AB224

Assembly Bill No. 224–Committee on Government Affairs

CHAPTER..........

AN ACT relating to the Department of Cultural Affairs; revising provisions relating to the duties, governance and structure of the Nevada Arts Council; and providing other matters properly relating thereto.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. Chapter 233C of NRS is hereby amended by adding

thereto the provisions set forth as sections 2 to 8, inclusive, of this

act.

Sec. 2. “Administrator” means the Administrator of the

Division.

Sec. 3. “Board” means the Board of the Division created

pursuant to NRS 233C.030.

Sec. 4. “Commission” means the Commission for Cultural

Affairs created pursuant to NRS 233C.200.

Sec. 5. “Department” means the Department of Cultural

Affairs.

Sec. 6. “Division” means the Nevada Arts Council.

Sec. 7. 1. The Nevada Arts Council is hereby created as a

Division of the Department.

2. The Division is the sole and official agency of this state to

receive and disburse any money made available to this state by the

National Endowment for the Arts pursuant to 20 U.S.C. § 954.

3. The Division:

(a) Shall cooperate with the State Public Works Board and the

Buildings and Grounds Division of the Department of

Administration to plan the potential purchase and placement of

works of art inside or on the grounds surrounding a state

building.

(b) May request and must receive from any department,

division, board, bureau, commission or agency of this state such

assistance and data, as feasible and available, as will enable the

Division to properly carry out the purposes of this chapter.

Sec. 8. 1. The Administrator is appointed by the Director

with special reference to the Administrator’s training, experience,

capacity and interest in the arts.

2. The Administrator must have:

(a) A degree in the arts, a field related to the arts or public

administration; and

(b) Completed course work and accumulated experience in at

least one of the arts with at least 5 years of progressively

responsible work experience in the administration of arts and

cultural programming, at least 2 years of which must have been in

a supervisory capacity.

3. The Administrator may employ, within the limits of

legislative appropriations, such staff as is necessary to the

performance of his duties.

4. The Administrator is responsible to the Director for the

general administration of the Division and for the submission of

its budgets, subject to administrative supervision by the Director.

5. The Administrator shall direct the work of the Division,

administer the Division and perform such other duties as the

Director may, from time to time, prescribe.

6. To carry out the provisions of this chapter and within the

limit of money available to him, the Administrator may enter into

contracts and other lawful agreements with:

(a) Natural persons, organizations and institutions for services

furthering the mission and goals of the Division and the Board;

and

(b) Local, regional and national associations for cooperative

endeavors furthering the mission and goals of the programs of

the Division.

7. The Administrator may accept gifts, contributions and

bequests of unrestricted money from natural persons,

foundations, corporations and other organizations and

institutions to further the mission and goals of the programs of

the Division.

8. As used in this section, “Director” means the Director of

the Department.

Sec. 9. NRS 233C.010 is hereby amended to read as follows:

233C.010 As used in this chapter, unless the context otherwise

requires, [“Council” means the State Arts Council.] the words and

terms defined in sections 2 to 6, inclusive, of this act have the

meanings ascribed to them in those sections.

Sec. 10. NRS 233C.020 is hereby amended to read as follows:

233C.020 The Legislature hereby determines and declares that:

1. The giving of further recognition to the arts as a vital aspect

of our culture and heritage is an essential means of expanding the

educational programs and promoting the general welfare of the

people of the State of Nevada.

2. [With increasing leisure time, the practice and] The practice,

enjoyment and impact of the arts are of [growing importance.

3. Many citizens of the] increasing importance to the

economic vitality of communities in this state.

3. Residents of this state desire increased opportunity to view,

enjoy or participate in the performing literary, visual and [fine] folk

arts.

4. To this end, it is the policy of the State of Nevada to join

with institutions and professional organizations concerned with the

arts to insure that the role of the arts in the life of the communities

of the State will continue to grow and play an ever increasing part in

the cultural development and educational experience of the

[citizens] residents of the State of Nevada.

Sec. 11. NRS 233C.030 is hereby amended to read as follows:

233C.030 The [State Arts Council,] Board of the Division,

consisting of nine members appointed by the Governor, is hereby

created.

Sec. 12. NRS 233C.040 is hereby amended to read as follows:

233C.040 1. The Governor shall appoint the members of the

[Council] Board from among [citizens of Nevada] residents of this

state who are known for their knowledge of and experience in the

performing literary, visual and [fine] folk arts.

