Senate Bill No. 469–Committee on Taxation

 

CHAPTER..........

 

AN ACT relating to taxation; revising the formula for the distribution of certain revenues among local governments; 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. NRS 360.680 is hereby amended to read as follows:

    360.680  1.  On or before July 1 of each year, the Executive

Director shall allocate to each enterprise district an amount equal to

the amount that the enterprise district received from the Account in

the immediately preceding fiscal year.

    2.  Except as otherwise provided in NRS 360.690 and 360.730,

the Executive Director, after subtracting the amount allocated to

each enterprise district pursuant to subsection 1, shall allocate to

each local government or special district which is eligible for an

allocation from the Account pursuant to NRS 360.670 an amount

from the Account that is equal to the amount allocated to the local

government or special district for the preceding fiscal year, minus

any excess amount allocated pursuant to subsection 4 , 5 or 6 of

NRS 360.690, multiplied by 1 plus the percentage change in the

Consumer Price Index (All Items) for the year ending on

December 31 immediately preceding the year in which the

allocation is made.

    Sec. 2.  NRS 360.690 is hereby amended to read as follows:

    360.690  1.  Except as otherwise provided in NRS 360.730,

the Executive Director shall estimate monthly the amount each local

government, special district and enterprise district will receive from

the Account pursuant to the provisions of this section.

    2.  The Executive Director shall establish a base monthly

allocation for each local government, special district and enterprise

district by dividing the amount determined pursuant to NRS 360.680

for each local government, special district and enterprise district by

12, and the State Treasurer shall, except as otherwise provided in

subsections 3[, 4 and 5,] to 7, inclusive, remit monthly that amount

to each local government, special district and enterprise district.

    3.  If, after making the allocation to each enterprise district for

the month, the Executive Director determines there is not sufficient

money available in the county’s subaccount in the Account to

allocate to each local government and special district the base

monthly allocation determined pursuant to subsection 2, he shall

prorate the money in the county’s subaccount and allocate to each

local government and special district an amount equal to [the] its

proportionate percentage of [the amount that the local government

or special district received from] the total amount [which was

distributed to] of the base monthly allocations determined

pursuant to subsection 2 for all local governments and special

districts within the county . [for the fiscal year immediately

preceding the year in which the allocation is made.] The State

Treasurer shall remit that amount to the local government or special

district.

    4.  Except as otherwise provided in [subsection] subsections 5,

6 and 7, if the Executive Director determines that there is money

remaining in the county’s subaccount in the Account after the base

monthly allocation determined pursuant to subsection 2 has been

allocated to each local government, special district and enterprise

district, he shall immediately determine and allocate each:

    (a) Local government’s share of the remaining money by:

        (1) Multiplying one-twelfth of the sum of:

            (I) Seventy-five percent of the amount allocated pursuant

to NRS 360.680 multiplied by the sum of the average percentage of

change in the population of the local government [for the fiscal year

immediately preceding the year in which the allocation is made and

the 4] over the 5 fiscal years immediately preceding the year in

which the allocation is made, as certified by the Governor pursuant

to NRS 360.285, except as otherwise provided in subsection [6,] 8,

and the average percentage of change in the assessed valuation of

the taxable property in the local government, including assessed

valuation attributable to a redevelopment agency but excluding the

portion attributable to the net proceeds of minerals, over the year in

which the allocation is made, as projected by the Department

pursuant to NRS 361.390, and the 4 fiscal years immediately

preceding the year in which the allocation is made; and

            (II) Twenty-five percent of the amount allocated pursuant

to NRS 360.680 multiplied by 1 plus the sum of the average

percentage of change in the population of the local government [for

the fiscal year immediately preceding the year in which the

allocation is made and the 4] over the 5 fiscal years immediately

preceding the year in which the allocation is made, as certified by

the Governor pursuant to NRS 360.285, except as otherwise

provided in subsection [6,] 8, and the average percentage of change

in the assessed valuation of the taxable property in the local

government, including assessed valuation attributable to a

redevelopment agency but excluding the portion attributable to the

net proceeds of minerals, over the year in which the allocation is

made, as projected by the Department pursuant to NRS 361.390, and

the 4 fiscal years immediately preceding the year in which the

allocation is made; and

        (2) Using the figure calculated pursuant to subparagraph (1)

to calculate and allocate to each local government an amount equal

to the proportion that the figure calculated pursuant to subparagraph

(1) bears to the total amount of the figures calculated pursuant to

subparagraph (1) of this paragraph and subparagraph (1) of

paragraph (b), respectively, for the local governments and special

districts located in the same county multiplied by the total amount

available in the subaccount; and

    (b) Special district’s share of the remaining money by:

