EXEMPT (Reprinted with amendments adopted on June 1, 2023) SECOND REPRINT A.B. 258 - *AB258 _R2 * ASSEMBLY BILL NO. 258–ASSEMBLYWOMEN BACKUS; AND KASAMA MARCH 7, 2023 ____________ Referred to Committee on Government Affairs SUMMARY—Enacts certain provisions governing the confidentiality of certain personal information of a donor, member or volunteer of a nonprofit organization. (BDR 19-605) FISCAL NOTE: Effect on Local Government: Increases or Newly Provides for Term of Imprisonment in County or City Jail or Detention Facility. Effect on the State: Yes. ~ EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. AN ACT relating to governmental administration; requiring, with certain exceptions, a governmental entity to keep confidential certain personal information regarding donors, members or volunteers of a nonprofit organization; prohibiting, with certain exceptions, a governmental entity from requesting or releasing certain personal information regarding donors, members or volunteers of a nonprofit organization; making an appropriation to the Interim Finance Committee for allocation to the Office of the Attorney General to fund certain positions; providing a penalty; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Existing law authorizes certain governmental agencies to collect certain 1 personal information. (Chapter 239B of NRS) Existing law also prohibits, with 2 certain exceptions, a governmental agency from requiring a person to include 3 personal information on any document submitted to the governmental agency after 4 a certain date. (NRS 239B.030) Section 2 of this bill requires, with certain 5 exceptions, a governmental entity to keep confidential any personal information in 6 the records of the governmental entity that identifies a person as a donor, member 7 or volunteer of a nonprofit organization. Section 2 also prohibits, with certain 8 exceptions, a governmental entity from: (1) requiring that any person or nonprofit 9 organization provide the governmental entity with personal information that 10 – 2 – - *AB258 _R2 * identifies a donor, member or volunteer of a nonprofit organization; (2) releasing, 11 publicizing or otherwise publicly disclosing personal information that identifies a 12 donor, member or volunteer of a nonprofit organization; or (3) requesting or 13 requiring a current or prospective contractor or grantee to provide a list of nonprofit 14 organizations to which the contractor or grantee has provided support. Section 2 15 provides that the personal information that identifies a donor, member or volunteer 16 of a nonprofit organization includes any list, record, register, roster or other data of 17 any kind that includes a donation, name, address or telephone number that directly 18 or indirectly identifies a person as a donor of financial or nonfinancial support, 19 member or volunteer of any nonprofit organization. 20 Section 2 provides that a person who alleges that a governmental entity or an 21 officer or employee of a governmental entity has violated these provisions may 22 bring a civil action to obtain certain relief, including damages in an amount of not 23 less than: (1) $2,500 for a violation; and (2) $7,500 for an intentional violation. 24 Section 1 of this bill makes a conforming change to provide that such personal 25 information is not a public record. 26 Section 3 of this bill makes a conforming change to prohibit the Secretary of 27 State, in carrying out certain requirements of existing law, from collecting or 28 disclosing any information that directly identifies a person as a donor of financial 29 support to a nonprofit organization. 30 Section 4 of this bill makes a conforming change to provide that any 31 information collected by the Attorney General in an audit, examination, review or 32 investigation of a corporation for public benefit or a corporation holding assets in a 33 charitable trust may only be used in connection with the audit, examination, review 34 or investigation and is otherwise subject to the requirements of section 2. 35 Section 5 of this bill makes an appropriation to the Interim Finance Committee 36 for allocation to the Office of the Attorney General to fund certain positions. 