Legislative Counsel's Digest:: 32nd Special Session (2020)

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Senate Bill No.

3–Committee of the Whole


CHAPTER..........
AN ACT relating to unemployment compensation; authorizing the
electronic transmission of certain documents and
communications relating to unemployment compensation;
revising the procedures for the adoption of an emergency
regulation by the Administrator of the Employment Security
Division of the Department of Employment, Training and
Rehabilitation; revising provisions relating to eligibility for
unemployment benefits in certain circumstances; authorizing
the Administrator to suspend, modify, amend or waive
certain requirements under certain circumstances; revising
provisions governing the payment of unemployment benefits
for an extended period and increasing the total extended
benefits payable under certain circumstances; revising
provisions relating to disqualification for unemployment
compensation; and providing other matters properly relating
thereto.
Legislative Counsel’s Digest:
Existing law requires various notices or other documents or communications
relating to unemployment insurance to be mailed to or served upon persons. (NRS
612.365, 612.500, 612.515, 612.551, 612.630) Section 2 of this bill authorizes the
Administrator of the Employment Security Division of the Department of
Employment, Training and Rehabilitation or the Division to provide such
documents or communications electronically to a person who has requested to
receive such documents or communications electronically. Section 2 additionally
provides that an electronic communication does not satisfy or relieve the
Administrator or Division from a requirement of federal or state law to provide a
document or communication in the manner required by the applicable law.
Existing law authorizes an agency to adopt an emergency regulation if the
agency determines, and the Governor agrees, that an emergency exists. (NRS
233B.0613) Section 3 of this bill: (1) creates a similar process for the
Administrator to adopt an emergency regulation; (2) provides for the review of an
emergency regulation of the Administrator by the Legislative Commission; and (3)
authorizes such an emergency regulation to be adopted more than once. Section 14
of this bill makes a conforming change.
Existing law generally deems a person to be unemployed, and therefore eligible
for unemployment benefits, in any week during which the person: (1) performs no
services and receives no remuneration for services; or (2) performs less than full-
time work, but is paid remuneration that is less than the amount the person would
otherwise receive in unemployment benefits. (NRS 612.185) Section 4 of this bill
expands the eligibility for a person who performs less than full-time work to be
deemed to be unemployed to include persons who are paid remuneration that is less
than one and one-half times the amount the person would otherwise receive in
unemployment benefits.

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Section 5 of this bill authorizes the Administrator, by regulation and to the


extent allowed by federal law, to suspend, modify, amend or waive any provision
of the Unemployment Compensation Law for the duration of a state of emergency
or declaration of disaster and for any additional period of time during which the
emergency or disaster directly affects the requirements of the Unemployment
Compensation Law if the Administrator makes certain determinations and the
action is approved by the Governor. Sections 12 and 13 of this bill provide, for the
purpose of compliance with federal law, similar authority for the Administrator, by
regulation and to the extent allowed by federal law, to suspend, modify, amend or
waive specific provisions of the Unemployment Compensation Law relating to
rates of contribution for employers and charging of benefits to the account of an
employer.
The Families First Coronavirus Response Act, Pub. L. No. 116-127, provides
for additional money being made available to states for their unemployment
compensation programs. To qualify for the additional money, certain provisions
must be included in state law. Sections 6 and 7 of this bill temporarily revise the
definition of an “on” indicator for the purposes of extended unemployment benefits
and revise the total extended benefit amount a person may receive in a benefit year
during periods of high unemployment, which will allow Nevada to qualify for
additional money under the Families First Coronavirus Response Act. Section 7
also requires the Governor to determine whether any subsequent federal law
similarly provides for additional money to be made available to states for their
unemployment compensation programs and to issue a proclamation to that effect,
and the revisions in sections 6 and 7 become effective for the period of time
identified in the proclamation by the Governor.
Existing law prohibits a person from receiving unemployment benefits for a
week in which the claimant received certain payments, including, without
limitation, severance pay or vacation pay. (NRS 612.420, 612.425, 612.430)
Sections 8-10 of this bill authorize the Administrator, by regulation, to waive or
modify the period in which a person is disqualified from benefits for receiving
certain payments for good cause or upon the making of certain determinations.
Section 17.5 of this bill applies the amendatory provisions of sections 8 and 9
retroactively to any week of unemployment ending on or after May 28, 2020, and
authorizes a regulation adopted pursuant to sections 8 and 9 to apply retroactively
to such weeks of unemployment.
Section 11 of this bill requires certain filings relating to judicial review of a
decision by the Board of Review to be served or filed within a certain period of
time.
Existing law requires a person to be disqualified from receiving unemployment
benefits if the Administrator determines the person has failed to apply for or accept
suitable work without good cause. (NRS 612.390) Section 15 of this bill requires
the Administrator to establish, by regulation, justifications related to the outbreak of
the disease identified by the Centers for Disease Control and Prevention of the
United States Department of Health and Human Services as COVID-19 that
constitute good cause for a person to refuse suitable work. Section 17.5 applies the
provisions of section 15 retroactively to any week of unemployment ending on or
after May 28, 2020, and authorizes a regulation adopted pursuant to section 15 to
apply retroactively to such weeks of unemployment.

