EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

1-1 Section 1. Chapter 356 of NRS is hereby amended by adding thereto

1-2 the provisions set forth as sections 2, 3 and 4 of this act.

1-3 Sec. 2. 1. All money deposited by a county treasurer that is not

1-4 within the limits of insurance provided by an instrumentality of the

1-5 United States must be secured by collateral composed of the following

1-6 types of securities:

1-7 (a) United States treasury notes, bills, bonds or obligations as to which

1-8 the full faith and credit of the United States are pledged for the payment

1-9 of principal and interest, including the guaranteed portions of Small

1-10 Business Administration loans if the full faith and credit of the United

1-11 States is pledged for the payment of the principal and interest;

1-12 (b) Bonds of this state;

1-13 (c) Bonds of a county, municipality or school district within this state;

2-1 (d) Promissory notes secured by first mortgages or first deeds of trust

2-2 which meet the requirements of section 3 of this act;

2-3 (e) Mortgage-backed pass-through securities guaranteed by the

2-4 Federal National Mortgage Association, the Federal Home Loan

2-5 Mortgage Corporation or the Government National Mortgage

2-6 Association;

2-7 (f) Collateralized mortgage obligations or real estate mortgage

2-8 investment conduits that are rated "AAA," "Aaa" or the equivalent by a

2-9 nationally recognized rating service; or

2-10 (g) Instruments in which the county is permitted by NRS 355.170 to

2-11 invest.

2-12 2. Collateral deposited by the depository bank, credit union or

2-13 savings and loan association must be pledged with the county treasurer

2-14 or with a Federal Home Loan Bank, or any insured bank, insured credit

2-15 union or insured savings and loan association, other than the depository

2-16 bank, credit union or savings and loan association, which will accept the

2-17 securities in trust for the purposes of this section.

2-18 3. The fair market value of the deposit of securities as collateral by

2-19 each depository bank, credit union or savings and loan association must

2-20 be at least the amount of the county treasurer’s deposit with the

2-21 depository bank, credit union or association. The fair market value of

2-22 any collateral consisting of promissory notes with first mortgages or first

2-23 deeds of trust shall be deemed to be 75 percent of the unpaid principal of

2-24 the notes.

2-25 4. All securities to be used as such collateral are subject to review by

2-26 the county treasurer and the board of county commissioners. The

2-27 depository bank, credit union or savings and loan association shall

2-28 submit monthly reports to the county treasurer showing the securities

2-29 which constitute the collateral and their fair market value.

2-30 5. The county treasurer or the board of county commissioners may,

2-31 from time to time, require the deposit of additional securities as collateral

2-32 if, in their judgment, the additional securities are necessary to secure the

2-33 county treasurer’s deposit.

2-34 Sec. 3. 1. To be accepted as collateral for a deposit of money by

2-35 the county treasurer, first mortgages or first deeds of trust must be on

2-36 real property that is located in this state and is used for residences of

2-37 single families.

2-38 2. Each such first mortgage or first deed of trust must be

2-39 accompanied by the promissory note that it secures.

2-40 3. No first mortgage or first deed of trust may be accepted for such

2-41 collateral if:

2-42 (a) A payment on the related promissory note is more than 30 days

2-43 past due;

3-1 (b) A prior lien is on the mortgage or deed;

3-2 (c) In the case of a mortgage, an action to foreclose has been

3-3 commenced or, in the case of a deed of trust, a notice of default and

3-4 election to sell has been recorded;

3-5 (d) In the case of a loan which is not insured or guaranteed by the

3-6 Federal Government, the initial amount lent was greater than 80 percent

3-7 of the appraised value of the real property at the time the loan was made;

3-8 (e) The loan has been outstanding for less than 1 year;

3-9 (f) The grantor of the property resides on the property; or

3-10 (g) The loan does not meet the requirements for eligibility of the

3-11 Federal Home Loan Mortgage Corporation, the Federal National

3-12 Mortgage Association or the Government National Mortgage

3-13 Association, although it is not necessary that any of those agencies have

3-14 participated in the loan.

