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. NRS 361.333 is hereby amended to read as follows:

1-2 361.333 1. Not later than May 1 of each year, the department shall:

2-1 (I) The total property for each of the 17 counties; and

2-2 (II) Each major [property] class of property within each county.

2-3 (2) A determination [of] whether each county has adequate

2-4 procedures to ensure that all property subject to taxation is being assessed

2-5 in a correct and timely manner.

2-6 (3) A summary for each county of any deficiencies that were

2-7 discovered in carrying out the [ratio study.

2-8 2. The ratio study must be conducted on nine counties in one year and

2-9 eight counties in the next year with the same combination of counties being

2-10 tested in alternate years.] study of those ratios.

2-11 2. The Nevada tax commission shall allocate the counties into three

2-12 groups such that the work of conducting the study is approximately the

2-13 same for each group. The department shall conduct the study in one

2-14 group each year. The commission may from time to time reallocate

2-15 counties among the groups, but each county must be studied at least once

2-16 in every 3 years.

2-17 3. In conducting the [ratio] study the department shall include an

2-18 adequate sample of each major [property] class of property and may use

2-19 any statistical criteria that will indicate an accurate ratio of taxable value to

2-20 assessed value and an accurate measure of [assessment equality.] equality

2-21 in assessment.

2-22 4. During the month of May of each year, the board of county

2-23 commissioners, or a representative designated by the board’s chairman, and

2-24 the county assessor, or a representative designated by the assessor, of each

2-25 county in which the [ratio] study was conducted shall meet with the Nevada

2-26 tax commission. The board of county commissioners and the county

2-27 assessor, or their representatives, shall:

2-28 (a) Present evidence to the Nevada tax commission of the steps taken to

2-29 ensure that all property subject to taxation within the county has been

2-30 assessed as required by law.

2-31 (b) Demonstrate to the Nevada tax commission that any adjustments in

2-32 assessments ordered in the preceding year as a result of the [appraisal]

2-33 procedure provided in paragraph (c) of subsection 5 have been complied

2-34 with.

2-35 5. At the conclusion of each meeting with the board of county

2-36 commissioners and the county assessor, or their representatives, the Nevada

2-37 tax commission may:

2-38 (a) If it finds that all property subject to taxation within the county has

2-39 been assessed at the proper percentage, take no further action.

2-40 (b) If it finds that any class of property is assessed at less or more than

2-41 the proper percentage, and if the board of county commissioners approves,

3-1 order a specified percentage increase or decrease in the assessed valuation

3-2 of that class on the succeeding tax list and assessment roll.

3-3 (c) If it finds the existence of underassessment or overassessment

3-4 wherein the ratio of assessed value to taxable value is less than 32 percent

3-5 or more than 36 percent in any of the following classes:

3-6 (1) Improvement values for the reappraisal area;

3-7 (2) Land values for the reappraisal area; and

3-8 (3) Total property values for each of the following use categories in

3-9 the reappraisal area:

3-10 (I) Vacant;

3-11 (II) Single-family residential;

3-12 (III) Multi-residential;

3-13 (IV) Commercial and industrial; and

3-14 (V) Rural,

3-15 of the county which are required by law to be assessed at 35 percent of

3-16 their taxable value, if in the nonreappraisal area the approved land and

3-17 improvement factors are not being correctly applied or new construction is

3-18 not being added to the assessment roll in a timely manner, or if the board of

3-19 county commissioners does not agree to an increase or decrease in assessed

3-20 value as provided in paragraph (b), order the board of county

3-21 commissioners to employ forthwith one or more qualified appraisers

3-22 approved by the department. The payment of [such] those appraisers’ fees

3-23 is a proper charge against the county notwithstanding that the amount of

3-24 such fees has not been budgeted in accordance with law. The appraisers

3-25 shall determine whether or not the county assessor has assessed all real and

3-26 personal property in the county subject to taxation at the rate of assessment

3-27 required by law. The appraisers may cooperate with the department in

3-28 making their determination if so agreed by the appraisers and the

3-29 department, and shall cooperate with the department in preparing a report

3-30 to the Nevada tax commission. The report to the Nevada tax commission

3-31 must be made on or before October 1 following the date of the order. If the

3-32 report indicates that any real or personal property in the county subject to

3-33 taxation has not been assessed at the rate required by law, a copy of the

3-34 report must be transmitted to the board of county commissioners by the

3-35 department before November 1. The board of county commissioners shall

3-36 then order the county assessor to raise or lower the assessment of such

3-37 property to the rate required by law on the succeeding tax list and

3-38 assessment roll.

3-39 6. The Nevada tax commission may adopt regulations reasonably

3-40 necessary to carry out the provisions of this section.

4-1 7. Any county assessor who refuses to increase or decrease the

4-2 assessment of any property pursuant to an order of the Nevada tax

4-3 commission or the board of county commissioners as provided in this

4-4 section is guilty of malfeasance in office.