Assembly Bill No. 486–Assemblymen Goldwater, Lee, Perkins, Buckley,
Neighbors, Berman, Gibbons, Marvel, Price, Ohrenschall, Anderson,
Freeman, Parnell, Koivisto, McClain, Angle, Mortenson, Humke,
Claborn, de Braga, Chowning, Bache, Evans, Leslie, Nolan,
Giunchigliani, Arberry, Williams, Collins, Manendo, Parks, Beers,
Carpenter, Segerblom, Thomas and Dini
Joint Sponsors: Senators Rawson, O’Connell and Titus
CHAPTER........
AN ACT relating to administrative procedure affecting businesses; requiring certain
governmental entities to consider the impact on small businesses of regulations
promulgated by the governmental entity; requiring local governmental entities to
consider the impact on businesses of certain rules promulgated by the governmental
entity; and providing other matters properly relating thereto.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
the provisions set forth as sections 2 to 5, inclusive, of this act.
Sec. 2. "Small business" means a business conducted for profit
which employs fewer than 150 full-time or part-time employees.
Sec. 3.
1. Before conducting a workshop for a proposed regulationpursuant to NRS 233B.061, an agency shall determine whether the
proposed regulation is likely to:
(a) Impose a direct and significant economic burden upon a small
business; or
(b) Directly restrict the formation, operation or expansion of a small
business.
2. If an agency determines pursuant to subsection 1 that a proposed
regulation is likely to impose a direct and significant economic burden
upon a small business or directly restrict the formation, operation or
expansion of a small business, the agency shall:
(a) Insofar as practicable, consult with owners and officers of small
businesses that are likely to be affected by the proposed regulation.
(b) Consider methods to reduce the impact of the proposed regulation
on small businesses, including, without limitation:
(1) Simplifying the proposed regulation;
(2) Establishing different standards of compliance for a small
business; and
(3) Modifying a fee or fine set forth in the regulation so that a small
business is authorized to pay a lower fee or fine.
(c) Prepare a small business impact statement and make copies of the
statement available to the public at the workshop conducted and the
public hearing held pursuant to NRS 233B.061.
Sec. 4.
A small business impact statement prepared pursuant tosection 3 of this act must set forth the following information:
1. A description of the manner in which comment was solicited from
affected small businesses, a summary of their response and an
explanation of the manner in which other interested persons may obtain
a copy of the summary.
2. The estimated economic effect of the proposed regulation on the
small businesses which it is to regulate, including, without limitation:
(a) Both adverse and beneficial effects; and
(b) Both direct and indirect effects.
3. A description of the methods that the agency considered to reduce
the impact of the proposed regulation on small businesses and a
statement regarding whether the agency actually used any of those
methods.
4. The estimated cost to the agency for enforcement of the proposed
regulation.
5. If the proposed regulation provides a new fee or increases an
existing fee, the total annual amount the agency expects to collect and
the manner in which the money will be used.
6. If the proposed regulation includes provisions which duplicate or
are more stringent than federal, state or local standards regulating the
same activity, an explanation of why such duplicative or more stringent
provisions are necessary.
Sec. 5.
1. A small business that is aggrieved by a regulationadopted by an agency on or after January 1, 2000, may object to all or a
part of the regulation by filing a petition with the agency that adopted the
regulation within 90 days after the date on which the regulation was
adopted.
2. A petition filed pursuant to subsection 1 may be based on the
following grounds:
(a) The agency failed to prepare a small business impact statement as
required pursuant to section 3 of this act; or
(b) The small business impact statement prepared by the agency
pursuant to section 3 of this act did not consider or significantly
underestimated the economic effect of the regulation on small
businesses.
3. After receiving a petition pursuant to subsection 1, an agency shall
determine whether the petition has merit. If the agency determines that
the petition has merit, the agency may, pursuant to this chapter, take
action to amend the regulation to which the small business objected.
Sec. 6.
NRS 233B.030 is hereby amended to read as follows: 233B.030 As used in this chapter, unless the context otherwiserequires, the words and terms defined in NRS 233B.031 to 233B.0385,
inclusive,
and section 2 of this act have the meanings ascribed to them inSec. 7. Chapter 237 of NRS is hereby amended by adding thereto the
provisions set forth as sections 8 to 15, inclusive, of this act.
Sec. 8.