37 THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. NRS 239.010 is hereby amended to read as follows: 1 239.010 1. Except as otherwise provided in this section and 2 NRS 1.4683, 1.4687, 1A.110, 3.2203, 41.0397, 41.071, 49.095, 3 49.293, 62D.420, 62D.440, 62E.516, 62E.620, 62H.025, 62H.030, 4 62H.170, 62H.220, 62H.320, 75A.100, 75A.150, 76.160, 78.152, 5 80.113, 81.850, 82.183, 86.246, 86.54615, 87.515, 87.5413, 6 87A.200, 87A.580, 87A.640, 88.3355, 88.5927, 88.6067, 88A.345, 7 88A.7345, 89.045, 89.251, 90.730, 91.160, 116.757, 116A.270, 8 116B.880, 118B.026, 119.260, 119.265, 119.267, 119.280, 9 119A.280, 119A.653, 119A.677, 119B.370, 119B.382, 120A.640, 10 120A.690, 125.130, 125B.140, 126.141, 126.161, 126.163, 126.730, 11 127.007, 127.057, 127.130, 127.140, 127.2817, 128.090, 130.312, 12 130.712, 136.050, 159.044, 159A.044, 172.075, 172.245, 176.015, 13 176.0625, 176.09129, 176.156, 176A.630, 178.39801, 178.4715, 14 178.5691, 179.495, 179A.070, 179A.165, 179D.160, 200.3771, 15 200.3772, 200.5095, 200.604, 202.3662, 205.4651, 209.392, 16 209.3923, 209.3925, 209.419, 209.429, 209.521, 211A.140, 17 213.010, 213.040, 213.095, 213.131, 217.105, 217.110, 217.464, 18 – 3 – - *AB258 _R2 * 217.475, 218A.350, 218E.625, 218F.150, 218G.130, 218G.240, 1 218G.350, 224.240, 226.300, 228.270, 228.450, 228.495, 228.570, 2 231.069, 231.1473, 232.1369, 233.190, 237.300, 239.0105, 3 239.0113, 239.014, 239B.026, 239B.030, 239B.040, 239B.050, 4 239C.140, 239C.210, 239C.230, 239C.250, 239C.270, 239C.420, 5 240.007, 241.020, 241.030, 241.039, 242.105, 244.264, 244.335, 6 247.540, 247.550, 247.560, 250.087, 250.130, 250.140, 250.150, 7 268.095, 268.0978, 268.490, 268.910, 269.174, 271A.105, 281.195, 8 281.805, 281A.350, 281A.680, 281A.685, 281A.750, 281A.755, 9 281A.780, 284.4068, 284.4086, 286.110, 286.118, 287.0438, 10 289.025, 289.080, 289.387, 289.830, 293.4855, 293.5002, 293.503, 11 293.504, 293.558, 293.5757, 293.870, 293.906, 293.908, 293.910, 12 293B.135, 293D.510, 331.110, 332.061, 332.351, 333.333, 333.335, 13 338.070, 338.1379, 338.1593, 338.1725, 338.1727, 348.420, 14 349.597, 349.775, 353.205, 353A.049, 353A.085, 353A.100, 15 353C.240, 360.240, 360.247, 360.255, 360.755, 361.044, 361.2242, 16 361.610, 365.138, 366.160, 368A.180, 370.257, 370.327, 372A.080, 17 378.290, 378.300, 379.0075, 379.008, 379.1495, 385A.830, 18 385B.100, 387.626, 387.631, 388.1455, 388.259, 388.501, 388.503, 19 388.513, 388.750, 388A.247, 388A.249, 391.033, 391.035, 20 391.0365, 391.120, 391.925, 392.029, 392.147, 392.264, 392.271, 21 392.315, 392.317, 392.325, 392.327, 392.335, 392.850, 393.045, 22 394.167, 394.16975, 394.1698, 394.447, 394.460, 394.465, 23 396.1415, 396.1425, 396.143, 396.159, 396.3295, 396.405, 396.525, 24 396.535, 396.9685, 398A.115, 408.3885, 408.3886, 408.3888, 25 408.5484, 412.153, 414.280, 416.070, 422.2749, 422.305, 26 422A.342, 422A.350, 425.400, 427A.1236, 427A.872, 432.028, 27 432.205, 432B.175, 432B.280, 432B.290, 432B.4018, 432B.407, 28 432B.430, 432B.560, 432B.5902, 432C.140, 432C.150, 433.534, 29 433A.360, 439.4941, 439.4988, 439.840, 439.914, 439A.116, 30 439A.124, 439B.420, 439B.754, 439B.760, 439B.845, 440.170, 31 441A.195, 441A.220, 441A.230, 442.330, 442.395, 442.735, 32 442.774, 445A.665, 445B.570, 445B.7773, 447.345, 449.209, 33 449.245, 449.4315, 449A.112, 450.140, 450B.188, 450B.805, 34 453.164, 453.720, 458.055, 458.280, 459.050, 459.3866, 459.555, 35 459.7056, 459.846, 463.120, 463.15993, 463.240, 463.3403, 36 463.3407, 463.790, 467.1005, 480.535, 480.545, 480.935, 480.940, 37 481.063, 481.091, 481.093, 482.170, 482.368, 482.5536, 483.340, 38 483.363, 483.575, 483.659, 483.800, 484A.469, 484B.830, 39 484B.833, 484E.070, 485.316, 501.344, 503.452, 522.040, 40 534A.031, 561.285, 571.160, 584.655, 587.877, 598.0964, 598.098, 41 598A.110, 598A.420, 599B.090, 603.070, 603A.210, 604A.303, 42 604A.710, 612.265, 616B.012, 616B.015, 616B.315, 616B.350, 43 618.341, 618.425, 622.238, 622.310, 623.131, 623A.137, 624.110, 44 624.265, 624.327, 625.425, 625A.185, 628.418, 628B.230, 45 – 4 – - *AB258 _R2 * 628B.760, 629.047, 629.069, 630.133, 630.2671, 630.2672, 1 630.2673, 630.30665, 630.336, 630A.327, 630A.555, 631.332, 2 631.368, 632.121, 