards a contract for the construction, alteration or repair of a public work in accordance with paragraph (a) of subsection 1 of section 2 of this act, or a public officer, public employee or other person responsible for awarding a contract for the construction, alteration or repair of a public work who represents the state or the local government, shall not:

    (a) Commence such a project for which the estimated cost exceeds $100,000 unless it advertises in a newspaper of general circulation in this state for bids for the project; or

    (b) Divide such a project into separate portions to avoid the requirements of paragraph (a).

    2.  Except as otherwise provided in subsection 7, a public body that maintains a list of properly licensed contractors who are interested in receiving offers to bid on public works projects for which the estimated cost is more than $25,000 but less than $100,000 shall solicit bids from not more than three of the contractors on the list for a contract of that value for the construction, alteration or repair of a public work. The public body shall select contractors from the list in such a manner as to afford each contractor an equal opportunity to bid on a public works project. A properly licensed contractor must submit a written request annually to the public body to remain on the list. Offers for bids which are made pursuant to this subsection must be sent by certified mail.

    3.  Each advertisement for bids must include a provision that sets forth:

    (a) The requirement that a contractor must be qualified pursuant to section 5 of this act to bid on the contract or must be exempt from meeting such qualifications pursuant to section 6 of this act; and

    (b) The period during which an application to qualify as a bidder on the contract must be submitted.

    4.  Approved plans and specifications for the bids must be on file at a place and time stated in the advertisement for the inspection of all persons desiring to bid thereon and for other interested persons. Contracts for the project must be awarded on the basis of bids received.

    5.  Any bids received in response to an advertisement for bids may be rejected if the person responsible for awarding the contract determines that:

    (a) The bidder is not a qualified bidder pursuant to section 5 of this act, unless the bidder is exempt from meeting such qualifications pursuant to section 6 of this act;

    (b) The bidder is not responsive;

    (c) The quality of the services, materials, equipment or labor offered does not conform to the approved plan or specifications; or

    (d) The public interest would be served by such a rejection.

    6.  Before the state or a local government may commence a project subject to the provisions of this section, based upon a determination that the public interest would be served by rejecting any bids received in response to an advertisement for bids, it shall prepare and make available for public inspection a written statement containing:

    (a) A list of all persons, including supervisors, whom the state or the local government intends to assign to the project, together with their classifications and an estimate of the direct and indirect costs of their labor;

    (b) A list of all equipment that the state or the local government intends to use on the project, together with an estimate of the number of hours each item of equipment will be used and the hourly cost to use each item of equipment;

    (c) An estimate of the cost of administrative support for the persons assigned to the project;

    (d) An estimate of the total cost of the project; and

    (e) An estimate of the amount of money the state or the local government expects to save by rejecting the bids and performing the project itself.

    7.  This section does not apply to:

    (a) Any utility subject to the provisions of chapter 318 or 710 of NRS;

    (b) Any work of construction, reconstruction, improvement and maintenance of highways subject to NRS 408.323 or 408.327;

    (c) Normal maintenance of the property of a school district; or

    (d) The Las Vegas Valley water district created pursuant to chapter 167, Statutes of Nevada 1947.

    Sec. 9.  1.  Except as otherwise provided in subsection 7, this state, or a local government that awards a contract for the construction, alteration or repair of a public work in accordance with paragraph (a) of subsection 1 of section 2 of this act, or a public officer, public employee or other person responsible for awarding a contract for the construction, alteration or repair of a public work who represents the state or the local government, shall not:

    (a) Commence such a project for which the estimated cost exceeds $100,000 unless it advertises in a newspaper of general circulation in this state for bids for the project; or

    (b) Divide such a project into separate portions to avoid the requirements of paragraph (a).

    2.  Except as otherwise provided in subsection 7, a public body that maintains a list of properly licensed contractors who are interested in receiving offers to bid on public works projects for which the estimated cost is more than $25,000 but less than $100,000 shall solicit bids from not more than three of the contractors on the list for a contract of that value for the construction, alteration or repair of a public work. The public body shall select contractors from the list in such a manner as to afford each contractor an equal opportunity to bid on a public works project. A properly licensed contractor must submit a written request annually to the public body to remain on the list. Offers for bids which are made pursuant to this subsection must be sent by certified mail.

    3.  Each advertisement for bids must include a provision that sets forth:

    (a) The requirement that a contractor must be qualified pursuant to section 5 of this act to bid on the contract or must be exempt from meeting such qualifications pursuant to section 6 of this act; and

    (b) The period during which an application to qualify as a bidder on the contract must be submitted.

    4.  Approved plans and specifications for the bids must be on file at a place and time stated in the advertisement for the inspection of all persons desiring to bid thereon and for other interested persons. Contracts for the project must be awarded on the basis of bids received.

    5.  Any bids received in response to an advertisement for bids may be rejected if the person responsible for awarding the contract determines that:

    (a) The bidder is not a qualified bidder pursuant to section 5 of this act, unless the bidder is exempt from meeting such qualifications pursuant to section 6 of this act;

    (b) The bidder is not responsive or responsible;

    (c) The quality of the services, materials, equipment or labor offered does not conform to the approved plan or specifications; or

    (d) The public interest would be served by such a rejection.

    6.  Before the state or a local government may commence a project subject to the provisions of this section, based upon a determination that the public interest would be served by rejecting any bids received in response to an advertisement for bids, it shall prepare and make available for public inspection a written statement containing:

    (a) A list of all persons, including supervisors, whom the state or the local government intends to assign to the project, together with their classifications and an estimate of the direct and indirect costs of their labor;

    (b) A list of all equipment that the state or the local government intends to use on the project, together with an estimate of the number of hours each item of equipment will be used and the hourly cost to use each item of equipment;

    (c) An estimate of the cost of administrative support for the persons assigned to the project;

    (d) An estimate of the total cost of the project; and

    (e) An estimate of the amount of money the state or the local government expects to save by rejecting the bids and performing the project itself.

    7.  This section does not apply to:

    (a) Any utility subject to the provisions of chapter 318 or 710 of NRS;

    (b) Any work of construction, reconstruction, improvement and maintenance of highways subject to NRS 408.323 or 408.327;

    (c) Normal maintenance of the property of a school district; or

    (d) The Las Vegas Valley water district created pursuant to chapter 167, Statutes of Nevada 1947.

    Sec. 10.  1.  A public body awarding a contract for a public work shall not award the contract to a person who, at the time of the bid, is not properly licensed under the provisions of chapter 624 of NRS or if the contract would exceed the limit of his license. A subcontractor named by the contractor who is not properly licensed for that portion of the work shall be deemed unacceptable. If the subcontractor is deemed unacceptable, the contractor shall provide an acceptable subcontractor before the award of the contract.

    2.  If, after awarding the contract, the public body discovers that the person to whom the contract was awarded is not licensed, or that the contract would exceed his license, the public body shall reject the bid and may accept the next lowest bid for that public work from a responsive bidder who was determined by the public body to be a qualified bidder pursuant to section 5 of this act or was exempt from meeting such qualifications pursuant to section 6 of this act without requiring that new bids be submitted.

    Sec. 11.  1.  A public body shall award a contract for a public work to the contractor who submits the best bid.

    2.  Except as otherwise provided in subsection 4 or limited by subsection 5, for the purposes of this section, a contractor who:

    (a) Has been determined by the public body to be a qualified bidder pursuant to section 5 of this act or is exempt from meeting such qualifications pursuant to section 6 of this act; and

    (b) At the time he submits his bid, provides to the public body proof of the payment of:

        (1) The sales and use taxes imposed pursuant to chapters 372, 374 and 377 of NRS on materials used for construction of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of his bid;

        (2) The motor vehicle privilege tax imposed pursuant to chapter 371 of NRS on the vehicles used in the operation of his business of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of his bid; or

        (3) Any combination of those sales and use taxes and motor vehicle privilege tax,

shall be deemed to have submitted a better bid than a competing contractor who has not provided proof of the payment of those taxes if the amount of his bid is not more than 5 percent higher than the amount bid by the competing contractor.

    3.  A contractor who has previously provided the public body awarding a contract with the proof of payment required pursuant to subsection 2 may update that proof on or before April 1, July 1, September 1 and December 1 rather than with each bid.

    4.  If any federal statute or regulation precludes the granting of federal assistance or reduces the amount of that assistance for a particular public work because of the provisions of subsection 2, those provisions do not apply if the application of those provisions would preclude or reduce federal assistance for that work. The provisions of subsection 2 do not apply to any contract for a public work which is expected to cost less than $250,000.

    5.  Except as otherwise provided in subsection 6, if a bid is submitted by two or more contractors as a joint venture or by one of them as a joint venturer, the provisions of subsection 2 apply only if both or all of the joint venturers separately meet the requirements of that subsection.

    6.  Except as otherwise provided in subsection 8, if a bid is submitted by a joint venture and one or more of the joint venturers has responsibility for the performance of the contract as described in subsection 7, the provisions of subsection 2 apply only to those joint venturers who have that responsibility.

    7.  For the purposes of subsection 6, a joint venturer has responsibility for the performance of a contract if he has at least one of the following duties or obligations delegated to him in writing in the contract creating the joint venture:

    (a) Supplying the labor necessary to perform the contract and paying the labor and any related taxes and benefits;

    (b) Supplying the equipment necessary to perform the contract and paying any charges related to the equipment;

    (c) Contracting with and making payments to any subcontractors; or

    (d) Performing the recordkeeping for the joint venture and making any payments to persons who provide goods or services related to the performance of the contract.

    8.  The provisions of subsection 6 do not apply to a joint venture which is formed for the sole purpose of circumventing any of the requirements of this section.”.

    Amend sec. 6, page 4, by deleting lines 3 through 7 and inserting:

    “2.  “Eligible bidder” means a person who was [found]:

    (a) Found to be a responsible contractor by a [public body] local government which awarded a contract for a public work [.] in accordance with paragraph (b) of subsection 1 of section 2 of this act; or

    (b) Determined by a public body which awarded a contract for a public work pursuant to sections 3 to 11, inclusive, of this act, to be qualified to bid on that contract pursuant to section 5 of this act or was exempt from meeting such qualifications pursuant to section 6 of this act.”.

    Amend the bill as a whole by deleting sections 7 through 10, renumbering sec. 11 as sec. 20 and adding new sections designated sections 13 through 19, following sec. 6, to read as follows:

    “Sec. 13.  NRS 338.0115 is hereby amended to read as follows:

    338.0115 1.  Except as otherwise provided in subsection 2, the provisions of this chapter and chapters 332 and 339 of NRS do not apply to a contract under which a private developer, for the benefit of a private development, constructs a water or sewer line extension and any related appurtenances:

    (a) Which qualify as a public work pursuant to NRS 338.010; and

    (b) For which he will receive a monetary contribution or refund from a public body as reimbursement for a portion of the costs of the project.