        (1) Multiplying one-twelfth of the sum of:

            (I) Seventy-five percent of the amount allocated pursuant

to NRS 360.680 multiplied by the average change in the assessed

valuation of the taxable property in the special district, including

assessed valuation attributable to a redevelopment agency but

excluding the portion attributable to the net proceeds of minerals,

over the [5] year in which the allocation is made, as projected by

the Department pursuant to NRS 361.390, and the 4 fiscal years

immediately preceding the year in which the allocation is made; and

            (II) Twenty-five percent of the amount allocated pursuant

to NRS 360.680 multiplied by 1 plus the average change in the

assessed valuation of the taxable property in the special district,

including assessed valuation attributable to a redevelopment agency

but excluding the portion attributable to the net proceeds of

minerals, over the [5] year in which the allocation is made, as

projected by the Department pursuant to NRS 361.390, and the 4

fiscal years immediately preceding the year in which the allocation

is made; and

        (2) Using the figure calculated pursuant to subparagraph (1)

to calculate and allocate to each special district an amount equal to

the proportion that the figure calculated pursuant to subparagraph

(1) bears to the total amount of the figures calculated pursuant to

subparagraph (1) of this paragraph and subparagraph (1) of

paragraph (a), respectively, for the local governments and special

districts located in the same county multiplied by the total amount

available in the subaccount.

The State Treasurer shall remit the amount allocated to each local

government or special district pursuant to this subsection.

    5.  Except as otherwise provided in subsection 7, if the

Executive Director determines that there is money remaining in

the county’s subaccount in the Account after the base monthly

allocation determined pursuant to subsection 2 has been allocated

to each local government, special district and enterprise district,

that the sum of the average percentage of change in population

and the average percentage of change in the assessed valuation of

taxable property, as calculated pursuant to sub-subparagraph (I)

of subparagraph (1) of paragraph (a) of subsection 4 for each of

those local governments, is a negative figure, and that the average

change in the assessed valuation of the taxable property in each of

those special districts, as calculated pursuant to sub-subparagraph

(I) of subparagraph (1) of paragraph (b) of subsection 4, is a

negative figure, he shall immediately determine and allocate each:

    (a) Local government’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated

pursuant to NRS 360.680 by 1 plus the sum of the:

            (I) Average percentage of change in the population of

the local government over the 5 fiscal years immediately preceding

the year in which the allocation is made, as certified by the

Governor pursuant to NRS 360.285, except as otherwise provided

in subsection 8; and

            (II) Average percentage of change in the assessed

valuation of the taxable property in the local government,

including assessed valuation attributable to a redevelopment

agency but excluding the portion attributable to the net proceeds

of minerals, over the year in which the allocation is made, as

projected by the Department pursuant to NRS 361.390, and the 4

fiscal years immediately preceding the year in which the allocation

is made; and

        (2) Using the figure calculated pursuant to subparagraph

(1) to calculate and allocate to each local government an amount

equal to the proportion that the figure calculated pursuant to

subparagraph (1) bears to the total amount of the figures

calculated pursuant to subparagraph (1) of this paragraph and

subparagraph (1) of paragraph (b), respectively, for the local

governments and special districts located in the same county

multiplied by the total amount available in the subaccount; and

    (b) Special district’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated

pursuant to NRS 360.680 by 1 plus the average change in the

assessed valuation of the taxable property in the special district,

including assessed valuation attributable to a redevelopment

agency but excluding the portion attributable to the net proceeds

of minerals, over the year in which the allocation is made, as

projected by the Department pursuant to NRS 361.390, and the 4

fiscal years immediately preceding the year in which the allocation

is made; and

        (2) Using the figure calculated pursuant to subparagraph

(1) to calculate and allocate to each special district an amount

equal to the proportion that the figure calculated pursuant to

subparagraph (1) bears to the total amount of the figures

calculated pursuant to subparagraph (1) of this paragraph and

subparagraph (1) of paragraph (a), respectively, for the local

governments and special districts located in the same county

multiplied by the total amount available in the subaccount.

