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From YouTube: 3/23/2022 - Joint Interim Standing Committee on Revenue
Description
This is the third meeting in calendar year 2022. Please see agenda for details.
For agenda and additional meeting information: https://www.leg.state.nv.us/App/Calendar/A/
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A
Hey
good
afternoon,
I
would
like
to
call
to
order
the
meeting
of
the
joint
interim
standing
committee
on
revenue
welcome
and
thank
you
everyone
for
joining.
I
will
ask
mr
real
to
call
the
role.
C
A
A
A
A
So
I
would
like
to
remind
members
of
the
committee
presenters
and
other
individuals
in
the
zoom
meeting.
The
chat
feature
is
only
to
be
used
for
technical
assistance
with
bps.
It
is
not
to
be
used
for
any
communication
between
members,
presenters
or
other
individuals
in
the
meeting
unless
requesting
technical
assistance
from
bps.
A
If
someone
uses
the
chat
feature
to
during
the
meeting,
the
chair
will
ask
the
person
to
read
into
the
record
the
information
posted
in
the
chat
and
remind
everyone
that
the
chat
is
a
function
to
be
used
requested
by
technical
assistance
from
bps
any
links
or
information
that
a
presenter
would
like
shared
during
their
presentation
should
be
included
in
their
slide.
Deck
or
other
meeting
materials
provided
to
the
committee
must
not
be
sent
to
the
members
through
the
chat
feature
with
that.
We
will
move
on
to
agenda
item
number
three,
which
is
public
comment.
Bps.
A
A
Any
opposed
to
the
approval
of
the
minutes:
okay,
seeing
none
the
motion
passes
so
for
this
particular
meeting
today,
we're
going
to
move
to
agenda
on
item
number
five,
but
if
you've
looked
at
the
entire
agenda,
the
back
part
of
the
agenda
is
to
go
over
missing
items
that
we
weren't
able
to
complete
in
the
prior
meetings,
and
so
I
wanted
to
make
sure
I
gave
fiscal
analysis
a
chance
to
present
the
data
on
liquor
and
the
other
items,
because
they
put
in
a
lot
of
work
on
those
slides,
and
you
know,
we've
been
covering
a
lot
of
material,
and
so
I
wanted
to
give
them
a
chance
to
cover
all
that
information.
A
So
with
that,
we
will
go
with
our
start
with
our
agenda
item
number
five,
which
is
a
presentation
on
the
regulation
and
licensing
by
the
cannabis
compliance
board
and
the
cannabis
advisory
commission.
A
F
Journeyo,
can
you
hear
us?
Yes,
I
can
chair
neil
vice
chair
yeager.
Thank
you
very
much
for
allowing
us
to
to
be
here
today
and
present
a
little
bit
about
the
ccb.
F
As
the
agenda
isn't
states,
we'll
talk
a
little
bit
about
the
structure
and
function
of
the
ccb
and
the
cac
some
statistics
on
the
types
and
number
of
licenses
we'll
talk
about
assembly
bill
341,
which
authorizes
consumption
lounges,
which
includes
the
social
equity
applicant
provisions
and
then
we'll
talk.
I
believe
at
your
request
about
the
delivery
of
cannabis
products,
so
the
mechanics
of
how
delivery
works
and
then
at
that
point
we
can
answer
any
questions.
So
I
believe
we
have
a
powerpoint
tiana.
F
F
The
first
medical
marijuana
establishment
opened
in
2016
was
ballot
question
2.
This
would
legalize
cannabis
for
recreational
use
which
passed
and
so
in
2017
recreational
sales
began
in
nevada.
The
ballot
question
was
entitled:
regulate
cannabis
like
alcohol,
so
at
the
time
oversight
was
the
with
the
department
of
public
and
behavioral
health
under
hhs,
and
so
once
recreational
sales
began
that
oversight
transitioned
to
the
department
of
taxation,
creating
the
marijuana
enforcement
division
within
the
department
of
taxation.
F
You
know
from
that
point
on.
The
industry
grew
at
at
lightning
speed
and
it
became
quite
apparent
that
the
state
would
need
a
larger
regulatory
body
or
oversight
body
to
oversee
this
industry.
So
in
2019,
after
a
task
force
was
created,
ab533
was
signed,
thus
creating
the
nevada
cannabis
compliance
board.
This
board
was
to
be
modeled
similar
to
that
of
the
nevada
gaming
control
board,
both
in
its
operation
and
structure,
but
also
in
the
way
that
it
regulated
the
cannabis
industry.
F
So
a
strict
regulation,
a
greater
emphasis
on
compliance
and
a
greater
emphasis
on
suitability
of
the
individuals
that
are
in
the
industry,
so
in
july
of
2020,
is
when
the
cannabis
compliance
board
was
fully
authorized
and
we
began
to
take
over
all
oversight
responsibilities
of
the
industry.
F
So
this
is
the
mission
statement.
I'm
not
going
to
read
it,
but
it
draws
inspiration
from
the
gaming
control
board's
mission
statement.
Obviously,
we
detail
the
importance
of
strict
regulation
of
all
areas
of
the
industry.
That's
also
in
the
public
policy
of
ab533,
which
created
the
ccb.
F
Some
of
the
things
that
are
different,
obviously,
is
the
focus
on
public
health,
which
gaming
doesn't
necessarily
have
just
given
the
products
and
and
that
we
deal
with
here
in
the
cannabis
industry
and
then,
of
course,
holding
our
licensees
and
our
staff
and
our
agency
to
the
highest
ethical
standards
are,
are
something
that's
very
important
to
us.
F
The
cc
board
is
ccb
board
is
made
up
of
five
members
they're
all
appointed
by
the
governor.
Currently
we
are
chaired
by
former
nevada
supreme
court
chief
justice,
michael
douglas.
Also
on
the
board,
is
dennis
nylander.
He
is
the
longest-serving
nevada
gaming
control
board
chair
in
history.
We
have
jerry
merritt
she's,
a
long-time
banking
executive
here
in
las
vegas
rihanna
duret.
She
is
the
former
executive
director
of
the
formerly
known
as
the
dispensary
association
and
dr
brian
young,
a
physician
from
the
reno
area,
some
of
the
board's
duties
and
responsibilities.
F
This
is
a
part-time
board.
This
board
holds
regular
monthly
public
board
meetings.
We
had
our
our
most
recent
meeting
yesterday
at
these
meetings,
the
board
reviews
and
approves
all
final
licensures
transfers
of
interest
management
service
agreements.
The
board
approves
service
of
disciplinary
actions
such
as
complaints.
They
act
as
the
final
arbiter
of
discipline.
They
approve
set
on
any
settlement
agreements
that
that
come
as
a
result
of
disciplinary
action.
F
The
board
also
holds
emergency
board
meetings
from
time
to
time.
To
consider
summary
suspensions,
I
believe
we've
had
one
so
far
this
year
we
had
a
handful
last
year
as
well.
F
In
addition
to
the
meetings
we
host
regular
regulatory
workshops,
we
held
one
yesterday
after
the
board
meeting
on
consumption
lounge,
which
we
can
talk
about
a
little
bit
later
and
just
so
you're
aware
in
my
role
as
the
executive
director,
I
oversee
what
will
be
93
ftes
as
part
of
the
cannabis
compliance
board
staff,
and
that
includes
the
daily
operations
and
oversight
of
the
industry.
F
Obviously,
alongside
my
my
tremendous
chiefs
here
that
are
with
me
and
on
soon
so,
the
cannabis
advisory
commission
is
a
body
that
was
also
created
in
ab533
alongside
the
cannabis
compliance
board.
The
advisory
commission
is
a
12-member
commission,
it's
chaired
by
myself
in
my
capacity
as
executive
director.
The
commission
includes
eight
representatives
appointed
by
the
governor
with
different
expertise
related
to
the
industry.
F
Currently
and
in
my
capacity
as
executive
director
and
chair
of
the
commission,
I
have
the
ability
to
appoint
subcommittees
when
necessary.
F
Three
of
those,
the
first
three
have
met
over
a
dozen
times
between
them
and
the
subcommittee
on
market
stability
will
begin
likely
meeting
later
this
year.
When
we
start
to
discuss
new
licensing
rounds,
the
cannabis
advisory
commission
was
created
to
be
somewhat
similar
to
the
nevada
gaming
policy
committee,
which,
as
I'm
sure
you
know,
meets
at
the
direction
of
the
governor
when
there
is
an
issue
within
the
gaming
industry
that
should
be
studied
and
recommendations
made.
F
Given
the
passage
of
that
legislation,
we
had
the
advisory
commission
ready
to
meet
following
the
legislative
session.
That
is
why
I
created
those
subcommittees
to
start
discussing,
researching
and
analyzing
issues
around
public
health,
safety
and
social
equity
as
they
pertain
to
lounges.
They
made
their
recommendations
towards
the
end
of
last
year,
and
that
is
what
staff
from
the
board
used
in
the
development
of
the
first
draft
of
consumption,
lounge
regulations
that
we
are
currently
workshopping
now.
F
F
F
I
would
note
that
in
the
legislation
that
created
the
ccb,
we
are
exempt
from
the
nevada
administrative
procedures
act
that
is
similar
to
how
gaming
is
allowed
to
pass
and
promulgate
regulations
quickly,
and
I
will
tell
you
that
it
has
been
one
of
the
biggest
benefits,
I'm
very
glad
that
that
was
included
in
there
because
of
how
quickly
this
industry
moves
our
board
has
the
ability
to
stay
ahead
of
the
changes
by
being
able
to
pass
regulations
and
promulgate
regulations
at
a
much
quicker
pace.
F
The
ccb
is
divided
into
well,
it
has
four
divisions,
divided
into
divisions,
of
course,
administration
and
licensing,
inspection
and
audit
investigations
and
enforcement.
F
The
division
of
administration
and
licensing
role
is
to
process
and
review
license
and
renewal
applications
and
they
also
collect
fees.
They
manage
the
cannabis
agent
registration
card
program,
that's
over
16,
000,
active
cannabis
agent
registration
cards
currently,
and
they
also
assist
the
department
of
taxation
in
collecting
unpaid
taxes
from
licensees.
F
Something
I
think
is
is
important
to
note
for
this
committee.
When
we
came
on
board,
we
implemented
a
new
process
that
for
all
licensed
renewals.
So
when
you
renew
your
license
annually
that
you
must
be
up
to
date
on
all
of
your
outstanding
taxes
owed
and
any
outstanding
time
and
effort
billings
that
have
been
issued
throughout
the
year,
and
I
would
like
to
compliment
director
hughes,
we
have
created
quite
a
working
relationship
with
the
department
of
taxation
to
ensure
we
have
that
information
on
our
licensees.
F
That
policy
in
itself
has
resulted
in.
You
know,
I
would
say,
millions
of
of
taxes
that
have
kind
of
been
outstanding
are
are
overdue.
It's
amazing
what
the
risk
of
losing
your
cannabis
license
would
do
to
encourage
you
to
pay
that
outstanding
tax
liability.
So
that's
been
a
a
big
success
for
us
and
in
partnership
with
the
department
of
taxation,
our
inspection
and
audit
division.
They
perform
audits
and
inspections
of
all
cannabis
facilities.
F
Our
inspections
focus
on
health,
related
issues
for
the
most
part
and
our
audits.
Look
at
the
seed
to
sale
tracking,
which
is
the
second
bullet
point
here.
Auditors
also
audit
monthly
and
quarterly
reports
from
licensees
that
they
submit
to
the
ccb
and
are
required
to
submit
our
investigations
division.
This
is
probably
the
biggest
departure
from
the
last
oversight
body.
Our
investigations
division
created
to
be
similar
to
that
of
how
gaming's
investigations
division
works,
our
chief
of
investigations,
who's,
here's
actually
came
from
from
gaming.
F
I
borrowed
him
for
a
time
and
then
I
I
convinced
him
to
stay,
and
so
we've
really
developed
quite
the
investigations
division
here
they
review
and
process
all
transfers
of
interest,
so
that
is
change
of
ownership
sales
licenses
and
any
new
owners
that
want
to
come
in
to
the
industry.
They
vet
these
licensees,
any
affiliated
owners,
officers
and
board
members,
and
this
process
includes
a
full
suite
of
background
checks,
financial
analysis
and
all
of
this
is
part
of
its
suitability
review,
something
that
wasn't
included
in
the
past
and
screwed.
F
It
now
are
actual
in-person
interviews,
which
are
very
important,
so
we
sit
down
with
these
applicants
and
any
known
associates.
This
results
in
a
you
know
a
10
to
20
page
report.
That
goes
in
front
of
the
board,
and
then
these
licensees
of
these
applicants
must
come
in
front
of
the
board
and
allow
the
board
to
ask
them
questions
in
a
public
meeting
and,
finally,
our
enforcement
division.
They
evaluate
all
complaints
made
against
the
license
facility,
including
incident
reports.
F
They
also
partner
with
our
local
and
state
law
enforcement
regarding
criminal
investigations
and
enforcement
of
the
illicit
market,
types
of
facilities
that
we
regulate,
cultivation
facilities
grow
the
cannabis
production
facilities.
That's
where
items
like
edibles
and
vape
pens
and
tinctures
are
produced
testing
labs.
All
cannabis
products
before
it's
sold
in
the
state
of
nevada
must
be
tested
by
an
independent
testing
laboratory.
These
labs
are
licensed
just
like
any
other
license
in
the
cannabis
industry.
F
We
also
have
distribution
licenses,
these
licenses
transfer
product
to
the
retail
store
and
then
finally,
we
have
retail
dispensaries.
These
are
the
licensed
operations
that
that
sell
to
the
consumers.
F
F
What
we
do
here
is
we
we
we
have
a
lot
of
or
for
the
most
part,
they're
dually,
located
or
co-located.
So
that
means
you
have
a
cultivation
facility
that
has
both
a
license
to
cultivate
medical
cannabis
and
a
license
to
cultivate
recreational
cannabis.
That
doesn't
mean
two
brick
and
mortar
facilities,
they're
all
housed
in
the
same
facility,
so
the
left-hand
column
really
provides
an
idea
of
how
many
actual
facilities
there
are
statewide
and
thank
you
to
russell
and
his
team.
We
provided
a
couple
exhibits
that
they
suggested
would
be
helpful.
F
F
This
describes
some
of
the
options
for
operations
in
the
state
of
nevada,
two
that
we
offer
here
in
the
state
and
they're
not
offered
in
in
every
other
state,
and
that
is
the
option
to
be
both
vertically
integrated
or
standalone,
and
so
a
vertically
integrated
operation,
which
would
be
a
licensee
that
owns
both
or
all
a
cultivation,
a
production,
a
distribution
and
a
dispensary,
so
they
own
a
license
type
from
the
top
to
bottom
of
the
chain.
F
Then
we
have
a
standalone
operations
as
well.
That
means
you
can
own
just
a
cultivation
facility.
You
can
own
just
a
cultivation
and
production
facility
or
you
can
own
just
a
dispensary.
Now
nothing
prevents
a
vertically
integrated
operation
from
buying
product
from
somebody
else
and
bringing
it
into
their
facility
in
their
dispensaries.
They
can
sell
other
products
as
well
being
vertically
integrated.
F
However,
just
allows
you
to
have
total
control
of
all
of
your
inventory,
from
growing
it
and
to
selling
it,
and
with
these
different
operational
models
you
know,
standalone
businesses
can
buy
other
cannabis
licensees.
So
you
can
be
a
standalone
and
you
can
become
vertically
integrated
and
on
the
flip
side,
you
can
be
vertically
integrated
and
sell
off
one
of
your
licenses.
I
don't
want
to
make
it
sound
like
that
is
easy.
It
is
a.
F
It's
very
expensive
and
also
these
licenses
are
tied
to
the
jurisdiction
that
they
originally
opened
in,
and
so,
if
you
wanted
to
have
yours
co-located
or
be
at
the
same
spot,
you
know
that
would
also
provide
some
more
difficulties
in
trying
to
become
vertically
integrated
if
you
weren't
all
product,
no
matter
what
the
operation
is,
has
to
go
into
an
independent
testing
lab,
as
I
mentioned.
F
I
would
also
like
to
note
that
you
cannot
have
shared
ownership,
so
you
cannot
own
a
cultivation,
production,
distribution
or
dispensary
and
also
own
any
part
of
an
independent
testing
lab
it's
important
that
we
keep
those
labs
impartial
to
the
other
licensees.
F
So
that's
that's
the
end
of
the
the
structure
and
then
the
the
statistics
chair.
Do
you
want
me
to
just
keep
kind
of
powering
through
until
the
end,
or
would
you
like
me
to
stop
before
I
get
into
assembly
bill
341.
A
No,
I
want
you
to
keep
going,
yeah
keep
going.
F
Okay,
great
so
I'll,
move
on
to
assembly
bill
341
sponsored
by
vice
chair
yeager
as
well.
This
bill
passed
last
session
and
this
authorized
the
ccb
to
begin
to
license
and
regulate
cannabis
consumption
lounges,
just
some
broad
strokes
of
the
bill.
Initially
retail
dispensaries
may
apply
for
and
open
one
retail
lounge
per
licensee.
F
When
we
started
this
process,
we
asked
for
letters
of
intent
from
current
retail
stores,
asking
us
asking
if
they
would
be
interested
or
if
they
plan
on
opening
a
retail
attached
consumption
lounge.
We
received
over
45
letters
of
intent,
so
we
anticipate
a
strong
desire
and
interest
for
most
of
our
dispensaries,
who
can
to
open
up
a
a
consumption
lounge.
F
There
will
also
be
20
independent
lounges,
so
they'll
be
independent
of
a
retail
store
which
will
be
allowed
to
open
at
the
beginning.
So
in
the
initial
licensing
round
and
10
of
those
20,
independent
lounges
will
be
designated
for
social
equity
applicants,
which
we'll
also
talk
about
a
little
bit
later.
F
F
I
would
note
in
the
legislation
it
allows
for
the
ccb
to
reduce
these
fees
and
we
have
proposed
a
reduction
to
these
fees
and
our
regulations
for
social
equity
applicants,
a
quick
timeline
on
consumption
lounges,
so
the
bill
was
signed
last
june
and,
as
I
mentioned
before,
when
I
was
talking
about
the
advisory
commission,
we
got
started
right
away
by
calling
the
advisory
commission
to
meet.
I
created
those
subcommittees,
so
they
they
could
begin
to
study
some
of
the
issues
around
consumption
lounges.
