Revises provisions governing tax abatements for certain businesses. (BDR 32-282)

A.B. 77

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ASSEMBLY BILL NO. 77–COMMITTEE ON REVENUE

(ON BEHALF OF THE OFFICE OF ECONOMIC DEVELOPMENT
IN THE OFFICE OF THE GOVERNOR)

PREFILED NOVEMBER 20, 2024
____________

Referred to Committee on Revenue

SUMMARY—Revises provisions governing tax abatements for
certain businesses. (BDR 32-282)

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

~

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

AN ACT relating to taxation; revising criteria governing the
approval of an application for certain partial abatements
of taxes; authorizing the Office of Economic
Development to deny an application for certain partial
abatements of taxes if the Office determines that the
denial of an application is in the best interests of the State;
authorizing businesses that recycle certain materials or
produce certain fuels from recycled m aterials to apply to
the Office for a partial abatement of certain taxes on real
property; and providing other matters properly relating
thereto.
Legislative Counsel’s Digest:
Existing law authorizes a person who intends to locate or expand a business in 1
this State to apply to the Office of Economic Development for a partial abatement 2
of certain property taxes, business taxes and sales and use taxes. The Office is 3
required to approve an application for such a partial abatement if the Office 4
determines that the business applying for the partial abatement satisfies certain 5
criteria. (NRS 360.750) Section 2 of this bill revises one of the eligibility criteria 6
by requiring a business that is anticipated to have at least 500 full -time employees 7
on the payroll of the business within a certain period, rather than 50 such 8
employees, to comply with the requirement to have a policy for paid family and 9
medical leave for employees. Section 2 also removes a prohibition on the approval 10
of a partial abatement for an applicant who intends to expand a business and who 11
has already received a partial abatement for expanding that business, thereby 12

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authorizing a business to obtain a partial abatement for multiple expansions of a 13
business. (NRS 360.750) 14
Another eligibility criteria for a business to qualify for a partial abatement is 15
that the business offers primary jobs, which are jobs at a business location in this 16
State where at least half of the re venue generated at that business location is 17
derived from exports to locations outside of this State. ( NRS 360.750; NAC 18
231.363) Section 2 revises this dete rmination by authorizing the approval of a 19
partial abatement for a business that: (1) offers import substitution jobs, which are 20
generally defined as jobs at a business location in this State where certain goods or 21
services are manufactured, produced or so ld in this State and reduce the amount of 22
such goods or services imported into this State from outside this State; or (2) is a 23
provider of specialty health care or a provider of health care in a rural area, except 24
that the amount of the partial abatement i s greater for such providers who are 25
providers of services under Medicaid. Sections 1, 5 and 6 of this bill similarly 26
expand the eligibility criteria for certain partial abatements of taxes to authorize a 27
business to obtain such a partial abatement by offering import substitution jobs. 28
Sections 7, 8 and 9 of this bill revise reporting requirements relating to businesses 29
awarded partial abatements of taxes to include, in addition to information on 30
primary jobs, information on the number of import substitution jobs, jobs with a 31
provider of specialty health c are and jobs with a provider of health care in a rural 32
area. Section 10 of this bill expands eligibility for certain grants from the Office for 33
workforce tra ining programs to include programs providing training for import 34
substitution jobs and jobs in specialty health care or health care in a rural area. 35
Sections 2, 3 and 4 of this bill authorize the Office to deny a n application for a 36
partial abatement for a new or expanding business if the Office determines that 37
denying the application is in the best interests of the State. 38
Existing law authorizes the Office to approve a partial abatement from the taxes 39
imposed on real property for a business that: (1) either engages in the primary trade 40
of preparing, fabricating, manufacturing or otherwise processing raw material or an 41
intermediate product using a certain percentage of recycled material or includes as 42
a primary com ponent a facility for the generation of electricity from recycled 43
material; and (2) has as its primary purpose the conservation of energy or the 44
substitution of other sources of energy for fossil sources of energy. (NRS 45
701A.210) Section 11 of this bill authorizes the Office to grant such a partial 46
abatement of property taxes to a business that: (1) includes as a primary component 47
a facility for the producti on of biofuels, biomass or other primary fuels from 48
recycled material for use in the production of energy; or (2) primarily engages in 49
the recycling or repurposing of materials that were used to produce or store 50
renewable energy, including, without limitat ion, materials used in solar panels, or 51
waste materials resulting from the extraction of minerals. 52

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

Section 1. Chapter 360 of NRS is hereby amended by adding 1
thereto a new section to read as follows: 2
“Import substitution job” has the meaning ascribed to it in 3
NRS 360.750. 4
Sec. 2. NRS 360.750 is hereby amended to read as follows: 5
360.750 1. A person who intends to locate or expand a 6
business in this State may apply to the Office of Economic 7

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Development pursuant to this section for a partial abatement of one 1
or more of the taxes imposed on the: 2
(a) New business pursuant to chapter 361, 363B or 374 of NRS. 3
(b) Expanded business pursuant to chapter 361 or 363B of NRS 4
or a partial abatement of the local sa les and use taxes imposed on 5
the expanded business. As used in this paragraph, “local sales and 6
use taxes” means the taxes imposed on the gross receipts of any 7
retailer from the sale of tangible personal property sold at retail, or 8
stored, used or otherwis e consumed, in the political subdivision in 9
which the business is to be located or expanded, except the taxes 10
imposed by the Sales and Use Tax Act and the Local School 11
Support Tax Law. 12
2. The Office of Economic Development shall approve an 13
application fo r a partial abatement pursuant to this section if the 14
Office makes the following determinations: 15
(a) The business [offers] : 16
(1) Offers primary jobs or import substitution jobs or is a 17
provider of specialty health care or a provider of health care in a 18
rural area; and [is] 19
(2) Is consistent with: 20
[(1)] (I) The State Plan for Economic Development 21
developed by the Executive Director of the Office of Economic 22
Development pursuant to subsection 2 of NRS 231.053; and 23
[(2)] (II) Any guidelines adopted by the Executive Director 24
of the Office to implement the State Plan for Economic 25
Development. 26
(b) Not later than 1 year after the date on which the application 27
was received by the Office, the applicant has executed an agreement 28
with the Office which must: 29
(1) Comply with the requirements of NRS 360.755; 30
(2) State the date on which the abatement becomes effective, 31
as agreed to by the applicant and the Office, which must not be 32
earlier than the date on which the Office received the application 33
and not later than 1 year after the date on which the Office approves 34
the application; 35
(3) State that the business will, after the date on which the 36
abatement becomes effective, continue in operation in this State for 37
a period specified by the Office, which must be at least 5 years, and 38
will continue to meet the eligibility requirements set forth in this 39
subsection; 40
(4) State that the business will [offer] : 41
(I) Offer primary jobs [;] or import substitution jobs; or 42
(II) Be a provider of specialty health c are or a provider 43
of health care in a rural area; and 44

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(5) Bind the successors in interest of the business for the 1
specified period. 2
(c) The business is registered pursuant to the laws of this State 3
or the applicant commits to obtain a valid business lic ense and all 4
other permits required by the county, city or town in which the 5
business operates. 6
(d) Except as otherwise provided in subsection 4, 5 or 6, the 7
average hourly wage that will be paid by the business to its new 8
employees in this State is at le ast 100 percent of the average 9
statewide hourly wage as established by the Employment Security 10
Division of the Department of Employment, Training and 11
Rehabilitation on July 1 of each fiscal year. 12
(e) The business will, by the eighth calendar quarter follo wing 13
the calendar quarter in which the abatement becomes effective, offer 14
a health insurance plan for all employees that includes an option for 15
health insurance coverage for dependents of the employees, and the 16
health care benefits the business offers to i ts employees in this State 17
will meet the minimum requirements for health care benefits 18
established by the Office. 19
(f) Except as otherwise provided in this subsection and NRS 20
361.0687, if the business is a new business in a county whose 21
population is 100,000 or more or a city whose population is 60,000 22
or more, the business meets at least one of the following 23
requirements: 24
(1) The business will have 50 or more full -time employees 25
on the payroll of the business by the eighth calendar quarter 26
following the calendar quarter in which the abatement becomes 27
effective who will be employed at the location of the business in 28
that county or city until at least the date which is 5 years after the 29
date on which the abatement becomes effective. 30
(2) Establishing the b usiness will require the business to 31
make, not later than the date which is 2 years after the date on which 32
the abatement becomes effective, a capital investment of at least 33
$1,000,000 in this State in capital assets that will be retained at the 34
location of the business in that county or city until at least the date 35
which is 5 years after the date on which the abatement becomes 36
effective. 37
(g) Except as otherwise provided in NRS 361.0687, if the 38
business is a new business in a county whose population is les s than 39
100,000, in an area of a county whose population is 100,000 or more 40
that is located within the geographic boundaries of an area that is 41
designated as rural by the United States Department of Agriculture 42
and at least 20 miles outside of the geographic boundaries of an area 43
designated as urban by the United States Department of Agriculture, 44

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or in a city whose population is less than 60,000, the business meets 1
at least one of the following requirements: 2
(1) The business will have 10 or more full -time employees 3
on the payroll of the business by the eighth calendar quarter 4
following the calendar quarter in which the abatement becomes 5
effective who will be employed at the location of the business in 6
that county or city until at least the date which is 5 y ears after the 7
date on which the abatement becomes effective. 8
(2) Establishing the business will require the business to 9
make, not later than the date which is 2 years after the date on which 10
the abatement becomes effective, a capital investment of at least 11
$250,000 in this State in capital assets that will be retained at the 12
location of the business in that county or city until at least the date 13
which is 5 years after the date on which the abatement becomes 14
effective. 15
(h) If the business is an existin g business, the business meets at 16
least one of the following requirements: 17
(1) For a business in: 18
(I) Except as otherwise provided in sub-subparagraph (II), 19
a county whose population is 100,000 or more or a city whose 20
population is 60,000 or more, the business will, by the eighth 21
calendar quarter following the calendar quarter in which the 22
abatement becomes effective, increase the number of employees on 23
its payroll in that county or city by 10 percent more than it 24
employed in the fiscal year immediatel y preceding the fiscal year in 25
which the abatement becomes effective or by twenty -five 26
employees, whichever is greater, who will be employed at the 27
location of the business in that county or city until at least the date 28
which is 5 years after the date on w hich the abatement becomes 29
effective; or 30
(II) A county whose population is less than 100,000, an 31
area of a county whose population is 100,000 or more that is located 32
within the geographic boundaries of an area that is designated as 33
rural by the United States Department of Agriculture and at least 20 34
miles outside of the geographic boundaries of an area designated as 35
urban by the United States Department of Agriculture, or a city 36
whose population is less than 60,000, the business will, by the 37
eighth calendar quarter following the calendar quarter in which the 38
abatement becomes effective, increase the number of employees on 39
its payroll in that county or city by 10 percent more than it 40
employed in the fiscal year immediately preceding the fiscal year in 41
which the abatement becomes effective or by six employees, 42
whichever is greater, who will be employed at the location of the 43
business in that county or city until at least the date which is 5 years 44
after the date on which the abatement becomes effective. 45

