(Reprinted with amendments adopted on May 27, 2003)
FIRST REPRINT S.B. 495
Senate
Bill No. 495–Senators Townsend,
Washington and Mathews
May 1, 2003
____________
Referred to Committee on Taxation
SUMMARY—Makes various changes to Consolidated Local Improvements Law. (BDR 21‑1339)
FISCAL NOTE: Effect on Local Government: Yes.
Effect on the State: Yes.
~
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 local improvements; authorizing under certain circumstances the acquisition of art and tourism and entertainment projects pursuant to the Consolidated Local Improvements Law; authorizing under certain circumstances the pledge of certain sales and use tax proceeds and state funding for the acquisition of projects pursuant to the Consolidated Local Improvements Law; and providing other matters properly relating thereto.
Whereas, The State Legislature recognizes the importance of economic development and tourism to the State of Nevada and the need to compete effectively with other states in the promotion of economic development and tourism; and
Whereas, It is the intention of the State Legislature for the provisions of this act to be carried out for the promotion of economic development and tourism in the State of Nevada and for no other purpose; now, therefore,
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
2-1 Section 1. Chapter 271 of NRS is hereby amended by adding
2-2 thereto the provisions set forth as sections 2 to 7, inclusive, of this
2-3 act.
2-4 Sec. 2. “Art project” means any works of art which are:
2-5 1. Selected through a public process; and
2-6 2. Displayed within the boundaries of an improvement district
2-7 at a location which is:
2-8 (a) Accessible to the public; and
2-9 (b) On property:
2-10 (1) Owned by a governmental entity; or
2-11 (2) Over which a governmental entity has a permanent
2-12 easement for public access.
2-13 Sec. 3. “Tourism and entertainment project” means any
2-14 publicly owned building or complex of buildings to accommodate
2-15 or house public and private activities as a part of a multi-faceted
2-16 center for tourism, including, without limitation, library facilities,
2-17 museum facilities, theater facilities, aquarium facilities, art
2-18 galleries, picture galleries, auditorium facilities, exposition
2-19 facilities, athletic facilities, racing facilities and any other
2-20 structures, fixtures, appurtenances and property and other
2-21 incidentals which are necessary, useful or desirable for such a
2-22 project, or any combination thereof.
2-23 Sec. 4. 1. Except as otherwise provided in subsection 2, the
2-24 governing body of a municipality in a county whose population is
2-25 less than 400,000 may include in an assessment ordinance for a
2-26 project the pledge of a single percentage specified in the
2-27 ordinance, which must not exceed 75 percent, of:
2-28 (a) An amount equal to the proceeds of the taxes imposed
2-29 pursuant to NRS 372.105 and 372.185 with regard to tangible
2-30 personal property sold at retail, or stored, used or otherwise
2-31 consumed, in the improvement district during a fiscal year, after
2-32 the deduction of a sum equal to 0.75 percent of the amount of
2-33 those proceeds; and
2-34 (b) The amount of the proceeds of the taxes imposed pursuant
2-35 to NRS 374.110, 374.190 and 377.030 with regard to tangible
2-36 personal property sold at retail, or stored, used or otherwise
2-37 consumed, in the improvement district during a fiscal year, after
2-38 the deduction of 0.75 percent of the amount of those proceeds.
