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AB 444

Revises provisions relating to governmental administration. (BDR 18-772)

2025 Regular Session Introduced by Greg Hafen and 1 co-sponsor

AB 444 requires state and local agencies to proactively notify and consult with small businesses and trade groups, assess impacts, and provide a small business impact statement bef

Approved by the Governor. Chapter 427.
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Bill Summary · AB 444

AB 444 — Summary (Chapter 427, 2025)

Status: Approved by the Governor (Chapter 427).
Introduced: February 6, 2025. Sponsors: Asm. Hafen; Sen. Neal.

Purpose

AB 444 revises procedural requirements governing adoption of state regulations and certain local government rules to increase early notice and consultation with small businesses and their representative organizations (chambers of commerce and trade associations). It also tightens procedural coverage for local actions that impose or change impact fees and sales/use taxes.

Key provisions

  • Amends NRS 233B.0608 (Nevada Administrative Procedure Act):

    • Requires agencies to determine whether a proposed regulation is likely to (a) impose a direct and significant economic burden on a small business (generally businesses with <150 employees under existing law) or (b) restrict formation, operation or expansion of a small business.
    • If likely, agencies must, insofar as practicable:
    • Consult owners/officers of affected small businesses.
    • Notify chambers of commerce and trade associations whose members are likely affected.
    • Conduct an analysis of likely impacts (by knowledgeable employee or contractor).
    • Consider mitigation measures (e.g., simplify rule, different compliance standards, reduced fees/fines).
    • Prepare a small business impact statement and make it available at least 15 days before the workshop/hearing; that statement must include the total number of small businesses likely affected and a list of notified chambers/trade associations.
    • Agencies must notify by electronic mail of the time/place of workshops, maintain an electronic mailing list of local chambers/trade associations and affected business owners/officers, and update that list annually (no later than January 31).

  • Local government rulemaking (NRS 237.*):

    • Eliminates prior exemptions that allowed local governments to avoid procedural requirements when imposing, increasing, or changing the basis for calculation of impact fees or sales and use taxes (previously exempt under NRS 237.060). Such actions are now subject to the procedural notification and business-impact requirements.
    • Clarifies that any local action adopting a rule in violation of these requirements is void and unenforceable (consistent with NRS 237.140).

  • Impact fee notice (NRS 278B.180):

    • Requires copies of public hearing notices on proposed impact fees, insofar as practicable, be provided to chambers/trade associations whose members are likely affected.

  • Litigation provision in earlier drafts (authorizing AG/others to sue) was removed; enforcement is by voiding/unenforceability of improperly adopted rules.

Who is affected

  • State agencies, officers, and employees subject to the Nevada Administrative Procedure Act.
  • Small businesses (particularly those with fewer than 150 employees under existing definitions).
  • Chambers of commerce and trade associations.
  • Local governments (cities/counties) when adopting ordinances or actions that impose/change impact fees or sales/use taxes.
  • Potential indirect effects for consultants, legal counsel, and stakeholders participating in workshops.

Procedural/timeline notes

  • Agencies must make impact statements available at least 15 days before workshops/hearings.
  • Agencies must maintain and update electronic mailing lists annually by January 31.
  • The bill passed the Legislature (Senate concurrence with amendments) and was enrolled June 5, 2025; approved by the Governor June 9, 2025 (Chapter 427).

Potential impacts

  • Increased administrative workload and notification costs for state agencies and local governments.
  • Greater early engagement by small businesses and representative groups, potentially reducing unintended regulatory burdens.
  • Possible fiscal impact to local governments (noted in fiscal analysis).

Legislative history highlights

  • Multiple committee amendments (notably Asm. Amend. No. 376 and 828); final enrollment removed private litigation authority and left the void/unenforceable remedy.
  • Committee support letters (e.g., Henderson Chamber of Commerce) emphasized benefits to small businesses.

Compiled from official sources — confirm details with the bill’s official record.

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