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(2) The business will expand by making a capital investment 1
in this State, not later than the date which is 2 years after the date on 2
which the abatement becomes effective, in an amount equal to at 3
least 20 percent of the value of the tangible property posses sed by 4
the business in the fiscal year immediately preceding the fiscal year 5
in which the abatement becomes effective, and the capital 6
investment will be in capital assets that will be retained at the 7
location of the business in that county or city until a t least the date 8
which is 5 years after the date on which the abatement becomes 9
effective. The determination of the value of the tangible property 10
possessed by the business in the immediately preceding fiscal year 11
must be made by the: 12
(I) County assesso r of the county in which the business 13
will expand, if the business is locally assessed; or 14
(II) Department, if the business is centrally assessed. 15
(i) The applicant has provided in the application an estimate of 16
the total number of new employees which the business anticipates 17
hiring in this State by the eighth calendar quarter following the 18
calendar quarter in which the abatement becomes effective if the 19
Office approves the application. 20
(j) Except as otherwise provided in subsection 3, if the business 21
[will] is anticipated to have at least [50] 500 full-time employees on 22
the payroll of the business by the eighth calendar quarter following 23
the calendar quarter in which the abatement becomes effective, the 24
business, by the earlier of the eighth calendar quarter following 25
the calendar quarter in which t he abatement becomes effective or 26
the date on which the business has at least [50] 500 full-time 27
employees on the payroll of the business, has a policy for paid 28
family and medical leave and agrees that all employees who have 29
been employed by the business for at least 1 year will be eligible for 30
at least 12 weeks of paid family and medical leave at a rate of at 31
least 55 percent of the regular wage of the employee. The business 32
[will] must agree in writing that if the Office approves the 33
application, the business will not: 34
(1) Prohibit, interfere with or otherwise discourage an 35
employee from taking paid family and medical leave [:] under a 36
policy for paid family and medical leave: 37
(I) For any reason authorized pursuant to the Family and 38
Medical Leave Act of 1993, 29 U.S.C. §§ 2601 et seq. 39
(II) To care for any adult child, sibling or domestic 40
partner of the employee. 41
(2) Discriminate, discipline or discharge an employee for 42
taking paid family and medical leave [:] under a policy for paid 43
family and medical leave: 44

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(I) For any reason authorized pursuant to the Family and 1
Medical Leave Act of 1993, 29 U.S.C. §§ 2601 et seq. 2
(II) To care for any adult child, sibling or domestic 3
partner of the employee. 4
(3) Prohibit, interfere with or otherwise disco urage an 5
employee or other person from bringing a proceeding or testifying 6
in a proceeding against the business for a violation of the policy for 7
paid family and medical leave that is required pursuant to this 8
paragraph. 9
3. For purposes of paragraph (j) of subsection 2, the Office of 10
Economic Development shall determine that a business meets the 11
requirements of that paragraph if the business has a policy for paid 12
family and medical leave for employees on the payroll of the 13
business outside of this State that meets or exceeds the requirements 14
for a policy for paid family and medical leave pursuant to that 15
paragraph and the business agrees in writing that its employees on 16
the payroll in this State are eligible for paid family and medical 17
leave under such policy. 18
4. Notwithstanding the provisions of subsection 2, the Office 19
of Economic Development: 20
(a) Shall not consider an application for a partial abatement 21
pursuant to this section unless the Office has requested a letter of 22
acknowledgment of the request for the abatement from any affected 23
county, school district, city or town. 24
(b) Shall consider the level of health care benefits provided by 25
the business to its employees, the policy of paid family and medical 26
leave provided by the business to its employe es, the projected 27
economic impact of the business and the projected tax revenue of 28
the business after deducting projected revenue from the abated 29
taxes. 30
(c) May, if the Office determines that such action is necessary: 31
(1) Approve an application for a partial abatement pursuant 32
to this section by a business that does not meet the requirements set 33
forth in paragraph (f), (g) or (h) of subsection 2; 34
(2) Make any of the requirements set forth in paragraphs (d) 35
to (h), inclusive, of subsection 2 more stringent; or 36
(3) Add additional requirements that a business must meet to 37
qualify for a partial abatement pursuant to this section. 38
(d) May deny an application if the Office determines that 39
denying the application is in the best interests of the State. 40
5. Notwithstanding any other provision of law, the Office of 41
Economic Development shall not approve an application for a 42
partial abatement pursuant to this section if: 43
(a) The applicant intends to locate or expand in a county in 44
which the rate of unemploym ent is 7 percent or more and the 45

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average hourly wage that will be paid by the applicant to its new 1
employees in this State is less than 70 percent of the average 2
statewide hourly wage, as established by the Employment Security 3
Division of the Department of Employment, Training and 4
Rehabilitation on July 1 of each fiscal year. 5
(b) The applicant intends to locate or expand in a county in 6
which the rate of unemployment is less than 7 percent and the 7
average hourly wage that will be paid by the applicant to it s new 8
employees in this State is less than 85 percent of the average 9
statewide hourly wage, as established by the Employment Security 10
Division of the Department of Employment, Training and 11
Rehabilitation on July 1 of each fiscal year. 12
(c) The applicant intends to locate in a county but has already 13
received a partial abatement pursuant to this section for locating that 14
business in that county. 15
(d) [The applicant intends to expand in a county but has already 16
received a partial abatement pursuant to this s ection for expanding 17
that business in that county. 18
(e)] The applicant has changed the name or identity of the 19
business to evade the provisions of paragraph (c) . [or (d).] 20
6. Notwithstanding any other provision of law, if the Office of 21
Economic Developm ent approves an application for a partial 22
abatement pursuant to this section, in determining the types of taxes 23
imposed on a new or expanded business for which the partial 24
abatement will be approved and the amount of the partial abatement: 25
(a) If the new or expanded business is located in a county in 26
which the rate of unemployment is 7 percent or more and the 27
average hourly wage that will be paid by the business to its new 28
employees in this State is less than 85 percent of the average 29
statewide hourly wage , as established by the Employment Security 30
Division of the Department of Employment, Training and 31
Rehabilitation on July 1 of each fiscal year, the Office shall not: 32
(1) Approve an abatement of the taxes imposed pursuant to 33
chapter 361 of NRS which exce eds 25 percent of the taxes on 34
personal property payable by the business each year. 35
(2) Approve an abatement of the taxes imposed pursuant to 36
chapter 363B of NRS which exceeds 25 percent of the amount of 37
tax otherwise due pursuant to NRS 363B.110. 38
(b) If the new or expanded business is located in a county in 39
which the rate of unemployment is less than 7 percent and the 40
average hourly wage that will be paid by the business to its new 41
employees in this State is less than 100 percent of the average 42
statewide hourly wage, as established by the Employment Security 43
Division of the Department of Employment, Training and 44
Rehabilitation on July 1 of each fiscal year, the Office shall not: 45

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(1) Approve an abatement of the taxes imposed pursuant to 1
chapter 361 of N RS which exceeds 25 percent of the taxes on 2
personal property payable by the business each year. 3
(2) Approve an abatement of the taxes imposed pursuant to 4
chapter 363B of NRS which exceeds 25 percent of the amount of 5
tax otherwise due pursuant to NRS 363B.110. 6
(c) If the new or expanded business is a provider of specialty 7
health care or a provider of health care in a rural area and the 8
provider of specialty health care or provider of health care in a 9
rural area is not a provider of services under the Sta te Plan for 10
Medicaid, the Office shall not: 11
(1) Approve an abatement of the taxes imposed pursuant to 12
chapter 361 of NRS which exceeds 25 percent of the taxes on 13
personal property payable by the business each year. 14
(2) Approve an abatement of the taxes imposed pursuant to 15
chapter 363B of NRS which exceeds 25 percent of the amount of 16
tax otherwise due pursuant to NRS 363B.110. 17
(d) If the new or expanded business is a provider of specialty 18
health care or a provider of health care in a rural area and the 19
provider of specialty health care or provider of health care in a 20
rural area is a provider of services under the State Plan for 21
Medicaid: 22
(1) Any abatement of the taxes imposed pursuant to chapter 23
361 of NRS that is approved by the Office must be not les s than 25 24
percent of the taxes on personal property payable by the business 25
each year and not exceed 50 percent of the taxes on personal 26
property payable by the business each year. 27
(2) Any abatement of the taxes imposed pursuant to chapter 28
363B of NRS th at is approved by the Office must be not less than 29
25 percent of the amount of tax otherwise due pursuant to NRS 30
363B.110 and not exceed 50 percent of the amount of tax 31
otherwise due pursuant to NRS 363B.110. 32
7. If the Office of Economic Development appr oves an 33
application for a partial abatement pursuant to this section, the 34
Office shall immediately forward a certificate of eligibility for the 35
abatement to: 36
(a) The Department; 37
(b) The Nevada Tax Commission; and 38
(c) If the partial abatement is from the property tax imposed 39
pursuant to chapter 361 of NRS, the county treasurer. 40
8. An applicant for a partial abatement pursuant to this section 41
or an existing business whose partial abatement is in effect shall, 42
upon the request of the Executive Director of the Office of 43
Economic Development, furnish the Executive Director with copies 44