3-15 4. If any collateral consisting of a promissory note with a mortgage

3-16 or deed of trust is found not to meet the requirements of this section, the

3-17 depository bank, credit union or savings and loan association shall

3-18 substitute a note of equal or greater value which does meet the

3-19 requirements.

3-20 5. The financial institution shall assign the pledged mortgages and

3-21 deeds of trust to the depositor and deliver them with their promissory

3-22 notes to the trust company. The assignment must be recorded when the

3-23 financial institution fails to pay any part of the deposit for which the

3-24 security is pledged.

3-25 Sec. 4. 1. If an insured bank, insured credit union or insured

3-42 liquidator thereof from redeeming the securities within a reasonable

4-1 time, as determined by the board of county commissioners, at such a

4-2 price as will repay to the county treasurer the full amount of the deposit

4-3 in the depository.

4-4 Sec. 5. NRS 356.120 is hereby amended to read as follows:

4-5 356.120 With unanimous consent of his bondsmen, a county treasurer

4-14 association in the State of Nevada in demand or time accounts.

4-15 Sec. 6. NRS 356.125 is hereby amended to read as follows:

4-16 356.125 1. All money placed in [any] insured depository banks,

4-26 accept county deposits.

4-27 Sec. 7. NRS 356.140 is hereby amended to read as follows:

4-28 356.140 1. [Such accounts shall] Demand or time accounts

4-36 accounted for by the county as cash.

4-37 Sec. 8. NRS 356.150 is hereby amended to read as follows:

4-38 356.150 All money deposited in [any depository] an insured bank ,

4-43 NRS 356.180,] may be made by the county treasurer except by [a] :

5-1 1. A check or order [which] that has been countersigned by the county

5-2 auditor [.] ; or

5-3 2. The warrant of the county auditor in the manner set forth in NRS

5-4 356.180.

5-5 Sec. 9. NRS 356.160 is hereby amended to read as follows:

5-6 356.160 A warrant of the county auditor [shall be] is a check or order

5-11 payment thereof as provided in NRS 356.180.

5-12 Sec. 10. NRS 356.170 is hereby amended to read as follows:

5-13 356.170 The county treasurer shall keep a register [which shall show]

5-18 consecutively.

5-19 Sec. 11. NRS 356.180 is hereby amended to read as follows:

5-20 356.180 [Whenever any] If a warrant of the county auditor is

5-25 356.170, and countersigns his name thereto as county treasurer.

5-26 Sec. 12. NRS 356.190 is hereby amended to read as follows:

5-27 356.190 1. Where the county treasurer, in accordance with the terms

5-28 and provisions of NRS 356.120 to 356.180, inclusive, and sections 2, 3

5-29 and 4 of this act, has deposited and kept on deposit any public [moneys]

5-30 money in depositories so designated, he [shall not be] :

5-31 (a) Is not liable personally on or upon his official bond for any public

5-32 [moneys] money that may be lost by reason of the failure or insolvency of

5-33 any such depository . [; but the county treasurer shall be]

5-34 (b) Is chargeable with the safekeeping, management and disbursement

5-35 of any bonds [which] that may be deposited with him as security for

5-36 deposits of county [moneys,] money, and with interest thereon, and with

5-37 the proceeds of any sale of such bonds.

5-38 2. The county treasurer may deposit for safekeeping with an insured

5-39 bank, insured credit union, insured savings and loan association or trust

5-40 company within or without this state any securities or bonds pledged with

5-41 him, as county treasurer, as collateral or as security for any purpose, but

5-42 the securities or bonds may only be so deposited by him with the joint

5-43 consent and approval, in writing, of the pledgor thereof and the board of

6-1 county commissioners. Any bonds or securities so deposited by him must

6-2 be deposited under a written deposit agreement between the pledgor and

6-3 the county treasurer, to be held and released only upon a written order of

6-4 the county treasurer that has been approved by the board of county

6-5 commissioners.

6-6 Sec. 13. NRS 356.200 is hereby amended to read as follows:

6-7 356.200 1. With unanimous consent of [their] his bondsmen, a

6-42 court pursuant to NRS 355.210.

7-1 Sec. 14. NRS 268.785 is hereby amended to read as follows:

7-2 268.785 1. After creation of the district, the council shall annually

7-30 city-county relief tax.

