THE ONE HUNDRED AND NINETEENTH DAY

                               

 

Carson City (Sunday), May 30, 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, Elder Greg Torres.

    Heavenly Father, we come before Thee this beautiful Sunday morning, and thank Thee for the many blessings Thou has blessed us with: including our families, our friends, our health, and this legislative process.  Please forgive us for those things that have not been according to Thy will.  Please bless the members of this Assembly that they might be strengthened in making decisions, and continue to work for the good of the people of Nevada.  Bless our families and friends who are in need of Thy blessings, and especially touch our friend Mrs. Jan Evans with Thy healing and comforting spirit.  We pray these things in the Name of Thy Son.          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 re-referred Senate Bill No. 259, 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 29, 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. 170, 368, 595, 622, 683, 691, 693, 697; Senate Bills Nos. 554, 555.

    Also, I have the honor to inform your honorable body that the Senate on this day passed, as amended, Senate Bill No. 353.

    Also, I have the honor to inform your honorable body that the Senate amended, and on this day passed, as amended, Assembly Bill No. 689, Amendment No. 1206, and respectfully requests your honorable body to concur in said amendment.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted Senate Concurrent Resolution No. 19.

    Also, I have the honor to inform your honorable body that the Senate on this day concurred in the Assembly Amendment No. 988 to Senate Bill No. 80; Assembly Amendment No. 1141 to Senate Bill No. 149; Assembly Amendment No. 1164 to Senate Bill No. 363; Assembly Amendment No. 1121 to Senate Bill No. 485; Assembly Amendment No. 1167 to Senate Bill No. 507; Assembly Amendment No. 1168 to Senate Bill No. 511.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the first Conference Committee concerning Assembly Bill No. 166 and appointed Senators Rhoads, Washington and Care as a second Conference Committee to meet with a like committee of the Assembly for further consideration of Assembly Bill No. 166.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the first Conference Committee concerning Assembly Bill No. 376.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the first Conference Committee concerning Assembly Bill No. 634.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the first Conference Committee concerning Assembly Joint Resolution No. 1.

    Also, 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. 128.

    Also, 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. 133.

    Also, 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. 451.

    Also, 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. 530.

    Also, I have the honor to inform your honorable body that the Senate on this day refused to adopt the report of the first Conference Committee concerning Senate Bill No. 478 and appointed Senators Townsend, Schneider and Rawson as a second Conference Committee to meet with a like committee of the Assembly for further consideration of Senate Bill No. 478.

    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators Porter, McGinness and Shaffer as a first Conference Committee concerning Senate Bill No. 192.

    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators Amodei, Jacobsen and Shaffer as a first Conference Committee concerning Senate Bill No. 302.

    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators Rhoads, Amodei and Shaffer as a first Conference Committee concerning Senate Bill No. 417.

                                      Mary Jo Mongelli

                        Assistant Secretary of the Senate

MOTIONS, RESOLUTIONS AND NOTICES

    Senate Concurrent Resolution No. 19.

    Assemblyman Perkins moved that the resolution be referred to the Committee on Elections, Procedures, and Ethics.

    Motion carried.

INTRODUCTION, FIRST READING AND REFERENCE

    Senate Bill No. 353.

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

    Motion carried.

    Senate Bill No. 554.

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

    Motion carried.


    Senate Bill No. 555.

    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 Senate Bill No. 71 be taken from the General File and placed on the Chief Clerk's desk.

    Motion carried.

    Assemblyman Perkins moved that the reading of the history of all bills be

dispensed with for this legislative day.

    Motion carried.

general file and third reading

    Assembly Bill No. 330.

    Bill read third time.

    Remarks by Assemblywomen Leslie and Freeman.

    Roll call on Assembly Bill No. 330:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Assembly Bill No. 330 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 597.

    Bill read third time.

    Remarks by Assemblymen Giunchigliani, Goldwater, Freeman, de Braga, Williams, Von Tobel, Humke and Neighbors.

    Roll call on Assembly Bill No. 597:

    Yeas—38.

    Nays—Angle, Gibbons, Gustavson—3.

    Excused—Evans.

    Assembly Bill No. 597 having received a two-thirds majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 598.

    Bill read third time.

    Remarks by Assemblywoman Giunchigliani.

    Roll call on Assembly Bill No. 598:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Assembly Bill No. 598 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 184.

    Bill read third time.

    Remarks by Assemblymen Giunchigliani, Tiffany, Carpenter and Anderson.

    Roll call on Senate Bill No. 184:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 184 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 259.

    Bill read third time.

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

    Amendment No. 1211.

    Amend the bill as a whole by deleting section 1 and renumbering sections 2 and 3 as sections 1 and 2.

    Amend the bill as a whole by deleting sec. 4 and renumbering sections 5 through 9 as sections 3 through 7.

    Amend the bill as a whole by deleting sec. 10 and adding new sections designated sections 8 through 10, following sec. 9, to read as follows:

    “Sec. 8.  Section 1 of Senate Bill No. 537 of this session is hereby amended to read as follows:

    Section 1.  Chapter 360 of NRS is hereby amended by adding thereto a new section to read as follows:

    1.  A person who intends to locate or expand a business in this state may apply to the commission on economic development for a partial abatement of one or more of the taxes imposed on the new or expanded business pursuant to chapter 361, 364A or 374 of NRS.

    2.  The commission on economic development shall approve an application for a partial abatement if the commission makes the following determinations:

    (a) The business is consistent with:

        (1) The state plan for industrial development and diversification that is developed by the commission pursuant to NRS 231.067; and

        (2) Any guidelines adopted pursuant to the state plan.

    (b) The applicant has executed an agreement with the commission which states that the business will, after the date on which a certificate of eligibility for the abatement is issued pursuant to subsection 5, continue in operation in this state for a period specified by the commission, which must be at least 5 years, and will continue to meet the eligibility requirements set forth in this subsection. The agreement must bind the successors in interest of the business for the specified period.

    (c) The business is registered pursuant to the laws of this state or the applicant commits to obtain a valid business license and all other permits required by the county, city or town in which the business operates.

    (d) Except as otherwise provided in NRS 361.0687, if the business is a new business in a county or city whose population is 50,000 or more, the business meets at least two of the following requirements:

        (1) The business will have 75 or more full-time employees on the payroll of the business by the fourth quarter that it is in operation.

        (2) Establishing the business will require the business to make a capital investment of at least $1,000,000 in this state.

        (3) The average hourly wage that will be paid by the new business to its employees in this state is at least 100 percent of the average statewide hourly wage as established by the employment security division of the department of employment, training and rehabilitation on July 1 of each fiscal year and:

            (I) The business will provide a health insurance plan for all employees that includes an option for health insurance coverage for dependents of the employees; and

            (II) The cost to the business for the benefits the business provides to its employees in this state will meet the minimum requirements for benefits established by the commission by regulation pursuant to subsection 9.

    (e) Except as otherwise provided in NRS 361.0687, if the business is a new business in a county or city whose population is less than 50,000, the business meets at least two of the following requirements:

        (1) The business will have 25 or more full-time employees on the payroll of the business by the fourth quarter that it is in operation.

        (2) Establishing the business will require the business to make a capital investment of at least $250,000 in this state.

        (3) The average hourly wage that will be paid by the new business to its employees in this state is at least 100 percent of the average statewide hourly wage as established by the employment security division of the department of employment, training and rehabilitation on July 1 of each fiscal year and:

            (I) The business will provide a health insurance plan for all employees that includes an option for health insurance coverage for dependents of the employees; and

            (II) The cost to the business for the benefits the business provides to its employees in this state will meet the minimum requirements for benefits established by the commission by regulation pursuant to subsection 9.

    (f) If the business is an existing business, the business meets at least two of the following requirements:

        (1) The business will increase the number of employees on its payroll by 10 percent more than it employed in the immediately preceding fiscal year or by six employees, whichever is greater.

        (2) The business will expand by making a capital investment in this state in an amount equal to at least 20 percent of the value of the tangible property possessed by the business in the immediately preceding fiscal year. The determination of the value of the tangible property possessed by the business in the immediately preceding fiscal year must be made by the:

            (I) County assessor of the county in which the business will expand, if the business is locally assessed; or

            (II) Department, if the business is centrally assessed.

        (3) The average hourly wage that will be paid by the existing business to its new employees in this state is at least 100 percent of the average statewide hourly wage as established by the employment security division of the department of employment, training and rehabilitation on July 1 of each fiscal year and:

            (I) The business will provide a health insurance plan for all new employees that includes an option for health insurance coverage for dependents of the employees; and

            (II) The cost to the business for the benefits the business provides to its new employees in this state will meet the minimum requirements for benefits established by the commission by regulation pursuant to subsection 9.

    3.  Notwithstanding the provisions of subsection 2, the commission on economic development may:

    (a) Approve an application for a partial abatement by a business that does not meet the requirements set forth in paragraph (d), (e) or (f) of subsection 2;

    (b) Make the requirements set forth in paragraph (d), (e) or (f) of subsection 2 more stringent; or

    (c) Add additional requirements that a business must meet to qualify for a partial abatement,

if the commission determines that such action is necessary.

    4.  If a person submits an application to the commission on economic development pursuant to subsection 1, the commission shall provide notice to the governing body of the county and the city or town, if any, in which the person intends to locate or expand a business. The notice required pursuant to this subsection must set forth the date, time and location of the hearing at which the commission will consider the application.

    5.  If the commission on economic development approves an application for a partial abatement, the commission shall immediately forward a certificate of eligibility for the abatement to:

    (a) The department;

    (b) The Nevada tax commission; and

    (c) If the partial abatement is from the property tax imposed pursuant to chapter 361 of NRS, the county treasurer.

    6.  An applicant for a partial abatement pursuant to this section or an existing business whose partial abatement is in effect shall, upon the request of the executive director of the commission on economic development, furnish the executive director with copies of all records necessary to verify that the applicant meets the requirements of subsection 2.

    7.  If a business whose partial abatement has been approved pursuant to this section and is in effect ceases:

    (a) To meet the requirements set forth in subsection 2; or

    (b) Operation before the time specified in the agreement described in paragraph (b) of subsection 2,

the business shall repay to the department or, if the partial abatement was from the property tax imposed pursuant to chapter 361 of NRS, to the county treasurer, the amount of the exemption that was allowed pursuant to this section before the failure of the business to comply unless the Nevada tax commission determines that the business has substantially complied with the requirements of this section. [The business is also required to] Except as otherwise provided in NRS 360.320 and section 2 of Senate Bill No. 362 of this session, the business shall, in addition to the amount of the exemption required to be paid pursuant to this subsection, pay interest on the amount due at the rate most recently established pursuant to NRS 99.040 for each month, or portion thereof, from the last day of the month following the period for which the payment would have been made had the partial abatement not been approved until the date of payment of the tax.

    8.  A county treasurer:

    (a) Shall deposit any money that he receives pursuant to subsection 7 in one or more of the funds established by a local government of the county pursuant to NRS 354.611, 354.6113 or 354.6115; and

    (b) May use the money deposited pursuant to paragraph (a) only for the purposes authorized by NRS 354.611, 354.6113 and 354.6115.

    9.  The commission on economic development:

    (a) Shall adopt regulations [regarding:] relating to:

        (1) The minimum level of benefits that a business must provide to its employees if the business is going to use benefits paid to employees as a basis to qualify for a partial abatement; and

        (2) The notice that must be provided pursuant to subsection 4.

    (b) May adopt such other regulations as the commission on economic development determines to be necessary to carry out the provisions of this section.

    10.  The Nevada tax commission:

    (a) Shall adopt regulations regarding:

        (1) The capital investment that a new business must make to meet the requirement set forth in paragraph (d) or (e) of subsection 2; and

        (2) Any security that a business is required to post to qualify for a partial abatement pursuant to this section.

    (b) May adopt such other regulations as the Nevada tax commission determines to be necessary to carry out the provisions of this section.

    11.  An applicant for an abatement who is aggrieved by a final decision of the commission on economic development may petition for judicial review in the manner provided in chapter 233B of NRS.

    Sec. 9.  1.  NRS 364A.153 and 608.325 are hereby repealed.

    2.  Sections 12, 20 and 39 of Senate Bill No. 362 of this session are hereby repealed.

    Sec. 10.  1.  This section and subsection 2 of section 9 of this act become effective upon passage and approval.

    2.  Section 8 of this act becomes effective on July 1, 1999.

    3.  Sections 1 to 7, inclusive, and subsection 1 of section 9 of this act become effective on October 1, 1999.”.

    Amend the text of repealed sections by adding the text of sections 12, 20 and 39 of Senate Bill No. 362 of this session.

    Amend the title of the bill to read as follows:

“AN ACT relating to business; exempting a business that creates or produces motion pictures from the requirement of obtaining a business license from the department of taxation; increasing the membership of the commission on tourism; revising the provisions concerning legislative appropriations to the commission on economic development for awarding grants to develop certain programs for occupational education; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

“SUMMARY—Revises provisions governing licensing of businesses that create or produce motion pictures. (BDR 32‑1099)”.

    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 COMMITTEES

Mr. Speaker:

    Your Committee on Ways and Means, to which were referred Assembly Bill No. 698; Senate Bills Nos. 353, 466, 550, has had the same under consideration, and begs leave to report the same back with the recommendation: Do pass.

Morse Arberry Jr., Chairman

general file and third reading

    Assembly Bill No. 698.

    Bill read third time.

    Remarks by Assemblywoman Giunchigliani.

    Roll call on Assembly Bill No. 698:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Assembly Bill No. 698 having received a constitutional majority, Mr. Speaker declared it passed.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 466.

    Bill read third time.

    Remarks by Assemblywoman Giunchigliani.

    Roll call on Senate Bill No. 466:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 466 having received a constitutional majority, Mr. Speaker declared it passed.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 550.

    Bill read third time.

    Remarks by Assemblyman Beers.

    Roll call on Senate Bill No. 550:

    Yeas—38.

    Nays—Collins, Giunchigliani, Price—3.

    Excused—Evans.

    Senate Bill No. 550 having received a constitutional majority, Mr. Speaker declared it passed.

    Bill ordered transmitted to the Senate.

    Mr. Speaker announced that if there were no objections, the Assembly would recess subject to the call of the Chair.

    Assembly in recess at 12:14 p.m.

ASSEMBLY IN SESSION

    At 1:13 p.m.

    Mr. Speaker presiding.

    Quorum present.

UNFINISHED BUSINESS

Reports of Conference Committees

Mr. Speaker:

    The second Conference Committee concerning Assembly Bill No. 238, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA29, which is attached to and hereby made a part of this report.

 

Barbara E. Buckley

Maurice Washington

Dawn Gibbons

Randolph J. Townsend

Ellen M. Koivisto

Michael A. Schneider

Assembly Conference Committee

Senate Conference Committee

   

    Conference Amendment No. CA29.

    Amend sec. 7, page 2, by deleting lines 18 through 26 and inserting:

    “2.  The state board of health shall adopt regulations to carry out the provisions of sections 3 to 9, inclusive, of this act. The regulations must:

    (a) Establish a procedure to inform a patient that his name will be used for research and referrals to related services unless he requests the exclusion of his name from the system; and

    (b) Require the exclusion from the system of the name of a patient if the patient or, if the patient is a minor, a parent or legal guardian of the patient has requested in writing to exclude the name of the patient from the system.”.

    Amend sec. 8, page 3, by deleting lines 1 and 2 and inserting:

the patient is a minor, a parent or legal guardian of the patient has requested in writing to exclude the name of the patient from”.

    Amend sec. 17, page 8, line 29, after “therapy” by inserting:

and listed on a transplant list generally recognized in the medical field”.

    Amend sec. 18, page 8, line 34, by deleting “458.360,” and inserting “458.350,”.

    Amend sec. 18, page 8, line 38, by deleting “458.360,” and inserting “458.350,”.

    Amend sec. 18, page 8, line 40, by deleting “such” and inserting “that”.

    Amend sec. 18, page 9, line 1, by deleting “458.360,” and inserting “458.350,”.

    Amend sec. 18, page 9, line 4, by deleting “458.360,” and inserting “458.350,”.

    Amend the bill as whole by renumbering sections 20 through 22 as sections 21 through 23 and adding a new section designated sec. 20, following sec. 19, to read as follows:

    “Sec. 20.  NRS 629.171 is hereby amended to read as follows:

    629.171  It is unlawful to disclose or to compel a person to disclose the identity of a person who was the subject of a genetic test or to disclose genetic information of that person in a manner that allows identification of the person, without first obtaining the informed consent of that person or his legal guardian pursuant to NRS 629.181, unless the information is disclosed:

    1.  To conduct a criminal investigation, an investigation concerning the death of a person, or a criminal or juvenile proceeding;

    2.  To determine the parentage or identity of a person pursuant to NRS 56.020;

    3.  To determine the paternity of a person pursuant to NRS 126.121 or 425.384;

    4.  Pursuant to an order of a court of competent jurisdiction;

    5.  By a physician and is the genetic information of a deceased person that will assist in the medical diagnosis of persons related to the deceased person by blood;

    6.  To a federal, state, county or city law enforcement agency to establish the identity of a person or dead human body;

    7.  To determine the presence of certain preventable or inheritable disorders in an infant pursuant to NRS 442.115 or a provision of federal law;

    8.  To carry out the provisions of sections 3 to 9, inclusive, of this act; or

    [8.] 9. By an agency of criminal justice pursuant to NRS 179A.075.”.

    Amend sec. 22, page 10, by deleting line 7 and inserting:

    “Sec. 23.  Sections 10, 13, 18 and 20 of this act become effective at 12:01 a.m.”

    Assemblywoman Buckley moved that the Assembly adopt the report of the second Conference Committee concerning Assembly Bill No. 238.

    Remarks by Assemblywoman Buckley.

    Motion carried.

Mr. Speaker:

    The second Conference Committee concerning Assembly Bill No. 267, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

 

Bernard Anderson

Mark James

Barbara E. Buckley

Dina Titus

John C. Carpenter

Maurice E. Washington

Assembly Conference Committee

Senate Conference Committee

 

    Assemblyman Anderson moved that the Assembly adopt the report of the first Conference Committee concerning Assembly Bill No. 267.

    Remarks by Assemblyman Anderson.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Assembly Bill No. 408, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA27, which is attached to and hereby made a part of this report.

 

Douglas A. Bache

Dean A. Rhoads

Kathy A. Von Tobel

Ann O'Connell

Bonnie L. Parnell

Maggie Carlton

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA27.

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

    “Sec. 3.  Section 2.280 of the charter of the City of North Las Vegas, being chapter 573, Statutes of Nevada 1971, as last amended by chapter 565, Statutes of Nevada 1997, at page 2758, is hereby amended to read as follows:

    Sec. 2.280  Powers of city council: Provision of utilities.

    1.  Except as otherwise provided in subsection 3 and section 2.285, the city council may:

    (a) Provide, by contract, franchise and public enterprise, for any utility to be furnished to the city for residents located [either] within or without the city.

    (b) Provide for the construction and maintenance of any facilities necessary for the provision of all such utilities.

    (c) Prescribe, revise and collect rates, fees, tolls and charges for the services, facilities or commodities furnished by any municipally operated or municipally owned utility or undertaking. Notwithstanding any provision of this charter to the contrary or in conflict herewith, no rates, fees, tolls or charges for the services, facilities or commodities furnished by any municipally operated or municipally owned utility or undertaking may be prescribed, revised, amended or altered, increased or decreased, without this procedure first being followed:

        (1) There must be filed with the city clerk schedules of rates, fees, tolls or charges which must be open to public inspection, showing all rates, fees, tolls or charges which the city has established and which are in force at the time for any service performed or product furnished in connection therewith by any utility controlled and operated by the city.

        (2) No changes may be made in any schedule so filed with the city clerk except upon 30 days’ notice to the inhabitants of the city and a public hearing held thereon. Notice of the proposed change or changes must be given by at least two publications in a newspaper published in the city during the 30‑day period before the hearing thereon.

        (3) At the time set for the hearing on the proposed change, any person may appear and be heard and offer any evidence in support of or against the proposed change.

        (4) Every utility operated by the city shall furnish reasonably adequate service and facilities, and the charges made for any service rendered or to be rendered, or for any service in connection therewith or incidental thereto, must be just and reasonable.

    (d) Provide, by ordinance, for an additional charge to each business customer and for each housing unit within the city to which water is provided by a utility of up to 25 cents per month. If such a charge is provided for, the city council shall, by ordinance, provide for the expenditure of that money for any purpose relating to the beautification of the city.

    2.  Any charges due for services, facilities or commodities furnished by the city or by any utility operated by the city pursuant to this section is a lien upon the property to which the service is rendered and must be perfected by filing with the county recorder of Clark County of a statement by the city clerk stating the amount due and unpaid and describing the property subject to the lien. Each such lien must:

    (a) Be coequal with the latest lien thereon to secure the payment of general taxes.

    (b) Not be subject to extinguishment by the sale of any property on account of the nonpayment of general taxes.

    (c) Be prior and superior to all liens, claims, encumbrances and titles other than the liens of assessments and general taxes.

    3.  The city council:

    (a) Shall not sell telecommunications service to the general public.

    (b) May purchase or construct facilities for providing telecommunications that intersect with public rights of way if the governing body:

        (1) Conducts a study to evaluate the costs and benefits associated with purchasing or constructing the facilities; and

        (2) Determines from the results of the study that the purchase or construction is in the interest of the general public.

    4.  Any information relating to the study conducted pursuant to subsection 3 must be maintained by the city clerk and made available for public inspection during the business hours of the office of the city clerk.

    5.  Notwithstanding the provisions of paragraph (a) of subsection 3, an airport may sell telecommunications service to the general public.

    6.  As used in this section:

    (a) “Housing unit” means a:

        (1) Single-family dwelling;

        (2) Townhouse, condominium or cooperative apartment;

        (3) Unit in a multiple-family dwelling or apartment complex; or

        (4) Mobile home.

    (b) “Telecommunications” has the meaning ascribed to it in 47 U.S.C. § 153(43), as that section existed on July 16, 1997.

    [(b)] (c) “Telecommunications service” has the meaning ascribed to it in 47 U.S.C. § 153(46), as that section existed on July 16, 1997.”.

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

    Amend sec. 4, page 4, by deleting line 5 and inserting:

    “2.  Sections 1 and 3 of this act become effective on October 1, 1999.”.

    Amend the title of the bill, fifth line, after “recorder;” by inserting:

“revising the method for calculating the fee charged to a user of water for the beautification of the City of North Las Vegas;”.

    Amend the summary of the bill, first line, by deleting “water.” and inserting:

“water and revises method for calculating certain charge for water.”.

    Assemblyman Bache moved that the Assembly adopt the report of the first Conference Committee concerning Assembly Bill No. 408.

    Remarks by Assemblyman Bache.

    Motion carried.

 Mr. Speaker:

    The first Conference Committee concerning Assembly Bill No. 669, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

 

David E. Goldwater

Ann O'Connell

Bernard Anderson

Michael Schneider

Greg Brower

Dean A. Rhoads

Assembly Conference Committee

Senate Conference Committee

 

    Assemblyman Goldwater moved that the Assembly adopt the report of the first Conference Committee concerning Assembly Bill No. 669.

    Remarks by Assemblyman Goldwater.

    Motion carried.

    Mr. Speaker announced that if there were no objections, the Assembly would recess subject to the call of the Chair.

    Assembly in recess at 1:19 p.m.

ASSEMBLY IN SESSION

    At 2: 31p.m.

    Mr. Speaker presiding.

    Quorum present.

MOTIONS, RESOLUTIONS AND NOTICES

    Assemblyman Goldwater moved that the vote whereby the Conference Committee Report to Assembly Bill No. 669 was adopted be rescinded.

    Remarks by Goldwater.

    Motion carried.

UNFINISHED BUSINESS

Reports of Conference Committees

Mr. Speaker:

    The first Conference Committee concerning Assembly Bill No. 669, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA31, which is attached to and hereby made a part of this report.

 

David E. Goldwater

Ann O'Connell

Bernard Anderson

Michael Schneider

Greg Brower

Dean A. Rhoads

Assembly Conference Committee

Senate Conference Committee

 

    Conference Committee No. CA31.

    Amend sec. 7, page 7, by deleting line: 32 and inserting

“to any taxes paid pursuant to NRS 463.401 before”.

    Assemblyman Goldwater moved that the Assembly adopt the report of the first Conference Committee concerning Assembly Bill No. 669.

    Remarks by Assemblyman Goldwater.

    Motion carried.