    2.  If, pursuant to the provisions of such a contract, the developer is not responsible for paying all of the initial construction costs of the project, the provisions of NRS 338.013 to 338.090, inclusive, and 338.140 to 338.147, inclusive, and sections 2 to 11, inclusive, of this act apply to the contract.

    Sec. 14.  NRS 338.143 is hereby amended to read as follows:

    338.143 1.  Except as otherwise provided in subsection 6 and NRS [338.1906 and 338.1907, an agency or political subdivision of the state,] 338.1907, a local government that awards a contract for the construction, alteration or repair of a public work in accordance with paragraph (b) of subsection 1 of section 2 of this act, or a public officer, public employee or other person responsible for awarding a contract for the construction, alteration or repair of a public work[,] who represents that local government, shall not:

    (a) Commence such a project[,] for which the estimated cost exceeds $100,000[,] unless it advertises in a newspaper of general circulation in [the] this state for bids for the project; or

    (b) Divide such a project into separate portions to avoid the requirements of paragraph (a).

    2.  Except as otherwise provided in subsection 6, a [public body] local government that maintains a list of properly licensed contractors who are interested in receiving offers to bid on public works projects for which the estimated cost is more than $25,000 but less than $100,000 shall solicit bids from not more than three of the contractors on the list for a contract of that value for the construction, alteration or repair of a public work. The [public body]local government shall select contractors from the list in such a manner as to afford each contractor an equal opportunity to bid on a public works project. A properly licensed contractor must submit a written request annually to the [public body] local government to remain on the list. Offers for bids which are made pursuant to this subsection must be sent by certified mail.

    3.  Approved plans and specifications for the bids must be on file at a place and time stated in the advertisement for the inspection of all persons desiring to bid thereon and for other interested persons. Contracts for the project must be awarded on the basis of bids received.

    4.  Any [or all] bids received in response to an advertisement for bids may be rejected if the person responsible for awarding the contract determines that:

    (a) The bidder is not responsive or responsible;

    (b) The quality of the services, materials, equipment or labor offered does not conform to the approved plan or specifications; or

    (c) The public interest would be served by such a rejection.

    5.  Before [an agency or political subdivision of the state] a local government may commence a project subject to the provisions of this section, based upon a determination that the public interest would be served by rejecting any bids received in response to an advertisement for bids, it shall prepare and make available for public inspection a written statement containing:

    (a) A list of all persons, including supervisors, [who the agency orpolitical subdivision] whom the local government intends to assign to the project, together with their classifications and an estimate of the direct and indirect costs of their labor;

    (b) A list of all equipment that the [agency or political subdivision] local government intends to use on the project, together with an estimate of the number of hours each item of equipment will be used and the hourly cost to use each item of equipment;

    (c) An estimate of the cost of administrative support for the persons assigned to the project;

    (d) An estimate of the total cost of the project; and

    (e) An estimate of the amount of money the [agency or political subdivision] local government expects to save by rejecting the bids and performing the project itself.

    6.  This section does not apply to:

    (a) Any utility subject to the provisions of chapter 318 or 710 of NRS;

    (b) Any work of construction, reconstruction, improvement and maintenance of highways subject to NRS 408.323 or 408.327;

    (c) Normal maintenance of the property of a school district; or

    (d) The Las Vegas Valley water district created pursuant to chapter 167, Statutes of Nevada 1947.

    Sec. 15.  NRS 338.143 is hereby amended to read as follows:

    338.143 1.  Except as otherwise provided in subsection 6, [an agency or political subdivision of the state,]a local government that awards a contract for the construction, alteration or repair of a public work in accordance with paragraph (b) of subsection 1 of section 2 of this act, or a public officer, public employee or other person responsible for awarding a contract for the construction, alteration or repair of a public work[,] who represents that local government, shall not:

    (a) Commence such a project[,] for which the estimated cost exceeds $100,000[,] unless it advertises in a newspaper of general circulation in [the] this state for bids for the project; or

    (b) Divide such a project into separate portions to avoid the requirements of paragraph (a).

    2.  Except as otherwise provided in subsection 6, a [public body] local government that maintains a list of properly licensed contractors who are interested in receiving offers to bid on public works projects for which the estimated cost is more than $25,000 but less than $100,000 shall solicit bids from not more than three of the contractors on the list for a contract of that value for the construction, alteration or repair of a public work. The [public body]local government shall select contractors from the list in such a manner as to afford each contractor an equal opportunity to bid on a public works project. A properly licensed contractor must submit a written request annually to the [public body] local government to remain on the list. Offers for bids which are made pursuant to this subsection must be sent by certified mail.

    3.  Approved plans and specifications for the bids must be on file at a place and time stated in the advertisement for the inspection of all persons desiring to bid thereon and for other interested persons. Contracts for the project must be awarded on the basis of bids received.

    4.  Any [or all] bids received in response to an advertisement for bids may be rejected if the person responsible for awarding the contract determines that:

    (a) The bidder is not responsive or responsible;

    (b) The quality of the services, materials, equipment or labor offered does not conform to the approved plan or specifications; or

    (c) The public interest would be served by such a rejection.

    5.  Before [an agency or political subdivision of the state] a local government may commence a project subject to the provisions of this section, based upon a determination that the public interest would be served by rejecting any bids received in response to an advertisement for bids, it shall prepare and make available for public inspection a written statement containing:

    (a) A list of all persons, including supervisors, [who the agency or political subdivision]whom the local government intends to assign to the project, together with their classifications and an estimate of the direct and indirect costs of their labor;

    (b) A list of all equipment that the [agency or political subdivision] local government intends to use on the project, together with an estimate of the number of hours each item of equipment will be used and the hourly cost to use each item of equipment;

    (c) An estimate of the cost of administrative support for the persons assigned to the project;

    (d) An estimate of the total cost of the project; and

    (e) An estimate of the amount of money the [agency or political subdivision] local government expects to save by rejecting the bids and performing the project itself.

    6.  This section does not apply to:

    (a) Any utility subject to the provisions of chapter 318 or 710 of NRS;

    (b) Any work of construction, reconstruction, improvement and maintenance of highways subject to NRS 408.323 or 408.327;

    (c) Normal maintenance of the property of a school district; or

    (d) The Las Vegas Valley water district created pursuant to chapter 167, Statutes of Nevada 1947.

    Sec. 16.  NRS 338.145 is hereby amended to read as follows:

    338.145 1.  A [public body] local government awarding a contract for a public work shall not award the contract to a person who, at the time of the bid, is not properly licensed under the provisions of chapter 624 of NRS or if the contract would exceed the limit of his license. A subcontractor named by the contractor who is not properly licensed for that portion of the work shall be deemed unacceptable. If the subcontractor is deemed unacceptable, the contractor shall provide an acceptable subcontractor before the award of the contract.

    2.  If, after awarding the contract, the [public body] local government discovers that the person to whom the contract was awarded is not licensed, or that the contract would exceed his license, the [public body]local government shall reject the bid and may accept the next lowest bid for that public work from a responsive and responsible bidder without requiring that new bids be submitted.

    Sec. 17.  NRS 338.147 is hereby amended to read as follows:

    338.147 1.  A [public body] local government shall award a contract for a public work to the contractor who submits the best bid.

    2.  Except as otherwise provided in subsection 4 or limited by subsection 5, for the purposes of this section, a contractor who:

    (a) Has been found to be a responsible contractor by the [public body;] local government; and

    (b) At the time he submits his bid, provides to the [public body] local government proof of the payment of:

        (1) The sales and use taxes imposed pursuant to chapters 372, 374 and 377 of NRS on materials used for construction of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of his bid;

        (2) The motor vehicle privilege tax imposed pursuant to chapter 371 of NRS on the vehicles used in the operation of his business of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of his bid; or

        (3) Any combination of such sales and use taxes and motor vehicle privilege tax,

shall be deemed to have submitted a better bid than a competing contractor who has not provided proof of the payment of those taxes if the amount of his bid is not more than 5 percent higher than the amount bid by the competing contractor.

    3.  A contractor who has previously provided the [public body] local government awarding a contract with the proof of payment required pursuant to subsection 2 may update such proof on or before April 1, July 1, September 1 and December 1 rather than with each bid.

    4.  If any federal statute or regulation precludes the granting of federal assistance or reduces the amount of that assistance for a particular public work because of the provisions of subsection 2, those provisions do not apply insofar as their application would preclude or reduce federal assistance for that work. The provisions of subsection 2 do not apply to any contract for a public work which is expected to cost less than $250,000.

    5.  Except as otherwise provided in subsection 6, if a bid is submitted by two or more contractors as a joint venture or by one of them as a joint venturer, the provisions of subsection 2 apply only if both or all of the joint venturers separately meet the requirements of that subsection.

    6.  Except as otherwise provided in subsection 8, if a bid is submitted by a joint venture and one or more of the joint venturers has responsibility for the performance of the contract as described in subsection 7, the provisions of subsection 2 apply only to those joint venturers who have such responsibility.

    7.  For the purposes of subsection 6, a joint venturer has responsibility for the performance of a contract if he has at least one of the following duties or obligations delegated to him in writing in the contract creating the joint venture:

    (a) Supplying the labor necessary to perform the contract and paying the labor and any related taxes and benefits;

    (b) Supplying the equipment necessary to perform the contract and paying any charges related to the equipment;

    (c) Contracting with and making payments to any subcontractors; or

    (d) Performing the recordkeeping for the joint venture and making any payments to persons who provide goods or services related to the performance of the contract.

    8.  The provisions of subsection 6 do not apply to a joint venture which is formed for the sole purpose of circumventing any of the requirements of this section.

    Sec. 18.  NRS 338.1906 is hereby amended to read as follows:

    338.1906 1.  Upon request by or consultation with an officer or employee of the state who is responsible for the budget of a department, board, commission, agency or other entity of the state, the appropriate energy retrofit coordinator may request the approval of the state board of examiners to advertise a request for proposals to retrofit a building, or any portion thereof, that is occupied by the department, board, commission, agency or other entity, to make the use of energy in the building, or portion thereof, more efficient.