7-31 Sec. 15. NRS 268.795 is hereby amended to read as follows:

7-32 268.795 1. After creation of the district, the council shall annually

7-43 next ensuing fiscal year must be apportioned among the individual

8-1 property owners in the district based upon the relative special benefit

8-2 received by each property using an apportionment method approved by the

8-3 city council. On or before April 20 of each year, a notice specifying the

8-4 proposed amount of the assessment for the next ensuing fiscal year must be

8-5 mailed to each property owner. The city council shall hold a public hearing

8-6 concerning the assessments at the same time and place as the hearing on

8-7 the tentative budget. The city council shall levy the assessments after the

8-8 hearing but not later than June 1. The assessments so levied must be paid

8-9 in [quarterly] installments on or before the dates specified for installments

8-10 paid pursuant to subsection 4 of NRS 361.483. Any installment payment

8-11 that is not paid on or before the date on which it is due, together with any

8-12 interest or penalty and the cost of collecting any such amounts, is a lien

8-13 upon the property upon which it is levied equal in priority to a lien for

8-14 general taxes and may be collected in the same manner.

8-15 4. A district is not entitled to receive any distribution of supplemental

8-16 city-county relief tax.

8-17 Sec. 16. NRS 361.4547 is hereby amended to read as follows:

8-18 361.4547 1. [Subsequent to] After the approval of the final budgets

8-43 school district, the school district shall:

9-1 (a) Reduce for the fiscal year the amount levied pursuant to NRS

9-2 387.3285 or 387.3287, or both, if the proceeds of the levy are not already

9-3 committed for debt service, by the amount determined by the department

9-4 to be directly attributable to the school district;

9-5 (b) Transfer to the other local government whose rate overlaps in that

9-6 territory an amount of money, determined by the department to be directly

9-7 attributable to the school district, to reduce the combined rate to the rate

9-8 allowed; or

9-9 (c) Determine and implement a combination of the methods of

9-10 reduction allowed by paragraphs (a) and (b) that will result in the reduction

9-11 of the combined rate by the amount determined by the department to be

9-12 directly attributable to the school district.

9-13 4. If a school district determines that it will proceed pursuant to

9-14 paragraph (b) or (c) of subsection 3, the department shall calculate the

9-15 transfers so as to minimize the total amount transferred, and each local

9-16 government to which a transfer is made shall correspondingly reduce its

9-17 rate and file a revised budget within the time allowed by subsection 6 of

9-18 NRS 361.455. The amounts transferred must be paid in [quarterly]

9-19 installments, within 30 days after each [quarterly] installment of property

9-20 taxes is due.

9-21 Sec. 17. NRS 361.483 is hereby amended to read as follows:

9-22 361.483 1. Except as otherwise provided in subsection 4, taxes

10-1 (c) Any three [quarters] installments of the taxes, together with

10-2 accumulated penalties, on or within 10 days following the day the latest

10-3 [quarter] installment of taxes becomes due, there must be added thereto a

10-4 penalty of 6 percent of the three [quarters] installments due.

10-5 (d) The full amount of the taxes, together with accumulated penalties,

10-6 on or within 10 days following the first Monday of March, there must be

10-7 added thereto a penalty of 7 percent of the full amount of the taxes.

10-8 6. Any person charged with taxes which are a lien on a mobile or

10-9 manufactured home who fails to pay the taxes within 10 days after the

10-10 [quarterly] installment payment is due is subject to the following

10-11 provisions:

10-12 (a) A penalty of 10 percent of the taxes due;

10-13 (b) An additional penalty of $3 per month or any portion thereof, until

10-14 the taxes are paid; and

10-15 (c) The county assessor may proceed under NRS 361.535.

10-16 7. The ex officio tax receiver of a county shall notify each person in

10-17 the county who is subject to a penalty pursuant to this section of the

10-18 provisions of NRS 360.419 and 361.4835.