F
They
did
that
they
provided
their
recommendations
towards
the
end
of
the
year.
I
believe
I
mentioned
that
as
well
and
so
mid-december
was
when
the
board
held
its
first
global
workshop
on
the
first
draft
of
consumption,
lounge
regulations,
which
includes
both
application
and
licensing
regulations
and
the
regulations
around
the
operation
of
a
consumption
lounge.
F
We
had
a
great
workshop
in
december,
as
you
can
imagine
a
lot
of
public
interest,
so
we
had
a
lot
of
great
feedback
from
members
of
the
community,
the
public,
local
jurisdictions
and
the
industry.
We
took
that
feedback
released
a
second
draft
in
I
believe
february
and
that
led
us
to
yesterday's
second
workshop
on
consumption.
Lounge
regulations
also
very
well
attended.
F
F
They
will
then
be
put
forth
in
front
of
the
board
at
a
board
meeting
for
the
board
to
vote
to
adopt
those
regulations,
and
once
they
sit
for
15
days,
then
they
will
be
officially
regulations
and
we
can
get
started
or
registered
regulations
and
we
can
get
started
with
the
licensing
process
once
that
happens
and
applicants
are
licensed,
they'll
be
able
to
open.
F
F
So
the
social
equity
program,
the
bill
ab341.
This
is
the
first
time
the
social
equity
program
was
was
mentioned,
enlisted
it's
an
exciting
program
and
exciting
prospect
for
for
the
ccb,
and
I
think
for
the
state
of
nevada.
F
But
the
bill
asked
for
the
ccb
to
define
what
a
social
equity
applicant
would
be
before
we
issue
this
licensing
round.
One
of
the
reasons
I
created
the
subcommittee
on
social
equity,
inclusion
and
diversity
was
to
study
and
make
some
recommendations
on
how
we
should
define
a
social
equity
applicant.
F
I
would
note,
although
she's
not
here
on
this
committee,
but
senator
dallas
harris
is
a
member
of
that
subcommittee
as
well,
and
I
thank
her
for
her
work.
Aisha
goings
is
the
chair
of
that
subcommittee.
They
had
great
meetings,
they
made
great
recommendations
and
we
were
able
to
take
those
recommendations.
F
Do
a
little
bit
of
of
deeper
analysis
and
come
up
with
what
we
proposed,
where
the
were
the
categories
and
and
and
and
the
qualifications
that
one
would
need
to
to
become
or
or
be
a
social
equity
applicant,
and
I
will
tell
you
the
spirit
of
those
recommendations
focused
around
crime
rate
and
incarceration
rate.
It
focused
on
socioeconomic
disadvantage
and
it
focused
on
cannabis,
related
offenses.
So
those
were
kind
of
the
qualifications
you
would
need
to
meet,
to
become
or
or
to
qualify
for
a
social
equity
license.
F
F
You
see
the
cannabis
related
defense,
qualification
and
then
ccb
may
reduce
the
application
fees
and
you
know
from
a
staff
perspective
and
from
a
board
perspective.
Although
we're
developing
this
program
for
consumption
lounges,
it's
certainly
our
intent
to
extend
the
social
equity
program
to
future
licensing
rounds
for
all
licenses.
F
So
that
concludes
the
consumption
lounges
and
then
finally
journey.
I
believe
you
asked
for
some
information
on
the
delivery
of
cannabis
products
to
consumers.
A
little
bit
about
the
mechanics,
recreational
sales
facilities
are
limited
to
five
ounces
of
cannabis
and
cannabis
products
within
a
single
trip.
F
Now
we
have
an
ounce
purchase
limit,
so
at
best,
when
a
delivery
vehicle
leaves
a
facility,
they
can
make
five
trips,
but
they
can
make
more
if
people
don't
order
all
the
way
up
to
an
ounce
before
they
have
to
return
to
the
facility
and
and
and
secure
more
product
and
medical
sales
facilities
are
limited
to
10
ounces.
To
deliver
the
delivery
driver
must
hold
the
cannabis
agent
registration
card
and
the
vehicle
must
be
inspected
and
approved
by
the
ccp
once
an
order
is
placed.
F
The
sales
facility
also
confirms
by
phone
or
text
that
consumer
is
at
least
21
years
old,
and
when
our
delivery
drivers
go
to
deliver
cannabis,
they
also
scan
which
is
not
listed
here.
They
scan
the
id
at
the
point
of
passing
that
product
over
to
the
consumer
and
when
they
receive
the
cash
and
bring
it
back.
Some
some
statistics
on
the
right
here
that
I
thought
was
was
interesting
to
note
and
and
I've
got
some
others
that
aren't
listed
here.
F
So
you
know
delivery
before
the
pandemic
was
certainly
an
offering,
but
it
wasn't
utilized
very
much
and
you
can
see
by
the
number
of
vehicle
inspections
in
the
year
2019
113
also
by
the
transaction
data
we
were
averaging
around.
You
know
3
000
transactions
a
month
through
by
delivery
before
the
pandemic.
F
When
the
pandemic
hit
you'll
see
in
2020.
In
that
total
year,
we
we
had
over
941
vehicle
inspections,
so
retail
stores
the
storefronts
closed
down
during
the
pandemic,
but
canvas
facilities
were
able
to
still
facilitate
sales
through
delivery
and
then
eventually
curbside.
We
implemented
a
virtual
vehicle
inspection
process
during
the
pandemic
to
help
get
more
delivery
vehicles
on
the
road.
I
think
we
did
around
400
in
the
first
weekend
alone,
once
the
pandemic
hit
in
the
retail
store
fronts,
closed
and
you'll,
see
in
21,
which
I
think
is
significant.
F
Is
that
that
number
you
know
233
is
over
double
than
it
was
before.
So
obviously,
consumers
are
getting
used
to
delivery,
they're
still
utilizing
delivery.
I'll
also
say
when
we
are
averaging
around
3
000
transactions
a
month
in
delivery.
We
are
now
averaging
around
30
000
transactions
a
month
through
delivery,
and
so
that's
kind
of
our
our
new
middle
ground.
Here.
F
And
also
important
to
note
is
drive-through
and
curbside
pickup
now
drive-through
was
always
allowed,
but
only
utilized,
I
think,
by
one
facility
before
the
pandemic
up
north
now,
it's
utilized
much
more
often
second
is
curbside
pickup.
This
was
not
contemplated
in
the
regulations.
It
was
not
utilized
at
all
before
the
pandemic.
F
So
we
put
this
structure
and
framework
into
place
under
the
emergency
rules,
and
it
was
very
successful
in
allowing
the
industry
to
continue
to
make
sales
and
keep
their
business
going
through
the
pandemic,
so
much
so
that
the
industry
bottom,
we
were
in
support
of
brought
and
we
were
in
support
of
a
bill
that
would
put
it
into
law
the
allowance
for
curbside
pickup.
We
have
since
put
that
in
our
regulations,
and
it
continues
to
be
utilized
as
a
big
model
or
a
successful
model.
Currently.
F
So
not
knowing
exactly
what
taxation's
presentation
was
going
to
look
like,
I'm
not
going
to
steal
their
thunder,
so
we're
going
to
skip
through
these
two,
but
it's
taxable
sales
and
then
the
excise
tax
collected,
I'm
sure
we'll
have
an
opportunity
to
oh
go
ahead.
A
Okay,
all
right!
So
members
questions
on
the
first
part
of
this
presentation,
assemblywoman
anderson.
G
Thank
you
turned
neal
and
thank
you
for
the
information.
I
actually
have
three
questions.
It's
all
from
the
the
slides.
My
slide
numbers
might
be
off,
though,
from
what
the
presentation
was
about,
but
thank
you
so
much
information
coming
at
us.
The
first
one
has
to
do
with
actually
the
count
of
support
itself,
which
I
on
my
packet
is
slide
34.
I
think
that's
because
I
get
all
the
slides
together.
F
So
it
is
not
staggered
assembly
anders.
Thank
you
for
the
questions,
tyler
climates
for
the
record.
They
are
not
staggered
currently,
so
I
I,
unless
the
we.
F
Hired
him
so
and
the
reason
I
I'm
questioning,
that
is
because
the
bill
allowed
for
three
members
to
be
appointed
in
a
temporary
status
to
get
the
board
up
and
running,
but
I
believe
they
were
repointed
to
a
full,
four-year
term
on
july
1st,
and
so
I'll
confirm
that
with
you,
I'm
sorry
I
should
know
that,
but
I
believe
they're
all
on
the
july
july
term.
Let
me
confirm
that
with
you
assembly
one,
I'm
sorry.
G
It's
quite
all
right.
It's
okay!
I
just
think
that's
something
for
us
to
just
be
aware
of,
because
you
don't
want
to
have
a
brand
new
individuals
coming
in,
although
you
will
have
that
background
knowledge
always,
but
to
have
those
the
policy
makers
kind
of
make
those
decisions.
I
just
think
that's
something
to
be
aware
of.
The
second
question
has
to
do
with
the
when
you're,
going
through
the
investigations
and
audits
and
the
questions,
and
I
think
it
was
slide
39
on
mine,
it
has
to
do
with
the
suitability
review.
G
I
kind
of
got
my
antenna
up
a
little
bit
is
the
suitability
review,
something
that
is
defined
in
law
or
something
that
is
a
policy
that
is
maybe
brought
forward
to
the
to
our
legislative
commission
or
is
it?
Is
it
a
suitability,
review
question
that
is
created
by
the
cannabis
board
itself?
So
there's
no
elected
official
oversight
of
what
exactly
is
suitability
review.
F
Thank
you
again
for
the
question
tyler
thomas,
the
record,
so
I
have
here
chief
dave
staley,
who
is
the
chief
of
investigations.
He
comes
from
the
gaming
control
board,
so
he
can
talk
a
little
bit
briefly
about
what
we
look
for
and
and
how
we
perform
a
suitability,
review.
C
So,
thank
you.
Assemblywoman
anderson,
david
staley
for
the
record
chief
of
the
investigations
division
for
the
ccb.
The
statutes
provide
a
broad
brush
of
multiple
different
things
that
our
board
should
evaluate
when
they
are
determining
whether
or
not
an
applicant
qualifies
or
is
suitable
to
receive
the
privileged
licenses
that
they
issue.
C
The
the
legislation
also
requires
that
the
ccb
regulate
this
industry
more
like
the
gaming
control
board.
So
luckily
we
have
the
nevada
gaming
control
board,
which
has
been
doing
this
for
quite
some
time
and
we're
able
to
look
at
their
processes
to
give
us
some
example
of
the
best
way
to
accomplish
that.
C
So
in
meeting
the
requirements
of
the
statute,
we
have
come
up
with
a
process
that
mimics
the
gaming
control
board,
where
we
do
background
checks
on
all
the
individual
applicants.
We
do
a
financial
analysis
of
their
income
statements
and
balance
sheets
for
the
last
two
years.
C
We
look
at
their
compliance
with
regulations
for
the
department
of
taxation
for
nevada.
In
general,
we
look
at
how
they
comply
with
the
regulations
of
the
individual,
local
jurisdictions,
city
and
county,
and
to
get
some
idea
of
how
we
can
expect
them
to
operate
here.
We
also
reach
out
to
other
jurisdictions
around
the
country
to
get
a
feel
for
how
they
operate
in
those
jurisdictions
kind
of
giving
us
an
example
of
their
past
history
and
what
we
can
expect
here.
C
All
that
information
is
is
put
together.
As,
as
director
klimus
mentioned,
into
an
investigative
report,
we
do
not
recommend
a
conclusion.
We
provide
the
facts
to
the
board
members
and
then
based
on
their
collective
experience
and
the
information
included
in
the
investigative
report.
They
make
a
ruling
to
issue
a
license
or
not
depending
on
whether
or
not
they
believe
that
those
applicants
have
met
the
met,
our
standards
to
be
suitable
to
receive
that
license.
G
Thank
you.
That
was
a
huge
clarification,
greatly
appreciate
it
and
food
on
kudos
on
getting
the
millions
of
outstanding
taxes
paid.
That
was
awesome.
My
last
one
has
to
do
with
the
inspection
of
vehicles.
I
just
I
noticed
on
that
last
slide
that
we
were
going
over,
that
there's,
no
there's
no
expiration
date
for
the
vehicles
themselves,
but
is
there
an
expiration
date
for
the
drivers
or
are
they
because
again,
looking
at
the
slide,
you
had
at
the
bottom
that
the
the
vehicles
once
they're
inspected,
they're
good?
G
G
I
realize
this
is
maybe
getting
into
the
minutia
a
little
bit,
and
so
just
a
quick
yep,
it's
gotta
be
renewed
or
no
it
thank
doesn't.
F
A
No
you're
welcome
assemblyman
yeager.
H
Thank
you,
chair,
neal,
appreciate
it
director
klimus
just
first
want
to
say
thank
you
to
you
and
your
team.
I
know
this
has
been
quite
quite
a
process
since
july
july
or
june,
when
this
bill
was
first
passed,
so
just
want
to
recognize
that
this
is
not
the
easiest
thing
in
the
world
to
do
to
get
a
new
industry
up
and
running.
H
My
question
revolves
around
the
existing
dispensaries
and,
of
course,
in
the
bill,
as
you
mentioned,
they
have
the
ability
to
open
up
a
lounge
assuming
they
meet
all
the
other
requirements,
and
I
think
you
indicated
in
your
presentation
that
you
received
approximately
40
letters
of
intent,
and
so
my
question
is
at
a
high
level.
Can
you
give
us
a
sense
of
like
what
what
percentage
does
that
represent
in
terms
of
those
operators
who
might
be
eligible
to
apply
for
one?
Is
it
like
half
of
them?
H
F
Thank
you
vice
chair
for
the
question,
tyler
climates,
for
the
record.
F
When
we
did
an
analysis
and
obviously
it
you
know
a
retail
attached
license,
you
can
only
have
one
per
license
c,
but
a
lot
of
that
depends
on
the
ownership
structure,
and
so
we
won't
know
that
ownership
structure
in
many
cases
or
how
it
compares
until
the
applications
come
in
but
long
story
short.
We
did
an
analysis
that
we
thought
maybe
around
60
62
would
be
the
number
that
would
be
allowed
statewide
and
so
45
tracks
somewhat
with
that,
because
some
people
are
going
to
choose
potentially
not
to
open
up
a
consumption
lounge.
A
Thank
you
for
that.
I
believe
assemblyman
hathan.
D
Yes,
madam
chair,
first
of
all,
thank
you
for
the
presentation
today,
I'm
looking
forward
to
the
second
half
with
the
the
taxes
and
everything
else,
I
think
you
guys
have
done
a
great
job
collecting
the
back
taxes.
One
of
the
questions
that
I've
I've
actually
had
some
constituents
asked
was
whether
or
not
the
board
oversees
labor
laws
like
overtime.
F
F
The
woman
thanks
for
the
question,
tyler
comments
for
the
record,
I
mean
if
there
is
a
history
of
violations
of
labor
laws,
any
kind
of
lawsuits
or
litigation,
then
absolutely
that
that
certainly
relates
to
the
suitability
and
moral
standing
of
any
kind
of
applicant.
So
yes,
if
that
exists,
and
that's
out
there,
I
believe
the
board
would
certainly
want
to
know
about
it
and
that's
something
that
chief
staley
and
his
investigators
would
look
into
interview
about
and
include
as
part
of
their
report.
Wonderful
thank
you.
A
So
I
had
a
question
on
the
social
equity
licenses,
so
I
was
having
a
conversation
with
and-
and
I
may
not
state
this
correctly,
but
I
was
having
a
conversation
about
social
equity
and
someone
had
told
me
that
I
guess
there
they
had
asked
about
set-asides
right,
trying
to
have
particular
set-asides
within
the
social
equity
licenses
or
what
was
established.
I
guess
in
terms
of
diversity,
and
they
were
told
that
there
couldn't
be
like
a
constructive
set-aside
based
on
diversity.
A
It
needed
to
fit
in
the
criteria
and
what
they
said
to
me,
which
kind
of
threw
me
off
was
that
there
was
a
commerce
clause
issue,
and
I
was
just
like
I
don't
understand
like.
Are
you
talking
about
like
dormant
commerce
class?
Where
are
we
going
with
this?
So
I
wanted
to
ask
if
you
know,
if
you're
familiar
with
a
conversation
around
set-asides
within
the
social
equity
conversation
and
what
the
response
was
related
to
it,.
F
Neal,
thank
you
for
the
question.
Tyler
clements
for
the
record
and
yes-
and
we
have
put
in
a
a
number
of
hours
into
this
analysis
on
this,
and
so
you
know,
diversity,
social
equity,
two
separate
things
for
purposes
of
of
of
of
consumption,
lounge,
licensing
and
right,
because
social
equity
is
about
being
disproportionately
affected
by
drug
policy
and
then
diversity
is
about
getting
new,
diverse
applicants
into
the
industry,
and
so
just
so
you
know
we
agree
and
where
we
started
was
trying
to
conceptualize
some
set-asides.
F
So
how
could
we
set
aside
certain
numbers-
and
this
is
separate
and
in
part
from
the
social
equity?
So
if
you
were
looking
at
the
10
independent
lounges,
how
could
we
carve
out
or
set
aside
maybe
20
percent
of
those
kind
of
like
a
construction
contract
for
minority-owned
business
or
female-owned
businesses?
F
And
that's
where
we
started
and
then
became?
You
know
then
then
started
the
legal
review
us
talking
to
a
lot
of
other
states.
Some
other
states
have
attempted
that
and
they
continue
to
get
overturned.
They
don't
pass
the
scrutiny,
that's
needed
and
what
we've
come
to
the
conclusion
is
in
illinois.
F
Similarly,
is
that
we
need
to
pursue
a
disparity
study.
Illinois
just
went
out
to
an
rfp
for
a
statewide
disparity
study.
We
don't
have
one
here
and
it's
it's
I
mean
I'm
not
a
lawyer,
but
you
know
I
we
do
a
demographic
study.
I
I
it's
pretty
clear
what
the
makeup
is
of
the
industry
and
that
diversity,
you
know,
certainly
needs
to
be
worked
on,
but
regardless
this
disparity
study
is
something
that
that
that
we're
going
to
need
to
base
that
set
aside
on,
and
so
that's
where
that's
where
we
ended.
F
That's
where
we
want
to
go,
I
think,
we're
I
know
we're
going
to
get
there.
