Posts Tagged ‘Secretary of State’

Nevada Campaign Reports Now To Be Filed Electronically For Better Public Access

By Sean Whaley | 2:14 pm January 3rd, 2012

CARSON CITY – Starting with the annual campaign contribution and expense reports due Jan. 17, elected officials and candidates must now file their information electronically with the Secretary of State’s office.

State lawmakers say they have not heard of any major concerns with the new requirements from their colleagues.

Sen. Mo Denis, D-Las Vegas, said he has not been made aware of any concerns about the new reporting requirement from Senate Democrats or candidates. It has been an option for quite awhile and many candidates already use it, he said.

Nevada state Sen. Mo Denis, D-Las Vegas. / Nevada News Bureau file photo

“It’s actually a little easier to do it because you can just go on and do it rather than the handwritten stuff that you fax and all that,” Denis said. “It’s supposed to be easier in the long run.”

The improved transparency with the new mandate is fine with him, Denis said.

“We know going in when we run for office that we don’t have anything to hide,” he said. “The only issue that usually comes up is because we are only part-time and we don’t really have staff, unless you raise enough money to get staff, sometimes you can run into those issues. But it’s not that you don’t want to do it, but sometimes it’s an issue of having the time to do that.”

Assembly Minority Leader Pete Goicoechea, R-Eureka, said the new requirement will be a challenge for him because he is not as proficient with the on-line technology as some other office holders and candidates.

“Some of us older guys that aren’t nearly as ‘techie’; it’s going to be a little bit of a hardship on us that aren’t quite so computer literate,” he said with a laugh.

Assembly Minority Leader Pete Goicoechea. / Nevada News Bureau file photo.

But Goicoechea, a candidate for the state Senate who has filed handwritten reports in the past, said he has no issue with improved public access to the information.

“I don’t think anybody has any real issue with filing them,” he said. “It’s just going to be a little bit of a hardship for those of us that aren’t quite in this age.”

A new law that took effect Jan. 1 requires the electronic filing, which will make the information about who is contributing to candidates easier for the public to review.

The Secretary of State’s Elections Division launched its enhanced online system for campaign and public official finance reporting on Dec. 30. As of Jan. 1, 2012, all parties filing Contributions & Expense (C&E) Reports and Financial Disclosure Statements (FDS) are required to report the information electronically with the Secretary of State’s office as mandated by Assembly Bill 452.

Electronic filing applies to all filers, regardless of where they filed their reports, statements or candidacy papers in the past. Exemptions will only be granted to filers who submit an affidavit declaring they do not own, have access to, or have the financial ability to obtain access to the necessary technology. Candidates who receive or expend more than $10,000 are not eligible for the exemption.

Secretary of State Ross Miller sought the legislation in the 2011 session to improve transparency in the reporting by candidates and elected officials of their contributions and expenditures. Up to now, candidates could file the reports by mail. Often handwritten, the reports were difficult to read or analyze.

In an interview in September, Miller said: “Mandating that these reports be filed electronically is the first step in putting the information in a way that is accessible to the public. And I think when this system is unveiled it will bring Nevada out of the Dark Ages of campaign finance reporting and finally shine a light on the campaign finance data to make it accessible in a format for the public.”

Information in the reports will be available at 12:01 a.m. on Jan. 18, sooner for those who file early.

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Audio clips:

Sen. Mo Denis says electronic filing should be easier:

010312Denis1 :13 long run, so.”

Denis says he is fine with the improved transparency:

010312Denis2 :25 to do that.”

Assemblyman Pete Goicoechea says the new requirement will be a hardship for those who are not technologically savvy:

010312Goicoechea1 :11 so computer literate.”

Goicoechea says the improved reporting is fine with him:

010312Goicoechea2 :11 in this age.”

 

 

Nevada Securities Division Issues Cease and Desist to Wyoming Company

By Nevada News Bureau Staff | 2:26 pm September 10th, 2011

CARSON CITY — The Secretary of State’s Securities Division has issued a cease and desist order to a Wyoming company doing business in Nevada to stop selling shell corporations registered with his office because it is a securities violation.

Secretary of State Ross Miller says the sale of Nevada corporations and limited liability companies (LLCs) includes the sale of stocks or shares, and is therefore regulated by Nevada’s securities statutes and regulations.

“The sale of securities by an unlicensed broker or dealer is a clear violation of our securities statues,” said Miller in a Friday press release. “Every corporation has stock or shares representing ownership, so in order to sell the corporation you have to sell the stock or shares. It’s not illegal to do that, but it is illegal to do so without a license.”

Miller said his office will continue to investigate other possible criminal violations related to this type of activity.

The Chief Administrator of the Securities Division, Carolyn Ellsworth, says the Division will also be investigating possible fraudulent and misleading claims regarding the value of the shell companies in this case as well as future investigations.

“Many times when these corporations or LLC’s are sold, the buyer is told that simply because the entity was formed and registered a few years ago, it has more value because it’s an ‘aged’ corporation,” said Ellsworth. “Buyers are sometimes told that the aged nature of the entity makes it more valuable for things like getting a line of credit, or just general credibility. It does not, and so that’s a serious misrepresentation.”

