Assembly
Bill No. 35–Committee on Elections,
Procedures, and Ethics
(On Behalf of the Legislative Committee on Local Government Taxes and Finance)
Prefiled January 30, 2003
____________
Referred to Committee on Elections, Procedures, and Ethics
SUMMARY—Makes various changes concerning Legislative Committee for Local Government Taxes and Finance. (BDR 17‑631)
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.
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 State Legislature; changing the membership of the Advisory Committee of the Legislative Committee for Local Government Taxes and Finance; revising the duties of the Legislative Committee; eliminating the subcommittee of the Legislative Committee appointed to conduct a study of the cost to the counties and incorporated cities in this state of maintaining highways, streets and roads; 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 218.53881 is hereby amended to read as
1-2 follows:
1-3 218.53881 1. There is hereby established a Legislative
1-4 Committee for Local Government Taxes and Finance consisting of:
1-5 (a) Two members appointed by the Majority Leader of the
1-6 Senate from the membership of the Senate Standing Committee on
1-7 Government Affairs during the immediately preceding session of
1-8 the Legislature;
2-1 (b) Two members appointed by the Majority Leader of the
2-2 Senate from the membership of the Senate Standing Committee on
2-3 Taxation during the immediately preceding session of the
2-4 Legislature;
2-5 (c) Two members appointed by the Speaker of the Assembly
2-6 from the membership of the Assembly Standing Committee on
2-7 Government Affairs during the immediately preceding session of
2-8 the Legislature; and
2-9 (d) Two members appointed by the Speaker of the Assembly
2-10 from the membership of the Assembly Standing Committee on
2-11 Taxation during the immediately preceding session of the
2-12 Legislature.
2-13 2. The Committee shall consult with an Advisory Committee
2-14 consisting of the Executive Director of the Department of Taxation
2-15 and 10 members who are representative of various geographical
2-16 areas of the State and are appointed for terms of 2 years
2-17 commencing on July 1 of each odd-numbered year as follows:
2-18 (a) One member of the Committee on Local Government
2-19 Finance created pursuant to NRS 354.105 appointed by the Nevada
2-20 League of Cities;
2-21 (b) One member of the Committee on Local Government
2-22 Finance created pursuant to NRS 354.105 appointed by the Nevada
2-23 Association of Counties;
2-24 (c) One member of the Committee on Local Government
2-25 Finance created pursuant to NRS 354.105 appointed by the Nevada
2-26 School Trustees Association;
2-27 (d) Three members involved in the government of a county
2-28 appointed by the Nevada Association of Counties;
2-29 (e) Three members involved in the government of an
2-30 incorporated city appointed by the Nevada League of Cities; and
2-31 (f) One member who [is a member of] represents a board of
2-32 trustees for a general improvement district appointed by the
2-33 Legislative Commission.
2-34 The members of the Advisory Committee are nonvoting members of
2-35 the Committee. When meeting as the Advisory Committee, the
2-36 members shall comply with the provisions of chapter 241 of NRS.
2-37 3. The legislative members of the Committee shall elect a
2-38 Chairman from one house of the Legislature and a Vice Chairman
2-39 from the other house. Each Chairman and Vice Chairman holds
2-40 office for a term of 2 years commencing on July 1 of each odd-
2-41 numbered year.
2-42 4. Any member of the Committee who is not a candidate for
2-43 reelection or who is defeated for reelection continues to serve until
2-44 the next session of the Legislature convenes.
3-1 5. Vacancies on the Committee must be filled in the same
3-2 manner as original appointments.
3-3 6. The Committee shall report annually to the Legislative
3-4 Commission concerning its activities and any recommendations.
3-5 Sec. 2. NRS 218.53883 is hereby amended to read as follows:
3-6 218.53883 1. The Committee shall [:
3-7 (a) Review] review the laws relating to the distribution of
3-8 revenue generated by state and local taxes. In conducting the
3-9 review, the Committee may consider the purposes for which
3-10 the various state and local taxes were imposed, the actual use of the
3-11 revenue collected from the various state and local taxes and any
3-12 relief to the taxpayers from the burden of the various state and local
3-13 taxes that may result from any possible recommendations of the
3-14 Committee.
3-15 [(b) Study whether removing the authority of the Board of
3-16 County Commissioners of Washoe County to impose a certain
3-17 additional governmental services tax is a prudent act which is in the
3-18 best interests of this state.]