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of all records necessary to verify that the applicant meets the 1
requirements of subsection 2. 2
9. If an applicant for a partial abatement pursuant to this 3
section fails to exe cute the agreement described in paragraph (b) of 4
subsection 2 within 1 year after the date on which the application 5
was received by the Office, the applicant shall not be approved for a 6
partial abatement pursuant to this section unless the applicant 7
submits a new application. 8
10. If a business whose partial abatement has been approved 9
pursuant to this section and is in effect ceases: 10
(a) To meet the requirements set forth in subsection 2; or 11
(b) Operation before the time specified in the agreement 12
described in paragraph (b) of subsection 2, 13
 the business shall repay to the Department or, if the partial 14
abatement was from the property tax imposed pursuant to chapter 15
361 of NRS, to the county treasurer, the amount of the partial 16
abatement that was allowed pursuant to this section before the 17
failure of the business to comply unless the Nevada Tax 18
Commission determines that the business has substantially complied 19
with the requirements of this section. Except as otherwise provided 20
in NRS 360.232 and 360.320, the business shall, in addition to the 21
amount of the partial abatement required to be paid pursuant to this 22
subsection, pay interest on the amount due at the rate most recently 23
established pursuant to NRS 99.040 for each month, or portion 24
thereof, from the last day of the month following the period for 25
which the payment would have been made had the partial abatement 26
not been approved until the date of payment of the tax. 27
11. A county treasurer: 28
(a) Shall deposit any money that he or she receives pursuant to 29
subsection 10 in one or more of the funds established by a local 30
government of the county pursuant to NRS 354.6113 or 354.6115; 31
and 32
(b) May use the money deposited pursuant to paragraph (a) only 33
for the purposes authorized by NRS 354.6113 and 354.6115. 34
12. The Office of Economic Development may adopt such 35
regulations as the Office of Economic Development determines to 36
be necessary to carry out the provisions of this section and 37
NRS 360.755. 38
13. The Nevada Tax Commission: 39
(a) Shall adopt regulations regarding: 40
(1) The capital investment that a new business must make to 41
meet the requirement set forth in paragraph (f) or (g) of subsection 42
2; and 43
(2) Any security that a business is required to post to qualify 44
for a partial abatement pursuant to this section. 45

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(b) May adopt such other regulations as the Nevada Tax 1
Commission determines to be necessary to carry out the provisions 2
of this section and NRS 360.755. 3
14. An applicant for a partial abatement pursuant to this section 4
who is aggrieved by a final decision of the Office of Economic 5
Development may petition for judicial review in the manner 6
provided in chapter 233B of NRS. 7
15. For the purposes of this section, an employee is a “full-time 8
employee” if he or she is in a permanent position of employment 9
and works an average of 30 hours per week during the applicable 10
period set forth in subsection 2. 11
16. As used in this section: 12
(a) “Import substitution business” means a business that: 13
(1) Relocates to this State from a locatio n outside of this 14
State or expands in this State; and 15
(2) Manufactures, produces or sells good or services that, at 16
the time an application for a partial abatement is submitted to the 17
Office of Economic Development pursuant to this section, is 18
imported into this State in significant quantities, as determined by 19
the Office of Economic Development; 20
(3) Operates in a sector of the economy that the Office of 21
Economic Development determines to be critical to the economic 22
security of this State, including, wi thout limitation, critical 23
mineral processing, battery production and health care; and 24
(4) Closes gaps in supply chains, promotes local production 25
or reduces the outflow of capital from this State. 26
(b) “Import substitution job” means a position of emplo yment 27
at a physical location of an import substitution business in this 28
State. 29
(c) “Provider of health care” has the meaning ascribed to it in 30
NRS 629.031. 31
(d) “Rural area” means a county whose population is less than 32
100,000. 33
(e) “Provider of specialty health care” means a provider of 34
health care that is focused on a specific area of medicine, a 35
specific type of symptom or a specific type of condition. 36
Sec. 3. NRS 360.753 is hereby amended to read as follows: 37
360.753 1. An owner of a business or a person who intends 38
to locate or expand a business in this State may apply to the Office 39
of Economic Development pursuant to this section for a partial 40
abatement of one or more of: 41
(a) The personal property taxes imposed on an aircraft and the 42
personal property used to own, operate, manufacture, service, 43
maintain, test, repair, overhaul or assemble an aircraft or any 44
component of an aircraft; and 45

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(b) The local sales and use taxes imposed on the purchase of 1
tangible personal property used to operate, manufacture, service, 2
maintain, test, repair, overhaul or assemble an aircraft or any 3
component of an aircraft. 4
2. Notwithstanding the provisions of any law to the contrary 5
and except as otherwise provided in subsections 3 and 4 , the Office 6
of Economic Development shall approve an application for a partial 7
abatement if the Office makes the following determinations: 8
(a) Not later than 1 year after the date on which the application 9
was received by the Office, the applicant has executed an agreement 10
with the Office which: 11
(1) Complies with the requirements of NRS 360.755; 12
(2) States the date on which the abatement becomes 13
effective, as agreed to by the applicant and the Office, which must 14
not be earlier than the date on which t he Office received the 15
application and not later than 1 year after the date on which the 16
Office approves the application; 17
(3) States that the business will, after the date on which a 18
certificate of eligibility for the partial abatement is issued pursuant 19
to subsection 5, continue in operation in this State for a period 20
specified by the Office, which must be not less than 5 years, and 21
will continue to meet the eligibility requirements set forth in this 22
subsection; and 23
(4) Binds any successor in interest of the applicant for the 24
specified period; 25
(b) The business is registered pursuant to the laws of this State 26
or the applicant commits to obtaining a valid business license and all 27
other permits required by the county, city or town in which the 28
business operates; 29
(c) The business owns, operates, manufactures, services, 30
maintains, tests, repairs, overhauls or assembles an aircraft or any 31
component of an aircraft; 32
(d) The average hourly wage that will be paid by the business to 33
its employees in this State during the period of partial abatement is 34
not less than 100 percent of the average statewide hourly wage as 35
established by the Employment Security Division of the Department 36
of Employment, Training and Rehabilitation on July 1 of each fiscal 37
year; 38
(e) The business will, by the eighth calendar quarter following 39
the calendar quarter in which the abatement becomes effective, offer 40
a health insurance plan for all employees that includes an option for 41
health insurance coverage for dependents of the employees, and the 42
health care benefits the business offers to its employees in this State 43
will meet the minimum requirements for health care benefits 44
established by the Office; 45

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- *AB77*
(f) If the business is: 1
(1) A new business, that it will have five or more full -time 2
employees on the payroll of the business within 1 year after 3
receiving its certificate of eligibility for a partial abatement; or 4
(2) An existing business, that it will increase its number of 5
full-time employees on the payroll of the business in this Stat e by 3 6
percent or three employees, whichever is greater, within 1 year after 7
receiving its certificate of eligibility for a partial abatement; 8
(g) The business meets at least one of the following 9
requirements: 10
(1) The business will make a new capital in vestment of at 11
least $250,000 in this State within 1 year after receiving its 12
certificate of eligibility for a partial abatement; 13
(2) The business will maintain and possess in this State 14
tangible personal property having a value of not less than 15
$5,000,000 during the period of partial abatement; 16
(3) The business develops, refines or owns a patent or other 17
intellectual property, or has been issued a type certificate by the 18
Federal Aviation Administration pursuant to 14 C.F.R. Part 21; and 19
(h) If the app lication is for the partial abatement of the taxes 20
imposed by the Local School Support Tax Law, the application has 21
been approved by a vote of at least two-thirds of the members of the 22
Board of Economic Development created by NRS 231.033. 23
3. The Office of Economic Development: 24
(a) Shall approve or deny an application submitted pursuant to 25
this section and notify the applicant of its decision not later than 45 26
days after receiving the application. 27
(b) Must not: 28
(1) Consider an application for a partial abatement unless the 29
Office has requested a letter of acknowledgment of the request for 30
the partial abatement from any affected county, school district, city 31
or town and has complied with the requirements of NRS 360.757; or 32
(2) Approve a partial abateme nt for any applicant for a 33
period of more than 10 years. 34
(c) May deny an application for a partial abatement if the 35
Office determines that denying the application is in the best 36
interests of the State. 37
4. The Office of Economic Development must not app rove a 38
partial abatement of personal property taxes for a business whose 39
physical property is collectively valued and centrally assessed 40
pursuant to NRS 361.320 and 361.3205. 41
5. If the Office of Economic Development approves an 42
application for a partial abatement pursuant to this section, the 43
Office shall immediately forward a certificate of eligibility for the 44
partial abatement to: 45

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- *AB77*
(a) The Department; 1
(b) The Nevada Tax Commission; and 2
(c) If the partial abatement is from personal property taxes, the 3
appropriate county treasurer. 4
6. An applicant for a partial abatement pursuant to this section 5
or an existing business whose partial abatement is in effect shall, 6
upon the request of the Executive Director of the Office of 7
Economic Development, furnish the Executive Director with copies 8
of all records necessary to verify that the applicant meets the 9
requirements of subsection 2. 10
7. If an applicant for a partial abatement pursuant to this 11
section fails to execute the agreement described in paragraph (a) of 12
subsection 2 within 1 year after the date on which the application 13
was received by the Office, the applicant shall not be approved for a 14
partial abatement pursuant to this section unless the applicant 15
submits a new application. 16
8. If a business whose partial abatement has been approved 17
pursuant to this section and whose partial abatement is in effect 18
ceases: 19
(a) To meet the requirements set forth in subsection 2; or 20
(b) Operation before the time specified in the agreement 21
described in paragraph (a) of subsection 2, 22
 the business shall repay to the Department or, if the partial 23
abatement was from personal property taxes, to the appropriate 24
county treasurer, the amount of the partial abatement that was 25
allowed pursuant to this section before the failur e of the business to 26
comply unless the Nevada Tax Commission determines that the 27
business has substantially complied with the requirements of this 28
section. Except as otherwise provided in NRS 360.232 and 360.320, 29
the business shall, in addition to the amount of the partial abatement 30
required to be repaid pursuant to this subsection, pay interest on the 31
amount due at the rate most recently established pursuant to NRS 32
99.040 for each month, or portion thereof, from the last day of the 33
month following the period for which the payment would have been 34
made had the partial abatement not been approved until the date of 35
payment of the tax. 36
9. The Office of Economic Development may adopt such 37
regulations as the Office determines to be necessary to carry out the 38
provisions of this section. 39
10. The Nevada Tax Commission may adopt such regulations 40
as the Commission determines are necessary to carry out the 41
provisions of this section. 42
11. An applicant for a partial abatement who is aggrieved by a 43
final decision of the Office of Economic Development may petition 44