The issuance of the Cease and Desist Order is part of an ongoing effort to address abuses of the Nevada commercial filing statutes and regulations.

In addition, corporate entities registered in Nevada and the formation agents and registered agents representing those entities will be the focus of the new Corporate Ownership Fraud Task Force that was announced this week by Miller.

The Task Force will investigate registered Nevada business entities that are suspected of being involved in illegal activities including tax evasion, money laundering, securities violations, and the marketing of shell or shelf companies for fraudulent and/or deceptive purposes.

Miller has appointed former criminal prosecutor Tera Ames as his Special Liaison to the Task Force which will also include Special Agent in Charge Paul Camacho from the Internal Revenue Service, and John P. Kelleher, Chief Deputy Attorney General of the Attorney General’s Bureau of Criminal Justice Fraud Division.

The Task Force will use shared resources and information to target possible criminal activity.

“We have a unique law in Nevada which allows us to demand a list of beneficial owners of any entity registered in Nevada that is suspected of illegal activities,” said Miller. “We plan to use that law aggressively, which is why I’ve brought in a criminal prosecutor to be my liaison to the Task Force.”

Miller said that although the problem is not rampant, there are cases of individuals and entities falsely promoting Nevada as a safe haven for criminal activity.

The IRS recently took aggressive action against individuals involved in asset protection schemes in Nevada. In July, William S. Reed, Richard Neiswonger, and Wendell Waite were indicted on federal charges of defrauding the U.S. Government, mail fraud, wire fraud, conspiracy and money laundering.

Additionally, criminal fraud relating to disguised corporate ownership has long been a focus of the IRS and was once again named as one of the IRS’ 2011 Dirty Dozen Tax Scams.

In these schemes, corporations and other entities are formed and operated for the purpose of disguising the ownership of the business or financial activity by means such as improperly using a third party to request an employer identification number. Such entities can be used to facilitate underreporting of income, fictitious deductions, non-filing of tax returns, participating in listed transactions, money laundering, financial crimes and even terrorist financing.

The Task Force’s investigations will be backed by an aggressive prosecutorial effort by the Nevada Attorney General, according to press release this week.

Secretary Of State Revokes Corporate Status Of 427 Businesses For Failure To Respond

By Nevada News Bureau Staff | 6:18 pm September 8th, 2011

CARSON CITY – Nevada Secretary of State Ross Miller today revoked the corporate status of more than 400 limited liability corporations (LLC’s) and corporations registered with the state of Nevada for failing to respond to an official inquiry into the companies’ status as home-based businesses.

The registered agent for the companies, Power Point Management Ltd., had its status as a Nevada corporation revoked on Aug. 20 for failure to respond to similar interrogatories from the Secretary of State, and failure to supply a current list of owners as requested by Miller’s office. Letters to the more than 400 entities using Power Point as a registered agent were hand delivered to the Power Point offices today notifying those entities that their registration with Nevada has been revoked.

“We’re not going to allow businesses to skirt the rules,” Miller said. “We’re going to aggressively enforce our statutes and regulations, and in doing so we’re going to ensure that compliant businesses are operating on a level playing field. The term ‘business friendly’ should not be interpreted to mean ‘haven for bad actors.’ ”

Secretary of State Ross Miller.

In July, interrogatory letters were hand delivered to Power Point Management requesting an updated list of owners and officers and response to interrogatories within three days. The same letter was also mailed to Power Point on July 14. On Aug. 30, having received no response from Power Point, a criminal investigator from the Secretary of State’s office hand delivered a letter advising Power Point Management Ltd that is was revoked for failure to supply a current list of owners and to respond to interrogatories.

Additionally, Power Point Management Ltd was advised that it had failed to comply with Nevada law by failing to provide a place of business where service of process could occur for the hundreds of companies that used Power Point as a resident agent.

On that same date, a criminal investigator hand delivered 427 letters for those companies to Power Point Management Ltd’s Las Vegas address at 2235 E. Flamingo Rd. #201A. The letter required an updated list of members/managers and or owners/stockholder within three days. The letter also required responses to interrogatories regarding their claim that they qualify for the home based business exemption. To date, there has been no response from any of the entities under Power Point Management to these letters.

Secretary Of State Seeks $539K To Pay Counties For Costs Of Special CD2 Election

By Sean Whaley | 3:37 pm August 10th, 2011

CARSON CITY – Secretary of State Ross Miller is seeking more than half a million dollars from a legislative contingency fund to pay the counties for the cost of the Sept. 13 special election in the 2nd Congressional District.

The request for $539,137 from the Legislature’s Interim Finance Committee Contingency Fund would reimburse counties for all costs and expenses to conduct the special election to pick a replacement for Dean Heller, who was appointed to the U.S. Senate by Gov. Brian Sandoval. The fund has just under $12 million.

The request will be considered Monday by the Board of Examiners, made up of Sandoval, Miller and Attorney General Catherine Cortez Masto. It will then go to the IFC on Aug. 31.

Secretary of State Ross MillerFormer state Sen. Mark Amodei, R-Carson City, is facing Democrat state Treasurer Kate Marshall in the race, which also includes Independent American Party candidate Tim Fasano and independent Helmuth Lehmann.

