(REPRINTED WITH ADOPTED AMENDMENTS)

 

Senate Bill No. 36–Committee on Judiciary

 

Prefiled January 24, 2001

 

____________

 

Referred to Committee on Judiciary

 

SUMMARY—Revises provisions governing forfeiture of property. (BDR 14‑14)

 

FISCAL NOTE:  Effect on Local Government: Yes.

                             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 forfeitures; changing the standard of proof in a proceeding for the forfeiture of property; enacting provisions pertaining to the seizure of currency; revising the provisions governing the distribution of proceeds of forfeited property; 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 179.1173 is hereby amended to read as follows:

1-2    179.1173  1.  The district court shall proceed as soon as practicable to

1-3  a trial and determination of the matter. A proceeding for forfeiture is

1-4  entitled to priority over other civil actions which are not otherwise entitled

1-5  to priority.

1-6    2.  At a proceeding for forfeiture, the plaintiff or claimant may file a

1-7  motion for an order staying the proceeding and the court shall grant that

1-8  motion if a criminal action which is the basis of the proceeding is pending

1-9  trial. The court shall, upon a motion made by the plaintiff, lift the stay upon

1-10  a satisfactory showing that the claimant is a fugitive.

1-11    3.  [A party to] The plaintiff in a proceeding for forfeiture must

1-12  establish proof by [a preponderance of the evidence.] clear and convincing

1-13  evidence that the property is subject to forfeiture.

1-14    4.  In a proceeding for forfeiture, the rule of law that forfeitures are not

1-15  favored does not apply.

1-16    5.  The plaintiff is not required to plead or prove that a claimant has

1-17  been charged with or convicted of any criminal offense. If proof of such a

1-18  conviction is made, and it is shown that the judgment of conviction has

1-19  become final, the proof is, as against any claimant, conclusive evidence of

1-20  all facts necessary to sustain the conviction.

2-1    6.  The plaintiff has an absolute privilege to refuse to disclose the

2-2  identity of any person, other than a witness, who has furnished to a law

2-3  enforcement officer information purporting to reveal the commission of a

2-4  crime. The privilege may be claimed by an appropriate representative of

2-5  the plaintiff.

2-6    7.  If the court determines that the property is not subject to forfeiture,

2-7  [it] the court shall order the property and any interest accrued pursuant to

2-8  subsection 2 of NRS 179.1175 returned to the claimant found to be entitled

2-9  to the property. If the court determines that the property is subject to

2-10  forfeiture, [it] the court shall so decree. The property , including any

2-11  interest accrued pursuant to subsection 2 of NRS 179.1175, must be

2-12  forfeited to the plaintiff, subject to the right of any claimant who

2-13  establishes a protected interest. Any such claimant must, upon the sale or

2-14  retention of the property, be compensated for his interest in the manner

2-15  provided in NRS 179.118.

2-16  Sec. 2.  NRS 179.1175 is hereby amended to read as follows:

2-17  179.1175  1.  [After] Except as otherwise provided in subsection 2,

2-18  after property has been seized the agency which seized the property may:

2-19  (a) Place the property under seal;

2-20  (b) Remove the property to a place designated by the agency for the

2-21  storage of that type of property; or

2-22  (c) Remove the property to an appropriate place for disposition in a

2-23  manner authorized by the court.

2-24  2.  If an agency seizes currency, unless otherwise ordered by the

2-25  court, the agency shall deposit the currency in an interest-bearing

2-26  account maintained for the purpose of holding currency seized by the

2-27  agency.

2-28  3.  When a court declares property to be forfeited, the plaintiff may:

2-29  (a) Retain it for official use;

2-30  (b) Sell any of it which is neither required by law to be destroyed nor

2-31  harmful to the public; or

2-32  (c) Remove it for disposition in accordance with the applicable

2-33  provisions of NRS.