10-19 Sec. 18. NRS 361.570 is hereby amended to read as follows:

10-20 361.570 1. Pursuant to the notice given as provided in NRS

10-43 treasurer as trustee, and before the owner or his successor redeems the

11-1 property he shall also pay the county treasurer holding the certificate any

11-2 additional taxes assessed and accrued against the property after the date of

11-3 the certificate, together with [the] interest on the taxes at the rate of 10

11-4 percent per annum from the date due until paid.

11-5 5. [The] A county treasurer shall take [certificates] a certificate issued

11-6 to him [under the provisions of] pursuant to this section. The county

11-7 treasurer shall cause the certificate to be recorded in the office of the

11-8 county recorder against each property described in the certificate solely

11-9 to provide constructive notice of the amount of delinquent taxes on each

11-10 property respectively. The recording of the certificate does not constitute

11-11 a lien against any property described in the certificate and does not affect

11-12 the statutory lien for taxes provided in NRS 361.450.

11-13 Sec. 19. NRS 361.575 is hereby amended to read as follows:

11-14 361.575 1. During the time [the] a county treasurer holds

11-27 taxes and costs in full.

11-28 Sec. 20. NRS 361.585 is hereby amended to read as follows:

11-29 361.585 1. When the time allowed by law for the redemption of a

11-43 any property held in trust by him by virtue of any deed made pursuant to

12-1 the provisions of this chapter, any person [or persons] specified in

12-2 subsection 4 is entitled to have [such] the property reconveyed upon

12-3 payment to the county treasurer of an amount equal to the taxes accrued,

12-4 together with any costs, penalties and interest legally chargeable against

12-5 [such] the property. A reconveyance [shall] may not be made after

12-6 expiration of the 90-day period specified in NRS 361.603 or after

12-7 commencement of posting or publication of public notice pursuant to NRS

12-8 361.595.

12-9 4. Property may be reconveyed pursuant to subsection 3 to one or

12-10 more of the persons specified in the following categories, or to one or more

12-11 persons within a particular category, as their interests may appear of

12-12 record:

12-13 (a) The owner.

12-14 (b) The beneficiary under a deed of trust.

12-15 (c) The mortgagee under a mortgage.

12-16 (d) The person to whom the property was assessed.

12-17 (e) The person holding a contract to purchase the property before its

12-18 conveyance to the county treasurer.

12-19 (f) The successor in interest of any person specified in this subsection.

12-20 5. The provisions of this section apply to land held in trust by a county

12-21 treasurer on or after April 17, 1971.

12-22 Sec. 21. NRS 361.590 is hereby amended to read as follows:

12-23 361.590 1. If [the] a property described in a certificate is not

13-1 (g) The person who executed the deed was the proper officer.

13-2 [(h) Where the real estate was sold to pay taxes on personal property,

13-3 the real estate belonged to the person liable to pay the tax.]

13-4 4. Such deeds are , [(] except as against actual fraud , [)] conclusive

13-5 evidence of the regularity of all other proceedings, from the assessment by

13-6 the county assessor [up] to the execution of the deed.

13-7 5. The deed conveys to the county treasurer as trustee for the state and

13-8 county the property described therein, free of all encumbrances, except any

13-9 easements of record for public utility purposes, any lien for [any] taxes or

13-10 assessments by any irrigation or other district for irrigation or other district

13-11 purposes, and any interest and penalties on the property, except when the

13-12 land is owned by the United States or this state, in which case it is prima

13-13 facie evidence of the right of possession accrued as of the date of the deed

13-14 to the purchaser, but without prejudice to the lien for other taxes or

13-15 assessments or the claim of any such district for interest or penalties.

13-16 6. No tax assessed upon any property, or sale therefor, may be held

13-17 invalid by any court of this state on account of:

13-18 (a) Any irregularity in any assessment;

13-19 (b) Any assessment or tax roll not having been made or proceeding had

13-20 within the time required by law; or

13-21 (c) Any other irregularity, informality, omission, mistake or want of any

13-22 matter of form or substance in any proceedings which the legislature might

13-23 have dispensed with in the first place if it had seen fit so to do, and that

13-24 does not affect the substantial property rights of persons whose property is

13-25 taxed.

13-26 All such proceedings in assessing and levying taxes, and in the sale and

13-27 conveyance therefor, must be presumed by all the courts of this state to be

13-28 legal until the contrary is shown affirmatively.

