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CEO EXCHANGE
[ BY NELSON B. JANES ]
2013 LEGISLATIVE SESSION
Isabelle Frenette with Carrara Nevada updated the Board of
Directors on the current legislative session in Carson City.
FACE OF FORECLOSURE
Rocky Finseth and members of his staff, along with Joel
Searby from SGS and Silver State Analytics, presented the
Nevada Association of REALTORS ® Face of Foreclosure
Report to a joint hearing of the Senate and Assembly
Commerce and Labor Committees.
Searby began the discussion with legislators by showing
them the comprehensive data analysis and survey work
done as part of the report. “Nevadans are ready to turn the
page on this foreclosure crisis. People are ready to move
on, and start thinking about the next phase of what Nevada
could be. Our survey results clearly bear that out,”according
to Searby. On the data front, Searby commented that “the
data from the Mortgage Bankers Association just does not
support the notion that AB 284 has caused all of the ills
of this current real estate downturn. When you look at
mortgage delinquencies, notices of default, and notices
of trustee sales over the past year and a half, taking into
account pre-AB 284 activity and post-AB 284 activity, the
data tells a far different story.”
Legislators saw individual statistics on their districts to
include the number of foreclosures, notices of default broken
out by unit types and real estate owned properties. “Wow,
that is incredible,” commented one committee member.
To conclude the presentation, Chief Lobbyist for the
Association, Rocky Finseth, walked both committees
through the recommendations coming out of the report.
Finseth emphasized the need for revisions to AB 284;
the establishment of bona fide purchaser statute; dealing
with abandoned properties, and caution in creating an
establishment of a homeowner’s bill or rights.
INDEPENDENT CONTRACTOR STATUS
A couple of bills have been introduced with a focus on
independent contractor classification. The Legislature has
concerns over employers who misclassify employees as
independent contractors. NVAR Legislative Chair Keith
Lynam created a Task Force to review the misclassified
employees and review the definition of an independent
contractor. SB 96 would create an administrative penalty
against an employer who misclassifies an employee as an
independent contractor.
A Task Force met on the issue in 2010 and five bills were
introduced in the 2011 Session. The Governor vetoed
two bills that would have impacted your status as an
independent contractor.
DEPRECIATION
The Nevada League of Cities has proposed a bill, AB 26,
which would reduce the statutory rate of depreciation on
property. Currently, real property depreciates at a rate of
1.5% per year for 50 years. The property is fully depreciated
in Nevada at the 50th year. The League wants to see that
rate changed to 1% per year so that property would
fully depreciate at the 75th year.
The bill would not affect the maximum rate of depreciation,
which is 75% of the cost of replacement, and real property
will still fully depreciate at the current rate, but just take 25
years longer. If AB 26 passes, the new rate will kick in as of
January 1, 2013.
Since the bill requires a 2/3rds majority, some of the Senate
and Assembly Republicans would have to vote in favor of
the bill in order for it to pass.n
Chief Executive Officer Nelson B. Janes can be reached by calling
702.784.5000 or by emailing njanes@glvar.org
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SOUTHERN NEVADA REALTOR ® MARCH 2013 www.LasVegasRealtor.com