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

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN


SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 612 of NRS is hereby amended by adding


thereto the provisions set forth as sections 2 and 3 of this act.
Sec. 2. 1. Except as otherwise provided by federal or state
law, the Administrator or the Division may electronically provide a
form, notice, claim, bill or other document or communication to a
person if the person has requested to receive communications by
electronic transmission, by electronic mail or other electronic
communication.
2. The electronic provision of a form, notice, claim, bill or
other document or communication pursuant to subsection 1 does
not satisfy or relieve the Administrator or Division of any
obligation under federal or state law to provide the form, notice,
claim, bill or other document or communication in the manner
required by the applicable state or federal law.
Sec. 3. 1. If the Administrator determines that an
emergency exists, the Administrator shall submit to the Governor
a written statement of the emergency which sets forth the reasons
for the determination. If the Governor endorses the statement of
the emergency by written endorsement at the end of the full text of
the statement of emergency on the original copy of a proposed
regulation and the proposed regulation is consistent with federal
law, the regulation may be adopted. If the Administrator adopts
the regulation, the Administrator shall submit the adopted
emergency regulation to the Legislative Counsel for transmission
to the Legislative Commission to determine whether the
emergency regulation is consistent with federal law, conforms to
statutory authority and carries out the intent of the Legislature in
granting that authority. The statement of the emergency endorsed
by the Governor must be included as a part of the regulation for
all purposes.
2. If practicable, the Administrator shall, not later than 9
a.m. on the first working day before the date on which the
emergency regulation is submitted to the Legislative Counsel
pursuant to subsection 1, make the emergency regulation
available to the public by:
(a) Providing a copy of the emergency regulation to a member
of the public upon request; and

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(b) Making a copy of the emergency regulation available on its


website on the Internet, if any.
3. If practicable, the Administrator shall, not later than 9
a.m. on the first working day before the date of any hearing at
which the agency considers the emergency regulation, make the
version of the proposed emergency regulation that will be
considered at the hearing available to the public by:
(a) Providing a copy of the proposed emergency regulation to a
member of the public upon request; and
(b) Making a copy of the proposed emergency regulation
available on its website on the Internet, if any.
4. The Legislative Commission has 15 days after the
submission of an emergency regulation to the Legislative Counsel
by the Administrator pursuant to subsection 1 to consider the
emergency regulation. If the Legislative Commission:
(a) Does not consider the emergency regulation during the 15-
day period, the emergency regulation is deemed approved and the
Legislative Counsel shall promptly file the emergency regulation
with the Secretary of State and notify the Administrator of the
filing.
(b) Considers the emergency regulation during the 15-day
period and:
(1) Approves the emergency regulation, the Legislative
Counsel shall promptly file the emergency regulation with the
Secretary of State and notify the Administrator of the filing.
(2) Objects to the emergency regulation after finding that
the emergency regulation is not consistent with federal law or does
not conform to statutory authority or carry out legislative intent,
the Legislative Counsel shall attach to the emergency regulation a
written notice of the objection and shall promptly return the
emergency regulation to the Administrator. An emergency
regulation returned to the Administrator pursuant to this
subparagraph or any substantially identical regulation does not
become effective until the regulation, including any amendment to
the regulation determined to be necessary by the Administrator to
address the objection of the Legislative Commission, is approved
by the Legislative Commission at a subsequent meeting.
5. An emergency regulation adopted pursuant to this section
becomes effective when the Legislative Counsel files with the
Secretary of State the original of the final draft or revision of the
emergency regulation, together with the informational statement
prepared pursuant to NRS 233B.066. The Secretary of State shall
maintain the original of the final draft or revision of each such

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emergency regulation in a permanent file to be used only for the


preparation of official copies.
6. A regulation adopted pursuant to this section may be
effective for a period of not longer than 120 days.
7. A regulation may be adopted by this emergency procedure
more than once by the Administrator.
8. If the Administrator adopts, after providing notice and the
opportunity for a hearing as required in chapter 233B of NRS, a
permanent or temporary regulation which becomes effective and is
substantially identical to an effective emergency regulation, the
emergency regulation expires automatically on the effective date
of the temporary or permanent regulation.
Sec. 4. NRS 612.185 is hereby amended to read as follows:
612.185 1. A person shall be deemed “unemployed” in any
week during which the person performs no services and with respect
to which no remuneration is payable to the person or in any week of
less than full-time work if the remuneration payable to the person
with respect to such week is less than one and one-half times the
person’s weekly benefit amount if the person has no dependents or
less than one and one-half times the person’s augmented weekly
benefit amount if the person has dependents.
2. The Administrator shall adopt regulations applicable to
unemployed persons, making such distinctions in the procedures as
to total unemployment, partial unemployment of persons who were
totally unemployed, partial unemployment of persons who retain
their regular employment and other forms of part-time work, as the
Administrator deems necessary.
3. No person shall be deemed to be unemployed in any week in
which the person:
(a) Is self-employed;
(b) Receives benefits for a temporary total disability or a
temporary partial disability pursuant to chapters 616A to 616D,
inclusive, or 617 of NRS; or
(c) Receives money for rehabilitative services pursuant to
chapters 616A to 616D, inclusive, or 617 of NRS.
Sec. 5. NRS 612.220 is hereby amended to read as follows:
612.220 The Administrator:
1. Shall administer this chapter.
2. Is responsible for the administration, through the
Administrator of the Commission on Postsecondary Education, of
the provisions of NRS 394.383 to 394.560, inclusive.
3. Has power and authority to adopt, amend or rescind such
rules and regulations [,] consistent with the provisions of federal

