The Homeowner Protections Act, AB125, is one step closer to becoming law as it passed the Nevada State Senate Friday. It will now be sent to Governor Brian Sandoval’s desk for signature.
The state Senate approved AB125, a comprehensive construction defect reform bill, by an 11-8 margin, with two Senators excused from the vote. The vote was held after a spirited debate on the Senate floor. Opponents of AB125 had proposed an amendment to the bill, which fell to defeat, also by an 11-8 margin.
Senate passage means the bill now needs only to be signed by Governor Sandoval to become law. The governor specifically mentioned construction defect reform as one of his policy priorities during his State of the State speech in January.
The Homeowner Protections Act contains a comprehensive set of reforms to Nevada’s Chapter 40 construction defect laws. The provisions of AB125 take effect immediately upon final passage.
AB125 completely incorporated the language of AB1, an indemnity reform proposal the NSA worked to help craft with homebuilders and a bipartisan group of legislators in the interim since the last legislative session. It also includes a number of other reforms to Chapter 40 that had received bipartisan support in prior sessions but that had not achieved passage.
The bill was introduced in the Nevada State Assembly and referred to the Assembly Committee on Judiciary during the first week of the 2015 Legislature.
The Assembly and Senate Judiciary committees held a joint hearing last week that heard more than two hours of testimony on AB125. More than a dozen people testified in favor of AB125 during this hearing with just one offering opposition.
During this joint committee meeting, the hearing room at the Legislature in Carson City was filled to capacity and a videoconferencing room in Las Vegas was standing room only with some people directed to an overflow room in the building. A total of just two of the hearing room attendees in the north and south signed in as opposing the measure.
During the floor session in which the full Assembly voted on AB125, opponents of the bill presented a long series of questions to supporters. Following the discussion on the floor, AB125 passed the Assembly on a 25-17 vote.