Assembly Bill No. 677–Committee on Transportation

March 22, 1999

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Referred to Committee on Transportation

 

SUMMARY—Provides immunity under certain circumstances for short-term lessors of vehicles from penalties that may be imposed by transportation services authority for unlawful use of vehicles leased by short-term lessors. (BDR 58-1599)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: No.

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

 

AN ACT relating to vehicles; providing immunity under certain circumstances for short-term lessors of vehicles from administrative fines and other penalties that may be imposed by the transportation services authority for vehicles leased by short-term lessors that are operated in passenger service without a certificate of public convenience and necessity; providing for the release of such a vehicle impounded by the transportation services authority to a short-term lessor; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

1-1 Section 1. Chapter 706 of NRS is hereby amended by adding thereto a

1-2 new section to read as follows:

1-3 1. Notwithstanding any provision of NRS 706.011 to 706.791,

1-4 inclusive, and this section to the contrary, if the registered owner of a

1-5 vehicle which is impounded pursuant to NRS 706.476 is a short-term

1-6 lessor licensed pursuant to NRS 482.363 who is engaged in the business

1-7 of renting or leasing vehicles in accordance with NRS 482.295 to

1-8 482.3159, inclusive, the registered owner is not liable for any

1-9 administrative fine or other penalty that may be imposed by the authority

1-10 for the operation of a passenger vehicle in violation of NRS 706.011 to

1-11 706.791, inclusive, if at the time that the vehicle was impounded, the

1-12 vehicle was in the care, custody or control of a lessee.

1-13 2. A short-term lessor may establish that a vehicle was subject to the

1-14 care, custody or control of a lessee at the time that the vehicle was

2-1 impounded pursuant to NRS 706.476 by submitting to the authority a

2-2 true copy of the lease or rental agreement pursuant to which the vehicle

2-3 was leased or rented to the lessee by the short-term lessor. The

2-4 submission of a true copy of a lease or rental agreement is prima facie

2-5 evidence that the vehicle was in the care, custody or control of the lessee.

2-6 3. Upon the receipt of a true copy of a written lease or rental

2-7 agreement pursuant to subsection 2 which evidences that the vehicle

2-8 impounded by the authority pursuant to NRS 706.476 was under the

2-9 care, custody or control of a lessee and not the registered owner of the

2-10 vehicle, the authority shall release the vehicle to the short-term lessor.

2-11 4. As used in this section, "short-term lessor" has the meaning

2-12 ascribed to it in NRS 482.053.

2-13 Sec. 2. NRS 706.011 is hereby amended to read as follows:

2-14 706.011 As used in NRS 706.013 to 706.791, inclusive, and section 1

2-15 of this act, unless the context otherwise requires, the words and terms

2-16 defined in NRS 706.013 to 706.146, inclusive, have the meanings ascribed

2-17 to them in those sections.

2-18 Sec. 3. NRS 706.476 is hereby amended to read as follows:

2-19 706.476 Except as otherwise provided in section 1 of this act:

2-20 1. A vehicle used as a taxicab, limousine or other passenger vehicle in

2-21 passenger service must be impounded by the authority if a certificate of

2-22 public convenience and necessity has not been issued authorizing its

2-23 operation. A hearing must be held by the authority no later than the

2-24 conclusion of the second normal business day after impoundment,

2-25 weekends and holidays excluded. As soon as practicable after

2-26 impoundment, the authority shall notify the registered owner of the vehicle:

2-27 (a) That the registered owner of the vehicle must post a bond in the

2-28 amount of $20,000 to ensure his presence at all proceedings held pursuant

2-29 to this section;

2-30 (b) Of the time set for the hearing; and

2-31 (c) Of his right to be represented by counsel during all phases of the

2-32 proceedings.

2-33 2. The authority shall hold the vehicle until the registered owner of the

2-34 vehicle appears and:

2-35 (a) Proves that he is the registered owner of the vehicle;

2-36 (b) Proves that he holds a valid certificate of public convenience and

2-37 necessity;

2-38 (c) Proves that the vehicle meets all required standards of the authority;

2-39 and

2-40 (d) Posts a bond in the amount of $20,000 with the [administrator.]

2-41 authority.

3-1 The authority shall return the vehicle to its registered owner when the

3-2 owner meets the requirements of this subsection and pays all costs of

3-3 impoundment.

