AB423 - Revises provisions relating to business. (BDR 53-852)

EXEMPT (Reprinted with amendments adopted on April 18, 2025) FIRST REPRINT A.B. 423 - *AB423_R1* ASSEMBLY BILL NO. 423–ASSEMBLYMEMBERS COLE, KASAMA; DELONG, GURR, HAFEN, HANSEN AND HIBBETTS MARCH 13, 2025 ____________ Referred to Committee on Commerce and Labor SUMMARY—Revises provisions relating to business. (BDR 53-852) FISCAL NOTE: Effect on Local Government: May have Fiscal Impact. Effect on the State: Yes. ~ EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. AN ACT relating to business; revising provisions relating to contributions into the Unemployment Compensation Fund; providing an exemption for certain persons from paying certain fees for an application and first renewal of a state business license; establishing requirements relating to the review and approval of an application to modify a facility for personal wireless service by certain land use authorities; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Under the Unemployment Compensation Law: (1) with certain exceptions, 1 employers and employing units that employ one or more persons are required to 2 pay contributions into the Unemployment Compensation Fund at a certain rate of 3 the wages paid by the employer for employment; and (2) persons who have become 4 unemployed and comply with certain requirements are eligible for benefits from the 5 Unemployment Compensation Fund in an amount based on the person’s previous 6 wages for employment. (Chapter 612 of NRS) Existing law authorizes certain 7 employers to elect to reimburse the Unemployment Compensation Fund for 8 benefits paid to their former employees rather than making quarterly contributions 9 to the Unemployment Compensation Fund. (NRS 612.553) Sections 3.3-3.7 of this 10 bill authorize an employer or employing unit that employs only one person who 11 owns the organization, trade or business of the employer or employing unit or 12 employer or employing unit that employs not more than two persons who share a 13 familial relationship within the first degree of consanguinity who own the 14 organization, trade or business of the employer or employing unit to make such an 15 election. 16 Existing law requires a person who applies for a state business license or the 17 renewal of a state business license to pay a fee of $200 or, for certain corporations, 18 – 2 – - *AB423_R1* $500. (NRS 76.100, 76.130) Section 6 of this bill exempts certain persons from 19 paying a fee for an initial application for a state business license and the first 20 renewal of the state business license if the person: (1) does not qualify for certain 21 existing tax abatements and partial tax abatements; or (2) attests that the business 22 will employ a certain number of full-time employees in the county or city of the 23 place of business by the eighth calendar quarter after the initial application fee is 24 waived or will make a certain amount of capital investment in the State not later 25 than 2 years after the initial application fee is waived. Upon the second renewal of a 26 state business license, section 6 requires the Secretary of State to review the 27 records of the business to verify that the business met such criteria and if the 28 business did not, require the person to pay the fees that were waived. 29 Sections 7 and 8 of this bill provide that the exemption provided in section 6 is 30 an exception to the requirement to pay a fee for an application and renewal of a 31 state business license. 32 Existing law requires a land use authority with jurisdiction over an application 33 to construct a facility for personal wireless service to establish procedures and 34 standards for the review and approval of such an application. (NRS 707.575) 35 Section 10 of this bill establishes requirements relating to the review of an 36 application to modify a facility for personal wireless service by a land use authority 37 with jurisdiction over the application. 38 Section 11 of this bill applies certain existing definitions relating to facilities 39 for personal wireless service to section 10. Section 12 of this bill requires that a 40 denial of an application to modify a facility for personal wireless service be in 41 writing. 42 THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. (Deleted by amendment.) 1 Sec. 2. (Deleted by amendment.) 2 Sec. 3. (Deleted by amendment.) 3 Sec. 3.3. NRS 612.553 is hereby amended to read as follows: 4 612.553 1. For the purposes of this section: 5 (a) “Indian tribe” includes any entity described in subsection 10 6 of NRS 612.055. 7 (b) “Nonprofit organization” means any entity described in 8 subsection 1 of NRS 612.121. 9 (c) “Political subdivision” means any entity described in 10 subsection 9 of NRS 612.055. 