3-19 2. In conducting its review of the laws relating to the
3-20 distribution of revenue generated by state and local taxes, the
3-21 Committee may review:
3-22 (a) The distribution of the revenue from:
3-23 (1) The local school support tax imposed by chapter 374 of
3-24 NRS;
3-25 (2) The tax on aviation fuel and motor vehicle fuel imposed
3-26 by or pursuant to chapter 365 of NRS;
3-27 (3) The tax on intoxicating liquor imposed by chapter 369 of
3-28 NRS;
3-29 (4) The tax on fuel imposed pursuant to chapter 373 of NRS;
3-30 (5) The tax on tobacco imposed by chapter 370 of NRS;
3-31 (6) The governmental services tax imposed by or pursuant to
3-32 chapter 371 of NRS;
3-33 (7) The tax imposed on gaming licensees by or pursuant to
3-34 chapter 463 of NRS;
3-35 (8) Property taxes imposed pursuant to chapter 361 of NRS;
3-36 (9) The tax on the transfer of real property imposed by or
3-37 pursuant to chapter 375 of NRS; and
3-38 (10) Any other state or local tax.
3-39 (b) The proper crediting of gasoline tax revenue if the collection
3-40 is moved to the terminal rack level.
3-41 3. The Committee may:
3-42 (a) Conduct investigations and hold hearings in connection with
3-43 its review and study;
3-44 (b) [Contract with one or more consultants to obtain technical
3-45 advice concerning the study conducted pursuant to NRS 218.53884;
4-1 (c)] Apply for any available grants and accept any gifts, grants
4-2 or donations and use any such gifts, grants or donations to aid the
4-3 Committee in carrying out its duties pursuant to this chapter;
4-4 [(d)] (c) Direct the Legislative Counsel Bureau to assist in its
4-5 research, investigations, review and study; and
4-6 [(e)] (d) Recommend to the Legislature, as a result of its review
4-7 and study, any appropriate legislation.
4-8 Sec. 3. NRS 365.550 is hereby amended to read as follows:
4-9 365.550 1. The receipts of the tax levied pursuant to NRS
4-10 365.180 must be allocated monthly by the Department to the
4-11 counties using the following formula:
4-12 (a) Determine the average monthly amount each county received
4-13 in the fiscal year ending on June 30, 2001, and allocate to each
4-14 county that amount, or if the total amount to be allocated is less than
4-15 that amount, allocate to each county a percentage of the total
4-16 amount to be allocated that is equal to the percentage of the total
4-17 amount allocated to that county in the fiscal year ending on June 30,
4-18 2001;
4-19 (b) Determine for each county an amount from the total amount
4-20 to be allocated using the following formula:
4-21 (1) Two-thirds in proportion to population; and
4-22 (2) One-third in proportion to road mileage and street
4-23 mileage of improved roads or streets maintained by the county or an
4-24 incorporated city located within the county,
4-25 and compare that amount to the amount allocated to the county
4-26 pursuant to paragraph (a);
4-27 (c) Identify each county for which the amount determined
4-28 pursuant to paragraph (b) is greater than the amount allocated to the
4-29 county pursuant to paragraph (a); and
4-30 (d) Allocate to any county which is identified pursuant to
4-31 paragraph (c), using the formula set forth in paragraph (b), any
4-32 amount from the tax levied pursuant to NRS 365.180 that remains
4-33 after the allocation required pursuant to paragraph (a).
4-34 2. Within 10 calendar days after June 1 of each fiscal year, the
4-35 Department shall:
4-36 (a) Project the total amount that each county will be allocated
4-37 pursuant to subsection 1 for the current fiscal year.
4-38 (b) If the total amount allocated to all the counties will not
4-39 exceed the total amount that was received by all the counties for the
4-40 fiscal year ending on June 30, 2001, adjust the final monthly
4-41 allocation to be made to each county so that each county is allocated
4-42 a percentage of the total amount to be allocated that is equal to the
4-43 percentage of the total amount allocated to that county in the fiscal
4-44 year ending on June 30, 2001.
5-1 (c) If a county receives an allocation pursuant to paragraph (d)
5-2 of subsection 1, determine whether the total monthly allocations
5-3 projected to be made to that county pursuant to subsection 1 for the
5-4 current fiscal year exceed the total amount the county received in
5-5 the fiscal year ending on June 30, 2001. If the total monthly
5-6 allocations projected to be made to the county do not exceed the
5-7 total amount the county received in the fiscal year ending on
5-8 June 30, 2001, the Department shall adjust the final monthly
5-9 allocation to be made to the county for the current fiscal year so that
5-10 the total amount allocated to the county for the current fiscal year
5-11 equals the total amount the county received in the fiscal year ending
5-12 on June 30, 2001.