 REMARKS FROM THE FLOOR

    Assemblyman Goldwater requested that his remarks be entered in the Journal:

    It is the agreement of the State Gaming Control Board and the intent of the conference committees that there will be no attempt to assess the casino entertainment tax on credit card service charges that were collected and maintained by persons other than the licensee.

    This does not preclude the board from making a deficiency tax determination on credit card service charges collected or retained by the licensee.  In the case of such deficiency tax determination, the licensee may seek a redetermination before the Nevada Gaming Commission that the service charges, as a matter of fact and law, were collected and retained by a third person.   Assembly Bill No. 669 would have no bearing on the outcome of this redetermination.

    The legislative intent of A.B. No. 669 is as follows:

(1)     The casino entertainment tax does not apply to service charges, including those imposed in

connection with use of credit cards or debit cards, that are collected and retained by persons other than the licensee.

(2)     A.B. No. 669 shall not be used to justify any refund of casino entertainment taxes that have

been paid.  If the tax has been paid, that is the end of the matter.

(3)     A.B. No. 669 shall not be used to justify any deficiency tax assessment by the State

Gaming Control Board for periods preceding the effective date of the bill.  In other words, the mere fact that a service charge is a credit card service does not support a deficiency tax assessment.

UNFINISHED BUSINESS

Reports of Conference Committees

Mr. Speaker:

    The first Conference Committee concerning Assembly Bill No. 680, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA26, which is attached to and hereby made a part of this report.

 

David E. Goldwater

Dean A. Rhoads

Gene Segerblom

Randolph J. Townsend

Lynn C. Hettrick

 

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA26.

    Amend the bill as a whole by deleting sections 5.2 through 5.8 and inserting:

    “Secs. 5.2-5.8.  (Deleted by amendment.)”.

    Amend sec. 23, page 18, line 7, by deleting “bank account]” and inserting “account]”.

    Amend sec. 23, page 18, line 8, by deleting “in a” and inserting:

“in a bank , [or] credit union[.] or other”.

    Amend sec. 23, page 18, line 13, by deleting:

[bank in which]” and inserting:

“bank , [or] credit union [in which] or other”.

    Amend sec. 23, page 18, line 16, by deleting “[all bank” and inserting: “[all”.

    Amend sec. 33, page 26, by deleting lines 20 through 26 and inserting:

    “9.  A public health plan as defined in 45 C.F.R. § 146.113, authorized by the Public Health Service Act, [section 2701(c)(1)(I), as amended by Public Law 104-191,] 42 U.S.C. § 300gg(c)(1)(I);

    10.  A health benefit plan under section 5(e) of the Peace Corps Act, 22 U.S.C. § 2504(e); [or]

    11.  The children’s health insurance program established pursuant to 42 U.S.C. §§ 1397aa to 1397jj, inclusive[.] ;

    12.  A short-term health insurance policy; or

    13.  A blanket student accident and health insurance policy.”.

    Amend sec. 40, pages 30 and 31, by deleting lines 41 through 43 on page 30 and lines 1 through 4 on page 31 and inserting:

    “9.  A public health plan as defined in 45 C.F.R. § 146.113, authorized by the Public Health Service Act, [section 2701(c)(1)(I), as amended by Public Law 104-191,] 42 U.S.C. § 300gg(c)(1)(I);

    10.  A health benefit plan under section 5(e) of the Peace Corps Act, 22 U.S.C. § 2504(e); [or]

    11.  The children’s health insurance program established pursuant to 42 U.S.C. §§ 1397aa to 1397jj, inclusive[.] ;

    12.  A short-term health insurance policy; or

    13.  A blanket student accident and health insurance policy.”.

    Amend sec. 41, page 31, line 8, before “payment” by inserting “the”.

    Amend sec. 41, page 31, by deleting lines 24 and 25 and inserting:

“issued pursuant to the Health Insurance Portability and Accountability Act of 1996, Public Law 104-191, under which benefits for medical care”.

    Amend sec. 41, page 31, by deleting lines 37 and 38 and inserting:

“adopted pursuant to the Health Insurance Portability and Accountability Act of 1996, Public Law 104-191.”.

    Amend sec. 41, page 31, line 39, by deleting “689B.600,” and inserting “689B.590,”.

    Amend sec. 41, page 32, line 5, by deleting “689B.600,” and inserting “689B.590,”.

    Amend sec. 41, page 32, line 9, by deleting:

42 U.S.C. § 1395ss,” and inserting:

“42 U.S.C. § 1395ss,”.

    Amend sec. 41, page 32, by deleting lines 12 through 14 and inserting:

“the Civilian Health and Medical Program of Uniformed Services, CHAMPUS, 10 U.S.C. §§ 1071 et seq.; and”.

    Amend sec. 48, page36, by deleting lines 7 through 11 and inserting:

Public Law 104-191;] 42 U.S.C. § 300gg(c)(1)(I);

    10.  A health benefit plan under section 5(e) of the Peace Corps Act, 22 U.S.C. § 2504(e); [or]

    11.  The children’s health insurance program established pursuant to 42 U.S.C. §§ 1397aa to 1397jj, inclusive[.] ;

    12.  A short-term health insurance policy; or

    13.  A blanket student accident and health insurance policy.”.

    Amend the bill as a whole by deleting sections 61 and 62 and inserting:

    “Secs. 61 and 62.  (Deleted by amendment.)”.

    Amend the bill as a whole by renumbering sections 68 and 69 as sections 69 and 70 and adding a new section designated sec. 68, following sec. 67, to read as follows:

    “Sec. 68.  Section 38 of Senate Bill No. 37 of this session is hereby amended to read as follows:

    Sec. 38.  NRS 616B.500 is hereby amended to read as follows:

    616B.500 1.  An insurer may enter into a contract to have his plan of insurance administered by a third-party administrator.

    2.  An insurer shall not enter into a contract with any person for the administration of any part of the plan of insurance unless that person maintains an office in this state and has a certificate issued by the commissioner pursuant to section 14 of [this act. The system may, as a part of a contract entered into with an organization for managed care pursuant to NRS 616B.515, require the organization to act as its third-party administrator.] Assembly Bill No. 680 of this session.”.

    Amend sec. 69, page 51, line 23, by deleting “20” and inserting “20, 23”.

    Assemblyman Goldwater moved that the Assembly adopt the report of the first Conference Committee concerning Assembly Bill No. 680.

    Remarks by Assemblyman Goldwater.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 128, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Assembly be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA19, which is attached to and hereby made a part of this report.

 

David R. Parks

Raymond C. Shaffer

Chris Giunchigliani

Mark E. Amodei

Merle A. Berman

Randolph J. Townsend

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA19.

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

in a telephone directory”.

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

shall, at its discretion:” and inserting “shall:”.

    Amend section 3, page 4, by deleting lines 2 and 3 and inserting:

“board summarily suspends the license of the contractor, the board must notify the contractor by certified mail. A hearing must be held within 30 days after the suspension if the contractor submits a written request for a hearing to the board within 20 days after the board summarily suspends his license.”.

    Amend sec. 4, page 4, by deleting lines 9 through 11 and inserting:

service to disconnect the telephone number.”.

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

    “Sec. 7.  Section 3 of this act becomes effective at 12:01 a.m. on October 1, 1999.”

    Amend the title of the bill, third line, by deleting “certain”.

    Amend the summary of the bill, third line, by deleting “certain”.

    Assemblyman Parks moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 128.

    Remarks by Assemblyman Parks.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 133, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Assembly be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA17, which is attached to and hereby made a part of this report.

 

Gene Segerblom

Ann O'Connell

David E. Goldwater

Dean A. Rhoads

Bob Beers

Randolph J. Townsend

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA17.

    Amend sec. 6.5, page 3, by deleting line 18 and inserting:

    “5.  An owner or”.

    Amend sec. 8, page 3, by deleting lines 29 and 30 and inserting:

contractor, if the estimated total cost of the construction project is equal to or greater than the threshold amount established by the commissioner pursuant to subsection 3; and

    (b) As a condition”.

    Amend sec. 8, page 4, between lines 2 and 3, by inserting:

    “3.  The commissioner shall establish the threshold amount that the estimated total cost of a construction project must be equal to or greater than before a consolidated insurance program may be established and administered for that project pursuant to this section. The base amount for the threshold must initially be $150,000,000 and thereafter must be an amount equal to $150,000,000 as adjusted by the commissioner on June 30 of each year to reflect the present value of that amount with respect to the construction cost index.

    4.  As used in this section:

    (a) “Construction cost index” means the construction cost index published by the Engineering News-Record as a measure of inflation.

    (b) “Estimated total cost” means the estimated cost to complete all parts of a construction project, including, without limitation, the cost of:

        (1) Designing the project;

        (2) Acquiring the real property on which the project will be constructed;

        (3) Connecting the project to utilities;

        (4) Excavating and carrying out underground improvements for the project; and

        (5) Acquiring equipment and furnishings for the project.

The term does not include the cost of any fees or charges associated with acquiring the money necessary to complete the project.”.

    Amend sec. 9, page 4, by deleting sec. 9 and adding:

    “Sec. 9.  (Deleted by amendment.)”.

    Amend sec. 14, page 6, by deleting lines 3 and 4 and inserting:

    “Sec. 14.  A consolidated insurance program that a private company,”.

    Amend sec. 16, page 7, by deleting lines 8 through 16 and inserting:

    “2.  A contractor or subcontractor who is engaged in the construction of a project that is covered by a consolidated insurance program shall maintain separate industrial insurance”.

    Amend sec. 16, page 7, by deleting lines 22 through 24 and inserting:

    “3.  The owner or principal contractor of a construction project shall reimburse”.

    Amend sec. 17, page 7, by deleting line 37 and inserting:

    “Sec. 17.  If an”.

    Amend sec. 22, page 9, line 28, after “inclusive,” by inserting “or 617”.

    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.  Sections 68.8 and 140 of Senate Bill No. 37 of this session are hereby amended to read as follows:

    Sec. 68.8.  NRS 616D.120 is hereby amended to read as follows:

    616D.120 1.  Except as otherwise provided in this section, if the administrator determines that an insurer, organization for managed care, health care provider, third-party administrator or employer has:

    (a) Through fraud, coercion, duress or undue influence:

        (1) Induced a claimant to fail to report an accidental injury or occupational disease;

        (2) Persuaded a claimant to settle for an amount which is less than reasonable;

        (3) Persuaded a claimant to settle for an amount which is less than reasonable while a hearing or an appeal is pending; or

        (4) Persuaded a claimant to accept less than the compensation found to be due him by a hearing officer, appeals officer, court of competent jurisdiction, written settlement agreement, written stipulation or the division when carrying out its duties pursuant to chapters 616A to 617, inclusive, of NRS;

    (b) Refused to pay or unreasonably delayed payment to a claimant of compensation found to be due him by a hearing officer, appeals officer, court of competent jurisdiction, written settlement agreement, written stipulation or the division when carrying out its duties pursuant to chapters 616A to 616D, inclusive, or chapter 617 of NRS, if the refusal or delay occurs:

        (1) Later than 10 days after the date of the settlement agreement or stipulation;

        (2) Later than 30 days after the date of the decision of a court, hearing officer, appeals officer or division, unless a stay has been granted; or

        (3) Later than 10 days after a stay of the decision of a court, hearing officer, appeals officer or division has been lifted;

    (c) Refused to process a claim for compensation pursuant to chapters 616A to 616D, inclusive, or chapter 617 of NRS;

    (d) Made it necessary for a claimant to initiate proceedings pursuant to chapters 616A to 616D, inclusive, or chapter 617 of NRS for compensation found to be due him by a hearing officer, appeals officer, court of competent jurisdiction, written settlement agreement, written stipulation or the division when carrying out its duties pursuant to chapters 616A to 616D, inclusive, or chapter 617 of NRS;

    (e) Failed to comply with the division’s regulations covering the payment of an assessment relating to the funding of costs of administration of chapters 616A to 617, inclusive, of NRS;

    (f) Failed to provide or unreasonably delayed payment to an injured employee or reimbursement to an insurer pursuant to NRS 616C.165; or

    (g) Intentionally failed to comply with any provision of, or regulation adopted pursuant to, this chapter or chapter 616A, 616B, 616C or 617 of NRS,

the administrator shall impose an administrative fine of $1,000 for each initial violation, or a fine of $10,000 for a second or subsequent violation.

    2.  Except as otherwise provided in chapters 616A to 616D, inclusive, or chapter 617 of NRS, if the administrator determines that an insurer, organization for managed care, health care provider, third-party administrator or employer has failed to comply with any provision of this chapter or chapter 616A, 616B, 616C or 617 of NRS, or any regulation adopted pursuant thereto, the administrator may take any of the following actions:

    (a) Issue a notice of correction for:

        (1) A minor violation, as defined by regulations adopted by the division; or

        (2) A violation involving the payment of compensation in an amount which is greater than that required by any provision of this chapter or chapter 616A, 616B, 616C or 617 of NRS, or any regulation adopted pursuant thereto.

The notice of correction must set forth with particularity the violation committed and the manner in which the violation may be corrected. [Nothing in] The provisions of this section [authorizes] do not authorize the administrator to modify or negate in any manner a determination or any portion of a determination made by a hearing officer, appeals officer or court of competent jurisdiction or a provision contained in a written settlement agreement or written stipulation.

    (b) Impose an administrative fine for:

        (1) A second or subsequent violation for which a notice of correction has been issued pursuant to paragraph (a); or

        (2) Any other violation of this chapter or chapter 616A, 616B, 616C or 617 of NRS, or any regulation adopted pursuant thereto, for which a notice of correction may not be issued pursuant to paragraph (a).

The fine imposed may not be greater than $250 for an initial violation, or more than $1,000 for any second or subsequent violation.

    (c) Order a plan of corrective action to be submitted to the administrator within 30 days after the date of the order.

    3.  If the administrator determines that a violation of any of the provisions of paragraphs (a) to (d), inclusive, of subsection 1 has occurred, the administrator shall order the insurer, organization for managed care, health care provider, third-party administrator or employer to pay to the claimant a benefit penalty in an amount [equal to 50 percent of the compensation due or $10,000, whichever is less. In no event may a benefit penalty be less than $500. The] that is not less than $5,000 and not greater than $25,000. To determine the amount of the benefit penalty, the administrator shall consider the degree of physical harm suffered by the injured employee or his dependents as a result of the violation of paragraph (a), (b), (c) or (d) of subsection 1, the amount of compensation found to be due the claimant and the number of fines and benefit penalties previously imposed against the insurer, organization for managed care, health care provider, third-party administrator or employer pursuant to this section. If this is the third violation within 5 years for which a benefit penalty has been imposed against the insurer, organization for managed care, health care provider, third-party administrator or employer, the administrator shall also consider the degree of economic harm suffered by the injured employee or his dependents as a result of the violation of paragraph (a), (b), (c) or (d) of subsection 1. Except as otherwise provided in this section, the benefit penalty is for the benefit of the claimant and must be paid directly to him within 10 days after the date of the administrator’s determination. If the claimant is the injured employee and he dies before the benefit penalty is paid to him, the benefit penalty must be paid to his estate. Proof of the payment of the benefit penalty must be submitted to the administrator within 10 days after the date of his determination unless an appeal is filed pursuant to NRS 616D.140. Any compensation to which the claimant may otherwise be entitled pursuant to chapters 616A to 616D, inclusive, or chapter 617 of NRS must not be reduced by the amount of any benefit penalty received pursuant to this subsection.

    4.  In addition to any fine or benefit penalty imposed pursuant to this section, the administrator may assess against an insurer who violates any regulation concerning the reporting of claims expenditures used to calculate an assessment an administrative penalty of up to twice the amount of any underpaid assessment.

    5.  If:

    (a) The administrator determines that a person has violated any of the provisions of NRS 616D.200, 616D.220, 616D.240, 616D.300, 616D.310 or 616D.350 to 616D.440, inclusive; and

    (b) The fraud control unit for industrial insurance established pursuant to NRS 228.420 notifies the administrator that the unit will not prosecute the person for that violation,

the administrator shall impose an administrative fine of not more than $10,000.

    6.  Two or more fines of $1,000 or more imposed in 1 year for acts enumerated in subsection 1 must be considered by the commissioner as evidence for the withdrawal of:

    (a) A certificate to act as a self-insured employer.

    (b) A certificate to act as an association of self-insured public or private employers.

    (c) A certificate of registration as a third-party administrator.

    7.  The commissioner may, without complying with the provisions of NRS 616B.327 or 616B.431, withdraw the certification of a self-insured employer, association of self-insured public or private employers or third-party administrator if, after a hearing, it is shown that the self-insured employer, association of self-insured public or private employers or third-party administrator violated any provision of subsection 1.

    Sec. 140.  1.  This section, section 27, subsection 1 of section 127, and sections 128 and 129 of this act become effective upon passage and approval.

    2.  Subsection 1 of section 132 of this act becomes effective on June 1, 1999.

    3.  Sections 2, 3, 12.5, 86.1, 86.2, 86.6 to 86.9, inclusive, 96.5, 116, 122, 126.3, 127.5 , 130 and 135 of this act become effective on July 1, 1999.

    [3.] 4.  Section 86.4 of this act becomes effective on July 1, 1999, only if Assembly Bill No. 660 of this session is enacted by the legislature.

    [4.] 5.  Sections 20.5, 35, 89, 117 and 139.4 of this act become effective at 12:01 a.m. on July 1, 1999.

    [5.] 6.  Sections 20, 24, 25, 26 and 96 and [subsection 1 of section 132] of this act become effective on the date the governor issues a proclamation pursuant to subsection 1 of section 129 of this act.

    [6.] 7.  Sections 29 and 126.5 of this act become effective on the date the governor issues a proclamation pursuant to subsection 1 of section 129 of this act, only if the governor issues the proclamation before October 1, 1999.

    [7.] 8.  Section 29.5 of this act becomes effective:

    (a) At 12:01 a.m. on October 1, 1999, only if the governor issues
a proclamation pursuant to subsection 1 of section 129 of this act on October 1, 1999; or

    (b) On the date the governor issues a proclamation pursuant to subsection 1 of section 129 of this act, only if the governor issues the proclamation after October 1, 1999.

    [8.] 9.  Sections 49.5, 52.5, 53.5, 57.2, 57.4, 62.1 to 62.5, inclusive, 68.2 to 68.8, inclusive, 80.5 and 139.2 of this act become effective on January 1, 2000.

    [9.] 10.  Sections 1, 4 to 12, inclusive, 13 to 19, inclusive, 21, 22, 23, 28, 30 to 34, inclusive, 36 to 49, inclusive, 50, 51, 52, 53, 54 to 57, inclusive, 58 to 62, inclusive, 64 to 68, inclusive, 69 to 80, inclusive, 81 to 86, inclusive, 87, 88, 90 to 95, inclusive, 97 to 115, inclusive, 118 to 121, inclusive, 123 to 126, inclusive, subsection 2 of section 127, [130,] 131, subsection 2 of section 132, 133, 134, 136 to 139, inclusive, and 141 of this act become effective on January 1, 2000, only if, on that date, the manager of the state industrial insurance system transfers the assets of the state industrial insurance system to a domestic mutual insurance company pursuant to section 129 of this act.

    [10.] 11.  Section 63 of this act becomes effective at 12:01 a.m. on January 1, 2000, only if, on that date, the manager of the state industrial insurance system transfers the assets of the state industrial insurance system to a domestic mutual insurance company pursuant to section 129 of this act.

    [11.]12. Sections 20, 96, 116 and 122 of this act expire by limitation on January 1, 2000, if the manager of the state industrial insurance system transfers the assets of the state industrial insurance system to a domestic mutual insurance company pursuant to section 129 of this act.

    [12.] 13.  Section 8 of this act expires by limitation on June 30, 2003.

    [13.] 14.  Section 100 of this act expires by limitation on May 1, 2013.”.

    Amend sec. 27, page 12, by deleting lines 15 and 16 and inserting:

    “Sec. 27.  1.  This section and section 26.5 of this act become effective upon passage and approval.

    2.  Sections 1 to 10, inclusive, and 12 to 26, inclusive, of this act become effective on October 1, 1999.”.

    Amend sec. 27, page 12, line 17, by deleting “2.” and inserting “3.”.

    Amend sec. 27, page 12, line 18, by deleting “3.” and inserting “4.”.

    Amend the title of the bill by deleting the fifth through eighth lines and inserting:

“authorizing the state industrial”.

    Assemblywoman Segerblom moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 133.

    Remarks by Assemblywoman Segerblom.

    Motion carried.

MOTIONS, RESOLUTIONS AND NOTICES

    Assemblyman Neighbors moved that Senate Bill No. 411 be taken from the Chief Clerk's desk and placed on the General File.

    Remarks by Assemblyman Neighbors.

    Motion carried.


UNFINISHED BUSINESS

Reports of Conference Committees

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 451, 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

Ann O'Connell

John C. Carpenter

Michael A. Schneider

Bernard Anderson

Maggie Carlton

Assembly Conference Committee

Senate Conference Committee

 

    Assemblywoman Buckley moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 451.

    Remarks by Assemblywoman Buckley.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 530, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Assembly be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA22, which is attached to and hereby made a part of this report.

 

Douglas A. Bache

Ann O'Connell

David E. Humke

Jon C. Porter

Harry Mortenson

Terry Care

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA22.

    Amend the bill as a whole by deleting sections 1 through 16 and adding new sections designated sections 1 through 23, following the enacting clause, to read as follows:

    “Section 1.  Chapter 271 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 through 11, inclusive, of this act.

    Sec. 2.  “Association” means an association described in section 5 of this act.

    Sec. 3.  “Commercial area vitalization project” includes:

    1.  The beautification and improvement of the public portions of any area zoned primarily for business or commercial purposes, including, without limitation:

    (a) Public restrooms;

    (b) Facilities for outdoor lighting and heating;

    (c) Decorations;

    (d) Fountains;

    (e) Landscaping;

    (f) Facilities or equipment, or both, to enhance protection of persons and property within the improvement district;

    (g) Ramps, sidewalks and plazas; and

    (h) Rehabilitation or removal of existing structures; and

    2.  The improvement of an area zoned primarily for business or commercial purposes by providing promotional activities.

    Sec. 4.  “Promotional activity” includes:

    1.  Promotion of public events that benefit business or real property in the improvement district.

    2.  Providing music in any public place within the improvement district.

    3.  Promotion of tourism within the improvement district.

    4.  Marketing and economic development, including the recruitment and retention of retail business.

    5.  Providing services related to security, sanitation, the removal of graffiti, the cleaning of streets and sidewalks and providing other municipal services that are supplemental to those typically provided by the municipality.

    6.  Any other activity that benefits businesses and real property located in the improvement district.

    Sec. 5.  1.  A governing body that forms an improvement district for a commercial area vitalization project may contract with a nonprofit association to provide the improvements that are specified in the plans for the commercial area vitalization project. If creation of the commercial improvement district was initiated by petition, the governing body shall contract for that purpose with the association named in the plan for management of the improvement district.

    2.  An association with which a governing body contracts pursuant to subsection 1 must be a private nonprofit corporation and must be identified in the plan for management of the improvement district. The association shall maintain liability insurance covering its activities.

    3.  The contract between the governing body and the association is a contract for professional services and is not subject to the limitations of subsection 1 of NRS 354.626. The terms of the contract may extend:

    (a) Beyond the terms of office of members of the governing body; and

    (b) For the time necessary to cover the life of improvements and to fulfill financial commitments for equipment, services and related undertakings.

    4.  The association does not become a political subdivision, local government, public body, governmental agency or entity, establishment of the government, public corporation or quasi-public corporation for any purpose solely on the basis of a contract entered into with a governing body pursuant to subsection 1.

    5.  A contract executed pursuant to this section must ensure that the type and level of services provided by the municipality at the time of the creation of the improvement district continue after the improvement district is formed.

    Sec. 6.  1.  A contract executed pursuant to section 5 of this act must specify the approvals required for expenditures and provide for internal controls adequate to protect the assets of the improvement district. The contract must provide for audits of the association by the governing body at the discretion of the governing body.

    2.  If an audit finds a misuse of money or any fraud in the activities of the association, the governing body may take control of any assets of the association related to the improvement district.

    Sec. 7.  An association with which a governing body contracts pursuant to section 5 of this act may, at any time, request that the governing body modify a plan or plat with regard to the commercial area vitalization project. Upon the written request of the association, the governing body may modify the plan or plat by ordinance after holding a hearing on the proposed modification pursuant to section 10 of this act. If the proposed modification of a plat expands the territory for assessment, a person who owns or resides within a tract which is located within the territory proposed to be added to the improvement district and which is used exclusively for residential purposes may file a protest pursuant to section 9 of this act at any time before the governing body modifies the plat by ordinance. A petition is not required for a modification made pursuant to this section.