11 2. Any nonprofit organization, political subdivision , employer 12 who has in its employ only one person who is the owner or sole 13 shareholder of the organization, trade or business, employer who 14 has in its employ not more than two persons who share a familial 15 relationship within the first degree of consanguinity who are 16 collectively the owners or sole shareholders of the organization, 17 trade or business or Indian tribe which is subject to this chapter: 18 (a) Shall pay contributions to the Unemployment Compensation 19 Fund in the manner provided in NRS 612.535 to 612.550, inclusive, 20 unless it elects, in accordance with this section, to pay into the 21 – 3 – - *AB423_R1* Unemployment Compensation Fund, in lieu of contributions, as 1 reimbursement an amount equivalent to the amount of regular 2 unemployment compensation benefits and one-half of the extended 3 benefits paid to claimants that is attributable to wages paid, except 4 that after December 31, 1978, a political subdivision, and after 5 December 21, 2000, an Indian tribe, shall reimburse an amount 6 equal to the regular unemployment compensation benefits and all of 7 the extended benefits. An Indian tribe may elect to become liable for 8 payments by way of reimbursement in lieu of contributions for the 9 tribe as a whole, or for any political subdivision, subsidiary, wholly 10 owned business, or any combination thereof. The amount of benefits 11 payable by each employer who elects to make payments by way of 12 reimbursement in lieu of contributions must be an amount which 13 bears the same ratio to the total benefits paid to a person as the total 14 base-period wages paid to that person by the employer bear to the 15 total base-period wages paid to that person by all of the person’s 16 base-period employers. Two or more employers who have become 17 liable for payments by way of reimbursement in lieu of 18 contributions may file a joint application, in accordance with 19 regulations of the Administrator, for the establishment of a group 20 account for the purpose of sharing the cost of benefits paid that are 21 attributable to service in the employ of such employers. 22 (b) May elect to become liable for payments by way of 23 reimbursement in lieu of contributions for a period of not less than 4 24 consecutive calendar quarters beginning with the first day of the 25 calendar quarter on which it became subject to this chapter by filing 26 a written notice with the Administrator not later than 30 days 27 immediately following the date of the determination that it is subject 28 to this chapter. The organization remains liable for payments by way 29 of reimbursement in lieu of contributions until it files with the 30 Administrator a written notice terminating its election not later than 31 30 days before the beginning of the taxable year for which the 32 termination is first effective. 33 3. Any nonprofit organization, political subdivision , employer 34 who has in its employ only one person who is the owner or sole 35 shareholder of the organization, trade or business, employer who 36 has in its employ not more than two persons who share a familial 37 relationship within the first degree of consanguinity who are 38 collectively the owners or sole shareholders of the organization, 39 trade or business or Indian tribe which is paying contributions as 40 provided in NRS 612.535 to 612.550, inclusive, may change to a 41 reimbursement-in-lieu-of-contributions basis by filing with the 42 Administrator not later than 30 days before the beginning of any 43 taxable year a written notice of its election to become liable for 44 payments by way of reimbursements in lieu of contributions. The 45 – 4 – - *AB423_R1* election is not terminable by the organization for that and the next 1 taxable year. 2 4. The Administrator may for a good cause extend the period in 3 which a notice of election or a notice of termination must be filed 4 and may permit an election to be retroactive, but not any earlier than 5 with respect to benefits paid after December 31, 1970, for a 6 nonprofit organization, December 31, 1976, for a political entity, or 7 December 21, 2000, for an Indian tribe. 8 5. The Administrator shall notify each nonprofit organization, 9 political subdivision , employer who has in its employ only one 10 person who is the owner or sole shareholder of the organization, 11 trade or business, employer who has in its employ not more than 12 two persons who share a familial relationship within the first 13 degree of consanguinity who are collectively the owners or sole 14 shareholders of the organization, trade or business and Indian tribe 15 of any determination which the Administrator may make of its 16 status as an employer and of the effective date of any election which 17 it makes and of any termination of such election. The 18 Administrator’s determination is subject to reconsideration, petitions 19 for hearing and judicial review in accordance with the provisions of 20 this chapter. 