We
may
need
to
make
some
tweaks
next
legislative
session,
but
in
the
particular
issue
of
set-asides
we're
just
not
able
to
get
exactly
there
yet,
but
again,
that
is
completely
separate
from
social
equity,
which
is
protected.
That
program
has
been
successful
in
other
states
and
I
believe
it'll
be
successful
in
the
state
as
well.
A
Yeah
I
mean
I
was
just
super
curious
about
that,
because
I
know
that
they're
I
mean
you
know.
Set-Asides
are
like
1986
language
that
they're,
but
there
is
I
I
distinctly
remember.
There
was
case
law
and
I
know
I
found
it
in
2013
that
dealt
with
the
dormant
commerce
clause
where
there
was
a
business
activity
exception
like
when
a
city
or
public,
a
political
subdivision
was
acting
as
if
they
were
a
business,
and
that
was
an
it
allowed.
This
narrow
pathway
to
deal
with,
I
guess,
racial
groupings.
A
A
It
was
like
a
hundred
year,
it
hadn't
been
overturned
and
I
did
it
in
2013,
because
it
was
like
a
weird
rule
that
I
found
and
I
used
it
for
a
redevelopment
bill
that
I
had
in
2013,
because
I
was
trying
to
create,
I
guess,
groupings
or
preferences
within
the
redevelopment
framework
in
2013,
and
so
when
the
person
brought
that
up
to
me,
I
was
just
like
well,
you
know,
within
the
dormant
commerce
clause,
specifically
there's
this
really
narrow
ruling,
but
unless
it's
been
recently
overturned,
it
had
been
around
for
like
a
solid
50
years.
A
So
I
I
wanted
to
ask
that
question
and
once
I
find
that
case,
maybe
share
it
with
you
guys,
because
I
think
it
is.
I
think
it
is
informative
in
how
there
is
this
nuanced
piece
around
the
dormant
commerce
clause
without
around
racial
preferences,
and
you
know
it's
something
that
would
be
over
overlooked
if
you're
not
specifically
looking
for
it,
but
I
know
I
had
hunted
for
it,
because
I
was
looking
for
a
pathway
for
my
legislation
anyway.
A
So
moving
on
senator
tatro.
D
All
right,
thank
you
chair.
I
just
had
a
couple
quick
questions
on
the
enforcement
side
and
how
that
funding
works
and
if
you
have
officers
that
are
engaged
in
that
and
then,
if
you've
had
any
issues
of
verification
of
age
and
then
the
resale
of
it
say
to
minors
or
and
then
lastly,
if
you've
seen
an
increase
or
a
decrease
on
the
illegal
market
for
the
product.
F
Well,
that's
right,
senator
thank
you
for
the
questions
and
tyler
klimas
for
the
record,
and
so
we
have
four
post-certified
officers,
which
was
new
for
for
oversight
as
well,
and
we
got
those
as
part
of
ab533,
we'll
have
four
more
beginning
april
first,
and
that
was
a
result
of
the
consumption
lounge
legislation,
so
we're
definitely
in
a
growth
mode
on
enforcement.
Obviously
we
have
four
post-certified
officers
statewide,
so
our
footprint
is
not
as
big
as
we
would
like
it
to
be.
F
We
do
try
to
expand
that
footprint
with
our
our
relationships
and
our
partnerships
with
local
law
enforcement,
but
on
on
resale
to
minors,
something
that
we
are
planning
to
implement
both
in
partnership
and
we
are.
We
are
working
with
the
attorney
general's
office
on
on
on
some
instances
and
some
programs
currently,
but
what
we
would
like
to
do
is
start
to
do
regular,
minor
compliance
checks.
F
It's
something
that
we
feel
is
very
important,
something
that
we
we
don't
necessarily
have
the
resources
to
do
yet,
but
we
do
feel
that
we're
building
in
that
direction.
I
think
you
also
asked
about
the
illicit
market.
Do
I
think
it's
it's
growing?
I
I
will
tell
you
this,
you
know
and
we
were
at
an
illegal
grow
on
friday,
that
metro
had
served
a
warrant
to
a
two-story
house
in
the
southwest
in
in
southern
nevada.
F
It
it
exists,
I
you
know,
I
can't
tell
you
if
it's
growing
or
not,
because
the
data
on
the
illicit
market
doesn't
exist
and
it's
something
that
we
would
love
to
pursue
if
it's
even
possible
to
get
that
kind
of
data,
but
there
are
illegal
grows,
most
of
them
are
organized
crime,
for
nationals
that
are
are
are
popping
up
across
the
valley
where
that
product
goes.
It
seems
some
goes
to
california,
but
then
it
comes
back
here.
F
So
you
know
I'm
not
giving
you
an
exact
answer,
it's
a
little
bit
of
a
roundabout,
but
it
exists.
I
think
it
is
somewhat
robust
we're
going
to
pursue
a
market
study
later
this
year,
just
to
get
an
idea
of
the
health
of
our
market
before
we
issue
licenses
and
one
thing
I'm
going
to
include
and
the
requirements
for
that
study
is
to
see
if
we
can
get
some
better,
more
detailed,
granular
information
on
the
illicit
market.
So
how
much
is
being
consumed
in
the
state?
F
How
much
are
we
selling
in
the
state
and
hopefully
by
subtractions?
We
can
get
an
idea
of
how
big
that
illicit
market
is,
but
it
exists
and
it's
there.
F
Senator
thank
you.
Tyler
claims
to
the
record
yes
and
that's
across
the
state.
Washoe
clark,
the
rules.
It's
been
something
that
we've
focused
on
since
day,
one
and
it's
paid
dividends.
I
believe,
on
both
sides.
D
Thank
you.
I
just
want
to
follow
up
when
you
asked
about
the
social
equity
program
piece
I
just
because
I
saw
something
on
the
news
yesterday
and
I
hadn't
thought
about
it
until
I
heard
it
when
it
comes
to.
I
you
know
on
on
that
piece.
I
think
it's
page
45,
where
it
talks
about
society.
It
says
that
they
must
have
51
ownership.
My
question
about
the
ownership
is,
and
what
they
reported
was
that
ownership
could
be
anybody
even
non-nevadans,
and
is
that
is
that
true?
F
Senator
thanks
for
the
question
tyler
klimes
for
the
record,
and
and
yes
that
is
after
legal
review,
looking
at
other
states
what
has
succeeded,
what
has
not
succeeded.
That
is
the
reason
that
we
opened
it
up:
nationwide
by
census,
tracts.
D
So
they
could
live
in
in
a
census
tract,
that's
that's
designated
for
social
equity,
but
anywhere
in
the
u.s
and
apply
for
license
here.
Is
that
correct.
A
Thank
you
for
that
can
can
you
share
the
research
like
offline
with
me
on
the
out-of-state
language
that
you
guys
found
I'm
just
super
curious
about
reading
it.
A
Yeah
because
p-
and
I
problems
are
always
of
interest
to
me
so
I'm
on
to
revenue,
yay.
F
Well,
thank
you
chair
and
I
hate
to
disappoint.
It
was
only
just
two
quick
slides,
but
you
know
so
I
I
will
let
tax
start
that
conversation
on
taxable
sales
and
excise
tax,
but
you
can
see
the
numbers,
but
one
thing
that
they
don't
have.
That
I
would
like
to
highlight,
as
part
of
this
is,
is
just
the
other
sources
of
revenue
that
the
cannabis
compliance
board
uses
or
that
we
we
bring
in
as
part
of
our
operations.
F
So
those
along
with
wholesale
tax
revenue
make
up
our
pot
of
money
that
we
use
to
fund
our
operations
fund,
disbursements
to
local
governments,
attorney
general
dhhs
and
then
at
the
end,
sweep
the
rest
of
that
into
what
is
now
the
people's
center
funding
plan.
But
anyway.
So
I
wanted
to
include
fy
1920
and
21.
fy,
19
and
20
was
the
past
oversight.
Body
fy
21
was
the
first
full
year
of
ccb
in
operation,
licensing
and
renewal
fees
fairly.
F
Consistent
and
agent
registration
card
fees
went
up
quite
a
bit,
but
they
being
on
that
two
year
cycle,
which
is
also
new,
will
continue
to
be
cyclical,
so
it'll
go
down
in
fy
22
and
then
go
back
up
in
fy
23.,
but
the
two
biggest
increases
are
on
civil
penalties
and
in
time
and
bill
billing
and
so
on.
You
know,
civil
penalties,
obviously
quite
an
increase
from
the
year
and
two
years
prior,
it's
a
little
bit
inflated.
F
There
was
a
one
million
dollar
civil
penalty
issued
that
year,
and
so
that
makes
up
obviously
over
half
of
the
1.9
million
we
collected,
but
I
just
think
in
general
and
as
laid
out
in
the
public
policy
and
was
the
whole
point
of
the
ccp.
There's
been
a
greater
emphasis
placed
on
enforcement
and
compliance
within
the
industry,
and
that's
why
you
see
an
increase.
Obviously,
that's
not
a
metric
of
success
for
us,
the
more
civil
penalties
we
issue,
that's
not
a
good
thing.
F
That
means
people
are
out
of
compliance,
but
it
is
representative
of
that
greater
emphasis
that
we've
begun
to
place
on
coming
into
compliance
and
then
time
and
effort
billing-
and
you
know
I
don't
know
if
some
of
you
have
heard
about
this.
Obviously
this
was
a
little
bit
of
a
growing
pains
for
the
industry
as
they're
the
ones
who
have
to
pay
the
bills
that
come
to
them.
But
you
know
the
cannabis
industry
was
always
supposed
to
be
self-funded.
F
That's
how
the
ballot
question
was
lifted
or
excuse
me
listed
it's
how
medical
marijuana
operated
as
as
well
so
time
and
effort
was
always
charged
from
the
medical
days
up
into
the
ccb.
When
we
took
over,
we
just
again
picked
up
some
of
the
slack.
There
was
a
little
bit
of
an
emphasis
that
we
placed
on
that
as
well
to
make
sure
that
that
was
clear.
F
So
my
last
slide,
then,
is
just
looking
ahead,
a
couple
things
that
are
on
our
radar
that
I
think
should
be
on
the
state's
radar
as
well
as
federal
action
and
legalization.
F
We
know
something's
going
to
happen,
but
trying
to
guess
a
congressional
timeline
is
is
a
fool's
errand,
but
we
can
either
see
something
on
banking
happening
in
the
near
term.
It's
passed
the
house
a
number
of
times.
It
has
not
passed
the
senate,
it's
been
folded
into
defense,
authorization,
bills
and
then
removed.
F
F
We
talked
a
little
bit
about
after
senators
tetro's
question
on
the
enforcement
of
the
illicit
market,
and
so
we
want
to
make
sure
we
have
our
finger
on
the
pulse
of
that
and
certainly
identifying
any
kind
of
impact
on
lost
tax
revenue
as
a
result,
delta,
8
and
other
synthetic
cannabinoids.
F
So
you
know
with
the
farm
bill
and
hemp
legalization,
there's
been
some
issues
with
with
utilizing,
hemp
and
adulterating
it.
F
I
guess
into
products
that
are
psychoactive
and
being
sold
to
all
ages,
and
so
we
have
made
some
advancements
last
legislative
session
and
protecting
against
some
of
those
products,
but
we
know
we're
going
to
continue
to
make
more
movement
in
that
as
well,
and
then
the
impact
of
consumption
lounges
once
operational,
both
on
the
industry
and
then
on
tax
revenue
for
the
state
and
also
what
I
mentioned
is
that
market
stability
study
that
will
be
very
important
to
the
industry
as
a
whole
going
forward
on
future
licensing
rounds
so
chair.
Thank
you.
F
It
was
a
lot
very
quickly
and
I
appreciate
the
opportunity
to
present
that
we
can
answer
any
more
questions
or
we
can
let
tax
go.
A
Thank
you
for
that.
Any
additional
questions
on
these
last
two
slides.
D
Just
a
real
quick,
it's
probably
a
follow-up
or
maybe
even
answered
it.
When
you
answered
senator
petros
on
the
enforcement
of
the
illicit
market,
do
we
today
have
the
ability
to
go
after
the
illicit
market
better
today
than
we
did
before
we
legalized
marijuana.
F
Senator
thanks
for
the
question
and
tyler
klimes
for
the
record.
I
you
know,
I
think
some
of
the
pain
points
and
again
all
of
this
is
is
you
know,
kind
of
left
to
local
law
enforcement,
and
I
don't
want
to
put
words
in
their
mouth
or
any
form
a
lot
of
it
has
to
do
with.
I
think
the
lack
of
of
prosecution
on
on
some
of
this
over
the
years
as
cannabis
has
become
legal
right,
and
I
don't
know
if
that
has
eliminated.
F
You
know
some
of
the
the
opportunity
to
you
know
pursue
all
the
way
to
the
end,
some
of
the
illicit
market
issues
that
are
going
on
again,
I
don't
want
to
put
words
in
their
mouth
they're,
the
ones
that
that
have
the
boots
on
the
ground,
but
I
mean
I
don't
think
capacity
has
changed
one
way
or
the
other,
but
I
think
with
different
factors
as
a
result
of
legalization
in
the
evolving
process,
it
has
changed
the
way
that
we're
able
to
go
after
the
illicit
market
or
we've
changed
the
way
the
the
illicit
market
has
been
been
dealt
with.
G
Thank
you
and
thank
you,
director,
plymouth
for
being
so
kind
to
to
get
to
the
point
on
many
of
these
things
so
quickly.
I'm
not
sure
if
this
question
is
for
you
or
for
mr
ginden,
but
it
has
to
do
with
the
licensure
and
renewal
fees.
Is
that
on
a
set
number
or
did
we
take
into
consideration
inflation
with
an
automatic
raising
of
it
with
inflation
costs,
or
is
it
set
that
this
is
how
much
the
renewal
will
always
be?
What
is
the
process
for
that?
G
F
G
G
D
Yes,
I
I
just
wanted
to
to
to
agree
with
mr
klimas
that.
D
Initiative
petition
for
enacting
the
statute.
A
Thank
you.
Thank
you
for
that
all
right,
so
we
will
go
ahead
and
move
on
to
agenda
item
number
six,
which
is
the
presentation
by
department
of
taxation
on
the
wholesale
tax
retail
tax
related
to
cannabis.
I
Madam
chair,
this
is
russell
with
the
fiscal
analysis
division
and
while
the
department
station
is
bringing
their
stuff
up,
I
just
wanted
to
point
out
and
thank
mr
clemens
and
his
staff
for
the
table.
14
page
report
that
begins
on
page
54
of
the
packet
is
actually
information
that
ccb
provides
on
their
website
and
director.
I
Clematis
was
kind
enough
to
allow
us
fiscal
staff
to
prepare
this
table
to
include
in
the
packet
for
the
committee
members
consideration
and
then
also,
as
mr
clements
referenced
in
his
presentation,
the
summary
table
that
was
prepared
from
that
14-page
report.
I
That's
on
page
53
of
the
packet,
so
since
director
klannis
referenced
that
I
just
wanted
for
the
committee
members
to
say
that's
what
was
being
referred
to
those
pages
in
the
packet
and
want
to
thank
mr
clemenson
and
staff
for
working
with
us
to
be
able
to
put
that
information
together
for
the
committee.
Thank
you,
madam
chair.
A
Thank
you
for
that
so
department
of
taxation.
J
We
are
ready
yay
good
afternoon,
chair
neil
and
committee
members.
My
name
is
shelly
hughes
and
I'm
the
executive
director
for
the
department
of
taxation.
I
have
with
me
today:
melissa
flatley,
who's,
the
chief
deputy
executive
director
and
we
will
be
presenting
on
the
taxation
of
the
nevada's
cannabis
industry.
E
Good
afternoon,
chair
and
committee,
so
in
our
presentation
today,
director
hughes
and
I
will
present
information
first
on
the
evolution
of
the
taxes
of
cannabis.
Through
today's
present
structure,
director
hughes
will
explain
the
department's
calculation
of
fair
market
value
of
cannabis,
which
is
used
in
the
payment
of
the
wholesale
marijuana
tax.
E
Director
hughes
will
also
share
some
information
on
taxation
of
products
sold
in
cannabis,
consumption,
lounges
and
the
status
of
regulations
that
are
under
development.
Regarding
those
lounges.
Finally,
I'll
explain
how
the
taxpayers
report
and
pay
their
tax
revenue
to
the
state
and
how
that
money
is
distributed.
E
I'm
going
to
skip
over
the
information
on
this
slide
because
ccb
we
put
our
slideshow
together
before
we'd,
seen
the
ccb
slideshow,
so
they
already
covered
a
lot
of
this
background
information
on
marijuana
in
nevada.
But
as
far
as
the
tax
structure,
there
have
been
frequent
changes
to
the
tax
structure
since
2013
when
sb
374
implemented
its
2-2-2
system
and
that
imposed
a
two
percent
excise
tax
at
each
sale
of
medical
marijuana,
whether
by
the
cultivator,
a
facility
that
manufactured
marijuana,
infused
products
or
the
the
sale
to
the
consumer.
E
It
did
not
change
the
excise
taxes
on
medical
marijuana,
however,
so
it
created
two
separate
systems
of
marijuana
based
on
whether
it
was
taxed
as
medical
marijuana
or
taxed
as
recreational
marijuana.
This
was
addressed
in
2017
and
sb.
487
modified
the
tax
structure
by
increasing
the
excise
tax
on
wholesale
sales
of
marijuana
that
were
intended
for
medical
use
to
15
from
the
2
percent
and
abolish
the
2
tax
on
sales
to
facilities
that
produced
marijuana.
Infused
products
further
imposed
a
10
tax
on
retail
sales
of
marijuana
and
that's
kind
of
where
we
are
now
so.
E
J
So
shelly
hughes
executive
director
for
the
department
of
taxation
for
the
record
in
2016,
with
the
passage
of
the
initiative
petition,
question
2,
a
15
wholesale
excise
tax
on
the
fair
market
value
at
wholesale
cannabis
was
created.
J
How
does
the
department
calculate
the
fair
market
value?
Well,
we
look
at
raw
data
on
nine
categories,
from
wholesale
transfers
reported
in
the
seed
to
sale
tracking,
which
is
metric
for
a
six
month
period.
The
most
recent
data
came
from
transfers
on
april
1
2021
through
september
30th
2021,
the
nine
categories
of
cannabis
that
the
department
looks
at
are
small
or
popcorn
bud,
and
that
is
reported
in
pounds,
cannabis,
flowers
or
bud,
reported
in
pounds.