    Sec. 8.  1.  The association with which a governing body contracts pursuant to section 5 of this act shall cause to be prepared a report for each fiscal year in which assessments are to be levied and collected.

    2.  The report prepared pursuant to subsection 1 must be filed with the city clerk on or before February 1 of the fiscal year immediately preceding the fiscal year to which the report applies and must include:

    (a) The name of the improvement district;

    (b) The fiscal year to which the report applies;

    (c) Any proposed changes to the boundaries of the improvement district for that fiscal year;

    (d) The improvements to be provided for that fiscal year;

    (e) An estimate of the cost of providing the improvements set forth pursuant to paragraph (d);

    (f) The method and basis of levying each assessment to be levied for that fiscal year in sufficient detail to allow each property owner to calculate the amount of the assessment to be levied against his property for that fiscal year;

    (g) The amount of any surplus or deficit revenues to be carried over from a preceding fiscal year; and

    (h) The amount of any money received by the district from sources other than assessments levied pursuant to this chapter.

    Sec. 9. 1.  Before a proposed assessment plat for a commercial area vitalization project is adopted by ordinance, a person who owns or resides within a tract which:

    (a) Is located within the proposed improvement district; and

    (b) Is used exclusively for residential purposes,

may file with the clerk a written protest to the inclusion of the tract in the assessment plat. The protest must be accompanied by a legal description of the tract.

    2.  Upon receipt of a protest pursuant to subsection 1, the clerk shall provide a copy of the protest and legal description of the property to the governing body.

    3.  Before adopting a resolution or ordinance pursuant to NRS 271.325 and before adopting an ordinance that modifies an assessment plat for a commercial area vitalization project to include additional tracts of land, the governing body shall modify the assessment plat for a commercial area vitalization project to exclude any tract for which it received a protest pursuant to this section and which it determines will not benefit from the activities or improvements that are proposed to be provided by the commercial area vitalization project.

    Sec. 10.  1.  On or before June 30 of each year after the governing body acquires or improves a commercial area vitalization project, the governing body shall prepare or cause to be prepared an estimate of the expenditures required in the ensuing fiscal year and a proposed assessment roll assessing an amount not greater than the estimated cost against the benefited property. The assessment must be computed according to frontage or another uniform and quantifiable basis.

    2.  The governing body shall hold a public hearing upon the estimate of expenditures and the proposed assessment roll. Notice must be given and the hearing conducted in the manner provided in NRS 271.380 and 271.385. The assessment may not exceed the amount stated in the proposed assessment roll unless a new hearing is held after notice is mailed and published in the manner provided in NRS 271.305 and 271.310.

    3.  After the public hearing, the governing body shall confirm the assessments, as specified in the proposed assessment roll or as modified, and levy the assessment as provided in NRS 271.390.

    4.  An improvement district created for a commercial area vitalization project is not entitled to any distribution from the local government tax distribution account.

    Sec. 11. 1.  The governing body may, by resolution, dissolve an improvement district that is created for the purposes of a commercial area vitalization project if property owners whose property is assessed for a combined total of more than 50 percent of the total amount of the assessments of all the property in the improvement district submit a written petition to the governing body that requests the dissolution of the district within the period prescribed in subsection 2.

    2.  The dissolution of an improvement district pursuant to this section may be requested within 30 days after:

    (a) The first anniversary of the date the improvement district was created; and

    (b) Each subsequent anniversary thereafter.

    3.  As soon as practicable after the receipt of the written petition of the property owners submitted pursuant to subsection 1, the governing body shall pass a resolution of intention to dissolve the improvement district. The governing body shall give notice of a hearing on the dissolution. The notice must be provided and the hearing must be held pursuant to the requirements set forth in section 10 of this act. If the governing body determines that dissolution of the improvement district is appropriate, it shall dissolve the improvement district by resolution, effective not earlier than the 30th day after the hearing.

    4.  If there is indebtedness, outstanding and unpaid, incurred to accomplish any of the purposes of the improvement district, the portion of the assessment necessary to pay the indebtedness remains effective and must be continued in the following years until the debt is paid.

    Sec. 12.  NRS 271.030 is hereby amended to read as follows:

    271.030   As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 271.035 to 271.250, inclusive, sections 2, 3 and 4 of this act and section 2 of [this act,] Assembly Bill No. 95 of this session, have the meanings ascribed to them in those sections.

    Sec. 13.  NRS 271.125 is hereby amended to read as follows:

    271.125 “Improvement” or “improve” means the extension, widening, lengthening, betterment, alteration, reconstruction, repair or other improvement (or any combination thereof) of facilities, other property, any project, or an interest therein, herein authorized[.] , including, without limitation, conducting promotional activities within an improvement district created for a commercial area vitalization project.

    Sec. 14.  NRS 271.265 is hereby amended to read as follows:

    271.265  1.  The governing body of a county, city or town, upon behalf of the municipality and in its name, without any election, may from time to time acquire, improve, equip, operate and maintain, within or without the municipality, or both, within and without the municipality:

    (a) A commercial area vitalization project;

    (b) A curb and gutter project;

    [(b)] (c) A drainage project;

    [(c)] (d) An offstreet parking project;

    [(d)] (e) An overpass project;

    [(e)] (f) A park project;

    [(f)] (g) A sanitary sewer project;

    [(g)] (h) A security wall;

    [(h)] (i) A sidewalk project;

    [(i)] (j) A storm sewer project;

    [(j)] (k) A street project;

    [(k)] (l) A street beautification project;

    [(l)] (m) A transportation project;

    [(m)] (n) An underpass project;

    [(n)] (o) A water project; and

    [(o)] (p) Any combination of such projects.

    2.  In addition to the power specified in subsection 1, the governing body of a city having a commission form of government as defined in NRS 267.010, upon behalf of the municipality and in its name, without any election, may from time to time acquire, improve, equip, operate and maintain, within or without the municipality, or both, within and without the municipality:

    (a) An electrical project;

    (b) A telephone project;

    (c) A combination of an electrical project and a telephone project;

    (d) A combination of an electrical project or a telephone project with any of the projects, or any combination thereof, specified in subsection 1; and

    (e) A combination of an electrical project and a telephone project with any of the projects, or any combination thereof, specified in subsection 1.

    3.  In addition to the power specified in subsections 1 and 2, the governing body of a municipality, on behalf of the municipality and in its name, without an election, may finance an underground conversion project with the approval of each service provider that owns the overhead service facilities to be converted.

    Sec. 15.  NRS 271.280 is hereby amended to read as follows:

    271.280  1.  Whenever the governing body is of the opinion that the interest of the municipality requires any project, the governing body, by resolution, shall direct the engineer to prepare, or may, after he has prepared, ratify:

    (a) Preliminary plans showing:

        (1) A typical section of the contemplated improvement.

        (2) The type or types of material, approximate thickness and wideness.

        (3) A preliminary estimate of the cost of the project, including incidental costs.

    (b) An assessment plat showing:

        (1) The area to be assessed.

        (2) Except as otherwise provided in section 3 of [this act,] Assembly Bill No. 95 of this session, the amount of maximum benefits estimated to be assessed against each tract in the assessment area.

The governing body is not required to employ the services of an appraiser to estimate or to assist the engineer in estimating the benefits to be derived from the project.

    2.  The resolution or ratification may provide for one or more types of construction, and the engineer shall separately estimate the cost of each type of construction. The estimate may be made in a lump sum or by unit prices, as the engineer determines is most desirable for the improvement complete in place.

    3.  The resolution or document ratified must describe the project in general terms.

    4.  The resolution or document ratified must state:

    (a) What part or portion of the expense of the project is of special benefit and therefore is to be paid by assessments.

    (b) What part, if any, has been or is proposed to be defrayed with money derived from other than the levy of assessments.

    (c) The basis by which the cost will be apportioned and assessments levied.

    5.  If the assessment is not to be made according to front feet, the resolution or document ratified must:

    (a) By apt description designate the improvement district, including the tracts to be assessed.

    (b) Describe definitely the location of the project.

    (c) State that the assessment is to be made upon all the tracts benefited by the project proportionately to the benefits received.

    6.  If the assessment is to be upon the abutting property upon a frontage basis, it is sufficient for the resolution or document ratified so to state and to define the location of the project to be made.

    7.  It is not necessary in any case to describe minutely in the resolution or document ratified each particular tract to be assessed, but simply to designate the property, improvement district or the location, so that the various parts to be assessed can be ascertained and determined to be within or without the proposed improvement district.

    8.  If the preliminary plans include a commercial area vitalization project, then in addition to the other requirements in this section, before the plans are ratified by the governing body, the plans must include a plan for the management of the proposed improvement district which must include, without limitation:

    (a) The improvements proposed for each year of the first 5 fiscal years of the proposed improvement district;

    (b) An estimate of the total amount to be expended on improvements in the first year of operation;

    (c) A list of any other special assessments that are currently being levied within the proposed improvement district;

    (d) The name of any proposed association; and

    (e) Any other matter that the governing body requires to be set forth in the plan.

    9.  The engineer shall forthwith prepare and file with the clerk:

    (a) The preliminary plans; and

    (b) The assessment plat.

    [9.] 10. Upon the filing of the plans and plat, they must be examined by the governing body. If the plans and plat are found to be satisfactory, the governing body shall make a provisional order by resolution to the effect that the project will be acquired or improved, or both acquired and improved.

    Sec. 16.  NRS 271.285 is hereby amended to read as follows:

    271.285 [Whenever]

    1.  Except as otherwise provided in subsection 2, whenever the owner or owners of lands to be assessed for not less than 90 percent of the entire cost of any project, including all incidental expenses, constituting at least 66 2/3 percent in frontage, in area or other property basis used for the computation of assessments as therein provided, as the case may be, by written petition, initiates the acquisition of any project which the governing body is authorized to initiate, subject to the following limitations:

    [1.  The] (a) Except as otherwise provided in subsection 7 of NRS 271.325, the governing body may incorporate such project in any improvement district or districts.

    [2.] (b) The governing body need not proceed with the acquisition of any such project or any part thereof after holding a hearing thereon, pursuant to NRS 271.310, and all provisions thereof thereunto enabling, if the governing body shall determine that it is not for the public interest that the proposed project, or a part thereof, be then ordered to be made.

    [3.] (c) Any particular kind of project, or any material therefor, or any part thereof, need not be acquired or located, as provided in the petition, if the governing body shall determine that such is not for the public interest.

    [4.] (d) The governing body need not take any proceedings or action upon receiving any such petition, if the governing body shall thereupon determine by resolution that the acquisition of the designated project probably is not feasible for a reason or reasons stated in such resolution, and if the resolution requires a cash deposit or a pledge of property in at least an amount or value therein designated and found therein by the governing body probably to be sufficient to defray the expenses and costs incurred by the municipality taken preliminary to and in the attempted acquisition of the project designated in the petition, and if such deposit or pledge is not made with the treasurer within 20 days after one publication in a newspaper of general circulation in the municipality of a notice of the resolution’s adoption and of its content in summary form. An additional deposit or pledge may from time to time be similarly so required as a condition precedent to the continuation of action by the municipality. Whenever such deposit or pledge is so made and thereafter the governing body shall determine that such acquisition is not feasible within a reasonable period of time, the governing body may require that all or any portion of the costs theretofore incurred in connection therewith by the municipality after its receipt of the petition shall be defrayed from such deposit or the proceeds of such pledged property in the absence of such defrayment of costs by petitioners or other interested persons within 20 days after the determination by resolution of the amount so to be defrayed and after such published notice thereof.

    2.  A petition signed by owners of tracts constituting at least one-half of the basis used for computation of assessments is sufficient to initiate procedures for acquiring or improving a commercial area vitalization project. A petition for acquiring or improving a commercial area vitalization project must be accompanied by a plan describing proposed improvements and a proposed assessment plat when submitted to the governing body.

    Sec. 17.  NRS 271.290 is hereby amended to read as follows:

    271.290 [Upon]

    1.  Except as otherwise expressly provided or necessarily implied in this section or in NRS 271.285, upon the filing of such a petition, the governing body shall proceed in the same manner as is provided for hereby where proceedings are initiated by the governing body . [, except as otherwise expressly provided or necessarily implied in NRS 271.285.]

    2.  Upon the filing of a petition for the acquisition or improvement of a commercial area vitalization project, the governing body shall hold a public hearing on the petition. At least 20 days before the public hearing, the governing body shall:

    (a) Mail notice of the hearing to each owner of real property within the proposed improvement district and to each tenant who resides or owns a business located within the proposed improvement district; and

    (b) Publish notice of the hearing in a newspaper of general circulation in the municipality,

describing the purpose and general location of the proposed improvement district, and the date, time and place of the proposed public hearing.

    3.  At the public hearing, any owner of real property or tenant who resides or owns a business located within the proposed district for a commercial area vitalization project may present, orally or in writing, the reasons why he believes that:

    (a) The petition does not contain a sufficient number of qualified signatures; or

    (b) The finding required by subsection 4 cannot reasonably be made with respect to any part of the proposed improvement district.

    4.  After consideration of any objections made at the hearing, and of any other information reasonably known to it, the governing body must, as a condition precedent to the initiation of the procedure for acquiring or improving a commercial area vitalization project, find that the public interest will benefit by the provision of the proposed improvements within that part of the municipality. In making this determination, the governing body shall consider the differences it finds between the municipality as a whole and the territory within and adjacent to the proposed improvement district.

    Sec. 18.  NRS 271.305 is hereby amended to read as follows:

    271.305 1.  In the provisional order the governing body shall set a time, at least 20 days thereafter, and a place at which the owners of the tracts to be assessed, or any other interested persons, may appear before the governing body and be heard as to the propriety and advisability of acquiring or improving, or acquiring and improving, the project or projects provisionally ordered. If a mobile home park is located on one or more of the tracts to be assessed, the notice must be given to the owner of the tract and each tenant of that mobile home park.

    2.  Notice must be given:

    (a) By publication.

    (b) By mail.

    (c) By posting.

    3.  Proof of publication must be by affidavit of the publisher.

    4.  Proof of mailing and proof of posting must be by affidavit of the engineer, clerk, or any deputy mailing the notice and posting the notice, respectively.

    5.  Proof of publication, proof of mailing and proof of posting must be maintained in the records of the municipality until all the assessments appertaining to the project have been paid in full, including principal, interest, any penalties, and any collection costs.

    6.  The notice may be prepared by the engineer and ratified by the governing body, and, except as otherwise provided in subsection 7, must state:

    (a) The kind of project proposed.

    (b) The estimated cost of the project, and the portion, if any, to be paid from sources other than assessments.

    (c) The basis for apportioning the assessments, which assessments must be in proportion to the special benefits derived to each of the several tracts comprising the assessable property and on a front foot, area, zone or other equitable basis.

    (d) The number of installments and time in which the assessments will be payable.

    (e) The maximum rate of interest on unpaid installments of assessments.

    (f) The extent of the improvement district to be assessed, by boundaries or other brief description.

    (g) The time and place of the hearing where the governing body will consider all objections to the project.

    (h) That all written objections to the project must be filed with the clerk of the municipality at least 3 days before the time set for the hearing.

    (i) [That]If the project is not a commercial area vitalization project, that pursuant to NRS 271.306, if a majority of the property owners to be assessed for a project proposed by a governing body object in writing within the time stated in paragraph (h), the project must not be acquired or improved unless:

        (1) The municipality pays one-half or more of the total cost of the project, other than a park project, with money derived from other than the levy or assessments; or

        (2) The project constitutes not more than 2,640 feet, including intersections, remaining unimproved in any street, including an alley, between improvements already made to either side of the same street or between improvements already made to intersecting streets.

    (j) That the description of the tracts to be assessed, the maximum amount of benefits estimated to be conferred on each such tract and all proceedings in the premises are on file and can be examined at the office of the clerk.

    (k) Unless there will be no substantial change, that a substantial change in certain existing street elevations or grades will result from the project, without necessarily including any statement in detail of the extent or location of any such change.

    (l) That a person should object to the formation of the district using the procedure outlined in the notice if his support for the district is based upon a statement or representation concerning the project that is not contained in the language of the notice.

    (m) That if a person objects to the amount of maximum benefits estimated to be assessed or to the legality of the proposed assessments in any respect:

        (1) He is entitled to be represented by counsel at the hearing;

        (2) Any evidence he desires to present on these issues must be presented at the hearing; and

        (3) Evidence on these issues that is not presented at the hearing may not thereafter be presented in an action brought pursuant to NRS 271.315.

    (n) If the project is a commercial area vitalization project, that:

        (1) A person who owns or resides within a tract in the proposed improvement district and which is used exclusively for residential purposes may file a protest to inclusion in the assessment plat pursuant to section 9 of this act; and

        (2) Pursuant to NRS 271.306, if written remonstrances by the owners of tracts constituting one-third or more of the basis for the computation of assessments for the commercial area vitalization project are presented to the governing body, the governing body shall not proceed with the commercial area vitalization project.

    7.  The notice need not state either or both of the exceptions stated in subsection 2 of NRS 271.306 unless either or both of the exceptions are determined by the governing body or the engineer to be relevant to the proposed improvement district to which the notice appertains.

    8.  All proceedings may be modified or rescinded wholly or in part by resolution adopted by the governing body, or by a document prepared by the engineer and ratified by the governing body, at any time before the passage of the ordinance adopted pursuant to NRS 271.325, creating the improvement district, and authorizing the project.

    9.  No substantial change in the improvement district, details, preliminary plans or specifications or estimates may be made after the first publication, posting or mailing of notice to property owners, whichever occurs first, except for the deletion of a portion of a project and property from the proposed program and improvement district or any assessment unit.

    10.  The engineer may make minor changes in time, plans and materials entering into the work at any time before its completion.

    11.  If the ordinance is for a commercial area vitalization project, notice sent pursuant to this section must be sent by mail to each person who owns real property which is located within the proposed improvement district and to each tenant who resides or owns a business located within the proposed improvement district.

    Sec. 19.  NRS 271.306 is hereby amended to read as follows:

    271.306  1.  Regardless of the basis used for apportioning assessments, the amount apportioned to a wedge or V or any other irregularly shaped tract must be in proportion to the special benefits thereby derived.

    2.   Except as otherwise provided in [subsection 3,] subsections 3 and 4, if, within the time specified in the notice, complaints, protests and objections in writing, that is, all written remonstrances, against acquiring or improving the project proposed by initiation of the governing body are filed with the clerk, signed by the owners of tracts constituting a majority of the frontage, of the area, of the zone, or of the other basis for the computation of assessments, as the case may be, of the tracts to be assessed in the improvement district or in the assessment unit if the improvement district is divided into assessment units, the project therein must not be acquired or improved unless:

    (a) The municipality pays one-half or more of the total cost of the project, other than a park project, with money derived from other than the levy of assessments; or

    (b) The project constitutes not more than 2,640 feet, including intersections, remaining unimproved in any street, including an alley, between improvements already made to either side of the same street or between improvements already made to intersecting streets. In this case the governing body may on its own motion cause the intervening and unimproved part of the street to be improved. Such improvements will not be stayed or defeated or prevented by written complaints, protests and objections thereto, unless the governing body in its sole discretion, deems such written complaints, protests and objections proper to cause the improvement to be stayed or prevented.

    3.  Written remonstrances by the owners of tracts constituting 50 percent of the basis for the computation of assessments suffice to preclude the acquisition or improvement of a street beautification project.

    4.  Written remonstrances by the owners of tracts constituting at least one-third of the basis for the computation of assessments suffice to preclude the acquisition or improvement of a commercial area vitalization project. For the purposes of this subsection, the property of a single owner may not be counted as constituting more than 10 percent of the basis.

    Sec. 20.  NRS 271.320 is hereby amended to read as follows:

    271.320 1.  After the hearing[,] and after the governing body has [disposed] :

    (a) Disposed of all complaints, protests and objections, oral and in writing[, and after the governing body has determined that either] ;

    (b) Determined that it is not prevented from proceeding pursuant to subsection 3 or 4 of NRS 271.306; and

    (c) Determined that:

        (1) Either or both exceptions stated in subsection 2 of NRS 271.306 apply[, or that there] ; or

        (2) There were not filed with the clerk complaints, protests and objections in writing and signed by the owners of tracts constituting a majority of the frontage, of the area, of the zone, or of the other basis for the computation of assessments stated in the notice, of the tracts to be assessed in the improvement district or in the assessment unit, if any,

and the governing body has jurisdiction to proceed, the governing body shall determine whether to proceed with the improvement district, and with each assessment unit, if any, except as otherwise provided in this chapter.

    2.  If the governing body desires to proceed and desires any modification, by motion or resolution it shall direct the engineer to prepare and present to the governing body:

    (a) A revised and detailed estimate of the total cost, including, without limiting the generality of the foregoing, the cost of acquiring or improving each proposed project and of each of the incidental costs. The revised estimate does not constitute a limitation for any purpose.

    (b) Full and detailed plans and specifications for each proposed project designed to permit and encourage competition among the bidders, if any project is to be acquired by construction contract.

    (c) A revised map and assessment plat showing respectively the location of each project and the tracts to be assessed therefor, not including any area or project not before the governing body at a provisional order hearing.

    3.  That resolution, a separate resolution, or the ordinance creating the improvement district may combine or divide the proposed project or projects into suitable construction units for the purpose of letting separate and independent contracts, regardless of the extent of any project constituting an assessment unit and regardless of whether a portion or none of the cost of any project is to be defrayed other than by the levy of special assessments. Costs of unrelated projects must be segregated for assessment purposes as provided in this chapter.

    Sec. 21.  NRS 271.325 is hereby amended to read as follows:

    271.325 1.  When an accurate estimate of cost, full and detailed plans and specifications and map are prepared, are presented and are satisfactory to the governing body, it shall, by resolution, make a determination that:

    (a) Public convenience and necessity require the creation of the district; and

    (b) The creation of the district is economically sound and feasible.

This determination may be made part of the ordinance creating the district adopted pursuant to subsection 2 and is conclusive in the absence of fraud or gross abuse of discretion.

    2.  The governing body may, by ordinance, create the district and order the proposed project to be acquired or improved. This ordinance may be adopted and amended as if an emergency existed.

    3.  The ordinance must prescribe:

    (a) The extent of the improvement district to be assessed, by boundaries or other brief description, and similarly of each assessment unit therein, if any.

    (b) The kind and location of each project proposed, without mentioning minor details.

    (c) The amount or proportion of the total cost to be defrayed by assessments, the method of levying assessments, the number of installments and the times in which the costs assessed will be payable.

    (d) The character and extent of any construction units.

    4.  The engineer may further revise the cost, plans and specifications and map from time to time for all or any part of any project, and the ordinance may be appropriately amended before letting any construction contract therefor and before any work being done other than by independent contract let by the municipality.

    5.  The ordinance, as amended if amended, must order the work to be done as provided in this chapter.

    6.  Upon adoption or amendment of the ordinance, the governing body shall cause to be filed in the office of the county recorder a certified copy of a list of the tracts to be assessed and the amount of maximum benefits estimated to be assessed against each tract in the assessment area, as shown on the assessment plat as revised and approved by the governing body pursuant to NRS 271.320. Neither the failure to record the list as provided in this subsection nor any defect or omission in the list regarding any parcel or parcels to be included within the district affects the validity of any assessment, the lien for the payment thereof or the priority of that lien.

    7.  The governing body may not adopt an ordinance creating or modifying the boundaries of an improvement district for a commercial area vitalization project if the boundaries of the improvement district overlap an existing improvement district created for a commercial area vitalization project.

    Sec. 22.  NRS 271.335 is hereby amended to read as follows:

    271.335 1.  No contract for doing construction work for acquiring or improving the project contemplated may be made or awarded, nor may the governing body incur any expense or liability in relation thereto, except for maps, plats, diagrams, estimates, plans, specifications and notices, until after the hearing upon the provisional order and notice thereof provided for in NRS 271.305 have been given and had.

    2.  This section does not prevent the governing body from advertising by publication for proposals for doing the work whenever the governing body sees fit, but the contract may not be made or awarded before the time stated in subsection 1.

    3.  Except as otherwise provided in subsection 12 and in NRS 271.800, in the case of construction work done by independent contract for any project, or portion thereof, in any improvement district, the municipality shall request competitive bids, and proceed thereon, pursuant to the provisions of chapter 338 of NRS.

    4.  The municipality may waive any irregularity in the form of any bid.

    5.  Any contract may be let on a lump sum or on a unit basis.

    6.  No contract may be entered into for such work unless the contractor gives an undertaking with a sufficient surety or sureties approved by the governing body and in an amount fixed by it for the faithful performance of the contract and for payment of the contract.

