MINUTES OF THE
SENATE COMMITTEE ON COMMERCE AND LABOR
Sixty-seventh Session
May 28, 1993
The Senate Committee on Commerce and Labor was called to order by Chairman Randolph J. Townsend, at 8:30 a.m., on Friday, May 28, 1993, in Room 227 of the Legislative Building, Carson City, Nevada. Exhibit A is the Meeting Agenda. Exhibit B is the Attendance Roster.
COMMITTEE MEMBERS PRESENT:
Senator Randolph J. Townsend, Chairman
Senator Sue Lowden, Vice Chairman
Senator Ann O'Connell
Senator Mike McGinness
Senator Raymond C. Shaffer
Senator Leonard V. Nevin
Senator Lori L. Brown
STAFF MEMBERS PRESENT:
Denise Pinnock, Committee Secretary
Brian Davie, Senior Research Analyst
OTHERS PRESENT:
Terry Rankin, Commissioner, Department of Insurance, State of Nevada
Scott Craigie, Chief of Staff, Governor's Office, State of Nevada
Bob Crowell, Lobbyist, Self
John Mendoza, Chairman, Public Service Commission, State of Nevada
Scott Young, General Counsel, Nevada State Industrial Insurance System
Jim Shelley, Senior Research Analyst, Employment Security Department, State of Nevada
David Guinan, Lobbyist, Nevada Insurance Guaranty Association
John Wiles, Advocate For Insurance Customers, Department of Insurance, State of Nevada
David Nicholas, Lobbyist, Nevada Health Care Association
David Luke, Ph.D., Director, Sierra Developmental Center, Mental Hygiene and Mental Retardation Division, Department of Human Resources
Larry Fry, President, Nevada Adult Care Association
Helen Foley, Lobbyist, Psychemedics Corporation
Fred Hillerby, Lobbyist, Associated Pathologists' Laboratories
Chairman Townsend called the meeting to order and introduced a young visitor, Betty Jean Foley. Senator Townsend then opened the hearing on Senate Bill (S.B.) 30.
SENATE BILL 30: Revises provisions relating to payment by insurer for repair of motor vehicle covered by policy of insurance.
Terry Rankin, Commissioner, Department of Insurance, State of Nevada, explained how the assembly had amended the bill.
SENATOR O'CONNELL MOVED TO CONCUR WITH AMENDMENT NO. 489 TO S.B. 30.
SENATOR LOWDEN SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR NEVIN WAS ABSENT FOR THE VOTE.)
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Senator Townsend closed the hearing on S.B. 30 and opened the hearing on S.B. 398.
SENATE BILL 398: Provides for regulation of cemeteries and crematories.
Ms. Rankin expressed concern regarding dual regulation on the endowment fund.
Scott Craigie, Chief of Staff, Governor's Office, State of Nevada, submitted proposed changes to Amendment No. 398 (Exhibit C). He stated that there was the possibility that a person who was investigating a member of the board may, in subsequent actions, be asked to vote on fitness issues pertaining to the member he investigated. Mr. Craigie also questioned the number of terms board members could serve when a partial term was involved.
Ms. Rankin advised the committee of possible conflicts and fiscal impact.
Senator Townsend stated he is uncomfortable with legislation which allows a board member to be an investigator and then to vote on the findings. Mr. Craigie agreed.
Senator Shaffer said the subcommittee agreed with Mr. Craigie's points and the enabling legislation was being drafted. Senator Townsend explained the committee would hold the bill until they received the amendment. He thanked the subcommittee for their efforts.
Senator Townsend closed the hearing on S.B. 398 and opened the hearing on S.B. 410.
SENATE BILL 410: Creates commission on transportation.
Bob Crowell, Lobbyist, representing himself, explained that Amendment No. 544 to S.B. 410 clarifies three areas which would effect an orderly transition in the event the bill passed into law.
John Mendoza, Chairman, Public Service Commission, State of Nevada, went through the bill, section by section, explaining the amendment and technical corrections. Chairman Mendoza stated for the record that he had not talked to the rest of the commission about the details of the bill and amendment.
Senator Nevin suggested holding the bill until the beginning of the following week to allow all the involved parties to review the amendment. Senator Townsend agreed and closed the hearing on S.B. 410.
The next item of business was A.B. 436.
ASSEMBLY BILL 436: Precludes persons receiving certain benefits for industrial injuries from receiving unemployment compensation at same time.
Scott Young, General Counsel, Nevada State Industrial Insurance System, explained Amendment No. 595 to A.B. 436.
Jim Shelley, Senior Research Analyst, Employment Security Department, State of Nevada, testified in favor of the amendment.
Senator Lowden suggested changing the words "may charge a reasonable fee" to "the fee charged must reflect actual cost." Senator Townsend asked Brian Davie, Senior Research Analyst, to make the change.
Senator Townsend closed the hearing on A.B. 436 and opened the hearing on S.B. 237.
SENATE BILL 237: Makes various changes relating to insurance guaranty association.
Ms. Rankin said the language her office had submitted had been approved by the budget office and she was ready to have it drafted into an amendment.
David Guinan, Lobbyist, Nevada Insurance Guaranty Association, explained that his organization also has some amendatory language to add.
