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Board flags IAA language that could expand mandatory employer coverage beyond Nevada statute

The Board of Trustees of the Nevada Employee Savings Trust · April 7, 2025

Summary

Board members identified a technical Interstate Adherence Agreement amendment that would alter the employer threshold from five or more employees to "one or more employees," potentially broadening required participation beyond NRS 353D.070. Treasurer Conine and legal counsel said they will reconcile the language with state statute before executing the agreement.

Member Andy Kao pressed staff on a technical adjustment in the Interstate Adherence Agreement (IAA) that appears to modify the definition of required employers. Kao noted the packet language would change the threshold from what he understood to be five or more employees to an apparent "one or more employees" formulation.

Treasurer Zach Conine and counsel looked for the relevant statutory text. Conine cited the Nevada statute and the reported language in the packet, and counsel said they would review the language carefully. "That's NRS 353D.070., one employs more than five persons in this state," Conine said during the exchange, indicating the board's expectation that the partnership language be consistent with Nevada law. Deputy Mohlenkamp explained the technical adjustments were intended to accommodate partner states with different thresholds and that Nevada's statute should constrain mandatory participation in practice.

The board agreed to approve the PDR documents pending a final technical adjustment to the IAA wording to ensure the partnership's definitions align with Nevada statute; staff and legal counsel will coordinate the exact language with the PDR lead state and return finalized documents for signature.

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