2005 Nevada Revised Statutes - Chapter 354 — Local Financial Administration

CHAPTER 354 - LOCAL FINANCIALADMINISTRATION

COMMITTEE ON LOCAL GOVERNMENT FINANCE

NRS 354.105 Creation;appointment of members.

NRS 354.107 Regulations.

COUNTY FINANCES

Apportionment and Transfers of County Revenue

NRS 354.140 Distributionof federal money from forest reserves; reimbursement for cost of audit.

NRS 354.150 Transferof balance of dormant fund.

 

Claims and Warrants

NRS 354.170 Orderof district judge or district court drawing money from county treasury.

NRS 354.180 Claimby sheriff or constable for delivery of prisoner committed to county jail byjustice of the peace.

NRS 354.190 Paymentof county debts; reallowance of claims; limitation of claims after originalallowance.

NRS 354.200 Paymentof warrants in order of issuance.

NRS 354.210 Publicationor posting of amount of bills allowed.

 

Refunds

NRS 354.220 Applicability.

NRS 354.230 Limitationof time for claim.

NRS 354.240 Determinationby board of county commissioners; refunds by county treasurer; delegation ofauthority by board of county commissioners to approve certain claims.

NRS 354.250 Actionagainst county authorized if claimant aggrieved by action of board of countycommissioners.

 

Accounts Receivable

NRS 354.255 Establishmentof uniform procedures for collection of accounts and removal of uncollectibleaccounts.

NRS 354.256 Notificationof county auditor concerning uncollectible account; application for removal ofinformation concerning uncollectible accounts from records of county.

NRS 354.257 Authorityfor removal of information concerning uncollectible accounts from records ofcounty.

 

Statements and Accountings

NRS 354.270 Issuanceof receipts; apportionment of revenue.

NRS 354.280 Contentsof monthly statement of county treasurer.

NRS 354.290 Countyauditor to audit apportionments and keep record of receipts and expenditures;statements.

NRS 354.310 Provisionsof NRS 354.270, 354.280 and 354.290 mandatory; penalties.

NRS 354.320 Countyauditor to remit annual statement to State Controller.

BUDGETS OF LOCAL GOVERNMENTS

NRS 354.470 Shorttitle.

NRS 354.472 Purposesof Local Government Budget and Finance Act.

NRS 354.474 Applicabilityto local governments; local government defined.

NRS 354.475 Exemptionof certain special districts from requirements of Local Government Budget andFinance Act; conditional exemption from requirement of providing annual audit;regulations.

NRS 354.476 Definitions.

NRS 354.479 Accrualbasis defined.

NRS 354.4815 Administrativeentity defined.

NRS 354.4817 Anticipatedrevenue defined.

NRS 354.482 Appropriationdefined.

NRS 354.484 Assetsdefined.

NRS 354.486 Auditdefined.

NRS 354.492 Budgetdefined.

NRS 354.493 Budgetaugmentation defined.

NRS 354.496 Budgetyear defined.

NRS 354.499 Capitalassets defined.

NRS 354.4995 Capitalprojects fund defined.

NRS 354.506 Contingencyaccount defined.

NRS 354.510 Debtservice fund defined.

NRS 354.516 Encumbrancesdefined.

NRS 354.517 Enterprisefund defined.

NRS 354.520 Expendituredefined.

NRS 354.523 Expensedefined.

NRS 354.5237 Fiduciaryfund defined.

NRS 354.524 Finalbudget defined.

NRS 354.526 Fiscalyear defined.

NRS 354.529 Functiondefined.

NRS 354.530 Funddefined.

NRS 354.533 Fundbalance defined.

NRS 354.534 Generalfund defined.

NRS 354.535 Generallong-term debt defined.

NRS 354.536 Governingbody defined.

NRS 354.543 Internalservice fund defined.

NRS 354.548 Liabilitiesdefined.

NRS 354.550 Modifiedaccrual basis defined.

NRS 354.553 Proprietaryfund defined.

NRS 354.557 Regionalfacility defined.

NRS 354.560 Reservedefined.

NRS 354.562 Revenuedefined.

NRS 354.570 Specialrevenue fund defined.

NRS 354.571 Supplementalcity-county relief tax defined.

NRS 354.574 Taxrate defined.

NRS 354.578 Tentativebudget defined.

NRS 354.590 Actionsof governing body by resolution or ordinance.

NRS 354.592 Publicationof notice: Requirements; cost.

NRS 354.594 Committeeon Local Government Finance to advise local governments of regulations,procedures and reports.

NRS 354.5945 Capitalimprovement plan: Preparation and submission; filing for public inspection;limitation on amount of expenditures; required contents; reconciliation ofcapital outlay; exemption.

NRS 354.5947 Annualreport concerning capital improvements owned, leased or operated by localgovernment: Compilation; requirements; submission.

NRS 354.596 Tentativebudget: Preparation and filing; notice and public hearing; duties of Departmentof Taxation.

NRS 354.597 Preparationof tentative budget and adoption of final budget: Reduction of estimate ofrevenues by amount of taxes ad valorem expected to be delinquent.

NRS 354.598 Finalbudget: Adoption; budget by default; certification; appropriations;limitations; changes.

NRS 354.598005 Proceduresand requirements for augmenting or amending budget.

NRS 354.59801 Localgovernment to file copy of certain documents for public inspection.

NRS 354.59803 Reportingof expenditures of local government for lobbying activities: Requirements;filing with Department of Taxation.

NRS 354.59811 Limitationupon revenue from taxes ad valorem: Calculation.

NRS 354.59813 Limitationupon revenue from taxes ad valorem: Levy of additional tax ad valorem foroperating purposes under certain circumstances.

NRS 354.59815 Limitationupon revenue from taxes ad valorem: Levy of additional tax ad valorem forcapital projects without approval of voters.

NRS 354.598155 Specialad valorem capital projects fund.

NRS 354.59817 Limitationupon revenue from taxes ad valorem: Levy of additional tax ad valorem forcapital projects upon approval of voters.

NRS 354.59818 Limitationupon revenue from taxes ad valorem: Levy of additional tax ad valorem foroperation of regional facility without approval of voters.

NRS 354.59819 Separatefund for revenue used for operation of regional facility.

NRS 354.5982 Limitationupon revenue from taxes ad valorem: Authority to exceed pursuant to vote ofpeople; addition of imposed costs.

NRS 354.59821 Limitationupon revenue from taxes ad valorem: Forms for submission of ballot question andexamples of previous questions to be provided by Committee on Local GovernmentFinance.

NRS 354.5987 Establishmentof allowed revenue from taxes ad valorem of certain local governments by NevadaTax Commission.

NRS 354.59874 Adjustmentof allowed revenue from taxes ad valorem upon assumption by local government offunction previously performed by another local government pursuant to agreementbetween local governments.

NRS 354.598743 Adjustmentof allowed revenue from taxes ad valorem upon assumption by local government offunction previously performed by another local government that no longerexists.

NRS 354.598747 Calculationof amount distributed from Local Government Tax Distribution Account to localgovernment, special district or enterprise district that assumes functions ofanother local government or district.

NRS 354.59875 Calculationand imposition of common levy for unincorporated town.

NRS 354.59881 Limitationson fees applicable to public utilities: Definitions.

NRS 354.598811 Limitationson fees applicable to public utilities: Community antenna television companydefined.

NRS 354.598812 Limitationson fees applicable to public utilities: Customer defined.

NRS 354.598813 Limitationson fees applicable to public utilities: Delinquent amount defined.

NRS 354.598814 Limitationson fees applicable to public utilities: Fee defined.

NRS 354.598815 Limitationson fees applicable to public utilities: Jurisdiction defined.

NRS 354.598816 Limitationson fees applicable to public utilities: Personal wireless service defined.

NRS 354.5988165 Limitationson fees applicable to public utilities: Place of primary use defined.

NRS 354.598817 Limitationson fees applicable to public utilities: Public utility defined.

NRS 354.598818 Limitationson fees applicable to public utilities: Revenue defined.

NRS 354.59883 Limitationson fees applicable to public utilities: Adoption of ordinance imposing orincreasing fee prohibited under certain circumstances.

NRS 354.59885 Limitationson fees applicable to public utilities: Submission of certain information bypublic utility before commencement of service; quarterly statements of revenuerequired; identification of customers provided to public utility; information includedin bill.

NRS 354.59887 Limitationson fees applicable to public utilities: Rate; quarterly payments; collection;penalties and interest on delinquent amounts; apportionment among customers ofpublic utility.

NRS 354.59888 Limitationson fees applicable to public utilities: Errors concerning billing for certainfees or designation of place of primary use; notification by customers ofcertain public utilities.

NRS 354.59889 Limitationson fees applicable to public utilities: Change of fees.

NRS 354.5989 Limitationson fees for business licenses; exceptions.

NRS 354.59891 Limitationson fees for building permits, barricade permits and encroachment permits;exceptions.

NRS 354.59893 Advisorycommittee to review enterprise fund for issuance of building permits, barricadepermits and encroachment permits: Establishment; appointment and terms ofmembers; officers; duties and powers.

NRS 354.599 Specifiedsource of additional revenue required under certain circumstances whenLegislature directs local governmental action requiring additional funding.

NRS 354.600 Contentsof budget.

NRS 354.601 Constructionof capital improvement without funding for operation and maintenance includedin approved budget prohibited.

NRS 354.6015 Fiscalreport of local government: Requirements; publication; regulations.

NRS 354.6025 Annualreport of indebtedness of local government: Requirement; compilation into statereport.

NRS 354.603 Separateaccounts in bank, credit union or savings and loan association for schooldistrict, county hospital, consolidated library district and district library.

NRS 354.604 Fundsmaintained by local governments.

NRS 354.608 Contingencyaccount: Establishment; limit on appropriations; expenditures.

NRS 354.609 Pettycash, imprest or revolving account.

NRS 354.6105 Fundfor extraordinary maintenance, repair or improvement of capital projects.

NRS 354.6113 Fundfor construction of capital projects.

NRS 354.6115 Fundto stabilize operation of local government and mitigate effects of naturaldisaster.

NRS 354.6116 Revenuefrom taxes ad valorem from lessee or user of certain taxable property to bedeposited in or transferred to certain funds.

NRS 354.6117 Limitationon amount of money transferred to certain funds; exception.

NRS 354.6118 Interfundloans or loans to other local governments: Public hearing required.

NRS 354.612 Establishmentof one or more funds by resolution required; contents of resolution; accountingrequirements; copy of resolution to be provided to Department of Taxation;proprietary funds; enterprise funds.

NRS 354.616 Adjustmentof expenses and revenues.

NRS 354.620 Unencumberedbalance of appropriation lapses at end of fiscal year; reversion to fund.

NRS 354.6215 Limitationon use of reserves or balances of funds created to insure risks.

NRS 354.624 Annualaudit: Requirements; designation of auditor; scope and disposition;dissemination; prohibited provision in contract with auditor.

NRS 354.6241 Contentsof statement to auditor; expenditure of excess reserves in certain funds.

NRS 354.6245 Reviewof annual audits by Department of Taxation; plan of correction of violations.

NRS 354.625 Recordsrelating to property and equipment; control of inventory.

NRS 354.6256 Useof proceeds of certain obligations to pay operating expenses prohibited;exceptions.

NRS 354.626 Unlawfulexpenditure of money in excess of amount appropriated; penalties; exceptions.

DELINQUENT DOCUMENTS; TECHNICAL FINANCIAL ASSISTANCE; SEVEREFINANCIAL EMERGENCY

NRS 354.655 Definitions.

NRS 354.657 Purpose;liberal construction.

NRS 354.665 Delinquentdocuments: Notification; explanation to Committee on Local Government Finance;withholding of payments.

NRS 354.675 Technicalfinancial assistance from Department of Taxation: Request; notice and hearing;order; request by Department of Taxation for assistance of Committee on LocalGovernment Finance; allocation from Contingency Fund.

NRS 354.685 Severefinancial emergency: Conditions; notification of local government by Departmentof Taxation; plan of corrective action; review of plan by Committee on LocalGovernment Finance; order of Nevada Tax Commission requiring Department to takeover management of local government.

NRS 354.686 Severefinancial emergency: Request by local government involved in litigation orthreatened litigation for order that Department of Taxation take overmanagement of local government; issuance of order.

NRS 354.695 Severefinancial emergency: Powers and duties of Department of Taxation; reimbursementfor expenses; allocation from Contingency Fund; recommendations by localgovernment; cooperation of state agencies; delegation of powers and duties tofinancial manager; termination of management.

NRS 354.701 Severefinancial emergency: Stay of action by creditor of local government forattachment, garnishment or execution until adoption of program for liquidationof debt.

NRS 354.705 Severefinancial emergency: Determination of expenditures and revenue of localgovernment; review and recommendation of additional taxes or charges; hearingand adoption of plan by panel; imposition and duration of additional taxes orcharges; report of failure to satisfy expenses of local government.

NRS 354.715 Severefinancial emergency: Compliance by local government with requests of Departmentof Taxation.

NRS 354.721 Severefinancial emergency: Creation of Severe Financial Emergency Fund; investment ofmoney in Fund; loans from Fund.

NRS 354.723 Severefinancial emergency: Procedure for disincorporation or dissolution of localgovernment in certain circumstances.

NRS 354.7235 Severefinancial emergency: Management of Department of Taxation ceases at time ofdisincorporation or dissolution.

NRS 354.725 Severefinancial emergency: Termination or modification of management of localgovernment.

ALTERNATIVE METHODS OF FINANCING BY LOCAL GOVERNMENTS

NRS 354.750 Alternativemethod for local government to borrow money or purchase or lease property.

PAYMENTS OF MONEY FOR SERVICES PROVIDED BY LOCAL GOVERNMENTS

NRS 354.760 Noticeto debtor of required payee of negotiable instrument.

NRS 354.770 Acceptanceof payments by credit card, debit card or electronic transfers of money.

NRS 354.780 Placementof automated tellers at locations where local government receives payments.

NRS 354.790 Additionalfee for providing service to customer in expeditious or convenient manner.

_________

 

COMMITTEE ON LOCAL GOVERNMENT FINANCE

NRS 354.105 Creation;appointment of members.

1. The Committee on Local Government Finance,consisting of 11 members, is hereby created.

2. The following associations shall each appoint threemembers to serve on the Committee:

(a) Nevada League of Cities;

(b) Nevada Association of County Commissioners; and

(c) Nevada School Trustees Association.

3. The Nevada State Board Of Accountancy shall appointtwo members to serve on the Committee.

4. Each appointment must be for a term of 3 years.

5. All vacancies must be filled as soon as practicableby the appointing authority of the person who vacated the seat.

6. If any of the associations listed in subsection 2cease to exist, the appointments required by subsection 2 must be made by theassociations successor in interest or, if there is no successor in interest,one each by the other appointing authorities.

(Added to NRS by 2001, 1793)

NRS 354.107 Regulations.

1. The Committee on Local Government Finance may adoptsuch regulations as are necessary for the administration of this chapter.

2. Any regulations adopted by the Committee on LocalGovernment Finance must be adopted in the manner prescribed for state agenciesin chapter 233B of NRS.

(Added to NRS by 2001, 2317)

COUNTY FINANCES

Apportionment and Transfers of County Revenue

NRS 354.140 Distributionof federal money from forest reserves; reimbursement for cost of audit.

1. The money paid to the State of Nevada by theSecretary of the Treasury under the provisions of 16 U.S.C. 500, providingfor the payment to states and territories of a fixed percentage of the moneyreceived by the Government of the United States from the forest reservesestablished therein, must be distributed respectively to the county or countiesin which the forest reserves are situated, to be expended for the benefit ofthe public schools and the public roads of the county or counties in equalproportion for each object. The proportion for schools must be paid into thecounty school district fund. If there is a county road fund, the proportion forroads must be paid into the county road fund. If there is no county road fund,the proportion for roads must be paid into the county general fund for publicroad purposes.

2. When any forest reserve is in more than one stateor county, the distributive share to each must be proportional to its areatherein, following as near as may be the figures submitted to the State ofNevada respecting net forest area and county acreage therein by the ForestService, United States Department of Agriculture.

3. The agency which is responsible for completing anyaudit required for the continuation of the payments must be reimbursed for thecost of the audit from the funds to which the payments were distributedproportionately according to the percentage of the payment which wasdistributed to each fund.

[1:191:1907; A 1919, 262; 1919 RL p. 2955; NCL 5931](NRS A 1983, 238)

NRS 354.150 Transferof balance of dormant fund.

1. Subject to the provisions of subsection 2, a boardof county commissioners may order the transfer of any balance which is dormantin any fund to the county general fund whenever the money remaining in the fundis no longer required for the purpose for which the fund was established.

2. When the dormant fund accrued from taxes leviedupon the taxpayers of a fire protection district, road district, cemeterydistrict, unincorporated town, or other type of special assessment or taxingdistrict, the fund may be transferred only to the general fund thereof and notto the county general fund.

[1:121:1947; A 1953, 117](NRS A 1975, 159; 1983,132)

Claims and Warrants

NRS 354.170 Orderof district judge or district court drawing money from county treasury. Except as otherwise provided in NRS 6.160 or 50.225, in every case in which the districtcourt or district judge is authorized by law to order any money to be paid outof the county treasury, this order must be first presented to the countyauditor, who shall number and register the order and issue his warrant on anyfund in the county treasury not otherwise specially appropriated or set apart.

[1:15:1885; BH 2528; C 2576; RL 1583; NCL 2064](NRS A 1975, 1387; 1985, 54; 1987, 552)

NRS 354.180 Claimby sheriff or constable for delivery of prisoner committed to county jail byjustice of the peace.

1. The board of county commissioners is authorized toexamine, audit and allow to the sheriff or a constable the actual fare paid bysuch officer in the conveyance or transportation of any one or more prisonerscommitted to the county jail by a justice of the peace of the county.

2. The amount provided for in subsection 1 shall be inaddition to the amount allowed by law for the safekeeping and delivering ofprisoners to the county jail.

3. A bill for fare actually paid pursuant to theprovisions of this section shall be accompanied with a receipt showing theamount paid, and by what conveyance the prisoner or prisoners were conveyed tothe county jail. In no case shall a greater sum be allowed for a privateconveyance than is usually charged by public conveyance for a similar distance,and such amount shall always be determined by the board of county commissionersin accordance with the best judgment and information of the countycommissioners.

4. The county auditor is authorized and directed todraw his warrant upon the general fund for the payment of such sum as may beallowed by the board of county commissioners from time to time, in accordancewith the provisions of subsection 1, and the county treasurer is directed topay the sum upon presentation in regular order.

[1:69:1879; BH 1999; C 2165; RL 1544; NCL 1980] + [2:69:1879; BH 2000; C 2166; RL 1545; NCL 1981]

NRS 354.190 Paymentof county debts; reallowance of claims; limitation of claims after originalallowance.

1. When there shall be in the general, contingent,indigent sick or road fund of a county any sum of money which has been in thefund for the term of 2 years or more by reason of the failure or neglect of theowner of such indebtedness to demand payment of the same, such sum of moneyshall be applied to the payment of the more recent indebtedness of the countypayable out of such fund.

2. If the owner of such allowance shall demand suchsum of money within 6 years from the date of the original allowance of such sumof money, and after such sum of money has been so applied, the board of countycommissioners may again allow the demand for the amount originally allowed,without interest, and no more, and any such demand so reallowed shall be paidin the order of its reallowance out of the fund originally accountabletherefor, if such fund exists. If no such fund exists at the time, then suchdemand shall be paid in the order of its reallowance out of the county generalfund.

3. Should the payment of such sum of money not bedemanded within 6 years from and after the original allowance of such demand,then such indebtedness shall not be reallowed by the board of countycommissioners and the payment thereof shall be forever barred.

4. Nothing in this section shall be so construed as toaffect or repeal any law providing for the redemption or funding of theindebtedness of any county.

[1:15:1881; BH 2018; C 2171; RL 1536; NCL 1969]

NRS 354.200 Paymentof warrants in order of issuance.

1. All warrants or certificates of indebtedness issuedby a county auditor shall be paid in the order in which they are issued.

2. Whenever any county warrant or certificate ofindebtedness shall not be presented for payment within 6 months after noticeshall have been given that the warrant or certificate is payable, the moneyheld for payment of such warrant shall be paid out as other county funds, butwhenever any warrant shall thereafter be presented the same shall be deemedthen due and payable.

3. Nothing in this section shall be so construed as toprevent the transfer of money from one county fund to another, as provided bylaw.

[1:98:1885; BH 2178; C 2339; RL 1563, 1582;NCL 2044, 2063]

NRS 354.210 Publicationor posting of amount of bills allowed.

1. Except as provided in subsection 3, the board ofcounty commissioners shall cause the amount of all bills allowed by it,together with the names of the persons to whom such allowances are made and forwhat such allowances are made, to be published in some newspaper published inthe county.

2. The amount paid for such publication shall notexceed the statutory rate for publication of legal notices, and the publicationshall not extend beyond a single insertion.

3. Where no newspaper is published in a county, theboard of county commissioners may cause to be published, in some newspaperhaving a general circulation within the county, the allowances provided for insubsection 1, or shall cause the clerk of the board to post such allowances atthe door of the courthouse.

[1:5:1893; A 1927, 33; NCL 1977] + [2:5:1893; A1949, 155; 1943 NCL 1978](NRS A 1957, 364)

Refunds

NRS 354.220 Applicability. NRS 354.220 to 354.250, inclusive, apply in makingapplications for refund of money which has been paid into the county treasuriesin cases where:

1. Through mistake or inadvertence, a county andschool district tax for any 1 tax year has, by reason of the assessment of thesame piece of property, been paid two or more times.

2. A remission of the assessed valuation on a patentedmine or mining claim has been ordered by a board having jurisdiction of thematter because annual assessment work was performed thereon, and the remissionhas not been made by the proper county officers, and taxes on the fullvaluation have been paid under protest by the owner of the patented miningclaims.

3. Licenses or taxes have been twice paid on the sameband of sheep.

4. In the opinion of the board of countycommissioners, or the county treasurer in those cases in which he is authorizedto make a refund, the applicant for refund has a just cause for making theapplication and the granting of the refund would be equitable.

