2014 Nevada Revised Statutes
Chapter 354 - Local Financial Administration
NRS 354.6135 - Governing body authorized to loan or transfer money from enterprise fund; authorized use of money received; reporting requirements; regulations; applicability. [Effective through June 30, 2017.]

1. Except as otherwise provided in this section and notwithstanding any provision of NRS 354.613 to the contrary, if the ending fund balance of the general fund of a local government at the end of a fiscal year is less than 9 percent of the total expenditures of the local government from the general fund during that fiscal year, as reflected in the report of the annual audit prepared for the local government pursuant to NRS 354.624, the governing body of the local government may, during the following fiscal year, by resolution and with the prior approval of the Committee on Local Government Finance, loan or transfer money from an enterprise fund, money collected from fees imposed for the purpose for which an enterprise fund was created or any income or interest earned on money in an enterprise fund.

2. Any money loaned or transferred by the governing body of a local government pursuant to subsection 1 may be used only for the purposes listed in this subsection, in the following order of priority:

(a) To restore police and fire services;

(b) To restore the operation of libraries, parks and other recreational services; and

(c) To settle any legal claim outstanding on the date on which the loan or transfer authorized by subsection 1 is made.

3. The governing body of a local government that loans or transfers any money pursuant to subsection 1 shall submit a quarterly report to the Committee on Local Government Finance which includes all of the information required pursuant to subsections 4 and 5.

4. Each report submitted by the governing body of a local government pursuant to subsection 3 must include, without limitation:

(a) Information about any increase in a fee described in subsection 1 imposed by the local government;

(b) Any change to salaries or benefits paid to employees of the local government;

(c) Any change to a collective bargaining agreement negotiated pursuant to chapter 288 of NRS to which the local government is a party; and

(d) Any information prescribed by regulation of the Committee on Local Government Finance pursuant to subsection 6.

5. In addition to the requirements set forth in subsection 4, if, for any fiscal year, the difference between budgeted and actual general fund revenues or expenditures for the local government is more than 5 percent for any category of revenues or expenditures, as provided in the report of the annual audit prepared for the local government pursuant to NRS 354.624, in addition to the requirements set forth in subsection 4, the first quarterly report submitted to the Committee on Local Government Finance after the audit report is submitted to the local government must include an explanation of the difference.

6. The Committee on Local Government Finance:

(a) Shall adopt regulations specifying the procedure for obtaining the approval of the Committee required by subsection 1; and

(b) May prescribe by regulation any additional information which must be included in the reports submitted by the governing body of a local government pursuant to subsection 3.

7. The provisions of this section:

(a) Apply only to a local government which has, during each of the 5 fiscal years immediately preceding June 10, 2013, loaned or transferred:

(1) Money from an enterprise fund;

(2) Money collected from fees imposed for the purpose for which an enterprise fund was created; or

(3) Any income or interest earned on money in an enterprise fund.

(b) Do not apply to an enterprise fund created for an airport owned and operated by a local government.

(Added to NRS by 2013, 2710)