- Assembly Bill No. 616-Committee On Government Affairs
CHAPTER
496
- AN ACT relating to taxation; creating the Tahoe-Douglas Visitor's Authority; imposing a separate tax on lodging within the Tahoe Township in Douglas County; excluding that area from the operation of the Douglas County Lodgers Tax Law; making various changes to the Douglas County Lodgers Tax Law; and providing other matters properly relating thereto.
[Approved July 16, 1997]
- THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. This act may be cited as the Tahoe-Douglas Visitor's Authority Act.
Sec. 2. The legislature hereby finds and declares that:
1. The necessity for this act results from:
(a) The declining revenues generated by tourism in the Tahoe Township of Douglas County;
(b) The geographical location of the township on the border of the densely populated State of California;
(c) The natural attractions of the township and its availability to tourists; and
(d) The atypical financial problems of the township resulting from the foregoing and other singular factors.
2. A general law cannot be made applicable to the purposes, objects, powers, rights, privileges, immunities, liabilities, duties and disabilities provided in this act because of the number of atypical factors and special conditions relating thereto.
3. The powers, rights, privileges, immunities, liabilities, duties and disabilities provided in this act comply in all respects with any requirement or limitation pertaining thereto and imposed by any constitutional provisions.
Sec. 3. Except as otherwise provided in this act or unless the context otherwise requires, terms used or referred to in this act have the meanings ascribed to them in the Local Government Securities Law, but the definitions in sections 4 to 18, inclusive, of this act, unless the context otherwise requires, govern the construction of this act and of the local Government Securities Law as applied to the township.
Sec. 4. "Authority" means the Tahoe-Douglas Visitor's Authority.
Sec. 5. "County" or "municipality" means Douglas County.
Sec. 6. "Governing body" means the board of county commissioners of Douglas County.
Sec. 7. "Gross taxable rent" means the total amount of rent paid for lodging, including any associated charges that are normally included in the rent.
Sec. 8. "Lodging" means the transaction of furnishing rooms or other accommodations by a vendor to a vendee who for a rent uses, possesses or has the right to use or possess any room or rooms or other units of accommodations in or at taxable premises.
Sec. 9. "Lodgings" means the rooms or other accommodations furnished by a vendor to a vendee by the taxable service of lodging.
Sec. 10. "Municipal" pertains to the county.
Sec. 11. "Occupancy tax" means the tax on lodging imposed by this act.
Sec. 12. "Pledged revenues" means the money designated by the governing body on behalf and in the name of the municipality in any bond ordinance or other proceeding pertaining to the issuance of municipal securities relating to a project which is derived by a municipality from any proceeds of any municipal occupancy tax levied under the Douglas County Lodgers Tax Law.
Sec. 13. "Property" means real property, personal property, mixed property or any other property or combination thereof.
Sec. 14. "Rent" means the consideration received by a vendor in money, credits, property or other consideration valued in money for lodgings subject to an occupancy tax authorized in this act.
Sec. 15. "Taxable premises" means any:
1. Hotel;
2. Motel;
3. Apartment;
4. Time-share project, except when an owner of a unit in the time-share project who has a right to use or occupy the unit is occupying the unit pursuant to a time-share instrument as defined in NRS 119A.150;
5. Apartment hotel;
6. Vacation trailer park;
7. Campground;
8. Park for recreational vehicles; or
9. Other establishment that rents rooms or spaces to temporary or transient guests.
Sec. 16. "Township" means the portion of Douglas County lying within the Tahoe Township, as the boundaries of that township existed on July 1, 1997.
Sec. 17. "Vendee" means a natural person to whom lodgings are furnished in the performance of the taxable service of lodging.
Sec. 18. "Vendor" means a person furnishing lodgings in the performance of the taxable service of lodging.
Sec. 19. 1. An occupancy tax of 1 percent is hereby imposed on vendors furnishing lodgings in the township. The governing body shall administer the tax.
2. Every vendor who furnishes any lodgings within the township is exercising a taxable privilege.
3. A vendor is not exempt from the occupancy tax because the taxable premises are at any time located in a political subdivision other than the municipality.
