The Vegas Chamber: Legislative Priorities 2023

WHY COMMON SENSE MATTERS...

Every legislative session brings together engaged Nevadans – state legislators, community organizations, chambers of commerce, business trade associations, organized labor, think tanks, special interest groups, and residents – to discuss, debate, and build consensus regarding challenges and opportunities in the state.

The decisions made – or not made - have a direct impact on the lives and livelihoods of the 3.2 million people who call Nevada home. The lens through which legislation is considered is vitally important to the future of the state, Nevada residents, and future generations.

One important principle that the Vegas Chamber believes is essential towards legislative measures, is taking a common sense approach. Nevadans want common sense legislation. Common sense legislation is practical, fair, and based on consensus. It should be reasonable in nature and help the greatest number of people. Legislation should not be extreme or radical in its approach. Common sense is something that we each embrace in our daily lives and an expectation that we should have for policy makers at the State Legislature.

Common sense, as defined by Britannica is, “The ability to think and behave in a reasonable way and to make good decisions.”

A common sense approach to good governance considers:

• Is the problem truly in need of a legislative or government solution?

• What are the long-term ramifications and unintended consequences of the proposal?

• Will it help or harm employers, small businesses, job creation, or the economic climate?

Common sense matters in governance because it demonstrates to constituents that lawmakers are focused on the big picture; are open-minded and transparent; and want to address issues that are truly problematic.

COMMON SENSE IN BUSINESS AND EMPLOYER REGULATIONS…

Employers, regardless of size or industry, need predictability so they can plan ahead, and operate. No one wants uncertainty. Instability arises when government enacts constant changes, additional costs, and burdensome mandates that hamper employers’ ability to operate, hire, and survive. Its common sense that a predictable, steady, and fair regulatory environment is important to creating a healthy and stable business climate.

For many years, Nevada had a reputation for having an employer-friendly regulatory climate that made it easier for people to pursue their dreams of starting and building a business. However, there have been proposals in recent legislative sessions that have threatened this status. Undermining this entrepreneurial climate puts our economy at risk, especially as we work to attract new employers and industries from other states in hopes of diversification. It puts jobs at risk, which will impact employees and their families.

COMMON SENSE IN REGULATORY AND LITIGATION ENVIRONMENT…

Neighboring states in the Intermountain West Region have made significant strides in economic diversification initiatives. Nevada needs to be equally competitive in attracting industries such as technology, healthcare, advanced manufacturing, and distribution centers to come to our state. Being an employerfriendly state means more than just low taxes or fees; it also includes the regulatory and litigation environment.

An important part of a state’s business climate is its tort liability system. We need to defend Nevada’s legal system so that it does not become a deterrent to economic development. We cannot allow it to become a system that ravages the private sector with countless

frivolous lawsuits or an unreasonable monetary judgment by a hostile legal system. In fact, states are ranked based on their legal climates. Companies considering to relocate or expand look at a state’s legal climate as part of their decision-making process. According to the U.S Chamber’s Institute for Legal Reform’s 2019 Lawsuit Climate Survey, Nevada ranked 29th in the nation, right in the middle of the national rankings. But there are bills this session that could increase business liability and drop Nevada to the bottom of the list. Do we really need to be ranked at the bottom of another national list? The common sense answer is no. That is why it is important to resist legislation that will undermine tort reform or medical malpractice standards in state law.

Attracting and keeping doctors in our state is another important reason we need to guard against proposals that would increase malpractice lawsuits. The Chamber will be the sound voice of reason against efforts that will dismantle our state’s tort legal system, including proposals to remove legal protections that allow physicians to practice in Nevada. These proposals would make it difficult for family doctors or specialists like OBGYNs to practice in our communities. It makes no sense to exacerbate Nevada’s existing physician shortage. Right now, every county in Nevada needs additional doctors.

According to the Centers for Disease Control and Prevention, states have on average, 272 doctors per 100,000 residents. In Nevada, that number falls to just 198, which ranks our state 48th in the nation. Protecting Nevada’s legal climate has been a longstanding priority for the Chamber. That commitment will not waiver this legislative session. It is not the role of government to create regulatory obstacles that hinders economic growth, prosperity, and job creation.

