By Rocky Finseth, Carrara Nevada
Chief Lobbyist for the Nevada REALTORS®

We all awoke Saturday morning to the very sad news that Assemblyman Tyrone Thompson passed away very unexpectedly in Carson City. It was hard to believe, hard to comprehend. It still is. Walking into the building on Monday morning, there was a certain amount of emptiness that filled the air and the hallway. It was hard to focus, hard to do our work, but the legislative clock kept on ticking.

Tyrone was a strong advocate for kids, the homeless, and those folks who needed a voice and didn't have one in Carson City. He was one of those legislators that no matter the time of day, or the time of session, he always had time to talk to me. "Hello, sir, how are you?" was his common greeting. His big smile was infectious. He didn't always agree with the REALTORS®; in fact many times he was on one side and REALTORS® were on the other side, but we were respectful to each other, and after a vote, or a committee hearing, we could sit and have a laugh together. I can't say that is how Carson City works today. I will miss him greatly.

Several weeks ago, he and I arrived early to the airport for our 6:05 am flight back up north - it's a trek we both made each and every week during the legislative session. We were there before everyone else. We sipped our coffee, rolled our eyes at how early in the morning it was, and we just sat and talked about the family, we talked about session, we talked about not seeing much of each other this cycle, and committing to get together and catch up before the session ended. It never happened. Tyrone, we'll catch up in heaven my friend. Carson City is a sadder place without you. Rest in peace, you will be in our hearts.

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AB335, discussed before (4/26, 4/5, 3/22), and introduced by Assemblywoman Sandra Jauregui and Assemblyman Gregory Hafen, was heard in Senate Judiciary on May 8. The bill would:

• Allow a CIC to charge a reasonable fee for opening and closing the file for each unit based on the actual cost the association incurs, and the RE Commission would adopt regulations to set the maximum amount of that fee, not to exceed $350.
• Clarify that the CIC has 10 calendar days to provide the resale package.
• Authorize the Commission to set a maximum amount a CIC may charge to prepare the certificate, not to exceed $185 unless the owner/authorized agent requests that it be prepared sooner than 3 business days after the date of the request.
• The maximum fee for the certificate may increase on an annual basis by a percentage equal to the Consumer Price Index but not to exceed 3% on an annual basis.
• Eliminates the fee that an association can charge for providing certain electronic documents.
• Change current law to ensure the resale package remains effective for 90 calendar days.
• Increase the maximum amount a CIC can charge for a demand letter to $165 (from $150 currently).

AB 335 was worked on by the NV REALTORS®, the Nevada Land Title Association and CAMEO over the course of 2 years. Legislative Chairman Kevin Sigstad testified in support of the measure on behalf of NVR. Your Lobbying Team worked to make sure the bill received no opposition and will now have to pass out of Senate Judiciary before the May 17 deadline.

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AB79 seeks to speed the process for local government to be able to sell a property that it acquired because of delinquent property taxes if the property is deemed abandoned.

One of the concerns is that the longer a property sits collecting fees, fines, sewer liens and property taxes due, it can cause the liens to be more than what the property is worth. This bill would reduce the time from 3 to 2 years for the property to be eligible to be sold at a public auction and reduce the auction notice period from 90 days to 45 days - for abandoned properties only. The criteria to determine whether a property is abandoned are set up in the bill. It also requires the notice of abandonment to the owner, various public channels as well as on the property itself. If the owner does not dispute within 30 days, the property is considered abandoned.

It passed out of the Assembly 39-2-1. It was heard in Senate Revenue and Economic Development on May 7. NVR is monitoring AB79.