The State Treasurer shall remit the amount allocated to each local

government or special district pursuant to this subsection.

    6.  Except as otherwise provided in subsection 7, if the

Executive Director determines that there is money remaining in

the county’s subaccount in the Account after the base monthly

allocation determined pursuant to subsection 2 has been allocated

to each local government, special district and enterprise district,

that the sum of the average percentage of change in population

and the average percentage of change in the assessed valuation of

taxable property, as calculated pursuant to sub-subparagraph (I)

of subparagraph (1) of paragraph (a) of subsection 4 for each of

those local governments, is a negative figure, and that the average

change in the assessed valuation of the taxable property in any of

those special districts, as calculated pursuant to sub-subparagraph

(I) of subparagraph (1) of paragraph (b) of subsection 4, is a

positive figure, he shall immediately determine and allocate each:

    (a) Local government’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated

pursuant to NRS 360.680 by 1 plus the sum of the:

            (I) Average percentage of change in the population of

the local government over the 5 fiscal years immediately preceding

the year in which the allocation is made, as certified by the

Governor pursuant to NRS 360.285, except as otherwise provided

in subsection 8; and

            (II) Average percentage of change in the assessed

valuation of the taxable property in the local government,

including assessed valuation attributable to a redevelopment

agency but excluding the portion attributable to the net proceeds

of minerals, over the year in which the allocation is made, as

projected by the Department pursuant to NRS 361.390, and the 4

fiscal years immediately preceding the year in which the allocation

is made; and

        (2) Using the figure calculated pursuant to subparagraph

(1) to calculate and allocate to each local government an amount

equal to the proportion that the figure calculated pursuant to

subparagraph (1) bears to the total amount of the figures

calculated pursuant to subparagraph (1) of this paragraph and

subparagraph (1) of paragraph (b), respectively, for the local

governments and special districts located in the same county

multiplied by the total amount available in the subaccount; and

    (b) Special district’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated

pursuant to NRS 360.680 by 1 plus the sum of the:

            (I) Average percentage of change in the population of

the county over the 5 fiscal years immediately preceding the year

in which the allocation is made, as certified by the Governor

pursuant to NRS 360.285, except as otherwise provided in

subsection 8; and

            (II) Average change in the assessed valuation of the

taxable property in the special district, including assessed

valuation attributable to a redevelopment agency but excluding the

portion attributable to the net proceeds of minerals, over the year

in which the allocation is made, as projected by the Department

pursuant to NRS 361.390, and the 4 fiscal years immediately

preceding the year in which the allocation is made; and

        (2) Using the figure calculated pursuant to subparagraph

(1) to calculate and allocate to each special district an amount

equal to the proportion that the figure calculated pursuant to

subparagraph (1) bears to the total amount of the figures

calculated pursuant to subparagraph (1) of this paragraph and

subparagraph (1) of paragraph (a), respectively, for the local

governments and special districts located in the same county

multiplied by the total amount available in the subaccount.

The State Treasurer shall remit the amount allocated to each local

government or special district pursuant to this subsection.

    7.  The Executive Director shall not allocate any amount to a

local government or special district pursuant to subsection 4, 5 or 6

unless the amount distributed and allocated to each of the local

governments and special districts in the county in each preceding

month of the fiscal year in which the allocation is to be made was at

least equal to the base monthly allocation determined pursuant to

subsection 2. If the amounts distributed to the local governments

and special districts in the county for the preceding months of the

fiscal year in which the allocation is to be made were less than the

base monthly allocation determined pursuant to subsection 2 and

the Executive Director determines there is money remaining in the

county’s subaccount in the Account after the distribution for the

month has been made, he shall:

    (a) Determine the amount by which the base monthly allocations

determined pursuant to subsection 2 for each local government and

special district in the county for the preceding months of the fiscal

year in which the allocation is to be made exceeds the amounts

actually received by the local governments and special districts in

the county for the same period; and

    (b) Compare the amount determined pursuant to paragraph (a) to

the amount of money remaining in the county’s subaccount in the

Account to determine which amount is greater.