632.125, 632.3415, 632.3423, 632.405, 633.283, 3 633.301, 633.4715, 633.4716, 633.4717, 633.524, 634.055, 4 634.1303, 634.214, 634A.169, 634A.185, 635.111, 635.158, 5 636.262, 636.342, 637.085, 637.145, 637B.192, 637B.288, 638.087, 6 638.089, 639.183, 639.2485, 639.570, 640.075, 640.152, 640A.185, 7 640A.220, 640B.405, 640B.730, 640C.580, 640C.600, 640C.620, 8 640C.745, 640C.760, 640D.135, 640D.190, 640E.225, 640E.340, 9 641.090, 641.221, 641.2215, 641.325, 641A.191, 641A.217, 10 641A.262, 641B.170, 641B.281, 641B.282, 641C.455, 641C.760, 11 641D.260, 641D.320, 642.524, 643.189, 644A.870, 645.180, 12 645.625, 645A.050, 645A.082, 645B.060, 645B.092, 645C.220, 13 645C.225, 645D.130, 645D.135, 645G.510, 645H.320, 645H.330, 14 647.0945, 647.0947, 648.033, 648.197, 649.065, 649.067, 652.126, 15 652.228, 653.900, 654.110, 656.105, 657A.510, 661.115, 665.130, 16 665.133, 669.275, 669.285, 669A.310, 671.170, 673.450, 673.480, 17 675.380, 676A.340, 676A.370, 677.243, 678A.470, 678C.710, 18 678C.800, 679B.122, 679B.124, 679B.152, 679B.159, 679B.190, 19 679B.285, 679B.690, 680A.270, 681A.440, 681B.260, 681B.410, 20 681B.540, 683A.0873, 685A.077, 686A.289, 686B.170, 686C.306, 21 687A.060, 687A.115, 687B.404, 687C.010, 688C.230, 688C.480, 22 688C.490, 689A.696, 692A.117, 692C.190, 692C.3507, 692C.3536, 23 692C.3538, 692C.354, 692C.420, 693A.480, 693A.615, 696B.550, 24 696C.120, 703.196, 704B.325, 706.1725, 706A.230, 710.159, 25 711.600, and section 2 of this act, sections 35, 38 and 41 of chapter 26 478, Statutes of Nevada 2011 and section 2 of chapter 391, Statutes 27 of Nevada 2013 and unless otherwise declared by law to be 28 confidential, all public books and public records of a governmental 29 entity must be open at all times during office hours to inspection by 30 any person, and may be fully copied or an abstract or memorandum 31 may be prepared from those public books and public records. Any 32 such copies, abstracts or memoranda may be used to supply the 33 general public with copies, abstracts or memoranda of the records or 34 may be used in any other way to the advantage of the governmental 35 entity or of the general public. This section does not supersede or in 36 any manner affect the federal laws governing copyrights or enlarge, 37 diminish or affect in any other manner the rights of a person in any 38 written book or record which is copyrighted pursuant to federal law. 39 2. A governmental entity may not reject a book or record 40 which is copyrighted solely because it is copyrighted. 41 3. A governmental entity that has legal custody or control of a 42 public book or record shall not deny a request made pursuant to 43 subsection 1 to inspect or copy or receive a copy of a public book or 44 record on the basis that the requested public book or record contains 45 – 5 – - *AB258 _R2 * information that is confidential if the governmental entity can 1 redact, delete, conceal or separate, including, without limitation, 2 electronically, the confidential information from the information 3 included in the public book or record that is not otherwise 4 confidential. 5 4. If requested, a governmental entity shall provide a copy of a 6 public record in an electronic format by means of an electronic 7 medium. Nothing in this subsection requires a governmental entity 8 to provide a copy of a public record in an electronic format or by 9 means of an electronic medium if: 10 (a) The public record: 11 (1) Was not created or prepared in an electronic format; and 12 (2) Is not available in an electronic format; or 13 (b) Providing the public record in an electronic format or by 14 means of an electronic medium would: 15 (1) Give access to proprietary software; or 16 (2) Require the production of information that is confidential 17 and that cannot be redacted, deleted, concealed or separated from 18 information that is not otherwise confidential. 19 5. An officer, employee or agent of a governmental entity who 20 has legal custody or control of a public record: 21 (a) Shall not refuse to provide a copy of that public record in the 22 medium that is requested because the officer, employee or agent has 23 already prepared or would prefer to provide the copy in a different 24 medium. 