[Part 1:89:1923; NCL 6637](NRS A 1987, 129; 1989,45; 1997, 1586)

NRS 354.230 Limitationof time for claim. The claim for a refund ofmoney must be presented to the board of county commissioners, or the countytreasurer in those cases in which he is authorized to make a refund, within 3years after the time the claim was incurred.

[3:89:1923; A 1951, 244](NRS A 1987, 129)

NRS 354.240 Determinationby board of county commissioners; refunds by county treasurer; delegation ofauthority by board of county commissioners to approve certain claims.

1. If a board of county commissioners determines bycompetent evidence that money has been paid into the treasury of the countyunder any of the circumstances mentioned in NRS354.220, the board of county commissioners, by its unanimous resolution,may direct the county treasurer to refund to the applicant the amount of moneypaid into the county treasury in excess of the amount legally payable.

2. In the case of a claim for a refund of propertytax, if the board has unanimously found that the applicant is entitled to arefund, it shall direct the county treasurer to refund to the applicant theamount claimed if the claim is made within 3 years after the tax was due. Thecounty may withhold amounts refunded from its subsequent apportionments ofrevenues from property tax to the other taxing units in the county which levieda tax represented in the combined tax rate.

3. If the county treasurer determines by competentevidence that money in the amount of $500 or less has been paid into the countytreasury under any of the circumstances listed in NRS 354.220, he may, upon receiving the writtenapproval of the district attorney, refund to the applicant the amount paidwhich is in excess of the amount legally payable.

4. In the case of a claim for a refund of property taxwhich has been authorized and approved in the manner provided in subsection 3,the county treasurer shall make a refund to the applicant in the amount claimedif the claim is made within 3 years after the tax was due. The county maywithhold amounts refunded from its subsequent apportionments of revenues fromproperty tax to the other taxing units in the county which levied a taxrepresented in the combined tax rate.

5. A board of county commissioners may, in the case ofa claim for a refund of a registration fee or deposit paid to the countydepartment of parks and recreation, delegate the authority to approve all suchclaims of less than $1,000, to:

(a) The county manager or his designee;

(b) The county administrator or his designee; or

(c) In a county that has neither a county manager nor acounty administrator, any other county employee.

6. A county treasurer, upon receiving written approvalof a claim pursuant to subsection 5, may refund to the applicant the amount ofthe refund due.

7. At the end of each month the county treasurer shallprovide to the board of county commissioners a list of all refunds made by himduring that month. The list must contain the name of each taxpayer or other personto whom a refund was made and the amount of the refund. The county treasurershall maintain a copy of the list and make it available for public inspection.

[2:89:1923; NCL 6638](NRS A 1977, 475; 1987, 129;1991, 53; 1995, 51; 1997, 1586)

NRS 354.250 Actionagainst county authorized if claimant aggrieved by action of board of countycommissioners. If any person shall feelaggrieved by the action taken by any board of county commissioners on any suchclaim, an action may be prosecuted thereon for and on behalf of any such personagainst the county as on other rejected county claims.

[6:89:1923; NCL 6642]

Accounts Receivable

NRS 354.255 Establishmentof uniform procedures for collection of accounts and removal of uncollectibleaccounts.

1. The board of county commissioners of each countyshall establish uniform procedures for the collection of accounts receivableowed to the county and the removal of uncollectible accounts receivable fromthe records of the county. The procedures may provide for the collection ofaccounts receivable by a centralized collection system established pursuant to NRS 244.207 or by the office of thedistrict attorney.

2. The procedures established pursuant to subsection 1must provide for:

(a) The steps a department of the county must follow incollecting an account receivable, including a requirement that a departmentsend a follow-up invoice to each debtor at 30-, 60- and 90-day intervals;

(b) The transfer of an account receivable to thecentralized collection system or the district attorney for collection if thedepartment is unsuccessful in its efforts to collect the account receivable;

(c) Review by the centralized collection system or thedistrict attorney of each account receivable that is transferred for collectionand a determination of whether the account receivable is collectible oruncollectible; and

(d) Application by the county auditor to the board ofcounty commissioners to have the amount of the account receivable and the nameof the debtor removed from the records of the county.

(Added to NRS by 1993, 1199)

NRS 354.256 Notificationof county auditor concerning uncollectible account; application for removal ofinformation concerning uncollectible accounts from records of county.

1. If at any time, in the opinion of the centralizedcollection system or the district attorney, it becomes impossible orimpractical to collect an account receivable owed to the county because:

(a) The debtor has filed bankruptcy;

(b) The debtor has died;

(c) The amount of the account receivable is less thanthe amount it would cost to collect it; or

(d) Of some other reason or circumstance,

thecentralized collection system or the district attorney shall notify the countyauditor in writing that the account receivable is uncollectible and the reasonstherefor.

2. Upon receiving notification that an accountreceivable is uncollectible, the county auditor may apply to the board ofcounty commissioners to have the amount of the account receivable and the nameof the debtor removed from the records of the county.

3. The application must include:

(a) The amount of the account receivable;

(b) The name of the debtor;

(c) A record of the efforts made to collect the accountreceivable; and

(d) The written notice provided pursuant to subsection1.

4. If the board of county commissioners approves theapplication, the county auditor shall remove the amount of the account receivableand the name of the debtor from the county records.

(Added to NRS by 1993, 1199)

NRS 354.257 Authorityfor removal of information concerning uncollectible accounts from records ofcounty. Except as otherwise provided byspecific statute, the board of county commissioners may remove from the recordsof the county the amount of an account receivable and the name of the debtor,upon a determination by a centralized collection system established pursuant toNRS 244.207 or the district attorneythat the account receivable is uncollectible and the recommendation of thecounty auditor that the account be removed.

(Added to NRS by 1993, 1198)

Statements and Accountings

NRS 354.270 Issuanceof receipts; apportionment of revenue.

1. If a county treasurer does not use an automatedaccounting system, he shall issue a receipt in triplicate for all moneyreceived by him. The original must be delivered to the payee, the duplicateimmediately filed by the county treasurer with the county auditor, and thetriplicate retained by the county treasurer. The duplicate and triplicatereceipts must, in addition to showing the amount and source of revenue, containan apportionment to the proper funds as follows:

(a) All revenue collected for general, administrative,current expense, salary, indigent and contingent purposes must be apportionedto the general fund.

(b) All revenue collected for special purposes must beapportioned to special funds, or to separate accounts established under theprovisions of NRS 354.603, that havebeen or may be created, the purpose of which must be indicated in the title ofeach special fund.

2. If a county treasurer uses an automated accountingsystem, he shall enter information regarding all money received by him,including the amount and source of the money and the manner in which it must beapportioned, into the system. He shall retain all of the original documentationregarding each transaction. The treasurer is not required to issue a receipt toa payee unless the payee so requests.

3. A county treasurer failing to comply with theprovisions of this section shall be punished as provided in NRS 354.310.

[1:184:1919; 1919 RL p. 2702; NCL 2067] + [Part4:184:1919; A 1923, 346; 1933, 60; 1931 NCL 2070](NRS A 1971, 1339; 1975,1798; 1993, 122)

NRS 354.280 Contentsof monthly statement of county treasurer. Thecounty treasurer shall:

1. Keep a complete record of the source and amount ofall receipts, apportionments to, payments from, and balances in all funds; and

2. Submit to the board of county commissioners eachmonth at any regular or special meeting a statement containing the informationrequired in subsection 1 for the previous month, giving the balance in eachcounty, state and special fund, together with a statement of all money ondeposit, outstanding checks against that money and cash on hand.

[2:184:1919; 1919 RL p. 2702; NCL 2068] + [Part4:184:1919; A 1923, 346; 1933, 60; 1931 NCL 2070](NRS A 1971, 1339; 1975,1798; 1981, 1757)

NRS 354.290 Countyauditor to audit apportionments and keep record of receipts and expenditures;statements.

1. The county auditor of each county shall:

(a) Audit all apportionments made by the countytreasurer.

(b) Keep a complete record of all such apportionmentsto and disbursements from funds established under NRS 354.604.

(c) Keep accounts showing the amount of revenuereceived from each of the various sources, the amount of expenditures of thevarious departments and the object of the expenditures.

2. At a regular meeting of the board of countycommissioners in October, January, April and September, the county auditorshall submit to the board a statement containing the information required bysubsection 1 in such detail as may be required, but the statement must, in anyevent, show the amount of outstanding warrants against and the availablebalance in each county, state and special fund, together with an analysis ofrevenues and expenditures for the previous quarter by account and fund. Theanalysis must use the same accounts and funds as were used in the budgetadopted by the board of county commissioners for the applicable fiscal year andmust be so organized as to relate directly to that budget.

3. This section is mandatory, and any county auditorfailing to comply with the provisions of this section shall be punished asprovided in NRS 354.310.

[3:184:1919; 1919 RL p. 2703; NCL 2069] + [Part4:184:1919; A 1923, 346; 1933, 60; 1931 NCL 2070](NRS A 1957, 236; 1971,1340; 1975, 1799; 1981, 1757)

NRS 354.310 Provisionsof NRS354.270, 354.280 and 354.290 mandatory; penalties. NRS 354.270, 354.280 and 354.290 shall be considered mandatory, andany county treasurer or county auditor failing to comply with the provisionsthereof is guilty of malfeasance, misfeasance or nonfeasance in office.

[Part 4:184:1919; A 1923, 346; 1933, 60; 1931 NCL 2070](NRS A 1975, 640)

NRS 354.320 Countyauditor to remit annual statement to State Controller.On or before the third Monday of July of each year each county auditorshall prepare and forward to the State Controller a statement showing:

1. The indebtedness of the county, funded andfloating, stating the amount of each class, and the rate of interest borne bysuch indebtedness, or any part thereof, and the amount of cash in the countytreasury, in its several funds.

2. A careful estimate of the value of all propertyowned by the county.

3. The aggregate value of the real and personalproperty in the county, as shown by the last assessment roll, stating eachseparately.

4. The rate of taxation in such year in the county andthe number of registered voters.

5. The amount of taxes so assessed, stating theportion, if any, which was delinquent.

[1:37:1873; B 3007; BH 2201; C 2353; RL 1584;NCL 2065](NRS A 1959, 192; 1969, 196)

BUDGETS OF LOCAL GOVERNMENTS

NRS 354.470 Shorttitle. NRS354.470 to 354.626, inclusive, maybe cited as the Local Government Budget and Finance Act.

(Added to NRS by 1965, 725; A 1971, 1012, 1340; 1973,1080; 1977, 509; 1983, 1618; 1987, 1031; 1995, 2553; 1997, 3294; 1999, 833; 2001, 1421, 1795; 2003, 78; 2005, 576, 1402)

NRS 354.472 Purposesof Local Government Budget and Finance Act.

1. The purposes of NRS354.470 to 354.626, inclusive, are:

(a) To establish standard methods and procedures forthe preparation, presentation, adoption and administration of budgets of alllocal governments.

(b) To enable local governments to make financial plansfor programs of both current and capital expenditures and to formulate fiscalpolicies to accomplish these programs.

(c) To provide for estimation and determination ofrevenues, expenditures and tax levies.

(d) To provide for the control of revenues,expenditures and expenses in order to promote prudence and efficiency in theexpenditure of public money.

(e) To provide specific methods enabling the public,taxpayers and investors to be apprised of the financial preparations, plans,policies and administration of all local governments.

2. For the accomplishment of these purposes, theprovisions of NRS 354.470 to 354.626, inclusive, must be broadly andliberally construed.

(Added to NRS by 1965, 725; A 1971, 1012, 1340; 1981,1758; 2001, 1795;2005, 576)

NRS 354.474 Applicabilityto local governments; local government defined.

1. Except as otherwise provided in subsections 2 and3, the provisions of NRS 354.470 to 354.626, inclusive, apply to all localgovernments. For the purpose of NRS 354.470to 354.626, inclusive:

(a) Local government means every politicalsubdivision or other entity which has the right to levy or receive money fromad valorem or other taxes or any mandatory assessments, and includes, withoutlimitation, counties, cities, towns, boards, school districts and otherdistricts organized pursuant to chapters 244A,309, 318 and 379 of NRS, NRS450.550 to 450.750, inclusive, and chapters 474, 541,543 and 555of NRS, and any agency or department of a county or city which prepares abudget separate from that of the parent political subdivision.

(b) Local government does not include the NevadaRural Housing Authority.

2. An irrigation district organized pursuant to chapter 539 of NRS shall fix rates and levyassessments as provided in NRS 539.667to 539.683, inclusive. The levy of suchassessments and the posting and publication of claims and annual financialstatements as required by chapter 539 of NRSshall be deemed compliance with the budgeting, filing and publicationrequirements of NRS 354.470 to 354.626, inclusive, but any such irrigationdistrict which levies an ad valorem tax shall comply with the filing andpublication requirements of NRS 354.470to 354.626, inclusive, in addition tothe requirements of chapter 539 of NRS.

3. An electric light and power district createdpursuant to chapter 318 of NRS shall be deemedto have fulfilled the requirements of NRS354.470 to 354.626, inclusive, for ayear in which the district does not issue bonds or levy an assessment if thedistrict files with the Department of Taxation a copy of all documents relatingto its budget for that year which the district submitted to the RuralElectrification Administration of the United States Department of Agriculture.

(Added to NRS by 1965, 726; A 1967, 937, 1387; 1969,1390; 1971, 13, 1013, 1341; 1977, 539; 1979, 361; 1993, 1150; 1995, 815, 2553; 2005, 576)

NRS 354.475 Exemptionof certain special districts from requirements of Local Government Budget andFinance Act; conditional exemption from requirement of providing annual audit;regulations.

1. All special districts subject to the provisions ofthe Local Government Budget and Finance Act with annual total expenditures ofless than $200,000 may petition the Department of Taxation for exemption fromthe requirements of the Local Government Budget and Finance Act for the filingof certain budget documents and audit reports. Such districts may furtherpetition to use a cash basis of accounting.

2. A special district subject to the provisions of theLocal Government Budget and Finance Act with budgeted annual total expendituresof $200,000 or more in a fiscal year that reasonably anticipates its actualannual total expenditures for that fiscal year will be less than $200,000 may petitionthe Department of Taxation for a conditional exemption from the requirement ofproviding for an annual audit pursuant to NRS354.624 for that fiscal year. If the actual annual total expenditures ofthe special district are $200,000 or more, the special district shall providefor an annual audit for that fiscal year.

3. A petition filed with the Department of Taxation:

(a) Pursuant to subsection 1 must be received by theDepartment of Taxation on or before March 1 to be effective for the succeedingfiscal year; or

(b) Pursuant to subsection 2 must be received by theDepartment of Taxation on or before March 1 to be effective for the currentfiscal year.

4. A board of county commissioners may request theDepartment of Taxation to audit the financial records of a special districtthat is exempt from the requirement of providing for an annual audit pursuantto this section.

5. If a petition filed by a special district pursuantto subsection 1 is granted by the Department of Taxation:

(a) The minimum required of the special district is thefiling with the Department of Taxation of an annual budget on or before April15 of each year and the filing of fiscal reports in accordance with NRS 354.6015; and

(b) The special district is exempt from all publicationrequirements of the Local Government Budget and Finance Act, except that theDepartment of Taxation by regulation shall require an annual publication of anotice of budget adoption and filing.

6. The Committee on Local Government Finance shalladopt regulations pursuant to NRS 354.594which are necessary to carry out the purposes of this section.

7. The revenue recorded in accounts that are kept on acash basis must consist of cash items.

8. As used in this section, cash basis means thesystem of accounting under which revenues are recorded only when received andexpenditures or expenses are recorded only when paid.

(Added to NRS by 1973, 440; A 1975, 1684; 1981, 1759;1983, 253; 1989, 321; 1991, 646; 2001, 1421, 1795, 2318; 2003, 78, 83, 801)

NRS 354.476 Definitions. As used in NRS 354.470to 354.626, inclusive, unless thecontext otherwise requires, the words and terms defined in NRS 354.479 to 354.578, inclusive, have the meaningsascribed to them in those sections.

(Added to NRS by 1965, 726; A 1971, 1013, 1341; 1981,1759; 1987, 1675; 1989, 2074; 1991, 1434; 1995, 1934, 2554; 1997, 647; 2001, 537, 1497, 1796; 2003, 52; 2005, 577)

NRS 354.479 Accrualbasis defined. Accrual basis means thebasis of accounting under which expenditures or expenses are recorded as soonas they result in liabilities for benefits received and revenues are recordedwhen earned, despite the possibility that the receipt of the revenue or thepayment for the expense may take place, in whole or in part, in anotheraccounting period.

(Added to NRS by 1967, 940; A 1971, 183; 1981, 1759)

NRS 354.4815 Administrativeentity defined. Administrative entity meansan entity created pursuant to an interlocal agreement or interlocal contractbetween two or more counties to operate a regional facility.

(Added to NRS by 2001, 536)

NRS 354.4817 Anticipatedrevenue defined. Anticipated revenue meansthe amount of revenue anticipated to be collected or accrued during a givenperiod.

(Added to NRS by 1965, 728; A 1981, 1762; 2001, 1797)(Substitutedin revision for NRS 354.518)

NRS 354.482 Appropriationdefined. Appropriation means an authorizationby a governing body to make expenditures and to incur obligations for specifiedpurposes.

(Added to NRS by 1965, 726)

NRS 354.484 Assetsdefined. Assets means property which:

1. Is owned by a governmental unit; and

2. Has a monetary value.

(Added to NRS by 1965, 726; A 1981, 1760)

NRS 354.486 Auditdefined. Audit means the examination andanalysis of financial statements, accounting procedures and other evidence madein conformity with generally accepted auditing standards in the United Statesfor one or more of the following purposes:

1. Determining the propriety and mathematical accuracyof material financial transactions;

2. Ascertaining whether financial transactions havebeen properly recorded;

3. Ascertaining whether the financial statementsprepared from the accounting records fairly present in all material respectsthe financial position and the results of financial operations and cash flowsof the governmental unit in accordance with generally accepted accountingprinciples in the United States and on a basis which is consistent with that ofthe preceding year;

4. Evaluating internal accounting controls overfinancial reporting of the handling of the public money and public property;

5. Determining whether the fiscal controls establishedby law and administrative regulations are being properly applied;

6. Determining whether there is any evidence thatfraud or dishonesty has occurred in the handling of funds or property;

7. Determining whether the acquisition, depreciationand disposition of property and equipment are accounted for in accordance withgenerally accepted accounting principles in the United States; and

8. Determining whether the removal of theuncollectible accounts receivable from the records of a governmental unit isdone in accordance with the procedure established by law and administrativeregulations.

(Added to NRS by 1965, 726; A 1981, 1760; 1993, 1199;2001, 1796)

NRS 354.492 Budgetdefined. Budget means a plan of financialoperation embodying an estimate of proposed expenditures and expenses for agiven period and the proposed means of financing them.

(Added to NRS by 1965, 727; A 1981, 1760)

NRS 354.493 Budgetaugmentation defined. Budget augmentationis a procedure for increasing appropriations of a fund with the express intentof employing previously unbudgeted resources of the fund for carrying out theincreased appropriations.

(Added to NRS by 1971, 1012; A 1981, 1761)

NRS 354.496 Budgetyear defined. Budget year means the fiscalyear for which a budget is being prepared.

(Added to NRS by 1965, 727)

NRS 354.499 Capitalassets defined. Capital assets means assetsof a long-term character which are intended to continue to be held or used suchas land, buildings, machinery, furniture and other equipment.

(Added to NRS by 1965, 728; A 2001, 1797)(Substitutedin revision for NRS 354.528)

NRS 354.4995 Capitalprojects fund defined. Capital projects fundmeans a fund created to account for resources used for the acquisition orconstruction of designated capital assets by a governmental unit except thosefinanced by proprietary or trust funds.

(Added to NRS by 1983, 1636; A 1989, 402; 2001, 1798)(Substitutedin revision for NRS 354.5335)

NRS 354.506 Contingencyaccount defined. Contingency account meansan account showing money that has been appropriated to provide for unforeseenexpenditures or anticipated expenditures of an uncertain amount.

(Added to NRS by 1965, 727; A 1981, 1761; 2001, 1797)

NRS 354.510 Debtservice fund defined. Debt service fundmeans a fund to account for the accumulation of resources for and the paymentof principal or interest on any general long-term debt or medium-termobligation.

(Added to NRS by 1965, 727; A 1981, 1761; 2001, 1797)

NRS 354.516 Encumbrancesdefined. Encumbrances means commitmentsrelated to unperformed contracts for goods or services, the accounting forwhich is used to ensure effective budgetary control and accountability and topromote effective cash planning and control. For reporting purposes,encumbrances outstanding at a years end represent the estimated amount of theexpenditure ultimately to result if the unperformed contracts existing at theyears end are performed. Encumbrances outstanding at a years end do notconstitute expenditures or liabilities.

(Added to NRS by 1965, 728; A 1981, 1761)

NRS 354.517 Enterprisefund defined. Enterprise fund means a fundestablished to account for operations:

1. Which are financed and conducted in a mannersimilar to the operations of private business enterprises, where the intent ofthe governing body is to have the expenses (including depreciation) ofproviding goods or services on a continuing basis to the general public,financed or recovered primarily through charges to the users; or

2. For which the governing body has decided that aperiodic determination of revenues earned, expenses incurred and net income isconsistent with public policy and is appropriate for capital maintenance,management control, accountability or other purposes.

(Added to NRS by 1971, 200; A 1981, 1761)

NRS 354.520 Expendituredefined.

1. Expenditure means:

(a) If the accounting records are kept on the modifiedaccrual basis, the cost of goods delivered or services rendered, whether paidor unpaid. Expenditures are recognized in the accounting period in which thefund liability is incurred, if measurable, except for unmatured interest ongeneral long-term liabilities which should be recognized when due.

(b) If accounts are kept on the cash basis, only cashdisbursements for the purposes listed in paragraph (a).