    7.  Upon default in the performance of any contract, any designated official, as directed by motion of the governing body, may advertise and relet the remainder of the work without further ordinance or resolution and deduct the cost from the original contract price and recover any excess cost by suit on the original bond, or otherwise.

    8.  All contracts must provide among other things that the person entering into the contract with the municipality will pay for all materials furnished and labor and services rendered for the performance of the contract, and that any person furnishing the materials or rendering the services may maintain an action to recover for them against the obligor in the undertaking as though the person was named therein.

    9.  A contract or agreement made in violation of the provisions of this section is voidable, and no action may be maintained thereon by any party thereto against the municipality.

    10.  To the extent the municipality makes any payment thereunder, such a contract or agreement is valid, and any such payment may be included in any cost defrayed by the levy of assessments, unless theretofore the municipality elects to void the contract or agreement in its entirety and to recover any such payment from the party to whom made.

    11.  The governing body, except as expressly limited in this section, may, in the letting of contracts, impose such conditions upon bidders with regard to bonds and securities, and such guaranties of good and faithful performance and completion of any work and the keeping of the work in repair, and providing for any further matter or thing in connection therewith, as may be considered by the governing body to be advantageous to the municipality and to all interested.

    12.  The provisions of subsections 3 through 11, inclusive, do not apply to work performed by an association pursuant to a contract entered into pursuant to section 5 of this act.

    Sec. 23.  Sections 12, 14, 15 and 19 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 local improvements; authorizing a municipality to form a local improvement district for a commercial area vitalization project; authorizing a municipality who forms a local improvement district for a commercial area vitalization project to enter into contracts with certain nonprofit associations for certain purposes; authorizing a municipality to dissolve a local improvement district formed for such purposes under certain circumstances; and providing other matter properly relating thereto.”.

    Amend the summary of the bill to read as follows:

“SUMMARY—Authorizes municipality to form local improvement district for commercial area vitalization project. (BDR 21‑26)”.

    Assemblyman Bache moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 530.

    Remarks by Assemblyman Bache.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 192, 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

Jon C. Porter

Gene Segerblom

Mike McGinness

Lynn C. Hettrick

Raymond C. Shaffer

Assembly Conference Committee

Senate Conference Committee

 

    Assemblywoman Buckley moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 192.

    Remarks by Assemblywoman Buckley.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 475, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Assembly be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA13, which is attached to and hereby made a part of this report.

 

Douglas A. Bache

Ann O'Connell

 

Jon C. Porter

Vivian L. Freeman

Terry Care

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. 13.

    Amend sec. 4, page 3, by deleting lines 28 and 29 and inserting:

appropriate, in accordance with the procedures for bidding that are set forth in:

    (a) The provisions of sections 3 to 11, inclusive, of Assembly Bill No. 298 of this session; or

    (b) NRS 338.140 to 338.147, inclusive, if the public body is a local government that elects to award a contract for a public work in accordance with paragraph (b) of subsection 1 of section 2 of Assembly Bill No. 298 of this session.”.

    Amend sec. 8, page 6, line 6, after “338.147” by inserting:

or section 11 of Assembly Bill No. 298 of this session”.

    Amend sec. 8, page 6, line 36, by deleting “contract;” and inserting:

contract, excluding any amount related to costs that may be incurred as a result of unexpected conditions or occurrences as authorized by the contract;”.

    Amend sec. 9, page 7, line 10, by deleting:

Design or construct” and inserting “Construct”.

    Amend sec. 9, page 7, line 11, by deleting “design or”.

    Amend sec. 10, pages 7 through 9, by deleting lines 36 through 42 on page 7, lines 1 through 43 on page 8 and lines 1 through 13 on page 9, and inserting:

    “5.  “Eligible bidder” means a person who is:

    (a) Found to be a responsible and responsive contractor by a local government which requests bids for a public work in accordance with paragraph (b) of subsection 1 of section 2 of [this act;] Assembly Bill No. 298 of this session; 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,] Assembly Bill No. 298 of this session, to be qualified to bid on that contract pursuant to section 5 of [this act] Assembly Bill No. 298 of this session or was exempt from meeting such qualifications pursuant to section 6 of [this act.

   3.] Assembly Bill No. 298 of this session.

    6. “Local government” means every political subdivision or other entity which has the right to levy or receive money from ad valorem or other taxes or any mandatory assessments, and includes, without limitation, counties, cities, towns, boards, school districts and other districts organized pursuant to chapters 244A, 309, 318, 379, 474, 541, 543 and 555 of NRS, NRS 450.550 to 450.750, inclusive, and any agency or department of a county or city which prepares a budget separate from that of the parent political subdivision.

    [4.] 7.  “Offense” means failing to:

    (a) Pay the prevailing wage required pursuant to this chapter;

    (b) Pay the contributions for unemployment compensation required pursuant to chapter 612 of NRS; or

    (c) Provide and secure compensation for employees required pursuant to chapters 616A to 617, inclusive, of NRS.

    [5.] 8. “Prime contractor” means a person who:

    (a) Contracts to [complete] construct an entire project;

    (b) Coordinates all work performed on the entire project;

    (c) Uses his own work force to perform all or a part of the construction, repair or reconstruction of the project; and

    (d) Contracts for the services of any subcontractor or independent contractor or is responsible for payment to any contracted subcontractors or independent contractors.

    [6.] 9.  “Public body” means the state, county, city, town, school district or any public agency of this state or its political subdivisions sponsoring or financing a public work.

    [7.] 10. “Public work” means any project for the new construction, repair or reconstruction of:

    (a) A project financed in whole or in part from public money for:

        (1) Public buildings;

        (2) Jails and prisons;

        (3) Public roads;

        (4) Public highways;

        (5) Public streets and alleys;

        (6) Public utilities which are financed in whole or in part by public money;

        (7) Publicly owned water mains and sewers;

        (8) Public parks and playgrounds;

        (9) Public convention facilities which are financed at least in part with public funds; and

        (10) Any other publicly owned works and property whose cost as a whole exceeds $20,000.

Each separate unit that is a part of a project is included in the cost of the project to determine whether a project meets thatthreshold.

    (b) A building for the University and Community College System of Nevada of which 25 percent or more of the costs of the building as a whole are paid from money appropriated by this state or from federal money.

    [8.] 11. “Specialty contractor” means a contractor whose operations as such are the performance of construction work requiring special skill and whose principal contracting business involves the use of specialized building trades or crafts.

    12.  “Stand-alone underground utility project” means an underground utility project that is not integrated into a larger project, including, without limitation:

    (a) An underground sewer line or an underground pipeline for the conveyance of water, including facilities appurtenant thereto; and

    (b) A project for the construction or installation of a storm drain, including facilities appurtenant thereto,

that is not located at the site of a public work for the design and construction of which a public body is authorized to contract with a design-build team pursuant to subsection 2 of section 2 of this act.

    13.  “Wages” means:

    (a) The basic hourly rate of pay; and

    (b) The amount of pension, health and welfare, vacation and holiday pay, the cost of apprenticeship training or other similar programs or other bona fide fringe benefits which are a benefit to the workman.

    [9.] 14. “Workman” means a skilled mechanic, skilled workman, semiskilled mechanic, semiskilled workman or unskilled workman.The term does not include a design professional . [as that term is defined in NRS 338.155.]”.

    Amend sec. 11, pages 9 and 10, by deleting lines 16 through 42 on page 9 and lines 1 through 21 on page 10, and inserting:

“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,] Assembly Bill No. 298 of this session, 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 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 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 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 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 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 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 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 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 local government expects to save by rejecting the bids and performing the project itself.”.

    Amend sec. 11, page 10, by deleting line 28 and inserting:

“Statutes of Nevada 1947, the Moapa Valley water district created pursuant to chapter 477, Statutes of Nevada 1983 or the Virgin Valley water district created pursuant to chapter 100, Statutes of Nevada 1993[.] ; or”.

    Amend sec. 12, pages 10 and 11, by deleting lines 33  through 43 on page 10 and lines 1 through 38 on page 11, and inserting:

    “338.143  1.  Except as otherwise provided in subsection 6, 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,] Assembly Bill No. 298 of this session, 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 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 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 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 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 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 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 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 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 local government expects to save by rejecting the bids and performing the project itself.”.

    Amend sec. 12, page 12, by deleting lines 2 through 5 and inserting:

“Statutes of Nevada 1947, the Moapa Valley water district created pursuant to chapter 477, Statutes of Nevada 1983 or the Virgin Valley water district created pursuant to chapter 100, Statutes of Nevada 1993.”.

    Amend the bill as a whole by deleting sections 13 and 13.5 and adding new sections designated sections 13 and 13.5, after sec. 12, to read as follows:

    “Sec. 13.  NRS 338.147 is hereby amended to read as follows:

    338.147  1.  Except as otherwise provided in NRS 338.143[,] and sections 2 to 9, inclusive, of this act, a local governmentshall award a contract for a public work to the contractor who submits the best bid.

    2.  Except as otherwise provided in subsection 8 or limited by subsection 9, for the purposes of this section, a contractor who:

    (a) Has been found to be a responsible and responsive contractor by the local government; and

    (b) At the time he submits his bid, provides to the local governmenta copy of a certificate of eligibility to receive a preference in bidding on public works issued to him by the state contractors’ board pursuant to subsection 3,

shall be deemed to have submitted a better bid than a competing contractor who has not provided a copy of such a valid certificate of eligibility if the amount of his bid is not more than 5 percent higher than the amount bid by the competing contractor.

    3.  The state contractors’ board shall issue a certificate of eligibility to receive a preference in bidding on public works to a general contractor who is licensed pursuant to the provisions of chapter 624 of NRS and submits to the board an affidavit from a certified public accountant setting forth that the general contractor has:

    (a) Paid:

        (1) The sales and use taxes imposed pursuant to chapters 372, 374 and 377 of NRS on materials used for construction in this state, including, without limitation, construction that is undertaken or carried out on land within the boundaries of this state that is managed by the Federal Government or is on an Indian reservation or Indian colony, of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of the affidavit from the certified public accountant;

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

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

    (b) Acquired, by inheritance, gift or transfer through a stock option plan for employees, all the assets and liabilities of a viable, operating construction firm that possesses a:

        (1) License as a general contractor pursuant to the provisions of chapter 624 of NRS; and

        (2) Certificate of eligibility to receive a preference in bidding on public works.

    4.  For the purposes of complying with the requirements set forth in paragraph (a) of subsection 3, a general contractor shall be deemed to have paid:

    (a) Sales and use taxes and motor vehicle privilege taxes paid in this state by an affiliate or parent company of the contractor, if the affiliate or parent company is also a general contractor; and

    (b) Sales and use taxes paid in this state by a joint venture in which the contractor is a participant, in proportion to the amount of interest the contractor has in the joint venture.

    5.  A contractor who has received a certificate of eligibility to receive a preference in bidding on public works from the state contractors’ board pursuant to subsection 3 shall, at the time for the annual renewal of his contractors’ license pursuant to NRS 624.283, submit to the board an affidavit from a certified public accountant setting forth that the contractor has, during the immediately preceding 12 months, paid the taxes required pursuant to paragraph (a) of subsection 3 to maintain his eligibility to hold such a certificate.

    6.  A contractor who fails to submit an affidavit to the board pursuant to subsection 5 ceases to be eligible to receive a preference in bidding on public works unless he reapplies for and receives a certificate of eligibility pursuant to subsection 3.

    7.  If a contractor who applies to the state contractors’ board for a certificate of eligibility to receive a preference in bidding on public works submits false information to the board regarding the required payment of taxes, the contractor is not eligible to receive a preference in bidding on public works for a period of 5 years after the date on which the board becomes aware of the submission of the false information.

    8.  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.

    9.  [If]Except as otherwise provided in subsection 2 of section 8 of this act and subsection 2 of section 27 of this act, 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.

    10.  The state contractors’ board shall adopt regulations and may assess reasonable fees relating to the certification of contractors for a preference in bidding on public works.

    11.  A person or entity who believes that a contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works may challenge the validity of the certificate by filing a written objection with the public body to which the contractor has submitted a bid or proposal on a contract for the completion of a public work. A written objection authorized pursuant to this subsection must:

    (a) Set forth proof or substantiating evidence to support the belief of the person or entity that the contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works; and

    (b) Be filed with the public body at or after the time at which the contractor submitted the bid or proposal to the public body and before the time at which the public body awards the contract for which the bid or proposal was submitted.

    12.  If a public body receives a written objection pursuant to subsection 11, the public body shall determine whether the objection is accompanied by the proof or substantiating evidence required pursuant to paragraph (a) of that subsection. If the public body determines that the objection is not accompanied by the required proof or substantiating evidence, the public body shall dismiss the objection and may proceed immediately to award the contract. If the public body determines that the objection is accompanied by the required proof or substantiating evidence, the public body shall determine whether the contractor qualifies for the certificate pursuant to the provisions of this section and may proceed to award the contract accordingly.

    Sec. 13.5.  NRS 338.147 is hereby amended to read as follows:

    338.147  1.  Except as otherwise provided in NRS 338.143 , [and sections 2 to 9, inclusive, of this act,] a 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 8 or limited by subsection 9, for the purposes of this section, a contractor who:

    (a) Has been found to be a responsible and responsive contractor by the local government; and

    (b) At the time he submits his bid, provides to the local governmenta copy of a certificate of eligibility to receive a preference in bidding on public works issued to him by the state contractors’ board pursuant to subsection 3,

shall be deemed to have submitted a better bid than a competing contractor who has not provided a copy of such a valid certificate of eligibility if the amount of his bid is not more than 5 percent higher than the amount bid by the competing contractor.

    3.  The state contractors’ board shall issue a certificate of eligibility to receive a preference in bidding on public works to a general contractor who is licensed pursuant to the provisions of chapter 624 of NRS and submits to the board an affidavit from a certified public accountant setting forth that the general contractor has:

    (a) Paid:

        (1) The sales and use taxes imposed pursuant to chapters 372, 374 and 377 of NRS on materials used for construction in this state, including, without limitation, construction that is undertaken or carried out on land within the boundaries of this state that is managed by the Federal Government or is on an Indian reservation or Indian colony, of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of the affidavit from the certified public accountant;

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

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

    (b) Acquired, by inheritance, gift or transfer through a stock option plan for employees, all the assets and liabilities of a viable, operating construction firm that possesses a:

        (1) License as a general contractor pursuant to the provisions of chapter 624 of NRS; and

        (2) Certificate of eligibility to receive a preference in bidding on public works.

    4.  For the purposes of complying with the requirements set forth in paragraph (a) of subsection 3, a general contractor shall be deemed to have paid:

    (a) Sales and use taxes and motor vehicle privilege taxes paid in this state by an affiliate or parent company of the contractor, if the affiliate or parent company is also a general contractor; and

    (b) Sales and use taxes paid in this state by a joint venture in which the contractor is a participant, in proportion to the amount of interest the contractor has in the joint venture.

    5.  A contractor who has received a certificate of eligibility to receive a preference in bidding on public works from the state contractors’ board pursuant to subsection 3 shall, at the time for the annual renewal of his contractors’ license pursuant to NRS 624.283, submit to the board an affidavit from a certified public accountant setting forth that the contractor has, during the immediately preceding 12 months, paid the taxes required pursuant to paragraph (a) of subsection 3 to maintain his eligibility to hold such a certificate.

    6.  A contractor who fails to submit an affidavit to the board pursuant to subsection 5 ceases to be eligible to receive a preference in bidding on public works unless he reapplies for and receives a certificate of eligibility pursuant to subsection 3.

    7.  If a contractor who applies to the state contractors’ board for a certificate of eligibility to receive a preference in bidding on public works submits false information to the board regarding the required payment of taxes, the contractor is not eligible to receive a preference in bidding on public works for a period of 5 years after the date on which the board becomes aware of the submission of the false information.

    8.  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.

    9.  [Except as otherwise provided in subsection 2 of section 8 of this act and subsection 2 of section 27 of this act, if]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.

    10.  The state contractors’ board shall adopt regulations and may assess reasonable fees relating to the certification of contractors for a preference in bidding on public works.

    11.  A person or entity who believes that a contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works may challenge the validity of the certificate by filing a written objection with the public body to which the contractor has submitted a bid or proposal on a contract for the completion of a public work. A written objection authorized pursuant to this subsection must:

    (a) Set forth proof or substantiating evidence to support the belief of the person or entity that the contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works; and

    (b) Be filed with the public body at or after the time at which the contractor submitted the bid or proposal to the public body and before the time at which the public body awards the contract for which the bid or proposal was submitted.

    12.  If a public body receives a written objection pursuant to subsection 11, the public body shall determine whether the objection is accompanied by the proof or substantiating evidence required pursuant to paragraph (a) of that subsection. If the public body determines that the objection is not accompanied by the required proof or substantiating evidence, the public body shall dismiss the objection and may proceed immediately to award the contract. If the public body determines that the objection is accompanied by the required proof or substantiating evidence, the public body shall determine whether the contractor qualifies for the certificate pursuant to the provisions of this section and may proceed to award the contract accordingly.”.

    Amend sec. 27, page 24, lines 26 and 27, by deleting:

that arise during construction and are” and inserting “as”.

    Amend sec. 28, page 25, line 1, by deleting “Design, construct,” and inserting “Construct,”.

    Amend sec. 28, page 25, line 2, by deleting “design or”.

    Amend the bill as a whole by adding new sections designated sections 35.2 through 35.8, following sec. 35, to read as follows:

    “Sec. 35.2.  Section 11 of this act is hereby amended to read as follows:

    Sec. 11.  NRS 338.143 is hereby amended to read as follows:

    338.143  1.  Except as otherwise provided in subsection 6 and NRS 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 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 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 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 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 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 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 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 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 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, the Moapa Valley water district created pursuant to chapter 477, Statutes of Nevada 1983 or the Virgin Valley water district created pursuant to chapter 100, Statutes of Nevada 1993 . [; or

    (e) The design and construction of a public work for which a public body contracts with a design-build team pursuant to sections 2 to 9, inclusive, of this act.]”.

    Sec. 35.4.  Assembly Bill No. 298 of this session is hereby amended by adding thereto new sections designated sections 19.2 through 19.6, following sec. 19, to read as follows:

Sec. 19.2.  Section 8 of this act is hereby amended 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, the Moapa Valley water district created pursuant to chapter 477, Statutes of Nevada 1983 or the Virgin Valley water district created pursuant to chapter 100, Statutes of Nevada 1993 . [; or

    (e) The design and construction of a public work for which a public body contracts with a design-build team pursuant to sections 2 to 9, inclusive, of Senate Bill No. 475 of this session.]

Sec. 19.4.  Section 8 of this act is hereby amended 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, the Moapa Valley water district created pursuant to chapter 477, Statutes of Nevada 1983 or the Virgin Valley water district created pursuant to chapter 100, Statutes of Nevada 1993.

Sec. 19.6.  Section 11 of this act is hereby amended to read as follows:

    Sec. 11.  1.   Except as otherwise provided in section 8 of this act , [and sections 2 to 9, inclusive, of Senate Bill No. 475 of this session,] 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 8 or limited by subsection 9, 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 requirements pursuant to section 6 of this act; and

    (b) At the time he submits his bid, provides to the public body a copy of a certificate of eligibility to receive a preference in bidding on public works issued to him by the state contractors’ board pursuant to subsection 3,

shall be deemed to have submitted a better bid than a competing contractor who has not provided a copy of such a valid certificate of eligibility if the amount of his bid is not more than 5 percent higher than the amount bid by the competing contractor.

    3.  The state contractors’ board shall issue a certificate of eligibility to receive a preference in bidding on public works to a general contractor who is licensed pursuant to the provisions of chapter 624 of NRS and submits to the board an affidavit from a certified public accountant setting forth that the general contractor has:

    (a) Paid:

        (1) The sales and use taxes imposed pursuant to chapters 372, 374 and 377 of NRS on materials used for construction in this state, including, without limitation, construction that is undertaken or carried out on land within the boundaries of this state that is managed by the Federal Government or is on an Indian reservation or Indian colony, of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of the affidavit from the certified public accountant;

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

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

    (b) Acquired, by inheritance, gift or transfer through a stock option plan for employees, all the assets and liabilities of a viable, operating construction firm that possesses a:

        (1) License as a general contractor pursuant to the provisions of chapter 624 of NRS; and

        (2) Certificate of eligibility to receive a preference in bidding on public works.

    4.  For the purposes of complying with the requirements set forth in paragraph (a) of subsection 3, a general contractor shall be deemed to have paid:

    (a) Sales and use taxes and motor vehicle privilege taxes paid in this state by an affiliate or parent company of the contractor, if the affiliate or parent company is also a general contractor; and

    (b) Sales and use taxes paid in this state by a joint venture in which the contractor is a participant, in proportion to the amount of interest the contractor has in the joint venture.

    5.  A contractor who has received a certificate of eligibility to receive a preference in bidding on public works from the state contractors’ board pursuant to subsection 3 shall, at the time for the annual renewal of his contractors’ license pursuant to NRS 624.283, submit to the board an affidavit from a certified public accountant setting forth that the contractor has, during the immediately preceding 12 months, paid the taxes required pursuant to paragraph (a) of subsection 3 to maintain his eligibility to hold such a certificate.

    6.  A contractor who fails to submit an affidavit to the board pursuant to subsection 5 ceases to be eligible to receive a preference in bidding on public works unless he reapplies for and receives a certificate of eligibility pursuant to subsection 3.

    7.  If a contractor who applies to the state contractors’ board for a certificate of eligibility to receive a preference in bidding on public works submits false information to the board regarding the required payment of taxes, the contractor is not eligible to receive a preference in bidding on public works for a period of 5 years after the date on which the board becomes aware of the submission of the false information.

    8.  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.

    9.  [Except as otherwise provided in subsection 2 of section 8 of Senate Bill No. 475 of this session, if] 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.

    10.  The state contractors’ board shall adopt regulations and may assess reasonable fees relating to the certification of contractors for a preference in bidding on public works.

    11.  A person or entity who believes that a contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works may challenge the validity of the certificate by filing a written objection with the public body to which the contractor has submitted a bid or proposal on a contract for the construction of a public work. A written objection authorized pursuant to this subsection must:

    (a) Set forth proof or substantiating evidence to support the belief of the person or entity that the contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works; and

    (b) Be filed with the public body at or after the time at which the contractor submitted the bid or proposal to the public body and before the time at which the public body awards the contract for which the bid or proposal was submitted.

    12.  If a public body receives a written objection pursuant to subsection 11, the public body shall determine whether the objection is accompanied by the proof or substantiating evidence required pursuant to paragraph (a) of that subsection. If the public body determines that the objection is not accompanied by the required proof or substantiating evidence, the public body shall dismiss the objection and may proceed immediately to award the contract. If the public body determines that the objection is accompanied by the required proof or substantiating evidence, the public body shall determine whether the contractor qualifies for the certificate pursuant to the provisions of this section and may proceed to award the contract accordingly.

    Sec. 35.6.  Sections 8, 11, 12 and 21 of Assembly Bill No. 298 of this session are hereby amended 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;

    (d) The Las Vegas Valley water district created pursuant to chapter 167, Statutes of Nevada 1947, the Moapa Valley water district created pursuant to chapter 477, Statutes of Nevada 1983 or the Virgin Valley water district created pursuant to chapter 100, Statutes of Nevada 1993; or

    (e) The design and construction of a public work for which a public body contracts with a design-build team pursuant to sections 2 to 9, inclusive, of Senate Bill No. 475 of this session.

    Sec. 11.  1.  Except as otherwise provided in section 8 of this act and sections 2 to 9, inclusive, of Senate Bill No. 475 of this session, 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 8 or limited by subsection 9, 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 requirements pursuant to section 6 of this act; and

    (b) At the time he submits his bid, provides to the public body a copy of a certificate of eligibility to receive a preference in bidding on public works issued to him by the state contractors’ board pursuant to subsection 3,

shall be deemed to have submitted a better bid than a competing contractor who has not provided a copy of such a valid certificate of eligibility if the amount of his bid is not more than 5 percent higher than the amount bid by the competing contractor.

    3.  The state contractors’ board shall issue a certificate of eligibility to receive a preference in bidding on public works to a general contractor who is licensed pursuant to the provisions of chapter 624 of NRS and submits to the board an affidavit from a certified public accountant setting forth that the general contractor has:

    (a) Paid:

        (1) The sales and use taxes imposed pursuant to chapters 372, 374 and 377 of NRS on materials used for construction in this state, including, without limitation, construction that is undertaken or carried out on land within the boundaries of this state that is managed by the Federal Government or is on an Indian reservation or Indian colony, of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of the affidavit from the certified public accountant;

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

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

    (b) Acquired, by inheritance, gift or transfer through a stock option plan for employees, all the assets and liabilities of a viable, operating construction firm that possesses a:

        (1) License as a general contractor pursuant to the provisions of chapter 624 of NRS; and

        (2) Certificate of eligibility to receive a preference in bidding on public works.