    2.  Upon approval of the state board of examiners, the coordinator shall prepare a request for proposals for the retrofitting of one or more buildings, or any portion thereof, which includes:

    (a) The name and location of the coordinator;

    (b) A brief description of the requirements for the initial audit of the use of energy and the retrofitting;

    (c) Where and how specifications of the requirements for the initial audit of the use of energy and the retrofitting may be obtained;

    (d) The date and time not later than which proposals must be received by the coordinator; and

    (e) The date and time when responses will be opened.

    3.  The request for proposals must be published in at least one newspaper of general circulation in the state.

    4.  After receiving the proposals but before making a decision on the proposals, the coordinator shall consider:

    (a) The best interests of the state;

    (b) The experience and financial stability of the persons submitting the proposals;

    (c) Whether the proposals conform with the terms of the request for proposals;

    (d) The prices of the proposals; and

    (e) Any other factor disclosed in the request for proposals.

    5.  The coordinator shall determine the relative weight of each factor before a request for proposals is advertised. The weight of each factor must not be disclosed before the date proposals are required to be submitted to the coordinator.

    6.  After reviewing the proposals, if the coordinator determines that sufficient energy could be saved to justify retrofitting the building or buildings, or portion thereof, the coordinator shall select the best proposal and request the approval of the board of examiners to award the contract. The request for approval must include the proposed method of financing the audit and retrofit , which may include an installment contract, a shared savings contract or any other contract for a reasonable financing arrangement. Such a contract may commit the state to make payments beyond the biennium in which the contract is executed , but the interest due on any debt created pursuant to this section must be paid at least semiannually, payments must be made on the principal at least annually and the debt must be fully repaid on or before May 1, 2013.

    7.  Before approving a retrofit pursuant to this section, the state board of examiners shall evaluate any projects that would utilize shared savings as a method of payment or any method of financing that would commit the state to make payments beyond the biennium in which the contract is executed to ensure that:

    (a) The amount of energy to be saved will likely justify the cost of the retrofit;

    (b) The state is likely to continue to occupy the building for the entire period required to recoup the cost of the retrofit in energy savings; and

    (c) The limitation set forth in subsection 9 will not be exceeded.

    8.  Upon approval of the state board of examiners, the coordinator shall execute the contract and notify:

    (a) The state board of examiners of the total amount of money committed by the contract per year; and

    (b) Each officer or employee who is responsible for the budget of a department, board, commission, agency or other entity which occupies a portion of a building that will be retrofitted of the amount of money it will be required to pay annually for its portion of the retrofit.

    9.  The total amount of money committed beyond the biennium for all contracts executed pursuant to this section must not exceed $5,000,000 at any one time.

    10.  The legislature hereby pledges that a tax will be levied to pay the principal and interest on any indebtedness resulting from a contract executed pursuant to this section as they become due if the required payments will not be made by the entity that executed the contract from its budgeted accounts and the proceeds from any such taxes are hereby specially appropriated for this purpose.

    11.  [NRS 338.143]Section 8 of this act does not apply to a project for which a request for proposals is advertised and the contract is awarded pursuant to the provisions of this section.

    Sec. 19.  NRS 338.1907 is hereby amended to read as follows:

    338.1907 1.  The governing body of a local government may designate one or more energy retrofit coordinators for the buildings occupied by the local government.

    2.  If such a coordinator is designated, upon request by or consultation with an officer or employee of the local government who is responsible for the budget of a department, board, commission or other entity of the local government, the coordinator may request the approval of the governing body to advertise a request for proposals to retrofit a building, or any portion thereof, that is occupied by the department, board, commission or other entity, to make the use of energy in the building, or portion thereof, more efficient.

    3.  Upon approval of the governing body, the coordinator shall prepare a request for proposals for the retrofitting of one or more buildings, or any portion thereof, which includes:

    (a) The name and location of the coordinator;

    (b) A brief description of the requirements for the initial audit of the use of energy and the retrofitting;

    (c) Where and how specifications of the requirements for the initial audit of the use of energy and the retrofitting may be obtained;

    (d) The date and time not later than which proposals must be received by the coordinator; and

    (e) The date and time when responses will be opened.

    4.  The request for proposals must be published in at least one newspaper of general circulation in the county in which the local government is located.

    5.  After receiving the proposals but before making a decision on the proposals, the coordinator shall consider:

    (a) The best interests of the local government;

    (b) The experience and financial stability of the persons submitting the proposals;

    (c) Whether the proposals conform with the terms of the request for proposals;

    (d) The prices of the proposals; and

    (e) Any other factor disclosed in the request for proposals.

    6.  The coordinator shall determine the relative weight of each factor before a request for proposals is advertised. The weight of each factor must not be disclosed before the date proposals are required to be submitted to the coordinator.

    7.  After reviewing the proposals, if the coordinator determines that sufficient energy could be saved to justify retrofitting the building or buildings, or portion thereof, the coordinator shall select the best proposal and request the approval of the governing body to award the contract. The request for approval must include the proposed method of financing the audit and retrofit , which may include an installment contract, a shared savings contract or any other contract for a reasonable financing arrangement. Such a contract may commit the local government to make payments beyond the fiscal year in which the contract is executed or beyond the terms of office of the governing body, or both.

    8.  Before approving a retrofit pursuant to this section, the governing body shall evaluate any projects that would utilize shared savings as a method of payment or any method of financing that would commit the local government to make payments beyond the fiscal year in which the contract is executed or beyond the terms of office of the governing body to ensure that:

    (a) The amount of energy to be saved will likely justify the cost of the retrofit; and

    (b) The local government is likely to continue to occupy the building for the entire period required to recoup the cost of the retrofit in energy savings.

    9.  Upon approval of the governing body, the coordinator shall execute the contract and notify each officer or employee who is responsible for the budget of a department, board, commission or other entity which occupies a portion of a building that will be retrofitted of the amount of money it will be required to pay annually for its portion of the retrofit.

    10.  NRS 338.143 [does] and section 8 of this act do not apply to a project for which a request for proposals is advertised and the contract is awarded pursuant to the provisions of this section.”.

    Amend the bill as a whole by deleting sec. 12 and adding a new section designated sec. 21, following sec. 11, to read as follows:

    “Sec. 21. 1.  This section and sections 2 to 8, inclusive, 10 to 14, inclusive, and 16 to 20, inclusive, of this act become effective on October 1, 1999.

    2.  Sections 9 and 15 of this act become effective at 12:01 a.m. on May 1, 2013.

    3.  Sections 8, 14, 18 and 19 of this act expire by limitation on May 1, 2013.”.

    Amend the title of the bill, second line, after “works;” by inserting:

“making an exemption for local governments and the department of transportation in certain circumstances;”.

    Assemblyman Bache moved that the Assembly concur in the Senate amendment to Assembly Bill No. 298.

    Remarks by Assemblyman Bache.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 347.

    The following Senate amendment was read:

    Amendment No. 1092.

    Amend sec. 3, page 2, line 37, by deleting “$10” and inserting “[$10] $13”.

    Amend sec. 3, page 2, line 41, by deleting “$10.” and inserting “[$10.] $13.”.

    Amend sec. 3, page 3, line 5, by deleting “$27” and inserting “$30”.

    Amend sec. 3, page 3, line 8, by deleting “$27.” and inserting “$30.”.

    Amend sec. 3, page 3, by deleting lines 19 through 23 and inserting:

“inflation as calculated pursuant to subsection [3] 4 only if [:

    (a) A majority of all of the voting members of the advisory committee recommends the change;

    (b) The board of directors approves the recommendation; and

    (c) The] the increase is approved by the Legislature.”.

    Amend sec. 4, page 4, line 3, after “5.” by inserting:

Develop and implement a program to provide financial assistance to owners of real property served by:

    (a) Domestic wells; or

    (b) Wells that are operated pursuant to temporary permits,

in existence before October 1, 1999, who are required by the state engineer to connect the real property to a public water system.

    6.”.

    Assemblyman Bache moved that the Assembly concur in the Senate amendment to Assembly Bill No. 347.

    Remarks by Assemblyman Bache.

    Motion carried.

    Bill ordered enrolled.

    Assembly Bill No. 668.

    The following Senate amendment was read:

    Amendment No. 933.

    Amend sec. 7, page 1, lines 3 and 4, by deleting:

[widows and orphan children,] surviving spouses,” and inserting:

“widows and orphan children,”.

    Amend sec. 7, page 1, by deleting lines 7 through 10 and inserting:

“this state to the same family.

    2.  For the purpose of this section, property in which the widow or orphan child has any interest shall be deemed the property of the widow or orphan child.”.

    Amend sec. 7, page 2, line 1, by deleting “surviving spouse” and inserting “widow”.

    Amend sec. 7, page 2, line 2, by deleting “his” and inserting “her”.

    Amend the bill as a whole by deleting sec. 10.5 and adding:

    “Sec. 10.5.  (Deleted by amendment.)”.

    Amend sec. 16.3, page 8, lines 34 and 35, by deleting:

[widows and orphan children,] surviving spouses,” and inserting:

“widows and orphan children,”.

    Amend sec. 16.3, page 8, by deleting lines 38 through 41 and inserting:

“but one county in this state to the same family.

    2.  For the purpose of this section, vehicles in which the widow or orphan child has any interest shall be deemed to belong entirely to that widow or orphan child.”.

    Amend sec. 16.3, page 9, line 10, by deleting “surviving spouse” and inserting “widow”.

    Amend sec. 16.3, page 9, line 11, by deleting “his” and inserting “her”.

    Assemblyman Goldwater moved that the Assembly concur in the Senate amendment to Assembly Bill No. 668.

    Remarks by Assemblyman Goldwater.

    Motion carried.

    Bill ordered enrolled.

MESSAGES FROM THE Senate

Senate Chamber, Carson City, May 25, 1999

To the Honorable the Assembly:

    I have the honor to inform your honorable body that the Senate on this day adopted the report of the first Conference Committee concerning Senate Bill No. 30.

                                      Mary Jo Mongelli

                        Assistant Secretary of the Senate

UNFINISHED BUSINESS

Reports of Conference Committees

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 30, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Assembly be concurred in.

 

Barbara E. Buckley

Mark Amodei

Dennis Nolan

Jon C. Porter

Jerry D. Claborn

 

Assembly Conference Committee

Senate Conference Committee

    Assemblywoman Buckley moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 30.

    Remarks by Assemblywoman Buckley.

    Motion carried.

general file and third reading

    Senate Bill No. 288.

    Bill read third time.

    The following amendment was proposed by the Committee on Ways and Means:

    Amendment No. 1144.