Sec. 20. 1. The Tahoe-Douglas Visitor's Authority, consisting of five members, is hereby created.
2. The authority consists of:
(a) One member appointed by the board of county commissioners from among their number; and
(b) Four members who are representatives of the association of gaming establishments whose members collectively paid the largest amount of license fees to the state pursuant to NRS 463.370 in the county in the preceding year, chosen by the board from a list of nominees submitted by the association. If there is no such association, the four members so appointed must be representatives of gaming licensees.
Each member of the authority must be a resident of the county.
3. The terms of members appointed pursuant to paragraph (b) of subsection 1 are 4 years. Each member appointed pursuant to paragraph (b) of subsection 1 may succeed himself only twice.
4. If a member ceases to be engaged in the business or occupation which he was appointed to represent, he ceases to be a member, and another person engaged in that business or occupation must be appointed for the unexpired term.
Sec. 21. 1. The municipality may provide that the occupancy tax does not apply:
(a) If a vendee:
(1) Has been a permanent resident of the taxable premises for a period of a least 28 consecutive days; or
(2) Enters into or has entered into a written agreement for lodgings at the taxable premises for a period of at least 28 consecutive days;
(b) If the rent paid by a vendee is less than $2 a day;
(c) To lodgings at religious, charitable, educational or philanthropic institutions, including accommodations at summer camps operated by such institutions;
(d) To clinics, hospitals or other medical facilities;
(e) To privately owned and operated convalescent homes or homes for the aged, infirm, indigent or chronically ill;
(f) If the taxable premises does not have at least three rooms or three other units of accommodations for lodging; or
(g) To all or any combination of events or conditions provided in paragraphs (a) to (f), inclusive.
2. The occupancy tax does not apply to:
(a) Lodgings at institutions of the Federal Government, the state, the municipality or any other public body.
(b) The rental of any lodgings by an employee of the Federal Government, the state or a political subdivision of the state, if the transaction is conducted directly with the governmental entity pursuant to a governmental credit card or a contract, purchase order or similar document executed or authorized by an appropriate official of the governmental entity.
Sec. 22. 1. Every vendor providing lodging in the township shall collect the tax and shall act as a trustee therefor.
2. Every vendor providing lodging in the township shall remit the proceeds of the occupancy tax to the governing body.
3. The tax must be charged separately from the rent fixed by the vendor for the lodgings.
Sec. 23. 1. The governing body may provide by ordinance that:
(a) The payment of the occupancy tax pertaining to any lodgings is secured by a lien on the real property at the taxable premises where the lodgings are located;
(b) Any such lien securing the payment of a delinquent occupancy tax may be enforced in the same manner as liens for general taxes ad valorem on real property; and
(c) A vendor is liable for the payment of the proceeds of any occupancy tax which pertains to the vendor's taxable premises and which the vendor failed to remit to the municipality, because of his failure to collect the tax or otherwise.
2. The governing body may provide for a civil penalty for any such failure in an amount of not more than 10 percent of the amount which was not remitted to the municipality but not less than $10.
3. The municipality may bring an action in the district court for the collection of any amounts due, including, without limitation, penalties thereon, interest on the unpaid principal at a rate not exceeding 1 percent per month, the costs of collection and reasonable attorney's fees incurred in connection therewith, except for any tax being collected by the enforcement of a lien pursuant to subsection 1.
Sec. 24. The governing body may provide by ordinance for penalties not to exceed 90 days' imprisonment or a $300 fine for a failure by any person to pay the tax, to remit the proceeds thereof to the municipality or to account properly for any lodging and the tax proceeds pertaining thereto.