2. After the initial terms, [members shall serve terms of] the

term of each member is 4 years, except when appointed to fill

unexpired terms.

3. A member may be removed by the Governor for three

unexcused absences from [Council meetings.] meetings of the

Board.

Sec. 13. NRS 233C.050 is hereby amended to read as follows:

233C.050 1. Each member of the [Council] Board is entitled

to receive a salary of not more than $80, as fixed by the [Council,]

Board, for each day or portion thereof during which he is in

attendance at a regularly called meeting of the [Council.

2. While engaged] Board.

2. If provided for in the [business] budget of the [Council,]

Division, each member and employee of the [Council] Board,

while engaged in the business of the Board, is entitled to receive

the per diem allowance and travel expenses provided for state

officers and employees generally.

Sec. 14. NRS 233C.060 is hereby amended to read as follows:

233C.060 1. [Meetings] Except as otherwise provided in this

subsection, meetings of the [Council] Board may be held [annually

or] twice in each calendar year. If provided for in the budget of

the Division, meetings of the Board may be held more frequently

than twice in each calendar year at the discretion of the Chairman

of the [Council.] Board.

2. A majority of the members of the [Council] Board

constitutes a quorum for the transaction of business.

3. Each member of the [Council] Board has one vote to further

the objectives of the [Council.] Board.

Sec. 15. NRS 233C.070 is hereby amended to read as follows:

233C.070 1. The [Council] Board shall elect from its

membership a Chairman, a Vice Chairman and a

[Secretary-Treasurer.

2. All Council officers shall serve for a term of] Treasurer to

serve as officers of the Board.

2. The Administrator shall act as the nonvoting recording

Secretary of the Board.

3. The term of each officer of the Board, other than the

Administrator, is 2 years and any vacancies that occur in those

[positions shall] offices must be filled by election by the members

of the [Council] Board for the remainder of the unexpired term.

4. No member of the Board may serve more than two

consecutive terms as an officer of the Board.

Sec. 16. NRS 233C.090 is hereby amended to read as follows:

233C.090 1. The [Council shall stimulate] Board shall:

(a) Stimulate throughout the State the presentation of the

performing literary, visual and [fine] folk arts and encourage

artistic expression essential for the well-being of the arts, and

[shall] make, before September 1 of each even-numbered year, a

report covering the biennium ending June 30 of that year to the

Governor and the Legislature on its progress in this regard.

[2. The Council may:

(a) Hold public and private hearings;

(b) Enter into contracts, within the limit of money available

therefor, with:

(1) Natural persons, organizations and institutions for

services furthering the educational objectives of the Council; and

(2) Local and regional associations for cooperative endeavors

furthering the educational objectives of the Council’s programs;

money from natural persons, foundations, corporations and other

organizations and institutions to further the educational objectives

of the Council’s programs;

(d) Make any agreement appropriate to carry out the purposes of

this chapter; and

(e) Perform any acts necessary to carry out NRS 233C.096.

3. The Council is the sole and official agency of this state to

receive and disburse any money made available to the State by the

National Endowment for the Arts pursuant to 20 U.S.C. § 954.

4. The Council may request and must receive from any

department, division, board, bureau, commission or agency of the

State such assistance and data, as feasible and available, as will

enable the Council properly to carry out the purposes of this

chapter.

5. The Council shall cooperate with the State Public Works

Board and the Buildings and Grounds Division of the Department

of Administration to plan the potential purchase and placement of

works of art inside or on the grounds surrounding a state building.]

(b) Serve as an advocate of the arts and promote such policies

and viewpoints as in the opinion of the Board would benefit the

arts throughout this state.

and whose activities are statewide in scope to develop and provide

to the Division recommendations for:

(1) Strategic plans;

(2) The mission of and goals for the Division; and

(3) Cultural policies and priorities for the State of Nevada.

(d) Hold public hearings to receive public comment and to

discuss issues relevant to the carrying out of the powers and

duties of the Board.

(e) Assist the Division in the performance of acts necessary to

carry out the provisions of NRS 233C.096.

(f) In connection with the functions of the Division, approve

grant applications and grant allocations within the limits of

legislative appropriations.

