Senate Bill No. 469–Committee on Taxation

 

(On Behalf of the Legislative Committee on Local Government Taxes and Finance)

 

March 24, 2003

____________

 

Referred to Committee on Taxation

 

SUMMARY—Revises formula for distribution of certain revenues among local governments. (BDR 32‑624)

 

FISCAL NOTE:  Effect on Local Government: Yes.

                           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 taxation; revising the formula for the distribution of certain revenues among local governments; 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 360.680 is hereby amended to read as follows:

1-2  360.680  1.  On or before July 1 of each year, the Executive

1-3  Director shall allocate to each enterprise district an amount equal to

1-4  the amount that the enterprise district received from the Account in

1-5  the immediately preceding fiscal year.

1-6  2.  Except as otherwise provided in NRS 360.690 and 360.730,

1-7  the Executive Director, after subtracting the amount allocated to

1-8  each enterprise district pursuant to subsection 1, shall allocate to

1-9  each local government or special district which is eligible for an

1-10  allocation from the Account pursuant to NRS 360.670 an amount

1-11  from the Account that is equal to the amount allocated to the local

1-12  government or special district for the preceding fiscal year, minus

1-13  any excess amount allocated pursuant to subsection 4 , 5 or 6 of

1-14  NRS 360.690, multiplied by 1 plus the percentage change in the

1-15  Consumer Price Index (All Items) for the year ending on

 

2-1  December 31 immediately preceding the year in which the

2-2  allocation is made.

2-3  Sec. 2.  NRS 360.690 is hereby amended to read as follows:

2-4  360.690  1.  Except as otherwise provided in NRS 360.730,

2-5  the Executive Director shall estimate monthly the amount each local

2-6  government, special district and enterprise district will receive from

2-7  the Account pursuant to the provisions of this section.

2-8  2.  The Executive Director shall establish a base monthly

2-9  allocation for each local government, special district and enterprise

2-10  district by dividing the amount determined pursuant to NRS 360.680

2-11  for each local government, special district and enterprise district by

2-12  12, and the State Treasurer shall, except as otherwise provided in

2-13  subsections 3[, 4 and 5,] to 7, inclusive, remit monthly that amount

2-14  to each local government, special district and enterprise district.

2-15      3.  If, after making the allocation to each enterprise district for

2-16  the month, the Executive Director determines there is not sufficient

2-17  money available in the county’s subaccount in the Account to

2-18  allocate to each local government and special district the base

2-19  monthly allocation determined pursuant to subsection 2, he shall

2-20  prorate the money in the county’s subaccount and allocate to each

2-21  local government and special district an amount equal to [the] its

2-22  proportionate percentage of [the amount that the local government

2-23  or special district received from] the total amount [which was

2-24  distributed to] of the base monthly allocations determined

2-25  pursuant to subsection 2 for all local governments and special

2-26  districts within the county . [for the fiscal year immediately

2-27  preceding the year in which the allocation is made.] The State

2-28  Treasurer shall remit that amount to the local government or special

2-29  district.

2-30      4.  Except as otherwise provided in [subsection] subsections 5,

2-31  6 and 7, if the Executive Director determines that there is money

2-32  remaining in the county’s subaccount in the Account after the base

2-33  monthly allocation determined pursuant to subsection 2 has been

2-34  allocated to each local government, special district and enterprise

2-35  district, he shall immediately determine and allocate each:

2-36      (a) Local government’s share of the remaining money by:

2-37          (1) Multiplying one-twelfth of the sum of:

2-38             (I) Seventy-five percent of the amount allocated pursuant

2-39  to NRS 360.680 multiplied by the sum of the average percentage of

2-40  change in the population of the local government for the fiscal year

2-41  immediately preceding the year in which the allocation is made and

2-42  the 4 fiscal years immediately preceding the year in which the

2-43  allocation is made, as certified by the Governor pursuant to NRS

2-44  360.285, except as otherwise provided in subsection [6,] 8, and the

2-45  average percentage of change in the assessed valuation of the

3-1  taxable property in the local government, including assessed

3-2  valuation attributable to a redevelopment agency but excluding the

3-3  portion attributable to the net proceeds of minerals, over the year in

3-4  which the allocation is made, as projected by the Department

3-5  pursuant to NRS 361.390, and the 4 fiscal years immediately

3-6  preceding the year in which the allocation is made; and

3-7           (II) Twenty-five percent of the amount allocated pursuant

3-8  to NRS 360.680 multiplied by 1 plus the sum of the average

3-9  percentage of change in the population of the local government for

3-10  the fiscal year immediately preceding the year in which the

3-11  allocation is made and the 4 fiscal years immediately preceding the

3-12  year in which the allocation is made, as certified by the Governor

3-13  pursuant to NRS 360.285, except as otherwise provided in

3-14  subsection [6,] 8, and the average percentage of change in the

3-15  assessed valuation of the taxable property in the local government,

3-16  including assessed valuation attributable to a redevelopment agency

3-17  but excluding the portion attributable to the net proceeds of

3-18  minerals, over the year in which the allocation is made, as projected

3-19  by the Department pursuant to NRS 361.390, and the 4 fiscal years

3-20  immediately preceding the year in which the allocation is made; and

3-21          (2) Using the figure calculated pursuant to subparagraph (1)