2-39 2. The governing body of a municipality shall not include a
2-40 pledge authorized by subsection 1 in an assessment ordinance for
2-41 a project unless:
2-42 (a) The governing body determines that no retailers have
2-43 maintained a fixed place of business in the improvement district at
2-44 any time from the first day of the fiscal year in which the
3-1 assessment ordinance is adopted until the date of the adoption of
3-2 the ordinance;
3-3 (b) Except as otherwise provided in subsection 3, the board of
3-4 county commissioners of each county in which the improvement
3-5 district is located determines, at a public hearing conducted at
3-6 least 15 days after providing notice of the hearing by publication,
3-7 that:
3-8 (1) As a result of the project:
3-9 (I) Retailers will locate their businesses as such in the
3-10 improvement district; and
3-11 (II) There will be a substantial increase in the proceeds
3-12 from sales and use taxes remitted by retailers with regard to
3-13 tangible personal property sold at retail, or stored, used or
3-14 otherwise consumed, in the improvement district; and
3-15 (2) A preponderance of that increase in the proceeds from
3-16 sales and use taxes will be attributable to transactions with tourists
3-17 who are not residents of this state;
3-18 (c) The Commission on Tourism determines, at a public
3-19 hearing conducted at least 15 days after providing notice of the
3-20 hearing by publication, that a preponderance of the increase in
3-21 the proceeds from sales and use taxes identified pursuant to
3-22 paragraph (b) will be attributable to transactions with tourists who
3-23 are not residents of this state; and
3-24 (d) The Governor determines that the project and the pledge of
3-25 money authorized by subsection 1 will contribute significantly to
3-26 economic development and tourism in this state. Before making
3-27 that determination, the Governor:
3-28 (1) Must consider the fiscal effects of the pledge of money
3-29 on educational funding, including any fiscal effects described in
3-30 comments provided pursuant to section 6 of this act by the school
3-31 district in which the improvement district is located, and for that
3-32 purpose may require the Department of Education or the
3-33 Department of Taxation, or both, to provide him with an
3-34 appropriate fiscal report; and
3-35 (2) If the Governor determines that the pledge of money
3-36 will have a substantial adverse fiscal effect on educational
3-37 funding, may require a commitment from the municipality for the
3-38 provision of specified payments to the school district in which the
3-39 improvement district is located during the term of the pledge of
3-40 money. The payments may be provided pursuant to agreements
3-41 authorized by section 6 of this act or from sources other than the
3-42 owners of property within the improvement district. Such a
3-43 commitment by a municipality is not subject to the limitations of
3-44 subsection 1 of NRS 354.626 and, notwithstanding any other law
4-1 to the contrary, is binding on the municipality for the term of the
4-2 pledge of money authorized by subsection 1.
4-3 3. Any determination or approval made pursuant to
4-4 subsection 2 is conclusive in the absence of fraud or gross abuse
4-5 of discretion. If an improvement district is created by a
4-6 municipality that is not a county and the board of county
4-7 commissioners refuses to make the determinations required by
4-8 paragraph (b) of subsection 2, the governing body of the
4-9 municipality may request the Commission on Tourism to make
4-10 those determinations. The Commission on Tourism shall make
4-11 those determinations if a majority of the members of the
4-12 Commission on Tourism agree that the refusal was unreasonable.
4-13 If those determinations are made by the Commission on Tourism
4-14 pursuant to this subsection, those determinations shall be deemed
4-15 to be as conclusive as determinations made by the board of county
4-16 commissioners pursuant to paragraph (b) of subsection 2, and to
4-17 satisfy the requirements of that paragraph.
4-18 4. As used in this section, “retailer” has the meaning ascribed
4-19 to it in NRS 374.060.
4-20 Sec. 5. After the adoption of an assessment ordinance in
4-21 accordance with section 4 of this act, the governing body of the
4-22 municipality and the Department of Taxation shall enter into an
4-23 agreement specifying the dates and procedure for distribution to
4-24 the municipality of the amounts pledged pursuant to subsection 1
4-25 of section 4 of this act. The distributions must:
4-26 1. Be made not less frequently than once each calendar
4-27 quarter; and
4-28 2. Cease on the date that all assessments imposed pursuant to
4-29 the assessment ordinance have been paid in full, including any
4-30 applicable payments of principal, interest and penalties.
4-31 Sec. 6. 1. After the adoption of an assessment ordinance in
4-32 accordance with section 4 of this act, the governing body of a
4-33 municipality may, except as otherwise provided in subsection 2,
4-34 enter into an agreement with one or more of the owners of any
4-35 interest in property within the improvement district, pursuant to
4-36 which that owner would agree to make payments to the
4-37 municipality or to another local government that provides services
4-38 in the improvement district, or to both, to defray, in whole or in
4-39 part, the cost of local governmental services during the term of the
4-40 pledge authorized pursuant to subsection 1 of section 4 of this act.