Counties budget for and cover the costs of administering regularly scheduled elections in Nevada, but Miller said previously that neither the counties nor the state have budgeted for costs to run a special election. As a result, Miller issued emergency regulations he said are necessary to assist the counties during a financially difficult period…and are also necessary to ensure the proper administration of the special election by the counties.

Under the emergency regulations, counties must submit invoices and other supporting documents with the request for reimbursement to the Secretary of State’s office following the election.

Miller said reimbursement of eligible costs and expenses “will be contingent upon available and authorized state funding.”

Miller earlier rejected the notion of approving requests from Esmeralda and Nye counties to expand the number of mail ballot only precincts in their counties for the special election. Both counties claimed they would realize modest cost savings by designating more mail ballot only precincts, but Miller said his overriding concern is the integrity of the election process.

The district covers all of 16 of 17 Nevada counties, plus a small portion of Clark County. The district has 141,330 active Democrat voters, 172,281 active Republican voters and 60,519 active nonpartisan voters.

The district, created in 1981 following the 1980 U.S. Census, has always been represented by a Republican.

Secretary of State Investigators Arrest Southern Nevada Man in Multi-State Ponzi Scheme

By Nevada News Bureau Staff | 9:28 am July 22nd, 2011

Investigators from the Secretary of State’s office today arrested Hans Seibt at his Las Vegas residence on 25 counts of securities fraud and six counts of theft. The criminal complaint filed by Attorney General Catherine Cortez Masto charges that Seibt was essentially operating a Ponzi scheme that victimized investors in Nevada and several other states.

Operating under the business names HSLV Development Corp. and Clark and Nye County Development Corp., Seibt successfully solicited investments of $10,000 or more from his victims, offering them trust deeds, joint venture agreements, and subscription agreements, all of which were supposedly secured by parcels of land Seibt was holding in Nye County.

Investigators say the land’s value was grossly exaggerated in order to support Seibt’s claims to his victims. The complaint also charges that Seibt and his representatives told victims they would receive a return of between 10 percent and 12 percent on their investment, but that Seibt, rather than actually purchasing the land, had used the money to pay off other investors and for personal use.

“Targeting senior citizens is particularly egregious,” Masto said. “I want to commend the Secretary of State’s office for bringing the evidence which resulted in the filing of this complaint.”

Attorney General Catherine Cortez Masto. / Nevada News Bureau file photo

Secretary of State Ross Miller said: “I can’t stress enough the importance of every investor conducting the most thorough due diligence possible when making an investment. Investing is a complicated and, to varying degrees, risky process. So-called interest payments or distributions that are paid to some investors aren’t a guarantee that an investment is legitimate. That’s the whole basis for a Ponzi scheme. Potential investors just can’t be careful enough, especially in the current economic environment.”

Seibt was booked in Clark County jail this morning, and was initially being held without bail pending an initial appearance in Justice Court.

As in all criminal matters, the Secretary of State’s office cautions that allegations are only accusations and individuals are presumed to be innocent until proven guilty in a court of law.

Secretary Of State Will Evaluate Mail-In Ballots For Special Election

By Sean Whaley | 3:51 pm June 17th, 2011

CARSON CITY – Secretary of State Ross Miller is asking for information from county clerks and registrars about the possibility of using mail-in ballots for the upcoming special election to fill the vacant Congressional District 2 seat.

Secretary of State Ross Miller has agreed to evaluate a mail-in ballot for the Congressional District 2 special election./Nevada News Bureau file photo.

“One of our biggest concerns with the special election is trying to reduce the cost to taxpayers,” he said today. “And under new legislation, any county clerk or registrar can convert any precinct into a mail ballot-only precinct with the permission of our office.

“We’ve received several requests from some county clerks who want to at least explore that option and so we simply asked them to prepare some analysis and identify potential issues,” Miller said.

Miller is asking each county to provide his office with itemized cost estimates for printing, postage, additional staff time, and other expenses. He’s also asking local elections officials to address any administrative problems or concerns they might anticipate. County clerks and registrars are being asked to provide the information by the end of next week.

Miller said he remains skeptical that there would be any cost savings by running the special election through a mail-in ballot process, but the information provided by local election officials should help answer the question.

“All-mail elections are really a Western phenomenon,” he said. “In Oregon they use entirely mail ballots. In Washington, I believe it is over 90 percent, and Arizona is very high also. So it has been a trend that we have seen as some of the states move away from electronic voting machines.”

Miller said he has confidence in the state’s electronic voting machines.

“And so absent a very good reason to depart from the electronic machines I don’t think we’ll do it in the special election, but we certainly want to explore whether or not there are any cost savings to try to reduce the cost to taxpayers of going to the special election,” he said.

The special election expected to be set for sometime this fall is needed for voters in Congressional District 2 to pick a replacement for former Rep. Dean Heller, who was appointed to the U.S. Senate seat held by John Ensign.

Audio clips:

Secretary of State Ross Miller says he wants to evaluate a mail-in ballot to see if there would be a savings to taxpayers:

061711Miller1 :23 identify potential issues.”

Miller says mail-in balloting is a Western phenomenon:

061711Miller2 :20 electronic voting machines.”

Miller says he still has confidence in the state’s electronic voting machines:

061711Miller3 :24 the special election.”