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law, to employ, in accordance with the provisions of this chapter,


such persons, make such expenditures, require such reports, make
such investigations, and take such other action as the Administrator
deems necessary or suitable to that end.
4. Shall determine his or her own organization and methods of
procedure for the Division in accordance with the provisions of this
chapter.
5. To the extent allowed by federal law, may, by regulation,
suspend, modify, amend or waive any requirement of this chapter
for the duration of a state of emergency or declaration of disaster
proclaimed pursuant to NRS 414.070 and for any additional
period of time during which the emergency or disaster directly
affects the requirement of this chapter if:
(a) The Administrator determines the action is:
(1) In the best interest of the Division, this State or the
general health, safety and welfare of the citizens of this State; or
(2) Necessary to comply with instructions received from the
Department of Labor; and
(b) The action of the Administrator is approved by the
Governor.
Sec. 6. NRS 612.377 is hereby amended to read as follows:
612.377 As used in NRS 612.377 to 612.3786, inclusive,
unless the context clearly requires otherwise:
1. “Extended benefit period” means a period which begins with
the third week after a week for which there is a Nevada “on”
indicator and ends with the third week after the first week for which
there is a Nevada “off” indicator or the 13th consecutive week after
it began, except that no extended benefit period may begin by
reason of a Nevada “on” indicator before the 14th week following
the end of a prior extended benefit period which was in effect for
Nevada.
2. There is a “Nevada ‘on’ indicator” for a week if the
Administrator determines, in accordance with the regulations of the
Secretary of Labor, that [for] :
(a) For the period consisting of that week and the immediately
preceding 12 weeks, the rate of insured unemployment in Nevada
(not seasonally adjusted) under NRS 612.377 to 612.3786,
inclusive:
[(a)] (1) Equaled or exceeded 120 percent of the average of
those rates for the corresponding 13-week period ending in each of
the preceding 2 calendar years and equaled or exceeded 5 percent;
or
[(b)] (2) Equaled or exceeded 6 percent [.] ; or

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(b) For weeks of unemployment beginning on or after


March 18, 2020, and ending on or before the week ending 4 weeks
before the last week for which full federal sharing is authorized by
section 4105(a) of Public Law No. 116-127, or which occur during
a period of time specified by the Governor in a proclamation
issued pursuant to subsection 4 of NRS 612.378, the average rate
of total seasonally adjusted unemployment in Nevada, as
determined by the Secretary of Labor, for the period consisting of
the most recent 3 months for which data for all states are
published before the close of such week:
(1) Equaled or exceeded 6.5 percent; and
(2) Equaled or exceeded 110 percent of the average rate for
the corresponding 3-month period ending in either of the 2
preceding calendar years.
3. There is a “Nevada ‘off’ indicator” for a week if the
Administrator determines, in accordance with the regulations of the
Secretary of Labor, that for the period consisting of that week and
the immediately preceding 12 weeks, the rate of insured
unemployment in Nevada (not seasonally adjusted):
(a) Was less than 120 percent of the average of those rates for
the corresponding 13-week period ending in each of the preceding 2
calendar years; or
(b) Was less than 5 percent.
4. “Rate of insured unemployment,” for purposes of
subsections 2 and 3, means the percentage derived by dividing the
average weekly number of persons filing claims in this State for the
weeks of unemployment for the most recent period of 13
consecutive weeks, as determined by the Administrator on the basis
of the Administrator’s reports to the Secretary of Labor using the
average monthly employment covered under this chapter as
determined by the Administrator and recorded in the records of the
Division for the first four of the most recent six completed calendar
quarters ending before the end of the 13-week period.
5. “Regular benefits” means benefits payable to a person under
this chapter or under any other state law (including benefits payable
to federal civilian employees and to ex-servicemen or ex-
servicewomen pursuant to 5 U.S.C. §§ 8501 et seq.) other than
extended benefits.
6. “Extended benefits” means benefits (including benefits
payable to federal civilian employees and to ex-servicemen or ex-
servicewomen pursuant to 5 U.S.C. §§ 8501 et seq.) payable to a
person under the provisions of NRS 612.377 to 612.3786, inclusive,
for the weeks of unemployment in the person’s eligibility period.

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7. “Additional benefits” means benefits payable to exhaustees