(g) In all other matters pertaining to the Division, serve in an

advisory capacity to the Department and to the Division.

2. The Chairman of the Board shall serve as, or shall appoint

another member of the Board to serve as, a member of the

Commission, as required pursuant to paragraph (b) of subsection

1 of NRS 233C.200.

3. The Board may adopt such regulations as it deems

necessary to carry out its powers and duties.

Sec. 17. NRS 233C.092 is hereby amended to read as follows:

233C.092 The [Council] Division shall periodically cause an

examination to be made of the physical condition of the works of

art acquired for inclusion in public works to determine which works

of art need repair, restoration or replacement and shall report this

information to the Legislature.

Sec. 18. NRS 233C.094 is hereby amended to read as follows:

233C.094 1. The Account for License Plates for the Support

of the Education of Children in the Arts is hereby created in the

State General Fund. The [Director of the Council] Division shall

administer the Account.

2. The money in the Account does not lapse to the State

General Fund at the end of any fiscal year.

3. The money in the Account must be used only for the support

of programs for the education of children in the arts and must not

be used to replace or supplant funding available from other sources.

Sec. 19. NRS 233C.095 is hereby amended to read as follows:

233C.095 1. The Nevada Cultural Fund is hereby created as a

special revenue fund. The purposes of the Fund are to:

(a) Ensure a stable and healthy cultural climate in this state;

(b) Advance and promote a meaningful role of the arts and

humanities in the lives of individual persons, families and

communities throughout this state; and

sources to carry out the provisions of paragraphs (a) and (b).

The money in the Fund must be used to augment and must not be

used to replace or supplant any legislative appropriations to the

[Council.] Division.

2. Except as otherwise provided in subsection 4, the Fund is a

continuing fund without reversion. The money in the Fund must be

invested as the money in other state funds is invested. The interest

and income earned on the money in the Fund, after deducting any

applicable charges, must be credited to the Fund. Claims against the

Fund must be paid as other claims against the State are paid.

3. The [Council] Division may accept gifts, grants and

donations from any source for deposit in the Fund.

4. The State Board of Examiners may, upon making a

determination that any portion of any amount appropriated by the

Legislature for deposit in the Fund is necessary to meet existing or

future obligations of the State, recommend to the Interim Finance

Committee that the amount so needed be transferred from the Fund

to the State General Fund. Upon approval of the Interim Finance

Committee, the money may be so transferred.

Sec. 20. NRS 233C.096 is hereby amended to read as follows:

233C.096 The [Council] Division shall administer the Nevada

Cultural Fund and may expend only the amount of any gifts, grants,

donations, interest and income credited to the Fund to:

1. Provide resources for developing the artistic, administrative

and financial stability of cultural organizations that serve and enrich

communities throughout this state regarding the arts and

humanities;

2. Support programs and projects that provide residents of and

visitors to this state with access to a broad range of activities

regarding the arts and humanities;

3. Encourage cultural organizations to reduce their deficits, to

establish cash reserves and endowments and to engage in capital

projects that will aid in their stabilization; and

4. Support initiatives and organizations that encourage access

to, the awareness of and education in the arts.

Sec. 21. NRS 233C.097 is hereby amended to read as follows:

233C.097 The [Council] Division shall:

1. Adopt regulations establishing criteria and standards for the

eligibility for and use of any funding to be provided by the

[Council] Division pursuant to NRS 233C.096.

2. Report to each regular session of the Legislature:

(a) The amount of money expended from the Nevada Cultural

Fund;

(b) The specific purposes for which the money was expended;

and

Sec. 22. NRS 233C.200 is hereby amended to read as follows:

233C.200 1. The Commission for Cultural Affairs is hereby

created. The Commission is advisory to the Department [of Cultural

Affairs] and consists of:

(a) The Chairman of the Nevada Humanities Committee or a

member of the Committee designated by him;

(b) The Chairman of the [State Arts Council] Board or a

member of the [Council] Board designated by him;

member of the Board designated by him;

(d) A member of the Board of Museums and History, to be

appointed by the Governor;

(e) One representative of the general public who has a working

knowledge of the promotion of tourism in Nevada, to be appointed

by the Governor; and

(f) The Chairman of the State Council on Libraries and Literacy

or a member of the Council designated by him.

