[Rev. 2/10/2015 4:48:49
PM--2014R2]
CHAPTER 271B - ECONOMIC DIVERSIFICATION
GENERAL PROVISIONS
NRS 271B.010 Definitions.
[Effective through June 30, 2036.]
NRS 271B.020 “District”
defined. [Effective through June 30, 2036.]
NRS 271B.030 “Lead
participant” defined. [Effective through June 30, 2036.]
NRS 271B.040 “Municipality”
defined. [Effective through June 30, 2036.]
NRS 271B.050 “Participant”
defined. [Effective through June 30, 2036.]
NRS 271B.060 “Qualified
project” defined. [Effective through June 30, 2036.]
ECONOMIC DIVERSIFICATION DISTRICTS
NRS 271B.070 Creation;
pledge of proceeds of certain taxes; location. [Effective through June 30,
2036.]
NRS 271B.080 Agreement
with Department of Taxation regarding distribution of pledged amounts.
[Effective through June 30, 2036.]
NRS 271B.090 Agreement
to distribute pledged amounts to lead participant of qualified project located
within district; restrictions; automatic termination of agreement. [Effective
through June 30, 2036.]
NRS 271B.100 Preparation
of annual reports and submittal to Legislature. [Effective through June 30,
2036.]
NRS 271B.110 Agreement
with owner of property interest within district to defray cost of local
governmental services. [Effective through June 30, 2036.]
NRS 271B.120 Independent
auditing of certain claims; additional restrictions on financing or
reimbursement. [Effective through June 30, 2036.]
_________
GENERAL PROVISIONS
NRS 271B.010 Definitions. [Effective through June 30, 2036.] As used in this chapter, unless the context
otherwise requires, the words and terms defined in NRS
271B.020 to 271B.060, inclusive, have the
meanings ascribed to them in those sections.
(Added to NRS by 2014, 28th Special Session, 25)
NRS 271B.020 “District” defined. [Effective through June 30, 2036.] “District” means an economic diversification
district created pursuant to NRS 271B.070.
(Added to NRS by 2014, 28th Special Session, 25)
NRS 271B.030 “Lead participant” defined. [Effective through June 30, 2036.] “Lead participant” has the meaning ascribed to
it in NRS 360.915.
(Added to NRS by 2014, 28th Special Session, 25)
NRS 271B.040 “Municipality” defined. [Effective through June 30, 2036.] “Municipality” means any county or city in
this State.
(Added to NRS by 2014, 28th Special Session, 25)
NRS 271B.050 “Participant” defined. [Effective through June 30, 2036.] “Participant” has the meaning ascribed to it
in NRS 360.925.
(Added to NRS by 2014, 28th Special Session, 25)
NRS 271B.060 “Qualified project” defined. [Effective through June 30, 2036.] “Qualified project” has the meaning ascribed
to it in NRS 360.940.
(Added to NRS by 2014, 28th Special Session, 25)
ECONOMIC DIVERSIFICATION DISTRICTS
NRS 271B.070 Creation; pledge of proceeds of certain taxes; location.
[Effective through June 30, 2036.]
1. Except as otherwise provided in this
section, if a qualified project is located within the jurisdiction of a
municipality, the governing body of the municipality may:
(a) Create an economic diversification district
for the purposes of carrying out this chapter by adopting an ordinance
describing the boundaries of the district, which must be the geographic
boundaries of the qualified project, and generally describing the purposes
within the district for which money pledged pursuant to this chapter may be
used; and
(b) For the purposes of carrying out paragraph
(a), include in an ordinance adopted pursuant to that paragraph the pledge of
an amount equal to the proceeds of all sales and use taxes imposed on or owed
by each participant in the qualified project with regard to tangible personal
property purchased in the municipality for use in the district, or stored, used
or otherwise consumed in the district by the participant, during a fiscal year
other than the amount of any local sales and use taxes for which the lead
participant has received an abatement pursuant to an application approved by
the Office of Economic Development pursuant to NRS 360.950.
2. The governing body of a municipality
may not include in an ordinance adopted to create a district pursuant to
paragraph (a) of subsection 1 on or after September 11, 2014, the pledge of any
proceeds of the taxes imposed pursuant to NRS
374.110 and 374.190 with regard to
tangible personal property sold at retail, or stored, used or otherwise
consumed, if the governing body obtains an opinion from independent bond
counsel stating that the applicability of this provision would impair an
existing contract for the sale of bonds which were issued before September 11,
2014.
3. A district created pursuant to this
section by:
(a) A city must be located entirely within the
boundaries of that city.
(b) A county must be located entirely within the
boundaries of that county and, when the district is created, entirely outside
of the boundaries of any city.