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- *AB77*
a court of competent jurisdiction to review the decision in the 1
manner provided in chapter 233B of NRS. 2
12. As used in this section: 3
(a) “Aircraft” means any fixed -wing, rotary-wing or unmanned 4
aerial vehicle. 5
(b) “Component of an aircraft” means any: 6
(1) Element that makes up the physical structure of an 7
aircraft, or is affixed thereto; 8
(2) Mechanical, electrical or other system of an aircraft, 9
including, without limitation, any component thereof; and 10
(3) Raw material or processed material, part, machinery, 11
tool, chemical, gas or equipment used to operate, manufacture, 12
service, maintain, test, repair, overhaul or assemble an aircraft or 13
component of an aircraft. 14
(c) “Full-time employee” means a person who is in a permanent 15
position of employment and works an average of 30 hours per week 16
during the applicable period set forth in subparagraph (3) of 17
paragraph (a) of subsection 2. 18
(d) “Local sales and use taxes” means any taxes imposed on the 19
gross receipts of any retailer from the sale of tangible personal 20
property sold at retail, or stored, used or otherwise consumed, in any 21
political subdivision of this State, except the taxes imposed by the 22
Sales and Use Tax Act. 23
(e) “Personal property taxes” m eans any taxes levied on 24
personal property by the State or a local government pursuant to 25
chapter 361 of NRS. 26
Sec. 4. NRS 360.754 is hereby amended to read as follows: 27
360.754 1. A person who intends to locate or expand a data 28
center in this State may apply to the Office of Economic 29
Development pursuant to this section for a partial abatement of one 30
or more of the taxes imposed on the new or expanded data center 31
pursuant to chapter 361 or 374 of NRS. 32
2. The Office of Ec onomic Development shall approve an 33
application for a partial abatement pursuant to this section if the 34
Office makes the following determinations: 35
(a) The application is consistent with the State Plan for 36
Economic Development developed by the Executive Di rector of the 37
Office of Economic Development pursuant to subsection 2 of NRS 38
231.053 and any guidelines adopted by the Executive Director of the 39
Office to implement the State Plan for Economic Development. 40
(b) Not later than 1 year after the date on which the application 41
was received by the Office, the applicant has executed an agreement 42
with the Office of Economic Development which must: 43
(1) Comply with the requirements of NRS 360.755; 44

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- *AB77*
(2) State the date on which the abatement becomes effective, 1
as agreed to by the applicant and the Office of Economic 2
Development, which must not be earlier than the date on which the 3
Office received the application and not later than 1 year after the 4
date on which the Office approves the application; 5
(3) State that the data center will, after the date on which the 6
abatement becomes effective, continue in operation in this State for 7
a period specified by the Office of Economic Development, which 8
must be at least 10 years, and will continue to meet the eligibility 9
requirements set forth in this subsection; and 10
(4) Bind the successors in interest of the applicant for the 11
specified period. 12
(c) The applicant is registered pursuant to the laws of this State 13
or the applicant commits to obtain a valid business license and all 14
other permits required by each county, city or town in which the 15
data center operates. 16
(d) If the applicant is seeking a partial abatement for a period of 17
not more than 10 years, the applicant meets the following 18
requirements: 19
(1) The data center wi ll, by not later than the date that is 5 20
years after the date on which the abatement becomes effective, have 21
or have added 10 or more full -time employees who are residents of 22
Nevada and who will be employed at the data center and will 23
continue to employ 10 or more full -time employees who are 24
residents of Nevada at the data center until at least the date which is 25
10 years after the date on which the abatement becomes effective. 26
(2) Establishing or expanding the data center will require the 27
data center or a ny combination of the data center and one or more 28
colocated businesses to make in each county in this State in which 29
the data center is located, by not later than the date which is 5 years 30
after the date on which the abatement becomes effective, a 31
cumulative capital investment of at least $25,000,000 in capital 32
assets that will be used or located at the data center. 33
(3) The average hourly wage that will be paid by the data 34
center to its employees in this State is at least 100 percent of the 35
average statew ide hourly wage as established by the Employment 36
Security Division of the Department of Employment, Training and 37
Rehabilitation on July 1 of each fiscal year and: 38
(I) The data center will, by not later than the date which is 39
2 years after the date on wh ich the abatement becomes effective, 40
provide a health insurance plan for all employees employed at the 41
data center that includes an option for health insurance coverage for 42
dependents of the employees; and 43
(II) The health care benefits provided to emplo yees 44
employed at the data center will meet the minimum requirements for 45

– 17 –

- *AB77*
health care benefits established by the Office of Economic 1
Development by regulation pursuant to subsection 13. 2
(4) At least 50 percent of the employees engaged in the 3
construction of the data center are residents of Nevada, unless 4
waived by the Executive Director of the Office of Economic 5
Development upon proof satisfactory to the Executive Director of 6
the Office of Economic Development that there is an insufficient 7
number of reside nts of Nevada available and qualified for such 8
employment. 9
(e) If the applicant is seeking a partial abatement for a period of 10
10 years or more but not more than 20 years, the applicant meets the 11
following requirements: 12
(1) The data center will, by not later than the date that is 5 13
years after the date on which the abatement becomes effective, have 14
or have added 50 or more full -time employees who are residents of 15
Nevada and who will be employed at the data center and will 16
continue to employ 50 or more fu ll-time employees who are 17
residents of Nevada at the data center until at least the date which is 18
20 years after the date on which the abatement becomes effective. 19
(2) Establishing or expanding the data center will require the 20
data center or any combinat ion of the data center and one or more 21
colocated businesses to make in each county in this State in which 22
the data center is located, by not later than the date which is 5 years 23
after the date on which the abatement becomes effective, a 24
cumulative capital investment of at least $100,000,000 in capital 25
assets that will be used or located at the data center. 26
(3) The average hourly wage that will be paid by the data 27
center to its employees in this State is at least 100 percent of the 28
average statewide hourly wage as established by the Employment 29
Security Division of the Department of Employment, Training and 30
Rehabilitation on July 1 of each fiscal year and: 31
(I) The data center will, by not later than the date which is 32
2 years after the date on which the ab atement becomes effective, 33
provide a health insurance plan for all employees employed at the 34
data center that includes an option for health insurance coverage for 35
dependents of the employees; and 36
(II) The health care benefits provided to employees 37
employed at the data center will meet the minimum requirements for 38
health care benefits established by the Office of Economic 39
Development by regulation pursuant to subsection 13. 40
(4) At least 50 percent of the employees engaged in the 41
construction of the data center are residents of Nevada, unless 42
waived by the Executive Director of the Office of Economic 43
Development upon proof satisfactory to the Executive Director of 44
the Office of Economic Development that there is an insufficient 45

– 18 –

- *AB77*
number of residents of Neva da available and qualified for such 1
employment. 2
(f) The applicant has provided in the application an estimate of 3
the total number of new employees which the data center anticipates 4
hiring in this State if the Office of Economic Development approves 5
the application. 6
(g) If the applicant is seeking a partial abatement of the taxes 7
imposed by the Local School Support Tax Law, the application has 8
been approved by a vote of at least two-thirds of the members of the 9
Board of Economic Development created by NRS 231.033. 10
3. Notwithstanding the provisions of subsection 2, the Office 11
of Economic Development: 12
(a) Shall not consider an application for a partial abatement 13
pursuant to this section unless the Office of Economic Development 14
has requested a letter of acknowledgment of the request for the 15
abatement from each affected county, school district, city or town. 16
(b) Shall consider the level of health care benefits provided to 17
employees employed at the data center, the projected economic 18
impact of the data cen ter and the projected tax revenue of the data 19
center after deducting projected revenue from the abated taxes. 20
(c) May, if the Office of Economic Development determines 21
that such action is necessary: 22
(1) Approve an application for a partial abatement pur suant 23
to this section by a data center that does not meet the requirements 24
set forth in paragraph (d) or (e) of subsection 2; 25
(2) Make the requirements set forth in paragraphs (d) and (e) 26
of subsection 2 more stringent; or 27
(3) Add additional requirements that an applicant must meet 28
to qualify for a partial abatement pursuant to this section. 29
(d) May deny an application if the Office of Economic 30
Development determines that denying the application is in the best 31
interests of the State. 32
4. If the Office of Economic Development approves an 33
application for a partial abatement pursuant to this section, the 34
Office shall immediately forward a certificate of eligibility for the 35
abatement to: 36
(a) The Department; 37
(b) The Nevada Tax Commission; and 38
(c) If the partial abatement is from the property tax imposed 39
pursuant to chapter 361 of NRS, the county treasurer of each county 40
in which the data center is or will be located. 41
5. If the Office of Economic Development approves an 42
application for a partial abatemen t pursuant to this section, the 43
Office may also approve a partial abatement of taxes for each 44
colocated business that enters into a contract to use or occupy, for a 45

– 19 –

- *AB77*
period of at least 2 years, all or a portion of the new or expanded 1
data center. Each such colocated business shall obtain a state 2
business license issued by the Secretary of State. The percentage 3
amount of a partial abatement approved for a colocated business 4
pursuant to this subsection must not exceed the percentage amount 5
of the partial abate ment approved for the data center. The duration 6
of a partial abatement approved for a colocated business pursuant to 7
this subsection must not exceed the duration of the contract or 8
contracts entered into between the colocated business and the data 9
center, including the duration of any contract or contracts extended 10
or renewed by the parties. If a colocated business ceases to meet the 11
requirements set forth in this subsection, the colocated business 12
shall repay the amount of the abatement that was allowed in the 13
same manner in which a data center is required by subsection 8 to 14
repay the Department or a county treasurer. If a data center ceases to 15
meet the requirements of subsection 2 or ceases operation before the 16
time specified in the agreement described in paragraph (b) of 17
subsection 2, any partial abatement approved for a colocated 18
business ceases to be in effect, but the colocated business is not 19
required to repay the amount of the abatement that was allowed 20
before the date on which the abatement ceases to be in effect. A data 21
center shall provide the Executive Director of the Office and the 22
Department with a list of the colocated businesses that are qualified 23
to receive a partial abatement pursuant to this subsection and shall 24
notify the Executive Director within 30 days after any change to the 25
list. The Executive Director shall provide the list and any updates to 26
the list to the Department and the county treasurer of each affected 27
county. 28
6. An applicant for a partial abatement pursuant to this section 29
or a data center whose partial abatement is in effect shall, upon the 30
request of the Executive Director of the Office of Economic 31
Development, furnish the Executive Director with copies of all 32
records necessary to verify that the applicant meets the requirements 33
of subsection 2. 34
7. If an applicant for a partial abatement pursuant to this 35
section fails to execute the agreement described in paragraph (b) of 36
subsection 2 within 1 year after the date on which the application 37
was received by the Office, the applicant shall not be approved for a 38
partial abatement pursuant to this section unless the applicant 39
submits a new application. 40
8. If a data center whose partial abatement has been approved 41
pursuant to this section and is in effect ceases: 42
(a) To meet the requirements set forth in subsection 2; or 43
(b) Operation before the time specified in the agreement 44
described in paragraph (b) of subsection 2, 45