Senator Townsend said he is troubled by a couple of things about the bill. The first thing is that credit insurance would be exempted, along with warranties or service contracts. The other point that bothers Senator Townsend is that only those companies who maintain their principal place of business in Nevada would be covered.
Mr. Guinan explained the statute fitted in with a national plan. He said that under the national network a claimant was sent first to the guaranty association where the insured has its primary place of business, and second to the state where the claimant has its residence or place of business.
Senator Townsend stated there was still work to be done on the bill. He said he would like to confer with Mr. Guinan, Commissioner Mendoza, and Senator Brown.
Senator Townsend closed the hearing on S.B. 237 and opened the hearing on S.B. 248.
SENATE BILL 248: Increases certain fees and fines related to practice of optometry.
Senator Shaffer explained there are two amendments to the bill, and that there is no opposition to the bill as amended.
SENATOR BROWN MOVED TO DO PASS S.B. 248.
SENATOR O'CONNELL SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
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Senator Townsend closed the hearing on S.B. 248 and opened the hearing on A.B. 148.
ASSEMBLY BILL 148: Requires reduction of premium for policy of insurance for motor vehicle equipped with air bag.
Ms. Rankin explained Amendment No. 594 to A.B. 148.
John Wiles, Advocate For Insurance Customers, Department of Insurance, State of Nevada, stated he had spoken to the sponsor of the bill in the assembly. The sponsor had indicated he intended to go along with the amendments proposed by the commissioner of insurance. Mr. Wiles urged the committee to pass the bill with the amendment.
SENATOR NEVIN MOVED TO AMEND AND DO PASS A.B. 148 WITH AMENDMENT NO. 594.
SENATOR BROWN SECONDED THE MOTION.
THE MOTION CARRIED UNANIMOUSLY.
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Senator Townsend closed the hearing on A.B. 148 and opened the hearing on S.B. 434 and Amendment No. 587.
SENATE BILL 434: Provides for licensing of administrators of residential facilities for groups.
Senator Nevin explained the subcommittee had heard testimony from the Division of Aging Services, and the Welfare Division. He said there was one more technical amendment which David Nicholas, Lobbyist, Nevada Health Care Association, would explain.
Mr. Nicholas stated the bill drafter felt that the current definition of residential facility pulled the Division of Mental Hygiene and Mental Retardation (MH&MR) out of the bill. He explained there is another bill pending which would change the definition of residential care, making it acceptable to exclude MH&MR from S.B. 434.
Senator Townsend explained he would not want to "plan this bill around the maybe that could happen with that bill."
David Luke, Ph.D., Director, Sierra Developmental Center, Mental Hygiene and Mental Retardation Division, Department of Human Resources, said his division had requested the exemption. The bill drafters had then informed him that under existing statute they were already exempted. The other bill, A.B. 193, would adjust that to some extent.
ASSEMBLY BILL 193: Revises provisions regarding medical and other related facilities.
Dr. Luke requested that the committee make it explicit in S.B. 434 that MH&MR was exempted, regardless of what happened with other legislation.
Larry Fry, President, Nevada Adult Care Association, submitted written testimony opposing S.B. 434 (Exhibit D). He stated A.B. 211 would attain the same goals his organization aspired to, but would put them into regulation instead of involving a third party.
ASSEMBLY BILL 211: Revises certain provisions relating to persons authorized to possess and administer controlled substances and dangerous drugs.
Senator Townsend stated he would make sure the technical corrections were made, and the bill would be dealt with the following week. Senator Townsend closed the hearing on S.B. 434 and opened the hearing on S.B. 440.
SENATE BILL 440: Includes test of person's hair as permissible test in certain circumstances to determine presence of controlled substance or other chemical.
Helen Foley, Lobbyist, Psychemedics Corporation, testified in favor of the bill. She stated hair testing could not test a moment in time, but rather a pattern or history, and was therefore very appropriate for pre-employment screening. Ms. Foley said her organization feels the bill is overly broad and should be limited to applicants for positions affecting public safety.
Fred Hillerby, Lobbyist, Associated Pathologists' Laboratories, stated his organization would wait to review the amendment before they take a position on the bill.
Senator Townsend explained the committee would wait for the amendment, then deal with the bill. He closed the hearing on S.B. 440 and opened the hearing on A.B. 241.
ASSEMBLY BILL 241: Prospectively increases number of semester hours required for certification as certified public accountant.
SENATOR NEVIN MOVED TO DO PASS A.B. 241.
SENATOR O'CONNELL SECONDED THE MOTION.
Senator Lowden explained she would be voting against the bill because she had talked to a number of certified public accountants who did not see the need for the bill.
THE MOTION CARRIED. (SENATORS LOWDEN AND BROWN VOTED NO.)
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Senator Townsend closed the hearing on A.B. 241. There being no further business the meeting was adjourned at 10:00 a.m.
RESPECTFULLY SUBMITTED:
Denise Pinnock,
Committee Secretary
APPROVED BY:
Senator Randolph J. Townsend, Chairman
DATE:
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Senate Committee on Commerce and Labor
May 28, 1993
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