Sec. 25. The governing body may provide by ordinance, except as limited by or otherwise provided in this act:
1. A procedure for licensing each vendor and for refusing to license a vendor after an opportunity has been given to the vendor for a public hearing by the governing body concerning the issuance of the license;
2. The times, place and method for the payment of the tax to the municipality, the account and other records to be maintained in connection therewith, a procedure for making refunds and resolving disputes relating to the tax, including exemptions pertaining thereto, the preservation and destruction of records and their inspection and investigation, and, subject to the provisions of subsection 1 of section 23 of this act, a procedure of liens and sales to satisfy such liens; and
3. Other rights, privileges, powers and immunities and other details relating to any licenses, the collection of the occupancy tax and the remittance of the proceeds thereof to the municipality.
Sec. 26. 1. A portion of the proceeds of the occupancy tax, not to exceed 1 percent of the amount collected, may be used to collect and administer the tax.
2. The remaining proceeds of the occupancy tax must be remitted to the authority and used exclusively for:
(a) The advertising, publicizing and promotion of tourism and recreation; and
(b) The planning, construction and operation of a convention center in the township.
Sec. 27. Section 19 of this act is hereby amended to read as follows:
- Sec. 19. 1. An occupancy tax of [1] 8 percent is hereby imposed on vendors furnishing lodgings in the township. The governing body shall administer the tax.
- 2. Every vendor who furnishes any lodgings within the township is exercising a taxable privilege.
- 3. A vendor is not exempt from the occupancy tax because the taxable premises are at any time located in a political subdivision other than the municipality.
Sec. 28. Section 26 of this act is hereby amended to read as follows:
- Sec. 26. 1. From the proceeds of the occupancy tax paid by vendors located in the township, the governing body shall:
- (a) Pay the principal of, interest on and any prior redemption premiums due in connection with any securities issued by the county pursuant to the Douglas County Lodgers Tax Law which were secured with the proceeds of the occupancy tax collected pursuant to the Douglas County Lodgers Tax Law.
- (b) After allocation of those proceeds pursuant to paragraph (a), pay any obligations incurred before July 1, 1997, pursuant to any contractual agreements between the governing body and the Lake Tahoe Visitor's Authority.
- 2. A portion of the proceeds of the occupancy tax [,] paid by vendors located in the township, not to exceed 1 percent of the amount collected, may be used to collect and administer the tax.
- [2. The remaining]
- 3. One-eighth of the proceeds of the occupancy tax paid by vendors located in the township must be remitted to the authority . [and]
- 4. After allocation pursuant to subsections 1, 2 and 3 of the proceeds of the occupancy tax paid by vendors located in the township, the remaining proceeds must be allocated as follows:
- (a) Except as otherwise provided in paragraph (b), for each fiscal year beginning on or after July 1, 1999, 50 percent of those proceeds must be retained by the governing body for expenditure in any manner authorized for the expenditure of the proceeds of a tax imposed pursuant to the Douglas County Lodgers Tax Law and 50 percent of those proceeds must be remitted to the authority.
- (b) Except as otherwise provided in paragraph (c), for each fiscal year beginning on or after July 1, 2000, the governing body shall revise the allocation required pursuant to this subsection in such a manner that the amount of those proceeds retained by the governing body is reduced, and the amount remitted to the authority is increased, from the amounts for the prior fiscal year by not less than 2 percent and not more than 5 percent of the total amount of the proceeds allocated pursuant to this subsection, until the amount retained by the governing body for each fiscal year equals 35 percent of those proceeds and the amount remitted to the authority for each fiscal year equals 65 percent of those proceeds.
- (c) The governing body may, for not more than one of the fiscal years beginning on or after July 1, 2000, elect not to make a revision otherwise required pursuant to paragraph (b).
- 5. The proceeds remitted to the authority pursuant to subsections 3 and 4 must be used exclusively for:
- (a) The advertising, publicizing and promotion of tourism and recreation; and
- (b) The planning, construction and operation of a convention center in the township.
Sec. 29. Section 13 of the Douglas County Lodgers Tax Law, being chapter 639, Statutes of Nevada 1969, at page 1251, is hereby amended to read as follows:
- Sec. 13. "Gross taxable rent" defined. "Gross taxable rent" means the total amount of rent paid for lodging [.] , including any associated charges that are normally included in the rent.