2. Encumbrances are not considered expenditures.

(Added to NRS by 1965, 728; A 1981, 1762; 2001, 1797)

NRS 354.523 Expensedefined. Expense means any charge incurred,under the accrual basis, whether paid or unpaid, for operation, maintenance orinterest or any other charge which is presumed to provide benefit in thecurrent fiscal period.

(Added to NRS by 1981, 1756; A 2001, 1797)

NRS 354.5237 Fiduciaryfund defined. Fiduciary fund means a fundused to report assets held in a trustee or agency capacity for others andtherefore cannot be used to support the programs of the local government.

(Added to NRS by 2001, 1793)

NRS 354.524 Finalbudget defined. Final budget means thebudget which has been adopted by a local governing body or adopted by defaultas defined by NRS 354.470 to 354.626, inclusive, and which has beendetermined by the Department of Taxation to be in compliance with applicablestatutes and regulations.

(Added to NRS by 1965, 728; A 1971, 1013; 1975, 1684;2001, 1797)

NRS 354.526 Fiscalyear defined. Fiscal year means the12-month period beginning on the first day of July and ending on the last dayof June.

(Added to NRS by 1965, 728)

NRS 354.529 Functiondefined. Function means a group of relatedactivities aimed at accomplishing a major service or regulatory program forwhich a governmental unit is responsible, including, without limitation,general government, public safety, public works, health, welfare, culture andrecreation, conservation of natural resources, urban redevelopment and housing,economic development and assistance, economic opportunity and activitiesrelating to the judiciary.

(Added to NRS by 1981, 1756; A 2001, 1797)

NRS 354.530 Funddefined. Fund means a fiscal and accountingentity having a self-balancing set of accounts, recording cash and otherfinancial resources together with all related liabilities and residual equitiesor balances, or changes therein, which are segregated for the purpose ofcarrying on specific activities or attaining certain objectives in accordancewith specific regulations, restrictions or limitations.

(Added to NRS by 1965, 728; A 1981, 1762)

NRS 354.533 Fundbalance defined. Fund balance means theexcess of assets over liabilities in a governmental fund.

(Added to NRS by 1981, 1757; A 2001, 1797)

NRS 354.534 Generalfund defined. General fund means the fundused to account for all financial resources except those required to beaccounted for in another fund.

(Added to NRS by 1965, 728; A 1981, 1762)

NRS 354.535 Generallong-term debt defined. General long-termdebt means debt which is legally payable from general revenues and is backedby the full faith and credit of a governmental unit. The term includesobligations issued by a local government pursuant to chapter 350 of NRS and other long-termliabilities, including, without limitation, accrued compensated absences andclaims for workers compensation.

(Added to NRS by 1981, 1757; A 1995, 1818; 1999, 277; 2001, 1798, 2318; 2003, 78)

NRS 354.536 Governingbody defined. Governing body means theboard, council, commission or other body in which the general legislative andfiscal powers of the local government are vested.

(Added to NRS by 1965, 728)

NRS 354.543 Internalservice fund defined. Internal service fundmeans a fund used to account for the financing of goods or services furnishedby a designated department or agency to governmental units within its ownorganization or to other departments or agencies on the basis of reimbursementfor costs.

(Added to NRS by 1971, 200; A 1981, 1762)

NRS 354.548 Liabilitiesdefined. Liabilities means, for the purposeof financial reporting, debts or other legal obligations arising out oftransactions in the past which must be liquidated or refunded at some futuredate.

(Added to NRS by 1965, 729; A 1981, 1763)

NRS 354.550 Modifiedaccrual basis defined. Modified accrualbasis means the basis of accounting under which expenditures other thanaccrued interest on general long-term debt are recorded at the time liabilitiesare incurred and revenues are recorded when they become measurable andavailable to finance expenditures of the fiscal period.

(Added to NRS by 1965, 729; A 1971, 183; 1981, 1763)

NRS 354.553 Proprietaryfund defined. Proprietary fund means aninternal service fund or enterprise fund.

(Added to NRS by 2001, 1793)

NRS 354.557 Regionalfacility defined. Regional facility means afacility that is used by each county that levies a tax ad valorem for itsoperation pursuant to NRS 354.59818and provides services related to public safety, health or criminal justice. Theterm includes a regional facility for the detention of children for which anassessment is paid pursuant to NRS 62B.160.

(Added to NRS by 2001, 536; A 2003, 1135)

NRS 354.560 Reservedefined. Reserve means, in accounting and reportingof government funds, a portion of the fund equity which is not appropriable forexpenditures or is segregated by law or contract for a specific future use.

(Added to NRS by 1965, 729; A 1971, 183; 1981, 1763;1987, 631)

NRS 354.562 Revenuedefined. Revenue means the gross receiptsand receivables of a local government derived from taxes and all other sourcesexcept from appropriations and allotments.

(Added to NRS by 1965, 729; A 1967, 937; 1981, 1763; 2001, 1798)

NRS 354.570 Specialrevenue fund defined. Special revenue fundmeans a fund used to account for specific revenue sources, other than sourcesfor major capital projects, which are restricted by law to expenditure forspecified purposes.

(Added to NRS by 1965, 729; A 1971, 200; 1981, 1763; 2001, 1798)

NRS 354.571 Supplementalcity-county relief tax defined. Supplementalcity-county relief tax means the fees, taxes, interest and penalties whichderive from that portion of the city-county relief tax which exceeds theoriginal tax levied at the rate of one-half of 1 percent.

(Added to NRS by 1981, 305)

NRS 354.574 Taxrate defined. Tax rate means the amount oftax stated in terms of a unit of the tax base.

(Added to NRS by 1965, 730)

NRS 354.578 Tentativebudget defined. Tentative budget means thebudget that is prepared initially, published and recorded by each localgovernment for an ensuing fiscal year prior to its approval by the Departmentof Taxation and such other supervisory bodies as are charged by law with theexamination of tentative budgets, and prior to its subsequent adoption.

(Added to NRS by 1965, 730; A 1975, 1684)

NRS 354.590 Actionsof governing body by resolution or ordinance. Wheneverthe terms of NRS 354.470 to 354.626, inclusive, require or refer to actionof a governing body by resolution, the governing body may at its discretion actby ordinance, if it is otherwise authorized by law to adopt ordinances.

(Added to NRS by 1965, 730; A 1971, 1013, 1342)

NRS 354.592 Publicationof notice: Requirements; cost. Whenever theterms of NRS 354.470 to 354.626, inclusive, require publication ofnotice, such requirement shall be deemed to have been met when such notice ispublished once in some newspaper published within the area encompassed orserved by the local government. However, if no such newspaper is publishedwithin that area such notice shall be published in some newspaper published inthe State of Nevada and having a general circulation in the area. The cost ofpublications shall be a proper charge against the appropriate fund of the localgovernment.

(Added to NRS by 1965, 730; A 1971, 1014, 1342)

NRS 354.594 Committeeon Local Government Finance to advise local governments of regulations,procedures and reports. The Committee on LocalGovernment Finance shall determine and advise local government officers ofregulations, procedures and report forms for compliance with NRS 354.470 to 354.626, inclusive.

(Added to NRS by 1965, 726; A 1967, 938; 1971, 734,1014, 1342; 1975, 1685; 1989, 238; 1995, 143; 2001, 2318)

NRS 354.5945 Capitalimprovement plan: Preparation and submission; filing for public inspection;limitation on amount of expenditures; required contents; reconciliation ofcapital outlay; exemption.

1. Except as otherwise provided in subsection 7, eachlocal government shall annually prepare, on a form prescribed by the Departmentof Taxation for use by local governments, a capital improvement plan for thefiscal year ending on June 30 of that year and the ensuing 5 fiscal years.

2. On or before August 1 of each year, each localgovernment shall submit a copy of the capital improvement plan of the localgovernment to the:

(a) Department of Taxation;

(b) Debt management commission of the county in whichthe local government is located; and

(c) Director of the Legislative Counsel Bureau.

3. Each local government shall file a copy of thecapital improvement plan of the local government for public record andinspection by the public in the offices of:

(a) The clerk or secretary of the governing body; and

(b) The county clerk.

4. The total amount of the expenditures contained inthe capital improvement plan of the local government for the next ensuingfiscal year must equal the total amount of expenditures for capital outlay setforth in the final budget of the local government for each fund listed in thatbudget.

5. The capital improvement plan must include theestimated or actual revenues and expenditures for each capital project and theestimated or actual date for completion of each capital project.

6. The capital improvement plan must reconcile thecapital outlay in each fund in the final budget for the first year of thecapital improvement plan to the final budget in the next ensuing fiscal year.The reconciliation must identify the minimum level of expenditure for itemsclassified as capital assets in the final budget and the minimum level ofexpenditure for items classified as capital projects in the capital improvementplan. The reconciliation of capital outlay items in the capital improvement planmust be presented on forms created and distributed by the Department ofTaxation.

7. Local governments that are exempt from therequirements of the Local Government Budget and Finance Act pursuant tosubsection 1 of NRS 354.475 are notrequired to file a capital improvement plan.

(Added to NRS by 1999, 832; A 2001, 1798; 2003, 802; 2005, 128, 1402)

NRS 354.5947 Annualreport concerning capital improvements owned, leased or operated by localgovernment: Compilation; requirements; submission.

1. In addition to the records and inventory controlsestablished and maintained pursuant to NRS354.625, the governing body of each local government shall, for each fiscalyear, compile a report concerning the capital improvements owned, leased oroperated by the local government.

2. The report of the capital improvements requiredpursuant to subsection 1 must be prepared in such detail as is required bygenerally accepted accounting principles.

3. The governing body shall submit, in any formatincluding an electronic format, a copy of the report compiled pursuant tosubsection 1 on or before February 1 of the year next succeeding the period towhich the report pertains to the Department of Taxation and the Director of theLegislative Counsel Bureau for distribution to each regular session of theLegislature.

(Added to NRS by 2005, 1402)

NRS 354.596 Tentativebudget: Preparation and filing; notice and public hearing; duties of Departmentof Taxation.

1. The officer charged by law shall prepare, or thegoverning body shall cause to be prepared, on appropriate forms prescribed bythe Department of Taxation for the use of local governments, a tentative budgetfor the ensuing fiscal year. The tentative budget for the following fiscal yearmust be submitted to the county auditor and filed for public record andinspection in the office of:

(a) The clerk or secretary of the governing body; and

(b) The county clerk.

2. On or before April 15, a copy of the tentativebudget must be submitted:

(a) To the Department of Taxation; and

(b) In the case of school districts, to the Departmentof Education.

3. At the time of filing the tentative budget, thegoverning body shall give notice of the time and place of a public hearing onthe tentative budget and shall cause a notice of the hearing to be publishedonce in a newspaper of general circulation within the area of the localgovernment not more than 14 nor less than 7 days before the date set for thehearing. The notice of public hearing must state:

(a) The time and place of the public hearing.

(b) That a tentative budget has been prepared in suchdetail and on appropriate forms as prescribed by the Department of Taxation.

(c) The places where copies of the tentative budget areon file and available for public inspection.

4. Budget hearings must be held:

(a) For county budgets, on the third Monday in May;

(b) For cities, on the third Tuesday in May;

(c) For school districts, on the third Wednesday inMay; and

(d) For all other local governments, on the thirdThursday in May or the Friday immediately succeeding the third Thursday in May,

except thatthe board of county commissioners may consolidate the hearing on all localgovernment budgets administered by the board of county commissioners with thecounty budget hearing.

5. The Department of Taxation shall examine thesubmitted documents for compliance with law and with appropriate regulationsand shall submit to the governing body at least 3 days before the publichearing a written certificate of compliance or a written notice of lack ofcompliance. The written notice must indicate the manner in which the submitteddocuments fail to comply with law or appropriate regulations.

6. Whenever the governing body receives from theDepartment of Taxation a notice of lack of compliance, the governing body shallforthwith proceed to amend the tentative budget to effect compliance with thelaw and with the appropriate regulation.

(Added to NRS by 1965, 730; A 1969, 1081; 1973, 404;1975, 160, 1685; 1979, 1372; 1985, 1054, 1729; 1987, 163; 2001, 1799; 2005, 1403)

NRS 354.597 Preparationof tentative budget and adoption of final budget: Reduction of estimate ofrevenues by amount of taxes ad valorem expected to be delinquent.

1. In preparing a tentative budget, the governing bodyof a local government, except a school district, which determines that theamount of revenue to be received from taxes ad valorem during the ensuingfiscal year will be reduced because one or more lessees or users of propertywhich is taxable pursuant to NRS 361.157or 361.159 will be delinquent in payingthe tax, may, upon approval by the Executive Director of the Department ofTaxation, reduce the estimate of revenue from taxes ad valorem by the amount ofthe tax expected to be delinquent.

2. In adopting a final budget, the governing body of alocal government, except a school district, shall reduce the estimate ofrevenue from taxes ad valorem by the amount determined pursuant to subsection1, unless the governing body has determined since the preparation of thetentative budget that some or all of the tax expected to be delinquent will bepaid. The governing body shall increase the estimate of revenue from taxes advalorem by the amount of tax no longer expected to be delinquent, if any.

3. The provisions of this section do not affect thecalculation of the limitation upon revenue from taxes ad valorem pursuant to NRS 354.59811 or any estimate of assessedvaluation used to distribute revenue among local governments or determine thedebt limit of the State, a local government or a school district.

(Added to NRS by 1997, 1113)

NRS 354.598 Finalbudget: Adoption; budget by default; certification; appropriations;limitations; changes.

1. At the time and place advertised for publichearing, or at any time and place to which the public hearing is from time totime adjourned, the governing body shall hold a public hearing on the tentativebudget, at which time interested persons must be given an opportunity to beheard.

2. At the public hearing, the governing body shallindicate changes, if any, to be made in the tentative budget and shall adopt afinal budget by the favorable votes of a majority of all members of thegoverning body. Except as otherwise provided in this subsection, the finalbudget must be adopted on or before June 1 of each year. The final budgets ofschool districts must be adopted on or before June 8 of each year. Should thegoverning body fail to adopt a final budget that complies with the requirementsof law and the regulations of the Committee on Local Government Finance on orbefore the required date, the budget adopted and used for certification of thecombined ad valorem tax rate by the Department of Taxation for the currentyear, adjusted as to content and rate in such a manner as the Department ofTaxation may consider necessary, automatically becomes the budget for theensuing fiscal year. When a budget has been so adopted by default, thegoverning body may not reconsider the budget without the express approval ofthe Department of Taxation. If the default budget creates a combined ad valoremtax rate in excess of the limit imposed by NRS361.453, the Nevada Tax Commission shall adjust the budget as provided in NRS 361.4547 or 361.455.

3. The final budget must be certified by a majority ofall members of the governing body, and a copy of it, together with an affidavitof proof of publication of the notice of the public hearing, must betransmitted to the Nevada Tax Commission. If a tentative budget is adopted bydefault as provided in subsection 2, the clerk of the governing body shallcertify the budget and transmit to the Nevada Tax Commission a copy of thebudget, together with an affidavit of proof of the notice of the publichearing, if that notice was published. Certified copies of the final budgetmust be distributed as determined by the Department of Taxation.

4. Upon the adoption of the final budget or theamendment of the budget in accordance with NRS354.598005, the several amounts stated in it as proposed expenditures areappropriated for the purposes indicated in the budget.

5. No governing body may adopt any budget whichappropriates for any fund any amount in excess of the budget resources of thatfund.

6. If a local government makes a change in its finalbudget which increases the combined ad valorem tax rate, the local governmentshall submit the amended final budget to the county auditor within 15 daysafter making the change.

(Added to NRS by 1965, 731; A 1967, 938; 1969, 1083;1975, 161, 1686; 1979, 1240, 1373; 1981, 311; 1987, 164; 1993, 1432; 1995,1031; 1997, 1778; 1999,1358; 2001, 1800,2319; 2003, 162; 2003, 19th SpecialSession, 84)

NRS 354.598005 Proceduresand requirements for augmenting or amending budget.

1. If anticipated resources actually available duringa budget period exceed those estimated, a local government may augment a budgetin the following manner:

(a) If it is desired to augment the appropriations of afund to which ad valorem taxes are allocated as a source of revenue, thegoverning body shall, by majority vote of all members of the governing body,adopt a resolution reciting the appropriations to be augmented, and the natureof the unanticipated resources intended to be used for the augmentation. Beforethe adoption of the resolution, the governing body shall publish notice of itsintention to act thereon in a newspaper of general circulation in the countyfor at least one publication. No vote may be taken upon the resolution until 3days after the publication of the notice.

(b) If it is desired to augment the budget of any fundother than a fund described in paragraph (a) or an enterprise or internalservice fund, the governing body shall adopt, by majority vote of all membersof the governing body, a resolution providing therefor at a regular meeting ofthe body.

2. A budget augmentation becomes effective upondelivery to the Department of Taxation of an executed copy of the resolutionproviding therefor.

3. Nothing in NRS354.470 to 354.626, inclusive,precludes the amendment of a budget by increasing the total appropriation forany fiscal year to include a grant-in-aid, gift or bequest to a local unit ofgovernment which is required to be used for a specific purpose as a conditionof the grant. Acceptance of such a grant and agreement to the terms imposed bythe granting agency or person constitutes an appropriation to the purposespecified.

4. A local government need not file an augmentedbudget for an enterprise or internal service fund with the Department ofTaxation but shall include the budget augmentation in the next quarterlyreport.

5. Budget appropriations may be transferred between functions,funds or contingency accounts in the following manner, if such a transfer doesnot increase the total appropriation for any fiscal year and is not in conflictwith other statutory provisions:

(a) The person designated to administer the budget fora local government may transfer appropriations within any function.

(b) The person designated to administer the budget maytransfer appropriations between functions or programs within a fund, if:

(1) The governing body is advised of the actionat the next regular meeting; and

(2) The action is recorded in the officialminutes of the meeting.

(c) Upon recommendation of the person designated toadminister the budget, the governing body may authorize the transfer ofappropriations between funds or from the contingency account, if:

(1) The governing body announces the transfer ofappropriations at a regularly scheduled meeting and sets forth the exactamounts to be transferred and the accounts, functions, programs and fundsaffected;

(2) The governing body sets forth its reasonsfor the transfer; and

(3) The action is recorded in the officialminutes of the meeting.

6. In any year in which the Legislature by lawincreases or decreases the revenues of a local government, and that increase ordecrease was not included or anticipated in the local governments final budgetas adopted pursuant to NRS 354.598, thegoverning body of any such local government may, within 30 days of adjournmentof the legislative session, file an amended budget with the Department of Taxationincreasing or decreasing its anticipated revenues and expenditures from thatcontained in its final budget to the extent of the actual increase or decreaseof revenues resulting from the legislative action.

7. In any year in which the Legislature enacts a lawrequiring an increase or decrease in expenditures of a local government, whichwas not anticipated or included in its final budget as adopted pursuant to NRS 354.598, the governing body of any suchlocal government may, within 30 days of adjournment of the legislative session,file an amended budget with the Department of Taxation providing for an increaseor decrease in expenditures from that contained in its final budget to theextent of the actual amount made necessary by the legislative action.

8. An amended budget, as approved by the Department ofTaxation, is the budget of the local government for the current fiscal year.

9. On or before January 1 of each school year, eachschool district shall adopt an amendment to its final budget after the count ofpupils is completed pursuant to subsection 1 of NRS 387.1233. The amendment must reflectany adjustments necessary as a result of the completed count of pupils.

(Added to NRS by 2001, 1793)

NRS 354.59801 Localgovernment to file copy of certain documents for public inspection. Each local government shall file in the office of theclerk or secretary of its governing body, for public record and inspection:

1. A copy of its final budget; and

2. A copy of its final plan for capital improvementsprepared pursuant to NRS 354.5945 and,if applicable, NRS 350.013.

(Added to NRS by 1985, 1054; A 1989, 188; 1999, 833; 2001, 1801)

NRS 354.59803 Reportingof expenditures of local government for lobbying activities: Requirements;filing with Department of Taxation.

1. In each year in which the Legislature convenes, alocal government which expends more than $6,000 on activities designed toinfluence the passage or defeat of any legislation shall file with theDepartment of Taxation within 30 days after the close of the legislativesession a report supplemental to its final budget which includes separate itemsfor expenses relating to that activity, including, without limitation:

(a) Transportation.

(b) The amount of money spent on:

(1) The lodging and meals of its officers,lobbyists and employees;

(2) The salary or wages paid to its officers andemployees; and

(3) Compensation paid to any lobbyists, to theextent that such information does not duplicate the information requiredpursuant to subparagraphs (1) and (2).

(c) The amount of money spent on entertainment, giftsor other expenses which are required to be reported pursuant to NRS 218.900 to 218.944, inclusive.

(d) The amount of money spent in Carson City onsupplies, equipment and facilities and other personnel and services needed tosupport the activity.

(e) An identification of the fund, account or othersource against which the expenses were charged.

2. The local government shall make a copy of thesupplemental report available for inspection within 30 days after the close ofthe legislative session.

(Added to NRS by 1985, 1518; A 2001, 2477)

NRS 354.59811 Limitationupon revenue from taxes ad valorem: Calculation.

1. Except as otherwise provided in NRS 244.377, 278C.260, 354.59813, 354.59815, 354.59818, 354.5982, 354.5987, 354.705, 354.723,450.425, 450.760, 540A.265 and 543.600, for each fiscal year beginning onor after July 1, 1989, the maximum amount of money that a local government,except a school district, a district to provide a telephone number foremergencies or a redevelopment agency, may receive from taxes ad valorem, otherthan those attributable to the net proceeds of minerals or those levied for thepayment of bonded indebtedness and interest thereon incurred as generallong-term debt of the issuer, or for the payment of obligations issued to paythe cost of a water project pursuant to NRS349.950, or for the payment of obligations under a capital lease executedbefore April 30, 1981, must be calculated as follows:

(a) The rate must be set so that when applied to thecurrent fiscal years assessed valuation of all property which was on thepreceding fiscal years assessment roll, together with the assessed valuationof property on the central assessment roll which was allocated to the localgovernment, but excluding any assessed valuation attributable to the netproceeds of minerals, assessed valuation attributable to a redevelopment areaand assessed valuation of a fire protection district attributable to realproperty which is transferred from private ownership to public ownership forthe purpose of conservation, it will produce 106 percent of the maximum revenueallowable from taxes ad valorem for the preceding fiscal year, except that therate so determined must not be less than the rate allowed for the previousfiscal year, except for any decrease attributable to the imposition of a taxpursuant to NRS 354.59813 in theprevious year.