3-22  to calculate and allocate to each local government an amount equal

3-23  to the proportion that the figure calculated pursuant to subparagraph

3-24  (1) bears to the total amount of the figures calculated pursuant to

3-25  subparagraph (1) of this paragraph and subparagraph (1) of

3-26  paragraph (b), respectively, for the local governments and special

3-27  districts located in the same county multiplied by the total amount

3-28  available in the subaccount; and

3-29      (b) Special district’s share of the remaining money by:

3-30          (1) Multiplying one-twelfth of the sum of:

3-31             (I) Seventy-five percent of the amount allocated pursuant

3-32  to NRS 360.680 multiplied by the average change in the assessed

3-33  valuation of the taxable property in the special district, including

3-34  assessed valuation attributable to a redevelopment agency but

3-35  excluding the portion attributable to the net proceeds of minerals,

3-36  over the 5 fiscal years immediately preceding the year in which the

3-37  allocation is made; and

3-38             (II) Twenty-five percent of the amount allocated pursuant

3-39  to NRS 360.680 multiplied by 1 plus the average change in the

3-40  assessed valuation of the taxable property in the special district,

3-41  including assessed valuation attributable to a redevelopment agency

3-42  but excluding the portion attributable to the net proceeds of

3-43  minerals, over the 5 fiscal years immediately preceding the year in

3-44  which the allocation is made; and

4-1       (2) Using the figure calculated pursuant to subparagraph (1)

4-2  to calculate and allocate to each special district an amount equal to

4-3  the proportion that the figure calculated pursuant to subparagraph

4-4  (1) bears to the total amount of the figures calculated pursuant to

4-5  subparagraph (1) of this paragraph and subparagraph (1) of

4-6  paragraph (a), respectively, for the local governments and special

4-7  districts located in the same county multiplied by the total amount

4-8  available in the subaccount.

4-9  The State Treasurer shall remit the amount allocated to each local

4-10  government or special district pursuant to this subsection.

4-11      5.  Except as otherwise provided in subsection 7, if the

4-12  Executive Director determines that there is money remaining in

4-13  the county’s subaccount in the Account after the base monthly

4-14  allocation determined pursuant to subsection 2 has been allocated

4-15  to each local government, special district and enterprise district,

4-16  that the sum of the average percentage of change in population

4-17  and the average percentage of change in the assessed valuation of

4-18  taxable property, as calculated pursuant to sub-subparagraph (I)

4-19  of subparagraph (1) of paragraph (a) of subsection 4 for each of

4-20  those local governments, is a negative figure, and that the average

4-21  change in the assessed valuation of the taxable property in each of

4-22  those special districts, as calculated pursuant to sub-subparagraph

4-23  (I) of subparagraph (1) of paragraph (b) of subsection 4, is a

4-24  negative figure, he shall immediately determine and allocate each:

4-25      (a) Local government’s share of the remaining money by:

4-26          (1) Multiplying one-twelfth of the amount allocated

4-27  pursuant to NRS 360.680 by 1 plus the sum of the:

4-28             (I) Average percentage of change in the population of

4-29  the local government for the fiscal year immediately preceding the

4-30  year in which the allocation is made and the 4 fiscal years

4-31  immediately preceding the year in which the allocation is made, as

4-32  certified by the Governor pursuant to NRS 360.285, except as

4-33  otherwise provided in subsection 8; and

4-34             (II) Average percentage of change in the assessed

4-35  valuation of the taxable property in the local government,

4-36  including assessed valuation attributable to a redevelopment

4-37  agency but excluding the portion attributable to the net proceeds

4-38  of minerals, over the year in which the allocation is made, as

4-39  projected by the Department pursuant to NRS 361.390, and the 4

4-40  fiscal years immediately preceding the year in which the allocation

4-41  is made; and

4-42          (2) Using the figure calculated pursuant to subparagraph

4-43  (1) to calculate and allocate to each local government an amount

4-44  equal to the proportion that the figure calculated pursuant to

4-45  subparagraph (1) bears to the total amount of the figures

5-1  calculated pursuant to subparagraph (1) of this paragraph and

5-2  subparagraph (1) of paragraph (b), respectively, for the local

5-3  governments and special districts located in the same county

5-4  multiplied by the total amount available in the subaccount; and

5-5  (b) Special district’s share of the remaining money by:

5-6       (1) Multiplying one-twelfth of the amount allocated

5-7  pursuant to NRS 360.680 by 1 plus the average change in the

5-8  assessed valuation of the taxable property in the special district,

5-9  including assessed valuation attributable to a redevelopment

5-10  agency but excluding the portion attributable to the net proceeds

5-11  of minerals, over the 5 fiscal years immediately preceding the year

5-12  in which the allocation is made; and

5-13          (2) Using the figure calculated pursuant to subparagraph

5-14  (1) to calculate and allocate to each special district an amount

5-15  equal to the proportion that the figure calculated pursuant to

5-16  subparagraph (1) bears to the total amount of the figures

5-17  calculated pursuant to subparagraph (1) of this paragraph and

5-18  subparagraph (1) of paragraph (a), respectively, for the local

5-19  governments and special districts located in the same county

5-20  multiplied by the total amount available in the subaccount.