Amend the bill as a whole by deleting sections 1 through 3, renumbering sections 4 and 5 as sections 2 and 3 and adding a new section designated section 1, following the enacting clause, to read as follows:

    “Section 1.  1.  A county that is required to provide protective services to children in that county pursuant to NRS 432B.325 may enter into an agreement with the division of child and family services of the department of human resources to establish a pilot program to provide continuity of care for children who receive protective services. A pilot program established pursuant to such an agreement may provide:

    (a) For the county and the division of child and family services jointly to furnish services relating to the assessment of a child and planning for the provision of protective services to the child;

    (b) For a child to be in the joint custody of the county and the division of child and family services;

    (c) For continuity in the placement of a child in foster care;

    (d) That the rate of payment by the county for foster care and shelter care must be equal to the rate of payment by the division of child and family services for foster care and shelter care;

    (e) For continuity in the management of a case for the provision of protective services to a child; and

    (f) For services designed to carry out a plan for the permanent placement of a child established pursuant to NRS 432B.590 or the Adoption and Safe Families Act of 1997, Public Law 105-89.

    2.  Notwithstanding any specific statute to the contrary, for the purpose of a pilot program established pursuant to an agreement entered into pursuant to this section, the division of child and family services may deviate from the rate of payment for foster care approved by the legislature.”.

    Amend sec. 4, page 3, line 18, by deleting “3” and inserting “1”.

    Amend sec. 5, page 3, line 29, by deleting “1999.” and inserting:

    “1999, and expires by limitation on June 30, 2001.”.

    Amend the summary of the bill by deleting the third line and inserting:

“(BDR S‑1028)”.

    Assemblyman Arberry moved the adoption of the amendment.

    Remarks by Assemblyman Arberry.

    Amendment adopted.

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

REPORTS OF SELECT COMMITTEES

Mr. Speaker:

    Your Select Committee on Senate Bill No. 438, to which was referred Senate Bill No. 438, has had the same under consideration, and begs leave to report the same back with the recommendation: Amend, and do pass as amended.

Douglas A. Bache, Chairman

INTRODUCTION, FIRST READING AND REFERENCE

    By Assemblymen Perkins, Anderson, Angle, Arberry, Bache, Beers, Berman, Brower, Buckley, Carpenter, Cegavske, Chowning, Claborn, Collins, de Braga, Evans, Freeman, Gibbons, Giunchigliani, Goldwater, Gustavson, Hettrick, Humke, Koivisto, Lee, Leslie, Manendo, Marvel, McClain, Mortenson, Neighbors, Nolan, Ohrenschall, Parks, Parnell, Price, Segerblom, Thomas, Tiffany, Von Tobel and Williams:

    Assembly Bill No. 695—AN ACT relating to special legislative license plates; granting to Joseph E. Dini, Jr., the use of the special legislative license plate designated “State Assemblyman 1” as a lifetime endowment; and providing other matters properly relating thereto.

    Assemblyman Perkins moved that the bill be referred to the Committee on Transportation.

    Motion carried.

UNFINISHED BUSINESS

Consideration of Senate Amendments

    Assembly Joint Resolution No. 13.

    The following Senate amendment was read:

    Amendment No. 853.

    Amend the resolution, page 1, by deleting lines 8 through 10 and inserting:

    “[2.  The] Except as otherwise provided in subsection 2, the term of office of any justice or judge so appointed expires on the first Monday of January following the [next] first general election [.] that is held at least 12 calendar months after the date on which the appointment was made. At that general election, a justice or judge must be elected to fill the remainder of the term.

    2.  If the date on which the appointment was made is within the 12 calendar months immediately preceding the expiration of the term of the vacated office, the term of office of the justice or judge appointed pursuant to subsection 1 is the remainder of the unexpired term of office.”.

    Assemblyman Price moved that the Assembly concur in the Senate amendment to Assembly Joint Resolution No. 13.

    Remarks by Assemblyman Price.

    Motion carried.

    Bill ordered enrolled.

MESSAGES FROM THE Senate

Senate Chamber, Carson City, May 25, 1999

To the Honorable the Assembly:

    I have the honor to inform your honorable body that the Senate on this day respectfully refused to concur in the Assembly Amendment No. 984 to Senate Bill No. 128; Assembly Amendment No. 978 to Senate Bill No. 133; Assembly Amendment No. 979 to Senate Bill No. 417; Assembly Amendment No. 1007 to Senate Bill No. 423; Assembly Amendment No. 1062 to Senate Bill No. 477.

    Also, I have the honor to inform your honorable body that the Senate on this day respectfully refused to recede from its action on Assembly Bill No. 59, Senate Amendment No. 733, and requests a conference, and appointed Senators Washington, Jacobsen and Wiener as a first Conference Committee to meet with a like committee of the Assembly.

    Also, I have the honor to inform your honorable body that the Senate on this day respectfully refused to recede from its action on Assembly Bill No. 109, Senate Amendments Nos. 874, 1021, and requests a conference, and appointed Senators Porter, Townsend and Shaffer as a first Conference Committee to meet with a like committee of the Assembly.

    Also, I have the honor to inform your honorable body that the Senate on this day respectfully refused to recede from its action on Assembly Bill No. 238, Senate Amendment No. 1010, and requests a conference, and appointed Senators Amodei, Wiener and Mathews as a first Conference Committee to meet with a like committee of the Assembly.

    Also, I have the honor to inform your honorable body that the Senate on this day respectfully refused to recede from its action on Assembly Bill No. 289, Senate Amendment No. 902, and requests a conference, and appointed Senators O'Donnell, Jacobsen and Neal as a first Conference Committee to meet with a like committee of the Assembly.

    Also, I have the honor to inform your honorable body that the Senate on this day respectfully refused to recede from its action on Assembly Bill No. 376, Senate Amendment No. 846, and requests a conference, and appointed Senators Washington, Wiener and Schneider as a first Conference Committee to meet with a like committee of the Assembly.

                                      Mary Jo Mongelli

                        Assistant Secretary of the Senate

MOTIONS, RESOLUTIONS AND NOTICES

    Assemblyman Perkins moved that Senate Bill No. 438 be placed on the Second Reading File.

    Motion carried.

SECOND READING AND AMENDMENT

    Senate Bill No. 438.

    Bill read second time.

    The following amendment was proposed by the Assembly Select Committee on Senate Bill No. 438:

    Amendment No. 1150.

Amend the bill as a whole by deleting sections 1 through 10, renumbering sections 11 and 12 as sections 2 and 3 and adding a new section designated section 1, following the enacting clause, to read as follows:

    “Section 1.  NRS 703.130 is hereby amended to read as follows:

    703.130 1.  The commission shall appoint a deputy commissioner who shall serve in the unclassified service of the state.

    2.  The commission shall appoint a secretary who shall perform such administrative and other duties as are prescribed by the commission. The commission shall also appoint an assistant secretary.

    3.  The commission may employ such other clerks, experts or engineers as may be necessary.

    4.  The commission may appoint one or more hearing officers for a period specified by the commission to conduct proceedings or hearings that may be conducted by the commission pursuant to chapters 704, 704A, 705, 708 and 711 of NRS. The commission shall prescribe by regulation the procedure for appealing a decision of a hearing officer to the commission.”.

    Amend sec. 11, page 5, line 13, by deleting:

“12, 13 and 14” and inserting:

“3 to 6, inclusive,”.

    Amend sec. 12, page 5, by deleting lines 14 through 38 and inserting:

    “Sec. 3.  1.  A vertically integrated electric utility that is in existence on January 1, 1999, or its successor electric distribution utility or any assignee of the utility shall comply with the terms of any existing obligations for the purchase of power as those terms have been interpreted by the parties to the obligations.

    2.  To recover any costs associated with an obligation for the purchase of power, a vertically integrated electric utility in existence on January 1, 1999, or its successor electric distribution utility or any assignee of the utility must demonstrate to the commission that it has made reasonable efforts to reduce the cost or increase the value of the obligation, including, without limitation, by:

    (a) Evaluating the costs and benefits of the obligation and analyzing whether there are any reasonable options under the existing provisions of the obligation that may reduce the costs or increase the benefits of the obligation;

    (b) Reporting on the good faith attempts by the utility or its assignee to seek an increase in value or reduction in cost from the provider of the purchased power under the existing provisions of the obligation;

    (c) Showing that the utility or its assignee has exercised to the extent practicable the terms of the existing obligation to mitigate the cost of the obligation or has assessed the value of retaining the obligation;

    (d) Providing a citation to an order of the commission approving the obligation, or if such an order does not exist or is not available, providing all information, including, without limitation, any actions or statements by the commission or any state or federal agency, that demonstrates the commitment of the utility or its assignee to the obligation; and

    (e) Providing all information indicating the extent to which the rates previously established by the commission have compensated shareholders for the risk of not recovering the costs of the obligation.

    3.  After a utility has made a showing pursuant to subsection 2, the commission shall determine the recoverable costs associated with such an obligation for the purchase of power and shall allow the utility or assignee to recover those costs from all classes of customers through a charge imposed for noncompetitive services.

    4.  The provisions of this section must not be construed to allow the reinterpretation, modification or termination of any obligation for the purchase of power in effect on July 1, 1999, without the agreement of the parties to the obligation.”.

    Amend the bill as a whole by deleting sec. 13, renumbering sections 14 through 15.5 as sections 6 through 8 and adding new sections designated sections 4 and 5, following sec. 12, to read as follows:

    “Sec. 4.  The commission shall, for each class of customers of electric service in this state, establish a total rate for the components of electric service that are necessary to provide electric service to customers in this state pursuant to subsection 1 of NRS 704.982. The total rate for each class may not exceed the total rate for each class of customers of electric service in this state which is in effect on July 1, 1999, except that the commission shall modify the rates to account for the effects of any decisions by the commission relating to any cases filed with the commission before October 1, 1999, which involve the use of deferred accounting. Upon approval by the commission, the provider designated pursuant to subsection 1 of NRS 704.982 may reduce the total rate for any class of customers. The total rates established pursuant to this subsection do not apply to any customer who obtains generation, aggregation or any other potentially competitive service from an alternative seller.

    Sec. 5.  1.  The provider of electric service designated pursuant to subsection 1 of NRS 704.982 is entitled to recover only from the gain, if any, from the sale by the provider of its generation assets any shortfall during the period commencing on March 1, 2000, and ending on March 1, 2003, that results from the netting of any difference between:

    (a) The revenues generated by the total rates charged to all classes of customers pursuant to section 4 of this act; and

    (b) The total cost incurred by the provider to provide that service to all classes of customers.           2.  Upon approval of the amount of the net shortfall, if any, the commission shall authorize the designated provider to recover that amount from the gain if any, on the sale of its generation assets, after the deduction of any taxes.