    4.  For the purposes of complying with the requirements set forth in paragraph (a) of subsection 3, a general contractor shall be deemed to have paid:

    (a) Sales and use taxes and motor vehicle privilege taxes paid in this state by an affiliate or parent company of the contractor, if the affiliate or parent company is also a general contractor; and

    (b) Sales and use taxes paid in this state by a joint venture in which the contractor is a participant, in proportion to the amount of interest the contractor has in the joint venture.

    5.  A contractor who has received a certificate of eligibility to receive a preference in bidding on public works from the state contractors’ board pursuant to subsection 3 shall, at the time for the annual renewal of his contractors’ license pursuant to NRS 624.283, submit to the board an affidavit from a certified public accountant setting forth that the contractor has, during the immediately preceding 12 months, paid the taxes required pursuant to paragraph (a) of subsection 3 to maintain his eligibility to hold such a certificate.

    6.  A contractor who fails to submit an affidavit to the board pursuant to subsection 5 ceases to be eligible to receive a preference in bidding on public works unless he reapplies for and receives a certificate of eligibility pursuant to subsection 3.

    7.  If a contractor who applies to the state contractors’ board for a certificate of eligibility to receive a preference in bidding on public works submits false information to the board regarding the required payment of taxes, the contractor is not eligible to receive a preference in bidding on public works for a period of 5 years after the date on which the board becomes aware of the submission of the false information.

    8.  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.

    9.  Except as otherwise provided in subsection 2 of section 8 of Senate Bill No. 475 of this session, 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.

    10.  The state contractors’ board shall adopt regulations and may assess reasonable fees relating to the certification of contractors for a preference in bidding on public works.

    11.  A person or entity who believes that a contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works may challenge the validity of the certificate by filing a written objection with the public body to which the contractor has submitted a bid or proposal on a contract for the construction of a public work. A written objection authorized pursuant to this subsection must:

    (a) Set forth proof or substantiating evidence to support the belief of the person or entity that the contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works; and

    (b) Be filed with the public body at or after the time at which the contractor submitted the bid or proposal to the public body and before the time at which the public body awards the contract for which the bid or proposal was submitted.

    12.  If a public body receives a written objection pursuant to subsection 11, the public body shall determine whether the objection is accompanied by the proof or substantiating evidence required pursuant to paragraph (a) of that subsection. If the public body determines that the objection is not accompanied by the required proof or substantiating evidence, the public body shall dismiss the objection and may proceed immediately to award the contract. If the public body determines that the objection is accompanied by the required proof or substantiating evidence, the public body shall determine whether the contractor qualifies for the certificate pursuant to the provisions of this section and may proceed to award the contract accordingly.

    Sec. 12.  NRS 338.010 is hereby amended to read as follows:

    338.010 As used in this chapter:

    1.  “Day labor” means all cases where public bodies, their officers, agents or employees, hire, supervise and pay the wages thereof directly to a workman or workmen employed by them on public works by the day and not under a contract in writing.

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

    (a) Found to be a responsible contractor by a [public body] local governmentwhich 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.

    3.  “Local government” means every political subdivision or other entity which has the right to levy or receive money from ad valorem or other taxes or any mandatory assessments, and includes, without limitation, counties, cities, towns, boards, school districts and other districts organized pursuant to chapters 244A, 309, 318, 379, 474, 541, 543 and 555 of NRS, NRS 450.550 to 450.750, inclusive, and any agency or department of a county or city which prepares a budget separate from that of the parent political subdivision.

    4.  “Offense” means failing to:

    (a) Pay the prevailing wage required pursuant to this chapter;

    (b) Pay the contributions for unemployment compensation required pursuant to chapter 612 of NRS; or

    (c) Provide and secure compensation for employees required pursuant to chapters 616A to 617, inclusive, of NRS.

    [4.] 5. “Public body” means the state, county, city, town, school district or any public agency of this state or its political subdivisions sponsoring or financing a public work.

    [5.] 6. “Public work” means any project for the new construction, repair or reconstruction of:

    (a) A project financed in whole or in part from public money for:

        (1) Public buildings;

        (2) Jails and prisons;

        (3) Public roads;

        (4) Public highways;

        (5) Public streets and alleys;

        (6) Public utilities which are financed in whole or in part by public money;

        (7) Publicly owned water mains and sewers;

        (8) Public parks and playgrounds;

        (9) Public convention facilities which are financed at least in part with public funds; and

        (10) [All]Any other publicly owned works and property whose cost as a whole exceeds $20,000. Each separate unit which is a part of a project is included in the cost of the project for the purpose of determining whether a project meets this threshold.

    (b) A building for the University and Community College System of Nevada of which 25 percent or more of the costs of the building as a whole are paid from money appropriated by [the]this state or from federal money.

    [6.]7. “Wages” means:

    (a) The basic hourly rate of pay; and

    (b) The amount of pension, health and welfare, vacation and holiday pay, the cost of apprenticeship training or other similar programs or other bona fide fringe benefits which are a benefit to the workman.

    [7.] 8.  “Workman” means a skilled mechanic, skilled workman, semiskilled mechanic, semiskilled workman or unskilled workman.

    Sec. 21.  1.  This section and sections 2 to 7, inclusive, 10 to 14, inclusive, 16 to 19, inclusive, and 20 of this act become effective on October 1, 1999.

    2.  Section 8 of this act becomes effective on October 1, 1999, and expires by limitation on October 1, 2003.

    3.  Sections 19.2 and 19.6 of this act become effective on October 1, 2003.

    4.  Sections 15 and 19.4 of this act become effective at 12:01 a.m. on May 1, 2013.

    5.  Sections 14, 18, 19 and 19.2 of this act expire by limitation on May 1, 2013.

    Sec. 35.8. Section 4 of Senate Bill No. 144 of this session is hereby amended to read as follows:

    Sec. 4. “Contractor” means[a] :

    1.  A person who:

    [1.] (a) Is licensed pursuant to the provisions of chapter 624 of NRS or performs such work that he is not required to be licensed pursuant to chapter 624 of NRS; and

    [2.] (b) Contracts with a public body to provide labor, materials or services for a public work.

    2.  A design-build team that contracts with a public body to design and construct a public work pursuant to sections 2 to 9, inclusive, of Senate Bill No. 475 of this session.”.

    Amend sec. 36, page 28, line 34, by deleting “is” and inserting:

“and section 9 of Assembly Bill No. 298 of this session are”.

    Amend sec. 38, page 29, by deleting lines 33 through 42 and inserting:

    “Sec. 38. 1.  This section and sections 35.4 and 35.6 of this act become effective on October 1, 1999.

    2.  Sections 1 to 9, inclusive, 14 to 35, inclusive, 36 and 37of this act become effective on October 1, 1999, and expire by limitation on October 1, 2003.

    3.  Sections 10, 13 and 35.8 of this act become effective at 12:01 a.m. on October 1, 1999, and expire by limitation on October 1, 2003.

    4. Section 11 of this act becomes effective at 12:01 a.m.on October 1, 1999, and expires by limitation on May 1, 2013.

    5. Section 13.5 of this act becomes effective at 12:01 a.m. on October 1, 2003.

    6.  Section 35.2 of this act becomes effective at 12:01 a.m. on October 1, 2003 and expires by limitation on May 1, 2013.

    7.  Section 12 of this act becomes effective at 12:02 a.m. on May 1, 2013.”.

    Amend the bill as a whole by deleting the text of the repealed section and adding the text of repealed sections, following sec. 38, to read as follows:

TEXT OF REPEALED SECTIONS

    341.171 Single contract for design and construction of capital improvement: Legislative approval; regulations.

    1.  The board may, with the approval of the interim finance committee when the legislature is not in regular or special session, or with the approval of the legislature by concurrent resolution when the legislature is in regular or special session, let to a contractor licensed under chapter 624 of NRS a single contract for both the design and construction of a project of capital improvement. The board shall for the purpose prepare a comprehensive sketch plan and narrative of the scope of the work involved in a project.

    2.  The board shall adopt regulations establishing procedures for:

    (a) The determination of the qualifications of contractors to bid for contracts for the design and construction of such projects. The board shall consult with the American Institute of Architects and the Associated General Contractors, or the successor of either if the named organization ceases to exist, before adopting procedures under this paragraph.

    (b) The board’s approval of designs and architects employed in a project.

    (c) The bidding and awarding of contracts for the design and construction of projects based on a final cost of the project which the contractor guarantees will not be exceeded.

    (d) The scheduling and controlling of projects.

    Section 9 of Assembly Bill No. 298 of this session:

    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.

    Assemblyman Bache moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 475.


    Remarks by Assemblymen Bache and Collins.

    Motion carried.

INTRODUCTION, FIRST READING AND REFERENCE

    By the Committee on Ways and Means:

    Assembly Bill No. 701—AN ACT relating to public employees; making appropriations from the state general fund and the state highway fund to the State Board of Examiners for increases in the salaries of certain employees of the State of Nevada; and providing other matters properly relating thereto.    Assemblyman Arberry moved that the bill be referred to the Committee on Ways and Means.

    Motion carried.

MOTIONS, RESOLUTIONS AND NOTICES

    Assemblyman Perkins moved that Senate Bill No. 259 returned from the printer be placed on the General File.

    Motion carried.

    Mr. Speaker announced that if there were no objections, the Assembly would recess subject to the call of the Chair.

    Assembly in recess at 2:52 p.m.

 ASSEMBLY IN SESSION

    At 4:57 p.m.

    Mr. Speaker presiding.

    Quorum present.

REPORTS OF COMMITTEES

Mr. Speaker:

    Your Committee on Elections, Procedures, and Ethics, to which were referred Senate Concurrent Resolutions Nos. 4, 19, has had the same under consideration, and begs leave to report the same back with the recommendation: Be adopted.

Chris Giunchigliani, Chairman

Mr. Speaker:

    Your Committee on Ways and Means, to which were referred Assembly Bill No. 701; Senate Bills Nos. 553, 554, 555, 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 Assembly Bill No. 564, has had the same under consideration, and begs leave to report the same back with the recommendation: Do pass.

Morse Arberry Jr., Chairman

MESSAGES FROM THE Senate

Senate Chamber, Carson City, May 30, 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. 287, 519, 688.

    Also, I have the honor to inform your honorable body that the Senate on this day passed, as amended, Senate Bill No. 193.

    I have the honor to inform your honorable body that the Senate on this day concurred in the Assembly Amendment No. 1198 to Senate Bill No. 279; Assembly Amendment No. 893 to Senate Bill No. 481.

    Also, I have the honor to inform your honorable body that the Senate on this day concurred in the Assembly Amendment No. 873 to Senate Bill No. 544.

    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. 1199 to Senate Bill No. 544.

    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators Wiener, Amodei and Townsend as a first Conference Committee concerning Senate Bill No. 104.

    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators Townsend, Rhoads and Shaffer as a first Conference Committee concerning Senate Bill No. 438.

    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators Schneider, Washington and Townsend as a first Conference Committee concerning Senate Bill No. 445.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the first Conference Committee concerning Assembly Bill No. 408.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the first Conference Committee concerning Assembly Bill No. 477.

    Also, 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. 192.

    Also, 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. 302 and appointed Senators O'Donnell, Washington and Wiener as a second Conference Committee to meet with a like committee of the Assembly for further consideration of Senate Bill No. 302.

    Also, 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. 438.

    Also, 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. 475.

                                      Mary Jo Mongelli

                        Assistant Secretary of the Senate

UNFINISHED BUSINESS

Consideration of Senate Amendments

    Assembly Bill No. 689.

    The following Senate amendment was read:

    Amendment No. 1206.

    Amend section 1, page 1, by deleting lines 3 through 6 and inserting:

    “Sec. 3.  1.  The state board of health shall adopt regulations requiring the fluoridation of all water delivered for human consumption in a county whose population is 400,000 or more by a:

    (a) Public water system that serves a population of 100,000 or more; or

    (b) Water authority.”.

    Amend section 1, page 2, by deleting line 2 and inserting:

fluoride to be maintained by such a public water system or a water authority, except”.

    Amend section 1, page 2, by deleting lines 11 through 13 and inserting:

    “(c) Requirements for the addition of fluoride to the water if the natural concentration of fluorides is lower than the minimum permissible concentration”.

    Amend section 1, page 2, by deleting lines 16 and 17 and inserting:

exempt a public water system or water authority from the requirement of fluoridation upon the request of the public water system or water authority.”.

    Amend section 1, page 2, by deleting lines 20 and 21 and inserting:

    “(a) The wells of a public water system or water authority if:

        (1) The ground water production of the public water system or water authority”.

    Amend section 1, page 2, line 23, after “system” by inserting “or authority”.

    Amend section 1, page 2, line 28, by deleting “system:” and inserting:

system or water authority:”.

    Amend section 1, page 2, line 30, after “system” by inserting “or authority”.

    Amend section 1, page 2, line 32, after “system” by inserting “or authority”.

    Amend section 1, page 2, line 35, after “system” by inserting “or authority”.

    Amend section 1, page 2, line 41, after “system” by inserting:

or water authority”.

    Amend section 1, page 3, by deleting lines 11 and 12 and inserting:

    “6.  A public water system or water authority may submit to the health division a claim for payment of the initial costs of the public water system or water authority to”.

    Amend section 1, page 3, line 14, after “system” by inserting:

or water authority”.

    Amend section 1, page 3, line 19, after “system” by inserting:

or water authority”.

    Amend section 1, page 3, by deleting lines 22 and 23 and inserting:

    “7.  As used in this section:

    (a) “Supplier of water” has the meaning ascribed to it in NRS 445A.845.

    (b) “Water authority” has the meaning ascribed to it in NRS 377B.040.”.

    Amend section 1, page 3, by deleting line 30 and inserting:

    “2.  A water authority, as defined pursuant to NRS 377B.040, and any political subdivision that receives all or a part of its water supply from such a water authority in a county whose population is 400,000 or more.

    3.  Purveyors of bottled water who label their containers to”.

    Amend section 1, page 3, line 35, by deleting “3.” and inserting “4.”.

    Amend sec. 2, page 4, by deleting lines 12 through 14 and inserting:

    “Should the water authority and each public water system in this county that serve a population of 100,000 persons or more continue the fluoridation of the water?”.

    Amend the bill as a whole by deleting sections 3 and 4 and renumbering sec. 5 as sec. 3.

    Amend the title of the bill to read as follows:

“AN ACT relating to water; amending Assembly Bill No. 284 of the 1999 Legislative Session to make the provisions of the bill applicable to water authorities; revising the manner in which the advisory question is stated; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

“SUMMARY—Amends Assembly Bill No. 284 of 1999 Legislative Session. (BDR 40‑1760)”.

    Assemblyman Anderson moved that the Assembly do not concur in the Senate amendment to Assembly Bill No. 689.

    Remarks by Assemblyman Anderson.

    Motion carried.

    Bill ordered transmitted to the Senate.

UNFINISHED BUSINESS

Reports of Conference Committees

Mr. Speaker:

    The first Conference Committee concerning Assembly Joint Resolution No. 5 of the 69th Session, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

 

Robert E. Price

William R. O'Donnell

Harry Mortenson

Jon C. Porter

Merle A. Berman

Joseph M. Neal

Assembly Conference Committee

Senate Conference Committee

 

    Assemblyman Price moved that the Assembly adopt the report of the first Conference Committee concerning Assembly Joint Resolution No. 5 of the 69th Session.

    Remarks by Assemblymen Price and Bache.

    Motion carried.

INTRODUCTION, FIRST READING AND REFERENCE

    Senate Bill No. 193.

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

    Motion carried.

general file and third reading

    Senate Bill No. 553.

    Bill read third time.

    Remarks by Assemblymen Hettrick, Anderson, Giunchigliani, Humke, Freeman, Nolan, Buckley, Arberry, de Braga, Carpenter, Leslie and Beers.

    Roll call on Senate Bill No. 553:

    Yeas—24.

    Nays—Anderson, Bache, Buckley, Chowning, de Braga, Freeman, Gibbons, Giunchigliani, Koivisto, Leslie, Manendo, McClain, Parks, Parnell, Price, Thomas, Williams—17.

    Excused—Evans.

    Senate Bill No. 553 having received a constitutional majority, Mr. Speaker declared it passed.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 411.

    Bill read third time.

    Remarks by Assemblymen Goldwater and de Braga.

    Roll call on Senate Bill No. 411:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 411 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 259.

    Bill read third time.

    Remarks by Assemblyman Goldwater.

    Roll call on Senate Bill No. 259:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 259 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 564.

    Bill read third time.

    Remarks by Assemblyman Thomas.

    Roll call on Assembly Bill No. 564:

    Yeas—34.

    Nays—Angle, Brower, Cegavske, Gustavson, Hettrick, Marvel, Von Tobel—7.

    Excused—Evans.

    Assembly Bill No. 564 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

    Assembly Bill No. 701.

    Bill read third time.

    Remarks by Assemblyman Arberry.

    Roll call on Assembly Bill No. 701:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Assembly Bill No. 701 having received a constitutional majority, Mr. Speaker declared it passed.

    Bill ordered transmitted to the Senate.


    Senate Bill No. 353.

    Bill read third time.

    Remarks by Assemblyman Arberry.

    Roll call on Senate Bill No. 353:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 353 having received a constitutional majority, Mr. Speaker declared it passed.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 554.

    Bill read third time.

    Remarks by Assemblyman Arberry.

    Roll call on Senate Bill No. 554:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 554 having received a constitutional majority, Mr. Speaker declared it passed.

    Bill ordered transmitted to the Senate.

    Senate Bill No. 555.

    Bill read third time.

    Remarks by Assemblymen Arberry and Giunchigliani.

    Potential conflict of interest declared by Assemblymen Giunchigliani, Parnell, Bache and Anderson

    Roll call on Senate Bill No. 555:

    Yeas—41.

    Nays—None.

    Excused—Evans.

Senate Bill No. 555 having received a constitutional majority, Mr. Speaker

declared it passed.

    Bill ordered transmitted to the Senate.

REPORTS OF COMMITTEES

Mr. Speaker:

    Your Committee on Ways and Means, to which was referred Senate Bill No. 329, 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

    Assemblywoman Giunchigliani moved that Assembly Concurrent Resolution No. 67 be taken from the Chief Clerk's desk and placed on the Resolution File.

    Motion carried.

    Assemblyman Perkins moved that Senate Concurrent Resolutions Nos. 4 and 19 be placed on the Resolution File.

    Motion carried.

    Assembly Concurrent Resolution No. 67.

    Resolution read second time.

    The following amendment was proposed by the Committee on Elections, Procedures, and Ethics:

    Amendment No. 1219.

    Amend the resolution, page 1, by deleting lines 11 through 24 and inserting:

Concurring, That a task force to conduct a study concerning misdemeanors consisting of:

    1.  Six voting members appointed as follows:

    (a) Two members of the Assembly appointed by the Speaker of the Assembly, one of whom must have served on the Assembly Standing Committee on Judiciary during the immediately preceding session of the Legislature;

    (b) Two members of the Senate appointed by the Majority Leader of the Senate, one of whom must have served on the Senate Standing Committee on Judiciary during the immediately preceding session of the Legislature;

    (c) One member of the Assembly appointed by the Minority Leader of the Assembly; and

    (d) One member of the Senate appointed by the Minority Leader of the Senate.

The chairman of the task force must be selected from among the voting members of the task force by the voting members of the task force.

    2.  Five nonvoting members appointed by the voting members of the task force as follows:

    (a) One member who is an attorney at the Office of the Attorney General;

    (b) One member who is an attorney at the Office of the State Public Defender;

    (c) One member who is an attorney at any Office of a District Attorney in this state;

    (d) One member who is an attorney at any Office of a County Public Defender in this state; and

    (e) One member who is a representative of the general public; and be it further”.

    Amend the resolution, page 2, line 1, by deleting “interim”.

    Amend the resolution, page 2, line 12, by deleting “subcommittee;” and inserting “task force;”.

    Amend the resolution, page 2, by deleting lines 13 through 19 and inserting:

    “Resolved, That the expenses of the task force must be paid from the legislative fund; and be it further

    Resolved, That any recommended legislation proposed by the task force must be approved by a majority of the members of the task force appointed from the Assembly and a majority of the members of the task force appointed from the Senate; and be it further

    Resolved, That the task force shall submit a report, including, without limitation, its findings and any recommendations for legislation, on or before September 1, 2000, to the Director of the Legislative Counsel Bureau for distribution to the 71st session of the Nevada Legislature.”.

    Amend the title of the resolution to read as follows:

“ASSEMBLY CONCURRENT RESOLUTION—Requiring the establishment of a task force to study penalties for misdemeanors.”.

    Amend the summary of the resolution to read as follows:

“SUMMARY—Requires establishment of task force to study penalties for misdemeanors. (BDR R-1747)”.

    Assemblywoman Giunchigliani moved the adoption of the amendment.

    Remarks by Assemblywoman Giunchigliani.

    Amendment adopted.

    Resolution ordered reprinted, re-engrossed and to Resolution File.

    Senate Concurrent Resolution No. 4.

    Assemblywoman Giunchigliani moved the adoption of the resolution.

    Remarks by Assemblywoman Giunchigliani.

    Resolution adopted.

    Senate Concurrent Resolution No. 19.

    Assemblywoman Giunchigliani moved the adoption of the resolution.

    Remarks by Assemblywoman Giunchigliani.

    Resolution adopted.

SECOND READING AND AMENDMENT

    Senate Bill No. 329.

    Bill read second time.

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

    Amendment No. 1222.

    Amend section 1, page 2, by deleting lines 23 through 32 and inserting:

    “Section 1.  1.  Except as otherwise provided in subsection 3, the State Board of Finance shall issue general obligation bonds of the State of Nevada in the face amount of not more than $3,000,000. The proceeds of the bonds must be allocated to the Division of State Parks of the State Department of Conservation and Natural Resources to assist in the construction of a California Immigrant Trail Interpretive Center in Elko County.

    2.  The expenses related to the issuance of bonds pursuant to this section must be paid from the proceeds of the bonds and must not exceed 2 percent of the face amount of the bonds sold.

    3.  The State Board of Finance shall not issue the general obligation bonds pursuant to subsection 1 unless on or before June 30, 2003:

    (a) The Division of State Parks of the State Department of Conservation and Natural Resources has received commitments of at least:

                (1) One million dollars from Elko County;

                (2) Two million dollars from the City of Elko; and

                (3) Six million dollars from the Federal Government and other available sources of grant money,

for the construction of the California Immigrant Trail Interpretive Center in Elko County; and

    (b) The Federal Government has agreed to own and operate the California Immigrant Trail Interpretive Center in Elko County.”.

    Amend the bill as a whole by deleting sec. 2 and renumbering sec. 3 as sec. 2.

    Amend the preamble of the bill, page 2, by deleting line 14 and inserting:

“other commitments required by subparagraph (3) of paragraph (a) of subsection 3 of section 1 of this act and paragraph (b) of subsection 3 of section 1 of this act; and”.

    Amend the preamble of the bill, page 2, line 17, after “the” by inserting “other”.

    Amend the preamble of the bill, page 2, by deleting line 18 and inserting:

“required by subsection 3 of section 1 of this act; now, therefore,”.

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

“AN ACT relating to state financial administration; authorizing the issuance of general obligation bonds under certain circumstances to assist in the”.

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

“SUMMARY—Authorizes issuance of general obligation bonds under certain circumstances to assist in”.

    Amend the bill as a whole by adding the following assemblyman as a primary joint sponsor: Assemblyman Marvel.

    Assemblyman Arberry moved the adoption of the amendment.

    Remarks by Assemblyman Arberry.

    Amendment adopted.

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

UNFINISHED BUSINESS

Reports of Conference Committees

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 438, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Assembly be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA30, which is attached to and hereby made a part of this report.

 

Douglas A. Bache

Randolph J. Townsend

Lynn C. Hettrick

Dean A. Rhoads

Joseph E. Dini, Jr.

Raymond C. Shaffer

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA30.

        Amend sec. 3, page 2, by deleting lines 8 and 9 and inserting:

obligations for the purchase of power.”.

    Amend sec. 3, page 2, by deleting lines 34 through 42 and inserting:

    “3.  The provisions of this section must not be construed to allow the commission, by direct or indirect action, to modify or terminate any obligation for the purchase of power in effect on June 1, 1999.”.

