Senate Bill No. 201–Committee on Government Affairs

 

(On Behalf of Nevada League of Cities

and Municipalities)

 

February 20, 2001

____________

 

Referred to Committee on Government Affairs

 

SUMMARY—Makes various changes relating to certain loans made by local governments. (BDR 31‑367)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: No.

 

~

 

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

 

AN ACT relating to local government finance; requiring a local government that desires to loan money from one fund to another fund or to another local government to make certain determinations at a public hearing; 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. Chapter 354 of NRS is hereby amended by adding thereto a

1-2  new section to read as follows:

1-3    Before making an interfund loan or loaning money to another local

1-4  government, the governing body of the local government that wishes to

1-5  make the loan must:

1-6    1.  Determine at a public hearing that:

1-7    (a) A sufficient amount of money is available for the loan and that

1-8  money is not restricted as to its use; and

1-9    (b) The loan of the money will not compromise the economic viability

1-10  of the fund from which the money is loaned; and

1-11    2.  Establish at the public hearing conducted pursuant to subsection

1-12  1:

1-13    (a) The amount of time the money will be on loan from the fund;

1-14    (b) The terms and conditions for repaying the loan; and

1-15    (c) The rate of interest, if any, to be charged for the loan.

1-16    Sec. 2.  NRS 354.476 is hereby amended to read as follows:

1-17    354.476  As used in NRS 354.470 to 354.626, inclusive, and section 1

1-18  of this act, unless the context otherwise requires, the words and terms

2-1  defined in NRS 354.478 to 354.580, inclusive, have the meanings ascribed

2-2  to them in those sections.

2-3    Sec. 3.  This act becomes effective on July 1, 2001.

 

2-4  H