COMMON SENSE FOR EMPLOYERS AND EMPLOYEES…

The Chamber is committed once again to ensuring that Nevada remains a right-to-work state as it has since 1953. For 70 years, this policy has worked well for both Nevada employers and employees. Nevadans at the ballot box and state legislators have on multiple occasions rejected state ballot measures and legislation that would change or repeal our right-towork law.

Every working Nevadan should continue to have the right to decide if they wish to contribute a portion of their paycheck toward union dues. It is common sense that the employee should decide for themselves on how their paycheck should be spent.

No employee should be mandated to join or pay union dues as a condition of employment.

Choice is an important factor for both employees and employers. That is why the Chamber believes these policy priorities will help protect Nevada’s economy. Legislation relating to employers should help us rebuild our state’s economy together following the economic challenges created by the COVID-19 Pandemic.

The Chamber is a champion of economic prosperity and will continue to stand up for the job creators of Nevada. It is common sense to support legislation that is good for employers and oppose bills that will destroy the economic viability of our state.

COMMON SENSE IN TAX POLICY AND SPENDING…

Funding government and developing a state biennium budget requires policy makers to balance the needs of the state with the sustainability funding and expenditures to support state services. State budgets need to be sustainable in their nature, while also ensuring that funds are set aside in reserves for economic times of uncertainty and volatility. It is important that the budget process undertaken this session is transparent, based on objective forecasting of revenue, achieves the desired fiscal objectives, supports the state long-term fiscal sustainability, and can be implemented.

The 2023 Legislature finds itself in an unusual scenario with the influx of unprecedented federal grant dollars to our state because of the COVID pandemic. This presents funding opportunities, but also a note of caution as we look to the long-term.

We need to be cautious of how these funds are allocated this session because the reality is that expenditures on new ongoing programs are likely not sustainable in subsequent biennia. Rather, this is an opportunity to look at needs in our state that are onetime expenditures such as upgrading State operational systems or setting money aside in the Rainy Day fund.

An important part of Nevada’s budget conversation always includes the state’s tax structure and the revenue generated from employers and business operations.

Nevada’s tax structure should be based on common sense principles: tax policies should be neutral, stable, equitable, and fair. Tax policy and rates should not be punitive toward one specific industry or sector. That approach creates instability and unpredictability for employers to operate and causes financial volatility for the state budgeting process. Employers view tax

policy as another key consideration when it comes to economic development and diversification. Our state structure needs to be competitive when compared to other states, especially those in the Intermountain West Region.

One of the leading funding needs relates to our doctor shortage in Nevada. We need to continue the support for both our public and private medical schools including the Kirk Kerkorian School of Medicine at UNLV, UNR School of Medicine, Roseman University College of Medicine, and Touro University. They are all integral parts of improving our healthcare system in Nevada.

As Las Vegas currently ranks at the bottom of the list of physicians per capita and healthcare delivery systems, it is important to increase the state’s investment in Graduate Medical Education (GME), otherwise known as medical residencies. The Chamber supports efforts to invest additional state funds for GME funding from the State for the next biennium. It is common sense that the more medical residencies that we offer in Nevada, the more likely that those doctors will stay and practice medicine. This will improve our physician capacity, and have a stronger healthcare system for our employers, employees, and families.

That is why it is important to leverage state funds to expand our capacity of medical students at our private and public medical schools. One good example would be the allocation of $15 million to Roseman University College of Medicine. If these funds are allocated this legislative session, Roseman would be able to welcome its first class of medical school students in 2025.

Another investment is the expansion of the capacity of the Kirk Kerkorian School of Medicine at UNLV. The Chamber supports increasing faculty and future student capacity at the medical school. The school is currently enrolling 60 students a year, but has the physical capacity to grow to 120 medical students a year. This investment will be significant if the state invests in doubling the students currently enrolling in the medical school. It will boost our efforts to improve our healthcare system in Southern Nevada.