– 20 –

- *AB77*
 the data center shall repay to the Department or, if the partial 1
abatement was from the property tax imposed pursuant to chapter 2
361 of NRS, to the county treasurer, the amount of the partial 3
abatement that was allowed pursuant to this section before the 4
failure of the data center to comply unless the Nevada Tax 5
Commission determines that the data center has sub stantially 6
complied with the requirements of this section. Except as otherwise 7
provided in NRS 360.232 and 360.320, the data center shall, in 8
addition to the amount of the partial abatement required to be repaid 9
pursuant to this subsection, pay interest on the amount due at the 10
rate most recently established pursuant to NRS 99.040 for each 11
month, or portion thereof, from the last day of the month following 12
the period for which the payment would have been made had the 13
partial abatement not been approved until the date of payment of the 14
tax. 15
9. A county treasurer: 16
(a) Shall deposit any money that he or she receives pursuant to 17
subsection 5 or 8 in one or more of the funds established by a local 18
government of the county pursuant to NRS 354.6113 or 354.6115; 19
and 20
(b) May use the money deposited pursuant to paragraph (a) only 21
for the purposes authorized by NRS 354.6113 and 354.6115. 22
10. An applicant for a partial abatement pursuant to this section 23
who is aggrieved by a final decision of the Office of Economic 24
Development may petition for judicial review in the manner 25
provided in chapter 233B of NRS. 26
11. For an employee to be considered a resident of Nevada for 27
the purposes of this section, a data center must maintain the 28
following documents in the personnel file of the employee: 29
(a) A copy of the current and valid Nevada driver’s license of 30
the employee or a current and valid identification card for the 31
employee issued by the Department of Motor Vehicles; 32
(b) If the employee is a registered owner of one or more motor 33
vehicles in Nevada, a copy of the current motor vehicle registration 34
of at least one of those vehicles; 35
(c) Proof that the employee is a full-time employee; and 36
(d) Proof that the employee is covered by the health insurance 37
plan which the data center is required to provide pursuant to sub -38
subparagraph (I) of subparagraph (3) of paragraph (d) of subsection 39
2 or sub -subparagraph (I) of subparagraph (3) of paragraph (e) of 40
subsection 2. 41
12. For the purpose of obtaining from the Executive Directo r 42
of the Office of Economic Development any waiver of the 43
requirements set forth in subparagraph (4) of paragraph (d) of 44
subsection 2 or subparagraph (4) of paragraph (e) of subsection 2, a 45

– 21 –

- *AB77*
data center must submit to the Executive Director of the Office of 1
Economic Development written documentation of the efforts to 2
meet the requirements and documented proof that an insufficient 3
number of Nevada residents is available and qualified for 4
employment. 5
13. The Office of Economic Development: 6
(a) Shall adopt r egulations relating to the minimum level of 7
health care benefits that a data center must provide to its employees 8
to meet the requirement set forth in paragraph (d) or (e) of 9
subsection 2; 10
(b) May adopt such other regulations as the Office determines to 11
be necessary to carry out the provisions of this section; and 12
(c) Shall not approve any application for a partial abatement 13
submitted pursuant to this section which is received on or after 14
January 1, 2036. 15
14. The Nevada Tax Commission: 16
(a) Shall adopt regulations regarding: 17
(1) The capital investment necessary to meet the requirement 18
set forth in paragraph (d) or (e) of subsection 2; and 19
(2) Any security that a data center is required to post to 20
qualify for a partial abatement pursuant to this section. 21
(b) May adopt such other regulations as the Nevada Tax 22
Commission determines to be necessary to carry out the provisions 23
of this section. 24
15. As used in this section, unless the context otherwise 25
requires: 26
(a) “Colocated business” means a person wh o enters into a 27
contract with a data center that is qualified to receive an abatement 28
pursuant to this section to use or occupy all or part of the data 29
center. 30
(b) “Data center” means one or more buildings located at one or 31
more physical locations in this State which house a group of 32
networked server computers for the purpose of centralizing the 33
storage, management and dissemination of data and information 34
pertaining to one or more businesses and includes any modular or 35
preassembled components, associated telecommunications and 36
storage systems and, if the data center includes more than one 37
building or physical location, any network or connection between 38
such buildings or physical locations. 39
(c) “Full-time employee” means a person who is in a permanent 40
position of employment and works an average of 30 hours per week 41
during the applicable period set forth in paragraph (d) or (e) of 42
subsection 2. 43

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- *AB77*
Sec. 5. NRS 360.880 is hereby amended to read as follows: 1
360.880 As used in NRS 360.880 to 360.896, inclusive, and 2
section 1 of this act, unless the context otherwise requires, the 3
words and terms defined in NRS 360.881 to 360.888, inclusive, and 4
section 1 of this act have the meanings ascribed to them in those 5
sections. 6
Sec. 6. NRS 360.889 is hereby amended to read as follows: 7
360.889 1. On behalf of a project, the lead participant in the 8
project may apply to the Office of Economic Development for: 9
(a) A certificate of eligibility for transferable tax credits which 10
may be applied to: 11
(1) Any tax imposed by chapters 363A and 363B of NRS; 12
(2) The gaming license fees imposed by the provisions of 13
NRS 463.370; 14
(3) Any tax imposed by chapter 680B of NRS; or 15
(4) Any combination of the fees and taxes described in 16
subparagraphs (1), (2) and (3). 17
(b) A partial abatement of property taxes, employer excise taxes 18
or local sales and use taxes, or any combination of any of those 19
taxes. 20
2. For a project to be eligible for the transferable tax credits 21
described in paragraph (a) of subsection 1 and the par tial abatement 22
of the taxes described in paragraph (b) of subsection 1, the lead 23
participant in the project must, on behalf of the project: 24
(a) Submit an application that meets the requirements of 25
subsection 5; 26
(b) Provide documentation satisfactory to t he Office that 27
approval of the application would promote the economic 28
development of this State and aid the implementation of the State 29
Plan for Economic Development developed by the Executive 30
Director of the Office pursuant to subsection 2 of NRS 231.053; 31
(c) Provide documentation satisfactory to the Office that the 32
participants in the project collectively will make a total new capital 33
investment of at least $1 billion in this State within the 10 -year 34
period immediately following approval of the application; 35
(d) Provide documentation satisfactory to the Office that the 36
participants in the project are engaged in a common business 37
purpose or industry; 38
(e) Provide documentation satisfactory to the Office that the 39
place of business of each participant is or will be located within the 40
geographic boundaries of the project site or sites; 41
(f) Provide documentation satisfactory to the Office that each 42
participant in the project is registered pursuant to the laws of this 43
State or commits to obtaining a valid busin ess license and all other 44

– 23 –

- *AB77*
permits required by the county, city or town in which the project 1
operates; 2
(g) Provide documentation satisfactory to the Office of the 3
number of employees engaged in the construction of the project; 4
(h) Provide documentation sa tisfactory to the Office of the 5
number of qualified employees employed or anticipated to be 6
employed at the project by the participants; 7
(i) Provide documentation satisfactory to the Office that each 8
employer engaged in the construction of the project pro vides a plan 9
of health insurance and that each employee engaged in the 10
construction of the project is offered coverage under the plan of 11
health insurance provided by his or her employer; 12
(j) Provide documentation satisfactory to the Office that each 13
participant in the project provides a plan of health insurance and that 14
each employee employed at the project by each participant is 15
offered coverage under the plan of health insurance provided by his 16
or her employer; 17
(k) Provide documentation satisfactory to the Office that at least 18
50 percent of the employees engaged in construction of the project 19
and 50 percent of the employees employed at the project are 20
residents of Nevada, unless waived by the Executive Director of the 21
Office upon proof satisfactory to th e Executive Director of the 22
Office that there is an insufficient number of Nevada residents 23
available and qualified for such employment; 24
(l) Agree to provide the Office with a full compliance audit of 25
the participants in the project at the end of each fiscal year which: 26
(1) Shows the amount of money invested in this State by 27
each participant in the project; 28
(2) Shows the number of employees engaged in the 29
construction of the project and the number of those employees who 30
are residents of Nevada; 31
(3) Shows the number of employees employed at the project 32
by each participant and the number of those employees who are 33
residents of Nevada; and 34
(4) Is certified by an independent certified public accountant 35
in this State who is approved by the Office; 36
(m) Pay the cost of the audit required by paragraph (l); 37
(n) Enter into an agreement with the governing body of the city 38
or county in which the qualified project is located that: 39
(1) Requires the lead participant to pay the cost of any 40
engineering or design work necessary to determine the cost of 41
infrastructure improvements required to be made by the governing 42
body pursuant to an economic development financing proposal 43
approved pursuant to NRS 360.990; and 44

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- *AB77*
(2) Requires the lead participant to seek reimburs ement for 1
any costs paid by the lead participant pursuant to subparagraph (1) 2
from the proceeds of bonds issued pursuant to NRS 360.991; and 3
(o) Meet any other requirements prescribed by the Office. 4
3. In addition to meeting the requirements set forth i n 5
subsection 2, for a project located on more than one site in this State 6
to be eligible for the partial abatement of the taxes described in 7
paragraph (b) of subsection 1, the lead participant must, on behalf of 8
the project, submit an application that meet s the requirements of 9
subsection 5 on or before June 30, 2019, and provide documentation 10
satisfactory to the Office that: 11
(a) The initial project will have a total of 500 or more full -time 12
employees employed at the site of the initial project and the aver age 13
hourly wage that will be paid to employees of the initial project in 14
this State is at least 120 percent of the average statewide hourly 15
wage as established by the Employment Security Division of the 16
Department of Employment, Training and Rehabilitation on July 1 17
of each fiscal year; 18
(b) Each participant in the project must be a subsidiary or 19
affiliate of the lead participant; and 20
(c) Each participant offers primary jobs or import substitution 21
jobs and: 22
(1) Except as otherwise provided in subparagraph (2), 23
satisfies the requirements of paragraph (f) or (g) of subsection 2 of 24
NRS 360.750, regardless of whether the business is a new business 25
or an existing business; and 26
(2) If a participant owns, operates, manufactures, services, 27
maintains, tests, repairs, overhauls or assembles an aircraft or any 28
component of an aircraft, that the participant satisfies the applicable 29
requirements of paragraph (f) or (g) of subsection 2 of 30
NRS 360.753. 31
 If any participant is a data center, as defined in NRS 360.754, any 32
capital investment by that participant must not be counted in 33
determining whether the participants in the project collectively will 34
make a total new capital investment of at least $1 billion in this 35
State within the 10 -year period immediately following approval of 36
the application, as required by paragraph (c) of subsection 2. 37
4. In addition to meeting the requirements set forth in 38
subsection 2, a project is eligible for the transferable tax credits 39
described in paragraph (a) of subsection 1 only if the Interim 40
Finance Committee approves a written request for the issuance of 41
the transferable tax credits. Such a request may only be submitted 42
by the Office and only after the Office has approved the application 43
submitted for the project pursuant to subsection 2. The Interim 44
Finance Committee may approve a request submitted pursuant to 45