If the Executive Director determines that the amount determined

pursuant to paragraph (a) is greater, he shall allocate the money

remaining in the county’s subaccount in the Account pursuant to the

provisions of subsection 3. If the Executive Director determines that

the amount of money remaining in the county’s subaccount in the

Account is greater, he shall first allocate the money necessary for

each local government and special district to receive the base

monthly allocation determined pursuant to subsection 2 and the

State Treasurer shall remit that money so allocated. The Executive

Director shall allocate any additional money in the county’s

subaccount in the Account pursuant to the provisions of subsection

4[.

    6.] , 5 or 6, as appropriate.

    8.  The percentage [change] changes in population calculated

pursuant to [paragraph (a) of subsection] subsections 4 , 5 and 6

must:

    (a) Except as otherwise provided in paragraph (c), if the Bureau

of the Census of the United States Department of Commerce issues

population totals that conflict with the totals certified by the

Governor pursuant to NRS 360.285, be an estimate of the change in

population for the calendar year, based upon the population totals

issued by the Bureau of the Census.

    (b) If a new method of determining population is established

pursuant to NRS 360.283, be adjusted in a manner that will result in

the percentage change being based on population determined

pursuant to the new method for both the fiscal year in which the

allocation is made and the fiscal year immediately preceding the

year in which the allocation is made.

    (c) If a local government files a formal appeal with the Bureau

of the Census [of the United States Department of Commerce]

concerning the population total of the local government issued by

the Bureau of the Census, be calculated using the population total

certified by the Governor pursuant to NRS 360.285 until the appeal

is resolved. If additional money is allocated to the local government

because the population total certified by the Governor is greater than

the population total issued by the Bureau of the Census, the State

Treasurer shall deposit that additional money in a separate interest-

bearing account. Upon resolution of the appeal, if the population

total finally determined pursuant to the appeal is:

        (1) Equal to or less than the population total initially issued

by the Bureau of the Census, the State Treasurer shall transfer the

total amount in the separate interest-bearing account, including

interest but excluding any administrative fees, to the Local

Government Tax Distribution Account for allocation among the

local governments in the county pursuant to subsection 4[.] , 5 or 6,

as appropriate.

        (2) Greater than the population total initially issued by the

Bureau of the Census, the Executive Director shall calculate the

amount that would have been allocated to the local government

pursuant to subsection 4 , 5 or 6, as appropriate, if the population

total finally determined pursuant to the appeal had been used and the

State Treasurer shall remit to the local government an amount equal

to the difference between the amount actually distributed and the

amount calculated pursuant to this subparagraph or the total amount

in the separate interest-bearing account, including interest but

excluding any administrative fees, whichever is less.

    [7.] 9.  On or before February 15 of each year, the Executive

Director shall provide to each local government, special district and

enterprise district a preliminary estimate of the revenue it will

receive from the Account for that fiscal year.

    [8.] 10.  On or before March 15 of each year, the Executive

Director shall:

    (a) Make an estimate of the receipts from each tax included in

the Account on an accrual basis for the next fiscal year in

accordance with generally accepted accounting principles, including

an estimate for each county of the receipts from each tax included in

the Account; and

    (b) Provide to each local government, special district and

enterprise district an estimate of the amount that local government,

special district or enterprise district would receive based upon the

estimate made pursuant to paragraph (a) and calculated pursuant to

the provisions of this section.

    [9.] 11.  A local government, special district or enterprise

district may use the estimate provided by the Executive Director

pursuant to subsection [8] 10 in the preparation of its budget.

    Sec. 3.  NRS 360.690 is hereby amended to read as follows:

    360.690  1.  Except as otherwise provided in NRS 360.730,

the Executive Director shall estimate monthly the amount each local

government, special district and enterprise district will receive from

the Account pursuant to the provisions of this section.

    2.  The Executive Director shall establish a base monthly

allocation for each local government, special district and enterprise

district by dividing the amount determined pursuant to NRS 360.680

for each local government, special district and enterprise district by

12, and the State Treasurer shall, except as otherwise provided in

subsections 3[, 4 and 5,] to 7, inclusive, remit monthly that amount

to each local government, special district and enterprise district.

