Senate Amendment to Senate Bill No. 12 (BDR 57-203)
Proposed by: Committee on Commerce and Labor
Amendment Box: Replaces Amendments Nos. 267 and 389.
Amends: Summary: Title: Preamble: Joint Sponsorship:
ASSEMBLY ACTION
Initial and Date | SENATE ACTION Initial and DateAdopted Lost | Adopted Lost
Concurred In Not | Concurred In Not
Receded Not | Receded Not
Amend the bill as a whole by renumbering sections 1 through 8 as sections 2 through 9 and adding a new section designated section 1, following the enacting clause, to read as follows:
"Section 1. The legislature hereby finds and declares that:
1. Nonprofit hospital, medical and dental service corporations have historically filled a unique position of community trust as indicated by the special consideration that these nonprofit corporations receive in federal and state laws. These laws have allowed such nonprofit corporations to hold and accumulate assets and real property in order to perform their special responsibilities to the residents of the State of Nevada.
2. When nonprofit hospital, medical or dental service corporations which have received special consideration by law in this state convert to for-profit corporations, it is in the public interest that assets of such corporations remain in this state to be used for their intended purpose through distribution to charitable organizations.".
Amend sec. 2, page 2, line 6, by deleting:
"3 to 8," and inserting:
"4 to 9,".
Amend sec. 3, page 2, line 7, by deleting:
"
3 to 8," and inserting:"
4 to 9,".Amend sec. 3, page 2, line 9, by deleting "
14" and inserting "13".Amend sec. 4, page 2, line 10, by deleting:
"
3 to 8," and inserting:"
4 to 9,".Amend sec. 4, page 2, line 12, by deleting "
15" and inserting "14".Amend sec. 5, page 2, line 15, by deleting:
"
or proposed insurer".Amend sec. 5, page 2, line 21, by deleting:
"
or proposed insurer".Amend sec. 5, page 2, line 24, by deleting:
"
14 to 27," and inserting:"
13 to 26,".Amend sec. 5, page 2, line 25, by deleting:
"
or proposed insurer".Amend sec. 5, page 2, line 29, by deleting "
6" and inserting "7".Amend sec. 5, page 2, line 30, by deleting "
persons" and inserting "individuals".Amend sec. 5, page 2, line 31, by deleting:
"
22, 23 and 24" and inserting:"
21, 22 and 23".Amend sec. 5, page 2, line 35, by deleting "
22" and inserting "21".Amend sec. 5, page 2, line 37, by deleting "
6" and inserting "7".Amend sec. 6, page 3, by deleting line 18, and inserting:
"
(a) Whether, at the time of conversion, the foreign insurer possesses charitable assets which are:(1) Attributable to business that the foreign insurer has conducted as a nonprofit hospital, medical or dental service corporation in the State of Nevada; and
(2) Lawfully subject to this chapter or any other applicable provision of NRS;
(b) In the manner set forth in section 21 of this act, whether or not a
".Amend sec. 6, page 3, line 19, by deleting "
22" and inserting "21".Amend sec. 6, page 3, line 23, by deleting "
(b)" and inserting "(c)".Amend sec. 6, page 3, line 24, by deleting:
"
23 and 24" and inserting:"
22 and 23".Amend sec. 7, page 3, line 35, by deleting:
"
3 to 8," and inserting:"
4 to 9,".Amend sec. 7, page 3, line 37, by deleting:
"
3 to 8," and inserting:"
4 to 9,".Amend sec. 7, page 3, line 39, by deleting:
"
3 to 8," and inserting:"
4 to 9,".Amend sec. 7, page 3, line 41, by deleting "
6" and inserting "7".Amend sec. 7, page 4, line 5, by deleting "
6" and inserting "7".Amend sec. 7, page 4, line 10, by deleting the period and inserting:
"
and for all reasonable costs incurred by the attorney general in executing his duties pursuant to this section, including, without limitation, attorney’s fees.".Amend sec. 8, page 4, line 24, by deleting:
"
3 to 8," and inserting:"
4 to 9,".Amend the bill as a whole by deleting sections 9 and 10 and renumbering sections 11 through 29 as sections 10 through 28.
Amend sec. 11, page 7, line 40, by deleting:
"
3 to 8," and inserting:"
4 to 9,".Amend sec. 12, page 8, line 10, by deleting "
5" and inserting "6".Amend sec. 13, page 8, line 17, by deleting:
"14 to 28," and inserting:
"13 to 27,".