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- *AB77*
this subsection only if the Interim Finance Committee determines 1
that approval of the request: 2
(a) Will not impede the ability of the Legislature to carry out its 3
duty to provide for an annual tax sufficient to defray the estimated 4
expenses of the State for each fiscal year as set forth in Article 9, 5
Section 2 of the Nevada Constitution; and 6
(b) Will promote the economic development of this State and 7
aid the implementation of the State Plan for Economic Development 8
developed by the Executive Director of the Office pursuant to 9
subsection 2 of NRS 231.053. 10
5. An application submitted pursuant to subsection 2 must 11
include: 12
(a) A detailed description of the project, i ncluding a description 13
of the common purpose or business endeavor in which the 14
participants in the project are engaged; 15
(b) A detailed description of the location of the project, 16
including a precise description of the geographic boundaries of the 17
project site or sites; 18
(c) The name and business address of each participant in the 19
project, which must be an address in this State; 20
(d) A detailed description of the plan by which the participants 21
in the project intend to comply with the requirement that the 22
participants collectively make a total new capital investment of at 23
least $1 billion in this State in the 10 -year period immediately 24
following approval of the application; 25
(e) If the application includes one or more partial abatements, an 26
agreement execut ed by the Office with the lead participant in the 27
project not later than 1 year after the date on which the application 28
was received by the Office which: 29
(1) Complies with the requirements of NRS 360.755; 30
(2) States the date on which the partial abatem ent becomes 31
effective, as agreed to by the applicant and the Office, which must 32
not be earlier than the date on which the Office received the 33
application and not later than 1 year after the date on which the 34
Office approves the application; 35
(3) States th at the project will, after the date on which a 36
certificate of eligibility for the partial abatement is approved 37
pursuant to NRS 360.893, continue in operation in this State for a 38
period specified by the Office; and 39
(4) Binds successors in interest of the lead participant for the 40
specified period; and 41
(f) Any other information required by the Office. 42
6. For an employee to be considered a resident of Nevada for 43
the purposes of this section, each participant in the project must 44

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maintain the following docu ments in the personnel file of the 1
employee: 2
(a) A copy of the: 3
(1) Current and valid Nevada driver’s license of the 4
employee originally issued by the Department of Motor Vehicles 5
more than 60 days before the hiring of the employee or a current and 6
valid identification card for the employee originally issued by the 7
Department of Motor Vehicles more than 60 days before the hiring 8
of the employee; or 9
(2) If the employee is a veteran of the Armed Forces of the 10
United States, a current and valid Nevada dri ver’s license of the 11
employee or a current and valid identification card for the employee 12
issued by the Department of Motor Vehicles; 13
(b) If the employee is a registered owner of one or more motor 14
vehicles in Nevada, a copy of the current motor vehicle re gistration 15
of at least one of those vehicles; 16
(c) Proof that the employee is employed full-time and scheduled 17
to work for an average minimum of 30 hours per week; and 18
(d) Proof that the employee is offered coverage under a plan of 19
health insurance provided by his or her employer. 20
7. For the purpose of obtaining from the Executive Director of 21
the Office any waiver of the requirement set forth in paragraph (k) 22
of subsection 2, the lead participant in the project must submit to the 23
Executive Director of th e Office written documentation of the 24
efforts to meet the requirement and documented proof that an 25
insufficient number of Nevada residents is available and qualified 26
for employment. 27
8. The Executive Director of the Office shall make available to 28
the public and post on the Internet website of the Office: 29
(a) Any request for a waiver of the requirements set forth in 30
paragraph (k) of subsection 2; and 31
(b) Any approval of such a request for a waiver that is granted 32
by the Executive Director of the Office. 33
9. The Executive Director of the Office shall post a request for 34
a waiver of the requirements set forth in paragraph (k) of subsection 35
2 on the Internet website of the Office within 3 days after receiving 36
the request and shall keep the request posted on t he Internet website 37
for not less than 5 days. The Executive Director of the Office shall 38
ensure that the Internet website allows members of the public to post 39
comments regarding the request. 40
10. The Executive Director of the Office shall consider any 41
comments posted on the Internet website concerning any request for 42
a waiver of the requirements set forth in paragraph (k) of subsection 43
2 before making a decision regarding whether to approve the 44
request. If the Executive Director of the Office approves the request 45

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for a waiver, the Executive Director of the Office must post the 1
approval on the Internet website of the Office within 3 days and 2
ensure that the Internet website allows members of the public to post 3
comments regarding the approval. 4
11. If an applicant for one or more partial abatements pursuant 5
to this section fails to execute the agreement described in paragraph 6
(e) of subsection 5 within 1 year after the date on which the 7
application was received by the Office, the applicant shall not be 8
approved for a partial abatement pursuant to this section unless the 9
applicant submits a new application. 10
Sec. 7. NRS 360.895 is hereby amended to read as follows: 11
360.895 1. The Office of Economic Development shall, on or 12
before October 1 of each year, prepare and submit to the Governor 13
and to the Director of the Legislative Counsel Bureau for transmittal 14
to the Legislature an annual report which includes: 15
(a) For the immediately preceding fiscal year: 16
(1) The number of applications submitted pursuant to 17
NRS 360.889; 18
(2) The number of qualified projects for which an application 19
was approved; 20
(3) The amount of transferable tax credits approved; 21
(4) The amount of transferable tax credits used; 22
(5) The amount of transferable tax credits transferred; 23
(6) The amount of transferable tax credits taken against each 24
allowable fee or tax, including the actual amount used and 25
outstanding, in total and for each qualified project; 26
(7) The number of partial abatements approved; 27
(8) The dollar amount of the partial abatements; 28
(9) The number of employees engaged in construction of 29
each qualified project who are residents of Nevada and the number 30
of employees employed by each participant in a qualified project 31
who are residents of Nevada; 32
(10) The number of qualified employees employed by each 33
participant in a qualified project and the total amount of wages paid 34
to those persons; and 35
(11) For each qualified project, an assessment of whether the 36
participants in the qualified project are making satisfactory progress 37
towards meeting the investment requirements necessary to support 38
the determination by the Office that the project is a qualified project. 39
(b) For each partial abatement from taxation that the Office 40
approved du ring the fiscal years which are 3 fiscal years, 6 fiscal 41
years, 10 fiscal years and 15 fiscal years immediately preceding the 42
submission of the report: 43
(1) The dollar amount of the partial abatement; 44

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(2) The value of infrastructure included as an incen tive for 1
the qualified project; 2
(3) The economic sector in which each participant in the 3
qualified project operates , the number of primary jobs or import 4
substitution jobs related to the qualified project , the average wage 5
paid to employees employed by the participants in the qualified 6
project and the assessed values of personal property and real 7
property of the qualified project; and 8
(4) Any other information that the Office determines to be 9
useful. 10
2. Except as otherwise provided in subsection 4, in addition to 11
the annual reports required to be prepared and submitted pursuant to 12
subsection 1, for the period beginning on December 19, 2015, and 13
ending on June 30, 2020 , the Office shall, not less frequently t han 14
every calendar quarter, prepare and submit to the Governor and the 15
Director of the Legislative Counsel Bureau for transmittal to the 16
Legislature a report which includes, for the immediately preceding 17
calendar quarter: 18
(a) The dollar amount of the partial abatements approved for the 19
lead participant in each qualified project; 20
(b) The number of employees engaged in construction of each 21
qualified project who are residents of Nevada and the number of 22
employees employed by each participant in each qualifie d project 23
who are residents of Nevada; 24
(c) The number of qualified employees employed by each 25
participant in each qualified project and the total amount of wages 26
paid to those persons; 27
(d) For each qualified project an assessment of whether the 28
participants in the qualified project are making satisfactory progress 29
towards meeting the investment requirements necessary to support 30
the determination by the Office that the project is a qualified project; 31
and 32
(e) Any other information requested by the Legislature. 33
3. Except as otherwise provided in subsection 4, in addition to 34
the annual reports required to be prepared and submitted pursuant to 35
subsection 1, for the period beginning on July 1, 2020, and ending 36
on June 30, 2025, the Office shall, not l ess frequently than every 6 37
months, prepare and submit to the Governor and the Director of the 38
Legislative Counsel Bureau for transmittal to the Legislature a 39
report which includes, for the immediately preceding 6 months, the 40
information required to be inc luded in a report prepared and 41
submitted pursuant to subsection 2. 42
4. The Office is not required to prepare and submit the report 43
required by subsection 2 or 3 if, within 75 days after the end of the 44
period covered by the report: 45

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(a) The Office receives an audit of the participants in the project 1
for the period that would have been covered by the report; and 2
(b) That audit contains the information required to be included 3
in the report pursuant to paragraphs (a) to (d), inclusive, of 4
subsection 2. 5
5. In addition to the reports required to be prepared and 6
submitted pursuant to subsections 1 and 2, the Office shall, upon 7
request, make available to the Legislature any information 8
concerning a qualified project or any participant in a qualified 9
project. The Office shall make available any information requested 10
pursuant to this subsection within the period specified in the request. 11
6. The Office shall provide to the Fiscal Analysis Division of 12
the Legislative Counsel Bureau a copy of any agreement entered 13
into by the Office and the lead participant not later than 30 days 14
after the agreement is executed. 15
7. Notwithstanding the provisions of any other specific statute, 16
the information requested by the Legislature pursuant to this section 17
may include information considered confidential for other purposes. 18
If such confidential information is requested, the Office shall make 19
the information available to the Fiscal Analysis Division of the 20
Legislative Counsel Bureau for confidential examination. 21
Sec. 8. NRS 360.975 is hereby amended to read as follows: 22
360.975 1. The Office of Economic Development shall, on or 23
before October 1 of each year, prepare and submit to the Governor 24
and to the Director of the Legislative Counsel Bureau for transmittal 25
to the Legislature an annual report which includes: 26
(a) For the immediately preceding fiscal year: 27
(1) The number of applications submitted pursuant to 28
NRS 360.945; 29
(2) The number of qualified projects for which an application 30
was approved; 31
(3) The amount of transferable tax credits approved; 32
(4) The amount of transferable tax credits used; 33
(5) The amount of transferable tax credits transferred; 34
(6) The amount of transferable tax credits taken against each 35
allowable fee or tax, including the actual amount used and 36
outstanding, in total and for each qualified project; 37
(7) The number of abatements approved; 38
(8) The dollar amount of the abatements; 39
(9) The number of employees engaged in construction of 40
each qualified p roject who are residents of Nevada and the number 41
of employees employed by each participant in a qualified project 42
who are residents of Nevada; 43