5-21  The State Treasurer shall remit the amount allocated to each local

5-22  government or special district pursuant to this subsection.

5-23      6.  Except as otherwise provided in subsection 7, if the

5-24  Executive Director determines that there is money remaining in

5-25  the county’s subaccount in the Account after the base monthly

5-26  allocation determined pursuant to subsection 2 has been allocated

5-27  to each local government, special district and enterprise district,

5-28  that the sum of the average percentage of change in population

5-29  and the average percentage of change in the assessed valuation of

5-30  taxable property, as calculated pursuant to sub-subparagraph (I)

5-31  of subparagraph (1) of paragraph (a) of subsection 4 for each of

5-32  those local governments, is a negative figure, and that the average

5-33  change in the assessed valuation of the taxable property in any of

5-34  those special districts, as calculated pursuant to sub-subparagraph

5-35  (I) of subparagraph (1) of paragraph (b) of subsection 4, is a

5-36  positive figure, he shall immediately determine and allocate each:

5-37      (a) Local government’s share of the remaining money by:

5-38          (1) Multiplying one-twelfth of the amount allocated

5-39  pursuant to NRS 360.680 by 1 plus the sum of the:

5-40             (I) Average percentage of change in the population of

5-41  the local government for the fiscal year immediately preceding the

5-42  year in which the allocation is made and the 4 fiscal years

5-43  immediately preceding the year in which the allocation is made, as

5-44  certified by the Governor pursuant to NRS 360.285, except as

5-45  otherwise provided in subsection 8; and

6-1           (II) Average percentage of change in the assessed

6-2  valuation of the taxable property in the local government,

6-3  including assessed valuation attributable to a redevelopment

6-4  agency but excluding the portion attributable to the net proceeds

6-5  of minerals, over the year in which the allocation is made, as

6-6  projected by the Department pursuant to NRS 361.390, and the 4

6-7  fiscal years immediately preceding the year in which the allocation

6-8  is made; and

6-9       (2) Using the figure calculated pursuant to subparagraph

6-10  (1) to calculate and allocate to each local government an amount

6-11  equal to the proportion that the figure calculated pursuant to

6-12  subparagraph (1) bears to the total amount of the figures

6-13  calculated pursuant to subparagraph (1) of this paragraph and

6-14  subparagraph (1) of paragraph (b), respectively, for the local

6-15  governments and special districts located in the same county

6-16  multiplied by the total amount available in the subaccount; and

6-17      (b) Special district’s share of the remaining money by:

6-18          (1) Multiplying one-twelfth of the amount allocated

6-19  pursuant to NRS 360.680 by 1 plus the sum of the:

6-20             (I) Average percentage of change in the population of

6-21  the county for the fiscal year immediately preceding the year in

6-22  which the allocation is made and the 4 fiscal years immediately

6-23  preceding the year in which the allocation is made, as certified by

6-24  the Governor pursuant to NRS 360.285, except as otherwise

6-25  provided in subsection 8; and

6-26             (II) Average change in the assessed valuation of the

6-27  taxable property in the special district, including assessed

6-28  valuation attributable to a redevelopment agency but excluding the

6-29  portion attributable to the net proceeds of minerals, over the 5

6-30  fiscal years immediately preceding the year in which the allocation

6-31  is made; and

6-32          (2) Using the figure calculated pursuant to subparagraph

6-33  (1) to calculate and allocate to each special district an amount

6-34  equal to the proportion that the figure calculated pursuant to

6-35  subparagraph (1) bears to the total amount of the figures

6-36  calculated pursuant to subparagraph (1) of this paragraph and

6-37  subparagraph (1) of paragraph (a), respectively, for the local

6-38  governments and special districts located in the same county

6-39  multiplied by the total amount available in the subaccount.

6-40  The State Treasurer shall remit the amount allocated to each local

6-41  government or special district pursuant to this subsection.

6-42      7.  The Executive Director shall not allocate any amount to a

6-43  local government or special district pursuant to subsection 4, 5 or 6

6-44  unless the amount distributed and allocated to each of the local

6-45  governments and special districts in the county in each preceding

7-1  month of the fiscal year in which the allocation is to be made was at

7-2  least equal to the base monthly allocation determined pursuant to

7-3  subsection 2. If the amounts distributed to the local governments

7-4  and special districts in the county for the preceding months of the

7-5  fiscal year in which the allocation is to be made were less than the

7-6  base monthly allocation determined pursuant to subsection 2 and

7-7  the Executive Director determines there is money remaining in the

7-8  county’s subaccount in the Account after the distribution for the

7-9  month has been made, he shall:

7-10      (a) Determine the amount by which the base monthly allocations

7-11  determined pursuant to subsection 2 for each local government and

7-12  special district in the county for the preceding months of the fiscal

7-13  year in which the allocation is to be made exceeds the amounts

7-14  actually received by the local governments and special districts in

7-15  the county for the same period; and

7-16      (b) Compare the amount determined pursuant to paragraph (a) to

7-17  the amount of money remaining in the county’s subaccount in the

7-18  Account to determine which amount is greater.