2. The Commission shall:

(a) Elect from its membership a Chairman who shall serve for a

term of 2 years. A vacancy occurring in this position must be filled

by election of the members of the Commission for the remainder of

the unexpired term.

(b) Prescribe rules for its own management and government.

necessary, and may, within the limitations of its budget, hold

special meetings at the call of its Chairman.

3. Three members of the Commission constitute a quorum, but

a majority of the members of the Commission is necessary to

consider the particular business before it and to exercise the power

conferred on the Commission.

4. The members of the Commission are not entitled to be paid

a salary or receive reimbursement for per diem or travel expenses.

5. The Commission may use the money derived from interest

earned on the money in the Fund for the Preservation and

Promotion of Cultural Resources created pursuant to NRS

233C.230 to pay for administrative services required by the

Commission.

Sec. 23. NRS 233C.210 is hereby amended to read as follows:

233C.210 1. The Commission [for Cultural Affairs] shall

establish within 1 year after its formation, and revise every 2 years

thereafter, a 10‑year plan to:

(a) Preserve and promote Nevada’s cultural resources; and

(b) Develop a network of cultural centers and activities in this

state.

2. The plan must include:

(a) A description of the means by which a statewide network of

cultural centers and activities is to be developed;

(b) A program for awarding financial assistance to pay the

actual expenses of preserving or protecting historical buildings to

be used to develop a network of cultural centers and activities; and

3. The plan must be submitted to:

(a) The Governor;

(b) The Legislative Commission; and

Sec. 24. NRS 233C.220 is hereby amended to read as follows:

233C.220 The Commission [for Cultural Affairs] may, in

establishing the program for awarding financial assistance:

1. Award financial assistance to governmental entities and

nonprofit corporations formed for educational or charitable

purposes, including, without limitation, the preservation or

promotion of cultural resources.

2. Establish the conditions an applicant must satisfy to receive

an award of financial assistance. Financial assistance may only be

awarded for the actual expenses of preserving or protecting

historical buildings to be used to develop a network of cultural

centers and activities.

3. Specify the criteria by which proposed projects will be

judged. The criteria must include, but not be limited to, a

consideration of the degree to which a proposed project:

(a) May become a recurring event without the necessity of

future state financial support;

(b) Will be accessible to the community;

(d) Will promote or preserve some historic or prehistoric feature

of Nevada;

(e) Will have multiple uses for many types of cultural

organizations;

(f) Will supplement training in the classroom in the arts and the

humanities; and

(g) Incorporates the various disciplines directly associated with

cultural resources.

4. Give priority to projects of statewide historical, prehistorical

or cultural significance which demonstrate an ability to raise and

sustain required amounts of financial support from sources other

than the State of Nevada, including donations of goods and

services. The ability of a project to raise and sustain support must

be weighed against the relative means and abilities of the

applicants.

Sec. 25. NRS 233C.225 is hereby amended to read as follows:

233C.225 1. The Commission [for Cultural Affairs] shall

determine annually the total amount of financial assistance it will

grant from the proceeds of bonds issued pursuant to this section in

that calendar year pursuant to NRS 233C.200 to 233C.230,

inclusive. The Commission shall notify the State Board of

Examiners and the State Board of Finance of that amount. In no

case may the amount to be granted from the proceeds of such bonds

exceed $2,000,000 per year.

2. After receiving the notice given pursuant to subsection 1, the

State Board of Finance shall issue general obligation bonds of the

State of Nevada in the amount necessary to generate the amount to

be granted by the Commission from the proceeds of bonds issued

pursuant to this section and to pay the expenses related to the

issuance of the bonds. The expenses related to the issuance of

bonds pursuant to this section must be paid from the proceeds of the

bonds, and must not exceed 2 percent of the face amount of the

bonds sold. No public debt is created, within the meaning of

Section 3 of Article 9 of the Constitution of the State of Nevada,

until the issuance of the bonds.

3. The proceeds from the sale of the bonds authorized by this

section, after deducting the expenses relating to the issuance of the

bonds, must be deposited with the State Treasurer and credited to

the Fund for the Preservation and Promotion of Cultural Resources.

4. The provisions of the State Securities Law, contained in

chapter 349 of NRS, apply to the issuance of bonds pursuant to this

section.

