AB7 - Revises provisions relating to employment. (BDR 53-170)

A.B. 7 - *AB7* ASSEMBLY BILL NO. 7–COMMITTEE ON COMMERCE AND LABOR (ON BEHALF OF THE EMPLOYMENT SECURITY DIVISION OF THE DEPARTMENT OF EMPLOYMENT, TRAINING AND REHABILITATION) PREFILED OCTOBER 28, 2026 ____________ Referred to Committee on Commerce and Labor SUMMARY—Revises provisions relating to employment. (BDR 53-170) FISCAL NOTE: Effect on Local Government: No. Effect on the State: No. Effect on the State Highway Fund: No. ~ EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. AN ACT relating to employment; requiring certain information to be included in work records of an employing unit; revising provisions governing the funding of certain employment training programs and job training programs; authorizing certain pupils to receive training through certain employment training programs and job training programs; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Existing law requires an employing unit to keep true and accurate work records 1 containing information as prescribed by the Administrator of the Employment 2 Security Division of the Department of Employment, Training and Rehabilitation. 3 (NRS 612.260) Section 1 of this bill requires such work records to include certain 4 specified information for each person who performs services for the employing 5 unit. 6 Existing law requires, with certain exceptions, each employer to make 7 payments, at the rate of .05 percent of the wages the employer pays, into the 8 Unemployment Compensation Administration Fund. (NRS 612.606) Existing law 9 authorizes the Administrator to use the money collected from such payments for 10 certain specified purposes, including: (1) establishing and administering an 11 employment training program that provides training to unemployed persons; and 12 (2) establishing or providing support for job training programs in the public and 13 – 2 – - *AB7* private sectors for the training, retraining or improvement of the skills of persons 14 employed in this State. (NRS 612.607) Sections 2 and 3 of this bill instead: (1) 15 provide for the use of such payments for the employment and training of eligible 16 pupils; and (2) authorize eligible pupils to receive training through either type of 17 program. Section 3 defines “eligible pupil” to mean a person enrolled in grades 6 to 18 12, inclusive, in a public or private school in this State. 19 THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. NRS 612.260 is hereby amended to read as follows: 1 612.260 1. Each employing unit shall keep true and accurate 2 work records [, containing such] for each person who performs 3 services for the employing unit. The records must include, without 4 limitation: 5 (a) The name and social security number of the person; 6 (b) The occupation or job title of the person; 7 (c) The hours worked by the person; 8 (d) The rate or rates of pay of the person; 9 (e) The total wages paid to the person; 10 (f) The amount of tips reported by the person to the employing 11 unit; and 12 (g) Any other information as prescribed by the Administrator . 13 [may prescribe. Such records] 14 2. The records required to be maintained by subsection 1 15 must be open to inspection and may be copied by the Administrator 16 or the Administrator’s authorized representatives or the Department 17 of Taxation at any reasonable time and as often as may be 18 necessary. 19 [2.] 3. The Administrator, the Board of Review, or any Appeal 20 Tribunal may require from any employing unit any sworn or 21 unsworn reports, with respect to persons employed by it, which the 22 Administrator or the Board of Review deems necessary for the 23 effective administration of this chapter. 24 [3.] 4. Except as limited by this subsection, the Administrator 25 may: 26 (a) Destroy any letter of the Division and any form, benefit 27 determination or redetermination, ruling, employer’s status or 28 contribution report, wage slip report, claim record, wage list or any 29 auxiliary computer file related thereto at the expiration of 4 years 30 after the record was originated or filed with the Division; or 31 (b) Destroy such records at any time after having microfilmed 32 them in the manner and on film or paper that complies with the 33 minimum standards of quality approved for such microfilmed 34 – 3 – - *AB7* records by the American National Standards Institute. The 1 microfilmed records must be retained for not less than 4 years. 