21 6. The amount of reimbursement in lieu of contributions due 22 from each employing unit which elects to make reimbursement in 23 lieu of contributions must be determined by the Administrator as 24 soon as practicable after the end of each calendar quarter or at the 25 end of any other period as determined by the Administrator. The 26 Administrator shall bill each employing unit which makes 27 reimbursement in lieu of contributions for an amount determined 28 pursuant to paragraph (a) of subsection 2. Amounts due under this 29 subsection must be paid not later than 30 days after a bill is mailed 30 to the last known address of the employing unit or electronically 31 transmitted to the employing unit. If payment is not made on or 32 before the date due and payable, the whole or any part thereafter 33 remaining unpaid bears interest at the rate of one-half percent per 34 month or fraction thereof, from and after the due date until payment 35 is received by the Administrator. The amount of payments due, but 36 not paid, may be collected by the Administrator, together with 37 interest and penalties, if any, in the same manner and subject to the 38 same conditions as contributions due from other employers. The 39 amount due specified in any bill from the Administrator is 40 conclusive and binding on the employing unit, unless not later than 41 15 days after the bill was mailed to its last known address or 42 electronically transmitted to it, the employing unit files an 43 application for redetermination. A redetermination made under this 44 subsection is subject to petition for hearing and judicial review in 45 – 5 – - *AB423_R1* accordance with the provisions of this chapter. Payments made by 1 any nonprofit organization, political subdivision , employer who has 2 in its employ only one person who is the owner or sole shareholder 3 of the organization, trade or business, employer who has in its 4 employ not more than two persons who share a familial 5 relationship within the first degree of consanguinity who are 6 collectively the owners or sole shareholders of the organization, 7 trade or business or Indian tribe under the provisions of this section 8 must not be deducted, in whole or in part, from the wages of any 9 person employed by that organization. 10 7. The Administrator shall: 11 (a) Suspend the election of an Indian tribe to become liable for 12 payments by way of reimbursement in lieu of contributions if the 13 tribe fails to make payment, together with interest and penalties, if 14 any, within 90 days after the tribe receives a bill from the 15 Administrator. 16 (b) Require an Indian tribe whose election to become liable for 17 payments by way of reimbursement in lieu of contributions is 18 suspended pursuant to paragraph (a) to pay contributions as set forth 19 in NRS 612.535 to 612.550, inclusive, for the following taxable year 20 unless the Administrator receives its payment in full before the 21 Administrator computes the contribution rates for that year. 22 (c) Reinstate the election of an Indian tribe to become liable for 23 payments by way of reimbursement in lieu of contributions that is 24 suspended pursuant to paragraph (a) if the tribe: 25 (1) Has paid all contributions pursuant to NRS 612.535 to 26 612.550, inclusive, including interest and penalties, for not less than 27 1 year; and 28 (2) Has no unpaid balance owing to the Administrator for 29 any contribution, payment in lieu of contributions, penalty or 30 interest. 31 8. Benefits are payable on the basis of employment to which 32 this section applies, in the same amount, on the same terms and 33 subject to the same conditions as benefits payable on the basis of 34 other employment subject to this chapter. 35 9. In determining contribution rates assigned to employers 36 under this chapter, the payrolls of employing units liable for 37 payments in lieu of contributions must not be included in computing 38 the contribution rates to be assigned to employers under this chapter. 39 The reimbursement in lieu of contributions paid by or due from such 40 employing units must be included in the total assets of the fund in 41 the same manner as contributions paid by other employers. 42 10. The provisions of NRS 612.550 do not apply to employers 43 who elect reimbursement in lieu of contributions. 44 – 6 – - *AB423_R1* 11. Except as inconsistent with the provisions of this section, 1 the provisions of this chapter and regulations of the A [Text truncated for display. Full text available on LegiScan.]