The Chamber believes that a practical spending approach includes one-time funds to address long deferred maintenance of state buildings and capital improvement projects for our institutions of higher education. Since there are surplus dollars in the projected state budget, it makes sense to invest some of those funds into the planning and design of new buildings like the Interdisciplinary Research and Innovation Building at UNLV for $13.3 million and $3.7 million for the Academic Village at Nevada State College.

This budget cycle also provides a unique opportunity to invest in Nevada’s business license portal, Silver

Flume, which is managed by the Secretary of State. The existing system is antiquated and cumbersome. Silver Flume needs to be completely overhauled and replaced by a new integrated system that will offer enhanced online services for Nevada’s businesses. It needs to be a system that addresses the needs of business owners. That is why the Chamber is supporting a one-time allocation of $15 million for a new business licensing system that will be more user friendly with enhanced online capabilities, services, and security features.

COMMON SENSE IN HIGHER EDUCATION GOVERNANCE…

A transparent, stable, and equitable public higher education system is something that every Nevadan should expect from the Nevada System of Higher Education (NSHE). This is especially true since University of Nevada Las Vegas, University of Nevada Reno, Desert Research Institute, Nevada State College, College of Southern Nevada, Great Basin College, Truckee Meadows Community College, and Western Nevada College are supported, in part, by the taxpayers of this state and student-generated fees and tuition.

The primary focus for a higher education system should be about increasing student achievement, aligning workforce training with the needs of employers, and being student focused.

It should not be a system that is beyond approach. Transparency, fairness, and accountability apply to the elected officials who serve on the Board of Regents, as well as the Chancellor and all NSHE personnel.

A top policy priority for the Vegas Chamber in the 2023 Legislature is for change to the existing higher education governance structure. It is imperative that we distinguish the different roles of the eight institutions, while also defining the proper balance of power between the Nevada System Board of Regents, the Chancellor, and the Campus Presidents.

The disappointing reality is that the existing system does not work or meet the needs of Nevadans. Common sense tells you that change will not come about on its own, but rather it will take each of us to enact that change. In the past decade alone, we have seen multiple examples of how the Board of Regents and existing governance structure have not met the needs of the state, taxpayers, or students. A common sense approach is to reform the governance structure and support one that will serve the needs of Nevadans. NSHE governance reform is a necessity this session.

That is why during the 2021 Legislative Session, the Chamber along with a broad coalition of stakeholders

successfully advocated for the passage of Senate Joint Resolution 7 (SJR 7). The resolution passed with overwhelming bipartisan support in both the State Senate and Assembly. At present, the NSHE Board of Regents is delegated authority to overview the state universities by the Legislature under Nevada’s State Constitution. SJR 7 would remove the Board of Regents from the Nevada Constitution and allow for meaningful governance reform to be discussed and adopted.

It is apparent that the instability of the higher education system over the last few years, which includes the ongoing changes of administrative leadership, questions of transparency and integrity, and ethics complaints have made it clear that there needs to be change in the governance structure. This includes a clear definition of purpose between the Board of Regents and Nevada’s three branches of government. It is common sense that there are only three branches of government, executive, legislative, and judicial. There is not a fourth branch of government, and this change will clarify longstanding concerns about that perception and the role of the Board of Regents in Nevada government and make it clear that the Nevada Legislature has oversight.

Another governance reform initiative will pertain to changing the number of Regents that serve on the board. In 2001, the decision was made by the Legislature to increase the Board of Regents from 11 to 13 with the hope that a larger board would help address operational challenges, improve board management, and enhance leadership development. A larger size board has not worked and has only exasperated problems. A smaller board will allow for greater accountability by the voters. A smaller board will also allow for greater focus on issues that are directly impacting students.

The Chamber also believes four-year terms will create greater accountability of higher education elected officials. Currently, Regents serve six-year terms. They would still be allowed to run for reelection and serve up to 12 years as allowed by the State Constitution. Nevada’s constitutional officers, state senators, mayors, county commissioners, and city council members all serve four-year terms. There is no practical reason that voters only have the chance to hold these elected officials accountable every six years instead of four years. Shorter terms will also make them more responsive to constituent needs, more attuned to the needs of their district, and reinforce the notion that their actions impact the lives of more than 100,000 students that are enrolled in NSHE institutions.