4-41 Such an agreement must specify the amount to be paid by the
4-42 owner of the property interest, which may be stated as a particular
4-43 amount per year or as an amount based upon any formula upon
4-44 which the municipality and owner agree.
5-1 2. The governing body of a municipality shall not enter into
5-2 an agreement pursuant to subsection 1 unless the governing body
5-3 determines that the project and the assessment of property within
5-4 the improvement district will not have a positive fiscal effect on the
5-5 provision of local governmental services, after considering:
5-6 (a) The amount of the proceeds of all taxes and other
5-7 governmental revenue projected to be received as a result of the
5-8 properties and businesses expected to be located in the
5-9 improvement district;
5-10 (b) The use of the amounts pledged pursuant to subsection 1 of
5-11 section 4 of this act; and
5-12 (c) Any increase in costs for the provision of local
5-13 governmental services, including, without limitation, services for
5-14 police protection and fire protection, as a result of the project and
5-15 the development of land within the improvement district.
5-16 3. Before making any determination pursuant to
5-17 subsection 2, the governing body of a municipality shall provide to
5-18 the board of trustees of the school district in which the
5-19 improvement district is located, at least 45 days before making the
5-20 determination:
5-21 (a) Written notice of the time and place of the meeting at
5-22 which the governing body will consider making the determination;
5-23 and
5-24 (b) Each analysis prepared by or for or presented to the
5-25 governing body regarding the fiscal effect of the project and the
5-26 pledge authorized pursuant to section 4 of this act on the provision
5-27 of local governmental services, including education.
5-28 After the receipt of that notice and before the date of that meeting
5-29 of the governing body of the municipality, the board of trustees
5-30 shall conduct a hearing regarding the fiscal effect, if any, of the
5-31 project and the pledge authorized pursuant to section 4 of this act
5-32 on the school district, and submit to the governing body any
5-33 comments regarding that fiscal effect. The governing body shall
5-34 consider those comments when making any determination
5-35 pursuant to subsection 2 and may consider those comments when
5-36 determining the terms of any agreement pursuant to subsection 1.
5-37 4. Any determination made pursuant to subsection 2 is
5-38 conclusive in the absence of fraud or gross abuse of discretion.
5-39 Sec. 7. If the governing body of a municipality adopts an
5-40 assessment ordinance in accordance with section 4 of this act:
5-41 1. None of the bonds, if any, issued for the improvement
5-42 district may be secured by a pledge of the taxing power or general
5-43 fund of the municipality; and
5-44 2. NRS 271.495 and 271.500 do not apply to any bonds issued
5-45 for the improvement district.
6-1 Sec. 8. NRS 271.030 is hereby amended to read as follows:
6-2 271.030 As used in this chapter, unless the context otherwise
6-3 requires, the words and terms defined in NRS 271.035 to 271.250,
6-4 inclusive, and sections 2 and 3 of this act have the meanings
6-5 ascribed to them in those sections.
6-6 Sec. 9. NRS 271.265 is hereby amended to read as follows:
6-7 271.265 1. The governing body of a county, city or town,
6-8 upon behalf of the municipality and in its name, without any
6-9 election, may from time to time acquire, improve, equip, operate
6-10 and maintain, within or without the municipality, or both within and
6-11 without the municipality:
6-12 (a) A commercial area vitalization project;
6-13 (b) A curb and gutter project;
6-14 (c) A drainage project;
6-15 (d) An off-street parking project;
6-16 (e) An overpass project;
6-17 (f) A park project;
6-18 (g) A sanitary sewer project;
6-19 (h) A security wall;
6-20 (i) A sidewalk project;
6-21 (j) A storm sewer project;
6-22 (k) A street project;
6-23 (l) A street beautification project;
6-24 (m) A transportation project;
6-25 (n) An underpass project;
6-26 (o) A water project; and
6-27 (p) Any combination of such projects.