    3.  If, after making the allocation to each enterprise district for

the month, the Executive Director determines there is not sufficient

money available in the county’s subaccount in the Account to

allocate to each local government and special district the base

monthly allocation determined pursuant to subsection 2, he shall

prorate the money in the county’s subaccount and allocate to each

local government and special district an amount equal to [the] its

proportionate percentage of [the amount that the local government

or special district received from] the total amount [which was

distributed to] of the base monthly allocations determined

pursuant to subsection 2 for all local governments and special

districts within the county . [for the fiscal year immediately

preceding the year in which the allocation is made.] The State

Treasurer shall remit that amount to the local government or special

district.

    4.  Except as otherwise provided in [subsection] subsections 5,

6 and 7, if the Executive Director determines that there is money

remaining in the county’s subaccount in the Account after the base

monthly allocation determined pursuant to subsection 2 has been

allocated to each local government, special district and enterprise

district, he shall immediately determine and allocate each:

    (a) Local government’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated pursuant

to NRS 360.680 by the sum of the:

            (I) Average percentage of change in the population of the

local government [for the fiscal year immediately preceding the year

in which the allocation is made and the 4] over the 5 fiscal years

immediately preceding the year in which the allocation is made, as

certified by the Governor pursuant to NRS 360.285, except as

otherwise provided in subsection [6;] 8; and

            (II) Average percentage of change in the assessed

valuation of the taxable property in the local government, including

assessed valuation attributable to a redevelopment agency but

excluding the portion attributable to the net proceeds of minerals,

over the year in which the allocation is made, as projected by the

Department pursuant to NRS 361.390, and the 4 fiscal years

immediately preceding the year in which the allocation is made; and

        (2) Using the figure calculated pursuant to subparagraph (1)

to calculate and allocate to each local government an amount equal

to the proportion that the figure calculated pursuant to subparagraph

(1) bears to the total amount of the figures calculated pursuant to

subparagraph (1) of this paragraph and subparagraph (1) of

paragraph (b), respectively, for the local governments and special

districts located in the same county multiplied by the total amount

available in the subaccount; and

    (b) Special district’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated pursuant

to NRS 360.680 by the average change in the assessed valuation of

the taxable property in the special district, including assessed

valuation attributable to a redevelopment agency but excluding the

portion attributable to the net proceeds of minerals, over the [5] year

in which the allocation is made, as projected by the Department

pursuant to NRS 361.390, and the 4 fiscal years immediately

preceding the year in which the allocation is made; and

        (2) Using the figure calculated pursuant to subparagraph (1)

to calculate and allocate to each special district an amount equal to

the proportion that the figure calculated pursuant to subparagraph

(1) bears to the total amount of the figures calculated pursuant to

subparagraph (1) of this paragraph and subparagraph (1) of

paragraph (a), respectively, for the local governments and special

districts located in the same county multiplied by the total amount

available in the subaccount.

The State Treasurer shall remit the amount allocated to each local

government or special district pursuant to this subsection.

    5.  Except as otherwise provided in subsection 7, if the

Executive Director determines that there is money remaining in

the county’s subaccount in the Account after the base monthly

allocation determined pursuant to subsection 2 has been allocated

to each local government, special district and enterprise district,

that the sum of the average percentage of change in population

and the average percentage of change in the assessed valuation of

taxable property, as calculated pursuant to subparagraph (1) of

paragraph (a) of subsection 4 for each of those local governments,

is a negative figure, and that the average change in the assessed

valuation of the taxable property in each of those special districts,

as calculated pursuant to subparagraph (1) of paragraph (b) of

subsection 4, is a negative figure, he shall immediately determine

and allocate each:

    (a) Local government’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated

pursuant to NRS 360.680 by 1 plus the sum of the:

            (I) Average percentage of change in the population of

the local government over the 5 fiscal years immediately preceding

the year in which the allocation is made, as certified by the

Governor pursuant to NRS 360.285, except as otherwise provided

in subsection 8; and

            (II) Average percentage of change in the assessed

valuation of the taxable property in the local government,

including assessed valuation attributable to a redevelopment

agency but excluding the portion attributable to the net proceeds

of minerals, over the year in which the allocation is made, as

projected by the Department pursuant to NRS 361.390, and the 4

fiscal years immediately preceding the year in which the allocation

is made; and

        (2) Using the figure calculated pursuant to subparagraph

(1) to calculate and allocate to each local government an amount

equal to the proportion that the figure calculated pursuant to

subparagraph (1) bears to the total amount of the figures

calculated pursuant to subparagraph (1) of this paragraph and

subparagraph (1) of paragraph (b), respectively, for the local

governments and special districts located in the same county

multiplied by the total amount available in the subaccount; and

    (b) Special district’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated

pursuant to NRS 360.680 by 1 plus the average change in the

assessed valuation of the taxable property in the special district,

including assessed valuation attributable to a redevelopment

agency but excluding the portion attributable to the net proceeds

of minerals, over the year in which the allocation is made, as

projected by the Department pursuant to NRS 361.390, and the 4

fiscal years immediately preceding the year in which the allocation

is made; and

        (2) Using the figure calculated pursuant to subparagraph

(1) to calculate and allocate to each special district an amount

equal to the proportion that the figure calculated pursuant to

subparagraph (1) bears to the total amount of the figures

calculated pursuant to subparagraph (1) of this paragraph and

subparagraph (1) of paragraph (a), respectively, for the local

governments and special districts located in the same county

multiplied by the total amount available in the subaccount.

The State Treasurer shall remit the amount allocated to each local

government or special district pursuant to this subsection.

    6.  Except as otherwise provided in subsection 7, if the

Executive Director determines that there is money remaining in

the county’s subaccount in the Account after the base monthly

allocation determined pursuant to subsection 2 has been allocated

to each local government, special district and enterprise district,

that the sum of the average percentage of change in population

and the average percentage of change in the assessed valuation of

taxable property, as calculated pursuant to subparagraph (1) of

paragraph (a) of subsection 4 for each of those local governments,

is a negative figure, and that the average change in the assessed

valuation of the taxable property in any of those special districts,

as calculated pursuant to subparagraph (1) of paragraph (b) of

subsection 4, is a positive figure, he shall immediately determine

and allocate each:

    (a) Local government’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated

pursuant to NRS 360.680 by 1 plus the sum of the:

            (I) Average percentage of change in the population of

the local government over the 5 fiscal years immediately preceding

the year in which the allocation is made, as certified by the

Governor pursuant to NRS 360.285, except as otherwise provided

in subsection 8; and

            (II) Average percentage of change in the assessed

valuation of the taxable property in the local government,

including assessed valuation attributable to a redevelopment

agency but excluding the portion attributable to the net proceeds

of minerals, over the year in which the allocation is made, as

projected by the Department pursuant to NRS 361.390, and the 4

fiscal years immediately preceding the year in which the allocation

is made; and

        (2) Using the figure calculated pursuant to subparagraph

(1) to calculate and allocate to each local government an amount

equal to the proportion that the figure calculated pursuant to

subparagraph (1) bears to the total amount of the figures

calculated pursuant to subparagraph (1) of this paragraph and

subparagraph (1) of paragraph (b), respectively, for the local

governments and special districts located in the same county

multiplied by the total amount available in the subaccount; and

    (b) Special district’s share of the remaining money by:

        (1) Multiplying one-twelfth of the amount allocated

pursuant to NRS 360.680 by 1 plus the sum of the:

            (I) Average percentage of change in the population of

the county over the 5 fiscal years immediately preceding the year

in which the allocation is made, as certified by the Governor

pursuant to NRS 360.285, except as otherwise provided in

subsection 8; and

            (II) Average change in the assessed valuation of the

taxable property in the special district, including assessed

valuation attributable to a redevelopment agency but excluding the

portion attributable to the net proceeds of minerals, over the year

in which the allocation is made, as projected by the Department

pursuant to NRS 361.390, and the 4 fiscal years immediately

preceding the year in which the allocation is made; and

        (2) Using the figure calculated pursuant to subparagraph

(1) to calculate and allocate to each special district an amount

equal to the proportion that the figure calculated pursuant to

subparagraph (1) bears to the total amount of the figures

calculated pursuant to subparagraph (1) of this paragraph and

subparagraph (1) of paragraph (a), respectively, for the local

governments and special districts located in the same county

multiplied by the total amount available in the subaccount.

The State Treasurer shall remit the amount allocated to each local

government or special district pursuant to this subsection.

