Senate Bill No. 48–Committee on Government Affairs

Prefiled January 27, 1999

(On Behalf of Legislative Committee on Education)

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Referred to Committee on Government Affairs

 

SUMMARY—Revises provisions governing funds to stabilize operation of local government. (BDR 31-864)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: No.

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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).

 

AN ACT relating to local governments; authorizing an increase in the funds to stabilize the operation of local government for certain school districts; excluding certain money from the limit on transfers from the general fund to the fund to stabilize the operation of local government; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

1-1 Section 1. NRS 354.6115 is hereby amended to read as follows:

1-2 354.6115 1. The governing body of a local government may, by

1-3 resolution, establish a fund to stabilize the operation of the local

1-4 government.

1-5 2. The money in the fund must be used only if the total actual revenue

1-6 of the local government falls short of the total anticipated revenue in the

1-7 general fund for the fiscal year in which the local government uses that

1-8 money. The money in the fund at the end of the fiscal year may not revert to

1-9 any other fund or be a surplus for any purpose other than the purpose

1-10 specified in this subsection.

1-11 3. [The] Except as otherwise provided in subsection 4, the balance in

1-12 the fund must not exceed 10 percent of the expenditures from the general

1-13 fund for the previous fiscal year, excluding any federal [funds] money

1-14 expended by the local government.

2-1 4. If the board of trustees of a school district has established such a

2-2 fund and the school district is located in a county in which at least 25

2-3 percent of the revenue in the general fund attributable to the levy of

2-4 property taxes was, for each of the immediately preceding 2 fiscal years,

2-5 derived from the proceeds from the tax on the net proceeds of minerals,

2-6 the balance in the fund must not exceed 15 percent of the expenditures

2-7 from the general fund for the previous fiscal year, excluding any federal

2-8 money expended by the local government, or $2,000,000, whichever is

2-9 less. In no case may the balance in the fund be increased annually by an

2-10 amount that exceeds 10 percent of the expenditures from the general fund

2-11 for the previous fiscal year, excluding any federal money expended by the

2-12 local government.

2-13 Sec. 2. NRS 354.6117 is hereby amended to read as follows:

2-14 354.6117 1. Except as otherwise provided in [subsection 2,]

2-15 subsections 2 and 3, the total amount of money which may be transferred in

2-16 a fiscal year from the general fund of a local government to the funds

2-17 established pursuant to NRS 354.611, 354.6113 and 354.6115 must not

2-18 exceed 10 percent of the total amount of the budgeted expenditures of the

2-19 general fund, plus any money transferred from the general fund, other than

2-20 the money transferred to those funds, for that fiscal year.

2-21 2. Any money that a local government, pursuant to NRS 354.6116,

2-22 deposits in or transfers to one or more of the funds established by the local

2-23 government pursuant to NRS 354.611, 354.6113 or 354.6115:

2-24 (a) Is not subject to the limitation on the amount of money that a local

2-25 government may transfer to those funds pursuant to subsection 1.

2-26 (b) Must not be included in the determination of the total amount of

2-27 money transferred to those funds for the purposes of the limitation set forth

2-28 in subsection 1.

2-29 3. Any money that the board of trustees of a school district, pursuant

2-30 to subsection 4 of NRS 354.6115, deposits in or transfers to the fund

2-31 established by the board of trustees pursuant to NRS 354.6115:

2-32 (a) Is not subject to the limitation on the amount of money that a local

2-33 government may transfer to those funds pursuant to subsection 1.

2-34 (b) Must not be included in the determination of the total amount of

2-35 money transferred to those funds for the purposes of the limitation set

2-36 forth in subsection 1.

2-37 Sec. 3. This act becomes effective upon passage and approval.

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