6-28 2. In addition to the power specified in subsection 1, the
6-29 governing body of a city having a commission form of government
6-30 as defined in NRS 267.010, upon behalf of the municipality and in
6-31 its name, without any election, may from time to time acquire,
6-32 improve, equip, operate and maintain, within or without the
6-33 municipality, or both within and without the municipality:
6-34 (a) An electrical project;
6-35 (b) A telephone project;
6-36 (c) A combination of an electrical project and a telephone
6-37 project;
6-38 (d) A combination of an electrical project or a telephone project
6-39 with any of the projects, or any combination thereof, specified in
6-40 subsection 1; and
6-41 (e) A combination of an electrical project and a telephone
6-42 project with any of the projects, or any combination thereof,
6-43 specified in subsection 1.
6-44 3. In addition to the power specified in subsections 1 and 2, the
6-45 governing body of a municipality, on behalf of the municipality and
7-1 in its name, without an election, may finance an underground
7-2 conversion project with the approval of each service provider that
7-3 owns the overhead service facilities to be converted.
7-4 4. In addition to the power specified in subsections 1, 2 and 3,
7-5 if the governing body of a municipality in a county whose
7-6 population is less than 400,000 complies with the provisions of
7-7 section 4 of this act, the governing body of the municipality, on
7-8 behalf of the municipality and in its name, without any election,
7-9 may from time to time acquire, improve, equip, operate and
7-10 maintain, within or without the municipality, or both within and
7-11 without the municipality:
7-12 (a) An art project; and
7-13 (b) A tourism and entertainment project.
7-14 Sec. 10. NRS 271.431 is hereby amended to read as follows:
7-15 271.431 As used in NRS 271.431 to 271.434, inclusive,
7-16 “revenue” means any money pledged wholly or in part for crediting
7-17 to or payment of assessments, subject to any existing pledges or
7-18 other contractual limitations and may include:
7-19 1. Moneys derived from one, all or any combination of revenue
7-20 resources appertaining to any facilities of the municipality, financed
7-21 in whole or in part with the proceeds of assessments levied pursuant
7-22 to the assessment ordinance, including , but not limited to , use and
7-23 service charges, rents, fees and any other income derived from the
7-24 operation or ownership of, from the use or services of, or from the
7-25 availability of or services appertaining to, the lease of, any sale or
7-26 other disposal of, any contract or other arrangement, or otherwise
7-27 derived in connection with such facilities or all or any part of any
7-28 property appertaining to the facilities.
7-29 2. Any loans, grants or contributions to the municipality from
7-30 the Federal Government, the State or any public body for the
7-31 payment of all or any portion of the cost of the project for which the
7-32 assessments were levied.
7-33 3. The proceeds of any excise taxes levied and collected by the
7-34 municipality or otherwise received by it and authorized by law to be
7-35 pledged for the payment of the project for which the assessments
7-36 were levied or for the payment of the assessments levied to finance
7-37 the cost of the project but excluding the proceeds of any general (ad
7-38 valorem) taxes.
7-39 4. Any money pledged pursuant to an assessment ordinance
7-40 adopted in accordance with section 4 of this act.
7-41 Sec. 11. NRS 271.4315 is hereby amended to read as follows:
7-42 271.4315 1. The governing body may apply any revenues to
7-43 the payment of assessments and in so doing may pledge the revenue
7-44 to such payment. The revenues [shall] must be credited in the
7-45 proportion which each individual assessment or installment of
8-1 principal bears to the total of all individual assessments in the
8-2 assessment to which the revenues are to be credited. The application
8-3 of revenues [shall] must be made pursuant to the provisions set forth
8-4 in the assessment ordinance.