As used in sections 8 to 15, inclusive, of this act, unless thecontext otherwise requires, the words and terms defined in sections 9, 10
and 11 of this act have the meanings ascribed them in those sections.
Sec. 9.
"Business" means a trade or occupation conducted forprofit.
Sec. 10.
"Local government" means a political subdivision of thisstate, including, without limitation, a city, county, irrigation district,
water district or water conservancy district.
Sec. 11.
"Rule" means an ordinance, regulation, resolution or othertype of instrument by the adoption of which the governing body of a local
government exercises legislative powers. The term does not include an
ordinance, regulation, resolution or other type of instrument by the
adoption of which the governing body of a local government exercises
legislative powers authorized pursuant to chapter 271, 278, 278A or 278B
of NRS.
Sec. 11.5.
The provisions of sections 8 to 15, inclusive, of this act donot apply with respect to a rule for which a local government does not
have the authority to consider less stringent alternatives, including,
without limitation, a rule that the local government is required to adopt
pursuant to a federal or state statute or regulation or pursuant to a
contract or agreement into which the local government has entered.
Sec. 12.
1. Before adopting a proposed rule, the governing body ofa local government shall determine whether the proposed rule is likely to:
(a) Impose a direct and significant economic burden upon a business;
or
(b) Directly restrict the formation, operation or expansion of a
business.
2. If the governing body of a local government determines pursuant
to subsection 1 that a proposed rule is likely to impose a direct and
significant economic burden upon a business or directly restrict the
formation, operation or expansion of a business, the governing body
shall:
(a) Insofar as practicable, consult with trade associations or owners
and officers of businesses that are likely to be affected by the proposed
rule.
(b) Consider methods to reduce the impact of the proposed rule on
businesses, including, without limitation:
(1) Simplifying the proposed rule;
(2) Establishing different standards of compliance for a business;
and
(3) Modifying a fee or fine set forth in the rule so that a business is
authorized to pay a lower fee or fine.
(c) Prepare a business impact statement and make copies of the
statement available to any interested person before holding a hearing to
adopt the rule.
Sec. 13.
A business impact statement prepared pursuant to section12 of this act must set forth the following information:
1. A description of the manner in which comment was solicited from
affected businesses, a summary of their response and an explanation of
the manner in which other interested persons may obtain a copy of the
summary.
2. The estimated economic effect of the proposed rule on the
businesses which it is to regulate, including, without limitation:
(a) Both adverse and beneficial effects; and
(b) Both direct and indirect effects.
3. A description of the methods that the governing body of the local
government considered to reduce the impact of the proposed rule on
businesses and a statement regarding whether the governing body
actually used any of those methods.
4. The estimated cost to the local government for enforcement of the
proposed rule.
5. If the proposed rule provides a new fee or increases an existing
fee, the total annual amount the local government expects to collect and
the manner in which the money will be used.
6. If the proposed rule includes provisions which duplicate or are
more stringent than federal, state or local standards regulating the same
activity, an explanation of why such duplicative or more stringent
provisions are necessary.
Sec. 14.
1. A business that is aggrieved by a rule adopted by thegoverning body of a local government on or after January 1, 2000, may
object to all or a part of the rule by filing a petition with the governing
body that adopted the rule within 30 days after the date on which the rule
was adopted.
2. A petition filed pursuant to subsection 1 may be based on the
following grounds:
(a) The governing body of the local government failed to prepare a
business impact statement as required pursuant to section 12 of this act;
or
(b) The business impact statement prepared by the governing body
pursuant to section 12 of this act did not consider or significantly
underestimated the economic effect of the rule on businesses.
3. After receiving a petition pursuant to subsection 1, the governing
body of a local government shall determine whether the petition has
merit. If the governing body determines that the petition has merit, the
governing body may take action to amend the rule to which the business
objected.
4. Each governing body of a local government shall provide a
procedure for an aggrieved business to object to a rule adopted by the
governing body. The procedure must be filed with the clerk of the local
government and available upon request at no charge.
Sec. 15.
The governing body of a local government may adopt a rulewithout complying with the provisions of sections 8 to 14, inclusive, of
this act if the governing body declares, by unanimous vote, that
emergency action is necessary to protect public health and safety. Such a
rule may remain in effect for not more than 6 months after the date on
which it was adopted.
Sec. 16. This act becomes effective on January 1, 2000.
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