(b) This rate must then be applied to the totalassessed valuation, excluding the assessed valuation attributable to the netproceeds of minerals and the assessed valuation of a fire protection districtattributable to real property which is transferred from private ownership topublic ownership for the purpose of conservation, but including new realproperty, possessory interests and mobile homes, for the current fiscal year todetermine the allowed revenue from taxes ad valorem for the local government.

2. As used in this section, general long-term debtdoes not include debt created for medium-term obligations pursuant to NRS 350.087 to 350.095, inclusive.

(Added to NRS by 1983, 557; A 1983, 1058; 1987, 368,434, 1341, 1686, 2034; 1989, 46, 806, 2074; 1995, 1818, 1895; 1997, 550, 1340,2561, 2573; 1999, 87,277, 2537; 2001, 60, 61, 537, 1801, 2319; 2003, 162, 480; 2005, 1767)

NRS 354.59813 Limitationupon revenue from taxes ad valorem: Levy of additional tax ad valorem foroperating purposes under certain circumstances.

1. In addition to the allowed revenue from taxes advalorem determined pursuant to NRS354.59811, if the estimate of the revenue available from the supplementalcity-county relief tax to the county as determined by the Executive Director ofthe Department of Taxation pursuant to the provisions of subsection 11 of NRS 360.690 is less than the amount of moneythat would be generated by applying a tax rate of $1.15 per $100 of assessedvaluation to the assessed valuation of the county, except any assessedvaluation attributable to the net proceeds of minerals, the governing body ofeach local government may levy an additional tax ad valorem for operatingpurposes. The total tax levied by the governing body of a local governmentpursuant to this section must not exceed a rate calculated to produce revenueequal to the difference between the:

(a) Amount of revenue from supplemental city-countyrelief tax estimated to be received by the county pursuant to subsection 11 of NRS 360.690; and

(b) The tax that the county would have been estimatedto receive if the estimate for the total revenue available from the tax wasequal to the amount of money that would be generated by applying a tax rate of$1.15 per $100 of assessed valuation to the assessed valuation of the county,

multipliedby the proportion determined for the local government pursuant to subparagraph(2) of paragraph (a) of subsection 4 of NRS360.690, subparagraph (2) of paragraph (a) of subsection 6 of NRS 360.690 or subparagraph (2) ofparagraph (a) of subsection 7 of NRS 360.690,as appropriate.

2. Any additional taxes ad valorem levied as a resultof the application of this section must not be included in the base from whichthe allowed revenue from taxes ad valorem for the next subsequent year iscomputed.

3. As used in this section, local government has themeaning ascribed to it in NRS 360.640.

(Added to NRS by 1989, 2073; A 1991, 1434; 1997,3294; 1999, 1099;2003, 1637; 2005, 13)

NRS 354.59815 Limitationupon revenue from taxes ad valorem: Levy of additional tax ad valorem forcapital projects without approval of voters.

1. In addition to the allowed revenue from taxes advalorem determined pursuant to NRS354.59811, the board of county commissioners may levy a tax ad valorem onall taxable property in the county at a rate not to exceed 5 cents per $100 ofthe assessed valuation of the county.

2. The board of county commissioners shall direct thecounty treasurer to distribute quarterly the proceeds of any tax leviedpursuant to the provisions of subsection 1 among the county and the cities andtowns within that county in the proportion that the supplemental city-countyrelief tax distribution factor of each of those local governments for the1990-1991 fiscal year bears to the sum of the supplemental city-county relieftax distribution factors of all of the local governments in the county for the1990-1991 fiscal year.

3. The board of county commissioners shall not reducethe rate of any tax levied pursuant to the provisions of subsection 1 withoutthe approval of each of the local governments that receives a portion of thetax, except that, if a local government declines to receive its portion of thetax in a particular year the levy may be reduced by the amount that localgovernment would have received.

(Added to NRS by 1989, 2073; A 1991, 1435)

NRS 354.598155 Specialad valorem capital projects fund.

1. Each local government that receives a portion ofthe revenue from the tax levied pursuant to the provisions of NRS 354.59815 shall establish a specialad valorem capital projects fund and shall deposit all revenue receivedpursuant to the provisions of NRS354.59815 in that fund. All interest and income earned on the money in thefund must also be deposited in the fund.

2. The money in the fund may only be used for:

(a) The purchase of capital assets including land,improvements to land and major items of equipment;

(b) The renovation of existing governmental facilitiesnot including normal recurring maintenance; and

(c) The repayment of a medium-term obligation issued tofund a project described in paragraph (a) or (b).

3. Money may be retained in the fund for not more than10 years to allow the funding of projects without the issuance of bonds orother obligations. For the purpose of determining the length of time a depositof money has been retained in the fund, all money withdrawn from the fund shallbe deemed to be taken on a first-in, first-out basis.

4. The annual budget and audit report of each localgovernment must specifically identify this fund and must indicate in detail theprojects that have been funded with money from the fund. Any plannedaccumulation of the money in the fund must also be specifically identified.

(Added to NRS by 1989, 2073; A 1995, 1819)

NRS 354.59817 Limitationupon revenue from taxes ad valorem: Levy of additional tax ad valorem forcapital projects upon approval of voters.

1. In addition to the allowed revenue from taxes advalorem determined pursuant to NRS354.59811, upon the approval of a majority of the registered voters of acounty voting upon the question, the board of county commissioners may levy atax ad valorem on all taxable property in the county at a rate not to exceed 15cents per $100 of the assessed valuation of the county. A tax must not belevied pursuant to this section for more than 10 years.

2. The board of county commissioners shall direct thecounty treasurer to distribute quarterly the proceeds of any tax leviedpursuant to the provisions of this section among the county and the cities andtowns within that county in the proportion that the supplemental city-countyrelief tax distribution factor of each of those local governments for the1990-1991 fiscal year bears to the sum of the supplemental city-county relieftax distribution factors of all the local governments in the county for the 1990-1991fiscal year.

3. The board of county commissioners shall not reducethe rate of any tax levied pursuant to the provisions of this section withoutthe approval of each of the local governments that receives a portion of thetax, except that, if a local government declines to receive its portion of thetax in a particular year, the levy may be reduced by the amount that localgovernment would have received.

4. The governing body of each local government thatreceives a portion of the revenue from the tax levied pursuant to this sectionshall establish a separate capital projects fund for the purposes set forth inthis section. All interest and income earned on the money in the fund must alsobe deposited in the fund. The money in the fund may only be used for:

(a) The purchase of capital assets, including land,improvements to land and major items of equipment;

(b) The construction or replacement of public works;and

(c) The renovation of existing governmental facilities,not including normal recurring maintenance.

The money inthe fund must not be used to finance the issuance or the repayment of bonds orother obligations, including medium-term obligations and installment-purchaseagreements.

5. Money may be retained in the fund for not more than10 years to allow the funding of projects without the issuance of bonds orother obligations. For the purpose of determining the length of time a depositof money has been retained in the fund, all money withdrawn from the fund shallbe deemed to be taken on a first-in, first-out basis. No money in the fund atthe end of the fiscal year may revert to any other fund, nor may the money be asurplus for any other purpose than those specified in this section.

6. The annual budget and audit report of each localgovernment must specifically identify this fund and must indicate in detail theprojects that have been funded with money from the fund. Any plannedaccumulation of the money in the fund must also be specifically identified.

7. The projects on which money raised pursuant to thissection will be expended must be approved by the voters in the questionsubmitted pursuant to subsection 1 or in a separate question submitted on theballot at a general or special election.

(Added to NRS by 1993, 1149; A 1997, 555; 2001, 1802, 2320; 2003, 162)

NRS 354.59818 Limitationupon revenue from taxes ad valorem: Levy of additional tax ad valorem foroperation of regional facility without approval of voters.

1. In addition to the allowed revenue from taxes advalorem determined pursuant to NRS354.59811, the boards of county commissioners of at least two counties maylevy a tax ad valorem on all taxable property in their respective counties at arate not to exceed 5 cents per $100 of the assessed valuation of each county topay the costs of operating a regional facility.

2. Counties that levy a tax ad valorem pursuant tosubsection 1 may enter into an interlocal agreement or interlocal contract tocreate an administrative entity to operate a regional facility.

3. The revenue of a tax collected pursuant to thissection must be remitted on the first day of the first month of each calendarquarter to:

(a) If the regional facility is operated by a county,the treasurer of the county; or

(b) If the regional facility is operated by anadministrative entity, the administrative entity.

4. By the end of each fiscal year, the board of countycommissioners of each county that levies a tax pursuant to this section mustdetermine the rate of tax required to produce revenue in an amount which issufficient to pay the operating costs of the regional facility for the ensuingfiscal year. When calculating a rate pursuant to this section, the board ofcounty commissioners of each county shall consider the amount of moneyremaining in the fund created pursuant to NRS354.59819, if such a fund is created, unless the amount of money remainingin the fund is 10 percent or less of the revenue deposited for the currentfiscal year.

(Added to NRS by 2001, 536)

NRS 354.59819 Separatefund for revenue used for operation of regional facility.

1. If two or more counties create an administrativeentity pursuant to NRS 354.59818, theadministrative entity shall establish a separate fund to account for therevenue received from taxes levied pursuant to NRS 354.59818.

2. The money in the fund may only be withdrawn by theadministrative entity and must be used only to pay the expenses of operatingthe regional facility that is operated by the administrative entity.

3. All interest and income from money deposited in thefund must be credited to the fund.

4. The annual budget and audit report of anadministrative entity that establishes a fund pursuant to this section must:

(a) Identify the fund;

(b) Indicate in detail all revenue received for theyear;

(c) Indicate in detail all expenses for the year whichwere paid with money from the fund; and

(d) Specifically identify any planned accumulation ofmoney in the fund.

5. Money remaining in the fund at the end of a fiscalyear must not revert to any other fund.

6. Upon termination of an interlocal agreement orinterlocal contract that creates an administrative entity, the money remainingin a fund established pursuant to this section must be transmitted to thetreasurer of each county which was a party to the interlocal agreement orinterlocal contract and which levied a tax pursuant to NRS 354.59818. Each county that isentitled to receive a portion of the money remaining in the fund must receivean amount equal to the same proportion of the total amount of revenue thecounty contributed to the fund. A county that receives money pursuant to thissection shall deposit the money in a fund established pursuant to NRS 354.6113 or 354.6115 for use in the same manner asother money deposited in that fund.

7. Nothing in this section may be construed to requirea board of county commissioners that is a party to an interlocal agreement orinterlocal contract to levy a tax pursuant to NRS 354.59818.

(Added to NRS by 2001, 537)

NRS 354.5982 Limitationupon revenue from taxes ad valorem: Authority to exceed pursuant to vote ofpeople; addition of imposed costs.

1. The local government may exceed the limit imposedby NRS 354.59811 upon the calculatedreceipts from taxes ad valorem only if its governing body proposes to itsregistered voters an additional property tax, and the proposal is approved by amajority of the voters voting on the question at a general election, a generalcity election or a special election called for that purpose. The questionsubmitted to the voters must contain the rate of the proposed additionalproperty tax stated in dollars and cents per $100 assessed valuation, thepurpose of the proposed additional property tax, the duration of the proposedadditional property tax and an estimate established by the governing body ofthe increase in the amount of property taxes that an owner of a new home with afair market value of $100,000 will pay per year as a result of the passage ofthe question. The duration of the levy must not exceed 30 years. The governingbody may discontinue the levy before it expires and may not thereafter reimposeit in whole or in part without following the procedure required for itsoriginal imposition.

2. A special election may be held:

(a) At any time, including, without limitation, on thedate of a primary city election or a primary state election, if the governingbody of the local government determines, by a unanimous vote, that an emergencyexists; or

(b) On the first Tuesday after the first Monday in Juneof an odd-numbered year.

3. The determination made by the governing bodypursuant to subsection 2 that an emergency exists is conclusive unless it isshown that the governing body acted with fraud or a gross abuse of discretion.An action to challenge the determination made by the governing body must becommenced within 15 days after the governing bodys determination is final. Asused in this subsection, emergency means any unexpected occurrence orcombination of occurrences which requires immediate action by the governingbody of the local government to prevent or mitigate a substantial financialloss to the local government or to enable the governing body to provide anessential service to the residents of the local government.

4. To the allowed revenue from taxes ad valoremdetermined pursuant to NRS 354.59811for a local government, the Executive Director of the Department of Taxationshall add any amount approved by the Legislature for the cost to that localgovernment of any substantial program or expense required by legislativeenactment.

(Added to NRS by 1981, 305; A 1981, 1245; 1983, 495,554, 1051; 1987, 434, 1386; 1989, 47, 939, 2075, 2087; 1991, 1435; 1993, 1068,2660, 2662; 1997, 3294; 1999, 1083; 2001, 602)

NRS 354.59821 Limitationupon revenue from taxes ad valorem: Forms for submission of ballot question andexamples of previous questions to be provided by Committee on Local GovernmentFinance.

1. The Committee on Local Government Finance shallannually provide to each city clerk, county clerk and district attorney:

(a) Forms for submitting a ballot question to theregistered voters of a local government for the imposition of an additionalproperty tax pursuant to NRS 354.5982;and

(b) Examples of past ballot questions for theimposition of an additional property tax.

2. The city clerk, county clerk or district attorneymay make these forms and examples available to the general public.

(Added to NRS by 1999, 1083)

NRS 354.5987 Establishmentof allowed revenue from taxes ad valorem of certain local governments by NevadaTax Commission.

1. For the purposes of NRS 354.59811, the allowed revenue fromtaxes ad valorem of any local government must be established by the Nevada TaxCommission for the first fiscal year it is in existence.

2. Except as otherwise provided in subsections 3 and5, if the local government for which the allowed revenue from taxes ad valoremis to be established performs a function previously performed by another localgovernment, the total revenue allowed to all local governments for performanceof substantially the same function in substantially the same geographical areamust not be increased. To achieve this result, the Nevada Tax Commission shallrequest the Committee on Local Government Finance to prepare a statement of theprior cost of performing the function for each predecessor local government.Within 60 days after receipt of such a request, the Committee on LocalGovernment Finance shall prepare a statement pursuant to the request andtransmit it to the Nevada Tax Commission. The Nevada Tax Commission may accept,reject or amend the statement of the Committee on Local Government Finance. Thedecision of the Nevada Tax Commission is final. Upon making a finaldetermination of the prior cost of performing the function for each predecessorlocal government, the Nevada Tax Commission shall:

(a) Determine the percentage that the prior cost ofperforming the function for each predecessor local government is of the allowedrevenue from taxes ad valorem of that local government; and

(b) Apply the percentage determined pursuant toparagraph (a) to the allowed revenue from taxes ad valorem and subtract thatamount from the allowed revenue from taxes ad valorem of the predecessor localgovernment.

The allowedrevenue from taxes ad valorem attributable to the new local government for thecost of performing the function must equal the total of the amounts subtractedfor the prior cost of performing the function from the allowed revenue fromtaxes ad valorem of all the predecessor local governments.

3. If the local government for which the allowedrevenue from taxes ad valorem is to be established is an unincorporated townwhich provides a service not previously provided by another local government,and the board of county commissioners has included the unincorporated town in aresolution adopted pursuant to the provisions of NRS 269.5755, the Nevada Tax Commissionshall, if the unincorporated town does not receive revenue from taxes ad valorem,establish the allowed revenue of the town from taxes ad valorem at an amountwhich is in the same ratio to the assessed valuation of the town as thecombined allowed revenues from taxes ad valorem are to the combined assessedvaluations of the other unincorporated towns included in the common levy.

4. Except as otherwise provided in subsection 5, theallowed revenue from taxes ad valorem of all local governments in the county,determined pursuant to NRS 354.59811,must not be increased, but the total allowed revenue from taxes ad valorem mustbe reallocated among the local governments consistent with subsection 2 toaccommodate the amount established for the new local government pursuant tosubsection 1.

5. In establishing the allowed revenue from taxes advalorem of a county, city or town pursuant to this section, the Nevada TaxCommission shall allow a tax rate for operating expenses of at least 15 centsper $100 of assessed valuation in addition to the tax rate allowed for anyidentified and restricted purposes and for debt service.

6. As used in this section:

(a) Predecessor local government means a localgovernment which previously performed all or part of a function to be performedby the local government for which the allowed revenue from taxes ad valorem isbeing established pursuant to subsection 1.

(b) Prior cost of performing the function means theamount expended by a local government to perform a function which is now to beperformed by another local government. The amount must be determined on thebasis of the most recent fiscal year for which reliable information isavailable.

(Added to NRS by 1981, 307; A 1983, 558, 1052; 1985,1653; 1989, 1046, 1564, 2076, 2088; 1991, 1436; 1995, 143, 2179; 1997, 3295; 2001, 1803)

NRS 354.59874 Adjustmentof allowed revenue from taxes ad valorem upon assumption by local government offunction previously performed by another local government pursuant to agreementbetween local governments. Except as otherwiseprovided in subsection 2 of NRS 354.5987and NRS 354.598743 and 354.598747, if one local governmenttakes over a function or provides a service previously performed by anotherlocal government pursuant to an agreement between the local governments, uponpetition by the participating local governments, the Executive Director of theDepartment of Taxation shall:

1. Reduce the allowed revenue from taxes ad valoremcalculated pursuant to NRS 354.59811of the local government which previously performed the function or provided theservice, for the first year the service is provided or the function is performedby an amount equal to the cost of performing the function or providing theservice; and

2. Increase the allowed revenue from taxes ad valoremcalculated pursuant to NRS 354.59811of the local government which assumed the performance of the function or theprovision of the service, for the first year the service is provided or thefunction is performed by an amount equal to the amount by which the reductionwas made pursuant to subsection 1.

(Added to NRS by 1989, 805; A 1989, 2087; 1991, 1438;1997, 3298)

NRS 354.598743 Adjustmentof allowed revenue from taxes ad valorem upon assumption by local government offunction previously performed by another local government that no longerexists. Except as otherwise provided in NRS 354.598747, if one or more localgovernments assume the functions previously performed by a local governmentthat no longer exists, the Nevada Tax Commission shall add to the allowedrevenue from taxes ad valorem otherwise allowable to the local government orlocal governments pursuant to NRS354.59811 an amount equal to the allowed revenue from taxes ad valorem forthe last fiscal year of existence of the local government whose functions wereassumed. If more than one local government assumes the functions, theadditional revenue must be divided among the local governments on the basis ofthe proportionate costs of the functions assumed. The Nevada Tax Commissionshall not allow any increase in the allowed revenue from taxes ad valorem ifthe increase would result in a decrease in revenue of any local government inthe county that does not assume those functions.

(Added to NRS by 1997, 3292)

NRS 354.598747 Calculationof amount distributed from Local Government Tax Distribution Account to localgovernment, special district or enterprise district that assumes functions ofanother local government or district.

1. To calculate the amount to be distributed pursuantto the provisions of NRS 360.680 and 360.690 from a countys subaccount in theLocal Government Tax Distribution Account to a local government, specialdistrict or enterprise district after it assumes the functions of another localgovernment, special district or enterprise district:

(a) Except as otherwise provided in this section, theExecutive Director of the Department of Taxation shall:

(1) Add the amounts calculated pursuant tosubsection 1 or 2 of NRS 360.680 for eachlocal government, special district or enterprise district and allocate thecombined amount to the local government, special district or enterprisedistrict that assumes the functions; and

(2) If applicable, add the average change inpopulation and average change in the assessed valuation of taxable propertythat would otherwise be allowed to the local government or special districtwhose functions are assumed, including the assessed valuation attributable to aredevelopment agency but excluding the portion attributable to the net proceedsof minerals, pursuant to subsection 4, 5, 6 or 7 of NRS 360.690, as appropriate, to the averagechange in population and average change in assessed valuation for the localgovernment, special district or enterprise district that assumes the functions.

(b) If two or more local governments, special districtsor enterprise districts assume the functions of another local government,special district or enterprise district, the additional revenue must be dividedamong the local governments, special districts or enterprise districts thatassume the functions on the basis of the proportionate costs of the functionsassumed.

The NevadaTax Commission shall not allow any increase in the allowed revenue from thetaxes contained in the countys subaccount in the Local Government TaxDistribution Account if the increase would result in a decrease in revenue ofany local government, special district or enterprise district in the countythat does not assume those functions. If more than one local government,special district or enterprise district assumes the functions, the Nevada TaxCommission shall determine the appropriate amounts calculated pursuant tosubparagraphs (1) and (2) of paragraph (a).

2. If a city disincorporates, the board of countycommissioners of the county in which the city is located must determine theamount the unincorporated town created by the disincorporation will receivepursuant to the provisions of NRS 360.600to 360.740, inclusive.

3. As used in this section:

(a) Enterprise district has the meaning ascribed toit in NRS 360.620.

(b) Local government has the meaning ascribed to itin NRS 360.640.

(c) Special district has the meaning ascribed to itin NRS 360.650.

(Added to NRS by 1997, 3293; A 1999, 7, 1095, 1099; 2001, 70; 2003, 1637; 2005, 14)

NRS 354.59875 Calculationand imposition of common levy for unincorporated town.

1. If the board of county commissioners of a countyhas established a common levy authorized pursuant to NRS 269.5755, it shall calculate the rateof that levy by combining the amount of revenue from taxes ad valoremauthorized for each of the unincorporated towns participating in the commonlevy, including any adjustment permitted by statute or authorized by the NevadaTax Commission, and dividing that sum by the combined assessed valuation ofthose unincorporated towns. The resulting common rate must be imposed on alltaxable property located in those unincorporated towns.