8-5 2. If an individual assessment, or any installment of principal
8-6 and interest has been paid in cash, the credit [shall] must be returned
8-7 in cash to the person or persons paying the same upon their
8-8 furnishing satisfactory evidence of payment. Where all or any part
8-9 of an individual assessment remains unpaid and is payable in
8-10 installments of principal, the credit [shall] must be applied to the
8-11 installment, and if after the payment of the installment there remains
8-12 an unused portion of the credit, the unused portion [shall] must be
8-13 applied to the payment of interests, and if after the payment of such
8-14 principal and interest there remains an unused portion of the credit,
8-15 the unused portion [shall] must be :
8-16 (a) Except as otherwise provided in paragraph (b), applied to
8-17 the next ensuing installment or installments of principal and interest
8-18 ; or
8-19 (b) If the credit is derived from money pledged pursuant to an
8-20 assessment ordinance adopted in accordance with section 4 of this
8-21 act, remitted to the State Controller for distribution in the manner
8-22 set forth in subsection 2 of section 12 of this act, until the credit is
8-23 applied in its entirety.
8-24 Sec. 12. Chapter 360 of NRS is hereby amended by adding
8-25 thereto a new section to read as follows:
8-26 1. The State Controller, acting upon the collection data
8-27 furnished by the Department, shall remit to the governing body of
8-28 a municipality that adopts an assessment ordinance in accordance
8-29 with section 4 of this act, in the manner provided pursuant to an
8-30 agreement made pursuant to section 5 of this act:
8-31 (a) From the State General Fund the amount of money
8-32 pledged pursuant to the ordinance in accordance with paragraph
8-33 (a) of subsection 1 of section 4 of this act, which amount is hereby
8-34 appropriated for that purpose; and
8-35 (b) From the Sales and Use Tax Account in the State General
8-36 Fund the amount of the proceeds pledged pursuant to the
8-37 ordinance in accordance with paragraph (b) of subsection 1 of
8-38 section 4 of this act.
8-39 2. The governing body of a municipality that adopts an
8-40 assessment ordinance in accordance with section 4 of this act shall
8-41 promptly remit to the State Controller any amount received
8-42 pursuant to this section in excess of the amount required to carry
8-43 out the provisions of NRS 271.4315 with regard to the project for
8-44 which the assessment ordinance was adopted. The State Controller
8-45 shall deposit any money received from a governing body of a
9-1 municipality pursuant to this subsection in the appropriate
9-2 account in the State General Fund for distribution and use as if
9-3 the money had not been pledged pursuant to an assessment
9-4 ordinance adopted in accordance with section 4 of this act, in the
9-5 following order of priority:
9-6 (a) First, to the credit of the county school district fund for the
9-7 county in which the improvement district is located to the extent
9-8 that the money would have been transferred to that fund, if not for
9-9 the pledge of the money pursuant to the assessment ordinance,
9-10 pursuant to paragraph (e) of subsection 3 of NRS 374.785 for the
9-11 fiscal year in which the State Controller receives the money;
9-12 (b) Second, to the State General Fund to the extent that the
9-13 money would not have been appropriated, if not for the pledge of
9-14 the money pursuant to the assessment ordinance, pursuant to
9-15 paragraph (a) of subsection 1 for the fiscal year in which the State
9-16 Controller receives the money; and
9-17 (c) Third, to the credit of any other funds and accounts to
9-18 which the money would have been distributed, if not for the pledge
9-19 of the money pursuant to the assessment ordinance, for the fiscal
9-20 year in which the State Controller receives the money.
9-21 3. The Nevada Tax Commission may adopt such regulations
9-22 as it deems appropriate to ensure the proper collection and
9-23 distribution of any money pledged pursuant to an assessment
9-24 ordinance adopted in accordance with section 4 of this act.
9-25 Sec. 13. NRS 374.785 is hereby amended to read as follows:
9-26 374.785 1. All fees, taxes, interest and penalties imposed and
9-27 all amounts of tax required to be paid to counties under this chapter
9-28 must be paid to the Department in the form of remittances payable
9-29 to the Department.