2-34  Sec. 3.  NRS 179.118 is hereby amended to read as follows:

2-35  179.118  1.  The proceeds from any sale or retention of property

2-36  declared to be forfeited and any interest accrued pursuant to subsection 2

2-37  of NRS 179.1175 must be applied, first, to the satisfaction of any protected

2-38  interest established by a claimant in the proceeding, then to the proper

2-39  expenses of the proceeding for forfeiture and resulting sale, including the

2-40  expense of effecting the seizure, the expense of maintaining custody, the

2-41  expense of advertising and the costs of the suit.

2-42  2.  Any balance remaining after the distribution required by subsection

2-43  1 must be deposited as follows:

2-44  (a) Except as otherwise provided in this subsection, if the plaintiff

2-45  seized the property, in the special account established pursuant to NRS

2-46  179.1187 by the governing body that controls the plaintiff.

2-47  (b) Except as otherwise provided in this subsection, if the plaintiff is a

2-48  metropolitan police department, in the special account established by the

2-49  metropolitan police committee on fiscal affairs pursuant to NRS 179.1187.

3-1    (c) Except as otherwise provided in this subsection, if more than one

3-2  agency was substantially involved in the seizure, in an equitable manner to

3-3  be directed by the court hearing the proceeding for forfeiture.

3-4    (d) If the property was seized pursuant to NRS 200.760, in the state

3-5  treasury for credit to the fund for the compensation of victims of crime to

3-6  be used for the counseling and the medical treatment of victims of crimes

3-7  committed in violation of NRS 200.366, 200.710 to 200.730, inclusive, or

3-8  201.230.

3-9    (e) If the property was seized as the result of a violation of
NRS 202.300, in the general fund of the county in which the complaint for

3-10  forfeiture was filed, to be used to support programs of counseling of

3-11  persons ordered by the court to attend counseling pursuant to paragraph (e)

3-12  of subsection 1 of NRS 62.211.

3-13    Sec. 4.  NRS 179.1187 is hereby amended to read as follows:

3-14    179.1187  1.  The governing body controlling each law enforcement

3-15  agency that receives proceeds from the sale of forfeited property shall

3-16  establish with the state treasurer, county treasurer, city treasurer or town

3-17  treasurer, as custodian, a special account, known as the
“................. forfeiture account.” The account is a separate and continuing

3-18  account and no money in it reverts to the state general fund or the general

3-19  fund of the county, city or town at any time. For the purposes of this

3-20  subsection, the governing body controlling a metropolitan police

3-21  department is the metropolitan police committee on fiscal affairs.

3-22    2.  The money in the account must be aggregated in the account on a

3-23  quarterly basis and must not be disbursed or otherwise used until a

3-24  quarterly accounting of the money is completed. Upon the completion of

3-25  a quarterly accounting, the money in the account may be used for any

3-26  lawful purpose deemed appropriate by the chief administrative officer of

3-27  the law enforcement agency, except that:

3-28    (a) The money must not be used to pay the ordinary operating expenses

3-29  of the agency.

3-30    (b) Money derived from the forfeiture of any property described in
NRS 453.301 must be used to enforce the provisions of chapter 453 of

3-31  NRS.

3-32    (c) Money derived from the forfeiture of any property described in
NRS 501.3857 must be used to enforce the provisions of Title 45 of NRS.

3-33    (d) Seventy percent of the money aggregated in the account in excess

3-34  of $100,000 per quarter, as determined based upon the quarterly

3-35  accounting completed pursuant to this subsection, must be distributed to

3-36  the school district in the judicial district. If the judicial district serves

3-37  more than one county, the money must be distributed to the school

3-38  district in the county from which the property was seized.

3-39    3.  A school district that receives money pursuant to paragraph (d) of

3-40  subsection 2 shall deposit such money into a separate account. The

3-41  interest and income earned on the money in the account, after deducting

3-42  any applicable charges, must be credited to the account. The money in

3-43  the account must be used to purchase books and computer hardware and

3-44  software for the use of the students in that school district.