25 (b) Except as otherwise provided in NRS 239.030, shall, upon 26 request, prepare the copy of the public record and shall not require 27 the person who has requested the copy to prepare the copy himself 28 or herself. 29 Sec. 2. Chapter 239B of NRS is hereby amended by adding 30 thereto a new section to read as follows: 31 1. Except as otherwise provided in subsection 3, a 32 governmental entity shall maintain in a confidential manner any 33 personal information that identifies a person as a donor, member 34 or volunteer of a nonprofit organization. 35 2. Except as otherwise provided in subsection 3, a 36 governmental entity shall not: 37 (a) Require any person or nonprofit organization to provide 38 the governmental entity with personal information that identifies a 39 person as a donor, member or volunteer of a nonprofit 40 organization or otherwise compel the release of such personal 41 information; 42 (b) Release, publicize or otherwise publicly disclose personal 43 information in possession of the governmental entity that 44 – 6 – - *AB258 _R2 * identifies a person as a donor, member or volunteer of a nonprofit 1 organization; or 2 (c) Request or require a current or prospective contractor or 3 grantee working with the governmental entity to provide a list of 4 nonprofit organizations to which the contractor or grantee has 5 provided financial or nonfinancial support. 6 3. The provisions of subsections 1 and 2 do not apply to 7 personal information that identifies a person as a donor, member 8 or volunteer of a nonprofit organization that is requested, 9 obtained, released or disclosed as a result of the following: 10 (a) Any personal information required to be disclosed for the 11 purpose of complying with any provision of federal law; 12 (b) Any information, report or disclosure required to be filed 13 with the Secretary of State pursuant to title 7 of NRS provided 14 that, except as otherwise provided in this subsection, any 15 information that directly identifies a person as a donor of 16 financial support to a nonprofit organization must not be collected 17 or disclosed; 18 (c) Any report or disclosure required to be filed pursuant to 19 chapter 294A of NRS; 20 (d) Any confidential information shared pursuant to 21 NRS 232.357; 22 (e) Any warrant issued by a court of competent jurisdiction; 23 (f) Any request for information in connection with discovery 24 proceedings if: 25 (1) The relevant and probative value of the information 26 requested outweighs its prejudicial effect; and 27 (2) The requester obtains a protective order from the court 28 barring the disclosure of such information to any person not 29 named in the proceedings; 30 (g) Any personal information voluntarily released by a person 31 to the governmental entity or any personal information voluntarily 32 released by a nonprofit organization to the public; 33 (h) Any personal information resulting from a donation to a 34 nonprofit organization that is affiliated with a governmental entity 35 that was disclosed to the governmental entity pursuant to state 36 law; 37 (i) Any personal information admitted as evidence before a 38 court of competent jurisdiction, if the court finds there is good 39 cause for the public release of such information; 40 (j) Any requests for screenings submitted by a nonprofit 41 organization pursuant to NRS 179A.325; 42 (k) Any contract, resolution or agreement entered into by a 43 nonprofit organization with a governmental entity, including for 44 purposes of obtaining a governmental benefit or grant, whereby 45 – 7 – - *AB258 _R2 * the governmental entity is authorized to or any statute which 1 expressly authorizes a governmental entity to inspect the records 2 of the nonprofit organization, including, without limitation, a 3 contract, resolution or agreement entered into pursuant to NRS 4 427A.085, 433.354, 433B.220 or 439.155; 5 (l) Any report required to be filed by a nonprofit organization 6 and posted by the Department of Health and Human Services on 7 the Internet website maintained by the Department pursuant to 8 NRS 439B.665 and 439B.670; 9 (m) Any information required to be filed by a nonprofit 10 organization of surplus