    3.  As used in this section, “total cost incurred by the provider” means the total revenues generated by all classes by the rates in effect on July 1, 1999, as adjusted to account for the effects of any decision of the commission relating to any cases filed with the commission before October 1, 1999, which involve the use of deferred accounting.”.

    Amend sec. 14, page 6, by deleting lines 31 through 35 and inserting:

seller may submit to the commission an offer to provide electric service that is being provided by the provider designated pursuant to subsection 1 of NRS 704.982. The offer must:

    (a) Request to serve at least 10 percent of the load of the provider designated pursuant to subsection 1 of NRS 704.982;”.

    Amend sec. 14, page 6, by deleting line 39 and inserting:

prescribed in subsection 2 of NRS 704.982.”.

    Amend sec. 14, page 6, line 40, by deleting “a bid,” and inserting “an offer,”.

    Amend sec. 14, page 7, by deleting lines 5 through 7 and inserting:

Each bid must be not less than 10 percent of the load, as measured in megawatts or megawatt hours, of the load of the provider designated pursuant to subsection 1 of NRS 704.982.”.

    Amend sec. 14, page 7, line 12, by deleting:

For the percentage of the” and inserting “For the”.

    Amend sec. 14, page 7, by deleting line 13 and inserting:

remainder of the load that is not awarded to a successful bidder, the”.

    Amend sec. 14, page 7, line 17, by deleting:

the affiliate of”.

    Amend the bill as a whole by deleting sec. 16 and renumbering sections 17 through 22 as sections 9 through 14.

    Amend sec. 17, page 10, line 20, by deleting:

12, 13 and 14” and inserting:

3 to 6, inclusive,”.

    Amend sec. 21, page 12, by deleting lines 37 through 40 and inserting:

“obtained a license from the commission to do so.”.

    Amend sec. 21, page 13, line 15, by deleting:

12, 13 and 14” and inserting:

3 to 6, inclusive,”.

    Amend sec. 21, page 13, line 27, by deleting:

12, 13 and 14” and inserting:

3 to 6, inclusive,”.

    Amend sec. 21, page 13, line 41, by deleting:

12, 13 and 14” and inserting:

3 to 6, inclusive,”.

    Amend sec. 21, page 14, by deleting lines 18 and 19 and inserting:

“provisions of NRS 704.965 to 704.990, inclusive [.] , and sections 3 to 6, inclusive, of this act.

    9.  An alternative seller may combine two or more customers or any group of customers to provide aggregation service. The commission may not limit the ability of:

    (a) An alternative seller to combine customers to provide aggregation service; or

    (b) Customers to form groups to obtain aggregation service from alternative sellers.”.

    Amend the bill as a whole by deleting sec. 23, renumbering sec. 24 as sec. 18 and adding new sections designated sections 15 through 17, following sec. 22, to read as follows:

    “Sec. 15.  NRS 704.981 is hereby amended to read as follows:

    704.981 1.  An electric distribution utility shall provide all noncompetitive services within its territory unless the commission authorizes another entity to provide the noncompetitive service.

    2.  A noncompetitive service is subject to NRS 704.001 to 704.655, inclusive, 704.701 to 704.751, inclusive, and 704.800 to 704.900, inclusive.

    3.  The component rates for noncompetitive services established by the commission pursuant to NRS 704.986 must be used by customers who elect to receive competitive or potentially competitive services from alternative sellers or from the Colorado River Commission pursuant to NRS 704.987.

    4.  The commission shall adopt regulations for noncompetitive services that allow innovative pricing methods for noncompetitive services upon a finding that the innovative pricing, when compared to pricing of services provided pursuant to subsections 1 and 2, improves the performance of the service or lowers the cost of the service to the customer, or both. The regulations for innovative pricing must specify:

    (a) The provisions that must be included in a plan of innovative pricing;

    (b) The procedures for submitting an innovative plan for pricing to the commission for approval and implementation; and

    (c) Which provisions of this chapter do not apply to pricing changes that are made during the period in which the innovative pricing plan is in effect.

    [4.] 5. The commission shall adopt regulations which ensure that a person who owns a transmission or distribution facility, or both, or a facility that provides access to a competitive service shall make the facilities available on equal and nondiscriminatory terms and conditions to all alternative sellers or to the customers of the alternative sellers, or both, as the commission may determine.

    Sec. 16.  NRS 704.982 is hereby amended to read as follows:

    704.982 1.  The commission shall designate a vertically integrated electric utility or its successor electric distribution utility to provide electric service to customers who are unable to obtain electric service from an alternative seller or who fail to select an alternative seller. The provider so designated by the commission is obligated to provide electric service to the customers. Electric service provided by the utility pursuant to this section shall be deemed to be a noncompetitive service for which the utility may recover its costs pursuant to NRS 704.001 to 704.655, inclusive, 704.701 to 704.751, inclusive, and 704.800 to 704.900, inclusive.

    2.  The rate that the designated provider of electric service must charge a customer for the provision of electric service pursuant to subsection 1 is the total rate established for that class of customer by the commission pursuant to section 4 of this act.

    3.  Upon a finding by the commission that the public interest will be promoted, the commission may prescribe alternate methods for providing electric service to those customers described in subsection 1. The alternate methods may include, but are not limited to, the direct assignment of customers to alternative sellers or electric distribution utilities or a process of competitive bidding for the right to provide electric service to the designated customers[.

    3.] , including, without limitation, an auction conducted pursuant to section 6 of this act. Any alternate methods prescribed by the commission pursuant to this subsection may not go into effect before July 1, 2001.

    4.  The commission shall establish minimum terms and conditions under which electric service must be provided pursuant to this section, including a minimum period during which a customer must be obligated to pay for the electric service from the assigned provider. The price charged for electric service for a particular group of customers must reflect the incremental cost of serving the group.

    [4.] A customer who has obtained generation, aggregation or any other potentially competitive service from an alternative seller after March 1, 2000, for at least 30 continuous days may reacquire service from the designated provider pursuant to tariffs approved by the commission.

    5. If the designated provider of the electric service pursuant to subsection 1 is a vertically integrated electric utility, the utility shall provide the electric service on or after July 1, 2001, only through an affiliate whose sole business activity is the provision of electric service.

    [5.  Except as otherwise provided in this subsection and subsection 6, the rate charged for residential service provided pursuant to subsection 1 must not exceed the rate charged for that service on July 1, 1997. The limitation set forth in this subsection is effective until 2 years after the date upon which, in accordance with NRS 704.976, the commission repeals the regulations which established the pricing method for that service and the terms and conditions for providing that service.

    6.  The commission may, in accordance with NRS 704.110, 704.120 and 704.130, approve an increase in the rate charged for residential service provided pursuant to subsection 1 in an amount that does not exceed the increase necessitated, if any, to ensure the recovery by the vertically integrated electric utility of its just and reasonable costs. The provisions of this section do not limit or prohibit in any manner the operation of any order issued by the commission before July 1, 1997.]

    6.  Except upon the application of the designated provider to reduce the total rate for any class of customers pursuant to section 4 of this act, the commission shall not initiate or conduct any proceedings to adjust the rates, earnings, rate base or rate of return of the designated provider of electric service during the period in which the provider is providing that service to customers pursuant to this section.

    Sec. 17.  NRS 704.982 is hereby amended to read as follows:

    704.982 1.  The commission shall designate [a vertically integrated electric utility or its successor] an electric distribution utility to provide electric service to customers who are unable to obtain electric service from an alternative seller or who fail to select an alternative seller. The provider so designated by the commission is obligated to provide electric service to the customers. Electric service provided by the utility pursuant to this section shall be deemed to be a noncompetitive service for which the utility may recover its costs pursuant to NRS 704.001 to 704.655, inclusive, 704.701 to 704.751, inclusive, and 704.800 to 704.900, inclusive.

    2.  [The rate that the provider must charge a customer for the provision of electric service pursuant to subsection 1 is the rate established for that class of customer by the commission pursuant to section 4 of this act.

    3.] Upon a finding by the commission that the public interest will be promoted, the commission may prescribe alternate methods for providing electric service to those customers described in subsection 1. The alternate methods may include, but are not limited to, the direct assignment of customers to alternative sellers or other electric distribution utilities or a process of competitive bidding for the right to provide electric service to the designated customers, including, without limitation, an auction conducted pursuant to section 6 of this act. [Any alternate methods prescribed by the commission pursuant to this subsection may not go into effect before July 1, 2001.

    4.] 3.  The commission shall establish minimum terms and conditions under which electric service must be provided pursuant to this section, including a minimum period during which a customer must be obligated to pay for the electric service from the assigned provider. The price charged for electric service for a particular group of customers must reflect the incremental cost of serving the group. A customer who has obtained generation, aggregation or any other potentially competitive service from an alternative seller [after March 1, 2000,] for at least 30 continuous days may reacquire service from the designated provider pursuant to tariffs approved by the commission.

    [5.] 4. If the designated provider of the electric service pursuant to subsection 1is [a vertically integrated] an electric distribution utility, the utility shall provide the electric service [on or after July 1, 2001,] only through an affiliate whose sole business activity is the provision of electric service.

    [6.  The commission shall not initiate or conduct any proceedings to adjust the rates, earnings, rate base or rate of return of the designated provider of electric service during the period in which the provider is providing that service to customers pursuant to this section.]”.

    Amend sec. 24, page 15, line 41, by deleting “In” and inserting:

[In]Except as otherwise provided in section 3 of this act, in”.

    Amend sec. 24, page 16, line 2, by deleting the semicolon and inserting “ . [;]”.

    Amend sec. 24, page 16, line 5, by deleting the semicolon and inserting “ . [;]”.

    Amend sec. 24, page 16, line 6, by deleting “The” and inserting:

[The] Except as otherwise provided in this paragraph, the”.

    Amend sec. 24, page 16, line 9, by deleting the semicolon and inserting:

. [;]If a utility purchases generation services pursuant to the approval of the appropriate governmental agencies to meet its obligations to provide electric service pursuant to NRS 704.982 from a generation unit that the utility has divested, the commission shall not impute a value to the generation unit other than the sales price of the unit.”.

    Amend sec. 24, page 16, line 12, by deleting the semicolon and inserting “ . [;]”.

    Amend sec. 24, page 16, by deleting line 15 and inserting “obligations . [; and]”.