7-19  If the Executive Director determines that the amount determined

7-20  pursuant to paragraph (a) is greater, he shall allocate the money

7-21  remaining in the county’s subaccount in the Account pursuant to the

7-22  provisions of subsection 3. If the Executive Director determines that

7-23  the amount of money remaining in the county’s subaccount in the

7-24  Account is greater, he shall first allocate the money necessary for

7-25  each local government and special district to receive the base

7-26  monthly allocation determined pursuant to subsection 2 and the

7-27  State Treasurer shall remit that money so allocated. The Executive

7-28  Director shall allocate any additional money in the county’s

7-29  subaccount in the Account pursuant to the provisions of subsection

7-30  4[.

7-31      6.] , 5 or 6, as appropriate.

7-32      8.  The percentage [change] changes in population calculated

7-33  pursuant to [paragraph (a) of subsection] subsections 4 , 5 and 6

7-34  must:

7-35      (a) Except as otherwise provided in paragraph (c), if the Bureau

7-36  of the Census of the United States Department of Commerce issues

7-37  population totals that conflict with the totals certified by the

7-38  Governor pursuant to NRS 360.285, be an estimate of the change in

7-39  population for the calendar year, based upon the population totals

7-40  issued by the Bureau of the Census.

7-41      (b) If a new method of determining population is established

7-42  pursuant to NRS 360.283, be adjusted in a manner that will result in

7-43  the percentage change being based on population determined

7-44  pursuant to the new method for both the fiscal year in which the

8-1  allocation is made and the fiscal year immediately preceding the

8-2  year in which the allocation is made.

8-3  (c) If a local government files a formal appeal with the Bureau

8-4  of the Census [of the United States Department of Commerce]

8-5  concerning the population total of the local government issued by

8-6  the Bureau of the Census, be calculated using the population total

8-7  certified by the Governor pursuant to NRS 360.285 until the appeal

8-8  is resolved. If additional money is allocated to the local government

8-9  because the population total certified by the Governor is greater than

8-10  the population total issued by the Bureau of the Census, the State

8-11  Treasurer shall deposit that additional money in a separate interest-

8-12  bearing account. Upon resolution of the appeal, if the population

8-13  total finally determined pursuant to the appeal is:

8-14          (1) Equal to or less than the population total initially issued

8-15  by the Bureau of the Census, the State Treasurer shall transfer the

8-16  total amount in the separate interest-bearing account, including

8-17  interest but excluding any administrative fees, to the Local

8-18  Government Tax Distribution Account for allocation among the

8-19  local governments in the county pursuant to subsection 4[.] , 5 or 6,

8-20  as appropriate.

8-21          (2) Greater than the population total initially issued by the

8-22  Bureau of the Census, the Executive Director shall calculate the

8-23  amount that would have been allocated to the local government

8-24  pursuant to subsection 4 , 5 or 6, as appropriate, if the population

8-25  total finally determined pursuant to the appeal had been used and the

8-26  State Treasurer shall remit to the local government an amount equal

8-27  to the difference between the amount actually distributed and the

8-28  amount calculated pursuant to this subparagraph or the total amount

8-29  in the separate interest-bearing account, including interest but

8-30  excluding any administrative fees, whichever is less.

8-31      [7.] 9.  On or before February 15 of each year, the Executive

8-32  Director shall provide to each local government, special district and

8-33  enterprise district a preliminary estimate of the revenue it will

8-34  receive from the Account for that fiscal year.

8-35      [8.] 10.  On or before March 15 of each year, the Executive

8-36  Director shall:

8-37      (a) Make an estimate of the receipts from each tax included in

8-38  the Account on an accrual basis for the next fiscal year in

8-39  accordance with generally accepted accounting principles, including

8-40  an estimate for each county of the receipts from each tax included in

8-41  the Account; and

8-42      (b) Provide to each local government, special district and

8-43  enterprise district an estimate of the amount that local government,

8-44  special district or enterprise district would receive based upon the

9-1  estimate made pursuant to paragraph (a) and calculated pursuant to

9-2  the provisions of this section.

9-3  [9.] 11.  A local government, special district or enterprise

9-4  district may use the estimate provided by the Executive Director

9-5  pursuant to subsection [8] 10 in the preparation of its budget.

9-6  Sec. 3.  NRS 360.690 is hereby amended to read as follows:

9-7  360.690  1.  Except as otherwise provided in NRS 360.730,

9-8  the Executive Director shall estimate monthly the amount each local

9-9  government, special district and enterprise district will receive from

9-10  the Account pursuant to the provisions of this section.

9-11      2.  The Executive Director shall establish a base monthly

9-12  allocation for each local government, special district and enterprise

9-13  district by dividing the amount determined pursuant to NRS 360.680

9-14  for each local government, special district and enterprise district by

9-15  12, and the State Treasurer shall, except as otherwise provided in

9-16  subsections 3[, 4 and 5,] to 7, inclusive, remit monthly that amount

9-17  to each local government, special district and enterprise district.

9-18      3.  If, after making the allocation to each enterprise district for

9-19  the month, the Executive Director determines there is not sufficient

9-20  money available in the county’s subaccount in the Account to

9-21  allocate to each local government and special district the base

9-22  monthly allocation determined pursuant to subsection 2, he shall

9-23  prorate the money in the county’s subaccount and allocate to each

9-24  local government and special district an amount equal to [the] its

9-25  proportionate percentage of [the amount that the local government

9-26  or special district received from] the total amount [which was

9-27  distributed to] of the base monthly allocations determined

9-28  pursuant to subsection 2 for all local governments and special

9-29  districts within the county . [for the fiscal year immediately

9-30  preceding the year in which the allocation is made.] The State

9-31  Treasurer shall remit that amount to the local government or special

9-32  district.