by reason of conditions of high unemployment or by reason of other
special factors under the provisions of any state law. Any person
who is entitled to both additional and extended benefits for the same
week must be given the choice of electing which type of benefit to
claim regardless of whether his or her rights to additional and
extended benefits arise under the law of the same state or different
states.
8. “Eligibility period” of a person means the period consisting
of the weeks in the person’s benefit year under this chapter which
begin in an extended benefit period and, if that benefit year ends
within the extended benefit period, any weeks thereafter which
begin in that period.
9. “Exhaustee” means a person who, with respect to any week
of unemployment in the person’s eligibility period:
(a) Has received, before that week, all of the regular, seasonal or
nonseasonal benefits that were available to him or her under this
chapter or any other state law (including augmented weekly benefits
for dependents and benefits payable to federal civilian employees
and ex-servicemen or ex-servicewomen under 5 U.S.C. §§ 8501 et
seq.) in the person’s current benefit year which includes that week,
except that, for the purposes of this paragraph, a person shall be
deemed to have received all of the regular benefits that were
available to him or her, although as a result of a pending appeal with
respect to wages that were not considered in the original monetary
determination in that benefit year, the person may subsequently be
determined to be entitled to added regular benefits; or
(b) His or her benefit year having expired before that week, has
no, or insufficient, wages on the basis of which the person could
establish a new benefit year which would include that week,
 and has no right to unemployment benefits or allowances, as the
case may be, under the Railroad Unemployment Insurance Act, 45
U.S.C. §§ 351 et seq., the Trade Expansion Act of 1962, 19 U.S.C.
§§ 1801 et seq., the Automotive Products Trade Act of 1965, 19
U.S.C. §§ 2001 et seq. and such other federal laws as are specified
in regulations issued by the Secretary of Labor, and has not received
and is not seeking unemployment benefits under the unemployment
compensation law of Canada. If the person is seeking such benefits
and the appropriate agency finally determines that the person is not
entitled to benefits under that law the person is considered an
exhaustee.

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10. “State law” means the unemployment insurance law of any


state, approved by the Secretary of Labor under Section 3304 of the
Internal Revenue Code of 1954.
Sec. 7. NRS 612.378 is hereby amended to read as follows:
612.378 1. [The] Except as otherwise provided in subsection
2, the total extended benefit amount payable to any eligible person
for the person’s applicable benefit year is the lesser of the following
amounts:
(a) Fifty percent of the basic benefits which were payable to him
or her in the benefit year. If the amount computed is not a multiple
of $1, it must be computed to the next lower multiple of $1.
(b) Thirteen times the person’s average weekly benefit amount
which was payable to him or her under this chapter for a week of
total unemployment in the applicable benefit year. If the amount
computed is not a multiple of $1, it must be computed to the next
lower multiple of $1.
(c) Thirty-nine times the person’s average weekly benefit
amount which was payable to him or her under this chapter for a
week of total unemployment in the applicable benefit year,
reduced by the basic benefits which were payable to him or her in
the benefit year. If the amount computed is not a multiple of $1, it
must be computed to the next lower multiple of $1.
2. In weeks beginning in a high unemployment period on or
after March 18, 2020, and ending on or before the week ending 3
weeks before the last week for which full federal sharing is
authorized by section 4105(a) of Public Law No. 116-127, or
which occur during a period of time specified by the Governor in a
proclamation issued pursuant to subsection 4, the total extended
benefit amount payable to any eligible person for the person’s
applicable benefit year is the lesser of the following amounts:
(a) Eighty percent of the basic benefits which were payable to
him or her in the benefit year. If the amount computed is not a
multiple of $1, it must be computed to the next lower multiple
of $1.
(b) Twenty times the person’s average weekly benefit amount
which was payable to him or her under this chapter for a week of
total unemployment in the applicable benefit year. If the amount
computed is not a multiple of $1, it must be computed to the next
lower multiple of $1.
(c) Forty-six times the person’s average weekly benefit amount
which was payable to him or her under this chapter for a week of
total unemployment in the applicable benefit year, reduced by the
basic benefits which were payable to him or her in the benefit

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year. If the amount computed is not a multiple of $1, it must be


computed to the next lower multiple of $1.
3. If the benefit year of any person ends within an extended
benefit period, the remaining balance of extended benefits that the
person would, but for this subsection, be entitled to receive in that
period, with respect to weeks of unemployment beginning after the
end of the benefit year, must be reduced by the product of the
number of weeks for which the person received any amounts as
trade readjustment allowances pursuant to 19 U.S.C. § 2291 within
that benefit year, multiplied by the weekly benefit amount of
extended benefits, but the balance must not be reduced below zero.
4. If the Governor determines that a federal law authorizes
full federal sharing for one or more weeks to cover the costs of
extended benefits incurred pursuant to subsection 2, the Governor
shall issue a proclamation stating that determination and
specifying the weeks during which the extended benefits are
available.
5. As used in this section, “high unemployment period”
means any period during which the average rate of total
seasonally adjusted unemployment in Nevada, as determined by
the Secretary of Labor, for the period consisting of the most recent
3 months for which data for all states are published before the
close of such week:
(a) Equaled or exceeded 8 percent; and
(b) Equaled or exceeded 110 percent of the average rate for
the corresponding 3-month period ending in either of the 2
preceding calendar years.
Sec. 8. NRS 612.420 is hereby amended to read as follows:
612.420 [A]
1. Except as otherwise provided in subsection 2, a person is
disqualified for benefits for any week with respect to which the
person receives either wages in lieu of notice or severance pay.
2. The Administrator may, by regulation, waive or modify the
period of disqualification set forth in subsection 1:
(a) For good cause; or
(b) If the Administrator determines such action is necessary to
expedite benefits and protect the health, safety and well-being of
claimants.
Sec. 9. NRS 612.425 is hereby amended to read as follows:
612.425 [A]
1. Except as otherwise provided in subsection 2, a claimant
shall be disqualified for benefits for any week with respect to which
the claimant is on paid vacation.