 

Secretary Of State Orders Unlicensed Broker To Stop Offering Unregistered Investments

By Sean Whaley | 4:18 pm June 14th, 2011

CARSON CITY – The securities administrator for Secretary of State Ross Miller is ordering a Las Vegas man to immediately stop selling or offering to sell unregistered securities until both he and the securities are legally licensed and registered with the state.

Leonard Benson and the Leonard Benson Company, which uses a mail drop address on West Sahara, was offering investments in “The Leonard Benson Private Gaming Fund” through the mail and through a website Benson operated. Benson’s website also offered courses in gambling strategy.

Secretary of State Ross Miller/File Photo, Nevada News Bureau

According to the offering, an investment of $10,000 would yield a return of several hundred dollars per month for six months to a year, at which time the entire principal would also be returned to the investor.

In a letter sent to potential investors Benson states: “What I am offering you is an opportunity to receive a 36 percent to 100 percent return on your money in one year without doing anything!”

“The Leonard Benson Gambling Fund” is not registered as a security in the state of Nevada, and neither Leonard Benson nor his company is licensed as a securities broker-dealer, sales representative, or agent.

“Anyone who has made an investment with Mr. Benson or his company should contact my office immediately,” Miller said. “This type of enforcement requires an active role by potential victims. We can stop people like this most effectively with public cooperation. It’s also worth noting that this offering easily falls under the ‘too good to be true’ rule. A return of 36 percent to 100 percent in one year is cause for not just suspicion but downright incredulity.”

Anyone who has made investments with Leonard Benson is asked to contact the Secretary of State’s Securities Division at 1-800-758-6440.

Leonard Benson and The Benson Company have 45 days upon receiving the Cease and Desist Order to request a hearing on the matters in the complaint.

Secretary Of State Ross Miller Declares Special Election Open For All

By Andrew Doughman | 12:59 pm May 2nd, 2011

CARSON CITY — Secretary of State Ross Miller today announced that a special election for Nevada’s Congressional District Two will be open to all candidates.

“You might as well call this a ballot royale,” he said.

Miller’s decision allows for any candidate to be on the ballot for the Sept. 13 election. The state Republican party has favored an interpretation of state law that would allow state parties to pick a single candidate of their choice.

Miller’s decision is widely believed to benefit Democrats in a special election since an open ballot with many Republican candidates could split the vote, allowing a Democratic candidate to win in a congressional district that leans Republican.

Miller announced his decision at a press conference at the Legislature, where he framed his decision with this question about candidates:

“Are they picked by the people of the state of Nevada or instead by a small group of powerful political party officials?”

Miller said a free-for-all election is about the voters, not his affiliation with the Democratic party.

“Our entire system is based on a concept of being inclusive, one that’s open to all citizens,” Miller said.”This interpretation allows open ballot access, freedom for all to run and ultimately it lets the people decide. That electoral structure is as American as apple pie.”

Republicans, however, contend that Miller made a decision based on what would best suit Democratic candidates in the special election.

“Secretary Miller seems to have allowed partisan politics to direct his decision concerning how to conduct the special election in U.S. Congressional District 2,” said Cory Adair of the state Republican party. “The Nevada Republican Party stands firm that state law ensures major party central committees should be the nominating body for their own candidates in a special election.”

A special election became necessary after Gov. Brian Sandoval appointed Rep. Dean Heller, R-Nev., to the U.S. Senate to replace outgoing Republican Sen. John Ensign, who announced his resignation last month. Ensign made his farewell remarks today, and his resignation is effective tomorrow.

Sandoval announced Sept. 13 as the date of the special election, but it was up to Miller to clarify the law as it concerns who is eligible to run for the seat.

Lawsuits from both major political parties are pending and could alter the rules for the election.

Miller said today that any court decision would have to be made by July 15. Otherwise elections officials may not have time to issue ballots to overseas and military voters.

“The bottom line is, we won’t have a lot of time for this to be resolved in the courts,” he said.

A timeline provided by the Secretary of State provides for candidate filings, ballot printings and voter registration deadlines.

 

AUDIO CLIPS:

Ross Miller asks whether political parties or voters should choose candidates:

050211 Miller :12 “How are those candidates …”

Ross Miller says the process is “as American as apple pie.”

050211 Miller :12 “This interpretation allows open ballot …”

Campaign Finance And Election Reform Bills Win Approval In Assembly By Deadline

By Sean Whaley | 8:06 pm April 26th, 2011

CARSON CITY – Two bills that would close loopholes and increase transparency in Nevada’s election and campaign finance laws won approval in the Assembly today with no time to spare.

Secretary of State Ross Miller is seeking the bills restricting the use of multiple political action committees to bypass campaign contribution limits and requiring electronic filing of campaign contribution and expense reports by most candidates.

Today was the deadline for the bills to win Assembly approval or see no further consideration in the 2011 legislative session. They will now be considered by the Senate.

Assembly Bill 452 contains the provisions requiring most candidates for public office to file their campaign reports electronically so the data can be entered into a searchable database. The bill also requires the reports to be filed before early voting so voters can see who gave money to candidates and where they spent their funds.

