Provides for the review of certain regulations by the Legislature. (BDR 18-882)

A.B. 120

- *AB120*

ASSEMBLY BILL NO. 120–ASSEMBLYMEMBER KASAMA

PREFILED JANUARY 24, 2025
____________

Referred to Committee on Government Affairs

SUMMARY—Provides for the review of certain regulations by the
Legislature. (BDR 18-882)

FISCAL NOTE: Effect on Local Government: No.
Effect on the State: Yes.

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

AN ACT relating to administrative regulations; requiring an agency
of the Executive Department of the State Government to
determine the economic impact of a proposed regulation
before conducting a workshop ; prohibiting such an
agency from adopting certain regulations that have certain
estimated economic impact without legislative and
executive approval; and providing other matters properly
relating thereto.
Legislative Counsel’s Digest:
Existing law authorizes, under certain circumstances, an agency in the 1
Executive Department of the State Government to adopt reasonable regulations to 2
carry out the functions assigned to the agency by law. (NRS 233B.040) Section 2 3
of this bill pr ohibits such an agency from adopting a proposed regulation if the 4
agency determines that the economic impact of the proposed regulation is $500,000 5
or more. Section 1 of this bill requires such an agency, before conducting a 6
regulation workshop, to determine the estimated economic impact of the proposed 7
regulation, which includes the costs to implement the proposed regulation and any 8
costs reasonably expected to be incurred or passed on to businesses, local 9
governments and any other person. Section 1 provides that if th e estimated 10
economic impact of the proposed regulation is $500,000 or more, the agency must 11
submit the proposed regulation as a legislative measure for the approval of the 12
Legislature and the Governor. 13
Section 3 of this bill makes conforming changes to authorize the Director of 14
the Office of Finance to request as a legislative measure necessary to implement the 15
budget proposed by the Governor and to provide for the fiscal management of the 16
State any proposed regulation which an agency has determined has an estimated 17
economic impact of $500,000 or more. 18

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THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 233B of NRS is hereby amended by adding 1
thereto a new section to read as follows: 2
1. In addition to the requirements of NRS 233B.0608 and 3
233B.0609, before conducting a workshop for a proposed 4
regulation pursuant to NRS 233B.061, an agency shall determine 5
the estimated economic impact of the proposed regulation. The 6
economic impact must, without limitation: 7
(a) Be expressed as a single dollar figure. 8
(b) Include the costs for the agency to implement the proposed 9
regulation and the costs that are reasonably expected to be 10
incurred by or passed along to businesses, local governments and 11
any other person, which may include any economic burden 12
imposed on small businesses , as determined by the agency 13
pursuant to NRS 233B.0608. 14
2. If the agency determines that the estimated economic 15
impact of the proposed regulation is $500,000 or mor e, the 16
agency: 17
(a) May not adopt the proposed regulation; and 18
(b) Shall submit the proposed regulation to the Director of the 19
Office of Finance as a legislative measure for the approval of the 20
Legislature and the Governor pursuant to the provisions of 21
chapter 218D of NRS. 22
Sec. 2. NRS 233B.040 is hereby amended to read as follows: 23
233B.040 1. [To] Except as otherwise provided in 24
subsection 2 and section 1 of this act, to the extent authorized by 25
the statutes applicable to it, each agency may adopt reasonable 26
regulations to aid it in carrying out the functions assigned to it by 27
law and shall adopt such regulations as are necessary to the proper 28
execution of those functions. If adopted and filed in accordance with 29
the provisions of this chapter, the following regulations have the 30
force of law and must be enforced by all peace officers: 31
(a) The Nevada Administrative Code; and 32
(b) Temporary and emergency regulations. 33
 In every instance, the power to adopt regulations to carry out a 34
particular function is limited by the terms of the grant of authority 35
pursuant to which the function was assigned. 36
2. An ag ency may not adopt a proposed regulation if the 37
agency determines, pursuant to section 1 of this act, that the 38
proposed regulation has an estimated economic impact of 39
$500,000 or more. 40
3. Every regulation adopted by an agency must include: 41