2  This subsection does not apply to records pertaining to grants, 3 accounts or expenditures for administration, or to the records of the 4 Unemployment Compensation Administration Fund. 5 Sec. 2. NRS 612.606 is hereby amended to read as follows: 6 612.606 1. Except as otherwise provided in subsection 4, in 7 addition to any other contribution required by this chapter, each 8 employer shall make payments into the Unemployment 9 Compensation Administration Fund for the program for the 10 employment and training of unemployed persons , [and] persons 11 employed in this State and eligible pupils, as defined in NRS 12 612.607, at the rate of .05 percent of the wages the employer pays. 13 2. The interest and forfeit provisions of NRS 612.620 and 14 612.740, respectively, are inapplicable to the payments required by 15 this section. 16 3. In determining unemployment compensation contribution 17 rates assigned to employers pursuant to this chapter, payments paid 18 into the Unemployment Compensation Administration Fund for the 19 program for the employment and training of unemployed persons , 20 [and] persons employed in this State and eligible pupils, as defined 21 in NRS 612.607, pursuant to this section must remain separate from 22 any other contribution paid pursuant to this chapter and must not be 23 included in any manner in computing the contribution rates to be 24 assigned to employers under NRS 612.550. 25 4. The provisions of this section do not apply to an employer: 26 (a) Who has been assigned a contribution rate of 5.4 percent 27 pursuant to subsection 6 of NRS 612.550; or 28 (b) Who has elected to make reimbursement in lieu of 29 contributions pursuant to NRS 612.553. 30 Sec. 3. NRS 612.607 is hereby amended to read as follows: 31 612.607 1. All payments collected pursuant to NRS 612.606 32 must be deposited in the Unemployment Compensation 33 Administration Fund. At the end of each fiscal year, the State 34 Controller shall transfer to the Clearing Account in the 35 Unemployment Compensation Fund the amount by which 36 the unencumbered balance of the money deposited in the 37 Unemployment Compensation Administration Fund pursuant to this 38 subsection exceeds the amount of that money which the Legislature 39 has authorized for expenditure during the first 180 days of the 40 succeeding fiscal year. 41 2. Except for money transferred from the Unemployment 42 Compensation Administration Fund pursuant to subsection 1, the 43 Administrator may only expend the money collected for the 44 – 4 – - *AB7* employment and training of unemployed persons , [and] persons 1 employed in this State and eligible pupils to: 2 (a) Establish and administer an employment training program 3 which must foster job creation, minimize unemployment costs of 4 employers and meet the needs of employers for skilled workers by 5 providing training to unemployed persons [.] and eligible pupils. 6 (b) Establish or provide support for job training programs in the 7 public and private sectors for training, retraining or improving the 8 skills of persons employed in this State [.] and eligible pupils. 9 (c) Establish a program to provide grants of money to a 10 nonprofit private entity to be used to make loans of money to 11 veterans and senior citizens to start small businesses. The 12 Administrator shall adopt regulations establishing criteria and 13 standards relating to the eligibility for and use of any grants made 14 pursuant to this paragraph. 15 (d) Pay the costs of the collection of payments required pursuant 16 to NRS 612.606. 17 3. The money used for the program for the employment and 18 training of unemployed persons , [and] persons employed in this 19 State and eligible pupils must supplement and not displace money 20 available through existing employment training programs conducted 21 by any employer or public agency and must not replace, parallel, 22 supplant, compete with or duplicate in any way existing 23 apprenticeship programs approved by the State Apprenticeship 24 Council. 25 4. As used in this section: 26 (a) “Eligible pupil” means a person enrolled in grades 6 to 12, 27 inclusive, in a public or private school in this State. 28 (b) “Private school” has the meaning ascribed to it in 29 NRS 394.103. 30 (c) “Public school” has the meaning ascribed to it in 31 NRS 385.007. 32 (d) “Senior citizen” means a person who is domiciled in this 33 State and is 62 years of age or older. 34 [(b)] (e) “Small business” means a business conducted for profit 35 which: 36 (1) Employs 50 or fewer full-time employees; and 37 (2) Has gross annual sales of less than $5,000,000. 38 Sec. 4. This act becomes effective on July 1, 2027. 39 H