Assembly Bill 81 contains a provision restricting the creation of political action committees to circumvent limits on how much money can be contributed to a campaign as is now being reviewed in Rory Reid’s failed gubernatorial bid.

Miller’s office is investigating Reid’s use of 90 shell political action committees his campaign established to funnel $750,000 into his race for Nevada governor. Reid has said the use of the multiple PACs was legal. The use of the PACs was first reported by political commentator Jon Ralston.

The section of the bill had been deleted by the Assembly Legislative Operations and Elections Committee after some lawmakers expressed concern that the language in the bill could be improperly applied to their caucus and leadership PACs as well.

New language that was acceptable to a majority of the Assembly membership was amended into the bill on the Assembly floor before the final vote sending the measure to the Senate.

Another section of the bill would allow for bigger financial penalties if a third-party group spends money in a Nevada campaign without filing the required disclosure information.

The proposed language is intended to clarify state law and allow Miller to count each activity, such as multiple ad buys, as separate violations that could bring civil penalties. The clarification would help ensure compliance with the reporting requirements.

“It’s always been our position that every TV buy was an actionable violation of the statute,” Miller said after the committee vote earlier this month. “We recognize that it could certainly be argued that, in the aggregate, all of those violations only constituted one violation.

“Obviously it is a poor policy because it would allow a significant out-of-state buy and somebody to say, ‘here is your $5,000 fine and that’s an acceptable cost of doing business for us,’ ” he said.

The bill passed on a 32-10 vote with the “no” votes from Republicans. Six Republicans voted for the measure.

AB452, which also contains a controversial provision requiring a two-year cooling off period before a former lawmaker could be paid to work as a lobbyist in the Legislature, passed on a 27-15 vote with a mix of Democrats and Republicans in support.

Assemblyman William Horne, D-Las Vegas, an attorney, objected to the provision, saying it would prohibit him from representing a client in the Legislature if he left office.

Assemblyman William Horne confers with colleagues on the Assembly floor today/Photo: Andrew Doughman, Nevada News Bureau

“I have a fundamental disagreement with some of my colleagues that you should prohibit someone from doing what they’re gainfully employed to do,” Horne said after the vote.

He said “it’s a fiction” to imagine that two years spent away from the Legislature would erase the relationships he has built as an Assemblyman.

But Assemblywoman Lucy Flores, D-Las Vegas, said that the cooling-off period is all about public perception.

“We want to promote good governance and a process that is free from influence, even if it’s sometimes not,” she said.

Assemblyman Skip Daly, D-Sparks, was a lobbyist before he became a legislator. He also voted against the bill because he said it would restrict a citizen from doing part of a job if that job required lobbying at the Legislature.

He said it would have been better to establish a two-year cooling-off period for a “hired gun” who lobbies at the Legislature as a contract lobbyist.

Assembly Speaker John Oceguera, D-Las Vegas, commented on the unusual votes: “I think people are just voting their conscience. … I really don’t think there’s a problem, but the public perceives a problem … For me, it was a matter of principle and earning the public’s trust.”

AB452 would require campaign contribution and expense reports to be filed four days before early voting and would be updated to reflect any additional contributions and expenses four days prior to the primary and general elections.

It would also make the Secretary of State’s office the central repository for the campaign reports for all elections, as well as for financial disclosure statements required of candidates and elected officials. These reports would also be filed electronically.

The provisions for electronic filing and earlier filing dates for the reports are being sought  by Miller who has said Nevada’s current reporting laws result in the state getting a failing grade on campaign transparency.

Nevada has consistently received poor grades for its transparency on election reform efforts, including an “F” in 2008 from the Campaign Disclosure Project.

Nevada News Bureau intern Andrew Doughman contributed to this report.

Bill From Secretary Of State Could Net State $11 Million

By Andrew Doughman | 8:24 pm April 15th, 2011

CARSON CITY — Changing one word in a law could save Nevada up to $11 million.

Secretary of State Ross Miller has sponsored a bill that would change who is exempt from Nevada’s business license fee.

Right now, home-based businesses making less than $27,000 a year in net earnings are exempt from the requirement.

Miller would change the language to “a natural person” rather than the current “person,” since businesses have used this as an excuse to declare themselves exempt.

In law, a business can claim to be a person. A “natural person” is a warm-blooded human being.

Miller’s bill, Assembly Bill 78, would make it more difficult for businesses to skirt the fee. This past year, Miller conducted an audit after having noticed a marked increase in the number of businesses claiming exemptions.

He found that businesses like bowling alleys were claiming to be a “person” operating a home business.

“The audit speaks strongly to the need to pass Assembly Bill 78 which levels the playing field for all businesses and captures lost revenue that is critically needed,” Secretary Miller said in reaction to the audit. “At a time when legislators are looking at severe budget cuts and possible tax increases, it only makes sense that we clarify and enforce the laws on the books. It’s absolutely in the state’s best interests to do so.”

The $11 million is what Miller expects the state to earn when it re-captures money from businesses that have been taking advantage of this loophole.

Miller had earlier included language to impose a $1,000 to $10,000 fee on a business that fails to register or renew a business license in Nevada. But he struck that language in an amendment.

This should make the bill easier to pass, since Gov. Brian Sandoval has said he will veto any bill that raises taxes or establishes a new tax or fee.