    Amend the bill as a whole by renumbering sections 25 and 26 as sections 20 and 21 and adding a new section designated sec. 19, following sec. 24, to read as follows:

    “Sec. 19.  NRS 704.984 is hereby amended to read as follows:

    704.984 A vertically integrated electric utility shall take such reasonable steps as are necessary to minimize layoffs and any other adverse effects on the employees of the vertically integrated electric utility that result from the beginning of provision of potentially competitive services by alternative sellers. In determining the recoverable costs of the vertically integrated electric utility pursuant to NRS 704.983, the commission shall consider any reasonable costs incurred by the vertically integrated electric utility pursuant to this section, including, without limitation, the costs for severance pay, retraining, job placement and early retirement for employees of the vertically integrated electric utility.”.

    Amend the bill as a whole by renumbering sections 27 and 28 as sections 26 and 27 and adding new sections designated sections 22 through 25, following sec. 26, to read as follows:

    “Sec. 22.  On or before March 1, 2000, the commission shall, for the purposes of NRS 704.986, establish for each class of customers of electric service in this state the rate for each component and a total rate for electric services for customers based on the cost to provide electric service to each class of customers in this state. The total rate established for each class of customers pursuant to this section must be the same as the total rate for each class of customers that is in effect on July 1, 1999.

    Sec. 23.  On or before March 1, 2000, a vertically integrated electric utility may negotiate and enter into a contract with a customer for the provision of electric service, but no such contract is effective before March 1, 2000.

    Sec. 24.  This act must not be construed to impair any existing rights under contracts for electric service in effect on June 1, 1999.

    Sec. 25.  This act must not be construed to impair any existing rights under any labor agreement to which a vertically integrated electric utility or its successor electric distribution utility or an affiliate thereof is a party on July 1, 1999.”.

    Amend sec. 27, page 17, by deleting lines 33 through 37 and inserting:

    “Sec. 26.  1.  This section and sections 1 to 6, inclusive, 9 to 16, inclusive, 18 to 23, inclusive, 25 and 27 of this act become effective on July 1, 1999.    

    2.  Section 24 becomes effective upon passage and approval.

    3.  Sections 7 and 8 of this act become effective on October 1, 1999.

    4.  Sections 4 and 16 expire by limitation on July 1, 2003.

    5.  Section 5 expires by limitation on September 1, 2003.

    6.  Section 17 becomes effective on July 1, 2003.”.

    Amend the bill as a whole by deleting sec. 29.

    Amend the title of the bill by deleting the first through third lines and inserting:

“AN ACT relating to utilities; providing for the appointment of hearing officers to conduct proceedings before the public utilities commission of Nevada; revising the provisions governing recoverable costs;”.

    Assemblyman Bache moved the adoption of the amendment.

    Remarks by Assemblyman Bache.

    Amendment adopted.

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

    Assemblyman Perkins moved that the Assembly recess until 4:30 p.m.

    Motion carried.

    Assembly in recess at 1:23 p.m.

ASSEMBLY IN SESSION

    At 4: 58 p.m.

    Mr. Speaker presiding.

    Quorum present.


MESSAGES FROM THE Senate

Senate Chamber, Carson City, May 25, 1999

To the Honorable the Assembly:

    I have the honor to inform your honorable body that the Senate on this day appointed Senators O'Connell, Rhoads and Schneider as a first Conference Committee concerning Senate Bill No. 16.

    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators O'Connell, Care and Porter as a first Conference Committee concerning Senate Bill No. 369.

    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators Amodei, Wiener and Washington as a first Conference Committee concerning Senate Bill No. 519.

    Also, I have the honor to inform your honorable body that the Senate on this day concurred in the Assembly Amendment No. 980 to Senate Bill No. 38; Assembly Amendment No. 740 to Senate Bill No. 74; Assembly Amendment No. 985 to Senate Bill No. 103; Assembly Amendment No. 936 to Senate Bill No. 132; Assembly Amendment No. 1031 to Senate Bill No. 282; Assembly Amendment No. 945 to Senate Bill No. 362; Assembly Amendment No. 982 to Senate Bill No. 375; Assembly Amendment No. 934 to Senate Bill No. 396; Assembly Amendment No. 1116 to Senate Bill No. 428; Assembly Amendments Nos. 987, 1123 to Senate Bill No. 435; Assembly Amendment No. 981 to Senate Bill No. 476.

    Also, I have the honor to inform your honorable body that the Senate on this day respectfully refused to recede from its action on Assembly Bill No. 615, Senate Amendment No. 854, and requests a conference, and appointed Senators O'Donnell, Porter and Neal as a first Conference Committee to meet with a like committee of the Assembly.

    Also, I have the honor to inform your honorable body that the Senate on this day respectfully refused to concur in the Assembly Amendment No. 973 to Senate Bill No. 104.

    Also, I have the honor to inform your honorable body that the Senate on this day respectfully refused to concur in the Assembly Amendment No. 1008 to Senate Bill No. 322; Assembly Amendments Nos. 734, 866 to Senate Bill No. 360; Assembly Amendments Nos. 920, 1079, 1110, 1125 to Senate Bill No. 391; Assembly Amendments Nos. 992, 1098 to Senate Bill No. 475; Assembly Amendment No. 1019 to Senate Bill No. 478; Assembly Amendment No. 918 to Senate Bill No. 500; Assembly Amendment No. 897 to Senate Bill No. 530.

                                      Mary Jo Mongelli

                        Assistant Secretary of the Senate

UNFINISHED BUSINESS

Appointment of Conference Committees

    Mr. Speaker appointed Assemblymen McClain, Claborn and Gustavson as a first Conference Committee to meet with a like committee of the Senate for the further consideration of Assembly Bill No. 59.

    Mr. Speaker appointed Assemblywomen Leslie, Gibbons and McClain as a first Conference Committee to meet with a like committee of the Senate for the further consideration of Assembly Bill No. 238.

    Mr. Speaker appointed Assemblywomen Leslie, McClain and Von Tobel as a first Conference Committee to meet with a like committee of the Senate for the further consideration of Assembly Bill No. 615.


MOTIONS, RESOLUTIONS AND NOTICES

    Assemblyman Goldwater moved that the vote whereby the Assembly concurred in Senate Amendment No. 896 to Assembly Bill No. 669 be rescinded.

    Remarks by Assemblyman Goldwater

    Motion Carried.

UNFINISHED BUSINESS

Consideration of Senate Amendments

    Assembly Bill No. 669.

    The following Senate amendment was read:

    Amendment No. 896

    Amend the bill as a whole by renumbering sec. 7 as sec. 8 and adding a new section designated sec. 7, following sec. 6, to read as follows:

    “Sec. 7.  The amendatory provisions of section 5 of this act do not apply to any taxes levied pursuant to NRS 463.401 on any amounts paid before the effective date of this act.”.

    Amend the summary of the bill by deleting:

“casino entertainment tax.” and inserting “gaming.”.

    Assemblyman Goldwater moved that the Assembly do not concur in the Senate amendment to Assembly Bill No. 669.

    Remarks by Assemblyman Goldwater.

    Motion carried.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 634.

    The following Senate amendment was read:

    Amendment No. 876.

    Amend sec. 2, page 1, line 4, by deleting:

a special investigations unit” and inserting:

an investigations office”.

    Amend sec. 2, page 1, by deleting lines 5 and 6 and inserting:

this chapter. The investigations office must include a special investigations unit consisting of criminal investigators and a compliance investigations unit consisting of compliance investigators.”.

    Amend sec. 2, page 1, line 10, by deleting “employed” and inserting “authorized”.

    Amend sec. 3, page 1, line 11, by deleting:

special investigations unit” and inserting “investigations office”.

    Amend sec. 3, page 2, line 8, by deleting:

special investigations unit” and inserting “investigations office”.

    Amend sec. 3, page 2, by deleting lines 14 and 15 and inserting:

of the board, or if the board or the investigations office is unable to resolve the”.

    Amend sec. 3, page 2, line 16, by deleting the comma.

    Amend sec. 3, page 2, by deleting lines 21 and 22 and inserting:

effective in resolving the complaint; and”.

    Amend sec. 3, page 2, line 25, by deleting:

complaint to the satisfaction of that person.” and inserting “complaint.”.

    Amend sec. 4, page 2, line 26, by deleting:

executive officer of the board,” and inserting:

board or its designee,”.

    Amend sec. 4, page 2, line 27, by deleting:

evidence in his possession,” and inserting “evidence,”.

    Amend sec. 4, page 2, line 30, by deleting “he” and inserting:

the board or its designee, as appropriate,”.

    Amend sec. 4, page 2, line 38, by deleting:

licensee or applicant.” and inserting “complaint.”.

    Amend sec. 4, page 2, line 42, after “15” by inserting “business”.

    Amend sec. 6, page 3, by deleting line 16, and inserting:

citation within 15 business days after the date on which the citation is served on the licensee or applicant.”.

    Amend sec. 6, page 3, line 29, after “15” by inserting “business”.

    Amend sec. 6, page 3, by deleting line 30 and inserting:

after the date on which the citation is served on the licensee or applicant, or on or before such later date as specified by the board pursuant to subsection 4, the citation shall be deemed a”.

    Amend sec. 6, page 3, between lines 33 and 34, by inserting:

    “5.  For the purposes of this section, a citation shall be deemed to have been served on a licensee or an applicant on:

    (a) The date on which the citation is personally delivered to the licensee or applicant; or

    (b) If the citation is mailed, the date on which the citation is mailed by certified mail to the last known business or residential address of the licensee or applicant.”.

    Amend sec. 7, page 3, line 36, after “15” by inserting “business”.

    Amend sec. 7, page 3, line 37, after “order,” by inserting:

or on or before such later date as specified by the board pursuant to subsection 4 of section 6 of this act,”.

    Amend sec. 8, page 3, by deleting line 39 and inserting:

    “Sec. 8.  1.  On or before September 1 of each even-numbered year, the board or its designee shall:”.

    Amend sec. 8, page 4, by deleting lines 1 through 4 and inserting:

    “(b) Prepare a written summary that identifies potential difficulties in the regulation of contractors and”.

    Amend sec. 8, page 4, line 6, by deleting “(d)” and inserting “(c)”.

    Amend sec. 8, page 4, by deleting lines 8 and 9 and inserting:

        “(2) The director of the legislative counsel bureau for transmittal to the next regular session of the legislature.”.

    Amend sec. 9, page 4, line 12, by deleting “1.”.

    Amend sec. 9, page 4, by deleting lines 18 through 22.

    Amend sec. 10, page 4, line 26, after “the” by inserting “contractor’s”.

