Existing law creates within the Office of Economic Development in the Office of the Governor the Nevada Air Service Development Commission, which consists of the Executive Director of the Office of Economic Development and certain members who are appointed by the Governor. (NRS 231.680) Section 7 of this bill creates the Office of Aerospace within the Department of Transportation and requires the Governor to appoint a Director to head the Office. Sections 3-6 of this bill define certain terms relating to the Office. Section 8 of this bill sets forth the duties of the Office, which include: (1) developing and expanding state planning relating to air service and airspace infrastructure and aviation-flight use, including, airport, airstrip, heliport, spaceport and vertiport, which must be developed subject to certain conditions; (2) creating a system for automated weather observation at rural locations; (3) creating a certification program for airport lighting and maintenance at rural airports; (4) developing a program to distribute the surplus equipment to airports; (5) implementing a statewide network of crew cars to support rural airports; and (6) establishing a comprehensive aviation support network. Section 9 of this bill authorizes the Office to apply for grants and accept certain funds. Existing law creates the Nevada Air Service Development Fund as a special revenue fund in the State Treasury and requires the Commission to develop a program to make grants of money from the Fund to an air carrier or any governmental entity for the purpose of establishing air service or providing enhanced air service routes that service certain airports. (NRS 231.690, 231.710) Sections 10 and 23 of this bill: (1) move and rename the Nevada Air Service Development Fund to the Nevada Aerospace Development Fund and provide that money remaining in the Nevada Aerospace Development Fund does not revert to the State General Fund at the end of a fiscal year and must be carried forward to the next fiscal year; and (2) require the Director of the Office to administer the Fund and make grants of money to air carriers or governmental entities that meet certain requirements. Sections 11 and 23 move the responsibility for developing the grant program from the Nevada Air Service Development Commission to the Office. Section 11 also sets forth the requirements for air carriers to be awarded a grant of money from the Office. Sections 12 and 23 of this bill: (1) rename the Nevada Air Service Development Commission the Nevada Aerospace Commission; and (2) move the Commission to the Office of Aerospace. Section 12 requires the Nevada Aerospace Commission to advise the Governor and the Office on the priorities for aerospace development in this State. Existing law creates the Fund for Aviation as a trust fund administered by the Director of the Department of Transportation and authorizes the Director to award grants of money from the Fund for Aviation to counties, cities or other local governments in this State to obtain matching money for federal programs and certain other programs relating to airports. (NRS 494.048) Section 14 of this bill requires the Director of the Office of Aerospace to administer the Fund for Aviation and authorizes the Director of the Office of Aerospace to award such grants of money. Section 13 of this bill requires the Office to submit an annual report to be transmitted to the Legislature or Legislative Commission detailing certain information for the immediately preceding calendar year relating to the grants awarded from the Nevada Aerospace Development Fund and the Fund for Aviation. Section 15 of this bill makes an appropriation from the State General Fund to the Nevada Aerospace Development Fund in the amount of $10,000,000 for the purpose of conducting a study of the development of intrastate air service in this State and for the purpose of making grants of money pursuant to section 11. Section 16 of this bill makes an appropriation from the State General Fund to the Fund for Aviation in the amount of $1,000,000 for Fiscal Year 2025-2026 and $1,000,000 for Fiscal Year 2026-2027 to match money that is available from the Federal Aviation Administration for these purposes.

Statutes affected:
As Introduced: 231.690
Reprint 1: 494.048
BDR: 231.690