Nevada Assembly Bill AB77 Latest Draft

                              
  
  	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 materials 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 revenue 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 determination 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 sold 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 is 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 care 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 training 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 an 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 component 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 production 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 limitation, 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 sales 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 otherwise 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 for 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 care 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 license 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 least 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 following 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 its 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 business 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 less 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 years 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 existing 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 immediately 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 which 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 possessed 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 at 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 assessor 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 the 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 discourage 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 employees, 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 unemployment 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 its 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 section 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 Development 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 exceeds 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 NRS 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 State 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 less 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 that 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 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. 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 execute 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 location 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, without 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 employment 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 the 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   
 	– 13 – 
 
 
- 	*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 State 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 investment 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 application 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 abatement 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 approve 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   
 	– 14 – 
 
 
- 	*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 failure 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   
 	– 15 – 
 
 
- 	*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” means 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 Economic 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 Director 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   
 	– 16 – 
 
 
- 	*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 will, 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 any 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 statewide 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 which 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 employees 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 residents 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 full-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 combination 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 abatement 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 Nevada 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 center 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 pursuant 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 abatement 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 abatement 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 substantially 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 Director 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 regulations 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 who 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   
 	– 22 – 
 
 
- 	*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 partial 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 the 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 business 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 satisfactory 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 provides 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 the 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   
 	– 24 – 
 
 
- 	*AB77* 
  (2) Requires the lead participant to seek reimbursement 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 in 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 meets 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 average 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   
 	– 25 – 
 
 
- 	*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, including 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 executed 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 abatement 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 that 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   
 	– 26 – 
 
 
- 	*AB77* 
maintain the following documents 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 driver’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 registration 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 the 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 the 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   
 	– 27 – 
 
 
- 	*AB77* 
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 during 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   
 	– 28 – 
 
 
- 	*AB77* 
  (2) The value of infrastructure included as an incentive 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 than 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 qualified 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 less 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 included 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   
 	– 29 – 
 
 
- 	*AB77* 
 (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 project 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   
 	– 30 – 
 
 
- 	*AB77* 
  (10) The number of qualified employees employed by each 1 
participant in a qualified project and the total amount 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 jobs 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 project 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   
 	– 31 – 
 
 
- 	*AB77* 
 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 participants 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 reports 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 available 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 concerning 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 fiscal 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   
 	– 32 – 
 
 
- 	*AB77* 
  (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 real 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 that 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 objectives 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 within the industry to be 42 
served by the proposed program of workforce recruitment, 43 
assessment and training; 44   
 	– 33 – 
 
 
- 	*AB77* 
 (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 program 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 certifications 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 training, 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, assessment and 43 
training; and 44 
 (q) Any other information requested by the Executive Director. 45   
 	– 34 – 
 
 
- 	*AB77* 
 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 plan 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 pertaining 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 or 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 which 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   
 	– 35 – 
 
 
- 	*AB77* 
 6.  The Office 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 otherwise 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   
 	– 36 – 
 
 
- 	*AB77* 
 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 programs 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 authorized 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, fabricating, 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   
 	– 37 – 
 
 
- 	*AB77* 
  (2) Includes as a primary component a facility 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 the production of biofuels, biomass or other primary 4 
fuels from recycled material; or 5 
  (3) Primarily engages in the 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 pursuant to 45   
 	– 38 – 
 
 
- 	*AB77* 
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, other 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 limitation on December 31, 34 
2056. 35 
 
H