9-33      4.  Except as otherwise provided in [subsection] subsections 5,

9-34  6 and 7, if the Executive Director determines that there is money

9-35  remaining in the county’s subaccount in the Account after the base

9-36  monthly allocation determined pursuant to subsection 2 has been

9-37  allocated to each local government, special district and enterprise

9-38  district, he shall immediately determine and allocate each:

9-39      (a) Local government’s share of the remaining money by:

9-40          (1) Multiplying one-twelfth of the amount allocated pursuant

9-41  to NRS 360.680 by the sum of the:

9-42             (I) Average percentage of change in the population of the

9-43  local government for the fiscal year immediately preceding the year

9-44  in which the allocation is made and the 4 fiscal years immediately

9-45  preceding the year in which the allocation is made, as certified by

10-1  the Governor pursuant to NRS 360.285, except as otherwise

10-2  provided in subsection [6;] 8; and

10-3             (II) Average percentage of change in the assessed

10-4  valuation of the taxable property in the local government, including

10-5  assessed valuation attributable to a redevelopment agency but

10-6  excluding the portion attributable to the net proceeds of minerals,

10-7  over the year in which the allocation is made, as projected by the

10-8  Department pursuant to NRS 361.390, and the 4 fiscal years

10-9  immediately preceding the year in which the allocation is made; and

10-10         (2) Using the figure calculated pursuant to subparagraph (1)

10-11  to calculate and allocate to each local government an amount equal

10-12  to the proportion that the figure calculated pursuant to subparagraph

10-13  (1) bears to the total amount of the figures calculated pursuant to

10-14  subparagraph (1) of this paragraph and subparagraph (1) of

10-15  paragraph (b), respectively, for the local governments and special

10-16  districts located in the same county multiplied by the total amount

10-17  available in the subaccount; and

10-18     (b) Special district’s share of the remaining money by:

10-19         (1) Multiplying one-twelfth of the amount allocated pursuant

10-20  to NRS 360.680 by the average change in the assessed valuation of

10-21  the taxable property in the special district, including assessed

10-22  valuation attributable to a redevelopment agency but excluding the

10-23  portion attributable to the net proceeds of minerals, over the 5 fiscal

10-24  years immediately preceding the year in which the allocation is

10-25  made; and

10-26         (2) Using the figure calculated pursuant to subparagraph (1)

10-27  to calculate and allocate to each special district an amount equal to

10-28  the proportion that the figure calculated pursuant to subparagraph

10-29  (1) bears to the total amount of the figures calculated pursuant to

10-30  subparagraph (1) of this paragraph and subparagraph (1) of

10-31  paragraph (a), respectively, for the local governments and special

10-32  districts located in the same county multiplied by the total amount

10-33  available in the subaccount.

10-34  The State Treasurer shall remit the amount allocated to each local

10-35  government or special district pursuant to this subsection.

10-36     5.  Except as otherwise provided in subsection 7, if the

10-37  Executive Director determines that there is money remaining in

10-38  the county’s subaccount in the Account after the base monthly

10-39  allocation determined pursuant to subsection 2 has been allocated

10-40  to each local government, special district and enterprise district,

10-41  that the sum of the average percentage of change in population

10-42  and the average percentage of change in the assessed valuation of

10-43  taxable property, as calculated pursuant to subparagraph (1) of

10-44  paragraph (a) of subsection 4 for each of those local governments,

10-45  is a negative figure, and that the average change in the assessed

11-1  valuation of the taxable property in each of those special districts,

11-2  as calculated pursuant to subparagraph (1) of paragraph (b) of

11-3  subsection 4, is a negative figure, he shall immediately determine

11-4  and allocate each:

11-5      (a) Local government’s share of the remaining money by:

11-6          (1) Multiplying one-twelfth of the amount allocated

11-7  pursuant to NRS 360.680 by 1 plus the sum of the:

11-8             (I) Average percentage of change in the population of

11-9  the local government for the fiscal year immediately preceding the

11-10  year in which the allocation is made and the 4 fiscal years

11-11  immediately preceding the year in which the allocation is made, as

11-12  certified by the Governor pursuant to NRS 360.285, except as

11-13  otherwise provided in subsection 8; and

11-14             (II) Average percentage of change in the assessed

11-15  valuation of the taxable property in the local government,

11-16  including assessed valuation attributable to a redevelopment

11-17  agency but excluding the portion attributable to the net proceeds

11-18  of minerals, over the year in which the allocation is made, as

11-19  projected by the Department pursuant to NRS 361.390, and the 4

11-20  fiscal years immediately preceding the year in which the allocation

11-21  is made; and

11-22         (2) Using the figure calculated pursuant to subparagraph

11-23  (1) to calculate and allocate to each local government an amount

11-24  equal to the proportion that the figure calculated pursuant to

11-25  subparagraph (1) bears to the total amount of the figures

11-26  calculated pursuant to subparagraph (1) of this paragraph and

11-27  subparagraph (1) of paragraph (b), respectively, for the local

11-28  governments and special districts located in the same county

11-29  multiplied by the total amount available in the subaccount; and

11-30     (b) Special district’s share of the remaining money by:

