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. Section 21 of Chapter 506, Statutes of Nevada 1997, as

1-4 Sec. 21. 1. In a county whose population is 100,000 or more

1-9 of transient lodging throughout the district.

2-1 2. A tax imposed pursuant to this section may be imposed in

2-2 addition to all other taxes imposed on the revenue from the rental of

2-3 transient lodging.

2-4 3. Collection of the tax imposed pursuant to this section must

2-5 not commence earlier than the first day of the second calendar

2-6 month after adoption of the ordinance imposing the tax.

2-7 4. The proceeds of the tax and any applicable penalty or

2-8 interest must be [retained by the city and used for the payment of

2-9 principal and interest on notes, bonds or other obligations issued by

2-10 the city] used to fund the acquisition, establishment, construction or

2-11 expansion of one or more railroad grade separation projects [.] ,

2-12 including the payment and prepayment of principal and interest

2-13 on notes, bonds or other obligations issued to fund such projects.

2-14 5. A tax imposed by this section must be collected and enforced

2-15 in the same manner as provided for the collection of the tax

2-16 imposed by NRS 268.096.

2-17 Sec. 2. Section 24 of Chapter 506, Statutes of Nevada 1997, as

2-18 amended by section 2 of chapter 439, Statutes of Nevada 1997, at page

2-19 1554, is hereby amended to read as follows:

2-20 Sec. 24. 1. The board of county commissioners of Washoe

2-21 County may by ordinance, but not as in a case of emergency,

2-22 impose a tax upon the retailers at the rate of not more than one-

2-23 eighth of 1 percent of the gross receipts of any retailer from the sale

2-24 of all tangible personal property sold at retail, or stored, used or

2-25 otherwise consumed in the county if:

2-26 (a) The City of Reno imposes a tax on the rental of transient

2-27 lodging pursuant to section 21 of this act in the maximum amount

2-28 allowed by that section; and

2-29 (b) The board receives a written commitment from one or more

2-30 [other] sources for the expenditure of not less than one-half of the

2-31 total cost of a project for the acquisition, establishment,

2-32 construction or expansion of railroad grade separation projects in

2-33 Washoe County [.] , including the estimated proceeds of the tax

2-34 imposed pursuant to paragraph (a).

2-35 2. An ordinance enacted pursuant to subsection 1 may not

2-36 become effective before a question concerning the imposition of the

2-37 tax is approved by a two-thirds majority of the members of the

2-38 board of county commissioners.

2-39 3. An ordinance enacted pursuant to subsection 1 must specify

2-40 the date on which the tax must first be imposed which must occur

2-41 on the first day of the first month of the next calendar quarter that is

2-42 at least 60 days after the date on which a two-thirds majority of the

2-43 board of county commissioners approved the question.

3-1 4. An ordinance enacted pursuant to subsection 1 must include

3-2 provisions in substance as follows:

3-3 (a) Provisions substantially identical to those contained in

3-4 chapter 374 of NRS, insofar as applicable.

3-5 (b) A provision that all amendments to chapter 374 of NRS after

3-6 the date of enactment of the ordinance, not inconsistent with this

3-7 section, automatically become a part of an ordinance enacted

3-8 pursuant to subsection 1.

3-9 (c) A provision stating the specific purpose for which the

3-10 proceeds of the tax must be expended.

3-11 (d) [A provision that the county shall contract before the

3-12 effective date of the ordinance with the department of taxation to

3-13 perform all functions incident to the administration or operation of

3-14 the tax in the county.

3-15 (e)] A provision that exempts from the tax the gross receipts

3-16 from the sale of, and the storage, use or other consumption in a

3-17 county of, tangible personal property used for the performance of a

3-18 written contract:

3-19 (1) Entered into on or before the effective date of the tax; or

3-20 (2) For the construction of an improvement to real property

3-21 for which a binding bid was submitted before the effective date of

3-22 the tax if the bid was afterward accepted,

3-23 if under the terms of the contract or bid the contract price or bid

3-24 amount cannot be adjusted to reflect the imposition of the tax.

3-25 5. No ordinance imposing a tax which is enacted pursuant to

3-26 subsection 1 may be repealed or amended or otherwise directly or

3-27 indirectly modified in such a manner as to impair any outstanding

3-28 bonds or other obligations which are payable from or secured by a

3-29 pledge of a tax enacted pursuant to subsection 1 until those bonds

3-30 or other obligations have been discharged in full.

3-31 6. All fees, taxes, interest and penalties imposed and all

3-32 amounts of tax required to be paid to the county pursuant to this

3-33 section must be paid to the department of taxation in the form of

3-34 remittances payable to the department of taxation.

