In Nevada, Tech Companies Could Soon Establish Their Own Local Governments

Large tech companies would have the ability to effectively create their own governments under legislation expected to be proposed in the Nevada State Legislature.

The Las Vegas Review-Journal has obtained a copy of draft language on so-called “Innovation Zones.” The idea was first articulated by Gov. Steve Sisolak in his State of the State address last month.

These zones would first operate under the jurisdiction of the county in which they are located. But eventually, the tech companies could form their own three-member Board of Supervisors. They would have the power to tax, to form school districts, and to offer a range of other services typically provided by local governments.

The existing local government model is “inadequate alone to provide the flexibility and resources conducive to making the State a leader in attracting and retaining new forms and types of businesses in fostering economic development in emerging technologies and innovative industries,” the draft proposal says.

Blockchains, LLC has already expressed a desire to establish its own “smart city” in Nevada and would likely be among the first if legislation is approved.