11-31         (1) Multiplying one-twelfth of the amount allocated

11-32  pursuant to NRS 360.680 by 1 plus the average change in the

11-33  assessed valuation of the taxable property in the special district,

11-34  including assessed valuation attributable to a redevelopment

11-35  agency but excluding the portion attributable to the net proceeds

11-36  of minerals, over the 5 fiscal years immediately preceding the year

11-37  in which the allocation is made; and

11-38         (2) Using the figure calculated pursuant to subparagraph

11-39  (1) to calculate and allocate to each special district an amount

11-40  equal to the proportion that the figure calculated pursuant to

11-41  subparagraph (1) bears to the total amount of the figures

11-42  calculated pursuant to subparagraph (1) of this paragraph and

11-43  subparagraph (1) of paragraph (a), respectively, for the local

11-44  governments and special districts located in the same county

11-45  multiplied by the total amount available in the subaccount.

12-1  The State Treasurer shall remit the amount allocated to each local

12-2  government or special district pursuant to this subsection.

12-3      6.  Except as otherwise provided in subsection 7, if the

12-4  Executive Director determines that there is money remaining in

12-5  the county’s subaccount in the Account after the base monthly

12-6  allocation determined pursuant to subsection 2 has been allocated

12-7  to each local government, special district and enterprise district,

12-8  that the sum of the average percentage of change in population

12-9  and the average percentage of change in the assessed valuation of

12-10  taxable property, as calculated pursuant to subparagraph (1) of

12-11  paragraph (a) of subsection 4 for each of those local governments,

12-12  is a negative figure, and that the average change in the assessed

12-13  valuation of the taxable property in any of those special districts,

12-14  as calculated pursuant to subparagraph (1) of paragraph (b) of

12-15  subsection 4, is a positive figure, he shall immediately determine

12-16  and allocate each:

12-17     (a) Local government’s share of the remaining money by:

12-18         (1) Multiplying one-twelfth of the amount allocated

12-19  pursuant to NRS 360.680 by 1 plus the sum of the:

12-20             (I) Average percentage of change in the population of

12-21  the local government for the fiscal year immediately preceding the

12-22  year in which the allocation is made and the 4 fiscal years

12-23  immediately preceding the year in which the allocation is made, as

12-24  certified by the Governor pursuant to NRS 360.285, except as

12-25  otherwise provided in subsection 8; and

12-26             (II) Average percentage of change in the assessed

12-27  valuation of the taxable property in the local government,

12-28  including assessed valuation attributable to a redevelopment

12-29  agency but excluding the portion attributable to the net proceeds

12-30  of minerals, over the year in which the allocation is made, as

12-31  projected by the Department pursuant to NRS 361.390, and the 4

12-32  fiscal years immediately preceding the year in which the allocation

12-33  is made; and

12-34         (2) Using the figure calculated pursuant to subparagraph

12-35  (1) to calculate and allocate to each local government an amount

12-36  equal to the proportion that the figure calculated pursuant to

12-37  subparagraph (1) bears to the total amount of the figures

12-38  calculated pursuant to subparagraph (1) of this paragraph and

12-39  subparagraph (1) of paragraph (b), respectively, for the local

12-40  governments and special districts located in the same county

12-41  multiplied by the total amount available in the subaccount; and

12-42     (b) Special district’s share of the remaining money by:

12-43         (1) Multiplying one-twelfth of the amount allocated

12-44  pursuant to NRS 360.680 by 1 plus the sum of the:

13-1             (I) Average percentage of change in the population of

13-2  the county for the fiscal year immediately preceding the year in

13-3  which the allocation is made and the 4 fiscal years immediately

13-4  preceding the year in which the allocation is made, as certified by

13-5  the Governor pursuant to NRS 360.285, except as otherwise

13-6  provided in subsection 8; and

13-7             (II) Average change in the assessed valuation of the

13-8  taxable property in the special district, including assessed

13-9  valuation attributable to a redevelopment agency but excluding the

13-10  portion attributable to the net proceeds of minerals, over the 5

13-11  fiscal years immediately preceding the year in which the allocation

13-12  is made; and

13-13         (2) Using the figure calculated pursuant to subparagraph

13-14  (1) to calculate and allocate to each special district an amount

13-15  equal to the proportion that the figure calculated pursuant to

13-16  subparagraph (1) bears to the total amount of the figures

13-17  calculated pursuant to subparagraph (1) of this paragraph and

13-18  subparagraph (1) of paragraph (a), respectively, for the local

13-19  governments and special districts located in the same county

13-20  multiplied by the total amount available in the subaccount.

13-21  The State Treasurer shall remit the amount allocated to each local

13-22  government or special district pursuant to this subsection.