Sec. 30. Section 23 of the Douglas County Lodgers Tax Law, being chapter 639, Statutes of Nevada 1969, at page 1252, is hereby amended to read as follows:
- Sec. 23. "Recreational facilities" defined. "Recreational facilities" means beach facilities, wharves, docking accommodations, marinas, jetties, breakwaters, shelters, other boating facilities, playgrounds, swimming pools, golf courses, tennis courts, squash courts, other courts, ball fields, other athletic fields, tracks, racecourses, playgrounds, parks, including without limitation graded, regraded, [gravelled,] graveled, surfaced, drained, cultivated and otherwise improved sites therefor, greenhouses, bandstand and orchestra facilities, golf house facilities, club houses, horseshoe pits, ball fields, swings, slides, other playground equipment, stadiums, fieldhouses, rinks, gymnasiums, appurtenant shower, locker and other bathhouse facilities, amusement halls, dance halls, auditoriums, arenas, theaters, concert halls, museums, exposition buildings, convention centers, conference grounds, hiking, riding and similar trails, aviaries, aquariums, zoological gardens, biological gardens and vivariums , [(] or any combination thereof , [)] of the county.
Sec. 31. Section 25 of the Douglas County Lodgers Tax Law, being chapter 639, Statutes of Nevada 1969, at page 1253, is hereby amended to read as follows:
- Sec. 25. "Taxable premises" defined. "Taxable premises" means [a hotel, apartment, apartment hotel, apartment house, lodge, lodging house, rooming house, guest house, motor hotel, guest house, guest ranch, ranch resort, guest resort, mobile home, motor court, auto court, auto camp, trailer court, trailer camp, trailer park, tourist camp, cabin or other premises used for lodging.] any:
- 1. Hotel;
- 2. Motel;
- 3. Apartment;
- 4. Time-share project, except when an owner of a unit in the time-share project who has a right to use or occupy the unit is occupying the unit pursuant to a time-share instrument as defined in NRS 119A.150;
- 5. Apartment hotel;
- 6. Vacation trailer park;
- 7. Campground;
- 8. Park for recreational vehicles; or
- 9. Other establishment that rents rooms or spaces to temporary or transient guests.
Sec. 32. Section 28 of the Douglas County Lodgers Tax Law, being chapter 639, Statutes of Nevada 1969, as amended by chapter 237, Statutes of Nevada 1987, at page 521, is hereby amended to read as follows:
- Sec. 28. Authorization of tax.
- 1. The municipality may impose an occupancy tax for revenues by ordinance on lodging within the municipality.
- 2. The occupancy tax shall not exceed 7 percent of the gross taxable rent. Any amount in excess of 5 percent must be used exclusively for advertising, publicizing and promoting tourism and the recreational facilities . [for the attraction of tourists and vacationers to the county.]
- 3. Every vendor who is furnishing any lodgings within the municipality is exercising a taxable privilege.
- 4. A vendor is not exempt from the occupancy tax because the taxable premises are at any time located in [an incorporated city, incorporated town or other public body,] a political subdivision other than the municipality.
Sec. 33. Section 28 of the Douglas County Lodgers Tax Law, being chapter 639, Statutes of Nevada 1969, as last amended by section 32 of this act, is hereby amended to read as follows:
- Sec. 28. Authorization of tax.
- 1. The municipality may impose an occupancy tax for revenues by ordinance on lodging within the [municipality.] portion of the county lying outside the Tahoe Township, as the boundaries of that township existed on July 1, 1997.
- 2. The occupancy tax shall not exceed [7] 8 percent of the gross taxable rent. Any amount in excess of 5 percent must be used exclusively for advertising, publicizing and promoting tourism and the recreational facilities.
- 3. Every vendor who is furnishing any lodgings within the municipality is exercising a taxable privilege.
- 4. A vendor is not exempt from the occupancy tax because the taxable premises are at any time located in a political subdivision other than the municipality.
Sec. 34. Section 29 of the Douglas County Lodgers Tax Law, being chapter 639, Statutes of Nevada 1969, at page 1253, is hereby amended to read as follows:
- Sec. 29. Exemptions.
