Senate Bill No. 200–Committee on Government Affairs

 

(On Behalf of City of Reno)

 

February 20, 2001

____________

 

Referred to Committee on Government Affairs

 

SUMMARY—Expands authority of certain local governments with respect to administration of municipal finances. (BDR 21‑631)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: No.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to local governmental financial administration; expanding the purposes for which a city may pledge and use the proceeds of the tax imposed on the revenues from the rental of transient lodging; clarifying the manner in which the City of Reno may invest money realized from the sale of bonds and use the interest received from such investments; 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 268.095 is hereby amended to read as follows:

1-2    268.095  1.  The city council or other governing body of each

1-3  incorporated city in this state, whether organized under general law or

1-4  special charter, may:

1-5    (a) Except as otherwise provided in NRS 268.0968 and 576.128, fix,

1-6  impose and collect for revenues or for regulation, or both, a license tax on

1-7  all character of lawful trades, callings, industries, occupations, professions

1-8  and businesses conducted within its corporate limits.

1-9    (b) Assign the proceeds of any one or more of such license taxes to the

1-10  county within which the city is situated for the purpose or purposes of

1-11  making the proceeds available to the county:

1-12      (1) As a pledge as additional security for the payment of any general

1-13  obligation bonds issued pursuant to NRS 244A.597 to 244A.655, inclusive;

1-14      (2) For redeeming any general obligation bonds issued pursuant to

1-15  NRS 244A.597 to 244A.655, inclusive;

1-16      (3) For defraying the costs of collecting or otherwise administering

1-17  any such license tax so assigned, of the county fair and recreation board

2-1  and of officers, agents and employees hired thereby, and of incidentals

2-2  incurred thereby;

2-3       (4) For operating and maintaining recreational facilities under the

2-4  jurisdiction of the county fair and recreation board;

2-5       (5) For improving, extending and bettering recreational facilities

2-6  authorized by NRS 244A.597 to 244A.655, inclusive; and

2-7       (6) For constructing, purchasing or otherwise acquiring such

2-8  recreational facilities.

2-9    (c) Pledge the proceeds of any tax imposed on the revenues from the

2-10  rental of transient lodging pursuant to this section for the payment of any

2-11  general or special obligations issued by the city for a purpose authorized

2-12  by the [City Bond Law, NRS 268.672 to 268.740, inclusive.] laws of this

2-13  state.

2-14    (d) Use the proceeds of any tax imposed pursuant to this section on the

2-15  revenues from the rental of transient lodging:

2-16      (1) To pay the principal, interest or any other indebtedness on any

2-17  general or special obligations issued by the city pursuant to the [City Bond

2-18  Law, NRS 268.672 to 268.740, inclusive;] laws of this state;

2-19      (2) For the expense of operating or maintaining, or both, any facilities

2-20  of the city; and

2-21      (3) For any other purpose for which other money of the city may be

2-22  used.

2-23    2.  The proceeds of any tax imposed pursuant to this section that are

2-24  pledged for the repayment of general obligations may be treated as

2-25  “pledged revenues” for the purposes of NRS 350.020.

2-26    3.  No license to engage in any type of business may be granted unless

2-27  the applicant for the license signs an affidavit affirming that the business

2-28  has complied with the provisions of chapter 364A of NRS. The city

2-29  licensing agency shall provide upon request an application for a business

2-30  license pursuant to chapter 364A of NRS.

2-31    4.  No license to engage in business as a seller of tangible personal

2-32  property may be granted unless the applicant for the license presents

2-33  written evidence that:

2-34    (a) The department of taxation has issued or will issue a permit for this

2-35  activity, and this evidence clearly identifies the business by name; or

2-36    (b) Another regulatory agency of the state has issued or will issue a

2-37  license required for this activity.

2-38    5.  Any license tax levied under the provisions of this section

2-39  constitutes a lien upon the real and personal property of the business upon

2-40  which the tax was levied until the tax is paid. The lien has the same priority

2-41  as a lien for general taxes. The lien must be enforced in the following

2-42  manner:

2-43    (a) By recording in the office of the county recorder, within 6 months

2-44  following the date on which the tax became delinquent or was otherwise

2-45  determined to be due and owing, a notice of the tax lien containing the

2-46  following:

2-47      (1) The amount of tax due and the appropriate year;

2-48      (2) The name of the record owner of the property;

2-49      (3) A description of the property sufficient for identification; and

3-1       (4) A verification by the oath of any member of the board of county

3-2  commissioners or the county fair and recreation board; and

3-3    (b) By an action for foreclosure against such property in the same

3-4  manner as an action for foreclosure of any other lien, commenced within 2

3-5  years after the date of recording of the notice of the tax lien, and

3-6  accompanied by appropriate notice to other lienholders.

3-7    6.  The city council or other governing body of each incorporated city

3-8  may delegate the power and authority to enforce such liens to the county

3-9  fair and recreation board. If the authority is so delegated, the governing

3-10  body shall revoke or suspend the license of a business upon certification by

3-11  the board that the license tax has become delinquent, and shall not reinstate

3-12  the license until the tax is paid. Except as otherwise provided in NRS

3-13  268.0966, all information concerning license taxes levied by an ordinance

3-14  authorized by this section or other information concerning the business

3-15  affairs or operation of any licensee obtained as a result of the payment of

3-16  those license taxes or as the result of any audit or examination of the books

3-17  of the city by any authorized employee of a county fair and recreation

3-18  board for any license tax levied for the purpose of NRS 244A.597 to

3-19  244A.655, inclusive, is confidential and must not be disclosed by any

3-20  member, official or employee of the county fair and recreation board or the

3-21  city imposing the license tax unless the disclosure is authorized by the

3-22  affirmative action of a majority of the members of the appropriate county

3-23  fair and recreation board. Continuing disclosure may be so authorized

3-24  under an agreement with the department of taxation for the exchange of

3-25  information concerning taxpayers.

3-26    7.  The powers conferred by this section are in addition and

3-27  supplemental to, and not in substitution for, and the limitations imposed by

3-28  this section do not affect the powers conferred by, any other law. No part

3-29  of this section repeals or affects any other law or any part thereof, it being

3-30  intended that this section provide a separate method of accomplishing its

3-31  objectives, and not an exclusive one.

3-32    Sec. 2.  Section 7.060 of the charter of the City of Reno, being chapter

3-33  662, Statutes of Nevada 1971, as amended by chapter 561, Statutes of

3-34  Nevada 1977, at page 1397, is hereby amended to read as follows:

3-35  Sec. 7.060  Investment of money realized from bond sales.

3-36         1.  The city council may direct the city manager to invest , in a

3-37  manner authorized by the laws of this state, all [moneys] money

3-38  realized from the sale of bonds issued by the city in bonds or other

3-39  securities [issued by the United States of America] until such

3-40  [moneys are actually] money is required for the purposes for which

3-41  [such] the bonds were issued.

3-42         2.  All interest received from such investments [shall] must be

3-43  used only for the purposes for which the bonds were issued and

3-44  for payment of principal or interest on [the bonds issued by the

3-45  city.] those bonds.

3-46    Sec. 3.  This act becomes effective on July 1, 2001.

 

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