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2. The Administrator may, by regulation, waive or modify the


period of disqualification set forth in subsection 1:
(a) For good cause; or
(b) If the Administrator determines such action is necessary to
expedite benefits and protect the health, safety and well-being of
claimants.
Sec. 10. NRS 612.430 is hereby amended to read as follows:
612.430 [A]
1. Except as otherwise provided in subsection 2, a claimant
shall be disqualified for benefits for any week following termination
of work, which could have been compensated by vacation pay had
termination not occurred, if the claimant actually receives such
compensation at the time of separation or on regular paydays
immediately following termination.
2. The Administrator may, by regulation, waive or modify the
period of disqualification set forth in subsection 1:
(a) For good cause; or
(b) If the Administrator determines such action is necessary to
expedite benefits and protect the health, safety and well-being of
claimants.
Sec. 11. NRS 612.530 is hereby amended to read as follows:
612.530 1. Within 11 days after the decision of the Board of
Review has become final, any party aggrieved thereby or the
Administrator may secure judicial review thereof by commencing
an action in the district court of the county where the employment
which is the basis of the claim was performed for the review of the
decision, in which action any other party to the proceedings before
the Board of Review must be made a defendant.
2. In such action, a petition which need not be verified, but
which must state the grounds upon which a review is sought, must ,
within 45 days after the commencement of the action, be served
upon the Administrator, unless the Administrator is the appellant, or
upon such person as the Administrator may designate, and such
service shall be deemed completed service on all parties, but there
must be left with the party so served as many copies of the petition
as there are defendants, and the Administrator shall forthwith mail
one such copy to each defendant.
3. The Administrator shall file with the court an answer
within 45 days after being served with a petition pursuant to
subsection 2 or, if the Administrator is the appellant, the
Administrator shall serve the petition upon each other party within
45 days after commencement of the action. With the
Administrator’s answer or petition, the Administrator shall certify

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and file with the court originals or true copies of all documents and
papers and a transcript of all testimony taken in the matter, together
with the Board of Review’s findings of fact and decision therein.
The Administrator may certify to the court questions of law
involved in any decision.
4. In any judicial proceedings under this section, the finding of
the Board of Review as to the facts, if supported by evidence and in
the absence of fraud, is conclusive, and the jurisdiction of the court
is confined to questions of law.
5. Such actions, and the questions so certified, must be heard in
a summary manner and must be given precedence over all other
civil cases except cases arising under chapters 616A to 616D,
inclusive, or chapter 617 of NRS.
6. An appeal may be taken from the decision of the district
court to the appellate court of competent jurisdiction pursuant to the
rules fixed by the Supreme Court of Nevada pursuant to Section 4 of
Article 6 of the Nevada Constitution in the same manner, but not
inconsistent with the provisions of this chapter, as is provided in
civil cases.
7. It is not necessary, in any judicial proceeding under this
section, to enter exceptions to the rulings of the Board of Review,
and no bond may be required for entering the appeal.
8. Upon the final determination of the judicial proceeding, the
Board of Review shall enter an order in accordance with the
determination.
9. A petition for judicial review does not act as a supersedeas
or stay unless the Board of Review so orders.
Sec. 12. NRS 612.550 is hereby amended to read as follows:
612.550 1. As used in this section:
(a) “Average actual duration” means the number of weeks
obtained by dividing the number of weeks of benefits paid for weeks
of total unemployment in a consecutive 12-month period by the
number of first payments made in the same 12-month period.
(b) “Average annual payroll” for each calendar year means the
annual average of total wages paid by an employer subject to
contributions for the 3 consecutive calendar years immediately
preceding the computation date. The average annual payroll for
employers first qualifying as eligible employers must be computed
on the total amount of wages paid, subject to contributions, for not
less than 10 consecutive quarters and not more than 12 consecutive
quarters ending on December 31, immediately preceding the
computation date.

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(c) “Beneficiary” means a person who has received a first


payment.
(d) “Computation date” for each calendar year means June 30 of
the preceding calendar year.
(e) “Covered worker” means a person who has worked in
employment subject to this chapter.
(f) “First payment” means the first weekly unemployment
insurance benefit paid to a person in the person’s benefit year.
(g) “Reserve balance” means the excess, if any, of total
contributions paid by each employer over total benefit charges to
that employer’s experience rating record.
(h) “Reserve ratio” means the percentage ratio that the reserve
balance bears to the average annual payroll.
(i) “Total contributions paid” means the total amount of
contributions, due on wages paid on or before the computation date,
paid by an employer not later than the last day of the second month
immediately following the computation date.
(j) “Unemployment risk ratio” means the ratio obtained by
dividing the number of first payments issued in any consecutive 12-
month period by the average monthly number of covered workers in
employment as shown on the records of the Division for the same
12-month period.
2. The Administrator shall, as of the computation date for each
calendar year, classify employers in accordance with their actual
payrolls, contributions and benefit experience, and shall determine
for each employer the rate of contribution which applies to that
employer for each calendar year in order to reflect his or her
experience and classification. The contribution rate of an employer
may not be reduced below 2.95 percent, unless there have been 12
consecutive calendar quarters immediately preceding the
computation date throughout which the employer has been subject
to this chapter and his or her account as an employer could have
been charged with benefit payments, except that an employer who
has not been subject to the law for a sufficient period to meet this
requirement may qualify for a rate less than 2.95 percent if his or
her account has been chargeable throughout a lesser period not less
than the 10-consecutive-calendar-quarter period ending on the
computation date.
3. Any employer who qualifies under paragraph (b) of
subsection 9 and receives the experience record of a predecessor
employer must be assigned the contribution rate of the predecessor.
4. Benefits paid to a person up to and including the
computation date must be charged against the records, for