3-35 7. The department of taxation shall deposit the payments with

3-36 the state treasurer for credit to the sales and use tax account in the

3-37 state general fund.

3-38 8. The state controller, acting upon the collection data

3-39 furnished by the department of taxation, shall monthly:

3-40 (a) Transfer from the sales and use tax account to the appropriate

3-41 account in the state general fund a percentage of all fees, taxes,

3-42 interest and penalties collected pursuant to this section during the

3-43 preceding month as compensation to the state for the cost of

4-1 collecting the taxes. The percentage to be transferred pursuant to

4-2 this paragraph must be the same percentage as the percentage of

4-3 proceeds transferred pursuant to paragraph (a) of subsection 3 of

4-4 NRS 374.785 but the percentage must be applied to the proceeds

4-5 collected pursuant to this section only.

4-6 (b) Determine for the county an amount of money equal to any

4-7 fees, taxes, interest and penalties collected in or for the county

4-8 pursuant to this section during the preceding month, less the amount

4-9 transferred to the state general fund pursuant to paragraph (a).

4-10 (c) Transfer the amount determined for the county to the

4-11 intergovernmental fund and remit the money to the county treasurer.

4-12 9. The county treasurer shall deposit the money received

4-13 pursuant to subsection 8 in the county treasury for credit to a fund

4-14 to be known as the railroad grade separation projects fund. The

4-15 railroad grade separation projects fund must be accounted for as a

4-16 separate fund and not as a part of any other fund.

4-17 10. The money in the railroad grade separation projects fund,

4-18 including interest and any other income from the fund must [only be

4-19 expended] be used by the board of county commissioners [for the

4-20 payment of principal and interest on notes, bonds or other securities

4-21 issued to provide money] for the cost of the acquisition,

4-22 establishment, construction or expansion of one or more railroad

4-23 grade separation projects [.] , including the payment and

4-24 prepayment of principal and interest on notes, bonds or other

4-25 obligations issued to fund such projects.

4-26 Sec. 3. 1. The actions of the Board of County Commissioners of

4-27 Washoe County in adopting Ordinance No. 1047 imposing the 1/4-cent

4-28 sales and use tax in accordance with the provisions of chapters 439 and

4-29 506, Statutes of Nevada 1997, are hereby ratified, validated, approved and

4-30 confirmed. Any commitment which has been provided by the City of Reno

4-31 pursuant to section 24 of chapter 506, Statutes of Nevada 1997, as

4-32 amended by section 2 of chapter 439, Statutes of Nevada 1997, shall be

4-33 interpreted in accordance with the amendments made by sections 1 and 2 of

4-34 this act and shall be construed as providing only the commitment required

4-35 by the provisions of section 24 of chapter 506, Statutes of Nevada 1997, as

4-36 amended by section 2 of chapter 439, Statutes of Nevada 1997, and by

4-37 sections 1 and 2 of this act.

4-38 2. Notwithstanding the provisions of subsection 5 of NRS 377B.110,

4-39 for the one-eighth of 1 percent sales and use tax imposed pursuant to NRS

4-40 377B.110 and the one-eighth of 1 percent sales and use tax imposed

4-41 pursuant to section 24 of chapter 506, Statues of Nevada 1997, as amended

5-1 by section 2 of chapter 439, Statutes of Nevada 1997, and section 2 of this

5-2 act, Washoe County need not enter into a contract with the Department of

5-3 Taxation to perform all functions incident to the administration or

5-4 operation of the taxes in the county.

5-5 3. Washoe County shall pay to the Department of Taxation the

5-6 administrative expenses of the collection of the sales and use taxes imposed

5-7 by Ordinance No. 1047 in the amount equal to the percentage of the

5-8 proceeds of the tax retained by the Department of Taxation pursuant to

5-9 paragraph (a) of subsection 3 of NRS 374.785 through a deduction from

5-10 the gross revenue derived from the tax imposed by Ordinance No. 1047.

5-11 4. The Department of Taxation shall perform all functions incident to

5-12 the administration or operation of the taxes imposed by Ordinance No.

5-13 1047 and shall transfer to the Railroad Grade Separation Fund of Washoe

5-14 County each month one-half of the net revenue derived from the taxes

5-15 imposed by Ordinance No. 1047 and shall transfer to the Washoe County

5-16 Infrastructure Fund each month the other one-half of the net revenue

5-17 derived from the taxes imposed by Ordinance No. 1047.

5-18 Sec. 4. This act becomes effective upon passage and approval.