    7.  The Executive Director shall not allocate any amount to a

local government or special district pursuant to subsection 4, 5 or 6

unless the amount distributed and allocated to each of the local

governments and special districts in the county in each preceding

month of the fiscal year in which the allocation is to be made was at

least equal to the base monthly allocation determined pursuant to

subsection 2. If the amounts distributed to the local governments

and special districts in the county for the preceding months of the

fiscal year in which the allocation is to be made were less than the

base monthly allocation determined pursuant to subsection 2 and

the Executive Director determines there is money remaining in the

county’s subaccount in the Account after the distribution for the

month has been made, he shall:

    (a) Determine the amount by which the base monthly allocations

determined pursuant to subsection 2 for each local government and

special district in the county for the preceding months of the fiscal

year in which the allocation is to be made exceeds the amounts

actually received by the local governments and special districts in

the county for the same period; and

    (b) Compare the amount determined pursuant to paragraph (a) to

the amount of money remaining in the county’s subaccount in the

Account to determine which amount is greater.

If the Executive Director determines that the amount determined

pursuant to paragraph (a) is greater, he shall allocate the money

remaining in the county’s subaccount in the Account pursuant to the

provisions of subsection 3. If the Executive Director determines that

the amount of money remaining in the county’s subaccount in the

Account is greater, he shall first allocate the money necessary for

each local government and special district to receive the base

monthly allocation determined pursuant to subsection 2 and the

State Treasurer shall remit that money so allocated. The Executive

Director shall allocate any additional money in the county’s

subaccount in the Account pursuant to the provisions of subsection

4[.

    6.] , 5 or 6, as appropriate.

    8.  The percentage [change] changes in population calculated

pursuant to [paragraph (a) of subsection] subsections 4 , 5 and 6

must:

    (a) Except as otherwise provided in paragraph (c), if the Bureau

of the Census of the United States Department of Commerce issues

population totals that conflict with the totals certified by the

Governor pursuant to NRS 360.285, be an estimate of the change in

population for the calendar year, based upon the population totals

issued by the Bureau of the Census.

    (b) If a new method of determining population is established

pursuant to NRS 360.283, be adjusted in a manner that will result in

the percentage change being based on population determined

pursuant to the new method for both the fiscal year in which the

allocation is made and the fiscal year immediately preceding the

year in which the allocation is made.

    (c) If a local government files a formal appeal with the Bureau

of the Census [of the United States Department of Commerce]

concerning the population total of the local government issued by

the Bureau of the Census, be calculated using the population total

certified by the Governor pursuant to NRS 360.285 until the appeal

is resolved. If additional money is allocated to the local government

because the population total certified by the Governor is greater than

the population total issued by the Bureau of the Census, the State

Treasurer shall deposit that additional money in a separate interest-

bearing account. Upon resolution of the appeal, if the population

total finally determined pursuant to the appeal is:

        (1) Equal to or less than the population total initially issued

by the Bureau of the Census, the State Treasurer shall transfer the

total amount in the separate interest-bearing account, including

interest but excluding any administrative fees, to the Local

Government Tax Distribution Account for allocation among the

local governments in the county pursuant to subsection 4[.] , 5 or 6,

as appropriate.

        (2) Greater than the population total initially issued by the

Bureau of the Census, the Executive Director shall calculate the

amount that would have been allocated to the local government

pursuant to subsection 4 , 5 or 6, as appropriate, if the population

total finally determined pursuant to the appeal had been used and the

State Treasurer shall remit to the local government an amount equal

to the difference between the amount actually distributed and the

amount calculated pursuant to this subparagraph or the total amount

in the separate interest-bearing account, including interest but

excluding any administrative fees, whichever is less.

    [7.] 9.  On or before February 15 of each year, the Executive

Director shall provide to each local government, special district and

enterprise district a preliminary estimate of the revenue it will

receive from the Account for that fiscal year.

    [8.] 10.  On or before March 15 of each year, the Executive

Director shall:

    (a) Make an estimate of the receipts from each tax included in

the Account on an accrual basis for the next fiscal year in

accordance with generally accepted accounting principles, including

an estimate for each county of the receipts from each tax included in

the Account; and

    (b) Provide to each local government, special district and

enterprise district an estimate of the amount that local government,

special district or enterprise district would receive based upon the

estimate made pursuant to paragraph (a) and calculated pursuant to

the provisions of this section.

    [9.] 11.  A local government, special district or enterprise

district may use the estimate provided by the Executive Director

pursuant to subsection [8] 10 in the preparation of its budget.