Restructuring the role of higher education in Nevada is essential to increasing student achievement,

realigning workforce programs, enhancing economic development initiatives, and increasing transparency and accountability of higher education elected officials. It is upon all of us to advocate for common sense solutions to higher education challenges in Nevada.

OUR PATHWAY TO THE FUTURE MUST BE BUILT ON COMMON SENSE…

Common sense is about building consensus and working in collaboration with others. We, as Nevadans, must work together in a bipartisan fashion to support and adopt public policy initiatives that will help Nevada’s employers and employees thrive together.

We at the Vegas Chamber call on you, our members, this legislative session to let your voice be heard. For over 112 years, the Chamber has been your voice in Nevada. We will advocate for sound, common sense policies that will help employers, employees, and entrepreneurs succeed. It is our pledge to you, that your voice will be heard in Carson City. Cultivating growth and prosperity is the Chamber’s purpose.

The Vegas Chamber is committed to promoting and supporting bipartisan legislation that lessens bureaucratic burdens on employers, while advocating for policies that encourage economic growth and job creation for Nevadans. In addition to a common sense approach, we are transparent about our guiding legislative principles:

VEGAS CHAMBER’S GUIDING LEGISLATIVE PRINCIPLES…

• We are committed to preserving a business climate where all employers and employees can succeed and thrive;

• We will advocate for and pursue public policies that will foster economic development, growth and job creation; and

• We believe in policy priorities that will promote entrepreneurship and innovation, support small business success, and spur job creation as part of our economic recovery for all Nevadans.

LEGISLATIVE RESOURCES AVAILABLE TO VEGAS CHAMBER MEMBERS

CHECK YOUR INBOX.

Each Friday “The Rundown” will give you the latest breakdown of which bills the Vegas Chamber has been engaged with during the week at the Legislature, how the Chamber testified, and how you can help the Chamber in its efforts.

BECOME A CHAMBER ADVOCATE.

Get engaged with the Chamber Advocate program. Becoming a Chamber Advocate helps the Vegas Chamber tell your story. We want to make sure that legislators know exactly who will be affected by their decisions, and your input is essential to this process. Help the Vegas Chamber advocate on your behalf, and make sure your voice as Nevada’s job creators is heard loud and clear!

Learn more:

THE CARSON CITY CALL.

A monthly webinar with Vegas Chamber’s government affairs team, gives you insights and information live from the Legislature. You will have an opportunity to ask questions and engage with staff. The next Carson City Call for the legislative session will be on Tuesday, March 7 at 11 a.m. The call will continue the first Tuesday of every month at 11 a.m. during the legislative session.

Register here:

ENGAGE IN THE PAUL CALL.

The Paul Call is a biweekly conference call with Paul Moradkhan, the Vegas Chamber’s Senior Vice President of Government Affairs. Paul will discuss the issues important to you and your business. Hear the latest about what is happening in Carson City that could impact you. The next Paul Call for the legislative session will be on Thursday, Feb. 23 at 11 a.m., and will take place every first and Third Thursday at 11 a.m. (Complimentary for President’s Club and Advocacy).

Register here:

ANSWER THE CALLS TO ACTION.

Be on the lookout for specific calls to action via Carson City Alerts. The Vegas Chamber will alert you, as a member, when a bill of particular importance to the business community will be heard. Please take the time to contact your legislators and let them know the impact a bill will have on your business, and that you stand with the Vegas Chamber and the business community. Alert your employees as well.

ENGAGE ON SOCIAL MEDIA.

The Vegas Chamber will post regularly about what’s happening up at the legislature, so be sure to follow @lvchamber on Twitter, and @vegaschamber on Facebook, Instagram, LinkedIn, and YouTube to see the latest. Retweet the Chamber messages and consider posting your own social media posts and tagging the Chamber with #VCinCC.

For more information, please contact Dylan Keith at 702.641.5822 or dkeith@vegaschamber.com