AB 340 — Directs the Legislative Commission to appoint a committee to conduct an interim study related to the economic impact of administrative regulations. (BDR S-929)

EXEMPT (Reprinted with amendments adopted on April 19, 2021) FIRST REPRINT A.B.

340–ASSEMBLYMAN M ATTHEWS M ARCH 19, 2021 ____________ Referred to Committee on Government Affairs SUMMARY—ProvidesSUMMARY—Directs for the reviewLegislative ofCommission certainto administrativeappoint regulationsa bycommittee to conduct an interim study related to the Legislature.economic impact of administrative regulations.

(BDR 18-929)S-929) FISCAL NOTE:

EffectEffEffect on Localthe Government:State:

No.Yes.No.

Effect on the State:

Yes.

requiringdirecting agenciesthe Legislative Commission to determineappoint a committee to conduct an interim study related to the economic impact of proposedadministrative regulations;

prohibiting agencies from adopting certain regulations that will have an economic impact without legislative and executive approval;

LegislativeLegExisting Counsel’slaw Digest:authorizes agencies to adopt reasonable regulations to carry out the functions assigned to the agency by law.

Existing(NRS law233B.040) authorizesThis agenciesbill todirects adoptthe reasonableLegislative regulationsCommission to carryappoint outa thecommittee functionsto assignedconduct toan interim study concerning the agencyeconomic byimpact law.of administrative regulations.

(NRSTHE 233B.040)PEOPLE SectionOF 2THE ofSTATE thisOF billNEVADA, economicREPRESENTED impactIN ofSENATE theAND proposedASSEMBLY, regulationDO isENACT $10,000,000AS orFOLLOWS: more.

Section 1 ofe this bill requires an agency to determine the economic impact of a proposed regulation, which includes the costs to implement the proposed regulation and any costs reasonably expected to be incurred or passed on to local governments, businesses and any other person.

Section 1 also provides that if the economic impact of the proposed regulation is $10,000,000 or more, the agency must submit theSection 3 of this bill makes conforming changes to authorize the Director of the Office of Finance to request as a legislative measure necessary to implement the budget proposed by the Governor and provide for the fiscal management of the State any proposed regulation which an agency has determined will have an economic impact of $10,000,000 or more.

- *AB340* – 2 – THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Chapter(Deleted 233B of NRS is hereby amended by addingamendment.) theretoSec. a new section to read as follows:

1.

In addition to the requirements of NRS 233B.0608 and 233B.0609, before conducting a workshop for a proposed regulation pursuant to NRS 233B.061, an agency shall determine the estimated economic impact of the proposed regulation.

The economic impact must, without limitation:

(a) Be expressed as a single dollar figure.

(b) Include the costs for the agency to implement the proposed regulation and the costs that are reasonably expected to be incurred by or passed along to businesses, local governments and any other person, which may include any economic burden imposed on small businesses, as determined by the agency pursuant to NRS 233B.0608.

If(Deleted theby agencyamendment.) determinesSec. that the estimated economic impact of the proposed regulation is $10,000,000 or more, the agency:

(a) May not adopt the proposed regulation;

and (b) Shall submit the proposed regulation to the Director of the Office of Finance as a legislative measure for the approval of the Legislature and the Governor pursuant to the provisions of chapter 218D of NRS.

Sec.

2.

NRS 233B.040 is hereby amended to read as follows:

233B.040 1.

[To] Except as otherwise provided in subsection 2 and section 1 of this act, to the extent authorized by the statutes applicable to it, each agency may adopt reasonable regulations to aid it in carrying out the functions assigned to it by law and shall adopt such regulations as are necessary to the proper the provisions of this chapter, the following regulations have theith force of law and must be enforced by all peace officers:

(a) The Nevada Administrative Code;

and (b) Temporary and emergency regulations.

 In every instance, the power to adopt regulations to carry out a particular function is limited by the terms of the grant of authority pursuant to which the function was assigned.

2.

An agency may not adopt a proposed regulation if the agency determines, pursuant to section 1 of this act, that the proposed regulation will have an economic impact of $10,000,000 or more.

Every(Deleted regulation adopted by anamendment.) agencySec. must include:

-3.5. *AB340* – 3 – (a) A citation of the authority pursuant to which it, or any part of it, was adopted;

and1. (b) The address of the agency and, to the extent not elsewhere provided in the regulation, a brief explanation of the procedures for obtaining clarification of the regulation or relief from the strict application of any of its terms, if the agency is authorized by a specific statute to grant such relief, or otherwise dealing with the agency in connection with the regulation.

[3.]The 4.Legislative Commission shall appoint a committee to conduct an interim study concerning the economic impact to this State of administrative regulations.

An agency may adopt by reference in a regulation material published by another authority in book or pamphlet form if:

(a) It files one copy of the publication with the Secretary of State and one copy with the State Library, Archives and Public Records Administrator, and makes at least one copy available for public inspection with its regulations;