13-29 Sec. 22. NRS 361.595 is hereby amended to read as follows:

13-30 361.595 1. Any property held in trust by any county treasurer by

14-1 (a) Posted in at least three public places in the county, including one at

14-2 the courthouse and one on the property, not less than 20 days before the

14-3 day of sale or, in lieu of such a posting, by publication of the notice for 20

14-4 days in some newspaper published within the county, if the board of

14-5 county commissioners so directs.

14-6 (b) Mailed by certified mail, return receipt requested, not less than 90

14-7 days before the sale, to the owner of the parcel as shown on the tax roll and

14-8 to any person or governmental entity that appears in the records of the

14-9 county to have a lien or other interest in the property. If the receipt is

14-10 returned unsigned, the county treasurer must make a reasonable attempt to

14-11 locate and notify the owner or other person or governmental entity before

14-12 the sale.

14-13 4. Upon compliance with such an order the county treasurer shall

14-14 make, execute and deliver to any purchaser, upon payment to him, as

14-15 trustee, of a consideration not less than that specified in the order, an

14-16 absolute deed, discharged of any trust of the property mentioned in the

14-17 order.

14-18 5. Before delivering any such deed, the county treasurer shall record

14-19 the deed at the expense of the purchaser.

14-20 6. All such deeds, whether issued before, on or after July 1, 1955, are

14-21 primary evidence [of] :

14-22 (a) Of the regularity of all proceedings relating to the order of the board

14-23 of county commissioners, the notice of sale and the sale of the property [,

14-24 but no] ; and

14-25 (b) That, if the real property was sold to pay taxes on personal

14-26 property, the real property belonged to the person liable to pay the tax.

14-27 7. No such deed may be executed and delivered by the county

14-28 treasurer until he files at the expense of the purchaser, with the clerk of the

14-29 board of county commissioners, proper affidavits of posting and of

14-30 publication of the notice of sale, as the case may be, together with his

14-31 return of sale, verified, showing compliance with the order of the board of

14-32 county commissioners, which constitutes primary evidence of the facts

14-33 recited therein.

14-34 [7.] 8. If the deed when regularly issued is not recorded in the office of

14-35 the county recorder, the deed, and all proceedings relating thereto, is void

14-36 as against any subsequent purchaser in good faith and for a valuable

14-37 consideration of the same property, or any portion thereof, when his own

14-38 conveyance is first recorded.

14-39 [8.] 9. The board of county commissioners shall provide its clerk with

14-40 a record book in which must be indexed the name of each purchaser,

14-41 together with the date of sale, a description of the property sold, a

14-42 reference

15-1 to the book and page of the minutes of the board of county commissioners

15-2 where the order of sale is recorded, and the file number of the affidavits

15-3 and return.

15-4 Sec. 23. NRS 361.770 is hereby amended to read as follows:

15-5 361.770 1. If newly constructed real property is not assessed on the

15-21 be brought for the period covered by the receipt.

15-22 Sec. 24. NRS 474.510 is hereby amended to read as follows:

15-23 474.510 1. The board of fire commissioners shall prepare a budget

16-1 4. If levied, the tax must be entered upon the assessment roll and

16-2 collected in the same manner as state and county taxes. Taxes may be paid

16-3 in four approximately equal installments at the times specified in NRS

16-4 361.483 and the same penalties as specified in NRS 361.483 must be

16-5 added for failure to pay the taxes.

16-6 5. For the purposes of NRS 474.460 to 474.550, inclusive, the county

16-7 treasurer shall keep two separate funds for each district, one to be known

16-8 as the district fire protection operating fund and one to be known as the

16-9 district fire emergency fund. The sums collected to defray the expenses of

16-10 any district organized pursuant to NRS 474.460 must be deposited in the

16-11 district fire protection operating fund, and the sums collected to meet

16-12 unforeseen emergencies must be deposited in the district fire emergency

16-13 fund. The district fire emergency fund must be used solely for emergencies

16-14 and must not be used for regular operating expenses and must not exceed

16-15 the sum of $50,000.