Amend sec. 14, page 8, line 18, by deleting:
"
14 to 28," and inserting:"
13 to 27,".Amend sec. 15, page 8, line 23, by deleting:
"
14 to 28," and inserting:"
13 to 27,".Amend sec. 15, page 8, by deleting lines 25 though 31 and inserting:
"
that is recognized as exempt pursuant to section 501(c)(3) or 501(c)(4) of the Internal Revenue Code of 1986 or is subject to the provisions of section 833 of the Internal Revenue Code of 1986, future amendments to those sections and the corresponding provisions of future internal revenue laws and is:".Amend sec. 15, page 8, line 32, by deleting "
3." and inserting "1.".Amend sec. 15, page 8, line 33, by deleting "
4." and inserting "2.".Amend sec. 15, page 8, line 34, by deleting "
5." and inserting "3.".Amend sec. 15, page 8, line 35, by deleting "
6." and inserting "4.".Amend sec. 16, page 9, line 12, by deleting:
"
a material amount of the assets," and inserting:"
5 percent or more of the admitted assets,".Amend sec. 16, page 9, line 14, after "
corporation" by inserting:"
, or 25 percent of the surplus to policyholders as of December 31 next preceding the transaction,".Amend sec. 16, page 9, lines 21 and 22, by deleting:
"
a material amount of the assets," and inserting:"
5 percent or more of the admitted assets,".Amend sec. 16, page 9, line 23, after "
service corporation" by inserting:"
, or 25 percent of the surplus to policyholders,".Amend sec. 17, page 9, line 27, by deleting "
16" and inserting "15".Amend sec. 17, page 9, line 35, by deleting:
"
14 to 28," and inserting:"
13 to 27,".Amend sec. 17, page 10, line 12, by deleting:
"
14 to 27," and inserting:"
13 to 26,".Amend sec. 17, page 10, line 13, by deleting:
"
14 to 27," and inserting:"
13 to 26,".Amend sec. 18, page 10, line 37, by deleting "
16" and inserting "15".Amend sec. 18, page 10, line 40, by deleting "
16" and inserting "15".Amend sec. 18, page 11, line 2, by deleting "
16" and inserting "15".Amend sec. 19, page 11, line 14, by deleting "
17" and inserting "16".Amend sec. 19, page 11, line 29, by deleting "
17" and inserting "16".Amend sec. 19, page 11, line 32, by deleting "
17" and inserting "16".Amend sec. 20, page 11, line 39, by deleting "
17" and inserting "16".Amend sec. 20, page 11, line 43, by deleting "
who".Amend sec. 20, page 12, line 1, by deleting "
reside".Amend sec. 21, page 13, line 8, by deleting "
16" and inserting "15".Amend sec. 21, page 13, line 14, by deleting "
16" and inserting "15".Amend sec. 21, page 13, line 19, by deleting "
22" and inserting "21".Amend sec. 21, page 13, line 22, by deleting "
16" and inserting "15".Amend sec. 21, page 13, line 28, by deleting "
persons" and inserting "individuals".Amend sec. 21, page 13, line 32, by deleting "
16" and inserting "15".Amend sec. 22, page 13, line 38, by deleting "
16" and inserting "15".Amend sec. 23, page 15, line 5, by deleting "
22" and inserting "21".Amend sec. 23, page 15, line 17, by deleting "
persons" and inserting "individuals".Amend sec. 23, page 15, line 19, by deleting "
persons" and inserting "individuals".Amend sec. 23, page 15, line 20, by deleting "
persons" and inserting "individuals".Amend sec. 23, page 15, line 23, by deleting "
persons" and inserting "individuals".Amend sec. 23, page 15, between lines 26 and 27, by inserting:
"
4. A charitable organization that receives charitable assets pursuant to this section shall place the assets in a trust fund and shall not expend more than 90 percent of the earnings on the corpus in a calendar year.5. A charitable organization that receives charitable assets pursuant to section 22 of this act must have a board of directors consisting of 11 members who are appointed by the governor from a list of 20 names submitted by the department of human resources. The term of six of the initial members of the board of directors must be 2 years, and the term of five of the initial members of the board of directors must be 4 years. After the initial terms, the term of each member of the board of directors is 4 years. After the initial appointments, the board of directors shall fill all vacancies occurring on the board in a timely manner. The membership of a board of directors must be diverse and may include, without limitation:
(a) Providers of health care from community, rural or institutional settings;
(b) Disabled persons;
(c) Representatives of the private sector;
(d) Interested residents; and
(e) Consumers of health care.
".Amend sec. 24, page 15, line 28, by deleting "
23" and inserting "22".Amend sec. 24, page 15, by deleting line 31 and inserting:
"
charitable activities. The charitable organization shall cause an audit to be performed annually by a certified public accounting firm that is independent of the charitable organization. The annual report and audit report are public records and must be".Amend sec. 24, page 15, by deleting lines 35 through 39.
Amend sec. 24, page 15, line 40, by deleting "
3." and inserting "2.".Amend sec. 24, page 15, line 41, by deleting "
23" and inserting "22".Amend sec. 24, page 16, line 3, by deleting "
4." and inserting "3.".Amend sec. 24, page 16, line 7, by deleting "
23" and inserting "22".Amend sec. 24, page 16, line 8, by deleting "
5." and inserting "4.".Amend sec. 24, page 16, line 12, by deleting "
23" and inserting "22".Amend sec. 24, page 16, line 14, by deleting "
6." and inserting "5.".Amend sec. 24, page 16, line 15, by deleting "
23" and inserting "22".Amend sec. 24, page 16, line 21, by deleting "
7." and inserting "6.".Amend sec. 24, page 16, line 23, by deleting "
23" and inserting "22".Amend sec. 25, page 16, line 28, by deleting:
"
14 to 27," and inserting:"
13 to 26,".Amend sec. 25, page 16, line 30, by deleting:
"
14 to 27," and inserting:"
13 to 26,".Amend sec. 25, page 16, line 32, by deleting:
"
14 to 27," and inserting:"
13 to 26,".Amend sec. 25, page 16, line 36, by deleting:
"
14 to 27," and inserting:"
13 to 26,".Amend sec. 25, page 17, line 4, by deleting the period and inserting:
"
and for all reasonable costs incurred by the attorney general in executing his duties pursuant to this section, including, without limitation, attorney’s fees.".Amend sec. 26, page 17, line 18, by deleting:
"
14 to 27," and inserting:"
13 to 26,".Amend sec. 27, page 17, line 28, by deleting "
16" and inserting "15".Amend sec. 28, page 17, line 38, by deleting "
16" and inserting "15".Amend sec. 29, page 18, line 4, by deleting:
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3 to 8," and inserting:"
4 to 9,".Amend the bill as a whole by deleting sec. 30 and renumbering sections 31 and 32 as sections 29 and 30.
Amend sec. 31, page 18, line 40, by deleting:
"
3 to 8," and inserting:"
4 to 9,".Amend sec. 32, page 19, by deleting lines 1 through 4 and inserting:
"Sec. 30. This act becomes effective upon passage and approval.".