5. The amount of financial assistance granted from the

proceeds of bonds issued pursuant to this section must not exceed

$20,000,000 in any 10‑year period. The total face amount of the

bonds issued pursuant to this section must not exceed the sum of:

(a) The amount of financial assistance granted pursuant to this

section; and

(b) The amount necessary to pay the expenses related to the

issuance of the bonds, which must not exceed 2 percent of the face

amount of the bonds sold.

Sec. 26. NRS 233C.230 is hereby amended to read as follows:

233C.230 1. There is hereby created in the State Treasury

the Fund for the Preservation and Promotion of Cultural Resources.

The Commission [for Cultural Affairs] is responsible for the

administration of the Fund. All money received and held by the

State Treasurer for that purpose must be deposited in the Fund.

The Commission shall account separately for money received from

the proceeds of bonds issued pursuant to NRS 233C.225.

2. Except as otherwise provided in subsection 5 of NRS

233C.200, the Commission may expend money in the Fund only

for

projects identified in the Commission’s plan to promote and

preserve the State’s cultural resources pursuant to NRS 233C.200 to

233C.230, inclusive. In addition to the amount of financial

assistance granted from the proceeds of bonds issued pursuant to

NRS 233C.225, the Commission may grant as financial assistance

not more than $750,000 each calendar year of the interest earned on

the deposit or investment of the money in the Fund.

3. The money in the Fund must be invested as the money in

other state funds is invested. All interest on the deposit or

investment of the money in the Fund must be credited to the Fund.

4. Claims against the Fund must be paid as other claims against

the State are paid.

Sec. 27. NRS 331.100 is hereby amended to read as follows:

331.100 The Chief has the following specific powers and

duties:

1. To keep all buildings, rooms, basements, floors, windows,

furniture and appurtenances clean, orderly and presentable as

befitting public property.

2. To keep all yards and grounds clean and presentable, with

proper attention to landscaping and horticulture.

3. Under the supervision of the State Fire Marshal, to make

arrangements for the installation and maintenance of water

sprinkler systems, fire extinguishers, fire hoses and fire hydrants,

and to take other fire prevention and suppression measures,

necessary and feasible, that may reduce the fire hazards in all

buildings under his control.

4. To make arrangements and provision for the maintenance of

the State’s water system supplying the State-owned buildings at

Carson City, with particular emphasis upon the care and

maintenance of water reservoirs, in order that a proper and adequate

supply of water be available to meet any emergency.

5. To make arrangements for the installation and maintenance

of water meters designed to measure accurately the quantity of

water obtained from sources not owned by the State.

6. To make arrangements for the installation and maintenance

of a lawn sprinkling system on the grounds adjoining the Capitol

Building at Carson City, or on any other State-owned grounds

where such installation is practical or necessary.

7. To investigate the feasibility, and economies resultant

therefrom, if any, of the installation of a central power meter, to

measure electrical energy used by the state buildings in the vicinity

of and including the Capitol Building at Carson City, assuming the

buildings were served with power as one unit.

8. To purchase, use and maintain such supplies and equipment

as are necessary for the care, maintenance and preservation of the

buildings and grounds under his supervision and control.

9. Subject to the provisions of chapter 426 of NRS regarding

the operation of vending stands in or on public buildings and

properties by blind persons, to install or remove vending machines

and vending stands in the buildings under his supervision and

control, and to have control of and be responsible for their

operation.

10. To cooperate with the [State] Nevada Arts Council and the

State Public Works Board to plan the potential purchase and

placement of works of art inside or on the grounds surrounding a

state building.

Sec. 28. NRS 341.211 is hereby amended to read as follows:

341.211 The Board shall:

1. Cooperate with other departments and agencies of the State

in their planning efforts.

2. Advise and cooperate with municipal, county and other local

planning commissions within the State to promote coordination

between the State and the local plans and developments.

3. Cooperate with the [State] Nevada Arts Council and the

Buildings and Grounds Division of the Department of

Administration to plan the potential purchase and placement of

works of art inside or on the grounds surrounding a state building.

Sec. 29. NRS 361.186 is hereby amended to read as follows:

361.186 1. A taxpayer may collect an admission fee for the

exhibition of fine art otherwise exempt from taxation pursuant to

NRS 361.068 if the taxpayer offers to residents of the State of

Nevada a discount of 50 percent from any admission fee charged to

nonresidents. The discounted admission fee for residents must be

offered at any time the exhibition is open to the public and

admission fees are being charged.