9-30 2. The Department shall deposit the payments in the State
9-31 Treasury to the credit of the Sales and Use Tax Account in the State
9-32 General Fund.
9-33 3. The State Controller, acting upon the collection data
9-34 furnished by the Department, shall, each month, from the Sales and
9-35 Use Tax Account in the State General Fund:
9-36 (a) Transfer .75 percent of all fees, taxes, interest and penalties
9-37 collected in each county during the preceding month to the
9-38 appropriate account in the State General Fund as compensation to
9-39 the State for the costs of collecting the tax.
9-40 (b) Transfer .75 percent of all fees, taxes, interest and penalties
9-41 collected during the preceding month from out-of-state businesses
9-42 not maintaining a fixed place of business within this state to the
9-43 appropriate account in the State General Fund as compensation to
9-44 the State for the costs of collecting the tax.
10-1 (c) Determine for each county the amount of money equal to the
10-2 fees, taxes, interest and penalties collected in the county pursuant to
10-3 this chapter during the preceding month , less the amount transferred
10-4 pursuant to paragraph (a).
10-5 (d) Transfer the total amount of taxes collected pursuant to this
10-6 chapter during the preceding month from out-of-state businesses not
10-7 maintaining a fixed place of business within this state, less the
10-8 amount transferred pursuant to paragraph (b)[,] and excluding any
10-9 amounts required to be remitted pursuant to section 12 of this act,
10-10 to the State Distributive School Account in the State General Fund.
10-11 (e) Except as otherwise provided in NRS 387.528[,] or as
10-12 required to carry out section 12 of this act, transfer the amount
10-13 owed to each county to the Intergovernmental Fund and remit the
10-14 money to the credit of the county school district fund.
10-15 4. For the purpose of the distribution required by this section,
10-16 the occasional sale of a vehicle shall be deemed to take place in the
10-17 county to which the governmental services tax payable by the buyer
10-18 upon that vehicle is distributed.
10-19 Sec. 14. NRS 377.050 is hereby amended to read as follows:
10-20 377.050 1. All fees, taxes, interest and penalties imposed and
10-21 all amounts of tax required to be paid to counties under this chapter
10-22 must be paid to the Department in the form of remittances made
10-23 payable to the Department.
10-24 2. The Department shall deposit the payments with the State
10-25 Treasurer for credit to the Sales and Use Tax Account in the State
10-26 General Fund.
10-27 3. The State Controller, acting upon the collection data
10-28 furnished by the Department, shall , before making the
10-29 distributions required by NRS 377.055 and 377.057 and section 12
10-30 of this act, monthly transfer from the Sales and Use Tax Account
10-31 .75 percent of all fees, taxes, interests and penalties collected
10-32 pursuant to this chapter during the preceding month to the
10-33 appropriate account in the State General Fund[, before making the
10-34 distributions required by NRS 377.055 and 377.057,] as
10-35 compensation to the State for the cost of collecting the tax.
10-36 Sec. 15. NRS 377.055 is hereby amended to read as follows:
10-37 377.055 1. The Department shall monthly determine for each
10-38 county an amount of money equal to the sum of:
10-39 (a) Any fees and any taxes, interest and penalties which derive
10-40 from the basic city-county relief tax collected in that county
10-41 pursuant to this chapter during the preceding month, less the
10-42 corresponding amount transferred to the State General Fund
10-43 pursuant to subsection 3 of NRS 377.050; and
10-44 (b) That proportion of the total amount of taxes which derive
10-45 from that portion of the tax levied at the rate of one-half of 1 percent
11-1 collected pursuant to this chapter during the preceding month from
11-2 out-of-state businesses not maintaining a fixed place of business
11-3 within this state, less the corresponding amount transferred to the
11-4 State General Fund pursuant to subsection 3 of NRS 377.050, which
11-5 the population of that county bears to the total population of all
11-6 counties which have in effect a city-county relief tax
11-7 ordinance,
11-8 and , except as otherwise required to carry out section 12 of this
11-9 act, deposit the money in the Local Government Tax Distribution
11-10 Account created by NRS 360.660 for credit to the respective
11-11 subaccounts of each county.