An Assembly Judiciary committee worked late Friday night to meet a deadline to pass bills out of committee.

Perhaps out of tiredness or for some other reason, they miscounted a vote on Miller’s bill.

Republicans dissented and argued that the bill could unintentionally hurt businesses. Assemblyman Steven Brooks, D-Las Vegas, also voted against the bill for similar reasons.

With one Democrat and one Republican absent and needing a majority of committee members to vote for the bill, the Democrats stalled for time and voted on other bills before coming back to Miller’s bill.

Miller, sitting in the audience, watched as Speaker John Oceguera and Majority Floor Leader Marcus Conklin flitted in and out of the committee room in an attempt to get their votes together.

But when Brooks saw that his vote would either make or break Miller’s bill, he changed his mind.

“It was clean-up language and after I learned that, I supported it,” Brooks said after the vote.

When Brooks changed his vote while reserving the right to later vote against it, the bill passed out of committee on a party-line vote.

It now moves to the Assembly floor for a vote.

 

Assembly Panel Hears Simplified Campaign Finance Reform Bill

By Sean Whaley | 4:29 pm March 29th, 2011

CARSON CITY – A simplified campaign finance reform bill that would require most candidates to file their contribution and expense reports electronically was given a generally favorable reception today during an Assembly Committee hearing.

The Committee on Legislative Affairs and Operations introduced Assembly Bill 452. The bill contains three key provisions from Secretary of State Ross Miller’s campaign finance bills, which the panel reviewed earlier this session.

But some provisions of the other legislation – Assembly Bills 81 and 82 – were criticized at the hearing earlier this month, including a proposal to increase filing fees for candidates for public office.

“And so the idea here was to strip out the three most important provisions that would really advance Nevada’s campaign finance measures and allow them to proceed as a single bill so that if people are hung up on certain provisions of AB81 or 82 these provisions would be allowed to go forward,” Miller said.

Assembly Speaker John Oceguera, D-Las Vegas, said the new bill was drafted to include those important reform provisions that appear to have the support of lawmakers and the public.

No one spoke in opposition to the campaign reform elements of the bill, although several amendments were offered by lawmakers and lobbyists. The bill will be reviewed later in a committee work session.

Miller testified in support of the bill, saying the current system of filing campaign reports by mail, and in a format that does not allow the public to search the information, is inadequate. Electronic filing would allow Miller’s office to create an online searchable database of the information.

AB452 also proposes to move up the filing dates of the campaign contribution and expense reports so the information is available prior to early voting. Reports would be filed four days before early voting and would be updated to reflect any additional contributions and expenses four days prior to the primary and general elections.

It would also make the Secretary of State’s office the central repository for the campaign reports for all elections, as well as for financial disclosure statements required of candidates and elected officials. These reports would also be filed electronically.

Gov. Brian Sandoval is in favor of the electronic filing requirement for campaign reports as well.

Miller said he is optimistic the bill will move forward, given that leadership in both the Assembly and Senate also support the reforms.

The bill also proposes to impose a two-year “cooling off” period before public officers, such as members of the Legislature, could be paid to lobby the body where they had served. For members of the Legislature, it would prohibit a former lawmaker from being paid to lobby at the Legislature in the next session following their leaving office.

Miller said this section of the bill is not within the purview of his office, but was sought by lawmakers.

Assemblyman William Horne, D-Las Vegas, an attorney and member of the committee, expressed concern that the cooling off period could affect his ability to represent a client and indicated he may have to oppose the bill unless the provision can be amended.

Miller said he will continue to seek passage of AB81 and 82 because they contain important reforms needed for transparency in Nevada’s elections.

“These are the three major provisions that could dramatically improve transparency in the process, but AB81 and 82 have major provisions that put disclosure requirements on third-party groups and additional reporting requirements, and that is a significant area of concern every election, is who is financing these campaigns, these shadowy third-party groups,” he said. “We’ve got to get that under control.”

Audio clips:

Secretary of State Ross Miller says the idea was to take the three key campaign finance reform provisions and put them in one bill:

032911Miller2 :23 to go forward.”

Miller said he will still pursue the other measures because they contain important election reforms:

032911Miller2 :24 that under control.”

 

Report Suggests Economic Growth May Soon Be Under Way In Nevada

By Sean Whaley | 1:04 pm March 11th, 2011

CARSON CITY – While much of the economic news about Nevada is gloom and doom, a new report prepared for Secretary of State Ross Miller shows new business filings in the last quarter of 2010 turned positive for the first time since mid-2006.

The turnaround suggests the worst of the economic slowdown may be behind us, according to the report.

“Should historical trends hold true to form, general economic growth – including increased stability within the job market – should follow,” the report says. “When the new entity filings are charted with employment figures, it becomes clear that the new business filing statistics kept by the Secretary of State’s office may be a reliable leading indicator of future economic activity.”

Courtesy of Applied Analysis

The report was prepared by Applied Analysis at Miller’s request.

According to Applied Analysis Principal Jeremy Aguero, the research firm has analyzed hundreds of economic indicators and concluded that new business filings reported by the Secretary of State’s office provide meaningful insight and may even be an early warning system of future economic instability. Aguero also indicated that since these data have not been reported on a recurring basis, they may have been overlooked in the past.