J
Unsalable,
flour
approved
for
extraction,
which
is
reported
in
pounds
and
unsealable
trim
approved
for
extraction
reported
in
pounds
after
the
department
pulls
the
data
from
metric.
We
remove
certain
transfers
that
aren't
considered
arm
length
transactions
and
those
transfers
include
internal
transfers
from
vertically
integrated
companies,
transfers
that
are
exempt
from
the
wholesale
tax,
which
include
tribal
cultivation,
production
or
dispensary
transfers,
and
any
transfers
that
include
keywords
such
as
samples
displays
internal
promos,
testers
or
trials.
J
The
department
then
takes
the
remaining
data
transfers
and
determines
the
median
sales
price
for
each
category.
The
median
sales
price
becomes
the
fair
market
value
and
the
15
wholesale
excise
tax,
which,
as
melissa
explained,
is
referred
as
wmt,
is
then
imposed
on
the
fair
market
value
at
wholesale
of
cannabis.
For
each
category,
a
document
is
drafted
with
the
department's
determination
of
the
fair
market
value
and
the
wmt
return
is
revised
to
include
the
new,
fair
market
values
and
both
forms
are
posted
at
the
departments
on
the
department's
website.
J
In
your
your
packet
that
you
received,
we
included
a
copy
of
the
most
recent
determination
as
an
exhibit.
If
you
would
like
to
see
what
information
is
included,
this
determination
is
from
the
most
recent
fair
market
calculation,
which
began
on
january
1st
2022.
J
J
J
J
These
provisions
are
substantially
similar
to
the
method
that
was
previously
adopted
by
the
department
in
the
context
of
adult
use,
cannabis,
nac,
453
d
236,
but
with
the
enactment
of
ab-533
from
the
2019
legislative
session,
the
department
retained
the
authority
to
calculate
the
fair
market
value
at
wholesale
and,
as
a
result,
we
had
to
pursue
pursue
rule
making
to
transfer
the
language
from
nac453d
236
to
nac372a,
which
is
the
chapter
that
contains
provisions
regarding
cannabis
excise
taxes.
J
J
When
reselling
to
customers,
the
lounge
must
pay
the
rmt,
as
well
as
the
sales
tax.
The
lounge
will
need
to
register
with
the
department
for
a
sales
tax.
Permit
section
27
of
the
bill
allows
for
an
independent
cannabis
consumption
lounge
to
enter
into
a
contract
with
one
or
more
adult
use
cannabis.
Retail
stores
to
sell
to
an
independent
consumption.
J
J
E
You
so
we'll
wrap
up
with
some
information
that
will
segue
into
fiscal's
presentation
of
the
revenue
tables.
Following
our
presentation.
Taxpayer
payments
as
I've
said,
are
due
monthly
and
a
return
is
required
from
the
taxpayer.
Even
if
there
is
no
tax
due,
so
they
need
to
file
a
zero
return.
E
E
The
department
has
approximately
170
appointments
each
quarter
to
accept
those
cash
payments
after
the
payments
come
in
they're,
distributed
in
accordance
with
372.8.290
and
are
distributed
first
to
the
cannabis
compliance
board
and
local
governments
in
an
amount,
that's
determined
by
the
board
to
pay
the
costs
of
the
board
and
the
local
governments
in
carrying
out
the
provisions
of
both
nrs
chapters.
678
c
and
678
d
of
the
nrs
up
to
5
million
can
be
distributed
to
all
local
governments
to
cover
their
costs.
E
As
of
july
1st
2021,
any
remaining
funds
are
deposited
to
the
state
education
fund.
I
apologize.
I
made
a
typo
on
the
slide,
that's
included
in
your
materials,
and
I
didn't
refer
to
the
current
effective
version
of
nrs
372a.290
prior
versions
of
that
statute
had
deposited
excess
funds
to
the
state
distributive
school
account,
but
that's
currently
into
the
state
education
fund
attorney.
All
this
completes
the
department's
prepared
presentation
and
director
hughes,
and
I
are
both
available
to
answer
your
questions.
A
I
I
I
And
so
let
me
try
to
blow
these
up
a
little
bit.
So
I
apologize
for
not
having
them
in
the
packet
but
they're
in
nellis
outside
the
packet,
and
so
I
don't
have
a
lot
to
say
with
regard
to
these
tables
and
charts
in
terms
of
insight
or
commentary
other
than
what
we
wanted
to
do
is
for
the
members
of
the
committee
is
take
information.
I
That's
actually
reported
by
the
department
of
taxation,
so
they
have
available
on
their
website
for
both
the
15
wholesale
tax
and
the
10
retail
tax,
they're
reporting
monthly.
What
the
actual
collections
are
and
they're
putting
those
reports
up
quite
fiscally.
So
here
working
with
the
the
data
that
the
department
taxation
reports
for
each
fiscal
year,
we
pulled
it
together
into
one
table.
I
So
you
can
see
the
monthly
amounts
here
statewide
for
in
table
one
for
the
15
wholesale
excise
tax
and
has
been
pointed
out
here
and
I'll.
Just
reiterate
that
this
is
the
tax.
That's
on
the
cultivation,
the
back
end
of
sort
of
the
marijuana
production
cycle
as
it
goes
from
cultivation
up
to
retail
or
cultivation
production
and
then
up
to
retail.
And
so
this
15
wholesale
tax
applies
to
the
cultivated
products
that
are
subject
to
the
tax,
whether
it's
for
medical
or
or
adult
use.
I
And
so
here
you
can
see
the
monthly
statewide
collections
and
then
on
the
right-hand
side.
Here
is
the
10
retail
and
I'm
using
cannabis
and
and
for
those
who
have
been
with
marijuana
since
its
inception,
going
from
medical
and
adult
use
retail
and
we
have
started
out
using
the
term
marijuana.
But
now
more
in
statute.
We
use
the
term
cannabis
so
I'll
apologize
for
myself
and
probably
any
of
the
other
presenters
that,
where
we
co-mingle
the
use
of
cannabis
and
marijuana
when
referring
to
these
two
excise
taxes.
I
So
the
10
percent
is,
as
was
just
explained
at
the
retail
side,
but
only
on
the
adult
use,
not
medical.
So
just
keep
that
in
mind
that
the
tax
bases
are
different
between
the
whole
sale
tax
in
the
retail
side,
but
the
sales
tax
does
attach
to
both
medical
and
adult
use.
So
that's
just
to
get
the
distinctions
again
had
already
been
presented.
So
I
don't
plan
on
spending
a
lot
of
time
going
to
this
on
the
second
page.
I
You
can
see
just
we
summarized
it
by
physically,
so
you
can
see
the
growth
in
this
tax
and
that's
why
I'll
get
to
the
charts
here
and
it
gets
hard
to
make
commentary
or
insights,
because
although
this
industry
is
maturing
over
the
last
several
years,
it's
still
somewhat
of
a
new
industry.
I
So
in
terms
of
you've
seen
the
number
of
years
that
has
been
in
place
to
have
monthly
taxes
paid,
and
so
you
don't
know,
what's
what's
driving
the
both
the
wholesale
side
and
the
retail
side,
because
it
can
be
well
you're
having
additional
licensees
come
online
and
then
that,
in
relation
to
the
demand
by
the
residents
of
nevada
and
or
visitors,
that
can
come
to
nevada
and
let's
throw
in
a
pandemic
there
in
in
that
too.
In
terms
of
that
can
affect
the
numbers.
I
But
you
can
now
see
that
in
fy
21,
which
would
have
been
in
that
endemic
period,
the
15
wholesale
generated
around
approximately
65.6
million
dollars,
and
then
the
10
percent
generated
around
92.1
million
and
I'll
again
just
be
redundant
here.
To
point
out
that
the
the
15
wholesale
is
the
funds
for
that
tax.
I
As
we
point
out,
they
go
in
the
funds
ccb's
budget,
along
with
the
license
fees,
and
then
any
access
is
required
to
be
transferred
to
the
state
education
fund.
Now,
prior
to
that,
it
was
required
to
be
transferred
to
the
state
distributive
account
and
then
but
the
10
percent,
when
that
was
put
in
place
at
the
end
of
the
20
2017
session
for
the
two
first
two
years,
the
10
retail
excess
tax
proceeds
went
to
the
state
rainy
day
fund.
I
Then
they
were
dedicated
to
the
state,
distributive
account
for
k-12
education
and
then,
as
we
moved
over
from
the
nevada
plan
to
the
people-centered
funding
plan,
those
proceeds
are
now
go
into
the
state
education.
I
So
I
just
wanted
to
be
redundant
there
by
making
those
points
so
then
table
two
is
just
showing
you,
the
15
wholesale
excise
tax
for
statewide
again
but
clark,
county,
washington,
county
and
then
all
other
counties
and
the
reason
this
is
how
it's
currently
reported
by
the
department
of
taxation,
and
you
can
see
the
note
at
the
bottom
of
the
tables,
why
we're
reporting,
clark
and
washoe
and
then
all
other,
even
though,
if
you
look
at
the
notes,
there's
several
counties
that
there
are
licensed
cultivation
facilities
operating
and
thus
the
tax
will
be
getting
remitted
and
paid
to
the
department
of
taxation.
I
Taxation
has
to
roll
it
into
this
all
other
county's
category,
but
we
just
thought
we
would
provide
the
information
and
again
this
information
is
being
reported
on
taxation's
website,
we're
just
bringing
it
together
here,
working
with
department,
taxation
staff
to
show
you
it
by
month
and
then
by
fiscal
year
in
terms
of
being
compiled
table
three
is
just
showing
you
the
ten
percent
excise
tax,
we
retail
excise
tax
and
again
showing
you
the
statewide,
total
and
then
clark
and
washoe
and
all
other
counties,
and
the
reasoning
is
the
same
for
reporting
other
counties.
I
Perhaps
sometime
in
the
future,
the
department
taxation
will
get
to
a
point
where
they
might
be
able
to
report
additional
counties,
but
it's
just
too
tenuous
now
with
regards
to
reporting
them
and
worrying
about
disclosure.
I
I
So
you
can
see,
chart
one
hey,
and
this
just
is
the
graphical
way
of
displaying
the
data,
that's
in
the
table,
and
you
look
at
them
and
if
you
would
ask
me
to
make
any
observations
clearly,
I
think
you'd
expect,
even
though
the
ten
percent
rate
is
five
percent
less
than
the
fifteen
percent,
but
right
the
fifteen
percent's
occurring
at
the
wholesale
level.
So
then
is
it
right
you're
going
to
have,
as
it
goes
from
cultivation
up
to
retail
and
or
from
cultivation
to
production,
up
the
retail
you're
going
to
have
right
markups.
I
This
is
no
different
than
any
other
industry
as
things
move
through
the
the
process
of
manufacturing
manufacturing
and
that
you'll
have
markups,
and
so
then
the
price
and
then
the
15
wholesale
tax.
In
a
sense,
it's
it's
a
cost
of
doing
business
at
that
cultivation
site.
So
it's
going
to
get
rolled
up
into
the
retail
price,
to
the
extent
that
the
market
will
allow
them
to
push
that
wholesale
tax
on
to
the
retail
customer.
So
it's
it
shouldn't
be
a
surprise,
then
that
the
10
tax
is
more
than
the
15.
I
But
as
you
look
at
this,
you
can
get
times
when
months
where
the
15
is
very
close
to,
or
even
if
you
look
at
some
of
the
markets
gets
above
well,
that
can
be
the
timing
of
when
they're
cultivating
the
plant
and
harvesting
it,
and
then
the
tax
is
being
due
at
the
retail,
the
wholesale
level
versus
then
what's
occurring
at
the
retail
level
in
terms
of
customers
coming
in
purchase.
So
that's
the
one
observation
that
I
did
want
to
make.
I
Is
you
you
walk
through
and
look
at
these
charts
and
then
also
it's
going
to
depend
on
that
the
number
of
licenses
of
cultivators
in
the
markets
that
are
being
reported
here
in
relation
to
whether
or
not
they
have
also
retail
adult
use
marijuana,
and
so,
when
you
get
to
the
all
other
counties,
that's
where
the
chart
can
get
very
interesting.
I
Well,
that's
because
if
you
go
look
at
the
slides
that
are
out
there,
that
we
summarize
from
the
information
reported
by
the
ccb
well,
there
are
some
counties
that
have
cultivation,
but
don't
have
retail
and
vice
versa.
So
when
you
roll
to
all
other
counties,
this
becomes
a
hard
chart
to
make
any
interpretations
of
so.
But
you
do
have
the
statistical
information
about
what's
being
generated
and
then
just
chart
two
is
showing
you
allows
you
graphically
to
see
the
15
wholesale
statewide,
as
well
as
the
three
markets
that
can
be
recorded.
I
Just
to
give
you
sort
of
visual
representation
of
what
that
tax
looks
like
and
then
finally
chart
three
is
the
ten
percent
wholesale
excuse
me,
ten
percent
retail
cannabis
excise
tax
and
again
just
showing
the
markets
and
allowing
you
to
see
what's
going
on
for
those
markets
in
relation
to
the
statewide
total
that
you
see
and
and
with
that,
I'm
sure
that
those
were
the
remarks
that
I
wanted
to
make
and
appreciate
the
department
taxation
reporting
this
information
on
their
website
and
allowing
us
to
compile
it
into
these
charts
and
tables
and
and
if
based
on
the
change
directions,
we
keep
them
updated
within
fiscal
and
if
there's
interest
they
can
be
continually
be
provided
to
the
members
of
this
committee
throughout
this
interim.
I
A
Okay,
thank
you,
mr
pandem.
So
what
we'll
do
is
open
up
for?
Have
members
ask
questions
to
you
department
of
tax
and,
if
there's
I
don't
know
if
ccb
is
still
on,
if
there's
a
role
in
addressing
any
of
those
questions,
but
I
know
assemblyman
yeager
has
a
question.
So
I'll
start
with
him.
First.
H
Thank
you,
madam
chair.
I
have
a
couple
questions
on
the
the
on
the
tax
side
and
I
think
these
will
probably
both
be
for
taxation,
but
in
looking
at
mr
guindon's
chart
chart
1d.
So
I
just
noticed
there
was
a
really
big
spike
in
the
all
other
counties
for
the
10
retail
excise
tax
in
may
of
2020.
There
was
a
huge
spike
and
then
for
the
15
wholesale.
H
There
was
a
really
large
spike
in
january
2021,
and
I
just
wondered
if
there
was
any
sort
of
explanation
for
that
was
that
just
the
opening
of
dispensaries
or
the
opening
of
a
grow
operation,
because
it
just
seems
like
those
two
numbers
were
like
really
out
of
proportion
for
the
rest
of
the
months
for
those
two
taxes.
J
Thank
you,
assemblyman
jaeger,
for
the
question,
shelly
hughes
for
the
record.
I'm
not
exactly
sure
what
those
spikes
may
be
due
to.
However,
differences
can
be
due
to
several
different
adjustments
during
prior
periods
that
happen
as
a
result
of
amended
returns
or
audit
findings,
so
those
spikes
could
be
due
to
anything.
One
taxpayer
may
not
have
reported
sales
in
one
quarter
and
reported
all
their
sales
in
another.
H
Okay,
thank
you
and
then
just
I
wanted
to
go
back
really
quickly
to
the
fair
market
value
calculation
that
you
talked
about
on
the
15
tax,
and
so,
if
I'm
looking
at
it
right,
it's
the
chart,
I
don't
think
you
went
over
it,
but
you
provided
this
chart
that
kind
of
gave
highs
and
lows
and
then
the
median
price.
So
I
don't
know
which
slide
this
is,
but,
for
instance,
I'm
looking
at
it
and
so
for
small
bud.
H
The
maximum
was
almost
eight
thousand
dollars
a
pound
and
the
minimum
was
250
a
pound
with
a
median
of
about
1700,
so
kind
of
a
a
two-part
question.
First,
on
this
chart
did
these
only
reflect
the
arm's
length
transactions
or
do
these
reflect
all
of
the
transactions
before
you
weeded
out
what
you
would
consider
to
be
not
arm's
length
transactions.
J
Thank
you,
assemblymanier
shelly
hughes,
for
the
record.
Our
economist
has
provided
this
chart
and
does
so
every
time
we
release
the
information,
but
I
do
believe
that
all
the
the
information
has
been
removed
from
the
data
set
that
that
aren't
arm
link
transactions
before
this
is
is
put
together.
H
Thank
you
and
then
just
to
follow
up
on.
That
is
there's,
obviously
a
huge
difference
like
if
you
look
at
flower,
11
500
a
pound
versus
2
500,
a
pound
on
the
low
end.
So
my
question
there
was:
are
you
able
to
offer
any
commentary
on
why
there's
such
a
large
spread?
The
two
thoughts
that
occurred
to
me
was
either.
Maybe
the
demand
was
really
high
on
that
product
at
some
point
and
the
supply
wasn't
there
or
maybe
there's
just
higher
demand
for
what
is
perceived
to
be
a
higher
quality
product.
J
Shelly
hughes
for
the
record
again,
I
do
not
have
insight
on
that.
I
can
do
some
further
research
with
my
staff
and
we
can
get
back
to
you.
D
D
I
would
guess
it's
based
on
thc
values
of
why
we
have
such
a
discrepancy
and
the
max
value
and
the
men
value,
but
I
would
love
to
also
hear
back
on
that
to
see
what
that
is
about,
and
do
you
know
what
percentage
of
the
wholesale
has
moved
into
the
vertically
integrated
category
that
the
cannabis
compliance
board
was
mentioning
versus
kind
of
their
own
separate
entity.
J
Thank
you,
assemblyman,
hey
haven,
I'm
not
sure.
If
ccd
is
still
online,
they
may
be
able
to
answer
the
question
better
than
I
do,
but
we
have
seen
more
and
more
vertically
integrated
businesses,
so
it
does
become
harder
to
calculate
the
fair
market
value
and
those
transactions
aren't
considered
arm
length
transactions.
So
we
have
to
remove
those
from
the
data
set,
but
I
do
know
tyler
said
in
his
presentation:
there
are
761
licenses,
so
if
he's
still
available,
he
may
be
able
to
further
answer
that
question.
Steve.
F
Thank
you,
tyler
climates,
for
the
record
thanks
director
hughes
and
for
the
question
I
you
know,
I
don't
have
the
percentage,
so
what
we'd
be
looking
for
is
the
percentage
of
cultivation
facilities
that
are
part
of
a
vertically
integrated
operation.