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experience rating, of the person’s base-period employers in the same


percentage relationship that wages reported by individual employers
represent to total wages reported by all base period employers,
except that:
(a) If one of the base period employers has paid 75 percent or
more of the wages paid to the person during the person’s base
period, and except as otherwise provided in NRS 612.551, the
benefits, less a proportion equal to the proportion of wages paid
during the base period by employers who make reimbursement in
lieu of contributions, must be charged to the records for experience
rating of that employer. The proportion of benefits paid which is
equal to the part of the wages of the claimant for the base period
paid by an employer who makes reimbursement must be charged to
the record of that employer.
(b) No benefits paid to a multistate claimant based upon
entitlement to benefits in more than one state may be charged to the
experience rating record of any employer when no benefits would
have been payable except pursuant to NRS 612.295.
(c) Except for employers who have been given the right to make
reimbursement in lieu of contributions, extended benefits paid to a
person must not be charged against the accounts of the person’s
base-period employers.
5. The Administrator shall, as of the computation date for each
calendar year, compute the reserve ratio for each eligible employer
and shall classify those employers on the basis of their individual
reserve ratios. The contribution rate assigned to each eligible
employer for the calendar year must be determined by the range
within which the employer’s reserve ratio falls. The Administrator
shall, by regulation, prescribe the contribution rate schedule to apply
for each calendar year by designating the ranges of reserve ratios to
which must be assigned the various contribution rates provided in
subsection 6. The lowest contribution rate must be assigned to the
designated range of highest reserve ratios and each succeeding
higher contribution rate must be assigned to each succeeding
designated range of lower reserve ratios, except that, within the
limits possible, the differences between reserve ratio ranges must be
uniform.
6. Each employer eligible for a contribution rate based upon
experience and classified in accordance with this section must be
assigned a contribution rate by the Administrator for each calendar
year according to the following classes:

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Class 1 ...................................................................0.25 percent


Class 2 ...................................................................0.55 percent
Class 3 ...................................................................0.85 percent
Class 4 ...................................................................1.15 percent
Class 5 ...................................................................1.45 percent
Class 6 ...................................................................1.75 percent
Class 7 ...................................................................2.05 percent
Class 8 ...................................................................2.35 percent
Class 9 ...................................................................2.65 percent
Class 10 .................................................................2.95 percent
Class 11 .................................................................3.25 percent
Class 12 .................................................................3.55 percent
Class 13 .................................................................3.85 percent
Class 14 .................................................................4.15 percent
Class 15 .................................................................4.45 percent
Class 16 .................................................................4.75 percent
Class 17 .................................................................5.05 percent
Class 18 .................................................................5.40 percent
7. On September 30 of each year, the Administrator shall
determine:
(a) The highest of the unemployment risk ratios experienced in
the 109 consecutive 12-month periods in the 10 years ending on
March 31;
(b) The potential annual number of beneficiaries found by
multiplying the highest unemployment risk ratio by the average
monthly number of covered workers in employment as shown on
the records of the Division for the 12 months ending on March 31;
(c) The potential annual number of weeks of benefits payable
found by multiplying the potential number of beneficiaries by the
highest average actual duration experienced in the 109 consecutive
12-month periods in the 10 years ending on September 30; and
(d) The potential maximum annual benefits payable found by
multiplying the potential annual number of weeks of benefits
payable by the average payment made to beneficiaries for weeks of
total unemployment in the 12 months ending on September 30.
8. The Administrator shall issue an individual statement,
itemizing benefits charged during the 12-month period ending on
the computation date, total benefit charges, total contributions paid,
reserve balance and the rate of contributions to apply for that
calendar year, for each employer whose account is in active status
on the records of the Division on January 1 of each year and whose

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account is chargeable with benefit payments on the computation


date of that year.
9. If an employer transfers its trade or business, or a portion
thereof, to another employer:
(a) And there is substantially common ownership, management
or control of the employers, the experience record attributable to the
transferred trade or business must be transferred to the employer to
whom the trade or business is transferred. The rates of both
employers must be recalculated, and the recalculated rates become
effective on the date of the transfer of the trade or business. If the
Administrator determines, following the transfer of the experience
record pursuant to this paragraph, that the sole or primary purpose
of the transfer of the trade or business was to obtain a reduced
liability for contributions, the Administrator shall combine the
experience rating records of the employers involved into a single
account and assign a single rate to the account.
(b) And there is no substantially common ownership,
management or control of the employers, the experience record of
an employer may be transferred to a successor employer as of the
effective date of the change of ownership if:
(1) The successor employer acquires the entire or a severable
and distinct portion of the business, or substantially all of the assets,
of the employer;
(2) The successor employer notifies the Division of the
acquisition in writing within 90 days after the date of the
acquisition;
(3) The employer and successor employer submit a joint
application to the Administrator requesting the transfer; and
(4) The joint application is approved by the Administrator.
 The joint application must be submitted within 1 year after the
date of issuance by the Division of official notice of eligibility to
transfer.
(c) Except as otherwise provided in paragraph (a), a transfer of
the experience record must not be completed if the Administrator
determines that the acquisition was effected solely or primarily to
obtain a more favorable contribution rate.
(d) Any liability to the Division for unpaid contributions,
interest or forfeit attributable to the transferred trade or business
must be transferred to the successor employer. The percentage of
liability transferred must be the same as the percentage of the
experience record transferred.
10. Whenever an employer has paid no wages in employment
for 8 consecutive calendar quarters following the last calendar