11-12 2. For the purpose of the distribution required by this section,
11-13 the occasional sale of a vehicle shall be deemed to take place in the
11-14 county to which the governmental services tax payable by the buyer
11-15 upon that vehicle is distributed.
11-16 Sec. 16. NRS 377.057 is hereby amended to read as follows:
11-17 377.057 1. The State Controller, acting upon the relevant
11-18 information furnished by the Department, shall distribute monthly
11-19 from the fees, taxes, interest and penalties which derive from the
11-20 supplemental city-county relief tax collected in all counties and
11-21 from out-of-state businesses during the preceding month, excluding
11-22 any amounts required to be remitted pursuant to section 12 of this
11-23 act and except as otherwise provided in subsection 2, to:
11-24 (a) Douglas, Esmeralda, Eureka, Lander, Lincoln, Lyon,
11-25 Mineral, Nye, Pershing, Storey and White Pine counties, an amount
11-26 equal to one-twelfth of the amount distributed in the immediately
11-27 preceding fiscal year multiplied by one plus:
11-28 (1) The percentage change in the total receipts from the
11-29 supplemental city-county relief tax for all counties and from out-of-
11-30 state businesses, from the fiscal year 2 years preceding the
11-31 immediately preceding fiscal year to the fiscal year preceding the
11-32 immediately preceding fiscal year; or
11-33 (2) Except as otherwise provided in this paragraph, the
11-34 percentage change in the population of the county, as certified by
11-35 the Governor pursuant to NRS 360.285, added to the percentage
11-36 change in the Consumer Price Index for the year ending on
11-37 December 31 next preceding the year of distribution,
11-38 whichever is less, except that the amount distributed to the county
11-39 must not be less than the amount specified in subsection 5. If the
11-40 Bureau of the Census of the United States Department of Commerce
11-41 issues population totals that conflict with the totals certified by the
11-42 Governor pursuant to NRS 360.285, the percentage change
11-43 calculated pursuant to subparagraph (2) for the ensuing fiscal year
11-44 must be an estimate of the change in population for the calendar
12-1 year, based upon the population totals issued by the Bureau of the
12-2 Census.
12-3 (b) All other counties, the amount remaining after making the
12-4 distributions required by paragraph (a) to each of these counties in
12-5 the proportion that the amount of supplemental city-county relief tax
12-6 collected in the county for the month bears to the total amount of
12-7 supplemental city-county relief tax collected for that month in the
12-8 counties whose distribution will be determined pursuant to this
12-9 paragraph.
12-10 2. If the amount of supplemental city-county relief tax
12-11 collected in a county listed in paragraph (a) of subsection 1 for the
12-12 12 most recent months for which information concerning the actual
12-13 amount collected is available on February 15 of any year exceeds by
12-14 more than 10 percent the amount distributed pursuant to paragraph
12-15 (a) to that county for the same period, the State Controller shall
12-16 distribute that county’s portion of the proceeds from the
12-17 supplemental city-county relief tax pursuant to paragraph (b) of
12-18 subsection 1 in all subsequent fiscal years, unless a waiver is
12-19 granted pursuant to subsection 3.
12-20 3. A county which, pursuant to subsection 2, is required to
12-21 have its portion of the proceeds from the supplemental city-county
12-22 relief tax distributed pursuant to paragraph (b) of subsection 1 may
12-23 file a request with the Nevada Tax Commission for a waiver of the
12-24 requirements of subsection 2. The request must be filed on or before
12-25 February 20 next preceding the fiscal year for which the county will
12-26 first receive its portion of the proceeds from the supplemental city-
12-27 county relief tax pursuant to paragraph (b) of subsection 1 and must
12-28 be accompanied by evidence which supports the granting of the
12-29 waiver. The Commission shall grant or deny a request for a waiver
12-30 on or before March 10 next following the timely filing of the
12-31 request. If the Commission determines that the increase in
12-32 the amount of supplemental city-county relief tax collected in the
12-33 county was primarily caused by:
12-34 (a) Nonrecurring taxable sales, it shall grant the request.