We
could
likely
pull
that
data
to
get
you,
those
exact
numbers.
I
don't
have
it
offhand.
F
I
would
add,
though,
just
as
another
element
to
why
we
see
or
why
we
think
we
see
some
of
these
huge
discrepancies
between
max's
and
men's
too
is
there's,
there's
other
things
that,
when
flour
and
small
buds
specifically,
if
it
was
to
pass
or
excuse
me,
failed
testing,
it
can
still
while
it
can't
be
sold
in
its
its
its
current
state.
F
It
can
be
sold
to
like
a
production
facility
which
then
would
turn
it
into
a
distillate
right
and
go
through
a
process
which
would
kill
any
kind
of
bacteria
or
any
kind
of
pesticide
that
was
already
on
there,
and
so
that
could
also
explain-
and
that
does
also
explain
some
of
these-
these
max
and
men's
as
well.
But
we're
happy
to
look
and
see
if
we
can
pull
that
data
for
you.
D
Thank
you.
I
just
I
know
it's
a
obviously
a
lot
of
information
and
and
looks
like
a
tough
task
for
department
of
taxation
to
try
to
figure
out
the
fair
market
value
for
these
vertically
integrated
businesses.
So
I
do
appreciate
that
and
then
the
other
question
that
I
have
and-
and
madam
chair
tell
me
to
stop
anytime-
is
in
regard
to
the
county
tax.
D
I
saw
that
was
in
our
backup-
and
maybe
I'm
premature
here,
but
I'm
curious
how
the
the
county
taxes
are
working
in
regards
to
wholesale
when
they're
being
shipped
from
one
county
to
another
county.
J
Shelly
he's
for
the
record,
so
we
only
collect
the
state
excise
tax,
the
wholesale
excise
tax,
I'm
not
sure
how
the
county
imposes
taxes
on
those
transfers.
I
This
is
russell
getting
in
with
the
fiscal
announce
division.
I
don't
know
if
I'll
be
able
to
fully
and
accurately
answer
some
of
the
inhabitants.
Questions
but
I'll
provide
the
following
information
to
just
for
all
the
members,
so
stella
and
haven
is
referring
to
in
the
2017.
Legislation
wasn't
required
in
the
ballot
question,
but
the
legislature
gave
local
governments
the
authority
to
impose
up
to
a
three
percent
tax
on
the
gross
revenue.
I'm
not
going
to
get
into
great
detail.
I
So
I'm
summarizing
here
up
to
three
percent
on
the
gross
revenue
at
the
cultivation
level,
up
to
three
percent
at
the
production
level
and
up
to
three
percent
at
the
retail
level,
and
so
we're
in
the
process
of
trying
to
do
some
research
on
that
as
fiscal
staff.
But
that
tax
is
in
in
some
sense
on
the
gross
revenue.
So
it's
you
can
say
that
functions
like
these
excise
taxes,
but
the
excise
tax
is
when
there's
a
sale.
I
Then
the
tax
occurs
to
this
and
then
it's
at
the
15
wholesale
at
the
state
level.
It
attaches
to
this
median
price,
that's
being
set
by
taxation
as
the
fair
market
price.
Not
what
the
price
had
actually
sold
for
or
transferred
at,
so
it
would
seem
to
me
possibly
someone
having
that.
Then
it
would
be.
What
was
the
gross
revenue
for
the
tax
reporting
period
that
that
entity
in
the
county
generated,
possibly
independent,
of
whether
they
sold
it
to
somebody
across
the
county
line?
I
It
would
be
revenue
that
they
got
from
selling
that
product
and
then
they
would
attach
whatever
rate
up
to
the
three
percent,
that
the
the
local
government
and
that
would
be
right.
The
counties
have
that
authority
and
the
cities
have
that
authority,
but
you
you
you're,
not
double
taxing
it
right
that
you're,
either
in
the
unincorporated
county
or
you're
in
a
city
or
being
have
the
ability
to
impose
these
three
percent
gross
revenue
taxes.
I
So
again
I
I
know
someone
hit
that
doesn't
totally
answer
your
question,
but
hopefully
it
provides
some
information,
probably
that,
since
it's
based
on
gross
revenue,
then
I
would
imagine
that
end
if
they're
getting
revenue
from
selling
their
product.
It
would
then
be
subject
to
the
tax
in
the
county
in
which
the
facility
is
operating
and
generating
the
rent.
D
I,
with
the
the
cannabis
industry,
moving
towards
the
vertically
integrated
and
there's
a
lot
of
cultivation
in
nye
county
and
then
it's
being
transported
to
where
most
of
the
consumption
is,
which
is
in
clark
county
until,
like
my
question
then
becomes
is.
Are
they
then
required
to
calculate
the
gross
revenue,
even
though
it's
not
an
actual
transfer,
when
it's
vertically
integrated,
based
on
the
fair
market
value
or
not?
And
and
I'm
not,
I'm
not
sure
that
we
have
an
answer
today.
I
Again,
for
the
record
russell
again,
with
fiscal
now
southern
haven,
we
have
started
that
research
and
I
think
you're
correct
in
your
statement
that
at
this
point
in
time,
fiscal
staff
is
isn't
able
to
provide
what
we're
finding
it,
the
ordinances
that
are
being
put
in
place
by
local
governments
for
their
their
up
to
three
percent
gross
revenue.
I
Taxes
do
have
different
structures
and
us
it
it's
not
clear
to
us
as
to
exactly
whether
the
it's
picking
up
transfers
versus
sales-
I
can't
remember,
but
there
is
one
entity
that
actually
has
an
ordinance
that's
tied
to
taxation.
Smart,
fair
market
value,
capitalism,
so
right
so
just
at
this
here
this
afternoon
is
something
then
that's
all
I
can
say
is
we're
working
on
that
research
project
and
we're
finding
that.
I
The
answer
that
we
can
provide
to
you
this
afternoon
is
it
depends
and
we'll
get
that
once
we
get
that
figured
out,
we
can
provide
that
to
the
members
of
the
committee
and
manager
also
point
out
that
what
we're
working
with
the
department
of
taxation,
as
was
pointed
out
there,
every
six
months,
they're
doing
this
determination
that
lasts
for
a
six
month
tax
period
for
this
fair
market
value
determination.
I
So
we're
working
with
taxation
to
compile
all
those
six
months
together
into
a
tabular
and
or
charted
format,
and
that
is
something
that
can
can
be
provided
to
the
committee
at
a
later
date.
Once
we're
done
with
that,
and
in
some
sense
that
would
allow,
I
think,
the
members
of
the
committee
and,
like
assemblyman,
yeager's
question
about
well
how?
How
does
that
look?
What
are
the
number
of
observations
over
each
of
those
six
month
periods?
I
You've
got
to
have
this
intermediate
calculation
of
fair
market
value,
using
historical
information
to
determine
the
in
a
sense,
the
effective
tax
rate,
because
the
effective
tax
rate
is
the
15
tax
rate
times
the
fair
market
price
for
the
type
of
cannabis
product
that
ms
hughes
went
through
and
and
just
for
reference,
so
that
all
the
members
know
the
currently
the
reason
that
the
nevada
has
the
structure
for
the
15
wholesale
tax
is.
I
It
came
out
of
the
ballot
question
and
so
as
as
was
brought
up
for
you
know,
we've
stuck
with
it
for
three
years,
but
we're
now
past
that
time.
So
if
the
legislature
did
choose
to
do
so,
they
could
make
modifications
to
the
structure
and
in
that
colorado
is
using
this
structure.
So
is
colorado
being
one
of
the
marijuana
markets
that
was
up
and
operating
in
place.
The
drafters
of
the
petition
that
for
the
ballot
question,
shows
the
structure
that
and
then
it
came
through
in
the
ballot
question.
I
So
I
just
wanted
to
have
that
historical
reference
point
and
then,
finally,
since
I
have
the
mike
madam
chair
I'll,
offer
a
a
little
bit
of
hopefully
additional
information
to
some
of
the
yeager
for
those
spikes,
I
don't
know
either
but
I'll.
I
will
offer
to
keep
in
mind
that
right,
clark
and
washoe
look
at
the
charts
they're,
the
the
bigger
people,
so
they
are
not
going
to
be.
I
I
Oh
did
somebody
come
online,
but
I'm
also
wondering
when
you
see
a
one-time
spike
like
that
and
it's
not
sustainable,
I'm
just
gonna,
it's
pure
conjecture
assignment
that,
but
as
director
climate
stated
and
they're
working
with
department
of
taxation
when
licenses
come
forward
to
make
sure
you're
trued
up
on
your
taxes,
so
just
over
all
my
years
of
working
with
data.
When
you
see
spikes
in
data
as
as
was
stated
by
director
hughes,
hey
did
we
have
an
audit
or
ccv
said
hey.
I
You
got
to
get
good
with
taxation
on
your
taxes
and
I'm
not
saying
that's
what
it
is.
But
that's
where
my
mind
would
go
is
when
you
see
spikes.
Okay,
yeah
it's
one
time
things
occurring
either
because
the
taxpayers
decided
to
oh,
I
I
got
to
true
up
or
they
when
they
went
before
ccb
ccb
said
you
got
to
true
up
or
taxation
caught
them
through
an
audit.
I
I
A
D
J
Shall
I
use
for
the
record?
We
don't
collect
attacks
from
the
tribes
tribal,
we
have
agreements
or
contacts
with
the
tribes
and
tyler
can
speak
more
to
this,
with
ccb
has
entered
into
agreements
with
several
of
the
tribes
and
they
are
required
to
impose
the
same
tax
rate
or
higher
that
the
state
imposes,
but
they
collect
the
tribal
tax
on
those
sales
that
occur
on
tribal
lands.
I
And
just
for
clarity,
this
is
again
russell
getting
directors
and
they
retain
it
correctly,
right,
yeah
that
they
they
don't
collect
it
and
then
give
it
to
the
state
they're
collecting
it
and
retaining
it.
I
just
want
to
make
sure
that
it's
true.
A
Let
me
ask
you:
let
me
ask
you
this
because
mr
guindon
and
miss
hughes,
so
they
retain
it.
So
it
doesn't
matter
if
an
outside
resident
goes
to
or
as
a
resident
of
the
clark
county
and
then
goes
to
the
tribe
and
then
comes
back
so
the
nexus
everything
everything
stays.
J
Shelly
hughes
for
the
record,
chair,
neal,
yes,
the
sale
occurs
where
the
transfer
of
the
product
occurs.
So
if
a
nevada
resident
goes
on
to
tribal
land
purchases
cannabis,
the
tribal
tax
is
imposed
on
that
sale.
A
So
let
me
ask
you
this,
though,
did
were
they
a
part
of
the
consumption
lounge
bill,
or
is
that
I
don't
know
if
I
should
ask
jaeger
that,
but
are
are
the
are
tribes
going
to
have
the
consumption
lounges
as
well.
J
Shelly
hughes,
for
the
record,
I
I
don't
believe
that
the
tribal
governments
were
included
in
the
cannabis
consumption
lounge,
but
I'm
sure
assemblyman,
yeager
or
director
climates
can
address
that
better.
H
Chair,
I
could
address
it
if
you
want
the
tribe,
the
tribal
was
already
operating
at
consumption
lounge
before
we
had
the
state
bill
over
at
nuwu,
so
they
are
not
expressly
included
in
because
their
sovereignty,
you
know
they
can
kind
of
do
as
they
wish
in
this
space.
But
beyond
that,
I
don't
know
if
there's
the
compacts
touch
on
that
or
if
they're
going
to
be
touching
upon
it
at
some
point,
that's
beyond
my
my
expertise,
but
the
assembly
build
341
just
had
to
do
with
the
state
regulated
under
the
ccb.
A
Okay
and
so
just
really
quickly
to
go
back
to
the
conversation
around
the
local
jurisdictions
and
this
research
project
are
we,
including
because
I've
always
been
curious,
number
one
about
the
internal
processes
on
how
they,
the
local
jurisdictions
report
to
the
department
of
taxation
and
I've
also
been
super
curious
because
they
typically
have
a
line
item
in
their
budget
for
that
up
to
three
percent.
A
But
I've
also
been
curious
about
what
they
spend
it
on.
So
in
that
research
project,
when
you're
asking
these
local
jurisdictions,
can
we
also
find
out?
I
want
to
know
what
their
collections
are.
I've
been
curious
about
their
collections
because
it's
always
been
outside
of
their
general
fund
and
they've
always
used
it
as
additional
money
to
do
as
they
wish,
but
I'm
very
interested
in
what
their
current
appropriation
for
the
money
is
for
like
what
are
they?
A
What
are
they
applying
it
to
within
their
jurisdiction,
because
I
I
always
want
to
know
where
the
money
is
when
they
come
to
the
state
and
say
well,
I
can't
pay
for
this
service
and
I
think
it
will
be
very
informative
for
2023
to
know.
I
Well,
madam
chair,
this
is
again
russell
again
with
the
fiscal,
announce,
division
and
so
I'll
just
assume
here
that
you've
sort
of
expanded
our
I
did
because
we
were
mainly
and
that's
fine.
We
were
mainly
look
trying
to
look
at
what
were
they
doing
in
their
ordinances,
because
the
these
are
purely
in
and
misused
can
correct
me
if
I'm
wrong,
but
there's
no
interaction
between
the
department,
taxation,
local
governments.
I
With
regards
to
this
this
up
to
three
percent,
it
is
basically
a
license
fee
that
the
local
governments
can
choose
to
impose
and
they
can
impose
it
on
all
three
levels:
two
levels,
one
level
up
to
the
three
percent,
and
then
they
do
that
by
ordinance.
So
then,
they're
administering
and
collecting
that
tax
on
the
gross
revenue
at
the
local
level.
And
then
I
don't
I'm
going
from
memory,
but
I
don't
believe
we
put
any
restrictions
on
it
on
what
they
could
use
it
for
and
does
it
in.
I
In
my
terminology,
it
would
be
g,
like
general
fund
revenue
right
that
they
could
put
it
in
their
general
fund
budget,
but
then
they
could
also
earmark
it
or
dedicate
it.
For
other
things,
because
I
don't
believe
we
placed
any
restrictions
on
what
they
could
use
the
proceeds
from
imposing
the
up
to
three
percent
taxes
licensed
taxes
at
the
cultivation
production
in
retail
levels.
But
we
will
our
project
because
we
were
mainly
trying
to
look
at
their
ordinances
and
seeing
what
they
were
doing.
I
But
we
can
reach
out
to
the
local
governments
that
are
imposing
these
taxes
to
tell
us
what
it
is
that
they
are
generating
from
them.
And
then
what
they're
being
used
for.
A
You're
taxing
the
cannabis
product,
that's
within
that's
being
used
within
the
consumption
lounge
and
I
guess
does
the
does
the
tax
itself
mimic,
the
you
know
how
we
did
the
vape
bill
and
the
vape
bill
dealt
with
the
components
of
of
the
tangible
thing
that
was
either
being
used
created.
It
even
included
signage.
J
And
chair
nail,
thank
you
for
the
question
that,
and
that
is
a
good
question.
So
the
the
retail
marijuana
tax
is
strictly
on
cannabis
and
cannabis
products.
So
not
it
wouldn't
touch
the
accessories,
so
those
those
type
of
things
would
be
taxed
for
sales
tax
purposes,
so
cannabis
consumption
lounge
will
be
responsible
both
for
the
retail
marijuana
tax
or
the
rmt
in
sales
tax
on
those
type
of
tangible,
personal
property.
J
A
Does
that
yeah
that
it
just
sounded
like
it
was
kind
of
like
the
vaping
language
all
right,
so
any
additional
questions.
A
No
okay,
so
then
thank
you
for
the
presentation.
This
was
really
good
information.
Now
we
can
move
on
to
agenda
item
number
seven,
which
is
the
presentation
on
sales
and
use
tax
rates.
A
K
Thank
you,
madam
chair,
for
the
record,
michael
nakamoto,
with
the
fiscal
analysis
division
of
the
legislative
council
bureau
on
page
81
of
the
the
packet
for
the
meeting
which
is
page
set.
The
page
number
is
page
79,
but
it's
page
81
of
the
pdf
begins
table.
One
for
agenda
item
number
seven
and
hold
on.
Let
me
bring
that
up
on
my
screen.
Real
quick.
K
All
right,
you
should
be
able
to
see
table
one,
the
overview
of
state
and
local
sales
tax
rates
imposed
under
current
law
in
nevada,
and
this
is
just
more
of
a
general
view
of
the
sales
tax.
Going
back
to
the
last
meeting
where
we
talked
about
the
the
issues
regarding
the
sales
tax
and
so
to
walk
through
this
table,
I'm
going
to
first
go
through
all
the
columns
to
explain
just
the
information
that
is
here.
The
first
column
you
can
see.
K
There
is
the
area
where
the
rate
is
imposed,
so
you
can
see
for
the
first
few,
it's
statewide,
but
when
we
this,
because
this
table
is
going
to
deal
with
a
lot
of
the
local
tax
rates,
it
will
talk
about
the
county
in
which
the
rate
is
imposed
and
all
of
these
rates
that
we're
talking
about
these
optional
rates
are
county
rates.
K
There
are
no
rates
that
are
imposed
at
a
rate,
that's
smaller
than
a
county,
for
example
a
city,
so
it's
either
a
statewide
rate,
as
you
can
see
for
the
first
four
there
or
county
rates.
As
I
go
through
the
rest
of
the
table.
The
purpose
is
the
the
reason
why
the
rate
is
being
imposed,
the
current
rate
that's
being
imposed.
K
I
think
it's
fairly
self-explanatory.
The
statutory
authority,
for
it
is
either
the
nrs
citation
or
there
is
a
a
citation
of
statute
from
the
statutes
of
nevada,
and,
as
I
go
through
a
few
of
these
I'll
talk
about
this,
the
next
column
is
the
date.
A
rate
was
first
imposed
and
it's
not
necessarily
the
rate
that
is
being
imposed,
but
the
first
time
they
rate
under
this
authority
was
imposed
either
at
the
state
or
the
local
level.
K
By
that
authority
and
I'll
talk
about
a
couple
of
examples
of
that,
and
then
the
last
column
is
the
actual
collections
from
that
particular
component
of
the
rate
for
the
last
actual
fiscal
year,
fy
2021.
K
This
is
information
that
was
obtained
from
the
department
of
taxation,
and
this
is
information
they
always
put
up
on
their
website,
and
we
are
appreciation
appreciative
to
director
hughes
and
her
staff
for
putting
that
information
together.