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We've covered SB151 several times already (4/26, 3/22, 3/15, 3/8, 3/1, 2/15). Since the bill was introduced, the Lobbying Team has been able to gain some significant concessions from the proponents of the bill, and so we wanted to highlight some of those changes:

• Would increase the pay or quit timeline from 5 full days to 7 judicial days (was 10 judicial days originally)
• Would require the constable to post a notice for the tenant no earlier than 24 hours after the order
• Would increase the period of time in which the constable has to remove a tenant in default of rent from not later than 24 hours to no earlier than 24 hours after the posting of the notice but no later than 36 hours after (originally was changing from within 24 hours to no earlier than 48 hours)
• Would remove the ability for low-income housing projects to use the summary eviction process (new in amended version)
• Would keep the amount of time a person has after receiving a written notice to surrender real property or a mobile home to 3 days unless the property transferred in a residential sale, and would clarify that the new owner has the same rights, obligations and liabilities as the previous owner as do the tenant. (i.e. the lease stays with the land, not the owner) (originally was changed to 30 days and did not have provisions about leases)
• Would allow the service of the notice by the agent of an attorney if an attorney has been retained by the owner to prosecute an eviction action.
• Would exclude commercial real estate from the provisions of this bill.

The team expects further changes to the bill by the Assembly Judiciary due to the strong lobbying efforts on your behalf following the bill's second hearing on May 7th before the Assembly Judiciary. The measure passed the Senate by a vote of 13-8.

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Just as with SB151, we have talked about SB256 many times before (4/26, 4/19, 4/12, 4/5, 3/29, 3/22, 3/15). The Lobbying Team has spent the entire session trying to defeat SB256. Despite its passage in the Senate several weeks ago by the thinnest of margins, your team has pushed for and received some important roll backs from the original version of the bill. Similar to SB151, the latest version of the bill contains some important changes driven by the team and your leadership. Here are some changes:

• Would have prohibited discrimination in housing on the basis that the income of a person is derived from governmental benefits - amended out
• Would have prohibited a person from refusing to rent a dwelling in a low-income housing project to an applicant because the applicant has a previous history of an inability to pay rent - amended out
• Would allow a tenant to request an initial inspection before move out in order to allow the tenant to remedy any deficiency that may otherwise cause a deduction in the security deposit - amended to ensure the tenant could not take action on anything that requires professional licensure to perform
• Would allow the tenant to request a final inspection within 21 days of move out and receive a statement of any deficiencies (originally was 3 days)
• Would require the return of the security deposit within 21 days (instead of the current 30 - originally proposed 14) - amended out the "or within 5 days of the final inspection, whichever is earlier" provision
• Would have authorized a landlord to charge a reasonable late fee for late payment of rent, but not before 3 days after rent is due and the fee may not be higher than 5% of periodic rent - amended out
• Would allow a tenant to recover damages for the landlord failing to maintain the unit in habitable condition without the usual notice if the tenant can prove to the court that the landlord had actual knowledge of the condition
• Would allow a tenant seeking to recover damages in those circumstances may raise a defense to an eviction without depositing the withheld rent in an escrow account - amended out
• Would authorize the tenant to recover immediate possession, terminate the lease and recover damages if a landlord abuses the right to access the unit or uses that right to harass the tenant
• Would have removed the requirement for the tenant to deposit rent in an escrow account in order to raise a defense against eviction - amended out
• Would require the landlord, during the 5-day period following the eviction or lockout, to provide the former tenant the opportunity to retrieve essential personal effects
• Would establish an expedited procedure for the former tenant to retrieve essential personal effects if the landlord acts unreasonably in providing access
• Would remove late fees from the definition of rent and prohibit a landlord from refusing to accept rent if the refusal is based on the fact that the tenant has not paid any amount that does not constitute rent
• Provisions of this bill would not apply to commercial properties.

Thanks to our REALTOR® family, we have made tremendous strides in ensuring our elected officials are hearing our concerns. Please keep an eye out for important instructions on what you can do next. SB256 passed out of the Senate on a 11-10 vote on April 23. The hearing is scheduled for Wednesday, May 15.

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The 80th Session of the Nevada Legislature began on February 4, 2019. May 10 is day 96 of the 120-day session.

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• • Assemblyman Thompson Passes Away Suddenly
• • HOA Resale Package
• • Ability for Local Government to Expedite the Sale Process of Abandoned Properties
• • Changes to Summary Eviction Process
• • Egregious Changes to Landlord-Tenant Law
• • 2019 Session by the Numbers
• • Sign Up to Receive Calls to Action

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For more information, please contact:

• Nevada REALTORS® President Keith Lynam
• Nevada REALTORS® Legislative Chairman Kevin Sigstad
• Nevada REALTORS® CEO Teresa McKee