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(10) The number of qualified employees employed by each 1
participant in a qualified project and the total amoun t of wages paid 2
to those persons; and 3
(11) For each qualified project, an assessment of whether the 4
participants in the qualified project are making satisfactory progress 5
towards meeting the investment requirements necessary to support 6
the determination by the Office that the project is a qualified project. 7
(b) For each abatement from taxation that the Office approved 8
during the fiscal years which are 3 fiscal years, 6 fiscal years, 10 9
fiscal years and 20 fiscal years immediately preceding the 10
submission of the report: 11
(1) The dollar amount of the abatement; 12
(2) The value of infrastructure included as an incentive for 13
the qualified project; 14
(3) The economic sector in which each participant in the 15
qualified project operates, the number of primary job s or import 16
substitution jobs related to the qualified project, the average wage 17
paid to employees employed by the participants in the qualified 18
project and the assessed values of personal property and real 19
property of the qualified project; and 20
(4) Any other information that the Office determines to be 21
useful. 22
2. Except as otherwise provided in subsection 3, in addition to 23
the annual reports required to be prepared and submitted pursuant to 24
subsection 1, for the period beginning on July 1, 2017, and ending 25
on June 30, 2024, the Office shall, not less frequently than every 6 26
months, prepare and submit to the Governor and the Director of the 27
Legislative Counsel Bureau for transmittal to the Legislature a 28
report which includes, for the immediately preceding 6 months: 29
(a) The dollar amount of the abatements approved for the lead 30
participant in each qualified project; 31
(b) The number of employees engaged in construction of each 32
qualified project who are residents of Nevada and the number of 33
employees employed by each participant in each qualified project 34
who are residents of Nevada; 35
(c) The number of qualified employees employed by each 36
participant in each qualified project and the total amount of wages 37
paid to those persons; 38
(d) For each qualified p roject an assessment of whether the 39
participants in the qualified project are making satisfactory progress 40
towards meeting the investment requirements necessary to support 41
the determination by the Office that the project is a qualified project; 42
and 43
(e) Any other information requested by the Legislature. 44

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3. The Office is not required to prepare and submit the report 1
required by subsection 2 if, within 75 days after the end of the 2
period covered by the report: 3
(a) The Office receives an audit of the parti cipants in the project 4
for the period that would have been covered by the report; and 5
(b) That audit contains the information required to be included 6
in the report pursuant to paragraphs (a) to (d), inclusive, of 7
subsection 2. 8
4. In addition to the repo rts required to be prepared and 9
submitted pursuant to subsections 1 and 2, the Office shall, upon 10
request, make available to the Legislature any information 11
concerning a qualified project or any participant in a qualified 12
project. The Office shall make ava ilable any information requested 13
pursuant to this subsection within the period specified in the request. 14
5. The Office shall provide to the Fiscal Analysis Division of 15
the Legislative Counsel Bureau a copy of any agreement entered 16
into by the Office and the lead participant not later than 30 days 17
after the agreement is executed. 18
6. Notwithstanding the provisions of any other specific statute, 19
the information requested by the Legislature pursuant to this section 20
may include information considered confidential for other purposes. 21
If such confidential information is requested, the Office shall make 22
the information available to the Fiscal Analysis Division of the 23
Legislative Counsel Bureau for confidential examination. 24
Sec. 9. NRS 231.0685 is hereby amended to read as follows: 25
231.0685 1. The Office shall, on or before January 15 of each 26
odd-numbered year, prepare and submit to the Director of the 27
Legislative Counsel Bureau for transmission to the Legislature a 28
report conce rning the abatements from taxation that the Office 29
approved pursuant to NRS 274.310, 274.320, 274.330, 360.750, 30
360.753 or 360.754 . The report must set forth, for each abatement 31
from taxation that the Office approved during the fiscal years which 32
are 3 fis cal years and 6 fiscal years immediately preceding the 33
submission of the report: 34
[1.] (a) The dollar amount of the abatement; 35
[2.] (b) The location of the business for which the abatement 36
was approved; 37
[3.] (c) The value of infrastructure included as an incentive for 38
the business; 39
[4.] (d) If applicable, the number of employees that the business 40
for which the abatement was approved employs or will employ; 41
[5.] (e) Whether the business for which the abatement was 42
approved is a new business or an existing business; 43
[6.] (f) The following information concerning the business: 44

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(1) The economic sector in which the business operates [, 1
the] ; 2
(2) The number of primary jobs , import substitution jobs, 3
jobs with a provider of specialty health care and jobs with a 4
provider of health care in a rural area related to the business [, the] 5
; 6
(3) The average wage paid to employees of the business ; 7
and [the] 8
(4) The assessed values of personal property and re al 9
property of the business; 10
[7.] (g) Any information concerning whether the business for 11
which the abatement was approved participates or has participated 12
in a program of workforce development, as defined in NRS 231.146, 13
implemented by the Executive Director; and 14
[8.] (h) Any other information t hat the Office determines to be 15
useful. 16
2. As used in this section: 17
(a) “Import substitution job” has the meaning ascribed to it in 18
NRS 360.750. 19
(b) “Provider of health care” has the meaning ascribed to it in 20
NRS 629.031. 21
(c) “Provider of specialty health care” has the meaning 22
ascribed to it in NRS 360.750. 23
(d) “Rural area” has the meaning ascribed to it in 24
NRS 360.750. 25
Sec. 10. NRS 231.1467 is hereby amended to read as follows: 26
231.1467 1. A person who wishes to provide a program of 27
workforce recruitment, assessment and training may apply to the 28
Office for approval of the program. The application must be 29
submitted on a form prescribed by the Office. 30
2. Each application must include: 31
(a) The name, address, electronic mail address and telephone 32
number of the applicant; 33
(b) The name of each business for which the applicant will 34
provide the proposed program of workforce recruitment, assessment 35
and training; 36
(c) A statement of the objective s of the proposed program of 37
workforce recruitment, assessment and training; 38
(d) A description of the primary economic sector to be served by 39
the proposed program of workforce recruitment, assessment and 40
training; 41
(e) Evidence of workforce shortages with in the industry to be 42
served by the proposed program of workforce recruitment, 43
assessment and training; 44

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(f) Evidence that there is an insufficient number of existing 1
programs to develop the workforce needed for the industry to be 2
served by the proposed pr ogram of workforce recruitment, 3
assessment and training; 4
(g) A statement of the number and types of jobs with the 5
business for which the applicant will provide the proposed program 6
of workforce recruitment, assessment and training that are available 7
or will be available upon completion of the proposed program; 8
(h) A statement demonstrating the past performance of the 9
applicant in providing programs of workforce development, 10
including, without limitation: 11
(1) The number and type of credentials and certif ications 12
issued by programs of workforce development provided by the 13
applicant; and 14
(2) The number of businesses successfully served by the 15
programs of workforce development provided by the applicant; 16
(i) A proposed plan for the provision of the proposed program of 17
workforce recruitment, assessment and training on a statewide basis; 18
(j) A list of facilities that will be used by the proposed program 19
of workforce recruitment, assessment and training; 20
(k) A projection of the number of primary jobs , import 21
substitution jobs and jobs with a provider of specialty health care 22
or jobs with a provider of health care in a rural area that will be 23
served by the proposed program of workforce recruitment, 24
assessment and training and the wages for those jobs; 25
(l) Evidence satisfactory to the Office that the proposed program 26
of workforce recruitment, assessment and training is consistent with 27
the unified state plan submitted by the Governor to the Secretary of 28
Labor pursuant to 29 U.S.C. § 3112; 29
(m) A workforce diversity action plan; 30
(n) The estimated cost of the proposed program of workforce 31
recruitment, assessment and training; 32
(o) A statement by the business for which the applicant will 33
provide the proposed program of workforce recruitment, assessment 34
and t raining, which commits the business to report to the Office 35
required performance metrics to enable the Office to comply with 36
NRS 231.1513; 37
(p) A report from each business for which the applicant will 38
provide the proposed program of workforce recruitment, assessment 39
and training, which sets forth the basis for any furloughs or layoffs 40
conducted by the business in the 12 months immediately preceding 41
the date of the application for the job categories related to the 42
proposed program of workforce recruitment, a ssessment and 43
training; and 44
(q) Any other information requested by the Executive Director. 45

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3. Any program of workforce recruitment, assessment and 1
training approved by the Office pursuant to this section must: 2
(a) Include a workforce diversity action p lan approved by the 3
Office; 4
(b) To the extent practicable, be provided on a statewide basis to 5
support the industrial and economic development of all geographic 6
areas of this State; and 7
(c) Result in a postsecondary or industry -recognized credential, 8
or an identifiable occupational skill that meets the applicable 9
industry standard. 10
4. The Office shall: 11
(a) Maintain on the Internet website of the Office a list of the 12
criteria for evaluating applications for approval of a program of 13
workforce recruitment, assessment and training; 14
(b) Ensure, through coordination with relevant state agencies 15
and by reviewing any notices required pursuant to the federal 16
Worker Adjustment and Retraining Notification Act, 29 U.S.C. §§ 17
2101 et. seq., and the regulations adopted pursuant thereto, that each 18
business for which an applicant that submitted an application 19
pursuant to this section will provide a program of workforce 20
recruitment, assessment and training: 21
(1) Is in compliance with the laws of this State pe rtaining to 22
the conduct of businesses and employers; 23
(2) Is not excluded from receiving contracts from the Federal 24
Government as a result of being debarred; and 25
(3) Has included in the report submitted pursuant to 26
paragraph (p) of subsection 2 the basis for each furlough or layoff 27
conducted in the 12 months immediately preceding the date of the 28
application for the job categories related to the proposed program of 29
workforce recruitment, assessment and training; 30
(c) Approve or disapprove each application for approval of a 31
program of workforce recruitment, assessment and training within 32
60 days after receiving a complete application; and 33
(d) Provide notice of the approval or disapproval of each 34
application to the applicant within 10 days after approving o r 35
disapproving the application. 36
5. An authorized provider that provides a program of 37
workforce recruitment, assessment and training approved by the 38
Office pursuant to this section or the governing body of a local 39
government within the jurisdiction of whi ch the authorized provider 40
will provide the program may apply to the Office for an allocation, 41
grant or loan of money to defray in whole or in part the cost of the 42
program. The application must be submitted on a form prescribed by 43
the Office. 44