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(a) A citation of the authority pursuant to which it, or any part of 1
it, was adopted; and 2
(b) The address of the agency and, to the extent not elsewhere 3
provided in the regulation, a brief explanation of the procedures for 4
obtaining clarification of the regulation or relief from the strict 5
application of any of its terms, if the agency is authorized by a 6
specific statute to grant such relief, or otherwise dealing with th e 7
agency in connection with the regulation. 8
[3.] 4. An agency may adopt by reference in a regulation 9
material published by another authority in book or pamphlet form if: 10
(a) It files one copy of the publication with the Secretary of 11
State and one copy with the State Library, Archives and Public 12
Records Administrator, and makes at least one copy available for 13
public inspection with its regulations; and 14
(b) The reference discloses the source and price for purchase of 15
the publication. 16
 An agency shall not attempt to incorporate any other material in a 17
regulation by reference. 18
[4. An] 19
5. Except as otherwise provided in subsection 2 and section 1 20
of this act, an agency shall adopt a proposed regulation not later 21
than 2 years after the date on which the proposed regulation is 22
submitted to the Legislative Counsel pursuant to subsection 1 of 23
NRS 233B.063. If an agency does not adopt a proposed regula tion 24
within the time prescribed by this subsection, the executive head of 25
the agency shall appear personally before the Legislative 26
Commission and explain why the proposed regulation has not been 27
adopted. 28
Sec. 3. NRS 218D.175 is hereby amended to read as follows: 29
218D.175 1. Except as otherwise provided in subsection 2, 30
for a regular session, the Governor or the Governor’s designated 31
representative may request the drafting of not more than 110 32
legislative measures which h ave been approved by the Governor or 33
the Governor’s designated representative on behalf of the officers, 34
agencies, boards, commissions, departments and other units of the 35
Executive Department. The requests must be submitted to the 36
Legislative Counsel on or before August 1 preceding the regular 37
session. 38
2. The Governor or the Governor’s designated representative 39
may request at any time before or during a regular session, without 40
limitation, the drafting of as many legislative measures as are 41
necessary to c arry out the provisions of NRS 288.400 to 288.630, 42
inclusive. 43
3. The Director of the Office of Finance may request on or 44
before the 19th day of a regular session, without limitation, the 45

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drafting of as many legislative measures as are necessary to 1
implement the budget proposed by the Governor and to provide for 2
the fiscal management of the State [.] , including, without 3
limitation, the submission of a legislative measure to enact a 4
proposed regulation that an agency has determined , pursuant to 5
section 1 of this act , has an estimated economic impact of 6
$500,000 or more. In addition to the requests otherwise authorized 7
pursuant to this section, the Governor may request the drafting of 8
not more than 5 legislative measures on or before the 19th day of a 9
regular session to propose the Governor’s legislative agenda. 10
4. For a regular session, the following constitutional officers 11
may request, without the approva l of the Governor or the 12
Governor’s designated representative, the drafting of not more than 13
the following numbers of legislative measures, which must be 14
submitted to the Legislative Counsel on or before September 1 15
preceding the regular session: 16
17
Lieutenant Governor ............................................................... 3 18
Secretary of State .................................................................... 6 19
State Treasurer ........................................................................ 5 20
State Controller ....................................................................... 5 21
Attorney General .................................................................. 20 22
23
5. In addition to the requests authorized by subsection 4, the 24
Secretary of State may request, without the approval of the 25
Governor or the Governor’s designated representative, the drafting 26
of not more than 2 legislative measures, which must be submitted to 27
the Legislative Counsel on or before December 31 preceding the 28
regular session. 29
6. Each request made pursuant to this section must be on a 30
form prescribed by the Legislative Counsel. The legislative 31
measures requested pursuant to subsections 1 and 4 must be prefiled 32
on or before the third Wednesday in November preceding the 33
regular session. A legislative measure that is not prefiled on or 34
before that day shall be deemed withdrawn. 35
Sec. 4. This act becomes effective on July 1, 2025. 36

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