Bill would allow Nevada Legislative Commission to adjudicate regulatory authority disputes

Sen. Skip Daley presented Senate Bill 340 to the Senate Committee on Government Affairs, proposing statutory language to allow Nevada's Legislative Commission to review disputes over an agency's regulatory authority and interpret legislative intent when a dispute is submitted to the commission.

Daley said the bill responds to a shift in federal administrative law following the U.S. Supreme Court's overturning of Chevron deference and would keep more regulatory authority disputes between Nevada's legislative and executive branches rather than shifting interpretation to the courts. "Because Nevada's constitution allows the legislative commission to not only review but to suspend or nullify a regulation if authorized by law, SB340 if passed will allow the legislative commission to interpret the regulatory authority granted by the legislature and to interpret the legislative intent behind the regulation," Daley said.

The bill would create a petition process to bring disputes to the Legislative Commission, require the commission to adopt administrative rules for adjudication of disputes, and — as drafted — would limit judicial review of the commission's termination decisions. Daley told the committee he would work with legal staff on changes to the judicial-review language after hearing questions from members.

Supporters including Nevada Policy testified that SB340 "strengthen[s] the legislative oversight over agency regulations" and would create public avenues to address unclear or burdensome regulations. Committee members questioned how the petition process would function, whether the commission chairman could be perceived as biased, and how often the commission would be expected to adjudicate disputes. Daley proposed a conceptual amendment to route petitions through a subcommittee for an initial recommendation to the full commission and said formal procedures would be adopted through regulations.

No formal action was taken at the hearing. Daley said he planned to work with legislative legal staff to address concerns about judicial review language and that the bill aims to reduce uncertainty about regulatory authority within state government rather than expand the courts' role.