2. Whether or not a common levy has been established,each board of county commissioners shall cause to be prepared and madeavailable as a public record a document showing:

(a) The services provided throughout the county andfinanced from the rate levied for the county as such; and

(b) The services provided in each area for which anadditional rate is levied and financed from that rate.

(Added to NRS by 1985, 2254)

NRS 354.59881 Limitationson fees applicable to public utilities: Definitions. Asused in NRS 354.59881 to 354.59889, inclusive, unless the contextotherwise requires, the words and terms defined in NRS 354.598811 to 354.598818, inclusive, have the meaningsascribed to them in those sections.

(Added to NRS by 1995, 2188; A 1997, 1987, 2742; 1999, 603, 604; 2001, 1644)

NRS 354.598811 Limitationson fees applicable to public utilities: Community antenna television companydefined. Community antenna televisioncompany has the meaning ascribed to it in NRS711.030.

(Added to NRS by 1997, 2741)

NRS 354.598812 Limitationson fees applicable to public utilities: Customer defined. Customer does not include any customer of a provider ofa telecommunication service other than a retail customer.

(Added to NRS by 1997, 2741)

NRS 354.598813 Limitationson fees applicable to public utilities: Delinquent amount defined. Delinquent amount means any portion of a fee collectedfrom a customer by a public utility that is not paid to the city or county bythe public utility within 30 days after the last day of the quarter in whichthe fee is due.

(Added to NRS by 1997, 2741)

NRS 354.598814 Limitationson fees applicable to public utilities: Fee defined.Fee means a charge imposed by a city or county upon a public utilityfor a business license, franchise or right-of-way over streets or other publicareas, except:

1. Any charge paid pursuant to the provisions of NRS 709.110, 709.230 or 709.270; or

2. A term or condition of a franchise granted by:

(a) A county whose population is 400,000 or more, or byan incorporated city that is located in whole or in part within such a county,that requires a community antenna television company to provide channels forpublic, educational or governmental access.

(b) A county or an incorporated city not specified inparagraph (a) that requires a community antenna television company to providechannels, facilities or equipment for public, educational or governmentalaccess.

(Added to NRS by 1997, 2741)

NRS 354.598815 Limitationson fees applicable to public utilities: Jurisdiction defined. Jurisdiction means:

1. In the case of a city, the corporate limits of thecity.

2. In the case of a county, the unincorporated area ofthe county.

(Added to NRS by 1997, 2741)

NRS 354.598816 Limitationson fees applicable to public utilities: Personal wireless service defined. Personal wireless service has the meaning ascribed to itin 47 U.S.C. 332(c)(7)(C) as that provision exists on July 16, 1997.

(Added to NRS by 1997, 2742)

NRS 354.5988165 Limitations on fees applicable to public utilities: Place ofprimary use defined. Place of primary usehas the meaning ascribed to it in 4 U.S.C. 124(8), as that section existed onAugust 1, 2002.

(Added to NRS by 2001, 1644)

NRS 354.598817 Limitationson fees applicable to public utilities: Public utility defined. Public utility includes:

1. A person or local government that:

(a) Provides electric energy or gas, whether or not theperson or local government is subject to regulation by the Public UtilitiesCommission of Nevada;

(b) Is a telecommunication carrier as that term isdefined in 47 U.S.C. 153 on July 16, 1997, if the person or local governmentholds a certificate of public convenience and necessity issued by the PublicUtilities Commission of Nevada and derives intrastate revenue from theprovision of telecommunication service to retail customers; or

(c) Sells or resells personal wireless services.

2. A community antenna television company as that termis defined in NRS 711.030.

(Added to NRS by 1997, 2742; A 1999, 603, 604)

NRS 354.598818 Limitationson fees applicable to public utilities: Revenue defined. Revenue does not include:

1. Any proceeds from the interstate sale of naturalgas to a provider of electric energy that holds a certificate of publicconvenience and necessity issued by the Public Utilities Commission of Nevada;

2. Any revenue of a provider of a telecommunicationservice other than intrastate revenue that the provider collects from retailcustomers; or

3. The amount deducted from the gross revenue of acommunity antenna television company pursuant to paragraph (b) of subsection 2of NRS 711.200.

(Added to NRS by 1997, 2742; A 1999, 603, 604)

NRS 354.59883 Limitationson fees applicable to public utilities: Adoption of ordinance imposing orincreasing fee prohibited under certain circumstances.A city or county shall not adopt an ordinance imposing or increasing afee:

1. If that ordinance would alter the terms of anyexisting franchise agreement between the city or county and a public utility.

2. That applies to any public utility which does notderive revenue from customers located within the jurisdiction of the city orcounty.

3. If, after the adoption of the ordinance:

(a) Any part of a fee to which the ordinance applieswill be based upon any revenue of a public utility other than its revenue fromcustomers located within the jurisdiction of the city or county.

(b) The total cumulative amount of all fees the city orcounty imposes upon a public utility to which the ordinance applies willexceed:

(1) Except as otherwise provided in subparagraph(2), 5 percent of the utilitys gross revenue from customers located within thejurisdiction of the city or county.

(2) For a public utility that sells or resellspersonal wireless services, 5 percent of its gross revenue from the first $15charged monthly for each line of access for each of its customers whose placeof primary use is located within the jurisdiction of the city or county.

(Added to NRS by 1995, 2188; A 1997, 1988, 2743; 1999, 492; 2001, 1644)

NRS 354.59885 Limitationson fees applicable to public utilities: Submission of certain information bypublic utility before commencement of service; quarterly statements of revenuerequired; identification of customers provided to public utility; informationincluded in bill. If a city or county adoptsan ordinance imposing or increasing a fee:

1. Each public utility to which the ordinance appliesor which intends to derive revenue from customers located within thejurisdiction of the city or county shall, not later than 60 calendar days afterthe effective date of the ordinance or 30 calendar days before the publicutility begins to provide electric energy, gas or a telecommunication serviceto those customers, whichever occurs later, provide to the city or county:

(a) An acknowledgment that the public utility isoperating or intends to operate within the jurisdiction of that city or county;and

(b) The date when the public utility began or intendsto begin to derive revenue from customers located within the jurisdiction ofthe city or county.

2. In addition to the requirements of subsection 1,each public utility to which the ordinance applies shall, not later than 30calendar days after the end of each calendar quarter, provide to the city orcounty a statement of the amount of revenue the public utility derived duringthat calendar quarter from the sale of electric energy, gas or atelecommunication service to each of its customers located within the jurisdictionof that city or county.

3. The city or county shall, at no charge, provide toeach public utility to which the ordinance applies any information that isnecessary to identify each customer that is affected by the fee imposed orincreased by the city or county, including the address of each customer. If thepublic utility requests the city or county to provide the information in aspecific form, the city or county may charge a fee for the cost of providingthe information in that form.

4. Upon receipt of the information that the city orcounty is required to provide pursuant to the provisions of subsection 3, thepublic utility may indicate on the bills that it sends to its customers the feethat is imposed or increased by the city or county.

5. A public utility that indicates the fee on thebills it sends to its customers pursuant to the provisions of subsection 4:

(a) Shall be deemed to have complied with theprovisions of this section and NRS354.59887; and

(b) Is not liable to the city or county for any damagesfor the failure to comply with the provisions of this section and NRS 354.59887,

if it reasonablyrelies upon the information that it receives from the city or county pursuantto the provisions of subsection 3.

(Added to NRS by 1995, 2189; A 1997, 2743)

NRS 354.59887 Limitationson fees applicable to public utilities: Rate; quarterly payments; collection;penalties and interest on delinquent amounts; apportionment among customers ofpublic utility. If a city or county adopts anordinance imposing or increasing a fee:

1. The entire amount of any fee to which the ordinanceapplies must be:

(a) Imposed at the same rate upon each public utilitythat provides similar services within the jurisdiction of the city or county;and

(b) Paid by the public utility to the city or county inlegal tender of the United States or in a check, draft or note that is payablein legal tender of the United States.

2. The city or county:

(a) Shall require each public utility to which theordinance applies to pay quarterly the fees imposed upon it that it hascollected from its customers.

(b) May, to the extent it determines that it isimpracticable to collect from a public utility to which the ordinance appliesany of the fees imposed upon the public utility, collect any of those feesdirectly from the customers of the public utility located within the jurisdictionof the city or county in proportion to the amount of revenue the public utilityderives from each of those customers.

(c) May, except as otherwise provided in thisparagraph, assess combined penalties and interest of not more than 2 percentper month of the delinquent amount of any fee to which the ordinance applies.If a city annexes any land, it may not assess any penalties or interestpursuant to this paragraph regarding any fee imposed for the operation of apublic utility within the annexed land during any period:

(1) Before the effective date of the annexation;or

(2) More than 30 days before the city providesthe public utility with notice of the annexation,

whicheveroccurs later.

(d) May provide, by ordinance, that the fees imposedupon the public utility may be collected from a governmental entity of theState if that entity is a customer of the public utility.

3. A public utility to which the ordinance appliesshall, except for any fees collected by the city or county pursuant toparagraph (b) of subsection 2, collect the aggregate of all its fees imposed bythe city or county directly from its customers located within the jurisdictionof the city or county in proportion to the amount of revenue the public utilityderives from each of those customers. The fees may be shown on a customersbill individually or collectively.

4. A public utility to which the ordinance appliesshall not collect from a customer any penalties or interest assessed pursuantto paragraph (c) of subsection 2.

(Added to NRS by 1995, 2189; A 1997, 2744)

NRS 354.59888 Limitationson fees applicable to public utilities: Errors concerning billing for certainfees or designation of place of primary use; notification by customers ofcertain public utilities.

1. If a customer of a public utility that sells orresells personal wireless services believes that the amount of a fee imposedpursuant to NRS 354.59881 to 354.59889, inclusive, or the designationof a place of primary use is incorrect, the customer may notify the publicutility in writing of the alleged error. The notice must include:

(a) The street address for the place of primary use ofthe customer;

(b) The account number and name shown on the billingstatement of the account for which the customer alleges the error;

(c) A description of the alleged error; and

(d) Any other information which the public utility mayreasonably require to investigate the alleged error.

2. Within 60 days after receiving a notice sentpursuant to subsection 1, the public utility shall review the records which thepublic utility uses to determine the place of primary use of its customers.

3. If the review indicates:

(a) That the alleged error exists, the public utilityshall correct the error and refund or credit the customer for the amount whichwas erroneously collected for the applicable period, not to exceed the 24months immediately preceding the date on which the customer notified the publicutility of the alleged error.

(b) That no error exists, the public utility shallprovide a written explanation to the customer who alleged the error.

4. A customer may not bring a cause of action againsta public utility that sells or resells personal wireless services for feesincorrectly imposed pursuant to NRS354.59881 to 354.59889, inclusive,unless he first complies with this section.

(Added to NRS by 2001, 1643)

NRS 354.59889 Limitationson fees applicable to public utilities: Change of fees.

1. A city or county shall not change any of its feesexcept through the adoption of an ordinance which provides that the change doesnot become effective until at least 90 days after the city or county complieswith the provisions of subsection 3 of NRS354.59885.

2. The cumulative amount of any increases in feesimposed by a city or county during any period of 24 months must not exceed 1percent of the gross revenue of any public utility to which the increaseapplies from customers located within the jurisdiction of that city or county.

(Added to NRS by 1995, 2190; A 1997, 1988, 2745; 1999, 492)

NRS 354.5989 Limitationson fees for business licenses; exceptions.

1. A local government shall not increase any fee for abusiness license or adopt a fee for a business license issued for revenue orregulation, or both, except as permitted by this section. This prohibition doesnot apply to fees:

(a) Imposed by hospitals, county airports, airportauthorities, convention authorities, the Las Vegas Valley Water District or theClark County Sanitation District;

(b) Imposed on public utilities for the privilege ofdoing business pursuant to a franchise;

(c) For business licenses which are calculated as afraction or percentage of the gross revenue of the business;

(d) Imposed pursuant to NRS 244.348, 268.0973, 268.821 or 269.182; or

(e) Regulated pursuant to NRS 354.59881 to 354.59889, inclusive.

2. The amount of revenue the local government derivesor is allowed to derive, whichever is greater, from all fees for businesslicenses except:

(a) The fees excluded by subsection 1, for the fiscalyear ended on June 30, 1991; and

(b) The fees collected for a particular type ofbusiness during the immediately preceding fiscal year ending on June 30 that alocal government will not collect in the next subsequent fiscal year,

is the basefrom which the maximum allowable revenue from such fees must be calculated forthe next subsequent fiscal year. To the base must be added the sum of theamounts respectively equal to the product of the base multiplied by the percentageincrease in the population of the local government added to the percentage increasein the Consumer Price Index for the year ending on December 31 next precedingthe year for which the limit is being calculated. The amount so determinedbecomes the base for computing the allowed increase for each subsequent year.

3. A local government may not increase any fee for abusiness license which is calculated as a fraction or percentage of the grossrevenue of the business if its total revenues from such fees have increasedduring the preceding fiscal year by more than the increase in the ConsumerPrice Index during that preceding calendar year. The provisions of thissubsection do not apply to a fee imposed pursuant to NRS 244.348, 268.0973, 268.821 or 269.182, or regulated pursuant to NRS 354.59881 to 354.59889, inclusive.

4. A local government may submit an application toincrease its revenue from fees for business licenses beyond the amountallowable pursuant to this section to the Nevada Tax Commission, which maygrant the application only if it finds that the rate of a business license ofthe local government is substantially below that of other local governments inthe State.

5. The provisions of this section apply to a businesslicense regardless of the fund to which the revenue from it is assigned. Anordinance or resolution enacted by a local government in violation of theprovisions of this section is void.

6. As used in this section, fee for a businesslicense does not include a tax imposed on the revenues from the rental oftransient lodging.

(Added to NRS by 1981, 308; A 1981, 1254; 1983, 1053;1987, 808; 1989, 2078; 1991, 34, 1439; 1993, 1179, 2325; 1995, 695, 2190; 1999, 1312)

NRS 354.59891 Limitationson fees for building permits, barricade permits and encroachment permits;exceptions.

1. As used in this section:

(a) Barricade permit means the official documentissued by the building officer of a local government which authorizes theplacement of barricade appurtenances or structures within a publicright-of-way.

(b) Building permit means the official document orcertificate issued by the building officer of a local government whichauthorizes the construction of a structure.

(c) Building permit basis means the combination ofthe rate and the valuation method used to calculate the total building permitfee.

(d) Building permit fee means the total fees thatmust be paid before the issuance of a building permit, including, withoutlimitation, all permit fees and inspection fees. The term does not include,without limitation, fees relating to water, sewer or other utilities,residential construction tax, tax for the improvement of transportation imposedpursuant to NRS 278.710, any fee imposedpursuant to NRS 244.386 or any amountexpended to change the zoning of the property.

(e) Current asset means any cash maintained in anenterprise fund and any interest or other income earned on the money in theenterprise fund that, at the end of the current fiscal year, is anticipated bya local government to be consumed or converted into cash during the nextensuing fiscal year.

(f) Current liability means any debt incurred by alocal government to provide the services associated with issuing buildingpermits that, at the end of the current fiscal year, is determined by the localgovernment to require payment within the next ensuing fiscal year.

(g) Encroachment permit means the official documentissued by the building officer of a local government which authorizesconstruction activity within a public right-of-way.

(h) Operating cost means the amount paid by a localgovernment for supplies, services, salaries, wages and employee benefits toprovide the services associated with issuing building permits.

(i) Working capital means the excess of currentassets over current liabilities, as determined by the local government at theend of the current fiscal year.

2. Except as otherwise provided in subsections 3 and4, a local government shall not increase its building permit basis by more thanan amount equal to the building permit basis on June 30, 1989, multiplied by apercentage equal to the percentage increase in the Western Urban NonseasonallyAdjusted Consumer Price Index, as published by the United States Department ofLabor, from January 1, 1988, to the January 1 next preceding the fiscal yearfor which the calculation is made.

3. A local government may submit an application toincrease its building permit basis by an amount greater than otherwiseallowable pursuant to subsection 2 to the Nevada Tax Commission. The Nevada TaxCommission may allow the increase only if it finds that:

(a) Emergency conditions exist which impair the abilityof the local government to perform the basic functions for which it wascreated; or

(b) The building permit basis of the local governmentis substantially below that of other local governments in the State and thecost of providing the services associated with the issuance of building permitsin the previous fiscal year exceeded the total revenue received from buildingpermit fees, excluding any amount of residential construction tax collected,for that fiscal year.

4. Upon application by a local government, the NevadaTax Commission shall exempt the local government from the limitation on theincrease of its building permit basis if:

(a) The local government creates an enterprise fundpursuant to NRS 354.612 exclusively forbuilding permit fees, fees imposed for the issuance of barricade permits andfees imposed for encroachment permits;

(b) The purpose ofthe enterprise fund is to recover the costs of operating the activity for whichthe fund was created, including overhead;

(c) Any interest or other income earned on the money inthe enterprise fund is credited to the enterprise fund;

(d) The local government maintains a balance ofunreserved working capital in the enterprise fund that does not exceed 50percent of the annual operating costs and capital expenditures for the programfor the issuance of barricade permits, encroachment permits and buildingpermits of the local government, as determined by the annual audit of the localgovernment conducted pursuant to NRS 354.624;and

(e) The local government does not use any of the moneyin the enterprise fund for any purpose other than the actual direct andindirect costs of the program for the issuance of barricade permits,encroachment permits and building permits, including, without limitation, thecost of checking plans, issuing permits, inspecting buildings and administeringthe program. The Committee on Local Government Finance shall adopt regulationsgoverning the permissible expenditures from an enterprise fund pursuant to thisparagraph.

5. Any amount in an enterprise fund created pursuantto this section that is designated for special use, including, withoutlimitation, prepaid fees and any other amount subject to a contractualagreement, must be identified as a restricted asset and must not be included asa current asset in the calculation of working capital.

6. If a balance in excess of the amount authorizedpursuant to paragraph (d) of subsection 4 is maintained in an enterprise fundcreated pursuant to this section at the close of 2 consecutive fiscal years,the local government shall reduce the fees for barricade permits, encroachmentpermits and building permits it charges by an amount that is sufficient toensure that the balance in the enterprise fund at the close of the fiscal yearnext following those 2 consecutive fiscal years does not exceed the amountauthorized pursuant to paragraph (d) of subsection 4.

(Added to NRS by 1987, 808; A 1989, 2080; 1991, 35,290, 1440; 2001, 385,2321; 2003, 1960; 2005, 577)

NRS 354.59893 Advisorycommittee to review enterprise fund for issuance of building permits, barricadepermits and encroachment permits: Establishment; appointment and terms ofmembers; officers; duties and powers.

1. Each local government that creates an enterprisefund pursuant to NRS 354.59891 shallestablish an advisory committee to review the operations of, and makerecommendations relating to, the enterprise fund.

2. The governing body of the local government or itsdesignee shall appoint at least five members to the committee which:

(a) Must include:

(1) A representative of the residentialconstruction industry;

(2) A representative of the commercialdevelopment industry; and

(3) A representative of the constructionindustry; and

(b) May include:

(1) A public officer or employee of the localgovernment who manages the fiscal affairs of the local government; and

(2) A public officer or employee of the localgovernment who oversees directly the operation of the enterprise fund.

3. Each member of the committee must be appointed fora term of at least 2 years but not to exceed 4 years. The governing body or itsdesignee may renew the term of any member of the committee.

4. The members of the committee shall select achairman from among their membership.

5. The committee may issue opinions andrecommendations to the governing body of the local government concerning,without limitation:

(a) The adequacy of the fees that the local governmentcharges for barricade permits, encroachment permits and building permits;

(b) The financial objectives and annual budget of theprogram for the issuance of barricade permits, encroachment permits andbuilding permits; and

(c) Any other relevant issue related to the operationof the enterprise fund.

6. As used in this section:

(a) Barricade permit has the meaning ascribed to itin paragraph (a) of subsection 1 of NRS354.59891.

(b) Building permit has the meaning ascribed to it inparagraph (b) of subsection 1 of NRS354.59891.

(c) Encroachment permit has the meaning ascribed toit in paragraph (g) of subsection 1 of NRS354.59891.

(Added to NRS by 2005, 575)

NRS 354.599 Specifiedsource of additional revenue required under certain circumstances whenLegislature directs local governmental action requiring additional funding. If the Legislature directs one or more local governmentsto:

1. Establish a program or provide a service; or

2. Increase a program or service already establishedwhich requires additional funding,

and theexpense required to be paid by each local government to establish, provide orincrease the program or service is $5,000 or more, a specified source for theadditional revenue to pay the expense must be authorized by a specific statute.The additional revenue may only be used to pay expenses directly related to theprogram or service. If a local government has money from any other sourceavailable to pay such expenses, that money must be applied to the expensesbefore any money from the revenue source specified by statute.

(Added to NRS by 1969, 800; A 1971, 236; 1975, 1686;1979, 1241; 1981, 312; 1987, 1669; 1993, 1349; 1999, 1181; 2001, 1804)

NRS 354.600 Contentsof budget. Each budget must include:

1. Detailed estimates of revenues, balances in otherfunds and other sources of financing for the budget year classified by fundsand sources in a manner and on forms prescribed by the Department of Taxation.

2. Detailed estimates of expenditures and other usesof money for the budget year classified in a manner and on forms prescribed bythe Department of Taxation.

3. A separate statement of the anticipated expensesrelating to activities designed to influence the passage or defeat of anylegislation, setting forth each separate category of expenditure that isrequired to be included in a supplemental report pursuant to subsection 1 of NRS 354.59803.

(Added to NRS by 1965, 732; A 1975, 1687; 1997, 2486;2001, 1805, 2477; 2003, 178)

NRS 354.601 Constructionof capital improvement without funding for operation and maintenance includedin approved budget prohibited. A localgovernment shall not begin the construction of a capital improvement unless thefunding for the operation and maintenance of the improvement during the currentfiscal year, including personnel, is included in an approved budget.

(Added to NRS by 1997, 2486)

NRS 354.6015 Fiscalreport of local government: Requirements; publication; regulations.