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quarter in which the employer paid wages for employment, the


Administrator shall terminate the employer’s experience rating
account, and the account must not thereafter be used in any rate
computation.
11. The Administrator may adopt reasonable accounting
methods to account for those employers which are in a category for
providing reimbursement in lieu of contributions.
12. To the extent allowed by federal law, the Administrator
may, by regulation, suspend, modify, amend or waive any
requirement of this section for the duration of a state of
emergency or declaration of disaster proclaimed pursuant to NRS
414.070 and for any additional period of time during which the
emergency or disaster directly affects the requirement of this
section if:
(a) The Administrator determines the action is:
(1) In the best interest of the Division, this State or the
general health, safety and welfare of the citizens of this State; or
(2) Necessary to comply with instructions received from the
Department of Labor; and
(b) The action of the Administrator is approved by the
Governor.
Sec. 13. NRS 612.551 is hereby amended to read as follows:
612.551 1. Except as otherwise provided in subsections 2, 3
and 7, if the Division determines that a claimant has earned 75
percent or more of his or her wages during his or her base period
from one employer, it shall notify the employer by mail of its
determination and advise him or her that he or she has a right to
protest the charging of benefits to his or her account pursuant to
subsection 4 of NRS 612.550.
2. Benefits paid pursuant to an elected base period in
accordance with NRS 612.344 must not be charged against the
record for experience rating of the employer.
3. Except as otherwise provided in subsection 7, if a claimant
leaves his or her last or next to last employer to take other
employment and leaves or is discharged by the latter employer,
benefits paid to the claimant must not be charged against the record
for experience rating of the former employer.
4. If the employer provides evidence within 10 working days
after the notice required by subsection 1 was mailed which satisfies
the Administrator that the claimant:
(a) Left his or her employment voluntarily without good cause
or was discharged for misconduct connected with the employment;
or

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(b) Was the spouse of an active member of the Armed Forces of


the United States and left his or her employment because the spouse
was transferred to a different location,
 the Administrator shall order that the benefits not be charged
against the record for experience rating of the employer.
5. The employer may appeal from the ruling of the
Administrator relating to the cause of the termination of the
employment of the claimant in the same manner as appeals may be
taken from determinations relating to claims for benefits.
6. A determination made pursuant to this section does not
constitute a basis for disqualifying a claimant to receive benefits.
7. If an employer who is given notice of a claim for benefits
pursuant to subsection 1 fails to submit timely to the Division all
known relevant facts which may affect the claimant’s rights to
benefits as required by NRS 612.475, the employer’s record for
experience rating is not entitled to be relieved of the amount of any
benefits paid to the claimant as a result of such failure that were
charged against the employer’s record pursuant to NRS 612.550
or 612.553.
8. To the extent allowed by federal law, the Administrator
may, by regulation, suspend, modify, amend or waive any
requirement of this section for the duration of a state of
emergency or declaration of disaster proclaimed pursuant to NRS
414.070 and for any additional period of time during which the
emergency or disaster directly affects the requirement of this
section if:
(a) The Administrator determines the action is:
(1) In the best interest of the Division, this State or the
general health, safety and welfare of the citizens of this State; or
(2) Necessary to comply with instructions received from the
Department of Labor; and
(b) The action of the Administrator is approved by the
Governor.
Sec. 14. NRS 233B.039 is hereby amended to read as follows:
233B.039 1. The following agencies are entirely exempted
from the requirements of this chapter:
(a) The Governor.
(b) Except as otherwise provided in NRS 209.221, the
Department of Corrections.
(c) The Nevada System of Higher Education.
(d) The Office of the Military.
(e) The Nevada Gaming Control Board.

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(f) Except as otherwise provided in NRS 368A.140 and 463.765,


the Nevada Gaming Commission.
(g) Except as otherwise provided in NRS 425.620, the Division
of Welfare and Supportive Services of the Department of Health and
Human Services.
(h) Except as otherwise provided in NRS 422.390, the Division
of Health Care Financing and Policy of the Department of Health
and Human Services.
(i) Except as otherwise provided in NRS 533.365, the Office of
the State Engineer.
(j) The Division of Industrial Relations of the Department of
Business and Industry acting to enforce the provisions of
NRS 618.375.
(k) The Administrator of the Division of Industrial Relations of
the Department of Business and Industry in establishing and
adjusting the schedule of fees and charges for accident benefits
pursuant to subsection 2 of NRS 616C.260.
(l) The Board to Review Claims in adopting resolutions to carry
out its duties pursuant to NRS 445C.310.
(m) The Silver State Health Insurance Exchange.
(n) The Cannabis Compliance Board.
2. Except as otherwise provided in subsection 5 and NRS
391.323, the Department of Education, the Board of the Public
Employees’ Benefits Program and the Commission on Professional
Standards in Education are subject to the provisions of this chapter
for the purpose of adopting regulations but not with respect to any
contested case.
3. The special provisions of:
(a) Chapter 612 of NRS for the adoption of an emergency
regulation or the distribution of regulations by and the judicial
review of decisions of the Employment Security Division of the
Department of Employment, Training and Rehabilitation;
(b) Chapters 616A to 617, inclusive, of NRS for the
determination of contested claims;
(c) Chapter 91 of NRS for the judicial review of decisions of the
Administrator of the Securities Division of the Office of the
Secretary of State; and
(d) NRS 90.800 for the use of summary orders in contested
cases,
 prevail over the general provisions of this chapter.
4. The provisions of NRS 233B.122, 233B.124, 233B.125 and
233B.126 do not apply to the Department of Health and Human