2. Except as otherwise provided in subsection 5, if a taxpayer

collects a fee for the exhibition of fine art otherwise exempt from

taxation pursuant to NRS 361.068, the exemption pertaining to that

fine art for the fiscal year must be reduced by the net revenue

derived by the taxpayer for that fiscal year. The exemption

pertaining to fine art for a particular fiscal year must not be reduced

below zero, regardless of the amount of the net revenue derived by

the taxpayer for that fiscal year.

3. A tax resulting from the operation of this section is due with

the tax otherwise due under the taxpayer’s first statement filed

pursuant to NRS 361.265 after the 15th day of the fourth month

after the end of the fiscal year in which the net revenue was

received or, if no such statement is required to be filed, under a

statement of the net revenue filed on or before the last day of the

fourth month after the end of that fiscal year.

4. A taxpayer who is required to pay a tax resulting from the

operation of this section may receive a credit against the tax for any

donations made by the taxpayer to the [State] Nevada Arts Council,

the Division of Museums and History Dedicated Trust Fund

established pursuant to NRS 381.0031, a museum that provides

exhibits specifically related to nature or a museum that provides

exhibits specifically related to children, if the taxpayer:

(a) Made the donation before the date that either statement

required pursuant to subsection 3 is due; and

(b) Provides to the county assessor documentation of the

donation at the time that he files the statement required pursuant to

subsection 3.

5. If a taxpayer qualifies for and avails himself of both of the

exemptions from taxation provided by NRS 361.068 and 374.291,

the reduction of the exemptions by the net revenue derived by the

taxpayer, as required pursuant to subsection 2 of this section and

subsection 2 of NRS 374.2911, must be carried out in such a

manner that the total net revenue derived by the taxpayer is first

applied to reduce the exemption provided pursuant to NRS

374.291. If the net revenue exceeds the amount of the exemption

provided pursuant to NRS 374.291, the remaining net revenue must

be applied to reduce the exemption provided pursuant to NRS

361.068. If the net revenue is less than or equal to the exemption

provided pursuant to NRS 374.291 for that fiscal year, the

exemption provided pursuant to NRS 361.068 must not be reduced.

6. For the purposes of this section:

(a) “Direct costs of owning and exhibiting the fine art” does not

include any allocation of the general and administrative expense of

a business or organization that conducts activities in addition to the

operation of the facility in which the fine art is displayed, including,

without limitation, an allocation of the salary and benefits of a

senior executive who is responsible for the oversight of the facility

in which the fine art is displayed and who has substantial

responsibilities related to the other activities of the business or

organization.

(b) “Net revenue” means the amount of the fees collected for

exhibiting the fine art during that fiscal year less the following paid

or made during that fiscal year:

(1) The direct costs of owning and exhibiting the fine art; and

(2) The cost of educational programs associated with the

taxpayer’s public display of fine art, including the cost of meeting

the requirements of sub-subparagraph (IV) of subparagraph (1) of

paragraph (b) of subsection 5 of NRS 361.068.

Sec. 30. NRS 374.2911 is hereby amended to read as follows:

374.2911 1. A taxpayer may collect an admission fee for the

exhibition of fine art otherwise exempt from taxation on its sale,

storage, use or other consumption pursuant to NRS 374.291 if the

taxpayer offers to residents of the State of Nevada a discount of 50

percent from any admission fee charged to nonresidents. The

discounted admission fee for residents must be offered at any time

the exhibition is open to the public and admission fees are being

charged.

2. If a taxpayer collects a fee for the exhibition of fine art

otherwise exempt from taxation on its sale, storage, use or other

consumption pursuant to NRS 374.291 and the fee is collected

during the first full fiscal year after the purchase of the fine art, the

exemption pertaining to that fine art must be reduced by the net

revenue derived by the taxpayer for that first full fiscal year. The

exemption pertaining to fine art must not be reduced below zero,

regardless of the amount of the net revenue derived by the taxpayer

for that first full fiscal year.

3. Any tax due pursuant to this section must be paid with the

first sales and use tax return otherwise required to be filed by the

taxpayer following the 15th day of the fourth month after the end of

the first full fiscal year following the purchase of the fine art or, if

no sales and use tax return is otherwise required to be filed by the

taxpayer, with a sales and use tax return filed specifically for this

purpose on or before the last day of the fourth month after the end

of the first full fiscal year following the purchase of the fine art.

