AB 143 — Creates a Legislative Committee on Tax Expenditures and Incentives for Economic Development. (BDR 17-807)

(Reprinted with amendments adopted on April 11, 2017) FIRST REPRINT A.B.

Section 5 of this bill creates the Legislative Committee on Tax Expenditures and Incentives for Economic Development and prescribes the appointment of itsitses membership.

Section 6 of this bill sets forth requirements for meetings of the ComExistingCommittee law requires the Board of Economic Development to review and evaluate all programs of economic development in Nevada and to make recommendations to the Legislaturecompensation for legislation to improve the effectiveness of thoseits programsmembers. in implementing the State Plan for Economic Development.

(NRSExisting 231.037)law Sectionrequires 7the Board of thisEconomic billDevelopment requiresto thereview Legislativeand Committeeevaluate onall Taxprograms incentivesof for economic development in thisNevada State and provideto themake Legislaturethose withprograms ain reportimplementing concerningthe itsState activities.Plan for Economic Development.

(NRSess of 231.037) Section 87 of this bill authorizesrequires the Legislative Committee toon evaluate,Tax reviewExpenditures and commentIncentives onfor taxEconomic expendituresDevelopment to identify and toevaluate makeall recommendationsincentives for theeconomic modificationdevelopment orin eliminationthis ofState aand taxprovide expenditurethe orLegislature incentivewith fora economicreport development.concerning its activities.

Section 8 of this bill authorizes the Committee to evaluate, review and comment on tax expenditures and to make recommendations economic development.ification or elimination of a tax expenditure or incentive for - *AB143**AB143_R1* – 2 – THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

If a vacancy occurs in the office of Chair or Vice Chair, the vacancy - *AB143**AB143_R1* – 3 – must be filled in the same manner as the original selection for the remainder of the unexpired term.

- *AB143**AB143_R1* – 4 – 4.

(e) The impact of the incentive for economic anddevelopment fiscalon impactthe revenues of theand incentive,services including,provided withoutby limitation:local governments.

(f) The economic and fiscal impact of the incentive for economic development, including, without limitation:

(2) The results of the incentive for the state economy,and local economies, including, without limitation, both positive direct and indirect impacts and any negative impacts on businesses in this State;

(f)(g) Any other matters that, in the determination of the Committee, concern incentives for economic development in this State.

On or before January 15 of each odd-numbered year, submit to the Director of the Legislative Counsel Bureau for transmittal to the Legislature a report concerning the activities of the Committee during the applicable legislative interim.

- *AB143_R1* – 5 – (e) Whether there are other tax expenditures in this State that have the same or a similar purpose, intent or goal as the tax expenditure being reviewed and the manner in which the two tax expenditures are coordinated, including, without limitation, - *AB143* – 5 – whether the coordination between the two tax expenditures could be improved or if there are any redundancies that could be eliminated.

(g) The cost of the tax expenditure, including, without limitation, administrative costs and lost revenue,revenue of the State and local governments, and an evaluation of the extent to which the tax expenditure is a cost-cost-effective effective use of resources compared to other methods of accomplishing the same purpose or goal.

- *AB143_R1* – 6 – 8.

Make recommendations to the Legislature concerning the addition, elimination or modification of tax expenditures and incentives for economic development.

-approval.0. *AB143* – 6 – Sec.

10.This act becomes effective upon passage and H - *AB143_R1*

This act becomes effective upon passage and approval.

H - *AB143*