Existing law authorizes the Office of Economic Development to approve transferable tax credits and abatements or partial abatements of certain property taxes, business taxes and sales and use taxes for certain businesses in certain circumstances. The Office is prohibited from approving an application for such credits or abatements unless the applicant satisfies certain criteria and has entered into an agreement with the Office establishing certain terms for the abatement. (NRS 231.1555, 274.310, 274.320, 274.330, 360.750, 360.753, 360.754, 360.759, 360.889, 360.945) Sections 1-3, 5 and 9-12 of this bill require an applicant for transferable tax credits or a tax abatement to enter into an agreement with the Office that includes a workforce development plan that provides for the implementation by the applicant of a workforce development program which meets certain requirements, including that the program is provided by certain educational institutions and that the completion of the program will result in certain credentials or identifiable occupational skills. Sections 1, 2, 4, 6 and 9-12 of this bill: (1) authorize the Office to investigate whether the recipient of an abatement or partial abatement is complying with the terms of the workforce development plan; and (2) require a recipient to repay the amount of the abatement or partial abatement or an amount equal to the amount of transferable tax credits, plus interest, if the Executive Director of the Office determines that the recipient has not substantially complied with the terms of the workforce development plan. Sections 7 and 8 of this bill make conforming changes to update references to provisions renumbered by section 2. Section 13 of this bill makes the requirements of this bill relating to workforce development plans applicable only to an application for certain transferable tax credits or certain abatements made on or after July 1, 2025.

Statutes affected:
As Introduced: 360.750, 360.753, 360.889, 360.894, 360.945, 360.970, 372.7261, 374.7261, 231.1555, 274.310, 274.320, 274.330
BDR: 360.750, 360.753, 360.889, 360.894, 360.945, 360.970, 372.7261, 374.7261, 231.1555, 274.310, 274.320, 274.330