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Services in the adjudication of contested cases involving the


issuance of letters of approval for health facilities and agencies.
5. The provisions of this chapter do not apply to:
(a) Any order for immediate action, including, but not limited
to, quarantine and the treatment or cleansing of infected or infested
animals, objects or premises, made under the authority of the State
Board of Agriculture, the State Board of Health, or any other agency
of this State in the discharge of a responsibility for the preservation
of human or animal health or for insect or pest control;
(b) An extraordinary regulation of the State Board of Pharmacy
adopted pursuant to NRS 453.2184;
(c) A regulation adopted by the State Board of Education
pursuant to NRS 388.255 or 394.1694;
(d) The judicial review of decisions of the Public Utilities
Commission of Nevada;
(e) The adoption, amendment or repeal of policies by the
Rehabilitation Division of the Department of Employment, Training
and Rehabilitation pursuant to NRS 426.561 or 615.178;
(f) The adoption or amendment of a rule or regulation to be
included in the State Plan for Services for Victims of Crime by the
Department of Health and Human Services pursuant to NRS
217.130; or
(g) The adoption, amendment or repeal of rules governing the
conduct of contests and exhibitions of unarmed combat by the
Nevada Athletic Commission pursuant to NRS 467.075.
6. The State Board of Parole Commissioners is subject to the
provisions of this chapter for the purpose of adopting regulations but
not with respect to any contested case.
Sec. 15. Notwithstanding any provision of NRS 612.390 to the
contrary, for the period of time that any emergency directive issued
by the Governor pursuant to chapter 414 of NRS relating to the
outbreak of the disease identified by the Centers for Disease Control
and Prevention of the United States Department of Health and
Human Services as COVID-19 remains in effect, the Administrator
of the Employment Security Division of the Department of
Employment, Training and Rehabilitation shall, by regulation,
establish justifications related to COVID-19 that may constitute
good cause for a person to refuse suitable work. Such justifications
may include, without limitation, that:
1. The employer cannot offer suitable means by which the
person may work remotely and a medical professional has
recommended that the person not return to work because the person

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falls into one of the categories deemed high risk for contracting
COVID-19 by the Centers for Disease Control and Prevention.
2. The person is sick or in isolation as a direct result of
COVID-19.
3. There is an unreasonable risk of exposure to COVID-19 at
the place of employment of the person and the person falls into one
of the categories deemed high risk for contracting COVID-19 by the
Centers for Disease Control and Prevention.
4. The person is staying home to care for a family member who
is suffering from COVID-19 or subject to a prescribed period of
quarantine by a medical professional.
5. The person is caring for a child who is unable to attend
school or a child care facility because of COVID-19.
6. The person is 65 years of age or older.
7. The person is under any other circumstance that the
Administrator determines, when considering the totality of the
person’s circumstances, constitutes good cause.
Sec. 16. Notwithstanding the provisions of NRS 218D.430 and
218D.435, a committee may vote on this act before the expiration of
the period prescribed for the return of a fiscal note in NRS
218D.475. This section applies retroactively from and after
August 2, 2020.
Sec. 17. As soon as practicable, upon determining that
sufficient resources are available to the Employment Security
Division of the Department of Employment, Training and
Rehabilitation to carry out the amendatory provisions of section 4 of
this act, the Administrator of the Employment Security Division of
the Department of Employment, Training and Rehabilitation shall
notify the Governor and the Director of the Legislative Counsel
Bureau of that fact, and shall publish on the Internet website of the
Division notice to the public of that fact.
Sec. 17.5. To the extent allowed by federal law:
1. The amendatory provisions of sections 8, 9 and 15 of this act
apply retroactively to any week of unemployment ending on or after
May 28, 2020.
2. Any regulation adopted by the Administrator of the
Employment Security Division of the Department of Employment,
Training and Rehabilitation pursuant to section 8, 9 or 15 of this act
may be applied retroactively to any week of unemployment ending
on or after May 28, 2020.
Sec. 18. 1. This section and sections 1, 2, 3 and 5 to 17.5,
inclusive, of this act become effective upon passage and approval.
2. Section 4 of this act becomes effective:

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(a) Sixty days after passage and approval of this act; or


(b) On the date on which the Administrator of the Employment
Security Division of the Department of Employment, Training and
Rehabilitation, pursuant to section 17 of this act, notifies the
Governor and the Director of the Legislative Counsel Bureau that
sufficient resources are available to enable the Division to carry out
the amendatory provisions of section 4 of this act,
 whichever occurs first.
20 ~~~~~ 20

- 32nd Special Session (2020)

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