3-4 3. If the registered owner is unable to meet the requirements of

3-5 paragraph (b) or (c) of subsection 2, the authority may assess an

3-6 administrative fine against the registered owner for each such violation in

3-7 the amount of $5,000. The maximum amount of the administrative fine that

3-8 may be assessed against a registered owner for a single impoundment of his

3-9 vehicle pursuant to this section is $10,000. The authority shall return the

3-10 vehicle after any administrative fine imposed pursuant to this subsection

3-11 and all costs of impoundment have been paid.

3-12 Sec. 4. NRS 706.756 is hereby amended to read as follows:

3-13 706.756 1. Except as otherwise provided in subsection 2, any person

3-14 who:

3-15 (a) Operates a vehicle or causes it to be operated in any carriage to

3-16 which the provisions of NRS 706.011 to 706.861, inclusive, and section 1

3-17 of this act, apply without first obtaining a certificate, permit or license, or

3-18 in violation of the terms thereof;

3-19 (b) Fails to make any return or report required by the provisions of NRS

3-20 706.011 to 706.861, inclusive, and section 1 of this act, or by the authority

3-21 or the department pursuant to the provisions of NRS 706.011 to 706.861,

3-22 inclusive [;] , and section 1 of this act;

3-23 (c) Violates, or procures, aids or abets the violating of, any provision of

3-24 NRS 706.011 to 706.861, inclusive [;] , and section 1 of this act;

3-25 (d) Fails to obey any order, decision or regulation of the authority or the

3-26 department;

3-27 (e) Procures, aids or abets any person in his failure to obey such an

3-28 order, decision or regulation of the authority or the department;

3-29 (f) Advertises, solicits, proffers bids or otherwise holds himself out to

3-30 perform transportation as a common or contract carrier in violation of any

3-31 of the provisions of NRS 706.011 to 706.861, inclusive [;] , and section 1

3-32 of this act;

3-33 (g) Advertises as providing:

3-34 (1) The services of a fully regulated carrier; or

3-35 (2) Towing services,

3-36 without including the number of his certificate of public convenience and

3-37 necessity or contract carrier’s permit in each advertisement;

3-38 (h) Knowingly offers, gives, solicits or accepts any rebate, concession or

3-39 discrimination in violation of the provisions of this chapter;

3-40 (i) Knowingly, willfully and fraudulently seeks to evade or defeat the

3-41 purposes of this chapter;

3-42 (j) Operates or causes to be operated a vehicle which does not have the

3-43 proper identifying device;

4-1 (k) Displays or causes or permits to be displayed a certificate, permit,

4-2 license or identifying device, knowing it to be fictitious or to have been

4-3 canceled, revoked, suspended or altered;

4-4 (l) Lends or knowingly permits the use of by one not entitled thereto any

4-5 certificate, permit, license or identifying device issued to the person so

4-6 lending or permitting the use thereof; or

4-7 (m) Refuses or fails to surrender to the authority or department any

4-8 certificate, permit, license or identifying device which has been suspended,

4-9 canceled or revoked pursuant to the provisions of this chapter,

4-10 is guilty of a misdemeanor, and upon conviction thereof shall be punished

4-11 by a fine of not less than $100 nor more than $1,000, or by imprisonment in

4-12 the county jail for not more than 6 months, or by both fine and

4-13 imprisonment.

4-14 2. A person convicted of a misdemeanor for a violation of the

4-15 provisions of NRS 706.386 or 706.421 shall be punished:

4-16 (a) For the first offense by a fine of not less than $500 nor more than

4-17 $1,000;

4-18 (b) For a second offense within 12 consecutive months and each

4-19 subsequent offense by a fine of $1,000; or

4-20 (c) For any offense, by imprisonment in the county jail for not more than

4-21 6 months, or by both the prescribed fine and imprisonment.

4-22 3. Any person who operates or permits the operation of a vehicle in

4-23 passenger service without a certificate of public convenience and necessity

4-24 issued pursuant to NRS 706.391 is guilty of a gross misdemeanor. If a law

4-25 enforcement officer witnesses a violation of this subsection, he may cause

4-26 the vehicle to be towed immediately from the scene.

4-27 4. The fines provided in this section are mandatory and must not be

4-28 reduced under any circumstances by the court.

4-29 5. Any bail allowed must not be less than the appropriate fine provided

4-30 for by this section.

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