Bill to regulate pool builders vetoed

Friday, July 18, 1997 | 10:23 a.m.

The bill giving homeowners more control over their association boards was one of the measures the governor recently signed into law.

But Miller vetoed the bill that would have regulated pool and spa builders, saying the measure could backfire.

"Instead of helping Nevada's consumers, it may reduce the number of pool and spa contractors, thereby reducing consumer choice and undermining healthy competition," Miller said in his veto message.

"The installment payment plan mandated by this legislation places onerous financial demands on pool and spa contractors that could threaten their viability by forcing them to assume an unreasonable level of financial risk," he said.

Miller said he opposed the over regulation in the bill, calling it excessive interference in commerce.

The veto comes in the wake of two Las Vegas pool companies going out of business in the past two years, leaving customers without pools or the money they paid to contractors.

The bill was sponsored by Assemblyman John Lee, D-Las Vegas, who said concern over failures of a few Las Vegas pool companies was hurting the construction industry.

But Lou Toomin, a Las Vegas pool contractor and proponent of the bill, was unhappy with the veto.

"This is a terrible, terrible blow to the consumers of Nevada," he said. "This was a good consumer bill. Consumer law is almost nil in this state. It was also a good bill to clean up problems in the industry."

Toomin, secretary-treasurer of Monterey Pools and a former assemblyman, said he was "shocked and flabbergasted" at Miller's decision.

The Legislature will decide in 1999 whether to override the veto.

Proponents of the regulation of homeowners association boards had reason to celebrate, however, with Miller's signing of the bill authored by Sen. Mike Schneider, D-Las Vegas.

The law mandates the creation of an ombudsman's office within the state Real Estate Division to resolve disputes between residents and boards.

The law also precludes the boards from foreclosing on members who violate minor rules, and prohibits their use of eminent domain to take private property.