13-23     7.  The Executive Director shall not allocate any amount to a

13-24  local government or special district pursuant to subsection 4, 5 or 6

13-25  unless the amount distributed and allocated to each of the local

13-26  governments and special districts in the county in each preceding

13-27  month of the fiscal year in which the allocation is to be made was at

13-28  least equal to the base monthly allocation determined pursuant to

13-29  subsection 2. If the amounts distributed to the local governments

13-30  and special districts in the county for the preceding months of the

13-31  fiscal year in which the allocation is to be made were less than the

13-32  base monthly allocation determined pursuant to subsection 2 and

13-33  the Executive Director determines there is money remaining in the

13-34  county’s subaccount in the Account after the distribution for the

13-35  month has been made, he shall:

13-36     (a) Determine the amount by which the base monthly allocations

13-37  determined pursuant to subsection 2 for each local government and

13-38  special district in the county for the preceding months of the fiscal

13-39  year in which the allocation is to be made exceeds the amounts

13-40  actually received by the local governments and special districts in

13-41  the county for the same period; and

13-42     (b) Compare the amount determined pursuant to paragraph (a) to

13-43  the amount of money remaining in the county’s subaccount in the

13-44  Account to determine which amount is greater.

14-1  If the Executive Director determines that the amount determined

14-2  pursuant to paragraph (a) is greater, he shall allocate the money

14-3  remaining in the county’s subaccount in the Account pursuant to the

14-4  provisions of subsection 3. If the Executive Director determines that

14-5  the amount of money remaining in the county’s subaccount in the

14-6  Account is greater, he shall first allocate the money necessary for

14-7  each local government and special district to receive the base

14-8  monthly allocation determined pursuant to subsection 2 and the

14-9  State Treasurer shall remit that money so allocated. The Executive

14-10  Director shall allocate any additional money in the county’s

14-11  subaccount in the Account pursuant to the provisions of subsection

14-12  4[.

14-13     6.] , 5 or 6, as appropriate.

14-14     8.  The percentage [change] changes in population calculated

14-15  pursuant to [paragraph (a) of subsection] subsections 4 , 5 and 6

14-16  must:

14-17     (a) Except as otherwise provided in paragraph (c), if the Bureau

14-18  of the Census of the United States Department of Commerce issues

14-19  population totals that conflict with the totals certified by the

14-20  Governor pursuant to NRS 360.285, be an estimate of the change in

14-21  population for the calendar year, based upon the population totals

14-22  issued by the Bureau of the Census.

14-23     (b) If a new method of determining population is established

14-24  pursuant to NRS 360.283, be adjusted in a manner that will result in

14-25  the percentage change being based on population determined

14-26  pursuant to the new method for both the fiscal year in which the

14-27  allocation is made and the fiscal year immediately preceding the

14-28  year in which the allocation is made.

14-29     (c) If a local government files a formal appeal with the Bureau

14-30  of the Census [of the United States Department of Commerce]

14-31  concerning the population total of the local government issued by

14-32  the Bureau of the Census, be calculated using the population total

14-33  certified by the Governor pursuant to NRS 360.285 until the appeal

14-34  is resolved. If additional money is allocated to the local government

14-35  because the population total certified by the Governor is greater than

14-36  the population total issued by the Bureau of the Census, the State

14-37  Treasurer shall deposit that additional money in a separate interest-

14-38  bearing account. Upon resolution of the appeal, if the population

14-39  total finally determined pursuant to the appeal is:

14-40         (1) Equal to or less than the population total initially issued

14-41  by the Bureau of the Census, the State Treasurer shall transfer the

14-42  total amount in the separate interest-bearing account, including

14-43  interest but excluding any administrative fees, to the Local

14-44  Government Tax Distribution Account for allocation among the

15-1  local governments in the county pursuant to subsection 4[.] , 5 or 6,

15-2  as appropriate.

15-3          (2) Greater than the population total initially issued by the

15-4  Bureau of the Census, the Executive Director shall calculate the

15-5  amount that would have been allocated to the local government

15-6  pursuant to subsection 4 , 5 or 6, as appropriate, if the population

15-7  total finally determined pursuant to the appeal had been used and the

15-8  State Treasurer shall remit to the local government an amount equal

15-9  to the difference between the amount actually distributed and the

15-10  amount calculated pursuant to this subparagraph or the total amount

15-11  in the separate interest-bearing account, including interest but

15-12  excluding any administrative fees, whichever is less.

15-13     [7.] 9.  On or before February 15 of each year, the Executive

15-14  Director shall provide to each local government, special district and

15-15  enterprise district a preliminary estimate of the revenue it will

15-16  receive from the Account for that fiscal year.

15-17     [8.] 10.  On or before March 15 of each year, the Executive

15-18  Director shall:

15-19     (a) Make an estimate of the receipts from each tax included in

15-20  the Account on an accrual basis for the next fiscal year in

15-21  accordance with generally accepted accounting principles, including

15-22  an estimate for each county of the receipts from each tax included in

15-23  the Account; and

15-24     (b) Provide to each local government, special district and

15-25  enterprise district an estimate of the amount that local government,

15-26  special district or enterprise district would receive based upon the

15-27  estimate made pursuant to paragraph (a) and calculated pursuant to

15-28  the provisions of this section.

15-29     [9.] 11.  A local government, special district or enterprise

15-30  district may use the estimate provided by the Executive Director

15-31  pursuant to subsection [8] 10 in the preparation of its budget.