5-13 3. Of the money allocated to each county pursuant to the
5-14 provisions of subsections 1 and 2:
5-15 (a) An amount equal to that part of the allocation which
5-16 represents 1.25 cents of the tax per gallon must be used exclusively
5-17 for the service and redemption of revenue bonds issued pursuant to
5-18 chapter 373 of NRS, for the construction, maintenance and repair of
5-19 county roads, and for the purchase of equipment for that
5-20 construction, maintenance and repair, under the direction of the
5-21 boards of county commissioners of the several counties, and must
5-22 not be used to defray expenses of administration; and
5-23 (b) An amount equal to that part of the allocation which
5-24 represents 2.35 cents of the tax per gallon must be allocated to the
5-25 county, if there are no incorporated cities in the county, or to the
5-26 county and any incorporated cities in the county, if there is at least
5-27 one incorporated city in the county, pursuant to the following
5-28 formula:
5-29 (1) One-fourth in proportion to total area.
5-30 (2) One-fourth in proportion to population.
5-31 (3) One-fourth in proportion to road mileage and street
5-32 mileage of nonfederal aid primary roads.
5-33 (4) One-fourth in proportion to vehicle miles of travel on
5-34 nonfederal aid primary roads.
5-35 For the purpose of applying the formula, the area of the county
5-36 excludes the area included in any incorporated city.
5-37 4. The amount allocated to the counties and incorporated
5-38 cities pursuant to subsections 1, 2 and 3 must be remitted monthly.
5-39 The State Controller shall draw his warrants payable to the county
5-40 treasurer of each of the several counties and the city treasurer of
5-41 each of the several incorporated cities, as applicable, and the State
5-42 Treasurer shall pay the warrants out of the proceeds of the tax levied
5-43 pursuant to NRS 365.180.
5-44 5. The formula computations must be made as of July 1 of each
5-45 year by the Department, based on estimates which must be furnished
6-1 by the Department of Transportation and, if applicable, any
6-2 adjustments to the estimates determined to be appropriate by the
6-3 Committee pursuant to subsection 9. Except as otherwise provided
6-4 in subsection 9, the determination made by the Department is
6-5 conclusive.
6-6 6. The Department of Transportation shall complete:
6-7 (a) The estimates of the total mileage of improved roads or
6-8 streets maintained by each county and incorporated city on or before
6-9 August 31 of each year.
6-10 (b) A physical audit of the information submitted by each
6-11 county and incorporated city pursuant to subsection 7 at least once
6-12 every 10 years.
6-13 7. Each county and incorporated city shall, not later than
6-14 March 1 of each year, submit a list to the Department of
6-15 Transportation setting forth:
6-16 (a) Each improved road or street that is maintained by the
6-17 county or city; and
6-18 (b) The beginning and ending points and the total mileage of
6-19 each of those improved roads or streets.
6-20 Each county and incorporated city shall, at least 10 days before the
6-21 list is submitted to the Department of Transportation, hold a public
6-22 hearing to identify and determine the improved roads and streets
6-23 maintained by the county or city.
6-24 8. If a county or incorporated city does not agree with the
6-25 estimates prepared by the Department of Transportation pursuant to
6-26 subsection 6, the county or incorporated city may request that the
6-27 [subcommittee] Advisory Committee examine the estimates and
6-28 recommend an adjustment to the estimates. Such a request must be
6-29 submitted to the [subcommittee] Advisory Committee not later than
6-30 October 15.
6-31 9. The [subcommittee] Advisory Committee shall review any
6-32 request it receives pursuant to subsection 8 and report to the
6-33 Committee its findings and any recommendations for an adjustment
6-34 to the estimates it determines is appropriate. The Committee shall
6-35 hold a public hearing and determine whether an adjustment to the
6-36 estimates is appropriate on or before December 31 of the year it
6-37 receives a request pursuant to subsection 8. Any determination made
6-38 by the Committee pursuant to this subsection is conclusive.
6-39 10. The [subcommittee] Advisory Committee shall monitor the
6-40 fiscal impact of the formula set forth in this section on counties and
6-41 incorporated cities and report regularly to the Committee concerning
6-42 its findings and recommendations regarding that fiscal impact.
6-43 11. As used in this section:
6-44 (a) “Advisory Committee” means the Advisory Committee
6-45 appointed pursuant to NRS 218.53881.
7-1 (b) “Committee” means the Legislative Committee for Local
7-2 Government Taxes and Finance established pursuant to
7-3 NRS 218.53881.