4-1    4.  The chief administrative officer of a law enforcement agency that

4-2  distributes money to a school district pursuant to paragraph (d) of

4-3  subsection 2 shall submit a report to the director of the legislative

4-4  counsel bureau before January 1 of each odd-numbered year. The report

4-5  must contain the amount of money distributed to each school district

4-6  pursuant to paragraph (d) of subsection 2 in the preceding biennium.

4-7    Sec. 5.  NRS 387.303 is hereby amended to read as follows:

4-8    387.303  1.  Not later than November 10 of each year, the board of

4-9  trustees of each school district shall submit to the superintendent of public

4-10  instruction and the department of taxation a report which includes the

4-11  following information:

4-12    (a) For each fund within the school district, including, without

4-13  limitation, the school district’s general fund and any special revenue fund

4-14  which receives state money, the total number and salaries of licensed and

4-15  nonlicensed persons whose salaries are paid from the fund and who are

4-16  employed by the school district in full-time positions or in part-time

4-17  positions added together to represent full-time positions. Information must

4-18  be provided for the current school year based upon the school district’s

4-19  final budget, including any amendments and augmentations thereto, and for

4-20  the preceding school year. An employee must be categorized as filling an

4-21  instructional, administrative, instructional support or other position.

4-22    (b) The count of pupils computed pursuant to paragraph (a) of

4-23  subsection 1 of NRS 387.1233.

4-24    (c) The average daily attendance for the preceding school year and the

4-25  estimated average daily attendance for the current school year of part-time

4-26  pupils enrolled in courses which are approved by the department as

4-27  meeting the requirements for an adult to earn a high school diploma.

4-28    (d) The school district’s actual expenditures in the fiscal year

4-29  immediately preceding the report.

4-30    (e) The school district’s proposed expenditures for the current fiscal

4-31  year.

4-32    (f) The schedule of salaries for licensed employees in the current school

4-33  year and a statement of whether the negotiations regarding salaries for the

4-34  current school year have been completed. If the negotiations have not been

4-35  completed at the time the schedule of salaries is submitted, the board of

4-36  trustees shall submit a supplemental report to the superintendent of public

4-37  instruction upon completion of negotiations or the determination of an

4-38  arbitrator concerning the negotiations that includes the schedule of salaries

4-39  agreed to or required by the arbitrator.

4-40    (g) The number of teachers who received an increase in salary pursuant

4-41  to subsection 2 of NRS 391.160 for the current and preceding fiscal years.

4-42    (h) The number of employees eligible for health insurance within the

4-43  school district for the current and preceding fiscal years and the amount

4-44  paid for health insurance for each such employee during those years.

4-45    (i) The rates for fringe benefits, excluding health insurance, paid by the

4-46  school district for its licensed employees in the preceding and current fiscal

4-47  years.

5-1    (j) The amount paid for extra duties, supervision of extracurricular

5-2  activities and supplemental pay and the number of employees receiving

5-3  that pay in the preceding and current fiscal years.

5-4    (k) The expenditures from the account created pursuant to subsection

5-5  3 of NRS 179.1187. The report must indicate the total amount received

5-6  by the district in the preceding fiscal year, and the specific amount spent

5-7  on books and computer hardware and software for each grade level in

5-8  the district.

5-9    2.  On or before November 25 of each year, the superintendent of

5-10  public instruction shall submit to the department of administration and the

5-11  fiscal analysis division of the legislative counsel bureau, in a format

5-12  approved by the director of the department of administration, a compilation

5-13  of the reports made by each school district pursuant to subsection 1.

5-14    3.  The superintendent of public instruction shall, in the compilation

5-15  required by subsection 2, reconcile the revenues and expenditures of the

5-16  school districts with the apportionment received by those districts from the

5-17  state distributive school account for the preceding year.

5-18    Sec. 6.  The amendatory provisions of this act do not apply to property

5-19  seized before October 1, 2001.

 

5-20  H