4. A taxpayer who is required to pay a tax resulting from the

operation of this section may receive a credit against the tax for any

donations made by the taxpayer to the [State] Nevada Arts Council,

the Division of Museums and History Dedicated Trust Fund

established pursuant to NRS 381.0031, a museum that provides

exhibits specifically related to nature or a museum that provides

exhibits specifically related to children, if the taxpayer:

(a) Made the donation before the date that either return required

pursuant to subsection 3 is due; and

(b) Provides to the Department documentation of the donation at

the time that he files the return required pursuant to subsection 3.

5. For the purposes of this section:

(a) “Direct costs of owning and exhibiting the fine art” does not

include any allocation of the general and administrative expense of

a business or organization that conducts activities in addition to the

operation of the facility in which the fine art is displayed, including,

without limitation, an allocation of the salary and benefits of a

senior executive who is responsible for the oversight of the facility

in which the fine art is displayed and who has substantial

responsibilities related to the other activities of the business or

organization.

(b) “Net revenue” means the amount of the fees collected for

exhibiting the fine art during the fiscal year less the following paid

or made during the fiscal year:

(1) The direct costs of owning and exhibiting the fine art; and

(2) The cost of educational programs associated with the

taxpayer’s public display of fine art, including the cost of meeting

the requirements of subsubparagraph (IV) of subparagraph (1) of

paragraph (a) of subsection 4 of NRS 374.291.

Sec. 31. NRS 378.008 is hereby amended to read as follows:

378.008 1. There is hereby created the Department of

Cultural Affairs in which is vested the administration of the

provisions of this title and chapter 233C of NRS.

2. The Department consists of a Director and the following:

(a) The Division of State Library and Archives;

(b) The Division of Museums and History;

(d) The Board of the Nevada Arts Council;

(e) The [State] Nevada Arts Council;

[(e)] (f) The Board of Museums and History;

[(f)] (g) The State Council on Libraries and Literacy;

[(g)] (h) The State Historical Records Advisory Board; and

[(h)] (i) The Commission for Cultural Affairs.

Sec. 32. NRS 482.3792 is hereby amended to read as follows:

482.3792 1. Except as otherwise provided in this subsection,

the Department shall, in cooperation with the [State] Nevada Arts

Council, design, prepare and issue license plates for the support of

the education of children in the arts, using any colors and designs

which the Department deems appropriate. The Department shall not

design, prepare or issue the license plates unless it receives at least

250 applications for the issuance of those plates.

2. The Department may issue license plates for the support of

the education of children in the arts for a passenger car or light

commercial vehicle upon application by a person who is entitled to

license plates pursuant to NRS 482.265 and who otherwise

complies with the requirements for registration and licensing

pursuant to this chapter. A person may request that personalized

prestige license plates issued pursuant to NRS 482.3667 be

combined with license plates for the support of the education of

children in the arts if that person pays the fee for the personalized

prestige license plates in addition to the fees for the license plates

for the support of the education of children in the arts pursuant to

subsections 3 and 4.

3. The fee for license plates for the support of the education of

children in the arts is $35, in addition to all other applicable

registration and license fees and governmental services taxes. The

license plates are renewable upon the payment of $10.

4. In addition to all fees for the license, registration and

governmental services taxes, a person who requests a set of license

plates for the support of the education of children in the arts must

pay for the initial issuance of the plates an additional fee of $15 and

for each renewal of the plates an additional fee of $10 to finance

programs which promote the education of children in the arts.

5. The Department shall deposit the fees collected pursuant to

subsection 4 with the State Treasurer for credit to the Account for

License Plates for the Support of the Education of Children in the

Arts created pursuant to NRS 233C.094.

6. If, during a registration year, the holder of license plates

issued pursuant to the provisions of this section disposes of the

vehicle to which the plates are affixed, he may retain the plates and:

(a) Affixthem to another vehicle which meets the requirements

of this section if the transfer and registration fees are paid as set out

in this chapter; or

(b) Within 30 days after removing the plates from the vehicle,

returnthem to the Department.

Sec. 33. NRS 233C.080 is hereby repealed.

Sec. 34. This act becomes effective upon passage and

approval.

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