line brokers with the Commissioner of 11 Insurance pursuant to NRS 685A.075; 12 (n) Any information submitted to a governmental entity by a 13 national securities association that is registered pursuant to 15 14 U.S.C. § 78o-3 or any regulation adopted pursuant thereto, 15 including, without limitation, any information submitted to the 16 Secretary of State pursuant to chapters 90 and 91 of NRS and any 17 regulations adopted pursuant thereto for the purposes of licensing, 18 registration, examination, investigation or enforcement; 19 (o) Any requirement to disclose the relationship between a 20 public officer or employee and a nonprofit organization pursuant 21 to NRS 281A.420, as a response to a lawful request or subpoena in 22 an investigation or as part of or in response to a request for an 23 advisory opinion submitted pursuant to NRS 281A.670 to 24 281A.690, inclusive, or an ethics complaint filed or initiated 25 pursuant to NRS 281A.700 to 281A.790, inclusive; 26 (p) Any information submitted to or requested by the Nevada 27 Gaming Control Board pursuant to NRS 462.160 for the purposes 28 of the licensing or registration of a charitable lottery or charitable 29 game, provided that any information collected is confidential as 30 provided in NRS 463.120; 31 (q) A request for information: 32 (1) Required by the Attorney General for an audit, 33 examination, review or investigation conducted pursuant to NRS 34 82.536, provided that: 35 (I) Such information shall only be used in connection 36 with the specific audit, examination, review or investigation to 37 which the request relates and for any related proceedings; and 38 (II) Such information shall otherwise remain subject to 39 the provisions of this section, unless expressly required by law to 40 be publicly disclosed; 41 (2) Relating to the authority to exercise the power of the 42 Secretary of State or the power of the Attorney General in the 43 areas of consumer protection pursuant to NRS 228.380, including, 44 without limitation, the provisions of NRS 90.615, 597.262, 45 – 8 – - *AB258 _R2 * 597.8198, 598C.180, 599B.015, and 599B.213 to 599B.245, 1 inclusive, and chapters 598, 598A and 711 of NRS, provided that 2 such information is otherwise subject to the requirements of this 3 section, unless expressly required by law to be publicly disclosed; 4 (3) Relating to a criminal investigation or prosecution by 5 the Attorney General, where there is credible evidence that a crime 6 has been or is being committed or for information relating to any 7 authorized civil investigation or inquiry undertaken by the 8 Attorney General, provided that any personal information 9 obtained in such an investigation or prosecution shall remain 10 confidential unless its disclosure is expressly required by law to be 11 publicly disclosed or is necessary to publicize in a court pleading 12 or submission of evidence to a court; or 13 (4) Connected with a constituent complaint submitted to the 14 Attorney General; and 15 (r) The names of members of a labor organization and the 16 amount of dues collected by a governmental entity that are 17 provided to the labor organization for the purposes of collecting 18 and reporting the remittance of dues to the labor organization 19 from its members, in accordance with a valid authorization to 20 withhold dues. 21 4. Any person who alleges that a governmental entity or an 22 officer or employee of a governmental entity has violated the 23 provisions of subsection 1 or 2 may bring a civil action in a court 24 of competent jurisdiction. If the person prevails, the person is 25 entitled to receive any or all of the following relief: 26 (a) Injunctive relief as the court deems appropriate; 27 (b) Costs incurred in bringing the action, including, without 28 limitation, reasonable attorney’s fees; 29 (c) Except as otherwise provided in paragraph (d), damages of 30 not less than $2,500; and 31 (d) If the court determines that a governmental entity or 32 officer or employee of a governmental entity intentionally violated 33 the provisions of this section, damages of not less than $7,500. 