1. Except as otherwise provided in subsection 3, thegoverning board of a local government shall:

(a) Submit electronically a fiscal report of the localgovernment to the Department of Taxation in accordance with the requirementsprescribed by the Committee on Local Government Finance pursuant to subsection2; and

(b) Publish a summary of the fiscal report, which mustcontain the information required by the Committee on Local Government Financepursuant to subsection 2, in a newspaper of general circulation in the countyin which the local government is situated.

2. The Committee on Local Government Finance shallprescribe, by regulation:

(a) The dates and times for filing a fiscal report,which must require a local government to file at least one fiscal report peryear;

(b) The content of a fiscal report, which must include,without limitation, revenues, expenditures, fund balances, cash balances,components of assessed value, debt schedules and any other information that theCommittee on Local Government Finance determines to be appropriate fordetermining the financial status of a local government;

(c) The content for a summary of a fiscal report thatmust be published pursuant to subsection 1; and

(d) A uniform method for creating and submitting afiscal report electronically pursuant to this section. The method mustfacilitate the storage and reproduction of the fiscal report in electronicformat by the Department of Taxation.

3. The Committee on Local Government Finance mayestablish, by regulation, an exception to the requirement that a fiscal reportbe submitted to the Department of Taxation in electronic format. The exceptionmust be limited to local governments that the Committee determines do not havethe financial ability to comply with the method for submitting a fiscal reportto the Department of Taxation prescribed by the Committee. If the Committee onLocal Government Finance provides an exception pursuant to this subsection, theCommittee shall provide, by regulation, specific standards that it will use todetermine whether a local government qualifies for an exemption pursuant tothis subsection.

4. The Committee on Local Government Finance shalladopt regulations pursuant to this section in the manner prescribed for stateagencies in chapter 233B of NRS.

(Added to NRS by 2001, 1420)

NRS 354.6025 Annualreport of indebtedness of local government: Requirement; compilation into statereport.

1. Each local government shall submit to theDepartment of Taxation annually, an itemized report showing all its outstandingindebtedness. The Department of Taxation shall prescribe the form and time offiling for all such reports.

2. Upon receipt of the annual local government reportsof indebtedness, the Department of Taxation shall compile the information intoa state report of local government indebtedness. Copies of such report shall besubmitted to the Governor, the State Controller and Fiscal Analysis Division ofthe Legislative Counsel Bureau.

3. As used in this section, indebtedness does notinclude any liability which is incurred by a local government for the purchaseof goods and services on open accounts.

(Added to NRS by 1977, 508; A 1977, 350)

NRS 354.603 Separateaccounts in bank, credit union or savings and loan association for schooldistrict, county hospital, consolidated library district and district library.

1. The board of trustees of any county schooldistrict, the board of hospital trustees of any county hospital or the board oftrustees of any consolidated library district or district library may establishand administer separate accounts in:

(a) A bank whose deposits are insured by the FederalDeposit Insurance Corporation;

(b) A credit union whose deposits are insured by theNational Credit Union Share Insurance Fund or by a private insurer approvedpursuant to NRS 678.755; or

(c) A savings and loan association whose deposits ifmade by the State, a local government or an agency of either, are insured bythe Federal Deposit Insurance Corporation, or the legal successor of theFederal Deposit Insurance Corporation,

for moneydeposited by the county treasurer which is by law to be administered andexpended by those boards.

2. The county treasurer shall transfer the money to aseparate account pursuant to subsection 1 when the following conditions aremet:

(a) The board of trustees of the county schooldistrict, the board of hospital trustees of the county hospital or the board oftrustees of the consolidated library district or district library adopts aresolution declaring an intention to establish and administer a separateaccount in accordance with the provisions of this section.

(b) The board of trustees of the county schooldistrict, the board of hospital trustees of the county hospital or the board oftrustees of the consolidated library district or district library sends acertificate to the county treasurer, the county auditor, the board of countycommissioners and, in the case of the board of trustees of the county schooldistrict, to the Department of Education, attested by the secretary of theboard, declaring the intention of the board to establish and administer aseparate account in accordance with the provisions of this section.

(c) The board of hospital trustees of the countyhospital or the board of trustees of the consolidated library district ordistrict library submits monthly reports, listing all transactions involvingthe separate account, to the county treasurer, the county auditor and the boardof county commissioners. The reports must be certified by the secretary of theboard. In addition, the board shall give a full account and record of all moneyin such an account upon request of the board of county commissioners.

3. The separate account of the board of trustees ofthe county school district established under the provisions of this sectionmust be composed of:

(a) The county school district fund; and

(b) The county school district building and sites fund.

4. The separate account established by the board ofcounty hospital trustees is designated the county hospital fund.

5. The separate account of the board of trustees ofthe consolidated library district or district library established under theprovisions of this section must be composed of:

(a) The fund for the consolidated library or districtlibrary, as appropriate; and

(b) The capital projects fund of the consolidatedlibrary or district library, as appropriate.

6. No expenditures from an account may be made inexcess of the balance of the account.

7. Such an account must support all expendituresproperly related to the purpose of the fund, excluding direct payments ofprincipal and interest on general obligation bonds, and including, but notlimited to, debt service, capital projects, capital outlay and operatingexpenses.

8. The board of county commissioners, if it determinesthat there is clear evidence of misuse or mismanagement of money in anyseparate account, may order the closing of the account and the return of themoney to the county treasury to be administered in accordance with existingprovisions of law. The board of trustees of the county school district, theboard of hospital trustees of the county hospital or the board of trustees ofthe consolidated library district or district library is entitled to a hearingbefore the board of county commissioners.

(Added to NRS by 1971, 1338; A 1975, 12, 1800; 1979,537, 1884, 1886; 1981, 685, 1764; 1989, 615; 1993, 215, 2783, 2818; 1995, 2204;1999, 1474; 2001, 1805)

NRS 354.604 Fundsmaintained by local governments. Each local governmentshall maintain, according to its own needs:

1. The following kinds of governmental funds:

(a) General fund;

(b) Special revenue fund;

(c) Capital projects fund;

(d) Debt service fund; and

(e) Permanent fund.

2. The following kinds of proprietary funds:

(a) Enterprise fund; and

(b) Internal service fund.

3. The following kinds of fiduciary funds:

(a) Pension and other employee benefits funds;

(b) Investment trust funds;

(c) Private-purpose trust funds; and

(d) Agency funds.

(Added to NRS by 1965, 732; A 1971, 200, 1014, 1342;1981, 1765; 1983, 1636; 1989, 403; 2001, 1806)

NRS 354.608 Contingencyaccount: Establishment; limit on appropriations; expenditures. A contingency account may be established in any governmentalfund. The maximum amount which may be appropriated for such a contingencyaccount is 3 percent of the money otherwise appropriated to the fund, exclusiveof any amounts to be transferred to other funds. No expenditure may be madedirectly from such a contingency account, except as a transfer to the appropriateaccount, and then only in accordance with the procedure established in NRS 354.598005.

(Added to NRS by 1965, 733; A 1981, 1766; 2001, 1807)

NRS 354.609 Pettycash, imprest or revolving account.

1. The governing body of any local government may, byresolution, establish one or more petty cash accounts, imprest accounts orrevolving accounts in a bank or credit union to assist in the administration ofany activities in which the local government is authorized by law to engage.

2. A resolution establishing any petty cash account,imprest account or revolving account in a bank or credit union shall, indetail, set forth the following:

(a) The object and purpose of the account.

(b) The source of money to be used to establish andmaintain the account.

(c) The method of controlling expenditures from theaccount.

(d) The maximum dollar amount of any singleexpenditure.

3. Payments made out of any such accounts inaccordance with the establishing resolution may be made directly withoutapproval of the governing body of any local government.

4. Reimbursement of any such petty cash, imprest orrevolving accounts must be made no less often than monthly. The reimbursementmust be supported by proper evidences of expenditures made from the account andmust be approved by the governing body in the same manner as other claimsagainst the fund to which the reimbursement is to be charged.

(Added to NRS by 1973, 1080; A 1975, 369; 1999, 1475)

NRS 354.6105 Fundfor extraordinary maintenance, repair or improvement of capital projects.

1. A local government may establish a fund for theextraordinary maintenance, repair or improvement of capital projects.

2. Any interest and income earned on the money in thefund in excess of any amount which is reserved for rebate payments to theFederal Government pursuant to 26 U.S.C. 148, as amended, or is otherwiserequired to be applied in a specific manner by the Internal Revenue Code of1986, as amended, must be credited to the fund.

3. Except as otherwise provided in NRS 374A.020, the money in the fund maybe used only for the extraordinary maintenance, repair or improvement ofcapital projects or facilities that replace capital projects of the entity thatmade the deposits in the fund. The money in the fund at the end of the fiscalyear may not revert to any other fund or be a surplus for any purpose otherthan the purpose specified in this subsection.

4. As used in this section, extraordinarymaintenance, repair or improvement means all expenses ordinarily incurred notmore than once every 5 years to maintain a local governmental facility orcapital project in a fit operating condition.

(Added to NRS by 1995, 2552; A 1997, 56; 2001, 1807, 2323; 2003, 162)

NRS 354.6113 Fundfor construction of capital projects.

1. The governing body of a local government may, byresolution, establish a fund for the construction of capital projects.

2. Any interest or income earned on money in the fundin excess of any amount which is reserved for rebate payments to the FederalGovernment pursuant to 26 U.S.C. 148, as amended, or is otherwise required tobe applied in a specific manner by the Internal Revenue Code of 1986, asamended, must be credited to the fund.

3. The money in the fund must be used only for theconstruction of capital projects which are included in the plan for capitalimprovement of the local government prepared pursuant to NRS 350.013. The money in the fund at theend of the fiscal year may not revert to any other fund or be a surplus for anypurpose other than the purpose specified in this subsection.

4. The annual budget and audit report of the localgovernment prepared pursuant to NRS 354.624must specifically identify the fund and:

(a) Indicate in detail the capital projects that havebeen constructed with money from the fund;

(b) Specify the amount of money, if any, that will bedeposited in the fund for the next fiscal year;

(c) Specify any proposed capital projects that will beconstructed with money from the fund during the next fiscal year; and

(d) Identify any planned accumulation of the money inthe fund.

The auditreport must include a statement by the auditor whether the local government hascomplied with the provisions of this subsection.

(Added to NRS by 1995, 2551)

NRS 354.6115 Fundto stabilize operation of local government and mitigate effects of naturaldisaster.

1. The governing body of a local government may, byresolution, establish a fund to stabilize the operation of the local governmentand mitigate the effects of natural disasters.

2. The money in the fund must be used only:

(a) If the total actual revenue of the local governmentfalls short of the total anticipated revenue in the general fund for the fiscalyear in which the local government uses that money; or

(b) To pay expenses incurred by the local government tomitigate the effects of a natural disaster.

The money inthe fund at the end of the fiscal year may not revert to any other fund or be asurplus for any purpose other than a purpose specified in this subsection.

3. The moneyin the fund may not be used to pay expenses incurred to mitigate the effects ofa natural disaster until the governing body of the local government issues aformal declaration that a natural disaster exists. The governing body shall notmake such a declaration unless a natural disaster is occurring or has occurred.Upon the issuance of such a declaration, the money in the fund may be used forthe payment of the following expenses incurred by the local government as aresult of the natural disaster:

(a) The repairor replacement of roads, streets, bridges, water control facilities, publicbuildings, public utilities, recreational facilities and parks owned by thelocal government and damaged by the natural disaster;

(b) Anyemergency measures undertaken to save lives, protect public health and safetyor protect property within the jurisdiction of the local government;

(c) The removalof debris from publicly or privately owned land and waterways within thejurisdiction of the local government that was undertaken because of the naturaldisaster;

(d) Expensesincurred by the local government for any overtime worked by an employee of thelocal government because of the natural disaster or any other extraordinaryexpenses incurred by the local government because of the natural disaster; and

(e) The paymentof any grant match the local government must provide to obtain a grant from afederal disaster assistance agency for an eligible project to repair damagecaused by the natural disaster within the jurisdiction of the local government.

4. The balancein the fund must not exceed 10 percent of the expenditures from the generalfund for the previous fiscal year, excluding any federal funds expended by thelocal government.

5. The annualbudget and audit report of the local government prepared pursuant to NRS 354.624 must specifically identify thefund.

6. The auditreport prepared for the fund must include a statement by the auditor whetherthe local government has complied with the provisions of this section.

7. Anytransfer of money from a fund established pursuant to this section must becompleted within 90 days after the end of the fiscal year in which the naturaldisaster for which the fund was established occurs.

8. As used inthis section:

(a) Grantmatch has the meaning ascribed to it in NRS353.2725.

(b) Naturaldisaster means a fire, flood, earthquake, drought or any other occurrencethat:

(1) Resultsin widespread or severe damage to property or injury to or the death of personswithin the jurisdiction of the local government; and

(2) As determined by the governing body of thelocal government, requires immediate action to protect the health, safety andwelfare of persons residing within the jurisdiction of the local government.

(Added to NRS by 1995, 2553; A 1999, 1660; 2001, 1808)

NRS 354.6116 Revenuefrom taxes ad valorem from lessee or user of certain taxable property to bedeposited in or transferred to certain funds. Alocal government, except a school district, that receives revenue from taxes advalorem from a lessee or user of property which is taxable pursuant to NRS 361.157 or 361.159 shall deposit the revenue in ortransfer the revenue to one or more of the funds established by the localgovernment pursuant to NRS 354.6113 or 354.6115 and use that revenue only for thepurposes authorized by those sections if the revenue was received in:

1. A fiscal year after the fiscal year the taxes wereowed; or

2. The fiscal year the taxes are owed and the taxeswere excluded from the estimate of revenue from taxes ad valorem for the localgovernment pursuant to NRS 354.597.

(Added to NRS by 1997, 1113; A 2001, 1809)

NRS 354.6117 Limitationon amount of money transferred to certain funds; exception.

1. Except as otherwise provided in subsection 2, thetotal amount of money which may be transferred in a fiscal year from thegeneral fund of a local government to the funds established pursuant to NRS 354.6113 and 354.6115 must not exceed 10 percent of thetotal amount of the budgeted expenditures of the general fund, plus any moneytransferred from the general fund, other than the money transferred to thosefunds, for that fiscal year.

2. Any money that a local government, pursuant to NRS 354.6116, deposits in or transfers toone or more of the funds established by the local government pursuant to NRS 354.6113 or 354.6115:

(a) Is not subject to the limitation on the amount ofmoney that a local government may transfer to those funds pursuant tosubsection 1.

(b) Must not be included in the determination of thetotal amount of money transferred to those funds for the purposes of thelimitation set forth in subsection 1.

(Added to NRS by 1995, 2553; A 1997, 1113; 2001, 1809)

NRS 354.6118 Interfundloans or loans to other local governments: Public hearing required. Before making an interfund loan or loaning money toanother local government, the governing body of the local government thatwishes to make the loan must:

1. Determine at a public hearing that:

(a) A sufficient amount of money is available for theloan and that money is not restricted as to its use; and

(b) The loan of the money will not compromise theeconomic viability of the fund from which the money is loaned; and

2. Establish at the public hearing conducted pursuantto subsection 1:

(a) The amount of time the money will be on loan fromthe fund;

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

(c) The rate of interest, if any, to be charged for theloan.

(Added to NRS by 2001, 1497; A 2003, 52)

NRS 354.612 Establishmentof one or more funds by resolution required; contents of resolution; accountingrequirements; copy of resolution to be provided to Department of Taxation;proprietary funds; enterprise funds.

1. A local government shall establish by resolutionone or more funds. The resolution establishing the fund must set forth indetail:

(a) The object or purpose of the fund;

(b) The resources to be used to establish the fund;

(c) The source or sources from which the fund will bereplenished;

(d) The method for controlling expenses andestablishing revenues of the fund; and

(e) The method by which a determination will be made asto whether the balance, reserve or retained earnings of the fund are reasonableand necessary to carry out the purpose of the fund.

2. Financial statements and other schedules requiredfor funds must be prepared in accordance with generally accepted accountingprinciples.

3. Upon adoption of a resolution establishing a fund,a local government shall provide an executed copy of the resolution to theDepartment of Taxation.

4. In establishing a proprietary fund, a localgovernment shall, besides furnishing working capital for the fund, provide thatone of its financial objectives is to recover the complete costs of operationof the activity being financed, including overhead, without producing anysignificant amount of profit in the long run.

5. Each enterprise fund established must account forall charges properly related to the purpose of the enterprise fund, including,without limitation, debt service, capital outlay and operating expenses. Upondissolution of the enterprise fund, no transfer of equity that may be madeavailable to other funds or functions may be declared until after all properobligations have been charged against the enterprise fund.

(Added to NRS by 1965, 734; A 1971, 201; 1981, 1767;1991, 390; 2001, 1810;2005, 579)

NRS 354.616 Adjustmentof expenses and revenues.

1. A local governing body may provide for theadjustment of expenses as defined by NRS354.470 to 354.626, inclusive.Receipts from adjustment of expenses shall be credited to the governmentalfunction to which the reimbursed expense was originally charged.

2. A local governing body may provide for theadjustment of revenues as defined by NRS354.470 to 354.626, inclusive.Disbursements for adjustment of revenues shall be charged to the revenueaccount to which the refunded revenue was originally credited.

(Added to NRS by 1965, 735; A 1971, 1015, 1344)

NRS 354.620 Unencumberedbalance of appropriation lapses at end of fiscal year; reversion to fund. Any unencumbered balance on an accrual or modified accrualbasis or any unexpended balance on a cash basis remaining to the credit of anyappropriation shall lapse at the end of the fiscal year and shall revert to theavailable balance of the fund from which appropriated.

(Added to NRS by 1965, 735; A 2001, 1810)

NRS 354.6215 Limitationon use of reserves or balances of funds created to insure risks. Except as otherwise provided in NRS 354.6241, if a local governmentprovides a fund for self-insurance of property, for any form of insurance forthe benefit of its employees, or for any other risk that it is permitted by lawto assume, the reserves or balance of a fund thus provided must not be expendedfor any purpose other than that for which the fund was established, except thatwhen the governing body deems the reserve or balance to be no longer required,either in whole or in part, it shall transfer the excess balance to the generalfund of the local government. Any such transfer must be reported to theDepartment of Taxation within 30 days. Money so transferred is not available asa basis for augmentation of the local governments budget during the year oftransfer.

(Added to NRS by 1981, 310; A 1995, 1934)

NRS 354.624 Annualaudit: Requirements; designation of auditor; scope and disposition;dissemination; prohibited provision in contract with auditor.

1. Each localgovernment shall provide for an annual audit of all of its financialstatements. A local government may provide for more frequent audits as it deemsnecessary. Except as otherwise provided in subsection 2, each annual audit mustbe concluded and the report of the audit submitted to the governing body asprovided in subsection 6 not later than 5 months after the close of the fiscalyear for which the audit is conducted. An extension of this time may be grantedby the Department of Taxation to any local government that submits anapplication for an extension to the Department. If the local government failsto provide for an audit in accordance with the provisions of this section, theDepartment of Taxation shall cause the audit to be made at the expense of thelocal government. All audits must be conducted by a certified public accountantor by a partnership or professional corporation that is registered pursuant to chapter 628 of NRS.

2. The annual audit of a school district must:

(a) Be concluded and the report submitted to the boardof trustees as provided in subsection 6 not later than 4 months after the closeof the fiscal year for which the audit is conducted.

(b) If the school district has more than 150,000 pupilsenrolled, include an audit of the expenditure by the school district of publicmoney used:

(1) To design, construct or purchase newbuildings for schools or related facilities;

(2) To enlarge, remodel or renovate existingbuildings for schools or related facilities; and

(3) To acquire sites for building schools orrelated facilities, or other real property for purposes related to schools.

3. The governing body may, without requiring competitivebids, designate the auditor or firm annually. The auditor or firm must bedesignated, and notification of the auditor or firm designated must be sent tothe Department of Taxation not later than 3 months before the close of thefiscal year for which the audit is to be made.

4. Each annualaudit must cover the business of the local government during the full fiscalyear. It must be a financial audit conducted in accordance with generallyaccepted auditing standards in the United States, including findings on compliancewith statutes and regulations and an expression of opinion on the financialstatements. The Department of Taxation shall prescribe the form of thefinancial statements, and the chart of accounts must be as nearly as possiblethe same as the chart that is used in the preparation and publication of theannual budget. The report of the audit must include:

(a) A scheduleof all fees imposed by the local government which were subject to theprovisions of NRS 354.5989;

(b) Acomparison of the operations of the local government with the approved budget,including a statement from the auditor that indicates whether the governingbody has taken action on the audit report for the prior year;

(c) If thelocal government is subject to the provisions of NRS 244.186, a report showing that thelocal government is in compliance with the provisions of paragraphs (a) and (b)of subsection 1 of NRS 244.186; and

(d) If the local government is subject to theprovisions of NRS 710.140 or 710.145, a report showing that the localgovernment is in compliance with the provisions of those sections with regardto the facilities and property it maintains and the services it providesoutside its territorial boundaries.

5. Each localgovernment shall provide to its auditor:

(a) A statementindicating whether each of the following funds established by the localgovernment is being used expressly for the purposes for which it was created,in the form required by NRS 354.6241:

(1) Anenterprise fund.

(2) Aninternal service fund.

(3) Afiduciary fund.

(4) Aself-insurance fund.

(5) Afund whose balance is required by law to be:

(I)Used only for a specific purpose other than the payment of compensation to abargaining unit, as defined in NRS 288.028;or

(II)Carried forward to the succeeding fiscal year in any designated amount.

(b) A list anddescription of any property conveyed to a nonprofit organization pursuant to NRS 244.287 or 268.058.

(c) If thelocal government is subject to the provisions of NRS 244.186, a declaration indicating thatthe local government is in compliance with the provisions of paragraph (c) ofsubsection 1 of NRS 244.186.

(d) If the local government is subject to theprovisions of NRS 710.140 or 710.145, a declaration indicating that thelocal government is in compliance with the provisions of those sections withregard to the facilities and property it maintains and the services it providesoutside its territorial boundaries.