    Amend sec. 4, page 3, line 5, by deleting “may” and inserting:

must be established at and must”.

    Amend sec. 5, page 3, line 19, after “2000,” by inserting:

or such other date that is determined to be in the public interest by the governor pursuant to NRS 704.976,”.

    Amend sec. 10, page 7, by deleting lines 5 through 7 and inserting:

“or after [July 1, 1999, or the date on which alternative sellers are authorized to provide potentially competitive services to customers in this state, as appropriate.] March 1, 2000, or such other date that is determined to be in the public interest by the governor pursuant to NRS 704.976.”.

    Amend sec. 12, page 7, by deleting lines 24 and 25 and inserting:

[December 31, 1999,] March 1, 2000, unless the governor, after consultation with thecommission , determines that a different date is necessary to protect the public interest. [If the”.

    Amend sec. 12, page 9, by deleting lines 6 through 11 and inserting:

    “[8.] 7. A vertically integrated electric utility shall not provide a potentially competitive service except through an affiliate [:

   (a) On or after December 31, 1999; or

   (b) The date on which the commission determines that the service is potentially competitive,

whichever is later.] on or after March 1, 2000, or such other date that is determined to be in the public interest by the governor pursuant to subsection 1.”.

    Amend sec. 16, page 12, by deleting lines 25 through 35 and inserting:

    4.  A customer who has obtained generation, aggregation or any other potentially competitive service for at least 30 continuous days from an alternative seller after March 1, 2000, or such other date that is determined to be in the public interest by the governor pursuant to NRS 704.976, may reacquire service from the designated provider of electric service pursuant to tariffs approved by the commission. 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.”.

    Amend sec. 16, page 12, line 36, by deleting “5.” and inserting “[4.] 5.”.

    Amend sec. 17, page 13, by deleting lines 27 and 28 and inserting:

    “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”.

    Amend sec. 17, pages 13 and 14, by deleting lines 40 through 43 on page 13 and lines 1 through 6 on page 14, and inserting:

“  4.] 3. A customer who has obtained generation, aggregation or any other potentially competitive service for at least 30 continuous days from an alternative seller [after March 1, 2000, or such other date that is determined to be in the public interest by the governor pursuant to NRS 704.976,] may reacquire service from the designated provider of electric service pursuant to tariffs approved by the commission. 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.”.

    Amend sec. 17, page 14, by deletingline 12 and inserting:

    [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]”.

    Amend sec. 18, page 15, by deleting lines 11 and 12 and inserting:

    “2.  [For the purposes of this section,] Ifthe commission [may impose a procedure] determines that costs are recoverable pursuant to subsection 1, the commission shall, for the purposes of this section and section 3 of this act, adopt by regulation procedures to provide for the direct and unavoidable recovery from ratepayers of the”.

    Amend sec. 18, page 15, line 14, by deleting “procedure” and inserting “[procedure]procedures”.

    Amend the bill as a whole by deleting sec. 21 and renumbering sections 22 through 27 as sections 21 through 26.

    Amend sec. 22, page 16, line 35, after “2000,” by inserting:

“or such other date that is determined to be in the public interest by the governor pursuant to NRS 704.976,”.

    Amend sec. 23, page 17, by deleting line 1 and inserting:

    “Sec. 22.  On or before March 1, 2000, or such other date that is determined to be in the public interest by the governor pursuant to NRS 704.976, an alternative seller and a vertically integrated electric”.   

    Amend sec. 23, page 17, line 4, by deleting “2000.” and inserting:

“2000, or such other date that is determined to be in the public interest by the governor pursuant to NRS 704.976.”.

    Amend sec. 24, page 17, line 6, by deleting:

“for electric service” and inserting “with customers”.

    Amend sec. 25, page 17, line 10, by deleting “July” and inserting “June”.

    Amend sec. 26, page 17, by deleting line 12 and inserting:

“inclusive, 18 to 22, inclusive, and 26 of this act become effective on”.

    Amend sec. 26, page 17, line 14, by deleting:

“Section 24 becomes” and inserting: 

“Sections 23 and 24 become”.

    Amend the title of the bill, seventh line, by deleting “extending” and inserting:

“revising the provisions governing”.

    Assemblyman Bache moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 438.

    Remarks by Assemblyman Bache.

    Motion carried.

    Mr. Speaker announced that if there were no objections, the Assembly would recess subject to the call of the Chair.

    Assembly in recess at 6:03 p.m.

ASSEMBLY IN SESSION

    At 10:38 p.m.

    Mr. Speaker presiding.

    Quorum present.

MESSAGES FROM THE Senate

Senate Chamber, Carson City, May 30, 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. 205, 696, 699, 700; Senate Bill No. 556.

    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. 64, Senate Amendment No. 1197, and requests a conference, and appointed Senators Townsend, Amodei and Carlton 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. 689, Senate Amendment No. 1206, and requests a conference, and appointed Senators Rawson, Wiener and Washington 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 adopted the report of the second Conference Committee concerning Assembly Bill No. 238.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the second Conference Committee concerning Assembly Bill No. 267.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the second Conference Committee concerning Senate Bill No. 360.

    Also, I have the honor to inform your honorable body that the Senate on this day refused to adopt the report of the first Conference Committee concerning Assembly Bill No. 109, and requests a second conference, and appointed Senators O'Connell, Rhoads and Schneider as a second Conference Committee to meet with a like committee of the Assembly for further consideration of Assembly Bill No. 109.


    Also, I have the honor to inform your honorable body that the Senate on this day appointed Senators McGinness, Wiener and James as a second Conference Committee concerning Senate Bill No. 360.

                                      Mary Jo Mongelli

                         Assistant Secretary of the Senate

UNFINISHED BUSINESS

Appointment of Conference Committees

    Mr. Speaker appointed Assemblymen Goldwater, Buckley and Berman as a first Conference Committee to meet with a like committee of the Senate for the further consideration of Assembly Bill No. 64

    Mr. Speaker appointed Assemblymen Giunchigliani, Goldwater and Hettrick as a second Conference Committee to meet with a like committee of the Senate for the further consideration of Assembly Bill No. 109.

    Mr. Speaker appointed Assemblymen Anderson, Giunchigliani and Carpenter as a first Conference Committee to meet with a like committee of the Senate for the further consideration of Assembly Bill No. 689.

INTRODUCTION, FIRST READING AND REFERENCE

    By the Committee on Ways and Means:

    Assembly Bill No. 702—AN ACT relating to the legislature; revising the provisions relating to the compensation and titles of certain legislative employees; and providing other matters properly relating thereto.

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

    Motion carried.

    Senate Bill No. 556.

    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 Concurrent Resolution No.

67 just reported out of committee be placed on the Resolution File.

    Motion carried.

    Assembly Concurrent Resolution No. 67.

    Assemblyman Perkins moved the adoption of the resolution.

    Remarks by Assemblyman Perkins.

    Resolution adopted, as amended.

    Assemblyman Perkins moved that Senate Bill No. 329 returned from the printer be placed on the General File.

    Motion carried.


general file and third reading

    Senate Bill No. 329

    Bill read third time.

    Remarks by Assemblymen Marvel and Carpenter.

    Roll call on Senate Bill No. 329:

    Yeas—41.

    Nays—None.

    Excused—Evans.

    Senate Bill No. 329 having received a constitutional majority, Mr. Speaker declared it passed, as amended.

    Bill ordered transmitted to the Senate.

UNFINISHED BUSINESS

Reports of Conference Committees

Mr. Speaker:

    The second Conference Committee concerning Assembly Bill No. 109, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA35, which is attached to and hereby made a part of this report.

 

Chris Giunchigliani

Ann O'Connell

David E. Goldwater

Dean A. Rhoads

Lynn C. Hettrick

Michael A. Schneider

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA35.

    Amend the bill as a whole by deleting sections 1 through 9, renumbering sec. 10 as sec. 2, and adding a new section designated section 1, following the enacting clause, to read as follows:

    “Section 1.  Chapter 597 of NRS is hereby amended by adding thereto a new section to read as follows:

    1.  An informal merchant shall not offer for sale or knowingly allow the sale of any new product that he knows or reasonably should have known is stolen, has been recalled by the manufacturer, has been adulterated, has not been maintained at the proper temperature, has an expiration date that has passed, has been discarded by the manufacturer or a retailer, is an inferior product if he does not clearly indicate such inferiority, or has any other defect that makes the product ineffective for the use for which it is purchased or that makes the product below the quality expected by the consumer.

    2.  An informal merchant who violates the provisions of subsection 1 shall be punished:

    (a) If the sale of the product does not cause substantial bodily harm to another person, for a gross misdemeanor.

    (b) If the sale of the product causes substantial bodily harm to another person, for a category C felony as provided in NRS 193.130.

    3.  Upon request of a peace officer, an informal merchant shall provide reliable evidence of the legal acquisition of a new product that the merchant is offering for sale. If it is determined that the product was stolen and the informal merchant fails to provide such evidence, an inference is created that the informal merchant knew or should have known that the product was stolen.

    4.  As used in this section:

    (a) “Informal market” means:

        (1) A gathering at which:

            (I) Two or more persons offer personal property for sale or exchange;

            (II) A fee is charged for the sale or exchange of personal property; or

            (III) A fee is charged for admission to the area in which personal property is offered for sale or exchange; or

        (2) A place at which personal property is offered or displayed for sale or exchange on more than six occasions in a period of 12 months,

whether held in a building, under cover or in the open air.

    (b) “Informal merchant” means a person who does not have an established retail store in the county and who transports an inventory of goods to an informal market and displays the goods for sale, offers them for sale at retail or sells them at retail.

    (c) “New product” means any tangible good which has never been used or which is in its original, unopened package or container.

    (d) “Stolen” means taken unlawfully from or without the permission of the owner, whether or not the person who took the item is or has been prosecuted or convicted for the taking of the item.”.

    Amend sec. 10, page 4, by deleting lines 42 and 43 and inserting:

    “(2) A bank, credit union or savings and loan institution whose deposits or accounts are eligible for insurance by the Federal Deposit Insurance Corporation, the National Credit Union Share Insurance Fund or a private insurer approved pursuant to NRS 678.755.”.

    Amend the bill as a whole by renumbering sec. 11 as sec. 6 and adding new sections designated sections 3 through 5, following sec. 10, to read as follows:

    “Sec. 3.  Chapter 647 of NRS is hereby amended by adding thereto a new section to read as follows:

    A person who is described in subsection 2 of NRS 647.018:

    1.  Shall comply with the provisions of NRS 647.110, 647.120 and 647.130; and

    2.  Is subject to the provisions of NRS 647.140 and 647.145.

    Sec. 4.  NRS 647.016 is hereby amended to read as follows:

    647.016 Junk dealer” means every person, firm or corporation engaged in the business of purchasing or selling hides or junk[.] , other than used books.

    Sec. 5.  NRS 647.018 is hereby amended to read as follows:

    647.018 1.  Secondhand dealer” means any person engaged in whole or in part in the business of buying and selling metal junk, melted metals or secondhand personal property, other than used books, including, without limitation, antiques and collectibles.

    2.  The term does not include a person who engages in the business of buying or selling secondhand firearms or any antique parts, accessories or other equipment relating to those firearms if:

    (a) The person engages in that business at a show that:

        (1) Is held at:

            (I) A convention facility which is owned or operated by and located on the premises of a resort hotel; or

            (II) A recreational facility which is owned or operated by a county fair and recreation board; and

        (2) Is conducted for not more than 7 days during any 6‑month period; and

    (b) The person has been issued a license as a manufacturer, importer, dealer or collector pursuant to the provisions of 18 U.S.C. § 923.”.

    Amend the bill as a whole by adding a new section designated sec. 7, following sec. 11, to read as follows:

    “Sec. 7.  Section 2 of this act becomes effective at 12:01 a.m. on October 1, 1999.”.

    Amend the title of the bill to read as follows:

“AN ACT relating to trade practices; prohibiting an informal merchant from selling new products that have certain defects; removing the purchasing and selling of used books from the definition of “junk dealer” and “secondhand dealer”; revising the definition of “secondhand dealer” to exclude certain persons who engage in the business of buying or selling secondhand firearms under certain circumstances; providing a penalty; and providing other matters properly relating thereto.”

    Assemblywoman Giunchigliani moved that the Assembly adopt the report of the second Conference Committee concerning Assembly Bill No. 109.

    Remarks by Assemblywoman Giunchigliani.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Assembly Bill No. 280, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference

Amendment No. CA24, which is attached to and hereby made a part of this report.

 

Barbara E. Buckley

Mark E. Amodei

Sheila Leslie

Valerie Wiener

Merle A. Berman

Bernice Mathews

Assembly Conference Committee

Senate Conference Committee


    Conference Amendment No. CA24.

    Amend the bill as a whole by deleting sections 1 through 23 and adding new sections designated sections 1 through 90, following the enacting clause, to read as follows:

    “Section 1.  Chapter 433 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 19, inclusive, of this act.

    Sec. 2.  As used in sections 2 to 19, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 3 to 11, inclusive, of this act have the meanings ascribed to them in those sections.

    Sec. 3.  “Aversive intervention” means any of the following actions if the action is used to punish a person with a disability or to eliminate, reduce or discourage maladaptive behavior of a person with a disability:

    1.  The use of noxious odors and tastes;

    2.  The use of water and other mists or sprays;

    3.  The use of blasts of air;

    4.  The use of corporal punishment;

    5.  The use of verbal and mental abuse;

    6.  The use of electric shock;

    7.  Requiring a person to perform exercise under forced conditions if the:

    (a) Person is required to perform the exercise because he exhibited a behavior that is related to his disability;

    (b) Exercise is harmful to the health of the person because of his disability; or

    (c) Nature of the person’s disability prevents him from engaging in the exercise;

    8.  Any intervention, technique or procedure that deprives a person of the use of one or more of his senses, regardless of the length of the deprivation, including, without limitation, the use of sensory screens; or

    9.  The deprivation of necessities needed to sustain the health of a person, regardless of the length of the deprivation, including, without limitation, the denial or unreasonable delay in the provision of:

    (a) Food or liquid at a time when it is customarily served; or

    (b) Medication.

    Sec. 4.  “Chemical restraint” means the administration of drugs for the specific and exclusive purpose of controlling an acute or episodic aggressive behavior when alternative intervention techniques have failed to limit or control the behavior. The term does not include the administration of drugs on a regular basis, as prescribed by a physician, to treat the symptoms of mental, physical, emotional or behavioral disorders and for assisting a person in gaining self-control over his impulses.

    Sec. 5.  “Corporal punishment” means the intentional infliction of physical pain, including, without limitation, hitting, pinching or striking.

    Sec. 6.  “Electric shock” means the application of electric current to a person’s skin or body. The term does not include electroconvulsive therapy.

    Sec. 7.  “Emergency” means a situation in which immediate intervention is necessary to protect the physical safety of a person or others from an immediate threat of physical injury or to protect against an immediate threat of severe property damage.

    Sec. 8.  “Mechanical restraint” means the use of devices, including, without limitation, mittens, straps and restraint chairs to limit a person’s movement or hold a person immobile.

    Sec. 9.  “Person with a disability” means a person who:

    1.  Has a physical or mental impairment that substantially limits one or more of the major life activities of the person;

    2.  Has a record of such an impairment; or

    3.  Is regarded as having such an impairment.

    Sec. 10.  “Physical restraint” means the use of physical contact to limit a person’s movement or hold a person immobile.

    Sec. 11.  “Verbal and mental abuse” means verbal intimidation or coercion of a person without a redeeming purpose.

    Sec. 12.  A person employed by a facility or any other person shall not use any aversive intervention on a person with a disability who is a client.

    Sec. 13.  Notwithstanding the provisions of sections 14 to 17, inclusive, of this act to the contrary, a facility may use or authorize the use of physical restraint, mechanical restraint or chemical restraint on a person with a disability who is a client if the facility is:

    1.  Accredited by a nationally recognized accreditation association or agency; or

    2.  Certified for participation in the Medicaid or Medicare program,

only to the extent that the accreditation or certification allows the use of such restraint.

    Sec. 14.  A person employed by a facility or any other person shall not:

    1.  Except as otherwise provided in section 15 of this act, use physical restraint on a person with a disability who is a client.

    2.  Except as otherwise provided in section 16 of this act, use mechanical restraint on a person with a disability who is a client.

    3.  Except as otherwise provided in section 17 of this act, use chemical restraint on a person with a disability who is client.

    Sec. 15.  1.  Except as otherwise provided in subsection 2, physical restraint may be used on a person with a disability who is a client only if:

    (a) An emergency exists that necessitates the use of physical restraint;

    (b) The physical restraint is used only for the period that is necessary to contain the behavior of the client so that the client is no longer an immediate threat of causing physical injury to himself or others or causing severe property damage; and

    (c) The use of force in the application of physical restraint does not exceed the force that is reasonable and necessary under the circumstances precipitating the use of physical restraint.

    2.  Physical restraint may be used on a person with a disability who is a client and the provisions of subsection 1 do not apply if the physical restraint is used to:

    (a) Assist the client in completing a task or response if the client does not resist the application of physical restraint or if his resistance is minimal in intensity and duration;

    (b) Escort or carry a client to safety if the client is in danger in his present location; or

    (c) Conduct medical examinations or treatments on the client that are necessary.

    3.  If physical restraint is used on a person with a disability who is a client in an emergency, the use of the procedure must be reported as a denial of rights pursuant to NRS 433.534, regardless of whether the use of the procedure is authorized by statute. The report must be made not later than 1 working day after the procedure is used.

    Sec. 16.  1.  Except as otherwise provided in subsection 2, mechanical restraint may be used on a person with a disability who is a client only if:

    (a) An emergency exists that necessitates the use of mechanical restraint;

    (b) A medical order authorizing the use of mechanical restraint is obtained from the client’s treating physician before the application of the mechanical restraint or not later than 15 minutes after the application of the mechanical restraint;

    (c) The physician who signed the order required pursuant to paragraph (b) or the attending physician examines the client not later than 1 working day immediately after the application of the mechanical restraint;

    (d) The mechanical restraint is applied by a member of the staff of the facility who is trained and qualified to apply mechanical restraint;

    (e) The client is given the opportunity to move and exercise the parts of his body that are restrained at least 10 minutes per every 60 minutes of restraint;

    (f) A member of the staff of the facility lessens or discontinues the restraint every 15 minutes to determine whether the client will stop or control his inappropriate behavior without the use of the restraint;

    (g) The record of the client contains a notation that includes the time of day that the restraint was lessened or discontinued pursuant to paragraph (f), the response of the client and the response of the member of the staff of the facility who applied the mechanical restraint;

    (h) A member of the staff of the facility continuously monitors the client during the time that mechanical restraint is used on the client; and

    (i) The mechanical restraint is used only for the period that is necessary to contain the behavior of the client so that the client is no longer an immediate threat of causing physical injury to himself or others or causing severe property damage.

    2.  Mechanical restraint may be used on a person with a disability who is a client and the provisions of subsection 1 do not apply if the mechanical restraint is used to:

    (a) Treat the medical needs of a client;

    (b) Protect a client who is known to be at risk of injury to himself because he lacks coordination or suffers from frequent loss of consciousness;

    (c) Provide proper body alignment to a client; or

    (d) Position a client who has physical disabilities in a manner prescribed in the client’s plan of services.

    3.  If mechanical restraint is used on a person with a disability who is a client in an emergency, the use of the procedure must be reported as a denial of rights pursuant to NRS 433.534, regardless of whether the use of the procedure is authorized by statute. The report must be made not later than 1 working day after the procedure is used.

    Sec. 17.  1.  Chemical restraint may only be used on a person with a disability who is a client if:

    (a) The client has been diagnosed as mentally ill, as defined in NRS 433A.115, and is receiving mental health services from a facility;

    (b) The chemical restraint is administered to the client while he is under the care of the facility;

    (c) An emergency exists that necessitates the use of chemical restraint;

    (d) A medical order authorizing the use of chemical restraint is obtained from the client’s attending physician or psychiatrist;

    (e) The physician or psychiatrist who signed the order required pursuant to paragraph (d) examines the client not later than 1 working day immediately after the administration of the chemical restraint; and

    (f) The chemical restraint is administered by a person licensed to administer medication.

    2.  If chemical restraint is used on a person with a disability who is a client, the use of the procedure must be reported as a denial of rights pursuant to NRS 433.534, regardless of whether the use of the procedure is authorized by statute. The report must be made not later than 1 working day after the procedure is used.

    Sec. 18.  1.  Each facility shall develop a program of education for the members of the staff of the facility to provide instruction in positive behavioral interventions and positive behavioral supports that:

    (a) Includes positive methods to modify the environment of clients to promote adaptive behavior and reduce the occurrence of inappropriate behavior;

    (b) Includes methods to teach skills to clients so that clients can replace inappropriate behavior with adaptive behavior;

    (c) Includes methods to enhance a client’s independence and quality of life;

    (d) Includes the use of the least intrusive methods to respond to and reinforce the behavior of clients; and

    (e) Offers a process for designing interventions based upon the client that are focused on promoting appropriate changes in behavior as well as enhancing the overall quality of life for the client.

    2.  Each facility shall provide appropriate training for the members of the staff of the facility who are authorized to carry out and monitor physical restraint, mechanical restraint and chemical restraint to ensure that those members of the staff are competent and qualified to carry out the procedures in accordance with sections 2 to 19, inclusive, of this act.

    Sec. 19.  1.  A facility where a violation of the provisions of sections 2 to 19, inclusive, of this act occurs shall:

    (a) Not later than 24 hours after a violation occurs, or as soon thereafter as the violation is discovered, report the violation to the division; and

    (b) Develop, in cooperation with the division, a corrective plan to ensure that within 30 calendar days after the violation occurred, appropriate action is taken by the facility to prevent future violations.   

    2.  The division shall forward the plan to the director of the department. The director or his designee shall review the plan to ensure that it complies with applicable federal law and the statutes and regulations of this state. The director or his designee may require appropriate revision of the plan to ensure compliance.

    3.  If the facility where the violation occurred does not meet the requirements of the plan to the satisfaction of the director or his designee, the department may withhold funding for the facility until the facility meets the requirements of the plan.

    Sec. 20.  NRS 433.484 is hereby amended to read as follows:

    433.484  Each client admitted for evaluation, treatment or training to a facility has the following rights concerning care, treatment and training, a list of which must be prominently posted in all facilities providing those services and must be otherwise brought to the attention of the client by such additional means as prescribed by regulation:

    1.  To medical, psychosocial and rehabilitative care, treatment and training including prompt and appropriate medical treatment and care for physical and mental ailments and for the prevention of any illness or disability. All of that care, treatment and training must be consistent with standards of practice of the respective professions in the community and is subject to the following conditions:

    (a) Before instituting a plan of care, treatment or training or carrying out any necessary surgical procedure, express and informed consent must be obtained in writing from:

        (1) The client if he is 18 years of age or over or legally emancipated and competent to give that consent, and from his legal guardian, if any;

        (2) The parent or guardian of a client under 18 years of age and not legally emancipated; or

        (3) The legal guardian of a client of any age who has been adjudicated mentally incompetent;

    (b) An informed consent requires that the person whose consent is sought be adequately informed as to:

        (1) The nature and consequences of the procedure;

        (2) The reasonable risks, benefits and purposes of the procedure; and

        (3) Alternative procedures available;

    (c) The consent of a client as provided in paragraph (b) may be withdrawn by the client in writing at any time with or without cause;

    (d) Even in the absence of express and informed consent, a licensed and qualified physician may render emergency medical care or treatment to any client who has been injured in an accident or who is suffering from an acute illness, disease or condition, if within a reasonable degree of medical certainty, delay in the initiation of emergency medical care or treatment would endanger the health of the client and if the treatment is immediately entered into the client’s record of treatment, subject to the provisions of paragraph (e); and

    (e) If the proposed emergency medical care or treatment is deemed by the chief medical officer of the facility to be unusual, experimental or generally occurring infrequently in routine medical practice, the chief medical officer shall request consultation from other physicians or practitioners of healing arts who have knowledge of the proposed care or treatment.

    2.  To be free from [the application of any mechanical restraint, except if prescribed by a physician. If so prescribed, the restraint must be removed whenever the condition justifying its use no longer exists, and any use of a mechanical restraint, together with the reasons therefor, must be made a part of the client’s record of treatment.] abuse, neglect and aversive intervention.

    3.  To consent to his transfer from one facility to another, except that the administrator of the division of mental health and developmental services of the department or his designee, or the administrator of the division of child and family services of the department or his designee, may order a transfer to be made whenever conditions concerning care, treatment or training warrant it. If the client in any manner objects to the transfer, the person ordering it must enter the objection and a written justification of the transfer in the client’s record of treatment and immediately forward a notice of the objection to the administrator who ordered the transfer, and the commission shall review the transfer pursuant to subsection 3 of NRS 433.534.