- 1. The municipality may provide that the occupancy tax [shall] does not apply:
- (a) If a vendee:
- (1) Has been a permanent resident of the taxable premises for a period of at least 28 consecutive days; or
- (2) Enters into or has entered into a written agreement for lodgings at the taxable premises for a period of at least 28 consecutive days; [or]
- (b) If the rent paid by a vendee is less than $2 a day;
- (c) To [lodging accommodations] lodgings at religious, charitable, educational [,] or philanthropic institutions, including without limitation such accommodations at summer camps operated by such institutions;
- (d) To clinics, hospitals or other medical facilities;
- (e) To privately owned and operated convalescent homes or homes for the aged, infirm, indigent or chronically ill;
- (f) If the taxable premises does not have at least three rooms or three other units of accommodations for lodging; or
- (g) To all or any combination of events or conditions provided in paragraphs (a) to (f), inclusive.
- 2. The occupancy tax [shall] does not apply to [lodgings] :
- (a) Lodgings at institutions of the Federal Government, the state, the municipality or any other public body.
- (b) The rental of any lodgings by an employee of the Federal Government, the state or a political subdivision of the state, if the transaction is conducted directly with the governmental entity pursuant to a governmental credit card or a contract, purchase order or similar document executed or authorized by an appropriate official of the governmental entity.
Sec. 35. Section 34 of the Douglas County Lodgers Tax Law, being chapter 639, Statutes of Nevada 1969, as last amended by chapter 237, Statutes of Nevada 1987, at page 522, is hereby amended to read as follows:
- Sec. 34. Use of tax proceeds.
- 1. Subject to the provisions of sections 28 and 35 of this act, the municipality may use the proceeds of its occupancy tax, if any, at any time or from time to time, as the governing body may determine, but subject to any contractual limitations pertaining to such tax proceeds, to defray costs of:
- (a) The collection and other administration of the occupancy tax;
- (b) The planning, establishment, acquisition, improvement, equipment, repair, operation and maintenance, or any combination thereof, of:
- (1) Municipal airport facilities;
- (2) Municipal recreational facilities; or
- (3) Combined facilities;
- (c) The acquisition, improvement, repair, operation, maintenance and disposal, or any combination thereof, of property for such airport facilities, such recreational facilities, or such combined facilities or appurtenant or incidental thereto, including without limitation sites, buildings, fixtures, other structures, other improvements and equipment therefor;
- (d) Reasonably advertising, publicizing and promoting tourism and the recreational facilities ; [for the attraction of tourists and vacationists to the county;] or
- (e) All or any combination of the foregoing purposes or transactions stated in this subsection.
- 2. Except as may be otherwise provided in any ordinance or other proceedings authorizing the issuance of or otherwise pertaining to outstanding municipal airport bonds or other outstanding municipal airport securities, the proceeds of the municipal occupancy tax may be held in a reserve account or reserve accounts as the governing body may determine for use subsequently for any one, all or any combination of the purposes or transactions stated in subsection 1.
Sec. 36. 1. From the proceeds of the occupancy tax imposed pursuant to the Douglas County Lodgers Tax Law paid by vendors located in the Tahoe Township of Douglas County, the board of county commissioners of Douglas County shall remit to the Tahoe-Douglas Visitor's Authority, for the fiscal year beginning on July 1, 1998, not less than the same percentage of those proceeds as it remits to the Tahoe-Douglas Visitor's Authority for the fiscal year beginning on July 1, 1997.
2. As used in this section, "vendor" has the meaning ascribed to it in section 27 of the Douglas County Lodgers Tax Law.
Sec. 37. 1. This section and sections 1 to 18, inclusive, 20, 21, 23 to 26, inclusive, and 36 of this act become effective upon passage and approval.
2. Sections 19, 22, 29 to 32, inclusive, 34 and 35 of this act become effective on October 1, 1997.
3. Sections 27, 28 and 33 of this act become effective on July 1, 1999.
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