In the fourth quarter of calendar year 2010, the number of new business filings totaled 13,801, contributing to a 12-month tally of 55,082. The latest quarterly volume was 2.4 percent above the preceding quarter and 2.8 percent above the 13,429 reported in the same period of the prior year.

Courtesy of Applied Analysis

The report comes out as the Nevada Department of Employment Training and Rehabilitation reported this week that the state’s unemployment rate fell seven-tenths of a percentage point to 14.2 percent in January. The drop was not seen as positive for the state, however.

“Unfortunately, the decrease was not driven by significant improvement in the labor market” said Bill Anderson, chief economist for the department. “It appears likely that some jobless Nevadans are becoming discouraged and giving up their search for work and dropping out of the labor force. In addition, given stagnant population levels, it is also likely that some Nevadans are leaving the state.”

Anderson noted there are some signs of an improving economy, with the key indicators of visitor statistics, gaming win and taxable sale exceeding expectations. Rising gas prices could affect the number of visitors to the state, however, he warned.

The Gaming Control Board also this week reported the casino gaming win for January, showing a less than 1 percent decline compared to January of 2010. The 0.67 percent decline was based on $877 million in win statewide.

For the seven months of the fiscal year to date, gaming win is up 1.2 percent over the same period in the prior year.

The Applied Analysis review of the new business filings makes one other point: Increases in foreign filings picked up in the first quarter of 2010 and have remained ahead of the prior year. Foreign filings were up 29.6 percent over 2009.

“Increases in the number of new foreign filers helped offset declines reported by domestic filers, which were down 7.8 percent for 2010. During the year, foreign filings accounted for 7.4 percent of activity, relatively modest yet a notable increase from the 5.4 percent average reported in all of 2009.”

Applied Analysis is a Nevada-based advisory services firm founded in 1997, providing information and analysis to both the public and private sectors.

State Controller Wants Access To Bank Accounts, Licenses, In Debt Collection Effort

By Sean Whaley | 4:58 pm March 9th, 2011

CARSON CITY – State Controller Kim Wallin is seeking new authority from the Nevada Legislature to collect from those who owe the state money.

Senate Bill 81, heard today by the Senate Government Affairs Committee, would give Wallin the authority to identify those who owe money to the state using the databases of the many different professional licensing boards. This would ensure real estate agents, physicians, attorneys and other professionals either paid any outstanding taxes or other monies owed to the state or they would not get their licenses renewed.

“We have professionals that owe sales tax, any number of different debts, and to me it’s just another tool,” Wallin said. “If you are a professional and you owe the state of Nevada money, you need to pay your bill.”

State Controller Kim Wallin/Photo: Cathleen Allison/NevadaPhotoSource.com

The legislation would also allow Wallin to compare those owing the state money with bank accounts held by the debtors to improve collections.

It would work like child support collections do now, she said.

“If you owe for child support, they send an electronic file out to the banks, and if there is a match, then the banks withhold whatever money is in that account to pay the bill,” Wallin said.

Wallin has taken an aggressive approach toward the debt collection responsibility of her office, launching a new website last fall that includes a list of businesses and individuals who owe money to the state and the amounts they owe. It is updated about once a month.

When state agencies are unable to collect outstanding debts, they turn these accounts over to the controller’s office for collection. The list shows about $80 million in old debts owed to the state, although some of it is likely noncollectable.

Wallin said the money owed to the state wouldn’t entirely solve Nevada’s current budget crisis, but it would help.

The panel took no immediate action on the bill, referring it to a work session to resolve concerns raised by Janine Hansen, a member of the Independent American Party and a frequent candidate for political office who said she and other party members would be adversely affected by the ability of the controller to tap bank accounts to collect debts.

Hansen, along with several other members of the IAP, owe thousands of dollars in fines to the Secretary of State for alleged violations of campaign law.

Hansen said she was assessed $15,000 in 2007 for changing the wording on her campaign contribution and expense reports from her 2006 race to reflect that she swore the information was true in the name of Jesus Christ. Hansen said the fine is a violation of her freedom of religion.

The order imposing the fine shows, however, that Hansen did not properly fill out the reports because she was reporting only contributions and expenses made in “gold and silver dollars” of which there were none.

Hansen said other party candidates who ran in 2002 did not file reports because they spent no money on their races, but they too were assessed fines amounting to thousands of dollars as a result, even though there was a question as to whether the reports were required.

While some party members are challenging the fines, if SB81 passes, Hansen said she would not be able to maintain a bank account because the money could be taken by the controller’s office to pay what she says is an unconstitutional debt.

Hansen said the fines are unjust and are the result of persecution of the IAP by Secretary of State Ross Miller.

Committee Chairman John Lee, D-North Las Vegas, asked Wallin to work with Hansen and panel member Sen. Joe Hardy, R-Boulder City, to see if the concerns could be accommodated.

Hardy said the provisions of the bill would cast a wide net that might have unintended consequences.

Audio clips:

Controller Kim Wallin says SB81 would provide more tools to collect money owed to the state:

030911Wallin1 :12 just another tool.”