34 5. For the purposes of this section, personal information that 35 identifies a person as a donor, member or volunteer of a nonprofit 36 organization: 37 (a) Includes, without limitation, any list, record, register, 38 roster or other data of any kind that includes a donation, name, 39 address or telephone number that directly or indirectly identifies a 40 person as a donor of financial or nonfinancial support, member or 41 volunteer of any nonprofit organization; and 42 (b) Does not include information that identifies a person as a 43 staff member, employee or contractor of a nonprofit organization. 44 6. As used in this section: 45 – 9 – - *AB258 _R2 * (a) “Governmental entity” has the meaning ascribed to it in 1 NRS 239.005. 2 (b) “Labor organization” has the meaning ascribed to it in 3 NRS 288.048. 4 (c) “Nonprofit organization” means: 5 (1) An organization which qualifies as tax exempt pursuant 6 to section 501(c) of the Internal Revenue Code; and 7 (2) Any entity that has submitted an application with the 8 Internal Revenue Service for recognition as a tax exempt entity 9 pursuant to section 501(c) of the Internal Revenue Code. 10 Sec. 3. Chapter 75 of NRS is hereby amended by adding 11 thereto a new section to read as follows: 12 Pursuant to section 2 of this act, in carrying out the 13 requirements of this title, the Secretary of State shall not collect or 14 disclose any information that directly identifies a person as a 15 donor of financial support to a nonprofit organization. 16 Sec. 4. NRS 82.536 is hereby amended to read as follows: 17 82.536 1. A corporation for public benefit and a corporation 18 holding assets in charitable trust is subject at all times to 19 examination by the Attorney General, on behalf of the State, to 20 ascertain the condition of its affairs and to what extent, if at all, it 21 fails to comply with trusts it has assumed or has departed from the 22 purposes for which it is formed. In case of any such a failure or 23 departure, the Attorney General may institute, in the name of the 24 State, the proceeding necessary to correct the noncompliance or 25 departure. 26 2. The Attorney General, or any person given the status of 27 relator by the Attorney General, may bring an action to enjoin, 28 correct, obtain damages for or otherwise to remedy a breach of a 29 charitable trust or departure from the purposes for which it is 30 formed. 31 3. Any information collected by the Attorney General 32 pursuant to this section: 33 (a) Shall only be used in connection with an audit, 34 examination, review or investigation by the Attorney General and 35 for any proceedings or action resulting from such an audit, 36 examination or investigation; and 37 (b) Except as otherwise provided in this subsection and section 38 2 of this act, is subject to the requirements of section 2 of this act, 39 unless expressly required by law to be publicly disclosed. 40 Sec. 5. 1. There is hereby appropriated from the State 41 General Fund to the Interim Finance Committee for allocation to the 42 Office of the Attorney General to fund one Deputy Attorney 43 General position and one Compliance Investigator position the 44 following sums: 45 – 10 – - *AB258 _R2 * For the Fiscal Year 2023-2024 .................................. $202,583 1 For the Fiscal Year 2024-2025 .................................. $249,577 2 2. Any balance of the sums appropriated by subsection 1 3 remaining at the end of the respective fiscal years must not be 4 committed for expenditure after June 30 of the respective fiscal 5 years by the entity to which the appropriation is made or any entity 6 to which money from the appropriation is granted or otherwise 7 transferred in any manner, and any portion of the appropriated 8 money remaining must not be spent for any purpose after 9 September 20, 2024, and September 19, 2025, respectively, by 10 either the entity to which the money was appropriated or the entity 11 to which the money was subsequently granted or transferred, and 12 must be reverted to the State General Fund on or before 13 September 20, 2024, and September 19, 2025, respectively. 14 Sec. 6. 1. This section and section 5 of this act become 15 effective on July 1, 2023. 16 2. Sections 1 to 4, inclusive, of this act become effective on 17 October 1, 2023. 18 H