    Amend sec. 10, page 4, line 29, by deleting:

15 days after the receipt of” and inserting:

the time permitted for compliance set forth in”.

    Amend sec. 10, page 4, line 30, after “15” by inserting “business”.

    Amend sec. 10, page 4, after line 43, by inserting:

    “5.  Failure or refusal to respond to a written request from the board or its designee to cooperate in the investigation of a complaint.

    6.  Failure or refusal to comply with a written request by the board or its designee for information or records, or obstructing or delaying the providing of such information or records.”.

    Amend sec. 14, page 6, line 23, by deleting “license number” and inserting “license number,”.

    Amend sec. 14, page 6, line 29, by deleting:

Obtaining a contractor’s license” and inserting:

Possessing a contractor’s license issued”.

    Amend sec. 14, page 6, line 30, by deleting “Obtaining” and inserting “Possessing”.

    Amend sec. 19, page 8, by deleting lines 19 through 23 and inserting:

consideration of the factors set forth in NRS 624.260, 624.263 and 624.265[.] and section 9 of this act.

    3.  Nothing contained in this section prohibits a specialty contractor from taking”.

    Amend sec. 21, page 9, line 12, after “obtain” by inserting “or renew”.

    Amend sec. 21, page 9, line 22, by deleting “residential” and inserting “physical”.

    Amend sec. 23, page 11, between lines 28 and 29, by inserting:

    “4.  Before issuing a license to an applicant who will engage in residential construction or renewing the license of a contractor who engages in residential construction, the board shall require the applicant or licensee to establish his financial responsibility by submitting to the board:

    (a) A financial statement prepared by a certified public accountant who is licensed pursuant to the provisions of chapter 628 of NRS; and

    (b) A statement setting forth the number of building permits issued to and construction projects completed by the licensee during the immediately preceding year and any other information required by the board. The statement submitted pursuant to this paragraph must be provided on a form approved by the board.

    5.  In addition to the requirements set forth in subsection 4, the board may require a licensee to establish his financial responsibility at any time.

    6.  An applicant for an initial contractor’s license or a licensee applying for the renewal of a contractor’s license has the burden of demonstrating his financial responsibility to the board.”.

    Amend sec. 24, page 11, line 31, by deleting “shall” and inserting “[shall] must”.

    Amend sec. 25, page 13, by deleting lines 4 and 5 and inserting:

the bond or deposit. [A person who brings action on a bond shall notify the board in writing upon filing the action.] No action may be commenced on”.

    Amend sec. 25, page 13, line 7, after “based.” by inserting:

If an action is commenced on the bond, the surety that executed the bond shall notify the board of the action within 30 days after the date that:

    (a) The surety is served with a complaint and summons; or

    (b) The action is commenced,

whichever occurs first.”.

    Amend sec. 25, page 13, by deleting lines 26 through 28 and inserting:

business. The surety [or the board] is entitled to deduct its costs of the action, including [attorney’s fees and] publication, from its liability under the bond . [or] The board is entitled to deduct its costs of the action, including attorney’s fees and publication, from the deposit.”.

    Amend the bill as a whole by adding a new section designated sec. 25.5, following sec. 25, to read as follows:

    “Sec. 25.5.  NRS 624.275 is hereby amended to read as follows:

    624.275 1.  [The]With respect to a surety bond that a licensed contractor maintains in accordance with NRS 624.270:

    (a) The surety shall give prompt notice to the board of any claims paid against the bond of the licensed contractor.

    (b) The surety may cancel the bond upon giving 60 days’ notice to the board and to the contractor by certified mail.

    2.  Upon receipt by the board of the notice described in paragraph (a) of subsection 1, the board shall immediately notify the contractor who is the principal on the bond that his license will be suspended or revoked unless he furnishes an equivalent bond or establishes an equivalent cash deposit before a date set by the board.

    3.  Upon receipt by the board of the notice[,] described in paragraph (b) of subsection 1, the board shall immediately notify the contractor who is the principal on the bond that his license will be suspended or revoked unless he furnishes an equivalent bond or establishes an equivalent cash deposit before the effective date of the cancellation.

    4.  The notice mailed to the contractor by the board pursuant to subsection 2 or 3 must be [by certified mail] addressed to his latest address of record in the office of the board.

    [2.] 5. If the contractor does not comply with the requirements of the notice from the board, his license must be suspended or revoked on the date [the] :

    (a) Set by the board, if the notice was provided to the contractor pursuant to subsection 2; or

    (b) The bond is canceled[.] , if the notice was provided to the contractor pursuant to subsection 3.”.

    Amend sec. 38, page 20, by deleting line 30 and inserting:

624.115, for the limited purpose of obtaining and exchanging information on persons who hold a contractor’s license or are applying for a contractor’s license.”.

    Amend sec. 39, page 20, line 32, by deleting:

“the effective date of this act.” and inserting:

“October 1, 1999.”.

    Amend the bill as a whole by deleting sec. 40.

    Amend the title of the bill, first and second lines, by deleting:

“and duties of a special investigations unit;” and inserting:

“of an investigations office by the state contractors’ board and prescribing its duties;”.

    Assemblywoman Buckley moved that the Assembly do not concur in the Senate amendment to Assembly Bill No. 634.

    Remarks by Assemblywoman Buckley.

    Motion carried.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 680.

    The following Senate amendment was read:

    Amendment No. 1073

    Amend the bill as a whole by adding new sections designated sections 5.2, 5.4, 5.6 and 5.8, following sec. 5, to read as follows:

    “Sec. 5.2.  NRS 682A.100 is hereby amended to read as follows:

    682A.100 1.  An insurer may invest in preferred or guaranteed stocks or shares of any solvent institution existing under the laws of the United States of America, Canada or Mexico, or of any state or province thereof, if all of the prior obligations and prior preferred stocks, if any, of [such] the institution at the date of acquisition of the investment by the insurer are eligible as investments under this chapter and if the net earnings of [such] the institution available for its fixed charges during either of the last 2 years have been, and during each of the last 5 years have averaged, not less than 1 1/2 times the sum of its average annual fixed charges, if any, its average annual maximum contingent interest, if any, and its average annual preferred dividend requirements. For the purposes of this section , such computation [shall refer to] must be based on the fiscal years immediately preceding the date of acquisition of the investment by the insurer, and the term “preferred dividend [requirement”] requirements” shall be deemed to mean cumulative or noncumulative dividends, whether paid or not.

    2.  No insurer [shall] may invest in any such preferred or guaranteed stocks in an amount in excess of [10] 35 percent of any issue [or] of such guaranteed or preferred stocks or, subject to subsection 1 of NRS 682A.050 , [(diversification),] more than an amount equal to 10 percent of the insurer’s admitted assets in any one issue.

    Sec. 5.4.  NRS 682A.110 is hereby amended to read as follows:

    682A.110 An insurer may invest up to [25] 35 percent of its assets in nonassessable (except as to bank or trust company stocks, and except for taxes) common stocks, other than insurance stocks, of any solvent corporation organized and existing under the laws of the United States of America, Canada or Mexico, or of any state or province thereof, if [such] that corporation has had net earnings available for dividends on such stock in each of the 5 fiscal years next preceding acquisition by the insurer. If the issuing corporation has not been in legal existence for the whole of [such] the 5 fiscal years , but was formed as a consolidation or merger of two or more businesses of which at least one was in operation on a date 5 years [prior to] before the investment, the test of eligibility of its common stock [under] pursuant to this section [shall] must be based upon consolidated pro forma statements of the predecessor or constituent institutions.

    Sec. 5.6.  NRS 682A.130 is hereby amended to read as follows:

    682A.130 1.  An insurer may invest in the stock of its subsidiary insurance corporation formed or acquired by it, or in the stock of its subsidiary business corporation or corporations formed and engaged solely in any one or more of the following businesses:

    (a) In any business necessary and incidental to the convenient operation of the insurer’s insurance business or to the administration of any of its lawful affairs;

    (b) Providing any actuarial, computer, data processing, accounting, claims, appraisal, collection, sales, loss prevention or safety engineering and similar services;

    (c) Real property management and development;

    (d) Premium financing;

    (e) Financing of agents of the insurer;

    (f) Acting as investment adviser and principal underwriter or investment adviser or principal underwriter of a management company or management companies (mutual funds), registered as such under the Investment Company Act of 1940;

    (g) Financial and investment counseling services;

    (h) Administration of self-insurance plans;

    (i) Administration of self-insured pension and similar plans, or the self-insured portions of such plans;

    (j) Securities broker-dealer;

    (k) Escrow services; [or]

    (l) Trust services with respect to [funds] money payable or paid by it under its insurance contracts[.

    2.  For the purposes of this section a “subsidiary” is a corporation of which the insurer owns sufficient stock to give it effective control.

    3.] ;

    (m) A bank, thrift company, savings and loan association, or credit union; or

    (n) An insurance agency.

    2. All of the insurer’s investments under this section shall be deemed to be common stocks for the purposes of the [25-percent-of-assets] limitation imposed by NRS 682A.110.

    3.  For the purposes of this section, a “subsidiary” is a corporation of which the insurer owns sufficient stock to give it effective control.

    Sec. 5.8.  NRS 682A.190 is hereby amended to read as follows:

    682A.190 An insurer may invest in share or savings accounts of savings and loan associations, or in savings accounts of banks, and in any one such institution only to the extent that the investment is insured . [by the Federal Deposit Insurance Corporation.]”.

    Amend sec. 20, page 14, line 36, after “inclusive,” by inserting:

“and section 1 of Senate Bill No. 145 of this [act] session,”.

    Amend the bill as a whole by adding a new section designated sec. 26.5, following sec. 26, to read as follows:

    “Sec. 26.5.  NRS 685A.070 is hereby amended to read as follows:

    685A.070 1.  A broker shall not knowingly place surplus lines insurance with an insurer which is unsound financially or ineligible pursuant to this section.

    2.  [No]Except as otherwise provided in this section, no insurer is eligible for the acceptance of surplus lines risks pursuant to this chapter unless it has surplus as to policyholders in an amount of not less than $5,000,000 and, if an alien insurer, unless it has and maintains in a bank or trust company which is a member of the United States Federal Reserve System a trust fund established pursuant to terms reasonably adequate for the protection of all of its policyholders in the United States in an amount of not less than $1,500,000. Such a trust fund must not have an expiration date which is at any time less than 5 years in the future, on a continuing basis. In the case of:

    (a) A group of insurers which includes individual unincorporated insurers, such a trust fund must not be less than $100,000,000.