So
for
the
first
group
that
you
can
see
there
under
the
header
statewide
rates,
this
is
pretty
self-explanatory.
K
These
are
the
ones
that
are
imposed
in
all
17
counties.
You
have
the
state
general
fund
rate,
the
two
percent
rate,
mr
fernley,
talked
about
the
sales
and
use
tax
act
of
1955
at
the
last
meeting.
That
is
the
authority
under
which
this
raid
is
imposed
and
again
it
goes
to
the
state
general
fund
and
it
was
originally
put
into
place
under
senate
bills,
171
of
the
1955
session,
the
next
two
components.
K
I
guess
I
can
talk
about
together:
the
basic
city,
county
relief
tax,
also
known
as
the
bccrt
and
the
supplemental
city
county
relief
tax,
the
sccrt
you
can
see
that
the
bccrt
is
0.5
percent.
The
sccrt
is
one
point:
seven,
five
percent
those
have
been
imposed
in
this
state
since
july.
First
1981,
it
was
ab-369
of
the
1981
session
that
made
these
mandatory
taxes
to
be
imposed
in
all
17
counties
under
current
law.
The
distribution
of
this
tax.
K
There
is
a
1.75
commission
that
is
retained
for
the
state
general
fund
to
pay
for
the
costs
for
the
department
of
taxation
of
collecting
and
administering
the
tax,
and
then
the
remainder
of
the
proceeds
go
to
the
local
government,
tax
distribution,
account
for
distribution
to
cities,
counties
and
special
and
enterprise
districts
under
the
consolidated
tax
distribution,
which
is
why,
when
we
note
the
name
there,
you
see
the
letters
ctx
or
c
tax.
So
these
are
two
of
the
major
revenue
sources
for
the
c
tax
which
we
will
not
be
getting
into
today.
K
Obviously,
and
then,
the
last
part
of
the
statewide
rate
is
the
local
school
support
tax
or
the
lsst
that
has
been
imposed
in
this
state
since
july.
1
1967.
K
is
currently
imposed
at
a
rate
of
two
percent
or
sorry,
two
point:
six
percent,
with
the
proceeds
going
to
the
state
education
fund
for
k-12
education,
and
this
is
one
of
the
instances
where
that
date,
the
a
rate
was
first
imposed
matters,
because,
under
the
original
provisions
putting
the
lsst
in
place,
it
was
senate
bill
15
of
the
1967
session.
It
was
put
into
place
at
a
rate
of
1.
K
The
legislature
has,
on
several
occasions,
increased
that
rate,
most
recently
during
the
2009
session,
where
it
was
raised
to
the
current
rate
of
2.6,
and
so,
when
you
add
all
of
those
together,
you
get
a
combined
statewide
rate
of
6.85,
and
so
that
is
the
rate
that
is
imposed
as
just
the
base
rate
in
all
17
counts.
K
But
as
we've
gone
through
and
we've
talked
about
this,
there
are
a
lot
of
counties
that
have
their
own
option
rates
that
are
authorized
under
special
or
certain
statutes,
or
there
are
special
or
local
acts
that
have
been
approved
by
the
legislature
in
past
sessions
that
allow
one
or
more
counties
to
impose
a
rate.
So
you
can
see
on
this
page.
There
are
four
separate
local
option
rates
that
are
imposed
in
carson
city.
K
There
are
three
that
are
imposed
in
churchill
county
on
the
next
page,
I'm
going
to
highlight
the
six
that
are
imposed
in
clark
county,
since
that
is
where
the
bulk
of
the
taxable
sales
are
and,
and
maybe
of
the
most
relevance
to
the
community.
The
first
one
that
you
can
see
there
is
for
flood
control
that
it
is
imposed
at
a
rate
of
0.25
pursuant
to
nrs
543.600.
K
That
particular
part
of
statute
was
put
into
place
pursuant
to
assembly
bill
169
of
the
1985
session,
and
it
allows
a
county
whose
population
is
700
000
or
more
to
impose
a
rate
of
up
to
0.25
for
the
purpose
of
a
flood
control
district.
So
the
proceeds
from
this
rate
go
to
the
clark
county,
regional
flood
control
district.
K
K
That
particular
section
of
nrs
has
four.
I
believe
four
different
reasons
why
a
county
can
can
impose
a
particular
rate
for
a
particular
purpose
and
I'm
not
going
to
get
into
all
of
those
for
this,
but
one
of
the
purposes
is
for
mass
transit
or
air
quality
or
a
combination
of
those
purposes.
K
So
clark
county
is
imposing
the
maximum
0.5
rate
that
they
can
under
that
statute,
with
the
mass
transit
portions
going
to
the
regional
transportation
commission
of
southern
nevada
and
the
air
quality
portion
portion
retained
by
clark
county
for
use
for
its
division
of
air
quality.
K
The
next
one
is
the
southern
nevada
water
authority,
which
there's
a
rate
of
0.25
percent
imposed
in
clark
county
pursuant
to
nrs
377
b
100,
which
allows
counties
any
county
to
impose
a
rate
for
certain
infrastructure
purposes.
The
maximum
rate
that
can
be
imposed
in
most
of
the
counties
is
0.25,
which
is
what
clark
county
is
imposing
and
the
proceeds
as
you
can
see,
there
goes
to
the
southern
nevada
water
authority.
K
K
This
is
the
one
that
colloquially
gets
referred
to
as
more
cops
that
was
originally
approved
by
the
legislature
in
assembly,
bill
418
of
the
2005
session,
and
you
can
see
that
that
is
imposed
at
a
rate
of
0.3.
K
The
second
one
is
the
rate
of
0.1
that
is
imposed
under
the
clark
county
crime
prevention
act
of
2016..
This
was
assembly
bill,
1
of
the
30th
special
session
back
in
october
of
2016..
K
This
is
the
special
session
where
the
legislature
considered
and
approved
the
project.
That
is
that
we
now
know
today
as
a
legitimate
stadium
and
then
the
last
one
that
you
can
see
there
is
listed
as
education
programs.
K
The
legislature
and
assembly
bill
309
of
the
2019
session,
gave
any
county
the
authority
to
impose
a
rate
of
0.25
for
a
number
of
purposes
that
were
outlined
in
that
bill,
one
of
which
being
for
the
support
of
education
within
the
county.
The
clark
county
commission
did
approve
an
ordinance
based
on
that
authority
at
a
rate
of
0.125
percent
and
that
rate
took
effect
on
january,
1st
2020.,
and
so
that
is
the
set
of
local
option
rates
that
gets
clark
county
to
their
current
rate
of
8.375.
K
So
continuing
down
this
list,
you
can
see
douglas
county
has
a
rate
elko
lander,
lincoln
and
lyon
all
have
their
own
rate
under
377b
the
infrastructure
section,
and
you
can
see
the
the
various
purposes
that
they
are
using
it
for
on
the
next
page.
You
can
see
ny.
County
has
two
persian
county.
Has
one
story:
county
has
three
washoe
county
has
five.
K
You
can
see
that
they
have
a
377
b
rate
that
is
listed
there
for
flood
control
and
public
safety.
I
mentioned
when
I
was
talking
about
clark,
county's
377b
rate,
that
most
of
the
counties
have
the
ability
to
impose
a
rate
under
this,
this
section
of
nrs
at
a
rate
of
0.25
percent.
The
exception
is
washoe
county.
Their
authority
is
only
to
impose
a
rate
of
up
2.125,
and
so
they
are
imposing
the
maximum.
The
next
one
listed.
There
is
the
local
government
tax
act
of
1991.
K
K
There
was
legislation
in
the
next
session
that
took
away
the
authority
for
many
of
the
counties
to
impose
a
rate
under
that
act,
but
washoe
and
I
believe
churchill
county
retained
their
ability
to
impose
that
rate.
So
clark
or
wacho
county
is
still
imposing
that
rate.
The
next
one
is
for
mass
transit
at
a
rate
of
0.375
pursuant
to
nrs
377
8.020.
K
That
goes
to
the
regional
transportation
commission
of
washoe
county,
and
then
you
can
see
a
special
act
from
1997
for
the
the
retract
train
trench
project
of
0.125
that
went
into
effect
in
april
of
1999
and
then
a
rate
of
0.54
that
is
imposed
for
capital
projects
for
the
school
district.
That
came
out
of
legislation
that
was
approved
during
the
2015
session
that
authorized
the
imposition
or
the
placement
of
a
ballot
question
for
the
imposition
of
one
or
more
taxes.
K
K
and
then
below
that
you
can
see.
White
pine
has
four
different
rates.
The
only
one
I'm
going
to
highlight
on
there
is
the
second
one
for
school
capital
improvements
pursuant
to
nrs
374
8.010,
which
gives
certain
counties
the
ability
to
impose
an
additional
sales
and
use
tax
rate
for
capital
improvements
for
their
school
district.
As
long
as
they've
met,
other
conditions
and
white
pine
county
is
the
only
county
that
is
currently
imposing
this
rate.
So
I
just
thought
I
would
point
that
out
there.
K
The
next
few
pages
here
are
notes
for
the
table.
We
go
through
and
explain
a
lot
of
the
history
behind
the
rates,
the
statutory
citations
and
so
on,
and
I'm
not
going
to
go
through
all
of
those.
What
I
will
do
is
move
to
page
85,
which
is
page
87
of
the
pdf
to
table
two,
and
basically
it
takes
all
of
that
information
and
it
digests
it
into.
You
can
now
see
the
individual
rates
by
each
county,
as
well
as
the
total
rate,
so
the
columns
from
left
to
right.
K
You
have
the
two
percent
rate
of
that.
It's
the
state
general
fund
rate,
the
1.7
or
the
0.5
percent,
and
the
1.75
75
bccrt
and
sccrt
that
go
to
the
consolidated
tax
distribution,
the
lsst
that
goes
to
the
state
education
fund
and
those
are
all
of
the
components
that
are
imposed
in
all
17
counties
and
then
so
go
moving
on
to
the
left
or
to
the
right
or
back.
You
have
all
the
local
option
rates.
K
Nrs
374a
is
that
school
capital
improvement
rate
that
is
only
imposed
in
white
pine,
county
377a
or
the
various
purposes
that
are
outlined
in
that
section
of
which
you
can
see
that
there
are
seven
counties
imposing
a
rate
there
377b
or
the
infrastructure
rates
that
can
be
imposed
by
ordinance
in
counties,
and
you
can
see
that
at
a
rate
of
of
that
magnitude,
or
for
under
that
authority
is
being
imposed
in
11
of
the
17
counties.
K
377D
is
the
rate
that
was
authorized
by
the
legislature
in
2019,
for
the
various
purposes
of
which
clark
county
is
the
only
one
imposing
that
rate
at
the
the
0.125
percent
that
you
can
see
there
nrs
chapter
543
is
the
flood
control
rate.
That
in
statute
is
only
given
to
the
authorities
only
given
to
clark
county
or
accounting,
his
population,
700,
000
or
more,
and
so
you
can
see.
Clark
county
is
the
only
one
that
is
listed
there
and
then
special
acts
or
voter
approved.
K
If
the
legislature
passes
a
special
act
that
allows
one
or
more
counties
to
impose
a
rate,
that's
listed
there
and
you
can
see.
Seven
of
them
are
there
and
then
that
adds
up
to
the
total
rate,
and
you
can
see
on
this
table
that
13
of
the
17
counties
have
a
rate
that
is
higher
than
the
statewide
mandated
rate
of
6.85
esmerelda.
Eureka,
humboldt
and
mineral
counties
are
the
only
counties
that
are
not
imposing
a
local
option.
K
So
moving
on
the
next
page
basically
takes
all
that
information
from
table
two
and
puts
it
into
a
a
a
chart.
So
you
can
see
the
components
and
then
how
they
all
add
up
to
the
total
rates,
and
I
won't
go
through
that
because
it's
basically
just
taking
the
information
in
the
previous
table
and
re-um
displaying
it
in
a
different
form
on
table
3
on
page
87
of
the
packet.
K
These
are
a
list
of
local
sales
and
use
tax
rates
that
are
authorized
or
codified
under
current
law,
but
that
are
not
currently
being
imposed
and
I'm
not
going
to
spend
too
much
time
on
it.
Just
to
let
you
know
that
this
information
is
there
with
respect
to
the
first
two.
It's
a
case
of
the
voters
have
to
approve
these
particular
rates
and
no
county
has
ever
imposed
either
of
these
rates.
K
Any
county
whose
population
is
less
than
700
000
has
the
authority
to
impose
this
rate
up
until
september
30th
of
2029,
effective
october
1st
2029,
though
the
authority
for
all
counties
except
the
county
whose
population
is
between
100
000
and
700
000
goes
away
so
effective
up
to
on
that
date
october,
1st
2029
only
washoe
county
could
impose
this
rate,
but
in
any
event,
none
of
the
16
counties
that
could
impose
this.
Rape
are
the
next
one.
K
Underneath
that
nrs
377c
point
100
came
out
of
legislation
approved
during
the
2013
session
that
gave
the
authority
to
a
county
whose
population
is
between
100
000
and
700
000,
I,
in
other
words
washoe
county,
could
impose
a
rate
of
up
to
0.25
percent
for
school
district
capital
projects.
K
As
long
as
the
ordinance
that
was
adopting
or
imposing
the
rate
was
adopted
by
their
board
of
county
commissioners
by
january
1st
2014
and
had
to
be
approved
by
a
two-thirds
majority
vote,
that
did
not
occur
so
the
statutory
citation,
nrs
377c
point
100
is
there.
K
But
at
this
point
no
county
can
impose
the
rate,
because
no
county
can
meet
the
criteria
within
that
section
and
then
the
last
one
is
the
elko
county
hospital
tax
act,
and
this
came
out
of
the
1997
session
that
the
elko
county
board
of
commissioners
could
enact
an
ordinance
imposing
a
rate
of
up
to
one
percent
for
the
construction
of
a
county
hospital.
With
voter
approval.
K
The
county
commission
submitted
a
question
to
the
voters
at
a
special
election
in
1998
and
that
failed.
So,
as
a
result,
the
tax
was
never
imposed.
The
authority
for
elko
county
to
impose
the
rate
is
there.
They
would
just
need
voter
approval
to
do
so,
and
with
that
I
would
glad
to
answer
any
questions,
because
that
is
all
I
had
for
agenda
items.
A
Thank
you
for
that
and
and
members
I
I
I
know
that
when
you
see
all
these
tables
it's
a
lot,
but
it's
it's
a
really
good.
I
won't
even
call
it
a
cheat
sheet.
It's
one
of
those,
it's
one
of
those
tables
for
me
that
when
I
sit
in
other
committees
and
people
start
talking
about
what
they're
spending
money
on
what
they
need
money
for.
A
It's
like
that
list
runs
through
my
mind
and
I'm
thinking
like
okay,
but
you
have
this
money
for
this
in
your
local
jurisdiction.
So
what
are
you
using
that
for
what
is
it
dedicated
for?
And
I
think
it
also
will
help
frame
your
frame,
your
questions
in
a
different
way
when
folks
put
out
their
needs
because
they
should
be
giving
you
the
pie
of
the
services
and
they
should
be
giving
you
a
pie
of
their
revenue
streams
and
what
they're
going
towards.
A
And
now,
when
you
see
these
tax
calculations,
you
get
a
chance
to
kind
of
have
a
deeper
insight
on
the
local
revenue
option,
taxes
that
they
are
using
and
you
just
and
I
think
it
will
help
you
guys
in
the
future
to
say
you
know.
I
really
want
to
know
about
that.
2020
school
education,
money,
that's
going
to
clark
county
in
addition
to
the
general
fund.
What
are
you
doing
with
it?
Who
is
it
going
to?
A
H
Thank
you,
chair
neal,
so
my
question-
and
I
don't
know
if
it's
on
here
and
maybe
I
missed
it,
but
I
was
just
looking
at
the
very
last
slide
you
went
over
and
it
talks
about
some
of
these
supplemental
taxes
that
and
there's
the
column
at
the
end.
That
says
voter
approval
required,
and
so
my
question
was:
do
we
have
a
rundown
of
you
know?
Statewide
would
be
easy,
but
local
jurisdictions
who
have
tried
to
enact
local
taxes
and
put
it
in
front
of
their
voters.
H
I'm
just
curious
to
know
because
I
think
the
last
few
we've
heard
about
with
the
exception
of
the
washoe
county
school
and
perhaps
the
fuel
revenue
indexing.
I
think
everything
else
is
sort
of
in
no.
So
I'm
just
curious
to
know
that
if
we
have
that
at
some
point
because
you
know
to
cheer
neal's
point,
sometimes
we
get
asked
to
fund
things
on
the
state
level
and
it's
like
well,
you
have
the
ability
on
the
local
level
to
do
it,
but
then
the
local
voters
don't
want
it
and
vote
it
down.
H
So
it
leaves
us,
I
think,
in
a
pretty
unique
position.
Maybe
an
unenviable
position
at
the
state
level
to
decide
how
to
how
to
deal
with
that.
So
that
was
kind
of
my
question.
If
we
had
a
rundown
or
could
get
a
rundown
at
some
point
of
just
local
efforts,
when
voters
were
involved
in
whether
those
efforts
were
fruitful
or
not,.
K
Assemblyman
yeager
michael
nakamoto,
for
the
record.
That
is
something
we
have
not
necessarily
compiled
you've,
given
a
couple
of
examples
where
we
become
acutely
aware
of
them.
The
fuel
tax
indexing
and
some
sales
tax
questions
are
the
ones
that
immediately
come
to
mind,
but
I
don't
know
if
we
have
a
comprehensive
list
of
ballot
questions
that
have
texts,
questions
or
tax
implications
that
we
have
ever
compiled.
A
Okay
sing.
None
then
we'll
move
to
seven.
A
K
K
Okay,
so
on
you
can
see
on
table
one
for
this
agenda
item
the
overview
of
liquor
tax
rates
imposed
under
current
law
in
nevada.
We
tried
to
make
it
look
similar
to
the
sales
and
news
tax
at
sales
and
use
tax
rates,
because
that
was
actually
our
starting
point.
We
decided,
while
we
were
putting
information
together
for
the
last
meeting
relating
to
liquor
taxes,
we
would
use
a
similar
format.
K
We
just
have
fewer
columns
and
this
is
actually
a
far
shorter
table.
We
start
with
the
because
we
get
rid
of
the
area
in
which
the
rate
is
imposed
because
all
of
the
liquor
taxes
that
we're
talking
about
under
chapter
369
are
statewide
rates.