12-35 (b) Normal or sustainable growth in taxable sales, it shall deny
12-36 the request.
12-37 A county which is granted a waiver pursuant to this subsection is
12-38 not required to obtain a waiver in any subsequent fiscal year to
12-39 continue to receive its portion of the proceeds from the
12-40 supplemental city-county relief tax pursuant to paragraph (a) of
12-41 subsection 1 unless the amount of supplemental city-county relief
12-42 tax collected in the county in a fiscal year again exceeds the
12-43 threshold established in subsection 2.
13-1 4. The amount apportioned to each county must be deposited in
13-2 the Local Government Tax Distribution Account created by NRS
13-3 360.660 for credit to the respective accounts of each county.
13-4 5. The minimum amount which may be distributed to the
13-5 following counties in a month pursuant to paragraph (a) of
13-6 subsection 1 is as follows:
13-7 Douglas...................................... $580,993
13-8 Esmeralda....................................... 53,093
13-9 Lander.......................................... 155,106
13-10 Lincoln.......................................... 72,973
13-11 Lyon............................................. 356,858
13-12 Mineral........................................ 118,299
13-13 Nye.............................................. 296,609
13-14 Pershing......................................... 96,731
13-15 Storey............................................. 69,914
13-16 White Pine................................... 158,863
13-17 6. As used in this section, unless the context otherwise
13-18 requires:
13-19 (a) “Enterprise district” has the meaning ascribed to it in
13-20 NRS 360.620.
13-21 (b) “Local government” has the meaning ascribed to it in
13-22 NRS 360.640.
13-23 (c) “Special district” has the meaning ascribed to it
13-24 in NRS 360.650.
13-25 Sec. 17. NRS 387.1235 is hereby amended to read as follows:
13-26 387.1235 1. Except as otherwise provided in subsection 2,
13-27 local funds available are the sum of:
13-28 (a) The amount computed by multiplying .0025 times the
13-29 assessed valuation of the school district as certified by the
13-30 Department of Taxation for the concurrent school year; and
13-31 (b) The proceeds of the local school support tax imposed by
13-32 chapter 374 of NRS[.] , excluding any amounts required to be
13-33 remitted pursuant to section 12 of this act. The Department of
13-34 Taxation shall furnish an estimate of these proceeds to the
13-35 Superintendent of Public Instruction on or before July 15 for the
13-36 fiscal year then begun, and the Superintendent shall adjust the final
13-37 apportionment of the current school year to reflect any difference
13-38 between the estimate and actual receipts.
13-39 2. The amount computed under subsection 1 that is attributable
13-40 to any assessed valuation attributable to the net proceeds of minerals
13-41 must be held in reserve and may not be considered as local funds
13-42 available until the succeeding fiscal year.
14-1 Sec. 18. Notwithstanding any other provision of this act and
14-2 the terms of any ordinance adopted in accordance with section 4 of
14-3 this act, the provisions of this act do not require the distribution of
14-4 any money remitted to the State before July 1, 2005, unless the
14-5 Department of Taxation determines that it is reasonably feasible to
14-6 make such a distribution.
14-7 Sec. 19. The governing body of a municipality which before
14-8 January 1, 2007, pledges any money pursuant to an assessment
14-9 ordinance adopted in accordance with section 4 of this act shall, on
14-10 or before February 1, 2007, submit to the Director of the Legislative
14-11 Counsel Bureau for transmittal to the next regular session of the
14-12 Legislature a written report regarding:
14-13 1. The project for which the money was pledged; and
14-14 2. The fiscal effect of the project and the pledge of money on
14-15 the provision of local governmental services, including education,
14-16 within the county in which the municipality is located.
14-17 Sec. 20. This act becomes effective on July 1, 2003.
14-18 H