SB525

Senate Bill No. 525–Committee on Taxation

(On Behalf of City of Mesquite)

March 22, 1999

____________

Referred to Committee on Government Affairs

SUMMARY—Authorizes governing body of City of Mesquite to impose additional tax on rental of transient lodging for construction and maintenance of airport. (BDR S-679)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: No.

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 the City of Mesquite; authorizing the governing body of the City of Mesquite to impose an additional tax on the rental of transient lodging for the construction and maintenance of an airport; and providing other matters properly relating thereto.

Whereas, The legislature hereby finds and declares that a general law

cannot be made applicable for all provisions of this act because of the

economic and geographical diversity of the local governments of this state,

the unique growth patterns in those local governments and the special

conditions experienced in the City of Mesquite related to the need to

construct and maintain an airport for the City of Mesquite; now, therefore,

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

1-1 Section 1. 1. The governing body of the City of Mesquite may by

1-2 ordinance impose within the limits of the city a tax at the rate of not more

1-3 than 1 percent of the gross receipts from the rental of transient lodging

1-4 throughout the city.

1-5 2. A tax imposed pursuant to this section may be imposed in addition

1-6 to all other taxes imposed on the revenue from the rental of transient

1-7 lodging.

2-1 3. The proceeds of the tax and any applicable penalty or interest must

2-2 be used to fund the construction and maintenance of an airport, including

2-3 the payment and prepayment of principal and interest on notes, bonds or

2-4 other obligations issued to fund such a project.

2-5 4. A tax imposed pursuant to this section must be collected and

2-6 enforced in the same manner as provided for the collection of the tax

2-7 imposed pursuant to NRS 268.096.

2-8 Sec. 2. NRS 268.0968 is hereby amended to read as follows:

2-9 268.0968 1. Except as otherwise provided in NRS 268.096 and

2-10 268.801 to 268.808, inclusive, a city located in a county whose population

2-11 is 400,000 or more shall not impose a new tax on the rental of transient

2-12 lodging or increase the rate of an existing tax on the rental of transient

2-13 lodging after March 25, 1991.

2-14 2. The legislature hereby declares that the limitation imposed by

2-15 subsection 1 will not be repealed or amended except to allow the

2-16 imposition of an increase in such a tax for the construction and

2-17 maintenance of an airport.

2-18 3. Except as otherwise provided in NRS 268.7845, a city located in a

2-19 county whose population is 100,000 or more but less than 400,000 shall not

2-20 impose a new tax on the rental of transient lodging or increase the rate of an

2-21 existing tax on the rental of transient lodging after March 25, 1991.

2-22 [~~3.]~~ 4. The legislature hereby declares that the limitation imposed by

2-23 subsection [2] 3 will not be repealed or amended except to allow the

2-24 imposition of an increase in such a tax for:

2-25 (a) The promotion of tourism;

2-26 (b) The construction or operation of tourism facilities by a convention

2-27 and visitors authority; or

2-28 (c) The acquisition, establishment, construction or expansion of one or

2-29 more railroad grade separation projects.

2-30 Sec. 3. This act becomes effective upon passage and approval.