So
you
get
rid
of
that
area
where
it's
imposed,
they're
all
statewide,
but
we
have
a
purpose.
We
have
the
current
rate
imposed.
K
We
have
the
statutory
authority
which
are
all
in
chapter
369..
The
data
rate
was
first
imposed
and
again
this
is
when
the
rate
was
first
put
into
place.
It's
not
necessarily
that
current
rate
and
then
the
fy
21
actual
collections
again.
This
is
either
information
that
we
have
gotten
from
the
department
of
taxation
or
that
we've
gotten
from
the
controllers
on
this.
So
the
first
one,
the
first
block
that
you
can
see
there
is
the
total
state
general
fund.
K
Since
the
bulk
of
liquor,
tax
revenue
goes
to
the
state
general
fund.
The
department
of
taxation
does
not
report
the
collections
by
liquor
type,
but
they
impose
it's
aggregated,
and
so
they
report
it
as
a
total.
So
so
you
can
see
from
this
line.
It's
the
revenue
that
goes
to
the
state
general
fund.
K
K
Again
with
it
beginning
on
july,
1st
1945.,
the
next
category
is
liquor
containing
more
than
0.5
up
to
and
including
14
alcohol
by
volume,
which
is
taxed
at
a
rate
of
70
cents
per
wine
gallon
or
proportionate
part
thereof.
And
this
is
under
a
subsection
three
of
369.330.
K
Then
you
have
liquor
containing
more
than
14
up
to
and
including
22
alcohol
by
volume,
which
we
will
refer
to
as
cordials
as
we're
going
forward
that
is
taxed
at
a
rate
of
a
dollar
30
per
wine
gallon
or
proportion
apart
thereof,
pursuant
to
subsection
2
of
nrs
369.330
and
then
finally,
we
have
liquor
containing
more
than
22
alcohol
by
volume
that
we
also
call
hardware,
and
you
can
see
three
separate
rates
there.
K
The
total
rate
is
three
dollars
and
sixty
cents
per
wine
gallon
or
proportionate
part
thereof,
but
it's
broken
out
with
one
portion
of
two
dollars
and
ninety
five
cents
per
wine
gallon
or
proportionate
part
thereof,
going
to
the
state
general
fund,
50
cents
per
wine
gallon
or
proportionate
part
thereof,
going
to
the
local
government.
Tax
distribution
account
otherwise
known
as
the
sea,
tax
cities,
counties
and
other
districts
get
a
cut
of
liquor.
K
Tax
revenue
from
this
category
of
liquor
through
the
sea
tax
and
then
the
tax
on
liquor
program
account
is
a
funding
source
for
the
department
of
health
and
human
services.
I
believe
it's
the
division
of
public
and
behavioral
health
or
for
funding
of
alcohol
treatment
programs
and
the
like
they
get
15
cents
per
wine,
gallon
or
proportion
of
part
thereof,
and
that
part
of
the
tax
went
into
place
in
1981
with
the
local
portion
even
before
it
went
to
the
the
sea
tax
going
into
effect
in
1969..
K
So
on.
The
the
next
page
are
notes
that
kind
of
go
through
the
overview
and
the
history
of
the
liquor
tax,
and
you
can
see
that
on
the
following
page
as
well.
On
page
92
of
the
of
the
packet,
you
have
table
two,
which
is
an
overview
of
the
liquor
tax
rates
by
component
liquor
type,
and
it's
basically
taking
that
information
and
putting
it
together.
So
you
can
see
the
total
rate
by
liquor
type.
K
So
you
have
malt
beverages,
beer
at
16
cents,
the
0.5
up
to
14
alcohol
by
volume,
the
wine
component
at
70
cents,
the
over
14
up
to
22,
the
cordials
at
a
dollar
30
and
then
the
over
22
on
the
hard
liquor
at
3
and
60
cents,
because
you
have
the
295
portion
of
the
50
cents
and
then
the
15
cents.
To
add
up
to
that
3.60
on
the
next
page.
Is
we've
graphed
it
in
the
same
way?
K
So
you
can
see
that
this
one's
a
little
more
straightforward
than
the
sales
tax,
one
where
you
had
all
the
different
components
that
could
put
in
or
to
be
put
in
and
again,
you
can
see
that
the
only
one
that
is
affected
by
multiple
components
is
the
hard
liquor
category
on
the
far
right
table.
Three
is
taking
all
of
the
tax
rate
changes
that
have
happened
on
this
per
gallon
structure
for
liquor,
since
this
tax
was
put
into
place
and
it's
information
that's
contained
in
the
notes
for
table
one.
K
But
we
decided
to
pull
that
out
and
kind
of
show
what
the
evolution
of
this
particular
tax
has
been.
If
you
will,
the
legislature,
during
the
1945
session,
created
the
the
current
system
for
how
we
tax
liquor
in
nevada
in
assembly
bill
178,
and
so
you
can
see
there
that
all
of
the
proceeds
went
to
the
state
general
fund,
the
malt
beverages
or
beer
were
originally
taxed
at
a
rate
of
three
cents
per
gallon.
K
The
the
wine
category
that
up
to
14
percent
was
taxed
at
a
rate
of
15
cents
per
gallon,
but
one
of
the
things
that
you've
noticed
under
the
tax
basis
for
this
particular
liquor
type
is
that
originally,
when
the
this
tax
was
put
into
place,
the
tax
was
only
this
15.
Ten
per
gallon
tax
was
only
on
liquor
between
eight
and
fourteen
percent
alcohol
by
volume.
K
So
for
the
next
category,
fourteen
percent
of
twenty
two
percent,
the
cordials-
it
was
originally
taxed
at
a
rate
of
25
cents
and
then
the
over
22
percent.
The
hard
liquor
was
at
a
rate
of
60
cents.
In
the
next
session,
the
legislature
came
back
in
assembly,
bill
151
and
made
that
change
to
the
wine
category.
That
one
was
originally
at
8
to
14
alcohol
by
volume
changed
that
to
0.5
to
14
at
the
what
it
is
today
and
maintained
that
rate
of
15
cents.
K
The
first
change
to
the
rates
occurred
in
1961
in
senate,
bill
201
and
so
effective.
May,
1st
of
1961
the
rates
increased
and,
in
all
cases
or
in
three
of
the
four
cases
they
doubled.
Malt
beverages,
beer
went
from
three
cents
to
six
cents.
Wine
went
from
15
cents
to
30
cents,
cordials
went
from
25
cents
to
50
cents,
the
only
one
that
more
than
doubled
was
the
hard
liquor
category
that
went
from
60
cents
to
a
dollar
40..
K
The
next
call
our
row
you
can
see.
There
is
sb
439
of
the
1969
session,
which
created
that
50
cent
tax
rate
for
local
governments
that
you
still
see
today.
That
rate
has
never
changed.
The
distribution
has
changed.
K
Sb
439
originally
said
that
if
the
the
distribution
of
this
particular
portion
of
the
tax
to
a
county
and
the
cities
within
the
county
depended
on
how
many
incorporated
cities
were
within
the
county,
so
if
you
have
a
county
that
has
no
incorporated
cities
which
includes
carson
city,
the
county
or
carson
city
in
that
instance
got
all
of
the
proceeds.
K
But
if
it
is
a
county
with
two
or
more
cities,
then
the
cities
would
share
the
revenue
from
this
rate
and
the
county
would
get
none
of
the
revenue,
and
this
is
how
the
distribution
of
this
tax
worked
until
the
sea
tax
was
put
into
place
during
the
1997
session.
The
next
change
you
can
see
there
was
assembly
bill
247
from
the
1981
session,
which
increased
the
the
hard
liquor
from
the
dollar
90
to
205.
To
add
that
15
cents
that
went
into
what
was
known
as
the
alcohol
and
drug
abuse
account.
K
That
is
the
account
that
is
now
known
as
the
tax
on
liquor
program
account,
that
was,
that
is
now
administered
by
dpbh.
The
next
rate
changed
the
rates
for
all
of
the
categories,
except
for
hard
liquor
occurred.
During
the
1983
session,
where
malt
beverages
were
increased
from
six
cents
to
nine
cents,
wine
was
increased
from
30
cents
to
40
cents.
K
The
cordials
category
was
increased
from
50
cents
to
75
cents,
and
those
are
the
rates
that
remained
until
the
2003
special
session.
It
was
senate
bill
8
of
the
20th
special
session
that
said
that
effective
august
1st
of
2003,
the
current
rates.
What
we
have
in
statute
today
is
are
the
rates
that
are
imposed,
and
so
I
think
one
of
the
things
that
I
would
point
out
with
this
particular
table
is
that
we
you've
seen
these
shifts
in
the
tax
rates.
K
the
next
one
took
22
years
from
1961
to
1983,
and
then
the
third
one
took
20
years
from
august
or
from
1983
to
2003
to
get
the
rates
that
we
have
today
and
then
the
last
table
table
four
is
an
example
of
there's
a
single
liquor,
tax
rate
that
is
codified
under
current
law,
but
that's
not
being
currently
authorized
or
imposed,
and
this
is
in
nrs
369.333.
K
That
said
that
any
liquor
containing
more
than
22
percent
of
alcohol
by
volume
that's
imported
into
the
state
after
july.
First
1965
has
an
additional
tax
of
1.50
per
wine
gallon
that
will
be
put
on
it,
but
only
if
the
federal
gallonage
tax
that
is
imposed
pursuant
to
section
5001
of
title
26
of
the
united
states
code
reduced
if
that
tax
rate
were
reduced
to
nine
dollars
per
wine
gallon
not
going
to
get
too
much
into
the
story
behind
that,
it's
largely
in
the
notes
there.
I
can
answer
questions
about
it.
K
Suffice
it
to
say,
though,
the
federal
government
did
not
reduce
that
rate
to
nine
dollars.
In
fact,
since
then,
they
have
only
increased
the
rate.
Therefore,
this
statutory
authority
for
this
rate
exists,
but
the
rate
has
never
been
imposed
and
barring
some
sort
of
drastic
reduction
to
the
federal
rate
it
will
not
be
imposed.
K
Moving
forward
to
page
97
is
some
information
similar
to
the
information
that
mr
gindin
put
together
on
cannabis
tax
collections.
We've
done
something
similar
for
liquor,
tax
collections
going,
but
this
time,
because
this
tax
has
been
imposed
for
far
longer.
We
just
put
information
together
by
fiscal
year,
so
you
can
see
the
total
liquor
tax
collections,
and
this
is
all
of
the
rates.
K
So
it's
the
the
sea
tax
portion,
the
tax
on
liquor
program,
account
portion
and
the
state
general
fund
portions
rolled
together,
and
so
you
can
see
the
change
in
the
rate
as
well
as
information
on
the
effective
tax
rate
per
gallon.
You
can
see,
we've
highlighted
fy
2004
here
was
because
you
can
see
that
the
the
collections
and
the
effective
rate
per
gallon
drastically
jumped
and
again
that
was
as
a
result
of
the
tax
changes
that
were
approved
during
the
special
session
of
the
20th
special
session
in
july
of
2003..
K
The
next
column
that
you
can
see
there
is
the
the
portion
that
went
to
the
state
general
fund,
and
so
it's
basically
that
total
less
the
sea
tax
portion
and
the
tax
on
the
program
account
portion
with
the
share
of
the
total
collections.
So
you
can
see
in
fy
2021.
K
The
general
fund
portion
is
just
over
90
of
the
total
and
then
again
the
effective
tax
rate
per
gallon.
That
is
going
to
the
state
general
fund,
and
then
this
the
last
columns
on
this
particular
table
show
the
total
gallons
by
all
liquor
types.
And
so
you
can
see
the
the
tax
collections
that
generated
the
approximately
48.3
million
dollars,
total
or
43.5
million
for
the
general
fund
were
based
on
the
import
of
approximately
91.1
million
gallons
of
liquor
of
all
types
into
the
state
on
table.
K
2
we
break
those
total
gallons
from
those
last
columns
out
by
type,
so
you
can
see
the
the
types
there-
beer,
wine,
cordials
and
hard
liquor
and
how
those
have
changed
over
time.
One
of
the
things
that
you
will
notice
is
that
beer
is
the
predominant
liquor
that
is
imported.
It
makes
up
more
than
three
quarters
of
the
tax
of
the
liquor
gallons
that
are
accounted
for
by
the
department
of
taxation,
but
you
can
also
see
that
that
number
is
declining.
K
It
was
in
the
84
or
they're
about
range
in
the
mid
to
late
90s,
but
has
now
dropped
to
right
around
78
and
a
half
to
closer
to
79
percent
depending
on
the
year,
the
next
category
wine
you
can
see.
That
is
one
of
the
smaller
categories,
or
it's
actually
the
second
largest
category,
but
by
compared
to
beer
it
is
a
considerably
smaller
category,
but
that
this
is
one
that
is
actually
historically
increasing.
K
K
Cordials
is
the
smallest
by
far
making
up
only
about
two
percent,
and
this
is
actually
increasing
from
a
point
where,
during
much
of
the
90s,
it
was
less
than
one
percent
and
then
hard
liquor
kind
of
stays
in
that
constant,
although
it
did
decrease
for
a
while
during
the
2000s,
but
it
started
off
or
it's
at
a
point
that
is
a
little
higher
than
it
was
in
fy
90
and
just
over
8
one
of
the
things
that
the
department
of
taxation
does
not
do.
K
Is
they,
like
I
mentioned
on
table
one
they
from
the
the
rates
themselves?
Is
they
don't
break
out
collections
by
liquor
type
so
table
three
is
basically
taking
the
gallons
and
applying
the
tax
rates
to
that
are
applicable
to
each
category
and
imputing
a
total
amount
of
taxes
that
are
due
and
having
a
total
that
is
there.
This
is
not
going
to
match
the
actual
total
for
a
few
reasons.
K
The
actual
totals
that
are
reported
by
the
department
of
taxation
or
that
are
dedicated
to
the
various
purposes,
will
include
penalties
and
interest
and
things
that
we
don't
account
for
prior
period
collections
and
so
on.
There's
also
a
taxpayer
collection
allowance
that
the
the
taxpayer
is
allowed
to
keep
as
long
as
they
pay
their
taxes
on
time.
For
the
longest
time
this
taxpayer
collection
allowance
was
at
a
rate
of
three
percent,
but
during
2003
special
sessions
it
was
reduced
to
the
current
rate
of
0.5.
K
We
don't
account
for
that
in
here,
because
partially
because
of
that
change,
but
just
to
keep
everything
apples
to
apples,
we're
showing
what
the
imputed
taxes
would
be,
and
basically
what
you
can
see
out
of
this
is
even
though
beer
makes
up
about
80
of
the
gallons,
if
not
more,
they
only
make
up
in
the
neighborhood
of
24
of
the
collections
hard
liquor,
even
though
it's
only
8
of
the
gallons
makes
up
more
than
half
of
the
collections
based
on
this
imputed
calculation
and
that's
a
function
of
the
rates
being
so
different.
K
The
16
cents
for
beer
versus
three
dollars
and
sixty
cents
for
hardware
moving
forward
from
here
are
some
charts
that
are
similar
to
what
mr
ginden
put
together
in
terms
of
some
of
the
information
that's
put
in
those
particular
tables,
so
the
first
is
gallons
by
type.
So
you
can
see
the
blue
line.
K
There
is
beer,
it
is
the
vast
majority
again
of
the
liquor
that
is
imported
into
the
state,
and
then
you
have
wine
hard
liquors,
the
yellow
line,
and
then
cordials
is
that
line
at
the
bottom.
That's
just
barely
seems
to
be
moving.
The
next
one
is
the
share
of
total
gallons.
So
it's
each
category
has
a
portion
of
the
total,
and
you
can
see
again.
K
K
So
beer
is
only
at
around
1.6,
so
there's
about
60
percent,
more
beer
gallons
that
are
being
imported.
Now
that
were
being
imported
in
in
fy90
hard
liquor
is
around
1.8.
K
Wine
is
at
about
two
just
over
two,
but
then
cordials
you
can
see
at
3.8,
but
again,
because
there
are
so
few
cordial
gallons,
as
we
showed
in
the
the
private
in
the
previous
tables.
That's
just
a
function
of
okay,
you
had
a
small
amount,
you're
growing
it,
and
sometimes
when
you
grow
a
small
amount,
it
can
distort
the
the
growth
factors
by
that,
and
so
then
we've
done
the
same
thing
on
this
next
chart.
K
With
with
the
imputed
taxes
due.
This
is
again
taking
the
gallons
times
the
tax
rate
and
again
one
of
the
things
that
you'll
notice.
There
is
the
jump
from
fy
2003
to
fy
2004
because
of
the
growth
or
the
increase
in
the
rates
that
was
approved
during
the
20th
special
session.
K
And
then
the
next
chart
is
the
share
of
imputed
total
taxes
due
by
the
type
of
liquor
tax
category,
and
these
again
are
going
to
mirror
the
the
actual
collections
in
some
sets.
Since
you
have
the
predominant
amount
of
the
collections
coming
from
hard
liquor
followed
by
beer,
then
wine
and
then
cordials
down
at
the
bottom
that
gets
to
close
to
five
percent
and
then
the
imputed
total
taxes
due
there's
indexed
to
fy
90.
K
With
that
again,
the
big
jump
in
the
imputed
taxes,
due
due
to
the
tax
increases
from
2003
going
into
fy
2004
and
then
finally,
you
have
on
chart
seven,
the
share
of
total,
actual
gallons
and
the
share
of
total
imputed
tax
gallons.
So
it's
taking
some
of
the
information
from
the
previous
charts
and
putting
them
together.
So
you
can
see
how
all
of
these
interact
and
move
with
each
other,
and
that
is
the
end
of
this
particular
agenda
item
and
all
the
information
that
I
had
for
it.
G
I
have
so
many,
but
I'll
just
I'll
make
I
might
be
setting
up
some
meetings
offline
as
well.
Just
very
quickly,
though,
with
the
different
levels
of
alcohol
of
the
different
taxations.
G
Has
there
ever
been
any
discussion
about
having
them
all
in
the
same
classification,
or
is
this
something
that
is
utilized
across
the
nation
to
have
the
different
levels,
and
also
it's
done
at
the
gallon
level,
as
opposed
to
a
different
measurement?
Again?
Is
that
standard
for
the
taxation
across
our
nation
when
it
comes
to
the
alcohol
or
is
this
something
that
is,
as
many
things
are
unique
to
our
lovely
state
of
nevada.