(Added to NRS by 2014, 28th Special Session, 26)
NRS 271B.080 Agreement with Department of Taxation regarding distribution of
pledged amounts. [Effective through June 30, 2036.] After
the adoption of an ordinance pursuant to NRS 271B.070,
the governing body of the municipality and the Department of Taxation shall
enter into an agreement specifying the dates and procedure for distribution to
the municipality of any money pledged pursuant to NRS
271B.070. The distributions must:
1. Be made not less frequently than
monthly; and
2. Cease at the end of the fiscal year in
which the 20th anniversary of the adoption of the ordinance creating the
district occurs.
(Added to NRS by 2014, 28th Special Session, 26)
NRS 271B.090 Agreement to distribute pledged amounts to lead participant of
qualified project located within district; restrictions; automatic termination
of agreement. [Effective through June 30, 2036.]
1. Except as otherwise provided in this
section, if the governing body of a municipality adopts an ordinance pursuant
to NRS 271B.070, the municipality may enter into
an agreement with the lead participant in the qualified project for the cost of
acquiring, improving or equipping, or any combination thereof, the qualified
project, which may contain such terms as are determined to be desirable by the
governing body of the municipality, including the payment of reasonable
interest and other financing costs for the qualified project. Any such
reimbursements may be secured by a pledge of, and be payable from, any money
pledged pursuant to NRS 271B.070 and received by
the municipality with respect to the district. If such an agreement is entered
into, the agreement must provide for the payment to the lead participant of the
money pledged pursuant to NRS 271B.070 and
received by the municipality not later than 15 days after the date on which
such money is distributed to the municipality pursuant to NRS 271B.080. An agreement entered into pursuant to
this section is not subject to the limitations of subsection 1 of NRS 354.626 and may, at the option of the
governing body, be binding on the municipality beyond the fiscal year in which
it was made, only if the agreement pertains solely to one or more participants
in the qualified project.
2. No agreement entered into pursuant to
this section may be secured by or payable from the general fund of the
municipality, the power of the municipality to levy ad valorem property taxes,
or any source other than any money pledged pursuant to NRS
271B.070 and received by the municipality with respect to the district, or
any combination thereof. No bond, note or other agreement issued or entered
into pursuant to this section may ever become a general obligation of the
municipality or a charge against its general credit or taxing powers, nor may
any such bond, note or other agreement become a debt of the municipality for
purposes of any limitation on indebtedness.
3. Any agreement entered pursuant to this
section must automatically terminate on or before the end of the fiscal year in
which the 20th anniversary of the adoption of the ordinance creating the
district occurs.
(Added to NRS by 2014, 28th Special Session, 26)
NRS 271B.100 Preparation of annual reports and submittal to Legislature.
[Effective through June 30, 2036.] On
or before September 1 of each year, the governing body of a municipality that
adopts an ordinance pursuant to NRS 271B.070 shall
prepare and submit to the Director of the Legislative Counsel Bureau for
submission to the Legislature, or to the Legislative Commission when the
Legislature is not in regular session, an annual report containing:
1. A statement of the status of the
qualified project located or expected to be located in the district, and of any
changes in that status since the last annual report.
2. An assessment of the financial impact
of the district on the provision of local governmental services, including,
without limitation, services for police protection and fire protection.
(Added to NRS by 2014, 28th Special Session, 27)
NRS 271B.110 Agreement with owner of property interest within district to
defray cost of local governmental services. [Effective through June 30, 2036.] The governing body of a municipality may enter
into an agreement with one or more of the owners of any interest in property
within a district, pursuant to which that owner would agree to make payments to
the municipality or to another local government that provides services in the
district, or to both, to defray, in whole or in part, the cost of local
governmental services during the term of the use of any money pledged pursuant
to NRS 271B.070. Such an agreement must specify
the amount to be paid by the owner of the property interest, which may be
stated as a specified amount per year or as an amount based upon any formula
upon which the municipality and owner agree.
(Added to NRS by 2014, 28th Special Session, 27)
NRS 271B.120 Independent auditing of certain claims; additional restrictions
on financing or reimbursement. [Effective through June 30, 2036.] The governing body of a municipality:
1. Shall require the review of each claim
submitted pursuant to any contract or other agreement made with the governing
body to provide any financing or reimbursement pursuant to NRS 271B.090, by an independent auditor.
2. Shall not provide any financing or
reimbursement pursuant to NRS 271B.090 from the
proceeds of the taxes described in subsection 2 of NRS
271B.070, if the governing body obtains an opinion from independent bond
counsel stating that the applicability of this subsection would impair an
existing contract for the sale of bonds that were issued before September 11,
2014.
(Added to NRS by 2014, 28th Special Session, 27)