Wallin says professionals who owe the state money should pay up:

030911Wallin2 :04 pay your bill.”

Wallin says the bank account access would work like child support enforcement does now:

030911Wallin3 :13 pay the bill.”

Secretary Of State Presents Campaign Finance And Election Reform Package To Legislature

By Sean Whaley | 6:53 pm March 1st, 2011

CARSON CITY – Secretary of State Ross Miller made his pitch for campaign finance reform before an Assembly committee today, saying that while his two bills are extensive and complex at 155 pages combined, the many provisions are necessary because, “we are behind the curve.”

Miller, in testimony before the Assembly Legislative Operations and Elections Committee, said Nevada should provide increased transparency to voters about the campaign contributions and expenses of the candidates for public office.

The committee took no immediate action on the measures.

“This legislation has a lot in it – I get it – 155 pages of legislation, but it has a lot in it because we are behind the curve,” Miller said.

Secretary of State Ross Miller
Photo: Cathleen Allison/ NevadaPhotoSource.com

Of all the provisions in the two bills, the requirement of electronic filing of  campaign contribution and expense reports, the change in deadlines to make the filings more useful to the public, and having the secretary of state’s office be the single entity to maintain the information, are the most important, he said.

“If you remember only one thing from this package, it’s that those three things alone would send voters a message that transparency is a priority in our campaign and election processes, and the three go hand-in-hand toward increasing accessibility,” Miller said.

Nevada has consistently received poor grades for its transparency on election reform efforts, including an “F” in 2008 from the Campaign Disclosure Project.

Assembly Bills 81 and 82 would require online reporting of campaign contribution and expense reports so the data could be searched by voters. Filing deadlines would also be moved up so the reports would be filed before early voting begins.

The two measures would also provide for online voter registration, a process Miller said is more secure than the current use of voter registration cards. The bills would also increase fines for violation of voter registration laws.

Filing fees for candidates would also be increased for the first time in 20 years, to $3,000 from the current $500 for U.S. Senate candidates, and to $300 from $100 for legislative candidates. Other filing fees would increase as well.

Members of the Assembly panel asked questions and voiced some concerns, particularly about the increased penalties proposed for voter registration violations because of the many volunteers who perform such work, but there was no clear opposition expressed to the measures by lawmakers.

Several members of the audience testified in support of the proposal to require on-line filing of campaign reports by candidates, including Barry Smith, executive director of the Nevada Press Association.

Clark County Registrar of Voters Larry Lomax said he supported the electronic filing of campaign reports, both to save employee costs and because of the improved transparency for the voting public.

But not everybody was in favor of the bills.

Lynn Chapman, Washoe County chairwoman of the Independent American Party, said the increased fees proposed in AB81 would be a hardship on some candidates, including herself. She ran unsuccessfully for Washoe County Public Administrator in 2010. The new fees would require $300 to file, up from $100 now, for a county office.

Janine Hansen, state president of the Nevada Eagle Forum and a candidate for the Assembly in the 2010 election, said the bills favor the rich and powerful.

“The secretary of state’s election bills, AB81 and AB82, secure the advantages for the rich, powerful incumbents and candidates anointed by the ‘powers that be,’ ” she said. “These twin bills are dangerous to the democratic election process.”

Hansen also objected to the increase in filing fees, saying they would be a disadvantage to challengers and minor party candidates.

“Has the secretary of state become a revenuer instead of an elections official?” she said.

Miller said the filing fees have not been raised in 20 years and do not cover costs. He said the filing fees would not keep candidates from seeking public office, and that candidates could gather signatures to qualify for the ballot instead.

A number of other speakers, both in Carson City and Las Vegas, voiced opposition to the bills on many different grounds, including the increase in filing fees. Some critics characterized the measures as a “power grab” by Miller’s office.

Audio clips:

Secretary of State Ross Miller says his election bills are lengthy because Nevada is behind the curve:

030111Miller1 :10 behind the curve.”

Miller says electronic filing of campaign reports, earlier filing of reports and having his office in charge of the information, are the most important elements of the reform package:

030111Miller2 :14 toward increasing accessibility.”

Hearing Canceled On Measure To Fine Companies For Failing To Obtain State Business Licenses

By Sean Whaley | 10:38 am February 15th, 2011

CARSON CITY – A bill that would impose fines of $1,000 to $10,000 on businesses that failed to obtain a state business license after being notified by the secretary of state’s office has been pulled from a scheduled committee hearing.

Assembly Bill 78, sought by Secretary of State Ross Miller, had been set for a hearing on Wednesday in the Assembly Judiciary Committee.

Pam duPré, public information officer for the secretary of state’s office, said today Miller wants to clarify some of the language in the bill, and expects it to be rescheduled for a hearing before the Judiciary committee next week.

Freshman GOP Assemblyman Mark Sherwood last week criticized the bill, saying it would hurt Nevada’s business climate. Sherwood sent an email to Miller on Wednesday raising concerns about the bill but did not get a response. He then issued a press release saying the bill as written “would kill jobs and destroy businesses.”

Current law allows for fines for willful failure to obtain a state business license. AB 78 as currently written would remove the requirement for willfulness before such fines could be imposed.

Sherwood’s concerns were reported Friday by the Nevada News Bureau.