SB 261 — Revises provisions relating to local governments. (BDR 19-793)

(ReprintedSenate withBill amendmentsNo. adopted on April 17, 2023) FIRST REPRINT S.B.

261261–Senator SENATENeal BCHAPTER.......... ILLN O.

261–S ENATOR N EAL M ARCH 13, 2023 ____________ Referred to Committee on Government Affairs SUMMARY—Revises provisions relating to local governments.

(BDR 19-793) FISCAL NOTE:

Effect on Local Government:

May have Fiscal Impact.

Effect on the State:

No.

(NOTROEQUESTED BAFFECTELOCALEGOVERNMENT) ~ EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

requiring,requiring with certain exceptions, the governing body of a local government to hold ata least one workshop before the adoption of such rules;rules in certain circumstances;

Existing law requires that before a governing body of a local government adoptsburden upon a proposedbusiness ruleor thatdirectly isrestrict likelythe toformation, imposeoperation aor directexpansion andof significanta economicbusiness, burdenthe upongoverning abody business or directlyits restrictdesignee themust formation,notify operationtrade orassociations expansionor of owners and officers of businesses likely to be affected by the rule.

Section 4 also requires a governing body of a local government to maintain an electronic mailing list of local chambers of commerce, trade associations and owners and officers of businesses and totohambers - *SB261_R1* – 2 – update the list not later than January 31 of each year.

Section 4 further requires, with certain exceptions, that a governing body of a local government hold nota less than one workshop to solicit comments from persons on one or more general topics to be addressed in a proposed rule.rule upon the timely request of two or more local chambers of commerce or trade associations, or any combination thereof.

directExisting andlaw significantrequires economicthat burdenif upon a businessproposed orrule directlyis restrictdetermined theto alikely formation,impose operationa ordirect expansionand ofsignificant aeconomic business,burden theupon governinga bodybusiness or itsdirectly designeerestrict the must prepare a business impact statement which must be considered by thethets designee governing body at a public meeting held at least 10 calendar days before the meeting held to adopt the proposed rule.

(1) the total number of commercebusinesses andlikely tradeto associationsbe notifiedaffected ofby the proposed rulerule; pursuant to section of 4;

(2) a list of the chambers of commerce and trade associations notified of the proposed rule pursuant to section 4;

Existing law provides that any action of the governing body of a local government to adopt a proposed rule in violation of certain provisions of the Nevada Revised Statutes is void.

readopt(1) ordetermine amendwhether thea rulepetition objecting to which a businessrule has objected.merit;

(NRSor 237.100)ke(2) take action to Sectionreadopt 1or ofamend this bill revises the definitionrule of “business” to meanwhich any trade or occupation conducted for profit, regardless of whether the trade or occupation is a smallbusiness business.has objected.

(NRS 237.100) Section 21 of this bill revises the definition of “local“business” government” to mean any trade or occupation conducted for profit, regardless of whether the trade or occupation is a - 82nd Session (2023) – 2 – include a quasi-municipal agency, including a special improvement district, a municipalmunicipalnment” to utility and a regional transportation commission.

THEEXPLANATION PEOPLE– OFMatter THEin STATEbolded OFitalics NEVADA,is REPRESENTEDnew; IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Sectionmatter 1.between brackets [omitted material] is material to be omitted.

THE SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:D IN Section 1.

237.050 “Local government” means a political subdivision , other entity of this State [,] or a quasi-municipal agency, including,[including,] and includes, without limitation, a city, county, [health district,] irrigation district, local health district, municipal utility, regional transportation commission, special improvement district, water district or water conservancy district.

- *SB261_R1* – 3 – The governing body of a local government or its designee must notify chambers of commerce, trade associations or owners and officers of businesses which are likely to be affected by the proposed rule that they may submit data or arguments to the governing body or its designee as to whether the proposed rule will:

After the period for submitting data or arguments specified in the notification provided pursuant to subsection 1 has expired,expired [,] - 82nd Session (2023) – 3 – and, if applicable, after a workshop held pursuant to subsection 5, the governing body or its designee shall determine whether the proposed rule is likely to:

(a) Impose a direct and significant economic burden upon a business;bus(b) Directly restrict the formation, operation or expansion of a business.

or (b) Directly restrict the formation, operation or expansion of a business.

ExceptA as otherwise provided in subsection 6, a governing body of a local government shall hold nota less than one workshop to solicit comments from persons on one or more generallocal topicschambers of commerce or trade associations, or any or more combination thereof, submit a request for the holding of a workshop on the proposed rule to the governing body on or before the date by which data or arguments must be addressedreceived inon athe proposed rule.rule as specified in the notification provided pursuant to subsection 1.

The governing body or its designee must notify chambers of commerce, trade associations or owners and officers of businesses which are likely to be affected - *SB261_R1* – 4 – by the proposed rule of the date, time and location of the workshop.

Unless two or more local chambers of commerce or trade associations submit a request to hold a workshop to a governing body of a local government on or before the date by which data or arguments must be received as specified in the notification provided pursuant to subsection 1, a governing body of a local government may accept a report provided by a chamber of commerce, trade association or owner or officer of a business of the estimated effect of the proposed rule in lieu of holding a workshop pursuant to subsection 5.

The report must contain the estimated economic effect of the proposed rule on the businesses which it is to regulate, including, without limitation:

(a) Both adverse and beneficial effects;

and (b) Both direct and indirect effects.

7.

The governing body of a local government must provide notification pursuant to this section to each chamber of commerce - 82nd Session (2023) – 4 – and trade association by electronic mail regardless of whether the chamber of commerce or trade association has requested that it be placed on the electronic mailing list.

Nothing in this section prohibits the governing body from also providing notification pursuantpurSec. to this section by mail.

Sec.5.o tNRS 237.090 is hereby amended to read as follows:

5.