Senate Amendment to Senate Bill No. 374 (BDR 53-1171)
Proposed by: Committee on Commerce and Labor
Amendment Box:
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 deleting section 1 and adding a new section designated section 1, following the enacting clause, to read as follows:
"Section 1. Chapter 616B of NRS is hereby amended by adding thereto a new section to read as follows:
A person shall not solicit or recruit an employer to join an association of self-insured public or private employers unless he is:
1. If the association is an association of self-insured private employers, an employee of the bona fide trade association to which the members of the association belong;
2. An employee of the administrator of the association of self-insured public or private employers;
3. An employee of a member of the association of self-insured public or private employers; or
4. A licensed insurance agent or broker.
".Amend the bill as a whole by renumbering sections 2 and 3 as sections 5 and 6 and adding new sections designated sections 2 through 4, following section 1, to read as follows:
"Sec. 2. NRS 616B.383 is hereby amended to read as follows:
2. A solicitor]
Sec. 3.
NRS 616B.425 is hereby amended to read as follows:2. If the commissioner determines that an association or a member of the association has violated an order to cease and desist, the commissioner may impose an administrative fine of not more than $10,000 for each violation of the order, not to exceed an aggregate amount of $100,000, or withdraw the certificate of the association, or both.
Sec. 4. NRS 616B.428 is hereby amended to read as follows:
2. The commissioner may withdraw the certificate of an association of self-insured public or private employers if:
(a) The association’s certificate was obtained by fraud;
(b) The application for certification contained a material misrepresentation;
(c) The association is found to be insolvent;
(d) The association fails to have five or more members;
(e) The association fails to pay the costs of any examination or any penalty, fee or assessment required by the provisions of chapters 616A to 616D, inclusive, of NRS;
(f) The association fails to comply with any of the provisions of this chapter or chapter 616A, 616C or 616D of NRS, or any regulation adopted pursuant thereto;
(g) The association fails to comply with any order of the commissioner within the time prescribed by the provisions of chapters 616A to 616D, inclusive, of NRS or in the order of the commissioner; or
(h) The association or its third-party administrator misappropriates, converts, illegally withholds or refuses to pay any money to which a person is entitled and that was entrusted to the association in its fiduciary capacity.
3. If the commissioner withdraws the certification of an association of self-insured public or private employers, each employer who is a member of the association remains liable for his obligations incurred before and after the order of withdrawal.
4. Any employer who is a member of an association whose certification is withdrawn shall, on the effective date of the withdrawal, qualify as an employer pursuant to NRS 616B.650.".
Amend sec. 2, page 2, by deleting lines 25 and 26 and inserting:
"Sec. 5. NRS 616A.315, 616B.374, 616B.377 and 616B.380 are hereby repealed.".
Amend the leadlines of repealed sections by deleting the leadlines of NRS 616B.371 and 616B.383.
Amend the title of the bill by deleting the first through fifth lines and inserting:
"AN ACT relating to associations of self-insured public and private employers; prohibiting persons from soliciting memberships for an association except under certain circumstances; requiring an association to provide to the commissioner of insurance certain documents relating to solicitation of memberships for an association; eliminating the requirement that a person".