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6. The Offi ce shall approve or deny each application for an 1
allocation, grant or loan of money submitted pursuant to subsection 2
5 within 45 days after receipt of the application. When considering 3
an application, the Office shall give priority to a program of 4
workforce recruitment, assessment and training that will provide 5
workforce development services to one or more businesses that: 6
(a) Provide high -skill and high -wage jobs to residents of this 7
State, as defined by the Board of Economic Development; 8
(b) Provide postsecondary or industry -recognized credentials or 9
identifiable skills meeting the applicable industry standard, which 10
are not otherwise offered or not otherwise offered at scale in this 11
State; 12
(c) Impart a course of study for not more than 12 months that 13
delivers skills that are needed in the workforce; 14
(d) To the greatest extent practicable, use materials that are 15
produced or bought in this State; 16
(e) Are consistent with the State Plan for Economic 17
Development developed by the Executive Director pursuant to 18
subsection 2 of NRS 231.053; and 19
(f) Are consistent with the unified state plan submitted by the 20
Governor to the Secretary of Labor pursuant to 29 U.S.C. § 3112. 21
7. An authorized provider may use money distributed pursuant 22
to this section: 23
(a) To provide curriculum development and instructional 24
services; 25
(b) To pay for equipment or technology necessary to conduct the 26
training; 27
(c) To pay training fees or tuition for the program of workforce 28
recruitment, assessment and training, which are not othe rwise 29
covered by the program budget or other workforce development 30
funding; 31
(d) To promote the program of workforce recruitment, 32
assessment and training and for job recruiting and assessments 33
conducted through the program; 34
(e) To provide analysis of on-site training; 35
(f) To pay any costs relating to the rental of instructional 36
facilities, including, without limitation, utilities and costs relating to 37
the storage and transportation of equipment and supplies; 38
(g) To pay administrative and personnel costs, except that not 39
more than 10 percent of the money distributed pursuant to this 40
section is used for such purposes; and 41
(h) To pay any other costs, not including administrative and 42
personnel costs, necessary to effectively carry out the program of 43
workforce recruitment, assessment and training. 44

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8. Equipment purchased with money distributed as a grant 1
pursuant to this section is the property of the Office. At the end of 2
the grant period, the Office may recapture the equipment for 3
redistribution to other pr ograms of workforce recruitment, 4
assessment and training provided by an authorized provider. 5
9. A business in this State may apply to the Office to 6
participate in an approved program of workforce recruitment, 7
assessment and training provided by an author ized provider. The 8
application must be submitted on a form prescribed by the Office 9
and must include, without limitation: 10
(a) The name, address and telephone number of the business; 11
(b) Proof satisfactory to the Office that the business is consistent 12
with the State Plan for Economic Development developed by the 13
Executive Director pursuant to subsection 2 of NRS 231.053; 14
(c) A description of the number and types of jobs that the 15
business expects will be created as a result of its participation in 16
the program of workforce recruitment, assessment and training and 17
the wages the business expects to pay to persons employed in those 18
jobs; 19
(d) The types of services which will be provided to the business 20
through the program of workforce recruitment, assessment and 21
training; 22
(e) A workforce diversity action plan approved by the Office; 23
and 24
(f) Any other information required by the Office. 25
10. As used in this section: 26
(a) “Import substitution job” has the meaning ascribed to it in 27
NRS 360.750. 28
(b) “Provider of health care” has the meaning ascribed to it in 29
NRS 629.031. 30
(c) “Provider of specialty health care” has the meaning 31
ascribed to it in NRS 360.750. 32
(d) “Rural area ” has the meaning ascribed to it in 33
NRS 360.750. 34
Sec. 11. NRS 701A.210 is hereby amended to read as follows: 35
701A.210 1. Except as otherwise provided in this section, the 36
Office of Economic Development may grant a business a partial 37
abatement from the taxes imposed on real property pursuant to 38
chapter 361 of NRS if : [a:] 39
(a) [Business that engages] The business: 40
(1) Engages in the primary trade of preparing, fabricat ing, 41
manufacturing or otherwise processing raw material or an 42
intermediate product through a process in which at least 50 percent 43
of the material or product is recycled on-site; [or 44
(b) Business that includes] 45

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(2) Includes as a primary component a faci lity for the 1
generation of electricity from recycled material [, 2
 is found by the Office of Economic Development to have ] or a 3
facility for th e production of biofuels, biomass or other primary 4
fuels from recycled material; or 5
(3) Primarily engages in th e recycling or repurposing of 6
materials that were used to produce or store renewable energy, 7
including, without limitation, materials used in solar panels, or 8
waste materials resulting from the extraction of minerals; 9
(b) The Office finds that the business has as a primary purpose 10
the conservation of energy , [or] the substitution of other sources of 11
energy for fossil sources of energy [and] or the advancement of the 12
environmental sustainability and energy goals of this State; 13
(c) The business obtains certification from the Office [of 14
Economic Development ] pursuant to NRS 360.750 [, the Office 15
may, if the] ; and 16
(d) The business [additionally] satisfies the requirements set 17
forth in subsection 2 of NRS 361.0687 . [, grant to the business a 18
partial abatement from the taxes imposed on real property pursuant 19
to chapter 361 of NRS.] 20
2. If a partial abatement from the taxes imposed on real 21
property pursuant to chapter 361 of NRS is approved by the Office 22
of Economic Development pursuant to NRS 360.750 for a business 23
described in subsection 1: 24
(a) The partial abatement must: 25
(1) Be for a duration of at least 1 year but not more than 10 26
years; 27
(2) Not exceed 50 percent of the taxes on real property 28
payable by the business each year; and 29
(3) Be administered and carried out in the manner set forth in 30
NRS 360.750. 31
(b) The Executive Director of the Office of Economic 32
Development shall notify the county assessor of the county in which 33
the business is located of the approval of the partial abatement, 34
including, without limitation, the duration and percentage of the 35
partial abatement that the Office granted. The Executive Director 36
shall, on or before April 15 of each year, advise the county assessor 37
of each county in which a business qualifies for a partial abatement 38
during the current fiscal year as to whether the business is still 39
eligible for the partial abatement in the next succeeding fiscal year. 40
3. The partial abatement provided in this section applies only 41
to the business for which certification was granted pursuant to NRS 42
360.750 and the property used in connection with that business. The 43
exemption does not apply to property in this State that is not related 44
to the business for which the certification was granted pur suant to 45

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NRS 360.750 or to property in existence and subject to taxation 1
before the certification was granted. 2
4. As used in this section [, “facility] : 3
(a) “Anaerobic digestion” means the breaking down of 4
organic waste using anaerobic bacteria to create biogas. 5
(b) “Biofuel” means any alcohol, ether, ester or other 6
chemical compound made from herbaceous plants, woody plants 7
or organic waste. 8
(c) “Biomass” means any organic matter that is available on a 9
renewable basis, including, without limitation: 10
(1) Agricultural crops and agricultural wastes and 11
residues; 12
(2) Wood and wood wastes and residues; 13
(3) Animal wastes; 14
(4) Municipal wastes; and 15
(5) Aquatic plants. 16
(d) “Facility for the generation of electricity from recycled 17
material” means a facility for the generation of electricity that uses 18
recycled material as its primary fuel, including material from: 19
[(a)] (1) Industrial or domestic waste, other than hazardous 20
waste, even though it includes a product made from oil, natural gas 21
or coal, such as plastics, asphalt shingles or tires; 22
[(b)] (2) Agricultural crops, whether terrestrial or aquatic, and 23
agricultural waste, such as manure and residue from crops; and 24
[(c)] (3) Municipal waste, such as sewage and sludge. 25
 The term includes all the equipment in the facility used to process 26
and convert into electricity the energy derived from a recycled 27
material fuel. 28
(e) “Facility for the production of biofuels, biomass or other 29
primary fuels from recycled material” means a facility for the 30
production of biofuels, biomass or other primary fuels that uses 31
recycled material to produce biofuels, biomass or other primary 32
fuels for use in the generation of energy, including material from: 33
(1) Industrial or domestic waste, othe r than hazardous 34
waste, even though it includes a product made from oil, natural 35
gas or coal, such as plastics, asphalt shingles or tires; 36
(2) Agricultural crops, whether terrestrial or aquatic, and 37
agricultural waste, such as manure and residue from crops; and 38
(3) Municipal waste, such as sewage and sludge. 39
 The term includes all the equipment in the facility used to 40
process and convert into biofuels, biomass or other primary fuels 41
the energy derived from a recycled material fuel and facilities for 42
the generation of electricity or biofuels, biomass or other primary 43
fuels through gasification and pyrolysis, anaerobic digestion, the 44

– 39 –

- *AB77*
recovery of gas from landfills, modified microbial fuel cells, 1
triboelectric devices or the recycling of solar panels. 2
(f) “Gasification and pyrolysis” means the use of heat to 3
convert waste into synthesis gas. 4
(g) “Modified microbial fuel cell” means the use of 5
microorganisms to convert the chemical energy in organic waste 6
into electricity while simultaneously treating wastewater. 7
(h) “Recycled material” includes, without limitation, critical 8
materials, waste materials from the extraction of minerals and 9
products for the production or storage of renewable energy that 10
are recycled or repurposed. 11
(i) “Renewable energy”: 12
(1) Means: 13
(I) Biomass; 14
(II) Fuel cells; 15
(III) Geothermal energy; 16
(IV) Solar energy; 17
(V) Waterpower; and 18
(VI) Wind. 19
(2) Does not include coal, natural gas, oil, propane or any 20
other fossil fuel, or nuclear energy. 21
(j) “Triboelectric device” means a device that converts energy 22
from ambient vibrations into electricity. 23
Sec. 12. The amendatory provisions of this act do not apply to 24
or otherwise affect any abatement of taxes approved by the Office of 25
Economic Development or any application for an abatement filed 26
with the Office before October 1, 2025. 27
Sec. 13. 1. This section and sections 1 to 12, inclusive, of 28
this act become effective on October 1, 2025. 29
2. Sections 1 and 5 to 7, inclusive, of this act expire by 30
limitation on June 30, 2032. 31
3. Section 3 of this act expires by limitation on June 30, 2035. 32
4. Section 8 of this act expires by limitation on June 30, 2036. 33
5. Section 4 of this act expires by limita tion on December 31, 34
2056. 35

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