    Sec. 4.  NRS 354.59813 is hereby amended to read as follows:

    354.59813  1.  In addition to the allowed revenue from taxes

ad valorem determined pursuant to NRS 354.59811, if the estimate

of the revenue available from the supplemental city-county relief tax

to the county as determined by the Executive Director of the

Department of Taxation pursuant to the provisions of subsection [8]

10 of NRS 360.690 is less than 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, except any

assessed valuation attributable to the net proceeds of minerals, the

governing body of each local government may levy an additional

tax ad valorem for operating purposes. The total tax levied by the

governing body of a local government pursuant to this section must

not exceed a rate calculated to produce revenue equal to the

difference between the:

    (a) Amount of revenue from supplemental city-county relief tax

estimated to be received by the county pursuant to subsection [8] 10

of NRS 360.690; and

    (b) The tax that the county would have been estimated to receive

if the estimate for the total revenue available from the tax was equal

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,

multiplied by the proportion determined for the local government

pursuant to subparagraph (2) of paragraph (a) of subsection 4 of

NRS 360.690[.] , subparagraph (2) of paragraph (a) of subsection

5 of NRS 360.690 or subparagraph (2) of paragraph (a) of

subsection 6 of NRS 360.690, as appropriate.

    2.  Any additional taxes ad valorem levied as a result of the

application of this section must not be included in the base from

which the allowed revenue from taxes ad valorem for the next

subsequent year is computed.

    3.  As used in this section, “local government” has the meaning

ascribed to it in NRS 360.640.

    Sec. 5.  NRS 354.598747 is hereby amended to read as

follows:

    354.598747  1.  To calculate the amount to be distributed

pursuant to the provisions of NRS 360.680 and 360.690 from a

county’s subaccount in the Local Government Tax Distribution

Account to a local government, special district or enterprise district

after it assumes the functions of another local government, special

district or enterprise district:

    (a) Except as otherwise provided in this [subsection and

subsection 2,] section, the Executive Director of the Department of

Taxation shall:

        (1) Add the amounts calculated pursuant to subsection 1 or 2

of NRS 360.680 for each local government, special district or

enterprise district and allocate the combined amount to the local

government, special district or enterprise district that assumes the

functions; and

        (2) If applicable, add the average change in population and

average change in the assessed valuation of [the] taxable property

that would otherwise be allowed to the local government or special

district whose functions are assumed, including the assessed

valuation attributable to a redevelopment agency but excluding the

portion attributable to the net proceeds of minerals, pursuant to

subsection 4 , 5 or 6 of NRS 360.690 , as appropriate, to the

average change in population and average change in assessed

valuation for the local government, special district or enterprise

district that assumes the functions.

    (b) If two or more local governments, special districts or

enterprise districts assume the functions of another local

government, special district or enterprise district, the additional

revenue must be divided among the local governments, special

districts or enterprise districts that assume the functions on the basis

of the proportionate costs of the functions assumed.

The Nevada Tax Commission shall not allow any increase in the

allowed revenue from the taxes contained in the county’s

subaccount in the Local Government Tax Distribution Account if

the increase would result in a decrease in revenue of any local

government, special district or enterprise district in the county that

does not assume those functions. If more than one local government,

special district or enterprise district assumes the functions, the

Nevada Tax Commission shall determine the appropriate amounts

calculated pursuant to subparagraphs (1) and (2) of paragraph (a).

    2.  If a city disincorporates, the board of county commissioners

of the county in which the city is located must determine the amount

the unincorporated town created by the disincorporation will receive

pursuant to the provisions of NRS 360.600 to 360.740, inclusive.

    3.  As used in this section:

    (a) “Enterprise district” has the meaning ascribed to it in

NRS 360.620.

    (b) “Local government” has the meaning ascribed to it in

NRS 360.640.

    (c) “Special district” has the meaning ascribed to it in

NRS 360.650.

    Sec. 6.  1.  This section and sections 4 and 5 of this act

become effective on July 1, 2003.

    2.  Section 2 of this act becomes effective at 12:01 a.m. on

July 1, 2003, and expires by limitation on June 30, 2004.

    3.  Section 1 of this act becomes effective on July 1, 2004.

    4.  Section 3 of this act becomes effective at 12:01 a.m. on

July 1, 2004.

 

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