6. The opinionand findings of the auditor contained in the report of the audit must bepresented at a meeting of the governing body held not more than 30 days afterthe report is submitted to it. Immediately thereafter, the entire report,together with the management letter required by generally accepted auditingstandards in the United States or by regulations adopted pursuant to NRS 354.594, must be filed as a publicrecord with:

(a) The clerkor secretary of the governing body;

(b) The countyclerk;

(c) TheDepartment of Taxation; and

(d) In the caseof a school district, the Department of Education.

7. After the report of the audit is filed by the localgovernment, the report of the audit, including, without limitation, the opinionand findings of the auditor contained in the report of the audit, may bedisseminated by or on behalf of the local government for which the report wasprepared by inclusion, without limitation, in or on:

(a) An official statement or other document prepared inconnection with the offering of bonds or other securities;

(b) A filing made pursuant to the laws or regulationsof this State;

(c) A filing made pursuant to a rule or regulation ofthe Securities and Exchange Commission of the United States; or

(d) A website maintained by a local government on theInternet or its successor,

without theconsent of the auditor who prepared the report of the audit. A provision of acontract entered into between an auditor and a local government that is contraryto the provisions of this subsection is against the public policy of this Stateand is void and unenforceable.

8. If an auditor finds evidence of fraud or dishonestyin the financial statements of a local government, the auditor shall reportsuch evidence to the appropriate level of management in the local government.

9. The governing body shall act upon therecommendations of the report of the audit within 3 months after receipt of thereport, unless prompter action is required concerning violations of law orregulation, by setting forth in its minutes its intention to adopt therecommendations, to adopt them with modifications or to reject them for reasonsshown in the minutes.

(Added to NRS by 1965, 735; A 1967, 939; 1969, 800;1971, 1344; 1973, 184; 1975, 451, 1688, 1801; 1977, 547; 1981, 313, 1768; 1987,1043; 1989, 620; 1995, 1896, 1935; 1997, 574, 1611, 1739; 1999, 472, 2945; 2001, 1810; 2003, 1231; 2005, 292, 1344)

NRS 354.6241 Contentsof statement to auditor; expenditure of excess reserves in certain funds.

1. The statement required by paragraph (a) ofsubsection 5 of NRS 354.624 mustindicate for each fund set forth in that paragraph:

(a) Whether the fund is being used in accordance withthe provisions of this chapter.

(b) Whether the fund is being administered inaccordance with generally accepted accounting procedures.

(c) Whether the reserve in the fund is limited to anamount that is reasonable and necessary to carry out the purposes of the fund.

(d) The sources of revenues available for the fundduring the fiscal year, including transfers from any other funds.

(e) The statutory and regulatory requirementsapplicable to the fund.

(f) The balance and retained earnings of the fund.

2. Except as otherwise provided in NRS 354.59891, to the extent that the reservein any fund set forth in paragraph (a) of subsection 5 of NRS 354.624 exceeds the amount that isreasonable and necessary to carry out the purposes for which the fund wascreated, the reserve may be expended by the local government pursuant to theprovisions of chapter 288 of NRS.

(Added to NRS by 1995, 1934; A 2001, 387, 1812)

NRS 354.6245 Reviewof annual audits by Department of Taxation; plan of correction of violations.

1. The Department of Taxation shall review each annualaudit to determine whether it complies with regulations adopted pursuant to NRS 354.594. Any independent auditorsreport, whether upon financial position and results of operations or uponinternal financial controls, which the Department believes may not comply withthose regulations must be referred by the Department to the State Board of Accountancyfor investigation and such action in respect to the issuing accountant as theboard may find appropriate in the circumstances.

2. In its review of the annual audits submitted, theDepartment shall identify all violations of statute and regulation reportedtherein. Within 60 days after the delivery of the annual audit to the localgovernment, the governing body shall advise the Department what action has beentaken to prevent recurrence of each violation of law or regulation or tocorrect each continuing violation. The Department shall evaluate the localgovernments proposed plan of correction and, if the plan is satisfactory,shall so advise the governing body. If the plan is not satisfactory, theDepartment shall advise the governing body that it deems the plan inadequateand propose an alternative plan. Within 30 days thereafter the governing bodyshall report its assent to the Departments plan or request a hearing beforethe Nevada Tax Commission. This hearing must be held at the next meeting of thecommission, but the hearing must not be held more than 90 days after such arequest is received. The determination of the Nevada Tax Commission is final.

3. If the governing body fails to submit a proposedplan of correction pursuant to subsection 2, or the Executive Directordetermines that the plan established is not being complied with, he must,through the office of the Attorney General, seek a writ from a court ofcompetent jurisdiction to compel compliance.

(Added to NRS by 1981, 310; A 1983, 252)

NRS 354.625 Recordsrelating to property and equipment; control of inventory. The governing body of every local government shall:

1. Cause to be established and maintained adequateproperty and equipment records and, where appropriate, adequate inventorycontrols. Any local government created after July 1, 1975, shall establish suchrecords and controls within 1 year after its creation unless the Department ofTaxation grants an extension of time.

2. Require that all such property, equipment andinventory records clearly indicate specific ownership.

3. Designate, by entry in the minutes of the governingbody, the officer, employee or officers or employees responsible for themaintenance of property and equipment records and, where appropriate, inventoryrecords, and notify the Department of Taxation of such designation.

(Added to NRS by 1967, 940; A 1975, 157, 1689)

NRS 354.6256 Useof proceeds of certain obligations to pay operating expenses prohibited;exceptions. The proceeds from any obligationissued by a local government that has a term which is more than 1 year must notbe used to pay operating expenses, except that:

1. The proceeds of any obligation issued to constructor acquire a facility may be used to pay operating expenses for the periodprovided in subsection 7 of NRS 350.516.

2. The proceeds of a medium-term obligation issued bya local government with respect to which the Nevada Tax Commission hasdetermined that a severe financial emergency exists pursuant to NRS 354.685 may be used to pay operatingexpenses with the approval of the Executive Director of the Department ofTaxation.

(Added to NRS by 2001, 2318)

NRS 354.626 Unlawfulexpenditure of money in excess of amount appropriated; penalties; exceptions.

1. No governing body or member thereof, officer,office, department or agency may, during any fiscal year, expend or contract toexpend any money or incur any liability, or enter into any contract which byits terms involves the expenditure of money, in excess of the amountsappropriated for that function, other than bond repayments, medium-termobligation repayments and any other long-term contract expressly authorized bylaw. Any officer or employee of a local government who willfully violates NRS 354.470 to 354.626, inclusive, is guilty of amisdemeanor, and upon conviction thereof ceases to hold his office oremployment. Prosecution for any violation of this section may be conducted bythe Attorney General or, in the case of incorporated cities, school districtsor special districts, by the district attorney.

2. Without limiting the generality of the exceptionscontained in subsection 1, the provisions of this section specifically do notapply to:

(a) Purchase of coverage and professional servicesdirectly related to a program of insurance which require an audit at the end ofthe term thereof.

(b) Long-term cooperative agreements as authorized by chapter 277 of NRS.

(c) Long-term contracts in connection with planning andzoning as authorized by NRS 278.010 to 278.630, inclusive.

(d) Long-term contracts for the purchase of utilityservice such as, but not limited to, heat, light, sewerage, power, water andtelephone service.

(e) Contracts between a local government and anemployee covering professional services to be performed within 24 monthsfollowing the date of such contract or contracts entered into between localgovernment employers and employee organizations.

(f) Contractsbetween a local government and any person for the construction or completion ofpublic works, money for which has been or will be provided by the proceeds of asale of bonds, medium-term obligations or an installment-purchase agreement andthat are entered into by the local government after:

(1) Anyelection required for the approval of the bonds or installment-purchaseagreement has been held;

(2) Anyapprovals by any other governmental entity required to be obtained before thebonds, medium-term obligations or installment-purchase agreement can be issuedhave been obtained; and

(3) Theordinance or resolution that specifies each of the terms of the bonds,medium-term obligations or installment-purchase agreement, except those termsthat are set forth in subsection 2 of NRS350.165, has been adopted.

Neither thefund balance of a governmental fund nor the equity balance in any proprietaryfund may be used unless appropriated in a manner provided by law.

(g) Contracts which are entered into by a localgovernment and delivered to any person solely for the purpose of acquiringsupplies, services and equipment necessarily ordered in the current fiscal yearfor use in an ensuing fiscal year and which, under the method of accountingadopted by the local government, will be charged against an appropriation of asubsequent fiscal year. Purchase orders evidencing such contracts are publicrecords available for inspection by any person on demand.

(h) Long-term contracts for the furnishing oftelevision or FM radio broadcast translator signals as authorized by NRS 269.127.

(i) The receipt and proper expenditure of moneyreceived pursuant to a grant awarded by an agency of the Federal Government.

(j) The incurrence of obligations beyond the currentfiscal year under a lease or contract for installment purchase which contains aprovision that the obligation incurred thereby is extinguished by the failureof the governing body to appropriate money for the ensuing fiscal year for thepayment of the amounts then due.

(k) The receipt by a local government of increasedrevenue that:

(1) Was not anticipated in the preparation ofthe final budget of the local government; and

(2) Is required by statute to be remitted toanother governmental entity.

(Added to NRS by 1965, 736; A 1969, 801; 1971, 1016,1345; 1973, 68, 1155; 1975, 40, 279, 711; 1981, 1769; 1985, 648; 1987, 1720;1995, 1908; 1997, 573; 1999,833; 2001, 1812,2324; 2003, 162, 802; 2005, 579)

DELINQUENT DOCUMENTS; TECHNICAL FINANCIAL ASSISTANCE;SEVERE FINANCIAL EMERGENCY

NRS 354.655 Definitions. As used in NRS 354.655to 354.725, inclusive, unless thecontext requires otherwise:

1. Committee means the Committee on Local GovernmentFinance.

2. Department means the Department of Taxation.

3. Executive Director means the Executive Directorof the Department of Taxation.

4. Local government means any local governmentsubject to the provisions of the Local Government Budget and Finance Act.

5. The words and terms defined in the Local GovernmentBudget and Finance Act have the meanings ascribed to them in that act.

(Added to NRS by 1995, 141; A 1995, 1901; 1999, 1032, 2538; 2001, 1814; 2005, 1392)

NRS 354.657 Purpose;liberal construction.

1. The purpose of NRS354.655 to 354.725, inclusive, is toprovide specific methods for the treatment of delinquent documents, technicalfinancial assistance and severe financial emergency.

2. To accomplish the purpose set forth in subsection1, the provisions of NRS 354.655 to 354.725, inclusive, must be broadly andliberally construed.

(Added to NRS by 2001, 1795; A 2005, 1392)

NRS 354.665 Delinquentdocuments: Notification; explanation to Committee on Local Government Finance;withholding of payments.

1. If a local government does not file a statement,report or other document as required by the provisions of NRS 350.013, 354.6015, 354.6025, 354.624, 354.6245or 387.303 within 15 days after the dayon which it was due, the Executive Director shall notify the governing body ofthe local government in writing that the report is delinquent. The notificationmust be noted in the minutes of the first meeting of the governing bodyfollowing transmittal of the notification.

2. If the required report is not received by theDepartment within 45 days after the day on which the report was due, theExecutive Director shall notify the governing body that the presence of arepresentative of the governing body is required at the next practicablescheduled meeting of the Committee to explain the reason that the report hasnot been filed. The notice must be transmitted to the governing body at least 5days before the date on which the meeting will be held.

3. If an explanation satisfactory to the Committee isnot provided at the meeting as requested in the notice and an arrangement isnot made for the submission of the report, the Committee may instruct theExecutive Director to request that the State Treasurer withhold from the localgovernment the next distribution from the Local Government Tax DistributionAccount if the local government is otherwise entitled to receive such adistribution or of the local school support tax if the local government is aschool district. Upon receipt of such a request, the State Treasurer shallwithhold the payment and all future payments until he is notified by theExecutive Director that the report has been received by the Department.

(Added to NRS by 1995, 1891; A 2001, 1421, 1814; 2003, 78)

NRS 354.675 Technicalfinancial assistance from Department of Taxation: Request; notice and hearing;order; request by Department of Taxation for assistance of Committee on LocalGovernment Finance; allocation from Contingency Fund.

1. A governing body which determines that the localgovernment is in need of technical financial assistance may adopt a resolutionrequesting an appearance before the Nevada Tax Commission to request technicalfinancial assistance from the Department.

2. Upon receipt of a resolution adopted pursuant tosubsection 1, the Nevada Tax Commission shall place the request for technicalfinancial assistance on the agenda for the next practicable scheduled meetingof the Commission and notify the governing body of the local government of thetime and place at which one or more representatives of the local governmentmust appear to present the request.

3. After hearing the request for technical financialassistance, if the Nevada Tax Commission finds that the local government is inneed of technical financial assistance, it shall order the Department toprovide the assistance. The order must include such terms and conditions as theCommission deems appropriate and may include a schedule or rate of payment forthe services of the Department.

4. If the governing body adopts a resolution acceptingthe terms and conditions established pursuant to subsection 3, the Departmentshall provide such technical financial assistance to the local government asthe Department deems necessary and appropriate.

5. The Department may request any assistance it deemsappropriate to carry out the provisions of this section from the Committee.

6. The Department shall continue to provide assistanceto the local government pursuant to this section until the Nevada TaxCommission adopts an order requiring the Department to cease providing theassistance. The Nevada Tax Commission may adopt such an order upon its ownmotion or upon receipt of a resolution adopted by the governing body requestingsuch an order.

7. If no payment for the services of the Department isrequired by the order or such payments are not sufficient to pay the costs ofproviding the technical financial assistance required pursuant to this section,the Department may request an allocation by the Interim Finance Committee fromthe Contingency Fund pursuant to NRS 353.266,353.268 and 353.269 to pay the costs of providing thetechnical financial assistance required pursuant to this section.

(Added to NRS by 1995, 1895)

NRS 354.685 Severefinancial emergency: Conditions; notification of local government by Departmentof Taxation; plan of corrective action; review of plan by Committee on LocalGovernment Finance; order of Nevada Tax Commission requiring Department to takeover management of local government.

1. If the Department finds that one or more of thefollowing conditions exist in any local government, after giving considerationto the severity of the condition, it may determine that one or more hearingsshould be conducted to determine the extent of the problem and to determinewhether a recommendation of severe financial emergency should be made to theNevada Tax Commission:

(a) Required financial reports have not been filed orare consistently late.

(b) The audit report reflects the unlawful expenditureof money in excess of the amount appropriated in violation of the provisions ofNRS 354.626.

(c) The audit report shows funds with deficit fundbalances.

(d) The local government has incurred debt beyond itsability to repay.

(e) The local government has not corrected violationsof statutes or regulations adopted pursuant thereto as noted in the auditreport.

(f) The local government has serious internal controlproblems noted in the audit report which have not been corrected.

(g) The local government has a record of being late inits payments for services and supplies.

(h) The local government has had insufficient cash tomeet required payroll payments in a timely manner.

(i) The local government has borrowed money or enteredinto long-term lease arrangements without following the provisions of NRS orregulations adopted pursuant thereto.

(j) The governing body of the local government hasfailed to correct problems after it has been notified of such problems by theDepartment.

(k) The local government has not separately accountedfor its individual funds as required by chapter354 of NRS.

(l) The local government has invested its money infinancial instruments in violation of the provisions of chapter 355 of NRS.

(m) The local government is in violation of anycovenant in connection with any debt issued by the local government.

(n) The local government has not made bond and leasepayments in accordance with the approved payment schedule.

(o) The local government has failed to control itsassets such that large defalcations have occurred which have impaired thefinancial condition of the local government.

(p) The local government has recognized sizeable lossesas a result of the imprudent investment of money.

(q) The local government has allowed its accountingsystem and recording of transactions to deteriorate to such an extent that itis not possible to measure accurately the results of operations or to ascertainthe financial position of the local government without a reconstruction oftransactions.

(r) The local government has consistently issued checksnot covered by adequate deposits.

(s) The local government has loaned and borrowed moneybetween funds without following the proper procedures.

(t) The local government has expended money inviolation of the provisions governing the expenditure of that money.

(u) Money restricted for any specific use has beenexpended in violation of the terms and provisions relating to the receipt andexpenditure of that money.

(v) Money has been withheld in accordance with theprovisions of NRS 354.665.

(w) If the local government is a school district, aloan has been made from the State Permanent School Fund to the school districtpursuant to NRS 387.526.

(x) An employer in the county that accounts for morethan 15 percent of the employment in the county has closed or significantlyreduced operations.

(y) The local government has experienced a cumulativedecline of 10 percent in population or assessed valuation for the past 2 years.

(z) The ending balance in the general fund of the localgovernment has declined for the past 2 years.

(aa) The local government has failed to pay, in atimely manner, contributions to the Public Employees Retirement System,workers compensation or payroll taxes or fails to pay, at any time, a paymentrequired pursuant to the Federal Insurance Contributions Act.

2. If the Department determines that a conditionlisted in subsection 1 exists, the Department shall:

(a) Notify the local government about thedetermination;

(b) Request from the local government any informationthat the Department deems to be appropriate to determine the extent of thecondition; and

(c) Require the local government to formulate a plan ofcorrective action to mitigate the possible financial emergency.

3. Within 45 days after receiving notificationpursuant to subsection 2, a local government shall submit to the Committee anyinformation requested by the Department and a plan of corrective action.

4. The Committee shall:

(a) Review a plan of corrective action submitted by alocal government;

(b) Provide observations and recommendations for thelocal government; and

(c) If the Committee deems necessary, periodicallyreview the status of the financial operations of the local government.

5. The Department shall report the observations andrecommendations of the Committee to the Nevada Tax Commission.

6. In addition to any notice otherwise required, theDepartment shall give notice of any hearing held pursuant to subsection 1 tothe governing body of each local government whose jurisdiction overlaps withthe jurisdiction of the local government whose financial condition will beconsidered at least 10 days before the date on which the hearing will be held.

7. If the Department, following the hearing orhearings, determines that a recommendation of severe financial emergency shouldbe made to the Nevada Tax Commission, it shall make such a recommendation assoon as practicable. Upon receipt of such a recommendation, the Nevada TaxCommission shall hold a hearing at which the Department, the local governmentwhose financial condition will be considered and each local government whosejurisdiction overlaps with the jurisdiction of the local government whosefinancial condition will be considered are afforded an opportunity to be heard.If, after the hearing, the Nevada Tax Commission determines that a severe financialemergency exists, it shall require by order that the Department take over themanagement of the local government as soon as practicable.

8. As used in this section, Federal InsuranceContributions Act means subchapter A of chapter 9 of the Internal Revenue Codeof 1939 and subchapters A and B of chapter 21 of the Internal Revenue Code of1954, as such codes have been and may from time to time be amended.

(Added to NRS by 1995, 1892; A 1997, 2711; 1999, 599; 2001, 1814)

NRS 354.686 Severefinancial emergency: Request by local government involved in litigation orthreatened litigation for order that Department of Taxation take overmanagement of local government; issuance of order.

1. If the governing body of a local governmentdetermines by the affirmative vote of a majority of its members that, becausethe local government is involved in litigation or threatened litigation, thelocal government is or will be in a severe financial emergency, the governingbody may submit a request to the Nevada Tax Commission for an order that theDepartment, as soon as practicable, take over the management of the localgovernment pursuant to the provisions of NRS354.655 to 354.725, inclusive.

2. If the Nevada Tax Commission receives a requestpursuant to subsection 1, the Nevada Tax Commission shall order the Departmentto take over the management of the local government.

(Added to NRS by 2005, 1392)

NRS 354.695 Severefinancial emergency: Powers and duties of Department of Taxation; reimbursementfor expenses; allocation from Contingency Fund; recommendations by localgovernment; cooperation of state agencies; delegation of powers and duties tofinancial manager; termination of management.

1. As soon aspracticable after taking over the management of a local government, theDepartment shall, with the approval of the Committee:

(a) Establish andimplement a management policy and a financing plan for the local government;

(b) Provide forthe appointment of a financial manager for the local government who isqualified to manage the fiscal affairs of the local government;

(c) Provide forthe appointment of any other persons necessary to enable the local governmentto provide the basic services for which it was created in the most economicaland efficient manner possible;

(d) Establish anaccounting system and separate accounts in a bank or credit union, ifnecessary, to receive and expend all money and assets of the local government;

(e) Impose suchhiring restrictions as deemed necessary after considering the recommendationsof the financial manager;

(f) Negotiate andapprove all contracts entered into by or on behalf of the local governmentbefore execution and enter into such contracts on behalf of the local governmentas the Department deems necessary;

(g) Negotiate andapprove all collective bargaining contracts to be entered into by the localgovernment, except issues submitted to a fact finder whose findings andrecommendations are final and binding pursuant to the provisions of the LocalGovernment Employee-Management Relations Act;

(h) Approve allexpenditures of money from any fund or account and all transfers of money fromone fund to another;

(i) Employ suchtechnicians as are necessary for the improvement of the financial condition ofthe local government;

(j) Meet with thecreditors of the local government and formulate a debt liquidation program;

(k) If the Department has taken over the management ofa local government because the local government is involved in litigation orthreatened litigation, carry out the duties set forth in NRS 354.701, if the provisions of thatsection are applicable;

(l) Approve theissuance of bonds or other forms of indebtedness by the local government;

(m) Discharge anyof the outstanding debts and obligations of the local government; and

(n) Take any otheractions necessary to ensure that the local government provides the basicservices for which it was created in the most economical and efficient mannerpossible.

2. The Departmentmay provide for reimbursement from the local government for the expenses theDepartment incurs in managing the local government. If such reimbursement isnot possible, the Department may request an allocation by the Interim FinanceCommittee from the Contingency Fund pursuant to NRS 353.266, 353.268 and 353.269.

3. The governingbody of a local government which is being managed by the Department pursuant tothis section may make recommendations to the Department or the financialmanager concerning the management of the local government.

4. Each stateagency, board, department, commission, committee or other entity of the Stateshall provide such technical assistance concerning the management of the localgovernment as is requested by the Department.