    (b) A group of incorporated insurers under common administration, such a trust fund must not be less than $100,000,000. The group of incorporated insurers must:

        (1) Operate under the supervision of the Department of Trade and Industry of the United Kingdom;

        (2) Possess aggregate policyholders surplus of $10,000,000,000, which must consist of money in trust in an amount not less than the assuming insurers’ liabilities attributable to insurance written in the United States; and

        (3) Maintain a joint trusteed surplus of which $100,000,000 must be held jointly for the benefit of United States ceding insurers of any member of the group.

    (c) An insurance exchange created by the laws of a state, [such] the insurance exchange shall have and maintain a trust fund [must not be] in an amount of not less than $50,000,000[.] or have a surplus as to policyholders in an amount of not less than $50,000,000. If an insurance exchange maintains money for the protection of all policyholders, each syndicate shall maintain minimum capital and surplus of not less than $5,000,000 and must qualify separately to be eligible for the acceptance of surplus lines risks pursuant to this chapter.

The commissioner may require larger trust funds or surplus as to policyholders than those set forth in this section if, in his judgment, the volume of business being transacted or proposed to be transacted warrants larger amounts.

    3.  No insurer is eligible to write surplus lines of insurance unless it has established a reputation for financial integrity and satisfactory practices in underwriting and handling claims. In addition, a foreign insurer must be authorized in the state of its domicile to write the kinds of insurance which it intends to write in Nevada.

    4.  The commissioner may from time to time compile or approve a list of all surplus lines insurers deemed by him to be eligible currently, and may mail a copy of the list to each broker at his office last of record with the commissioner. To be placed on the list, a surplus lines insurer must file an application with the commissioner. The application must be accompanied by a nonrefundable fee of $2,450. This subsection does not require the commissioner to determine the actual financial condition or claims practices of any unauthorized insurer. The status of eligibility, if granted by the commissioner, indicates only that the insurer appears to be sound financially and to have satisfactory claims practices, and that the commissioner has no credible evidence to the contrary. While any such list is in effect, the broker shall restrict to the insurers so listed all surplus lines business placed by him.”.

    Amend the bill as a whole by deleting sec. 54 and adding:

    “Sec. 54.  (Deleted by amendment.)”.

    Amend sec. 60, page 41, line 1, by deleting:

“less than $1,000 nor” and inserting:

[less than $1,000 nor]”.

    Amend the bill as a whole by adding a new section designated sec. 63.5, following sec. 63, to read as follows:

    “Sec. 63.5.  NRS 697.100 is hereby amended to read as follows:

    697.100 1.  Except as otherwise provided in this section, no license may be issued:

    (a) Except in compliance with this chapter.

    (b) To a bail agent, bail enforcement agent or bail solicitor, unless he is a natural person.

    2.  A corporation may be licensed as a bail agent or bail enforcement agent if [ownership] :

    (a) The corporation is owned and controlled by an insurer authorized to write surety in this state or a subsidiary corporation of such an insurer; or

    (b) Ownership and control of the corporation is retained by one or more licensed agents.

    3.  This section does not prohibit two or more licensed bail agents from entering into a partnership for the conduct of their bail business. No person may be a member of such a partnership unless he is licensed pursuant to this chapter in the same capacity as all other members of the partnership. A limited partnership or a natural person may not have any proprietary interest, directly or indirectly, in a partnership or the conduct of business thereunder except licensed bail agents as provided in this chapter.”.

    Amend the bill as a whole by adding new sections designated sections 65.3, 65.5 and 65.7, following sec. 65, to read as follows:

    “Sec. 65.3.  NRS 277.055 is hereby amended to read as follows:

    277.055 1.  As used in this section:

    (a) “Medical facility” has the meaning ascribed to it in NRS 449.0151.

    (b) “Nonprofit medical facility” means a nonprofit medical facility in this or another state.

    (c) “Public agency” has the meaning ascribed to it in NRS 277.100, and includes any municipal corporation.

    2.  Any two or more public agencies or nonprofit medical facilities may enter into a cooperative agreement for the purchase of insurance or the establishment of a self-insurance reserve or fund for coverage under a plan of:

    (a) Casualty insurance, as that term is defined in NRS 681A.020;

    (b) Marine and transportation insurance, as that term is defined in NRS 681A.050;

    (c) Property insurance, as that term is defined in NRS 681A.060;

    (d) Surety insurance, as that term is defined in NRS 681A.070;

    (e) Health insurance, as that term is defined in NRS 681A.030; or

    (f) Insurance for any combination of these kinds.

    3.  Every such agreement must:

    (a) Be ratified by formal resolution or ordinance of the governing body or board of trustees of each agency or nonprofit medical facility included;

    (b) Be included in the minutes of each governing body or board of trustees, or attached in full to the minutes as an exhibit;

    (c) Be submitted to the commissioner of insurance not less than 30 days before the date on which the agreement is to become effective for approval in the manner provided by NRS 277.150; and

    (d) If a public agency is a party to the agreement, comply with the provisions of NRS 277.080 to 277.180, inclusive.

    4.  Each participating agency or nonprofit medical facility shall provide for any expense to be incurred under any such agreement.

    Sec. 65.5.  NRS 287.025 is hereby amended to read as follows:

    287.025  The governing body of any county, school district, municipal corporation, political subdivision, public corporation or other public agency of the State of Nevada may, in addition to the other powers granted in NRS 287.010 and 287.020:

    1.  Negotiate and contract with any other such agency or with the committee on benefits for the state’s group insurance plan to secure group insurance for its officers and employees and their dependents by participation in any group insurance plan established or to be established or in the state’s group insurance plan . [; and] Each such contract:

    (a) Must be submitted to the commissioner of insurance not less than 30 days before the date on which the contract is to become effective for approval.

    (b) Does not become effective unless approved by the commissioner.

    (c) Shall be deemed to be approved if not disapproved by the commissioner of insurance within 30 days after its submission.

    2.  To secure group health or life insurance for its officers and employees and their dependents, participate as a member of a nonprofit cooperative association or nonprofit corporation that has been established in this state to secure such insurance for its members from an insurer licensed pursuant to the provisions of Title 57 of NRS.

    3.  In addition to the provisions of subsection 2, participate as a member of a nonprofit cooperative association or nonprofit corporation that has been established in this state to:

    (a) Facilitate contractual arrangements for the provision of medical services to its members’ officers and employees and their dependents and for related administrative services.

    (b) Procure health-related information and disseminate that information to its members’ officers and employees and their dependents.

    Sec. 65.7.  NRS 287.0434 is hereby amended to read as follows:

    287.0434 The committee on benefits may:

    1.  Use its assets to pay the expenses of health care for its members and covered dependents, to pay its employees’ salaries and to pay administrative and other expenses.

    2.  Enter into contracts relating to the administration of a plan of insurance, including contracts with licensed administrators and qualified actuaries. Each such contract with a licensed administrator:

    (a) Must be submitted to the commissioner of insurance not less than 30 days before the date on which the contract is to become effective for approval as to the reasonableness of administrative charges in relation to contributions collected and benefits provided.

    (b) Does not become effective unless approved by the commissioner.

    (c) Shall be deemed to be approved if not disapproved by the commissioner of insurance within 30 days after its submission.

    3.  Enter into contracts with physicians, surgeons, hospitals, health maintenance organizations and rehabilitative facilities for medical, surgical and rehabilitative care and the evaluation, treatment and nursing care of members and covered dependents.

    4.  Enter into contracts for the services of other experts and specialists as required by a plan of insurance.

    5.  Charge and collect from an insurer, health maintenance organization, organization for dental care or nonprofit medical service corporation, a fee for the actual expenses incurred by the committee, the state or a participating public employer in administering a plan of insurance offered by that insurer, organization or corporation.”.

    Amend sec. 67, page 46, line 37, after “inclusive,” by inserting:

“or chapter 617”.

    Amend the bill as a whole by adding a new section designated sec. 69, following sec. 68, to read as follows:

    “Sec. 69.  Sections 20 and 67 of this act become effective at 12:01 a.m. on October 1, 1999.”.

    Amend the title of the bill to read as follows:

“AN ACT relating to insurance; revising the fees for the issuance and renewal of a license for a surplus lines broker; revising the provisions governing authorized investments by insurers; requiring the commissioner of insurance to adopt regulations for the licensing of provider‑sponsored organizations; revising the requirements for certain insurers to accept surplus lines risks; clarifying the authority of the commissioner to impose a fine or penalty or initiate or continue a disciplinary proceeding against a person who has voluntarily surrendered his license or certificate of registration; revising the provisions governing the disclosure statement required for certain umbrella policies; revising various provisions governing health insurance; requiring an applicant for a license as a general agent to file a bond; revising the requirements for the issuance of a certificate of registration as an administrator; revising the qualifications for licensure by a corporation as a bail agent or bail enforcement agent; revising the authority of the commissioner to approve certain contracts relating to the state’s group insurance plan; and providing other matters properly relating thereto.”.

    Assemblywoman Buckley moved that the Assembly do not concur in the Senate amendment to Assembly Bill No. 680.

    Remarks by Assemblywoman Buckley.

    Motion carried.

    Bill ordered transmitted to the Senate.

Recede From Senate Amendments

    Assemblyman Goldwater moved that the Assembly do not recede from its action on Senate Bill No. 477, that a conference be requested, and that Mr. Speaker appoint a first Conference Committee consisting of three members to meet with a like committee of the Senate.

    Remarks by Assemblyman Goldwater.

    Motion carried.


Appointment of Conference Committees

    Mr. Speaker appointed Assemblymen Anderson, Marvel and Freeman as a first Conference Committee to meet with a like committee of the Senate for the further consideration of Senate Bill No. 477.

Signing of Bills and Resolutions

    There being no objections, the Speaker and Chief Clerk signed Assembly Bills Nos. 39, 132, 154, 158, 182, 195, 198, 239, 306, 332, 400, 424, 458, 473, 486, 530, 533, 542, 569, 604, 621, 633; Assembly Concurrent Resolution No. 71.

GUESTS EXTENDED PRIVILEGE OF ASSEMBLY FLOOR

    On request of Assemblyman Price, the privilege of the floor of the Assembly Chamber for this day was extended to Judge Diane Steel.

    Assemblyman Perkins moved that the Assembly adjourn until Wednesday, May 26, 1999, at 11:00 a.m.

    Motion carried.

    Assembly adjourned at 5:12 p.m.

Approved:                  Joseph E. Dini, Jr.

                              Speaker of the Assembly

Attest:    Jacqueline Sneddon

                    Chief Clerk of the Assembly