15-32     Sec. 4.  NRS 354.59813 is hereby amended to read as follows:

15-33     354.59813  1.  In addition to the allowed revenue from taxes

15-34  ad valorem determined pursuant to NRS 354.59811, if the estimate

15-35  of the revenue available from the supplemental city-county relief tax

15-36  to the county as determined by the Executive Director of the

15-37  Department of Taxation pursuant to the provisions of subsection [8]

15-38  10 of NRS 360.690 is less than the amount of money that would be

15-39  generated by applying a tax rate of $1.15 per $100 of assessed

15-40  valuation to the assessed valuation of the county, except any

15-41  assessed valuation attributable to the net proceeds of minerals, the

15-42  governing body of each local government may levy an additional

15-43  tax ad valorem for operating purposes. The total tax levied by the

15-44  governing body of a local government pursuant to this section must

16-1  not exceed a rate calculated to produce revenue equal to the

16-2  difference between the:

16-3      (a) Amount of revenue from supplemental city-county relief tax

16-4  estimated to be received by the county pursuant to subsection [8] 10

16-5  of NRS 360.690; and

16-6      (b) The tax that the county would have been estimated to receive

16-7  if the estimate for the total revenue available from the tax was equal

16-8  to the amount of money that would be generated by applying a tax

16-9  rate of $1.15 per $100 of assessed valuation to the assessed

16-10  valuation of the county,

16-11  multiplied by the proportion determined for the local government

16-12  pursuant to subparagraph (2) of paragraph (a) of subsection 4 of

16-13  NRS 360.690[.] , subparagraph (2) of paragraph (a) of subsection

16-14  5 of NRS 360.690 or subparagraph (2) of paragraph (a) of

16-15  subsection 6 of NRS 360.690, as appropriate.

16-16     2.  Any additional taxes ad valorem levied as a result of the

16-17  application of this section must not be included in the base from

16-18  which the allowed revenue from taxes ad valorem for the next

16-19  subsequent year is computed.

16-20     3.  As used in this section, “local government” has the meaning

16-21  ascribed to it in NRS 360.640.

16-22     Sec. 5.  NRS 354.598747 is hereby amended to read as

16-23  follows:

16-24     354.598747  1.  To calculate the amount to be distributed

16-25  pursuant to the provisions of NRS 360.680 and 360.690 from a

16-26  county’s subaccount in the Local Government Tax Distribution

16-27  Account to a local government, special district or enterprise district

16-28  after it assumes the functions of another local government, special

16-29  district or enterprise district:

16-30     (a) Except as otherwise provided in this [subsection and

16-31  subsection 2,] section, the Executive Director of the Department of

16-32  Taxation shall:

16-33         (1) Add the amounts calculated pursuant to subsection 1 or 2

16-34  of NRS 360.680 for each local government, special district or

16-35  enterprise district and allocate the combined amount to the local

16-36  government, special district or enterprise district that assumes the

16-37  functions; and

16-38         (2) If applicable, add the average change in population and

16-39  average change in the assessed valuation of [the] taxable property

16-40  that would otherwise be allowed to the local government or special

16-41  district whose functions are assumed, including the assessed

16-42  valuation attributable to a redevelopment agency but excluding the

16-43  portion attributable to the net proceeds of minerals, pursuant to

16-44  subsection 4 , 5 or 6 of NRS 360.690 , as appropriate, to the

16-45  average change in population and average change in assessed

17-1  valuation for the local government, special district or enterprise

17-2  district that assumes the functions.

17-3      (b) If two or more local governments, special districts or

17-4  enterprise districts assume the functions of another local

17-5  government, special district or enterprise district, the additional

17-6  revenue must be divided among the local governments, special

17-7  districts or enterprise districts that assume the functions on the basis

17-8  of the proportionate costs of the functions assumed.

17-9  The Nevada Tax Commission shall not allow any increase in the

17-10  allowed revenue from the taxes contained in the county’s

17-11  subaccount in the Local Government Tax Distribution Account if

17-12  the increase would result in a decrease in revenue of any local

17-13  government, special district or enterprise district in the county that

17-14  does not assume those functions. If more than one local government,

17-15  special district or enterprise district assumes the functions, the

17-16  Nevada Tax Commission shall determine the appropriate amounts

17-17  calculated pursuant to subparagraphs (1) and (2) of paragraph (a).

17-18     2.  If a city disincorporates, the board of county commissioners

17-19  of the county in which the city is located must determine the amount

17-20  the unincorporated town created by the disincorporation will receive

17-21  pursuant to the provisions of NRS 360.600 to 360.740, inclusive.

17-22     3.  As used in this section:

17-23     (a) “Enterprise district” has the meaning ascribed to it in

17-24  NRS 360.620.

17-25     (b) “Local government” has the meaning ascribed to it in

17-26  NRS 360.640.

17-27     (c) “Special district” has the meaning ascribed to it in

17-28  NRS 360.650.

17-29     Sec. 6.  1.  This section and sections 4 and 5 of this act

17-30  become effective on July 1, 2003.

17-31     2.  Section 2 of this act becomes effective at 12:01 a.m. on

17-32  July 1, 2003, and expires by limitation on June 30, 2004.

17-33     3.  Section 1 of this act becomes effective on July 1, 2004.

17-34     4.  Section 3 of this act becomes effective at 12:01 a.m. on

17-35  July 1, 2004.

 

17-36  H