5. The Departmentmay delegate any of the powers and duties imposed by this section to thefinancial manager appointed pursuant to paragraph (b) of subsection 1.

6. Except as otherwise provided in NRS 354.723 and 450.760, once the Department has taken overthe management of a local government pursuant to the provisions of subsection1, that management may only be terminated pursuant to NRS 354.725.

(Added to NRS by 1995, 141; A 1995, 1901; 1999, 88, 1476, 2538; 2001, 91, 1816; 2005, 1393)

NRS 354.701 Severefinancial emergency: Stay of action by creditor of local government forattachment, garnishment or execution until adoption of program for liquidationof debt. If the Department takes over themanagement of a local government because the local government is involved inlitigation or threatened litigation and if a creditor of the local governmentis allowed by law to commence or maintain an action in the nature of anattachment, garnishment or execution in the courts of this State against thelocal government or its assets, the action must be stayed until the followingconditions have been satisfied:

1. The creditor must meet with the Department toformulate a program for the liquidation of the debt owed by the localgovernment to that creditor; and

2. The Department must adopt a program for theliquidation of the debt owed by the local government to the creditor asdescribed in subsection 1. The Department shall formulate the program not laterthan 60 days after meeting with the creditor pursuant to subsection 1. Theformulation of the program is a final decision for the purposes of judicialreview.

(Added to NRS by 2005, 1392)

NRS 354.705 Severe financial emergency:Determination of expenditures and revenue of local government; review andrecommendation of additional taxes or charges; hearing and adoption of plan bypanel; imposition and duration of additional taxes or charges; report offailure to satisfy expenses of local government.

1. As soon as practicable after the Department takesover the management of a local government, the Executive Director shall:

(a) Determine the total amount of expendituresnecessary to allow the local government to perform the basic functions forwhich it was created;

(b) Determine the amount of revenue reasonably expectedto be available to the local government; and

(c) Consider any alternative sources of revenueavailable to the local government.

2. If the Executive Director determines that theavailable revenue is not sufficient to provide for the payment of required debtservice and operating expenses, he may submit his findings to the Committee whoshall review the determinations made by the Executive Director. If theCommittee determines that additional revenue is needed, it shall prepare arecommendation to the Nevada Tax Commission as to which one or more of thefollowing additional taxes or charges should be imposed by the localgovernment:

(a) The levy of a property tax up to a rate which whencombined with all other overlapping rates levied in the State does not exceed$4.50 on each $100 of assessed valuation.

(b) An additional tax on transient lodging at a ratenot to exceed 1 percent of the gross receipts from the rental of transientlodging within the boundaries of the local government upon all persons in thebusiness of providing lodging. Any such tax must be collected and administeredin the same manner as all other taxes on transient lodging are collected by orfor the local government.

(c) Additional service charges appropriate to the localgovernment.

(d) If the local government is a county or hasboundaries that are conterminous with the boundaries of the county:

(1) An additional tax on the gross receipts fromthe sale or use of tangible personal property not to exceed one-quarter of 1percent throughout the county. The ordinance imposing any such tax must:

(I) Include provisions in substance whichcomply with the requirements of subsections 2 to 5, inclusive, of NRS 377A.030.

(II) Specify the date on which the taxmust first be imposed or on which a change in the rate of the tax becomeseffective, which must be the first day of the first calendar quarter thatbegins at least 120 days after the effective date of the ordinance.

(2) An additional governmental services tax ofnot more than 1 cent on each $1 of valuation of the vehicle for the privilegeof operating upon the public streets, roads and highways of the county on eachvehicle based in the county except those vehicles exempt from the governmentalservices tax imposed pursuant to chapter 371of NRS or a vehicle subject to NRS 706.011to 706.861, inclusive, which is engagedin interstate or intercounty operations. As used in this subparagraph, basedhas the meaning ascribed to it in NRS482.011.

3. Upon receipt of the plan from the Committee, apanel consisting of three members of the Nevada Tax Commission appointed by theNevada Tax Commission and three members of the Committee appointed by theCommittee shall hold a public hearing at a location within the boundaries ofthe local government in which the severe financial emergency exists aftergiving public notice of the hearing at least 10 days before the date on whichthe hearing will be held. In addition to the public notice, the panel shallgive notice to the governing body of each local government whose jurisdictionoverlaps with the jurisdiction of the local government in which the severefinancial emergency exists.

4. After the public hearing conducted pursuant tosubsection 3, the Nevada Tax Commission may adopt the plan as submitted oradopt a revised plan. Any plan adopted pursuant to this section must includethe duration for which any new or increased taxes or charges may be collectedwhich must not exceed 5 years.

5. Upon adoption of the plan by the Nevada TaxCommission, the local government in which the severe financial emergency existsshall impose or cause to be imposed the additional taxes and charges includedin the plan for the duration stated in the plan or until the severe financialemergency has been determined by the Nevada Tax Commission to have ceased toexist.

6. The allowed revenue from taxes ad valoremdetermined pursuant to NRS 354.59811does not apply to any additional property tax levied pursuant to this section.

7. If a plan fails to satisfy the expenses of thelocal government to the extent expected, the Committee shall report suchfailure to:

(a) The county for consideration of absorption ofservices; or

(b) If the local government is a county, to the nextregular session of the Legislature.

(Added to NRS by 1995, 1893; A 2001, 304, 1817, 2325; 2003, 78, 2386; 2005, 1778)

NRS 354.715 Severefinancial emergency: Compliance by local government with requests of Departmentof Taxation. If a local government fails tocomply with any request made by the Department pursuant to NRS 354.695, the Department may apply tothe district court to compel compliance.

(Added to NRS by 1995, 143)

NRS 354.721 Severefinancial emergency: Creation of Severe Financial Emergency Fund; investment ofmoney in Fund; loans from Fund.

1. The Severe Financial Emergency Fund is herebycreated in the State Treasury as a revolving fund. The Executive Director shalladminister the Fund.

2. The money in the Fund must be invested as otherstate funds are invested. Any interest and income earned on the money in theFund must, after deducting any applicable charges, be credited to the Fund.

3. The Executive Director may distribute the money inthe Severe Financial Emergency Fund as a loan to a local government for thepurpose of paying the operating expenses of the local government until thelocal government receives revenues if:

(a) The Department takes over the management of a localgovernment pursuant to NRS 354.685 to 354.725, inclusive;

(b) The Executive Director determines that a loan fromthe Severe Financial Emergency Fund is necessary to pay the operating expensesof the local government; and

(c) The local government adopts a resolution in whichthe local government agrees to:

(1) Use the money only for the purpose of payingthe operating expenses of the local government until the local government receivesrevenues; and

(2) Repay the entire amount of the loan, withoutany interest, to the Severe Financial Emergency Fund as soon as practicable,but not later than 12 months after the date on which the resolution is adopted.

4. A loan approved by the Executive Director must berepaid as soon as practicable by the local government, but the duration of theloan must not exceed 12 months after the date on which the loan was made. TheExecutive Director shall not charge interest on a loan made pursuant to thissection.

5. The Executive Director shall report to theCommittee on Local Government Finance and to the Nevada Tax Commission as soonas practicable after the date that the loan is approved concerning:

(a) The status of the loan;

(b) The purposes for which the local government willuse the money from the loan; and

(c) The resources that the local government will use torepay the loan.

(Added to NRS by 1999, 1031)

NRS 354.723 Severefinancial emergency: Procedure for disincorporation or dissolution of localgovernment in certain circumstances.

1. If the Executive Director determines that a severefinancial emergency which exists in a local government under management by theDepartment is unlikely to cease to exist within 3 years, he shall determine:

(a) The amount any tax or mandatory assessment leviedby the local government must be raised to ensure a balanced budget for thelocal government; and

(b) The manner in which the services provided by thelocal government must be limited to ensure a balanced budget for the localgovernment,

and submithis findings to the Committee.

2. The Committee shall review the findings submittedby the Executive Director pursuant to subsection 1. If the Committee determinesthat the severe financial emergency which exists in the local government isunlikely to cease to exist within 3 years and that the findings made by theExecutive Director are appropriate, the Committee shall submit itsrecommendation to the Nevada Tax Commission. If the Committee determines thatthe financial emergency is likely to cease to exist within 3 years, thatdecision is not subject to review by the Nevada Tax Commission.

3. The Nevada Tax Commission shall schedule a publichearing within 30 days after the Committee submits its recommendation. TheNevada Tax Commission shall provide public notice of the hearing at least 10days before the date on which the hearing will be held. The Executive Directorshall provide copies of all documents relevant to the recommendation of theCommittee to the governing body of the local government in severe financialemergency.

4. If, after the public hearing, the Nevada TaxCommission determines that the recommendation of the Committee is appropriate,a question must be submitted to the electors of the local government at thenext primary or general municipal election or primary or general stateelection, as applicable, asking whether the local government should be disincorporatedor dissolved. If the electors of the local government do not approve thedisincorporation or dissolution of the local government:

(a) The maximum ad valorem tax levied within the localgovernment, if any, must be raised to $5 on each $100 of assessed valuation;

(b) Any other taxes or mandatory assessments levied inthe local government, notwithstanding any limitation on those taxes orassessments provided by statute, must be raised in an amount the Nevada TaxCommission determines is necessary to ensure a balanced budget for the localgovernment; and

(c) The services provided by the local government mustbe limited in a manner the Nevada Tax Commission determines is necessary toensure a balanced budget for the local government.

5. If the electors of the local government approve thedisincorporation or dissolution of a local government that is:

(a) Created by another local government, it must bedisincorporated or dissolved:

(1) Pursuant to the applicable provisions oflaw; or

(2) If there are no specific provisions of lawproviding for the disincorporation or dissolution of the local government, bythe entity that created the local government. If, at the time of thedisincorporation or dissolution of the local government pursuant to thisparagraph, there are any outstanding loans or bonded indebtedness of the localgovernment, including, without limitation, loans made to the local governmentby the county in which the local government is located, the taxes for the paymentof the bonds or other indebtedness must continue to be levied and collected inthe same manner as if the local government had not been disincorporated or dissolveduntil all outstanding indebtedness is repaid, but for all other purposes thelocal government shall be deemed disincorporated or dissolved at the time thatthe entity which created the local government disincorporates or dissolves thelocal government. Any other liabilities and any remaining assets shall revertto the entity that created the local government which is being disincorporatedor dissolved.

(b) Created by a special or local act of theLegislature, it may only be disincorporated or dissolved by the Legislature.The Executive Director shall submit notification of the vote approving thedisincorporation or dissolution of the local government to the Director of theLegislative Counsel Bureau for transmittal to the Legislature. At the firstopportunity, the Legislature shall consider the question of whether the specialor local act will be repealed.

(c) Created in any other manner, it must bedisincorporated or dissolved:

(1) Pursuant to the applicable provisions oflaw; or

(2) If there are no specific provisions of lawproviding for the disincorporation or dissolution of the local government, by thegoverning body of that local government. If, at the time of thedisincorporation or dissolution of the local government pursuant to thisparagraph, there are any outstanding loans or bonded indebtedness of the localgovernment, including, without limitation, loans made to the local governmentby the county or counties in which the local government is located, the taxesfor the payment of the bonds or other indebtedness must continue to be leviedand collected in the same manner as if the local government had not beendisincorporated or dissolved until all outstanding indebtedness is repaid, butfor all other purposes the local government shall be deemed disincorporated ordissolved at the time that the governing body of the local governmentdisincorporates or dissolves the local government. Except as otherwise providedin this subparagraph, any other liabilities and any remaining assets of thelocal government shall revert to the board of county commissioners of thecounty in which the local government is located. If the local government islocated in more than one county, the governing body of the local governmentshall apportion the remaining liabilities and assets among the boards of countycommissioners of the counties in which the local government is located.

6. Within 10 days after the Nevada Tax Commissionmakes a determination pursuant to subsection 4, the Executive Director shallnotify:

(a) The city clerk, if the local government is a city;or

(b) The county clerk in all other cases,

and providethe clerk with the amount any tax or mandatory assessment levied by the localgovernment must be raised and a description of the manner in which the servicesprovided by the local government must be limited to ensure a balanced budgetfor the local government.

7. After the Executive Director notifies the cityclerk or the county clerk, as applicable, pursuant to subsection 6, the clerkshall cause to be published in a newspaper of general circulation that isprinted in the local government a notice of the election once in each calendarweek for 2 successive calendar weeks by two weekly insertions a week apart, thefirst publication to be not more than 30 days nor less than 22 days nextpreceding the date of the election. If no newspaper is printed in the localgovernment, publication of the notice of election must be made in a newspaperprinted in this State and having a general circulation in the local government.

8. The notice required pursuant to subsection 7 mustcontain the following information:

(a) That the Nevada Tax Commission has determined thatthe severe financial emergency which exists in the local government is unlikelyto cease to exist within 3 years;

(b) That the question of whether the local governmentshould be disincorporated or dissolved will be submitted to the electors of thelocal government at the next primary or general municipal election or the nextprimary or general state election, as applicable; and

(c) That if the electors do not approve thedisincorporation or dissolution:

(1) The maximum ad valorem tax levied within thelocal government, if any, will be raised to $5 on each $100 of assessedvaluation;

(2) Any taxes or mandatory assessment levied inthe local government will be raised to ensure a balanced budget for the localgovernment and the amount by which those taxes or mandatory assessments will beraised; and

(3) The services the local government provideswill be limited to ensure a balanced budget for the local government and themanner in which those services will be limited.

9. If any provisions providing generally for thedisincorporation or dissolution of the local government require that thequestion of disincorporating or dissolving be published or submitted to a voteof the electors of the local government, the publication required by subsection3 and the election required by subsection 4 satisfy those requirements. If:

(a) There is any other conflict between the provisionsof this section and any provisions providing generally for the disincorporationor dissolution of a local government; or

(b) The provisions providing generally for thedisincorporation or dissolution of a local government provide additional rightsto protest the disincorporation or dissolution of a local government notprovided by this section,

theprovisions of this section control a disincorporation or dissolution pursuantto this section and any person wishing to protest such a disincorporation ordissolution must proceed in accordance with the provisions of this section.

10. As used in this section, local government doesnot include a county, a school district or any agency or department of a countyor city which prepares a budget separate from that of the parent politicalsubdivision.

(Added to NRS by 1999, 2534)

NRS 354.7235 Severefinancial emergency: Management of Department of Taxation ceases at time ofdisincorporation or dissolution. Themanagement of the Department ceases at the time of the disincorporation ordissolution of a local government pursuant to NRS354.723.

(Added to NRS by 1999, 2537)

NRS 354.725 Severefinancial emergency: Termination or modification of management of localgovernment.

1. The Nevada Tax Commission may, on its own motion orat the request of a local government, terminate the management of a localgovernment by the Department at any time upon a finding that the severefinancial emergency has ceased to exist.

2. The governing body of a local government which hascomplied with all requests made by the Department pursuant to NRS 354.695 may petition the Nevada TaxCommission for termination or modification of the management of the localgovernment by the Department or of any request made by the Department pursuantto NRS 354.695.

3. The Nevada Tax Commission shall provide notice, ahearing and a written decision on each such petition.

4. In determining whether a condition of severefinancial emergency should be terminated, the Nevada Tax Commission shall giveconsideration to the following:

(a) The local governing body has shown a desire andcapability to manage the financial affairs of the local government inaccordance with the provisions of NRS.

(b) The local government has staff available withsufficient financial expertise that they can adequately control the finances ofthe local government.

(c) All violations of statutes have been corrected.

(d) The local government has no funds with deficit fundbalances.

(e) The local government has increased their revenuesor made appropriate expenditure reductions so that it is anticipated they canoperate for the next fiscal year in a positive cash and fund balance position.

(f) The governing body has expressed a determination througha resolution submitted to the Department of Taxation to manage their affairs inaccordance with NRS relating to financial matters and utilizing soundaccounting and financial management practices.

5. The Nevada Tax Commission may require the governingbody to submit special reports to the Department for a period not to exceed 5years as a condition of terminating the management of the local government bythe Department.

6. When a petition relating to a specific request isdenied, the governing body may not resubmit a petition to terminate or modifythat request until 3 months following the date of denial.

(Added to NRS by 1995, 143; A 1995, 1902)

ALTERNATIVE METHODS OF FINANCING BY LOCAL GOVERNMENTS

NRS 354.750 Alternativemethod for local government to borrow money or purchase or lease property.

1. A local government may borrow money or purchase orlease property or facilities from a nonprofit corporation or trustee inconjunction with one or more other local governments, and in connection therewithmay sell or lease property or facilities to the nonprofit corporation ortrustee, in each case with such maturity, term, payment, security, pledge,default, remedy, prepayment, redemption, interest rate and other terms orprovisions as may be specified in the loan, loan purchase, installment sale,lease or other agreement or note entered into by the local government for thatpurpose if:

(a) Each participating local government determines thatit will benefit from economies of scale in borrowing money or purchasing orleasing property in conjunction with one or more other local governmentspursuant to this section; and

(b) In the case of borrowing to finance operations andother noncapital purposes, the amount borrowed and the interest payable thereon,at the initial interest rate if interest is variable, does not exceed 85percent of the estimated amount of uncollected taxes, income, revenue, cashreceipts and other money of the local government which will be available duringthe term of the agreement for the repayment of the loan and the interestthereon. As used in this paragraph, revenue includes, without limitation,federal and state money received by the local government.

2. A local government may enter into an agreement forliquidity or credit enhancement, with such reimbursement, term, payment,security, pledge, default, remedy, interest rate and other terms, and mayinvest the proceeds of any borrowing, sale or lease under this section or anycertificates of participation therein and any money pledged or set aside forthe payment or security thereof in such securities or obligations, as the localgovernment deems necessary or appropriate in connection with any borrowing,sale or lease pursuant to this section. A local government may also do allthings and execute all documents that may be necessary or desirable inconnection with the issuance of certificates of participation, or otherinterests, in any loan, note, installment sale, lease or other agreement of thelocal government entered into pursuant to this section or otherwise necessaryto effectuate the purposes of this section, and may authorize a nonprofitcorporation or trustee to act as its agent for purposes of entering into anytrust, liquidity, credit, investment or other agreement in connection withfinancing pursuant to this section.

3. This section provides a complete, additional andalternative method for accomplishing the acts authorized by this section andmust be liberally construed to accomplish its purposes.

4. As used in this section, local government has themeaning ascribed to it in NRS 354.474.

(Added to NRS by 1989, 1259)

PAYMENTS OF MONEY FOR SERVICES PROVIDED BY LOCALGOVERNMENTS

NRS 354.760 Noticeto debtor of required payee of negotiable instrument.

1. All invoices or other notices issued by a localgovernment to collect an account receivable must state that if the debtorwishes to pay by check or other negotiable instrument, such negotiable instrumentmust name as payee:

(a) The local government; or

(b) The title of the governmental official charged bylaw with the collection of such accounts.

In no eventmay the invoice or other notice state that a check or other negotiableinstrument may name a natural person as payee.

2. Notwithstanding the provisions of subsection 1, alocal government may deposit into the appropriate account a check or othernegotiable instrument which it determines is intended as payment for an accountreceivable.

3. As used in this section, local government meansevery political subdivision or other entity which has the right to levy orreceive money from ad valorem taxes or other taxes or from any mandatoryassessments, including, without limitation, counties, cities, towns, boards,authorities, school districts and other districts organized pursuant to chapters 244, 244A,309, 318, 379, 439, 450, 473, 474, 539, 541, 543 and 555 of NRS.

(Added to NRS by 1997, 1498)

NRS 354.770 Acceptanceof payments by credit card, debit card or electronic transfers of money.

1. A local government may enter into contracts withissuers of credit cards or debit cards, or operators of systems that providefor the electronic transfer of money to provide for the acceptance of creditcards, debit cards or electronic transfers of money by the local government:

(a) For the payment of money owed to the localgovernment for taxes, interest, penalties or any other obligation; or

(b) In payment for goods or services.

2. If the issuer or operator charges the localgovernment a fee for each use of a credit card or debit card or for eachelectronic transfer of money, the local government may require the cardholderor the person requesting the electronic transfer of money to pay a fee, whichmust not exceed the amount charged to the local government by the issuer oroperator.

3. As used in this section:

(a) Cardholder means the person or organization namedon the face of a credit card or debit card to whom or for whose benefit thecredit card or debit card is issued by an issuer.

(b) Credit card means any instrument or device,whether known as a credit card or credit plate, or by any other name, issuedwith or without a fee by an issuer for the use of the cardholder in obtainingmoney, property, goods, services or anything else of value on credit.

(c) Debit card means any instrument or device,whether known as a debit card or by any other name, issued with or without afee by an issuer for the use of the cardholder in depositing, obtaining ortransferring funds.

(d) Electronic transfer of money has the meaningascribed to it in NRS 463.01473.

(e) Issuer means a business organization, financial institutionor authorized agent of a business organization or financial institution thatissues a credit card or debit card.

(f) Local government has the meaning ascribed to itin NRS 354.474, except that the termdoes not include a court that has entered into a contract pursuant to NRS 1.113.

(Added to NRS by 1997, 1323; A 1999, 70; 2001, 1322)

NRS 354.780 Placementof automated tellers at locations where local government receives payments.

1. A local government may enter into contracts withfinancial institutions or other business organizations for the placement ofautomated tellers at locations where the local government receives payments ofmoney.

2. As used in this section:

(a) Automated teller means an electronic device thatdispenses cash in connection with an account maintained in a financialinstitution or with another business.

(b) Local government has the meaning ascribed to itin NRS 354.474.

(Added to NRS by 1997, 1323)

NRS 354.790 Additionalfee for providing service to customer in expeditious or convenient manner.

1. Except as otherwise provided by specific statute, alocal government may charge, in addition to the fee otherwise imposed for aservice provided by the local government, a reasonable fee for providing theservice in an expedited manner or in a manner that is expeditious or convenientto the customer.

2. The fee authorized pursuant to subsection 1 mustnot exceed 5 percent of the fee otherwise imposed.

3. As used in this section, local government has themeaning ascribed to it in NRS 354.474.

(Added to NRS by 1997, 1323)

 

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