    4.  Other rights concerning care, treatment and training as may be specified by regulation of the commission.

    Sec. 21.  NRS 433.554 is hereby amended to read as follows:

    433.554 1.  An employee of a public or private mental health facility or any other person, except a client, who:

    (a) Has reason to believe that a client of the division or of a private facility offering mental health services has been or is being abused or neglected and fails to report it;

    (b) Brings intoxicating beverages or a controlled substance into any division facility occupied by clients unless specifically authorized to do so by the administrative officer or a staff physician of the facility;

    (c) Is under the influence of liquor or a controlled substance while employed in contact with clients, unless in accordance with a lawfully issued prescription;

    (d) Enters into any transaction with a client involving the transfer of money or property for personal use or gain at the expense of the client; or

    (e) Contrives the escape, elopement or absence of a client,

is guilty of a misdemeanor, in addition to any other penalties provided by law.

    2.  In addition to any other penalties provided by law, an employee of a public or private mental health facility or any other person, except a client, who willfully abuses or neglects a client:

    (a) [If no]For a first violation that does not result in substantial bodily harm to the client, [results,] is guilty of a gross misdemeanor.

    (b) [If]For a first violation that results in substantial bodily harm to the client, [results,] is guilty of a category B felony.[and]

    (c) For a second or subsequent violation, is guilty of a category B felony.

A person convicted of a category B felony pursuant to this section shall be punished by imprisonment in the state prison for a minimum term of not less than 1 year and a maximum term of not more than 6 years, or by a fine of not more than $5,000, or by both fine and imprisonment.

    3.  A person who is convicted pursuant to this section is ineligible for 5 years for appointment to or employment in a position in the state service and, if he is an officer or employee of the state, he forfeits his office or position.

    4.  A conviction pursuant to NRS 433.554 is, when applicable, grounds for disciplinary action against the person so convicted and the facility where the violation occurred. The division may recommend to the appropriate agency or board the suspension or revocation of the professional license, registration, certificate or permit of a person convicted pursuant to NRS 433.554.

    5. For the purposes of this section:

    (a) “Abuse” means any willful and unjustified infliction of pain, injury or mental anguish upon a client, including, but not limited to:

        (1) The rape, sexual assault or sexual exploitation of the client;

        (2) [Striking the client;

      (3) Verbal intimidation or coercion of the client without a redeeming purpose;

      (4) The use of excessive force when placing the client in physical restraints; and

      (5)]The use of any type of aversive intervention;

        (3) Except as otherwise provided in section 13 of this act, a violation of section 14 of this act; and

        (4)The use of physical, [or] chemical or mechanicalrestraints or the use of seclusionin violation of [state or] federal law.

Any act which meets the standard of practice for care and treatment does not constitute abuse.

    (b) “Client” includes any person who seeks, on his own or others’ initiative, and can benefit from care , treatment and training in a public or private institution or facility offering mental health services. The term [does not include]includes a client of the division of child and family services of the department.

    (c) “Neglect” means any omission to act which causes injury to a client or which places the client at risk of injury, including, but not limited to, the failure to follow:

        (1) An appropriate plan of treatment to which the client has consented; and

        (2) The policies of the facility for the care and treatment of clients.

Any omission to act which meets the standard of practice for care and treatment does not constitute neglect.

    (d) “Standard of practice” means the skill and care ordinarily exercised by prudent professional personnel engaged in health care.

    Sec. 22.  NRS 435.350 is hereby amended to read as follows:

    435.350  1.  Each mentally retarded person or person with a related condition admitted to a division facility is entitled to all rights enumerated in sections 2 to 19, inclusive, of this act and NRS 433.482 and 433.484.

    2.  The administrator shall designate a person or persons to be responsible for establishment of regulations relating to denial of rights of mentally retarded persons and persons with related conditions. The person designated shall file the regulations with the administrator.

    3.  Clients’ rights specified in NRS 433.482 and 433.484 may be denied only for cause. Any denial of such rights must be entered in the client’s treatment record, and notice of the denial must be forwarded to the administrator’s designee or designees as provided in subsection 2. Failure to report denial of rights by an employee may be grounds for dismissal.

    4.  Upon receipt of notice of a denial of rights as provided in subsection 3, the administrator’s designee or designees shall cause a full report to be prepared which sets forth in detail the factual circumstances surrounding the denial. A copy of the report must be sent to the administrator and the commission.

    5.  The commission has such powers and duties with respect to reports of denial of rights as are enumerated in subsection 3 of NRS 433.534.

    Sec. 23.  Chapter 388 of NRS is hereby amended by adding thereto the provisions set forth as sections 24 to 42, inclusive, of this act.

    Sec. 24.  As used in sections 24 to 42, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 25 to 33, inclusive, of this act have the meanings ascribed to them in those sections.

    Sec. 25.  “Aversive intervention” means any of the following actions if the action is used to punish a pupil with a disability or to eliminate, reduce or discourage maladaptive behavior of a pupil with a disability:

    1.  The use of noxious odors and tastes;

    2.  The use of water and other mists or sprays;

    3.  The use of blasts of air;

    4.  The use of corporal punishment;

    5.  The use of verbal and mental abuse;

    6.  The use of electric shock;

    7.  The administration of chemical restraint to a person;

    8.  The placement of a person alone in a room where release from the room is prohibited by a mechanism, including, without limitation, a lock, device or object positioned to hold the door closed or otherwise prevent the person from leaving the room;

    9.  Requiring a person to perform exercise under forced conditions if the:

    (a) Person is required to perform the exercise because he exhibited a behavior that is related to his disability;

    (b) Exercise is harmful to the health of the person because of his disability; or

    (c) Nature of the person’s disability prevents him from engaging in the exercise; or

    10.  The deprivation of necessities needed to sustain the health of a person, regardless of the length of the deprivation, including, without limitation, the denial or unreasonable delay in the provision of:

    (a) Food or liquid at a time when it is customarily served; or

    (b) Medication.

    Sec. 26.  “Chemical restraint” means the administration of drugs for the specific and exclusive purpose of controlling an acute or episodic aggressive behavior when alternative intervention techniques have failed to limit or control the behavior. The term does not include the administration of drugs on a regular basis, as prescribed by a physician, to treat the symptoms of mental, physical, emotional or behavioral disorders and for assisting a person in gaining self-control over his impulses.

    Sec. 27.  “Corporal punishment” means the intentional infliction of physical pain, including, without limitation, hitting, pinching or striking.

    Sec. 28.  “Electric shock” means the application of electric current to a person’s skin or body. The term does not include electroconvulsive therapy.

    Sec. 29.  “Emergency” means a situation in which immediate intervention is necessary to protect the physical safety of a person or others from an immediate threat of physical injury or to protect against an immediate threat of severe property damage.

    Sec. 29.5.  “Individualized education program” has the meaning ascribed to it in 20 U.S.C. § 1414(d)(1)(A).

    Sec. 30.  “Individualized education program team” has the meaning ascribed to it in 20 U.S.C. § 1414(d)(1)(B).

    Sec. 31.  “Mechanical restraint” means the use of devices, including, without limitation, mittens, straps and restraint chairs to limit a person’s movement or hold a person immobile.

    Sec. 32.  “Physical restraint” means the use of physical contact to limit a person’s movement or hold a person immobile.

    Sec. 33.  “Verbal and mental abuse” means actions or utterances that are intended to cause and actually cause severe emotional distress to a person.

    Sec. 34.  A person employed by the board of trustees of a school district or any other person shall not use any aversive intervention on a pupil with a disability.

    Sec. 35.  A person employed by the board of trustees of a school district or any other person shall not:

    1.  Except as otherwise provided in section 36 of this act, use physical restraint on a pupil with a disability.

    2.  Except as otherwise provided in section 37 of this act, use mechanical restraint on a pupil with a disability.

    Sec. 36.  1.  Except as otherwise provided in subsection 2, physical restraint may be used on a pupil with a disability only if:

    (a) An emergency exists that necessitates the use of physical restraint;

    (b) The physical restraint is used only for the period that is necessary to contain the behavior of the pupil so that the pupil is no longer an immediate threat of causing physical injury to himself or others or causing severe property damage; and

    (c) The use of force in the application of physical restraint does not exceed the force that is reasonable and necessary under the circumstances precipitating the use of physical restraint.

    2.  Physical restraint may be used on a pupil with a disability and the provisions of subsection 1 do not apply if the physical restraint is used to:

    (a) Assist the pupil in completing a task or response if the pupil does not resist the application of physical restraint or if his resistance is minimal in intensity and duration;

    (b) Escort or carry a pupil to safety if the pupil is in danger in his present location; or

    (c) Conduct medical examinations or treatments on the pupil that are necessary.

    3.  If physical restraint is used on a pupil with a disability in an emergency, the use of the procedure must be reported in the pupil’s cumulative record and a confidential file maintained for the pupil not later than 1 working day after the procedure is used. A copy of the report must be provided to the board of trustees of the school district, the pupil’s individualized education program team and the parent or guardian of the pupil. If the board of trustees determines that a denial of the pupil’s rights has occurred, the board of trustees may submit a report to the department in accordance with section 42 of this act.

    Sec. 37.  1.  Except as otherwise provided in subsection 2, mechanical restraint may be used on a pupil with a disability only if:

    (a) An emergency exists that necessitates the use of mechanical restraint;

    (b) A medical order authorizing the use of mechanical restraint is obtained from the pupil’s treating physician before the application of the mechanical restraint or not later than 15 minutes after the application of the mechanical restraint;

    (c) The physician who signed the order required pursuant to paragraph (b) or the attending physician examines the pupil as soon as practicable;

    (d) The mechanical restraint is applied by a member of the staff of the school who is trained and qualified to apply mechanical restraint;

    (e) The pupil is given the opportunity to move and exercise the parts of his body that are restrained at least 10 minutes per every 60 minutes of restraint, unless otherwise prescribed by the physician who signed the order;

    (f) A member of the staff of the school lessens or discontinues the restraint every 15 minutes to determine whether the pupil will stop or control his inappropriate behavior without the use of the restraint;

    (g) The record of the pupil contains a notation that includes the time of day that the restraint was lessened or discontinued pursuant to paragraph (f), the response of the pupil and the response of the member of the staff of the school who applied the mechanical restraint;

    (h) A member of the staff of the school continuously monitors the pupil during the time that mechanical restraint is used on the pupil; and

    (i) The mechanical restraint is used only for the period that is necessary to contain the behavior of the pupil so that the pupil is no longer an immediate threat of causing physical injury to himself or others or causing severe property damage.

    2.  Mechanical restraint may be used on a pupil with a disability and the provisions of subsection 1 do not apply if the mechanical restraint is used to:

    (a) Treat the medical needs of the pupil;

    (b) Protect a pupil who is known to be at risk of injury to himself because he lacks coordination or suffers from frequent loss of consciousness;

    (c) Provide proper body alignment to a pupil; or

    (d) Position a pupil who has physical disabilities in a manner prescribed in the pupil’s individualized education program.

    3.  If mechanical restraint is used on a pupil with a disability in an emergency, the use of the procedure must be reported in the pupil’s cumulative record and a confidential file maintained for the pupil not later than 1 working day after the procedure is used. A copy of the report must be provided to the board of trustees of the school district, the pupil’s individualized education program team and the parent or guardian of the pupil. If the board of trustees determines that a denial of the pupil’s rights has occurred, the board of trustees may submit a report to the department in accordance with section 42 of this act.

    Sec. 38.  1.  The department shall develop a model program of education for use by the school districts to train the members of the staff of the schools within the school districts who are identified in the individualized education programs of pupils with disabilities to provide services to those pupils. The model program of education must provide instruction in positive behavioral interventions and positive behavioral supports that:

    (a) Includes positive methods to modify the environment of pupils with disabilities to promote adaptive behavior and reduce the occurrence of inappropriate behavior;

    (b) Includes methods to teach skills to pupils with disabilities so that the pupils can replace inappropriate behavior with adaptive behavior;

    (c) Includes methods to enhance the independence and quality of life for pupils with disabilities;

    (d) Includes the use of the least intrusive methods to respond to and reinforce the behavior of pupils with disabilities; and

    (e) Offers a process for designing interventions based upon the pupil that are focused on promoting appropriate changes in behavior as well as enhancing the overall quality of life for the pupil.

    2.  The board of trustees of each school district shall provide for appropriate training for the members of the staff of the schools within the school district who are authorized to carry out and monitor physical restraint and mechanical restraint to ensure that those members of the staff are qualified to carry out the procedures in accordance with sections 24 to 42, inclusive, of this act.

    Sec. 39.  In addition to any penalty prescribed by specific statute, a person who intentionally uses aversive intervention on a pupil with a disability or intentionally violates section 35 of this act, is subject to disciplinary action pursuant to NRS 391.312 or 391.330, or both.

    Sec. 40.  1.  A school where a violation of sections 24 to 42, inclusive, of this act occurs shall report the violation to the board of trustees of the school district not later than 24 hours after the violation occurred, or as soon thereafter as the violation is discovered.

    2.  The board of trustees of the school district where the violation occurred shall develop, in cooperation with the superintendent of schools of the school district, a corrective plan to ensure that within 30 calendar days after the violation occurred, appropriate action is taken by the school and the board of trustees to prevent future violations.

    3.  The superintendent of schools of the school district shall submit the plan to the department. The department shall review the plan to ensure that it complies with applicable federal law and the statutes and regulations of this state. The department may require appropriate revision of the plan to ensure compliance.

    4.  If the school where the violation occurred does not meet the requirements of the plan to the satisfaction of the department, the department may appoint a licensed administrator to oversee the school to ensure that the school meets the requirements of the plan. An administrator serves at the pleasure of the superintendent of public instruction and is entitled to receive such compensation as may be set by the superintendent. A school district that contains a school for which an administrator is appointed pursuant to this subsection shall reimburse the department for any expenses incurred by the department pursuant to this subsection.

    Sec. 41.  An officer, administrator or employee of a public school shall not retaliate against any person for having:

    1.  Reported a violation of sections 24 to 42, inclusive, of this act; or

    2.  Provided information regarding a violation of sections 24 to 42, inclusive, of this act,

by a public school or a member of the staff of the public school.

    Sec. 42.  1.  A denial of rights of a pupil with a disability pursuant to sections 24 to 42, inclusive, of this act must be entered in the pupil’s cumulative record and a confidential file maintained for that pupil. Notice of the denial must be provided to the board of trustees of the school district.

    2.  If the board of trustees of a school district receives notice of a denial of rights pursuant to subsection 1, it shall cause a full report to be prepared which must set forth in detail the factual circumstances surrounding the denial. A copy of the report must be provided to the department.

    3.  The department:

    (a) Shall receive reports made pursuant to subsection 2;

    (b) May investigate apparent violations of the rights of pupils with disabilities; and

    (c) May act to resolve disputes relating to apparent violations.

    Sec. 43.  NRS 388.440 is hereby amended to read as follows:

    388.440 As used in NRS 388.440 to 388.520, inclusive[:], and sections 24 to 42, inclusive, of this act:

    1.  “Gifted and talented pupil” means a person under the age of 18 years who demonstrates such outstanding academic skills or aptitudes that he cannot progress effectively in a regular school program and therefore needs special instruction or special services.

    2.  “Pupil with a disability” means a person under the age of 22 years who deviates either educationally, physically, socially or emotionally so markedly from normal patterns that he cannot progress effectively in a regular school program and therefore needs special instruction or special services.

    Sec. 44.  NRS 391.312 is hereby amended to read as follows:

    391.312  1.  A teacher may be suspended, dismissed or not reemployed and an administrator may be demoted, suspended, dismissed or not reemployed for the following reasons:

    (a) Inefficiency;

    (b) Immorality;

    (c) Unprofessional conduct;

    (d) Insubordination;

    (e) Neglect of duty;

    (f) Physical or mental incapacity;

    (g) A justifiable decrease in the number of positions due to decreased enrollment or district reorganization;

    (h) Conviction of a felony or of a crime involving moral turpitude;

    (i) Inadequate performance;

    (j) Evident unfitness for service;

    (k) Failure to comply with such reasonable requirements as a board may prescribe;

    (l) Failure to show normal improvement and evidence of professional training and growth;

    (m) Advocating overthrow of the Government of the United States or of the State of Nevada by force, violence or other unlawful means, or the advocating or teaching of communism with the intent to indoctrinate pupils to subscribe to communistic philosophy;

    (n) Any cause which constitutes grounds for the revocation of a teacher’s license;

    (o) Willful neglect or failure to observe and carry out the requirements of this Title;

    (p) Dishonesty; [or]

    (q) Breaches in the security or confidentiality of the questions and answers of the achievement and proficiency examinations that are administered pursuant to NRS 389.015[.] ; or

    (r) An intentional violation of section 34 or 35 of this act.

    2.  In determining whether the professional performance of a licensed employee is inadequate, consideration must be given to the regular and special evaluation reports prepared in accordance with the policy of the employing school district and to any written standards of performance which may have been adopted by the board.

    Sec. 45.  NRS 391.330 is hereby amended to read as follows:

    391.330  The state board may suspend or revoke the license of any teacher, administrator or other licensed employee, after notice and an opportunity for hearing have been provided pursuant to NRS 391.322 and 391.323, for:

    1.  Immoral or unprofessional conduct.

    2.  Evident unfitness for service.

    3.  Physical or mental incapacity which renders the teacher, administrator or other licensed employee unfit for service.

    4.  Conviction of a felony or crime involving moral turpitude.

    5.  Conviction of a sex offense under NRS 200.366, 200.368, 201.190, 201.220, 201.230 or 207.260 in which a pupil enrolled in a school of a county school district was the victim.

    6.  Knowingly advocating the overthrow of the Federal Government or of the State of Nevada by force, violence or unlawful means.

    7.  Persistent defiance of or refusal to obey the regulations of the state board, the commission or the superintendent of public instruction, defining and governing the duties of teachers, administrators and other licensed employees.

    8.  Breaches in the security or confidentiality of the questions and answers of the achievement and proficiency examinations that are administered pursuant to NRS 389.015.

    9.  An intentional violation of section 34 or 35 of this act.

    Sec. 46.  Chapter 394 of NRS is hereby amended by adding thereto the provisions set forth as sections 47 to 66, inclusive, of this act.

    Sec. 47.  As used in sections 47 to 66, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 48 to 57, inclusive, of this act have the meanings ascribed to them in those sections.

    Sec. 48.  “Aversive intervention” means any of the following actions if the action is used to punish a pupil with a disability or to eliminate, reduce or discourage maladaptive behavior of a pupil with a disability:

    1.  The use of noxious odors and tastes;

    2.  The use of water and other mists or sprays;

    3.  The use of blasts of air;

    4.  The use of corporal punishment;

    5.  The use of verbal and mental abuse;

    6.  The use of electric shock;

    7.  The administration of chemical restraint to a person;

    8.  The placement of a person alone in a room where release from the room is prohibited by a mechanism, including, without limitation, a lock, device or object positioned to hold the door closed or otherwise prevent the person from leaving the room;

    9.  Requiring a person to perform exercise under forced conditions if the:

    (a) Person is required to perform the exercise because he exhibited a behavior that is related to his disability;

    (b) Exercise is harmful to the health of the person because of his disability; or

    (c) Nature of the person’s disability prevents him from engaging in the exercise; or

    10.  The deprivation of necessities needed to sustain the health of a person, regardless of the length of the deprivation, including, without limitation, the denial or unreasonable delay in the provision of:

    (a) Food or liquid at a time when it is customarily served; or

    (b) Medication.

    Sec. 49.  “Chemical restraint” means the administration of drugs for the specific and exclusive purpose of controlling an acute or episodic aggressive behavior when alternative intervention techniques have failed to limit or control the behavior. The term does not include the administration of drugs on a regular basis, as prescribed by a physician, to treat the symptoms of mental, physical, emotional or behavioral disorders and for assisting a person in gaining self-control over his impulses.

    Sec. 50.  “Corporal punishment” means the intentional infliction of physical pain, including, without limitation, hitting, pinching or striking.

    Sec. 51.  “Electric shock” means the application of electric current to a person’s skin or body. The term does not include electroconvulsive therapy.

    Sec. 52.  “Emergency” means a situation in which immediate intervention is necessary to protect the physical safety of a person or others from an immediate threat of physical injury or to protect against an immediate threat of severe property damage.

    Sec. 53.  “Individualized education program team” has the meaning ascribed to it in 20 U.S.C. § 1414(d)(1)(B).

    Sec. 54.  “Mechanical restraint” means the use of devices, including, without limitation, mittens, straps and restraint chairs to limit a person’s movement or hold a person immobile.

    Sec. 55.  “Physical restraint” means the use of physical contact to limit a person’s movement or hold a person immobile.

    Sec. 56.  “Pupil with a disability” has the meaning ascribed to it in NRS 388.440.

    Sec. 57.  “Verbal and mental abuse” means actions or utterances that are intended to cause and actually cause severe emotional distress to a person.

    Sec. 58.  A person employed by a private school or any other person shall not use any aversive intervention on a pupil with a disability.

    Sec. 59.  A person employed by a private school or any other person shall not:

    1.  Except as otherwise provided in section 60 of this act, use physical restraint on a pupil with a disability.

    2.  Except as otherwise provided in section 61 of this act, use mechanical restraint on a pupil with a disability.

    Sec. 60.  1.  Except as otherwise provided in subsection 2, physical restraint may be used on a pupil with a disability only if:

    (a) An emergency exists that necessitates the use of physical restraint;

    (b) The physical restraint is used only for the period that is necessary to contain the behavior of the pupil so that the pupil is no longer an immediate threat of causing physical injury to himself or others or causing severe property damage; and

    (c) The use of force in the application of physical restraint does not exceed the force that is reasonable and necessary under the circumstances precipitating the use of physical restraint.

    2.  Physical restraint may be used on a pupil with a disability and the provisions of subsection 1 do not apply if the physical restraint is used to:

    (a) Assist the pupil in completing a task or response if the pupil does not resist the application of physical restraint or if his resistance is minimal in intensity and duration;

    (b) Escort or carry a pupil to safety if the pupil is in danger in his present location; or

    (c) Conduct medical examinations or treatments on the pupil that are necessary.

    3.  If physical restraint is used on a pupil with a disability in an emergency, the use of the procedure must be reported in the pupil’s cumulative record not later than 1 working day after the procedure is used. A copy of the report must be provided to the superintendent, the administrator of the private school, the pupil’s individualized education program team, if applicable, and the parent or guardian of the pupil. If the administrator of the private school determines that a denial of the pupil’s rights has occurred, the administrator shall submit a report to the superintendent in accordance with section 66 of this act.

    Sec. 61.  1.  Except as otherwise provided in subsection 2, mechanical restraint may be used on a pupil with a disability only if:

    (a) An emergency exists that necessitates the use of mechanical restraint;

    (b) A medical order authorizing the use of mechanical restraint is obtained from the pupil’s treating physician before the application of the mechanical restraint or not later than 15 minutes after the application of the mechanical restraint;

    (c) The physician who signed the order required pursuant to paragraph (b) or the attending physician examines the pupil as soon as practicable after the application of the mechanical restraint;

    (d) The mechanical restraint is applied by a member of the staff of the private school who is trained and qualified to apply mechanical restraint;

    (e) The pupil is given the opportunity to move and exercise the parts of his body that are restrained at least 10 minutes per every 60 minutes of restraint, unless otherwise prescribed by the physician who signed the order;

    (f) A member of the staff of the private school lessens or discontinues the restraint every 15 minutes to determine whether the pupil will stop or control his inappropriate behavior without the use of the restraint;

    (g) The record of the pupil contains a notation that includes the time of day that the restraint was lessened or discontinued pursuant to paragraph (f), the response of the pupil and the response of the member of the staff of the private school who applied the mechanical restraint;

    (h) A member of the staff of the private school continuously monitors the pupil during the time that mechanical restraint is used on the pupil; and

    (i) The mechanical restraint is used only for the period that is necessary to contain the behavior of the pupil so that the pupil is no longer an immediate threat of causing physical injury to himself or others or causing severe property damage.

    2.  Mechanical restraint may be used on a pupil with a disability and the provisions of subsection 1 do not apply if the mechanical restraint is used to:

    (a) Treat the medical needs of the pupil;

    (b) Protect a pupil who is known to be at risk of injury to himself because he lacks coordination or suffers from frequent loss of consciousness;

    (c) Provide proper body alignment to a pupil; or

    (d) Position a pupil who has physical disabilities in a manner prescribed in the pupil’s service plan developed pursuant to 34 C.F.R. § 300.455 or the pupil’s individualized education program, whichever is appropriate.