7-4 [(b)] (c) “Construction, maintenance and repair” includes the
7-5 acquisition, operation or use of any material, equipment or facility
7-6 that is used exclusively for the construction, maintenance or repair
7-7 of a county or city road and is necessary for the safe and efficient
7-8 use of that road, including, without limitation:
7-9 (1) Grades and regrades;
7-10 (2) Graveling, oiling, surfacing, macadamizing and paving;
7-11 (3) Sweeping, cleaning and sanding roads and removing
7-12 snow from a road;
7-13 (4) Crosswalks and sidewalks;
7-14 (5) Culverts, catch basins, drains, sewers and manholes;
7-15 (6) Inlets and outlets;
7-16 (7) Retaining walls, bridges, overpasses, underpasses,
7-17 tunnels and approaches;
7-18 (8) Artificial lights and lighting equipment, parkways,
7-19 control of vegetation and sprinkling facilities;
7-20 (9) Rights-of-way;
7-21 (10) Grade and traffic separators;
7-22 (11) Fences, cattle guards and other devices to control access
7-23 to a county or city road;
7-24 (12) Signs and devices for the control of traffic; and
7-25 (13) Facilities for personnel and the storage of equipment
7-26 used to construct, maintain or repair a county or city road.
7-27 [(c)] (d) “Improved road or street” means a road or street that is,
7-28 at least:
7-29 (1) Aligned and graded to allow reasonably convenient use
7-30 by a motor vehicle; and
7-31 (2) Drained sufficiently by a longitudinal and transverse
7-32 drainage system to prevent serious impairment of the road or street
7-33 by surface water.
7-34 [(d) “Subcommittee” means the subcommittee appointed
7-35 pursuant to NRS 218.53884.]
7-36 Sec. 4. NRS 218.53884 is hereby repealed.
7-37 Sec. 5. 1. This act becomes effective on July 1, 2003.
7-38 2. Section 3 of this act expires by limitation on June 30, 2005.
8-1 TEXT OF REPEALED SECTION
8-2 218.53884 Study of cost and practices for local maintenance
8-3 of highways, roads and streets: Appointment and duties of
8-4 subcommittee; payment of cost of study. [Effective through
8-5 July 1, 2005.]
8-6 1. The Committee shall appoint a subcommittee to conduct a
8-7 study of the cost to the counties and incorporated cities in this state
8-8 of maintaining highways, roads and streets and the practices of the
8-9 counties and incorporated cities in maintaining those highways,
8-10 roads and streets.
8-11 2. The subcommittee shall:
8-12 (a) Identify the practices and procedures used to maintain the
8-13 highways, roads and streets in this state or in any other state;
8-14 (b) Develop a database for a uniform system of maintenance of
8-15 highways, roads and streets by counties and incorporated cities;
8-16 (c) Identify procedures for developing that database;
8-17 (d) Develop computer software for use in support of those
8-18 procedures;
8-19 (e) Prepare a manual that sets forth those procedures; and
8-20 (f) Determine the average cost per mile of the highways, roads
8-21 and streets maintained by the counties and incorporated cities in
8-22 this state.
8-23 3. As soon as practicable after July 1, 1997, the Director of the
8-24 Legislative Counsel Bureau shall determine the cost of the study
8-25 and notify the Executive Director of the Department of Taxation of
8-26 the cost of the study. The cost of the study must not exceed
8-27 $250,000.
8-28 4. Upon receipt of the notice required pursuant to subsection 3,
8-29 the Executive Director shall prorate the cost of the study for each
8-30 month of the 1997-98 fiscal year among each of the counties and
8-31 cities in the proportion that the amount allocated to a county or city
8-32 each month pursuant to NRS 365.550 bears to the total amount
8-33 allocated to all the counties and cities for that month. After
8-34 determining each month the prorated cost for each county and city,
8-35 the Executive Director shall:
8-36 (a) Withhold the prorated amount from the amount allocated to
8-37 the county or city for that month pursuant to NRS 365.550; and
8-38 (b) Notify the State Controller, in writing, of the amount
8-39 withheld.
9-1 5. Upon receipt of the notice required pursuant to subsection 4,
9-2 the State Controller shall transfer the amount specified in the notice
9-3 to the Legislative Fund.
9-4 6. The money transferred to the Legislative Fund pursuant to
9-5 subsection 5 is hereby authorized for expenditure by the Director of
9-6 the Legislative Counsel Bureau to pay the cost of the study
9-7 conducted pursuant to this section.
9-8 7. The Committee shall, not later than November 1, 1998,
9-9 submit a report of the findings of the subcommittee, including any
9-10 recommended legislation, to the Director of the Legislative Counsel
9-11 Bureau for transmittal to the 70th Session of the Nevada
9-12 Legislature.
9-13 H