K
Michael
nakamoto,
for
the
record,
my
understanding,
assemblywoman
anderson,
is
a
lot
of
the
taxation
of
liquor
is
an
artifact
of
coming
out
of
prohibition,
and,
since
this
is
something
that
has
been
in
place
since
the
the
1945
session,
I
I
am
led
to
believe
that
that's
kind
of
how
at
least
nevada
got
to
that
point.
I
can't
speak
to
how
other
states
are
taxing
alcohol
specifically.
K
This
is
something
I
don't
know
if
director
hughes
might
be
able
to
answer
that
question
as
kind
of
a
comparison,
but
if
she
can't
that
is
some
information
that
we
can
try
and
get
our
hands
on
for
you.
H
Thank
you,
chair,
neal,
just
a
quick
question,
so
I
notice
in
fiscal
year
2020
we
see
a
bit
of
a
decrease
in
gallons,
I
guess
would
be
gallons
taxed
or
imported
into
the
state,
not
a
huge
decrease,
but
I
just
wondered
if
there
was
a
belief
that
that
was
a
result
of
the
pandemic
and
closures
where
people
weren't
going
out
and
consuming
during
that
time
period
or
do
we
think
something
else
was
going
on
then.
K
Being
your
large
casinos,
your
restaurants,
other
hospitality,
venues
and
establishments
that
would
be
purchasing
and
then
reselling
a
significant
amount
of
liquor
not
being
able
to
do
so
either
because
of
closures
or
because
of
travel
restrictions
or
the
like
that,
had
fewer
fewer
bodies
flat
out
coming
to
nevada
for
tourism
or
for
whatever
purpose.
So
they
just.
We
believe
that
there
was
because
there
was
less
demand
from
those
establishments
that
there
were
needed
to
be
less
liquor.
That
was
imported
to
the.
A
Okay,
thank
you
for
that
and
thank
you
for
presenting
mr
nakamoto.
So
for
everybody's
edification.
We're
gonna,
skip
agenda
item
number,
nine,
we're
going
to
go
to
agenda
item
number
10
and
then
after
agenda
item
number
10
we're
going
to
close
out,
go
to
public
comment
and
then
adjourn,
and
so
we
will
go
to
mr
real,
because
this
was
another
piece
that
we
didn't
get
to.
I
mean,
but
I
have
to
say
this
all
right,
but
you
guys
know
that
I'm
a
like
I'm
a
revenue
junkie.
A
B
Thank
you,
madam
chair,
for
the
record,
joe
real
deputy
physical
analyst,
with
the
physical
analysis,
division
and
I'll
go
ahead
and
share
agenda
item
number
10.,
and
this
begins
on
page
197
of
your
packet
and
page
1.
I'm
sorry
127
of
your
packet
129
of
the
pdf
file.
So
this
is
the
set
of
tables
that
we
use
back
the
fiscal
year,
22
forecast
compared
to
the
actual
collections,
so
starting
with
table
one.
B
This
is
a
summary
which
shows
the
fy
21
actual
collections
for
each
revenue
source
that
we
display
here
and
then
the
fy
22
forecast
here
in
the
center
in
the
tan
color
and
then
on
the
far
right.
We
have
the
percentage
of
the
total
general
fund
that
each
revenue
source
comprises
of
the
total
so
just
to
walk
through
the
information
on
this
first
table
I'll
start
with
the
sales
and
use
tax.
B
So
what
we
showed
next
to
that
is
the
growth
rate
that
was
forecast
by
the
economic
forum
when
they
prepared
their
forecasts
for
fy21.
So
we're
doing
this
so
that
you
can
visually
see
that
the
actual
revenue
came
in
significantly
higher
than
what
the
economic
forum
forecast
for
the
sales
tax
that
we're
looking
at.
B
B
So
as
we
look
at
these
you'll
see
that
the
fy,
the
the
forecast
is
based
on
the
actual
collections
and
you'll,
see
these
growth
rates
and
in
this
case
the
sales
tax,
minus
1.8
and
again
we're
showing
that,
because
the
form
did
not
actually
forecast
minus
1.8
percent
growth,
they
forecast
the
1
billion
301
million
969
000..
So
as
we
look
at
these,
we
show
this
just
to
illustrate
that
the
growth
rates
are
a
product
of
the
actuals
coming
in
higher
or
lower
than
the
original
forecast
for
the
previous
year.
B
That's
what
this
table
is
showing
us
just
for
reference,
the
21,
actuals
22
forecast
and
those
statistics,
and
again
you
have
the
the
percentage
of
the
general
fund.
So
in
terms
of
what
we're
showing.
I
just
want
to
spend
a
little
time
on
this
table
to
show
that
we
have
the
major
general
fund
revenues
which
is
shown
here:
sales
and
use
tax,
gaming
percentage
fees,
insurance
premium
and
so
forth.
So
this
major
block
of
revenues
makes
up
this
approximately.
B
You
know
80
percent
of
the
total
general
fund,
and
then
we
have
the
select,
non-major
or
kind
of
minor
general
fund
revenues
here
in
this
block,
which
makes
up
you
know
just
over
10
percent
of
the
total
revenues,
and
then
we
have,
of
course,
the
all
other
general
fund
category,
which
is
the
remainder
of
the
revenues
that
are
not
shown
specifically
here,
and
then
we
have
the
tax
credits
that
come
off
after
the
gross
revenue.
B
So
these
are
all
shown
as
the
total
gross
revenues,
and
then
we
have
the
tax
credits
that
come
off
of
the
individual
revenues.
Since
we
don't
know
when
the
tax
credits
are
going
to
hit
and
what
revenue
source
is
necessarily
going
to
go
against
we're
not
able
to
allocate
them
to
the
specific
revenues
initially,
and
so
we're
just
documenting
what
those
amounts
are
here.
B
So
moving
to
table
two
within
this
set
page
128
of
the
packet
and
I'll
have
to
move
my
little
window
here.
So
this
is
the
actual
fy
22
collections.
Compare
I'm
sorry.
I
don't
need
to
start
with
the
beginning
here
that
you
have
a
reference
for
the
fy
21
year-to-date,
actual
collections,
the
fy
22
year,
data
actual
collections
and
then
the
fy
22
forecast,
year-to-date
and
so
for
each
revenue
source.
B
We
have
the
year
to
date
through
those
first
six
months
for
the
sales
and
use
tax
and
that
represented
a
6.9
percent
decline
compared
to
fy
2020
and
then
we're
showing
the
percentage
that
this
year-to-date
actual
represents
of
the
full
year.
So
in
fy21,
this
represented
46.8
of
the
total
revenue
collected
for
the
entire
fiscal
year
and
then
we're
showing
similar
information
here
in
fy22.
B
The
yearly
data
actuals
for
sales
tax
are
up
28.6
percent
through
this
first
six
months
and
that
represents
61.3
of
the
total
revenue
that
we
forecast
for
the
year.
When
we
look
at
the
actual,
the
forecast
amount
of
608
million
609
million
rounding.
B
B
So
for
that
major
general
fund
of
revenues,
this
block
that
accounts
for
approximately
80
percent.
You
can
see
that
we're
approximately
598.5
million
dollars
above
the
forecast,
they're
35.3
above
the
forecast,
amount
year-to-date
and
then
looking
at
the
non-major
revenue
categories
again,
each
of
the
individual
non-major
revenues
that
we
have
listed
here.
You
can
see
those
are
up:
51.5
million
over
the
forecast
through
this
six
to
eight
months
and
that's
17.4
percent
above
the
forecast.
B
All
the
other
general
fund
revenues
are
up
the
8.18.5
million
or
19.5
percent,
above
so
in
total
through
this
first
six
to
eight
months
in
the
first
two
quarters
total
general
fund
revenue
is
approximately
668.6
million
dollars
above
the
forecast
or
32.6
percent
higher
than
the
year-to-date
forecast.
That
was
anticipated.
B
So
that's
really
the
manager
of
the
information
that
we
wanted
to
highlight
for
this
particular
meeting
and
just
to
show
the
year-to-date
collections
thus
far
and
really
the
rest
of
the
tables
I'll
briefly
go
through
and
just
explain
what
they
are.
But
this
is
really
the
information
that
we
wanted
to.
A
Okay,
so
I
I
just
want
to
quickly
say
you
know,
don't
put
your
don't
for
the
people,
don't
start
thinking
about
how
you're
going
to
spend
that
extra,
because
you
also
have
to
consider
what
were
the
maintenance
for
buildings.
What
were
the
things
that
we
didn't
fully
fund
in
terms
of
services
that
we
may
still
have
to
think
about?
So
when
you're
thinking,
you
know
we're
cash
flush?
A
The
question
is:
if
we
look
at
the
budget
as
a
whole
did
have
we
covered
all
the
maintenance
like,
for
example,
you
know
department
of
tax.
Still
they
sit
in
a
building
that
they
probably
shouldn't
be
in.
So
you
know,
I
just
want
to
put
that
out
there
and
then
you
can
go
on
mr
rail
and
then
we
could
close
out.
B
Again,
as
I
mentioned,
this
is
showing
before
tax
credits,
the
gross
amount
of
revenue
that
was
forecast
and
collected
thus
far
on
gross
terms,
then
table
three
is
just
sort
of
showing
what's
remaining
to
be
collected
throughout
each
of
the
the
current
fiscal
year
and
then
for
the
prior
fiscal
year.
So
this
is
just
a
way
of
documenting.
What's
left
to
be
collected,
so
just
for
reference
through
fy
22,
we
have
just
less
than
40
percent
of
the
revenues
that
need
to
be
collected
for
this
fiscal
year
to
hit
that
forecast.
B
Whereas
last
fiscal
year
we
needed
more
than
53
of
the
revenues
to
be
collected
in
the
second
sort
of
half
of
the
fiscal
year
to
to
make
the
forecast
tables
four
and
five
are
essentially
kind
of
the
same
reference
as
tables
one
and
two
in
terms
of
this
table.
4
is
showing
the
fy
21
actual
and
fy
22
forecast,
but
it's
showing
the
net
amounts
that
you
would
actually
see
in
the
state
controller
system
for
the
revenues
that
would
actually
be
collected
after
any
allocation
of
tax
credits.
B
So
this
is
just
the
reference
of
what
the
the
tax
credit
can
be
taken
against
the
percentage
fees,
the
insurance
premium
tax
or
the
modified
business
tax.
So
this
just
shows
the
actual
and
forecast
amounts.
If
we
take
into
account
the
credits
that
we
know
will
be
taken
against
those
revenue
sources,
and
then
we
still
have
those
other
credits
that
we
don't
know
where
they're
going
to
land
down
below
to
be
subtracted
afterwards.
So
that's
just
the
full
fiscal
year
forecast
after
tax
credits
table
5
is
the
same
year-to-date.
B
Information
that
we
were
looking
at,
but
the
dollar
amounts
you'll
see
different
from
what's
in
table
2
is
that
the
tax
credits
that
have
been
taken
against
these
revenues
are
reflected
here
and
then
you'll
see
the
same
dollar
difference
in
terms
of
how
the
actual
is
going
against
the
forecast
and
table.
Six
is
just
sort
of
a
ledger
where
you
can
see
the
intimate
details
for
fiscal
year,
21
and
22
forecast,
and
then
the
year-to-date
numbers
for
each
of
the
revenue
sources
that
are
impacted
by
the
tax
credits,
which
are
the
modified
business
tax.
B
On
this
first
section,
the
gaming
percentage
fee
tax
and
the
insurance
premium
tax
on
the
second
part
of
table
six
and
then
the
summary
of
just
what
the
tax
credits
forecasts
and
actuals
are
coming
in
so
far,
you
can
see
that
we've
accounted
for
thus
far
approximately
50
percent
of
all
the
tax
credits
that
are
scheduled
to
be
taken
against
fy
22..
So
that's
the
remainder
of
the
tables
that
are
in
the
packet
and
I'd
be
happy
to
answer
any
questions.
A
Mr
real,
I
have
a
quick
question
before
we
kind
of
wrap
up.
Did
we
do
we
ever
like?
You
know
when
we
go
through
legislative
session
and-
and
you
know,
legislators
have
their
bills
that
are
being
funded
and
some
of
them
are
one-offs.
But
the
whole
goal
of
that
one-off
is
an
individual
member,
is
probably
seeking
to
come
back
the
next
section
session
to
ultimately
get
that
bill
paid
for,
because
now
it's
policy
in
action.
Do
we
ever.
A
Calculate
what
those
potential
one-offs
will
cost
in
the
future
to
determine
like
that
revenue,
impact
and
kind
of
it's
kind
of
like
the
same
way,
how
we
do
tax
credits
like
after
the
tax
credits
are
off
the
books,
like
we
kind
of
we
kind
of
set
aside
this
money
with
the
potential
idea
that
this
is
probably
going
to
be
how
much
it
costs.
But
do
we
do
that
with
one
offs?
So
we
know
okay.
A
I
Madam
chair,
this
is
russell
and
in
fiscal
years
and
if
it's
okay,
I'll
just
try
and
address
that
one,
I
I
think
I
understand
your
concept
used
to
the
term
one
off
now.
I
just
want
to
be
careful
that
in
our
parlance
we
sort
of
use
well,
it's
clearly
a
one
shot,
meaning
in
a
sense
the
legislature
making
a
decision
to
appropriate
money.
I
For
that
thing
now
could
could
it
come
back
and
be
more
than
a
one
and
done
in
the
next
session,
but
generally
well
we're
appropriating
the
money
and
then
we're
saying
you
use
that
money
and
then,
if
you
don't
use
it
all,
it
reverts
back
versus.
I
think
what
you
might
referring
to
well.
We
could
have
a
program
which
we're
appropriating
money
say
for
only
this
biennium
and
there's
some
suspicion
that
it
might
be
an
ongoing
thing
that
and
then
you're
going
to
be
back
the
next
session
and
having
to
address
it.
I
I
But
again,
the
bottom
line
is
that
we're
in
a
budget
process
right
where
the
governor
comes
in
and
recommends
a
budget
to
the
legislature
for
the
next
biennium
and
then
the
legislature
is
approving
a
budget
for
the
next
biennium,
and
so
that's
really
the
budget
cycle.
But
it's
I
don't.
I
don't
want
to
imply
or
indicate
that
those
types
of
things
that
you're
referring
to
aren't
taken
into
consideration
when
we're
looking
at
proposals
in
terms
of
what
they
could
mean
and
but
also
within
the
program
right.
I
You
have
to
go
well
clearly
there
could
be
startup
costs,
so
those
one-time
cost
within
a
program.
There
can
be
one-time
costs
that
are
right
to
get
the
program
up
and
running
and
then
the
filter
out
of
the.
What?
What
are
the
ongoing
costs?
For
instance,
say
you
could
say
you
need
five
million
dollars,
but
when
you're
looking
at
it
well,
four
million
of
that
is
one
to
get
the
program
up
and
running,
and
then
one
million
is
potentially
the
sustainable
ongoing,
but
then
because
of
inflation
or
caseload
growth
that
could
grow
in
future
buy-in.
H
Thank
you
chair
this,
hopefully
a
quick
one
obviously
encouraged
by
the
first
six
months,
but
I
heed
the
caution
of
chair
neal
that
we
ought
not
be
spending
that
money
yet.
But
my
question
is
historically
as
a
state
if
we
could
back
out
the
pandemic
years,
because
I
know
those
were
historically
difficult,
but
do
we
tend
to
collect
revenues
evenly
throughout
the
calendar
year
and
really?
The
question
is
we
have
the
first
six
months
of
the
fiscal
year?
H
B
Senator
yeager
again
joe
reel
for
the
record
in
general,
it's
kind
of
50
50..
It's
we're
just
past
half
of
the
fiscal
year
and
looking
at
you
know
the
information
on
table.
Two
we've
collected
60.9
percent
of
our
total
revenue
for
the
year,
so
we've
got
just
40
to
go
looking
at
fy
21
when
it
was
affected
by
the
pandemic.
We
only
had
45.9
percent
of
the
revenue
and
had
more
than
that
to
collect.
So
some
revenues
do
come
in
at
the
end
of
the
year,
and
that
does
affect
things
so
it.
B
I
guess
it's
going
to
vary
from
time
to
time
in
year
to
year,
but
generally
I
wouldn't
expect
a
huge
drop
off
necessarily
in
the
second
half
of
the
year.
I
Madam
chair,
if
I
may
have
just
russell
getting
in
fiscal
announce
division
just
to
add
to
my
colleague
joe
riel's
comments
that
first
solomon
yeagers,
that
I
think
what
you're
asking
is:
okay,
if
we're
a
little
over
halfway
through
and
we're
600
and
some
almost
669
million
dollars
above
the
forecast.
Are
we
sitting
here
thinking
we're
going
to
be
1.2,
1.3
billion
dollars
above
the
forecast
over
by
the
end
of
the
fiscal
year?
I
I
don't
think
so,
because
one
of
the
things
is,
it
gets
very
hard
to
do
the
methodology
that
we
do
in
general,
but
especially
during
business
cycle,
turning
points
to
take
a
fiscal
year
forecast
and
translate
it
into
months
or
quarters,
but
also
the
last
part
of
fy21.
I
That's
when
things
were
starting
to
get
better
the
fin
that
resonated
the
stimulus
money
was
getting
out
there.
In
fact,
remember
march
21
was
our
first
billion
record
gaming
win,
so
we
think
the
comparisons
are
to
get
they're
still
going
to
be
probably
good,
but
they're
not
going
to
be
as
good
over
the
end
of
fy
2022
here
as
they
were
over
the
beginning
of
fy
2022..
I
A
Okay,
so
similar
engager
that
that
does
answer
your
question.
A
All
right
any
additional
questions.
Okay,
so
we
will
agenda
item
number
11..
Basically,
you
guys
have
pretty
much
all
answered
the
poll,
so
I
know
miss
freeman
will
put
out.
I
think
we
have
the
next
two
dates.
It's
gonna
be
pretty
similar
to
kind
of
the
end
of
the
month,
so
that
should
come
out,
probably
this
week
or
next
week,
giving
you
guys
the
dates
for
april
and
may
and
then
we
will
go
ahead
and
move
to
agenda
item
number
12,
which
is
public
comment.
D
A
Okay,
so
thank
you
for
that,
so
we
will
go
ahead
and
adjourn
and
everybody
hopefully
you'll
have
a
really
good
wednesday.