    3.  If mechanical restraint is used on a pupil with a disability in an emergency, the use of the procedure must be reported in the pupil’s cumulative record not later than 1 working day after the procedure is used. A copy of the report must be provided to the superintendent, the administrator of the private school, the pupil’s individualized education program team, if applicable, and the parent or guardian of the pupil. If the administrator of the private school determines that a denial of the pupil’s rights has occurred, the administrator shall submit a report to the superintendent in accordance with section 66 of this act.

    4.  As used in this section, “individualized education program” has the meaning ascribed to it in 20 U.S.C. § 1414(d)(1)(A).

    Sec. 62.  1.  If a private school provides instruction to pupils with disabilities, the school shall develop a program of education for the members of the staff of the school who provide services to pupils with disabilities. The program of education must provide instruction in positive behavioral interventions and positive behavioral supports that:

    (a) Includes positive methods to modify the environment of pupils with disabilities to promote adaptive behavior and reduce the occurrence of inappropriate behavior;

    (b) Includes methods to teach skills to pupils with disabilities so that the pupils can replace inappropriate behavior with adaptive behavior;

    (c) Includes methods to enhance the independence and quality of life for pupils with disabilities;

    (d) Includes the use of the least intrusive methods to respond to and reinforce the behavior of pupils with disabilities; and

    (e) Offers a process for deigning interventions based upon the pupil that are focused on promoting appropriate changes in behavior as well as enhancing the overall quality of life for the pupil.

    2.  If a private school provides instruction to pupils with disabilities, the school shall provide appropriate training for the members of the staff of the school who are authorized to carry out and monitor physical restraint and mechanical restraint to ensure that those members of the staff are qualified to carry out the procedures in accordance with sections 47 to 66, inclusive, of this act.

    Sec. 63.  In addition to any penalty prescribed by specific statute, a person who intentionally uses aversive intervention on a pupil with a disability or intentionally violates section 59 of this act, is subject to appropriate disciplinary action by the private school that employs him.

    Sec. 64.  1.  A private school where a violation of sections 47 to 66, inclusive, of this act occurs shall report the violation to the superintendent not later than 24 hours after the violation occurred, or as soon thereafter as the violation is discovered.

    2.  The private school where a violation occurred shall develop, in cooperation with the superintendent, a corrective plan to ensure that within 30 calendar days after the violation occurred, appropriate action is taken by the private school to prevent future violations.

    3.  The superintendent shall submit the plan to the department. The department shall review the plan to ensure that it complies with applicable federal law and the statutes and regulations of this state. The department may require appropriate revision of the plan to ensure compliance.

    Sec. 65.  An officer, administrator or employee of a private school shall not retaliate against any person for having:

    1.  Reported a violation of sections 47 to 66, inclusive, of this act; or

    2.  Provided information regarding a violation of sections 47 to 66, inclusive, of this act,

by a private school or a member of the staff of the private school.

    Sec. 66.  1.  A denial of rights of a pupil with a disability pursuant to sections 47 to 66, inclusive, of this act must be entered in the pupil’s cumulative record. Notice of the denial must be provided to the administrator of the private school.

    2.  If the administrator of a private school receives notice of a denial of rights pursuant to subsection 1, he shall cause a full report to be prepared which must set forth in detail the factual circumstances surrounding the denial. A copy of the report must be provided to the superintendent.

    3.  The superintendent:

    (a) Shall receive reports made pursuant to subsection 2;

    (b) May investigate apparent violations of the rights of pupils with disabilities; and

    (c) May act to resolve disputes relating to apparent violations.

    Sec. 67.  Chapter 449 of NRS is hereby amended by adding thereto the provisions set forth as sections 68 to 86, inclusive, of this act.

    Sec. 68.  As used in sections 68 to 86, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 69 to 77, inclusive, of this act have the meanings ascribed to them in those sections.

    Sec. 69.  “Aversive intervention” means any of the following actions if the action is used to punish a person with a disability or to eliminate, reduce or discourage maladaptive behavior of a person with a disability:

    1.  The use of noxious odors and tastes;

    2.  The use of water and other mists or sprays;

    3.  The use of blasts of air;

    4.  The use of corporal punishment;

    5.  The use of verbal and mental abuse;

    6.  The use of electric shock;

    7.  Requiring a person to perform exercise under forced conditions if the:

    (a) Person is required to perform the exercise because he exhibited a behavior that is related to his disability;

    (b) Exercise is harmful to the health of the person because of his disability; or

    (c) Nature of the person’s disability prevents him from engaging in the exercise;

    8.  Any intervention, technique or procedure that deprives a person of the use of one or more of his senses, regardless of the length of the deprivation, including, without limitation, the use of sensory screens; or

    9.  The deprivation of necessities needed to sustain the health of a person, regardless of the length of the deprivation, including, without limitation, the denial or unreasonable delay in the provision of:

    (a) Food or liquid at a time when it is customarily served; or

    (b) Medication.

The term does not include the withholding or withdrawal of life-sustaining treatment in accordance with NRS 449.626.

    Sec. 69.5.  “Chemical restraint” means the administration of drugs for the specific and exclusive purpose of controlling an acute or episodic aggressive behavior when alternative intervention techniques have failed to limit or control the behavior. The term does not include the administration of drugs on a regular basis, as prescribed by a physician, to treat the symptoms of mental, physical, emotional or behavioral disorders and for assisting a person in gaining self-control over his impulses.

    Sec. 70.  “Corporal punishment” means the intentional infliction of physical pain, including, without limitation, hitting, pinching or striking.

    Sec. 71.  “Electric shock” means the application of electric current to a person’s skin or body. The term does not include electroconvulsive therapy.

    Sec. 72.  “Emergency” means a situation in which immediate intervention is necessary to protect the physical safety of a person or others from an immediate threat of physical injury or to protect against an immediate threat of severe property damage.

    Sec. 73.  “Facility” means a facility licensed pursuant to this chapter that is a psychiatric hospital or a unit of a hospital that is specifically designated to provide care and services to persons with psychiatric or developmental disabilities.

    Sec. 74.  “Mechanical restraint” means the use of devices, including, without limitation, mittens, straps and restraint chairs to limit a person’s movement or hold a person immobile.

    Sec. 75.  “Person with a disability” means a person who:

    1.  Has a physical or mental impairment that substantially limits one or more of the major life activities of the person;

    2.  Has a record of such an impairment; or

    3.  Is regarded as having such an impairment.

    Sec. 76.  “Physical restraint” means the use of physical contact to limit a person’s movement or hold a person immobile.

    Sec. 77.  “Verbal and mental abuse” means actions or utterances that are intended to cause and actually cause severe emotional distress to a person.

    Sec. 78.  A person employed by a facility licensed pursuant to this chapter or any other person shall not use any aversive intervention on a person with a disability who is a patient at the facility.

    Sec. 78.5.  Notwithstanding the provisions of sections 79 to 81.5, inclusive, of this act to the contrary, a facility may use or authorize the use of physical restraint, mechanical restraint or chemical restraint on a person with a disability who is a patient if the facility is:

    1.  Accredited by a nationally recognized accreditation association or agency; or

    2.  Certified for participation in the Medicaid or Medicare program,

only to the extent that the accreditation or certification allows the use of such restraint.

    Sec. 79.  A person employed by a facility licensed pursuant to this chapter or any other person shall not:

    1.  Except as otherwise provided in section 80 of this act, use physical restraint on a person with a disability who is a patient at the facility.

    2.  Except as otherwise provided in section 81 of this act, use mechanical restraint on a person with a disability who is a patient at the facility.

    3.  Except as otherwise provided in section 81.5 of this act, use chemical restraint on a person with a disability who is a patient at the facility.

    Sec. 80.  1.  Except as otherwise provided in subsection 2, physical restraint may be used on a person with a disability who is a patient at a facility only if:

    (a) An emergency exists that necessitates the use of physical restraint;

    (b) The physical restraint is used only for the period that is necessary to contain the behavior of the patient so that the patient is no longer an immediate threat of causing physical injury to himself or others or causing severe property damage; and

    (c) The use of force in the application of physical restraint does not exceed the force that is reasonable and necessary under the circumstances precipitating the use of physical restraint.

    2.  Physical restraint may be used on a person with a disability who is a patient at a facility and the provisions of subsection 1 do not apply if the physical restraint is used to:

    (a) Assist the patient in completing a task or response if the patient does not resist the application of physical restraint or if his resistance is minimal in intensity and duration;

    (b) Escort or carry a patient to safety if the patient is in danger in his present location; or

    (c) Conduct medical examinations or treatments on the patient that are necessary.

    3.  If physical restraint is used on a person with a disability who is a patient at a facility in an emergency, the use of the procedure must be reported as a denial of rights pursuant to section 86 of this act, regardless of whether the use of the procedure is authorized by statute. The report must be made not later than 1 working day after the procedure is used.

    Sec. 81.  1.  Except as otherwise provided in subsection 2, mechanical restraint may be used on a person with a disability who is a patient at a facility only if:

    (a) An emergency exists that necessitates the use of mechanical restraint;

    (b) A medical order authorizing the use of mechanical restraint is obtained from the patient’s treating physician before the application of the mechanical restraint or not later than 15 minutes after the application of the mechanical restraint;

    (c) The physician who signed the order required pursuant to paragraph (b) or the attending physician examines the patient not later than 1 working day immediately after the application of the mechanical restraint;

    (d) The mechanical restraint is applied by a member of the staff of the facility who is trained and qualified to apply mechanical restraint;

    (e) The patient is given the opportunity to move and exercise the parts of his body that are restrained at least 10 minutes per every 60 minutes of restraint;

    (f) A member of the staff of the facility lessens or discontinues the restraint every 15 minutes to determine whether the patient will stop or control his inappropriate behavior without the use of the restraint;

    (g) The record of the patient contains a notation that includes the time of day that the restraint was lessened or discontinued pursuant to paragraph (f), the response of the patient and the response of the member of the staff of the facility who applied the mechanical restraint;

    (h) A member of the staff of the facility continuously monitors the patient during the time that mechanical restraint is used on the patient; and

    (i) The patient is released from the mechanical restraint as soon as his behavior no longer presents an immediate threat to himself or others.

    2.  Mechanical restraint may be used on a person with a disability who is a patient at a facility and the provisions of subsection 1 do not apply if the mechanical restraint is used to:

    (a) Treat the medical needs of a patient;

    (b) Protect a patient who is known to be at risk of injury to himself because he lacks coordination or suffers from frequent loss of consciousness;

    (c) Provide proper body alignment to a patient; or

    (d) Position a patient who has physical disabilities in a manner prescribed in the patient’s plan of treatment.

    3.  If mechanical restraint is used on a person with a disability who is a patient at a facility in an emergency, the use of the procedure must be reported as a denial of rights pursuant to section 86 of this act, regardless of whether the use of the procedure is authorized by statute. The report must be made not later than 1 working day after the procedure is used.

    Sec. 81.5.  1.  Chemical restraint may only be used on a person with a disability who is a patient at a facility if:

    (a) The patient has been diagnosed as mentally ill, as defined in NRS 433A.115, and is receiving mental health services from a facility;

    (b) The chemical restraint is administered to the patient while he is under the care of the facility;

    (c) An emergency exists that necessitates the use of chemical restraint;

    (d) A medical order authorizing the use of chemical restraint is obtained from the patient’s attending physician or psychiatrist;

    (e) The physician or psychiatrist who signed the order required pursuant to paragraph (d) examines the patient not later than 1 working day immediately after the administration of the chemical restraint; and

    (f) The chemical restraint is administered by a person licensed to administer medication.

    2.  If chemical restraint is used on a person with a disability who is a patient, the use of the procedure must be reported as a denial of rights pursuant to section 86 of this act, regardless of whether the use of the procedure is authorized by statute. The report must be made not later than 1 working day after the procedure is used.

    Sec. 82.  1.  Each facility shall develop a program of education for the members of the staff of the facility to provide instruction in positive behavioral interventions and positive behavioral supports that:

    (a) Includes positive methods to modify the environment of patients to promote adaptive behavior and reduce the occurrence of inappropriate behavior;

    (b) Includes methods to teach skills to patients so that patients can replace inappropriate behavior with adaptive behavior;

    (c) Includes methods to enhance a patient’s independence and quality of life;

    (d) Includes the use of the least intrusive methods to respond to and reinforce the behavior of patients; and

    (e) Offers a process for designing interventions based upon the patient that are focused on promoting appropriate changes in behavior as well as enhancing the overall quality of life for the patient.

    2.  Each facility shall provide appropriate training for the members of the staff of the facility who are authorized to carry out and monitor physical restraint and mechanical restraint to ensure that those members of the staff are competent and qualified to carry out the procedures in accordance with sections 68 to 86, inclusive, of this act.

    Sec. 83.  1.  Unless a more severe penalty is prescribed by specific statute, a person who willfully uses aversive intervention on a person with a disability who is a patient at a facility or, except as otherwise provided in section 78.5 of this act, violates section 79 of this act:

    (a) For a first violation that does not result in substantial bodily harm to the person with a disability, is guilty of a gross misdemeanor.

    (b) For a first violation that results in substantial bodily harm to the person with a disability, is guilty of a category B felony.

    (c) For a second or subsequent violation, is guilty of a category B felony.

A person who is convicted of a category B felony pursuant to this section shall be punished by imprisonment in the state prison for a minimum term of not less than 1 year and a maximum term of not more than 6 years, or by a fine of not more than $5,000, or by both fine and imprisonment.

    2.  A person who is convicted pursuant to this section is ineligible for 5 years for employment with a facility.

    3.  A conviction pursuant to this section is, when applicable, grounds for disciplinary action against the person so convicted and the facility where the violation occurred. The health division may recommend to the appropriate agency or board the suspension or revocation of the professional license, registration, certificate or permit of a person convicted.

    Sec. 84.  1.  A facility where a violation of the provisions of sections 68 to 86, inclusive, of this act occurs shall report the violation to the health division not later than 24 hours after the violation occurred, or as soon thereafter as the violation is discovered.

    2.  A facility where a violation occurred shall develop, in cooperation with the health division, a corrective plan to ensure that within 30 calendar days after the violation occurred, appropriate action is taken by the facility to prevent future violations.   

    3.  The health division shall forward the plan to the board. The board shall review the plan to ensure that it complies with applicable federal law and the statutes and regulations of this state. The board may require appropriate revision of the plan to ensure compliance.

    4.  If the facility where the violation occurred does not meet the requirements of the plan to the satisfaction of the board, the board may direct the agency that administers funding for the facility to withhold state funding for the facility until the facility meets the requirements of the plan.

    Sec. 85.  An officer, administrator or employee of a facility licensed pursuant to this chapter shall not retaliate against any person for having:

    1.  Reported a violation of sections 68 to 86, inclusive, of this act; or

    2.  Provided information regarding a violation of sections 68 to 86, inclusive, of this act,

by a facility or a member of the staff of the facility.

    Sec. 86.  1.  A denial of rights of a person with a disability who is a patient of a facility pursuant to sections 68 to 86, inclusive, of this act must be entered in the patient’s record. Notice of the denial must be provided to the administrator of the facility.

    2.  If the administrator of a facility receives notice of a denial of rights pursuant to subsection 1, he shall cause a full report to be prepared which must set forth in detail the factual circumstances surrounding the denial. A copy of the report must be provided to the health division.

    3.  The health division:

    (a) Shall receive reports made pursuant to subsection 2;

    (b) May investigate apparent violations of the rights of persons with disabilities who are patients at facilities; and

    (c) May act to resolve disputes relating to apparent violations.

    Sec. 87.  NRS 449.730 is hereby amended to read as follows:

    449.730  1.  Every medical facility, facility for the dependent and home for individual residential care shall inform each patient or his legal representative, upon his admission to the facility or home, of the patient’s rights as listed in NRS 449.700, 449.710 and 449.720.

    2.  In addition to the requirements of subsection 1, if a person with a disability is a patient at a facility, as that term is defined in section 73 of this act, the facility shall inform the patient of his rights pursuant to sections 68 to 86, inclusive, of this act.

    Sec. 88.  NRS 449.850 is hereby amended to read as follows:

    449.850 1.  The attorney in fact may not consent to:

    (a) Commitment or placement of the principal in a facility for treatment of mental illness;

    (b) Convulsive treatment;

    (c) Psychosurgery;

    (d) Sterilization;

    (e) Abortion; [or]

    (f) Aversive intervention, as that term is defined in section 69 of this act; or

    (g) Any other treatment to which the principal, in the power of attorney, states that the attorney in fact may not consent.

    2.  The attorney in fact must make decisions concerning the use or nonuse of life sustaining treatment which conform to the known desires of the principal. The principal may make these desires known in the power of attorney.

    Sec. 89.  The amendatory provisions of this act do not apply to offenses that were committed before October 1, 1999.

    Sec. 90.  Section 20 of this act becomes effective at 12:01 a.m. on October 1, 1999.”.

    Amend the preamble of the bill, page 1, by deleting line 6 and inserting:

“educational services in this state deserves to receive those”.

    Amend the preamble of the bill, page 1, line 8, by deleting “is entitled” and inserting “deserves”.

    Amend the preamble of the bill, page 2, by deleting line 2 and inserting:

“educational services in this state deserves a”.

    Amend the title of the bill to read as follows:

“AN ACT relating to persons with disabilities; prohibiting the use of aversive intervention on persons with disabilities under certain circumstances; providing penalties; and providing other matters properly relating thereto.”.

    Amend the summary of the bill to read as follows:

“SUMMARY—Prohibits use of aversive intervention on persons with disabilities under certain circumstances. (BDR 39‑286)”.

    Assemblywoman Buckley moved that the Assembly adopt the report of the first Conference Committee concerning Assembly Bill No. 280.

    Remarks by Assemblymen Buckley, Bache and Giunchigliani.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Senate Bill No. 302, consisting of the undersigned members, has met, and reports that:

    No decision was reached, and recommends the appointment of a second Conference Committee, to consist of 3 members, for the further consideration of the measure.

 

Tom Collins

Mark E. Amodei

Jerry D. Claborn

Lawrence E. Jacobsen

Donald G. Gustavson

Raymond C. Shaffer

Assembly Conference Committee

Senate Conference Committee

 

    Assemblyman Collins moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 302.

    Remarks by Assemblyman Collins.

    Motion carried.

Appointment of Conference Committees

    Mr. Speaker appointed Assemblymen Parks, McClain and Carpenter as a second Conference Committee to meet with a like committee of the Senate for the further consideration of Senate Bill No. 302.

Reports of Conference Committees

Mr. Speaker:

    The second Conference Committee concerning Senate Bill No. 360, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Assembly be receded from.

 

Mark A. Manendo

Mike McGinness

 

Valerie Wiener

Tom Collins

Mark A. James

Assembly Conference Committee

Senate Conference Committee

 

    Assemblyman Manendo moved that the Assembly adopt the report of the second Conference Committee concerning Senate Bill No. 360.

    Remarks by Assemblyman Manendo.

    Motion carried.

 Mr. Speaker:

    The first Conference Committee concerning Assembly Bill No. 431, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA25, which is attached to and hereby made a part of this report.

 

Barbara E. Buckley

Randolph J. Townsend

Chris Giunchigliani

Dean A. Rhoads

Dennis Nolan

Raymond C. Shaffer

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA25.

    Amend sec. 2, page 4, line 15, by deleting “continue” and inserting “cease”.

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

“to make the provisions of the bill applicable to water authorities; requiring an advisory question concerning the fluoridation of water to be placed on the general election ballot in a county whose population is 400,000 or more; and providing other matters”.

    Assemblywoman Buckley moved that the Assembly adopt the report of the first Conference Committee concerning Senate Bill No. 431.

    Remarks by Assemblywoman Buckley.

    Motion carried.

Mr. Speaker:

    The first Conference Committee concerning Assembly Bill No. 689, consisting of the undersigned members, has met, and reports that:

    It has agreed to recommend that the amendment of the Senate be concurred in.

    It has agreed to recommend that the bill be further amended as set forth in Conference Amendment No. CA37, which is attached to and hereby made a part of this report.

 

Bernard Anderson

Raymond D. Rawson

Chris Giunchigliani

Valerie Wiener

John C. Carpenter

Maurice Washington

Assembly Conference Committee

Senate Conference Committee

 

    Conference Amendment No. CA37.

    Amend sec. 2, page 4, line 15, by deleting “continue” and inserting “cease”.

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

“to make the provisions of the bill applicable to water authorities; requiring an advisory question concerning the fluoridation of water to be placed on the general election ballot in a county whose population is 400,000 or more; and providing other matters”.

    Assemblyman Anderson moved that the Assembly adopt the report of the first Conference Committee concerning Assembly Bill No. 689.

    Remarks by Assemblyman Anderson.

    Motion carried.


Appointment of Conference Committees

    Mr. Speaker appointed Assemblymen Dini, Marvel and Arberry as a second Conference Committee to meet with a like committee of the Senate for the further consideration of Assembly Bill No. 289.

Recede From Assembly Amendments

    Assemblyman Arberry moved that the Assembly do not recede from its action on Senate Bill No. 544, 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.

    Motion carried.

Appointment of Conference Committees

    Mr. Speaker appointed Assemblymen Dini, Arberry and Perkins as a first Conference Committee to meet with a like committee of the Senate for the further consideration of Senate Bill No. 544.

MESSAGES FROM THE Senate

Senate Chamber, Carson City, May 30, 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. 224, 320, 330, 360, 373, 663; Senate Bill No. 557.

    Also, I have the honor to inform your honorable body that the Senate on this day passed, as amended, Senate Bill No. 548.

    Also, I have the honor to inform your honorable body that the Senate on this day concurred in the Assembly Amendment No. 1218 to Senate Bill No. 184.

    Also, I have the honor to inform your honorable body that the Senate on this day adopted the report of the first Conference Committee concerning Assembly Joint Resolution No. 5 of the 69th Session.

Senate Chamber, Carson City, May 29, 1999

To the Honorable the Assembly:

    I have the honor to inform your honorable body that the Senate on this day passed Assembly Bill No. 679.

                                      Mary Jo Mongelli

                        Assistant Secretary of the Senate

UNFINISHED BUSINESS

Consideration of Senate Amendments

    Assembly Bill No. 684.

    The following Senate amendment was read:

    Amendment No 1195.

    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 commission for the preservation of wild horses is hereby authorized to spend no more than $75,000 in the Heil trust fund for wild horses created pursuant to NRS 504.450 to conduct a study of the feasibility of establishing a private foundation to promote the adoption of wild horses and burros by members of the general public.

    2.  The commission for the preservation of wild horses shall submit a written report of the results of the study to the Director of the Legislative Counsel Bureau for transmission to the 71st session of the Nevada Legislature.”.

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

“commission to spend a portion of the money in the Heil trust fund for wild horses to conduct a study of the feasibility of establishing a private”.

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

“SUMMARY—Authorizes commission for the preservation of wild horses to spend money in Heil trust fund for wild horses to conduct study of”.

    Assemblyman de Braga moved that the Assembly concur in the Senate amendment to Assembly Bill No. 684.

    Remarks by Assemblyman de Braga.

    Motion carried.

    Bill ordered enrolled.

INTRODUCTION, FIRST READING AND REFERENCE

    Senate Bill No. 548.

    Assemblyman Perkins moved that the bill be referred to the Committee on

Ways and Means.

    Motion carried.

    Senate Bill No. 557.

    Assemblyman Perkins moved that the bill be referred to the Committee on Commerce and Labor.

    Motion carried.

UNFINISHED BUSINESS

Signing of Bills and Resolutions

    There being no objections, the Speaker and Chief Clerk signed Assembly Bills Nos. 12, 189, 220, 285, 380, 386, 454, 480, 527, 690, 695; Assembly Concurrent Resolutions Nos.13, 46, 53; Senate Bills Nos. 70, 80, 149, 165, 242, 322, 363, 432, 477, 485, 500, 507, 511, 519.

GUESTS EXTENDED PRIVILEGE OF ASSEMBLY FLOOR

    On request of Assemblyman Collins, the privilege of the floor of the Assembly Chamber for this day was extended to Bruce Gibbs, Michele Gibbs and John DuFresne.

    Assemblyman Perkins moved that the Assembly adjourn until Monday, May 31, 1999, at 10:00 a.m.

    Motion carried.


    Assembly adjourned at 11:25 p.m.

Approved:                  Joseph E. Dini, Jr.

                              Speaker of the Assembly

Attest:    Jacqueline Sneddon

                    Chief Clerk of the Assembly