LOCAL GOVERNMENT TAX ACT OF 1991

[Rev. 6/29/2024 7:36:03 PM--2023]

Chapter 491, Statutes of Nevada 1991

AN ACT relating to taxation; requiring the Department of Taxation to establish uniform standards and required training concerning the assessment of property by county assessors; revising the provisions governing the assessment roll of county assessors; revising the formula for the distribution of the proceeds of the Supplemental City-County Relief Tax; authorizing certain counties to impose certain additional taxes to replace revenue lost as a result of the revision of the formula making an appropriation; and providing other matters properly relating thereto.

[Approved: June 28, 1991]

(Leadlines for sections have been supplied by the Legislative Counsel of the State of Nevada)

The People of the State of Nevada, represented in Senate and Assembly, do enact as follows:

Sec. 27. Short title. Sections 27 to 38, inclusive, of this act constitute the Local Government Tax Act of 1991.

(Ch. 491, Stats. 1991 p. 1447)

Sec. 28. Tax Distribution Fund: Creation; distribution of money by State Controller.

1. A Tax Distribution Fund must be created in the State Treasury for each county that imposes or levies any tax pursuant to the provisions of sections 29 to 33, inclusive, of this act.

2. All interest and income earned on the money in the Fund must be credited to the fund after deducting any applicable charges.

3. The State Controller shall distribute the money in the Fund monthly among the several local governments in the county that are eligible to receive a distribution of the revenue from the Supplemental City-County Relief Tax, including the county, in the proportion which the basic ad valorem revenue of each local government bears to the total basic ad valorem revenue of all these local governments.

4. As used in this section, “basic ad valorem revenue”:

(a) Of each local government is its assessed valuation, including assessed valuation attributable to a redevelopment agency but excluding the portion attributable to the net proceeds of minerals, for the year of distribution, multiplied by the rate levied on its behalf for the Fiscal Year ending on June 30, 1981, for purposes other than paying the interest on and principal of its general obligations. For the purposes of this subsection:

(1) A county whose actual rate, for purposes other than debt service, for the Fiscal Year ending on June 30, 1981, was less than 50 cents per $100 of assessed valuation is entitled to the use of a rate not greater than 80 cents per $100 of assessed valuation.

(2) A fire district in such a county whose tax rate was more than 50 cents per $100 of assessed valuation is entitled to the use of a rate not greater than $1.10 per $100 of assessed valuation.

(b) Does not include any amount of basic ad valorem revenue allowable that, before July 1, 1998, was established or changed pursuant to NRS 354.5987 and used to establish a new tax rate for the Fiscal Year ending on June 30, 1981, for each affected local government.

5. For the purposes of determining basic ad valorem revenue, the assessed valuation of a:

(a) Fire protection district includes property which was transferred from private ownership to public ownership, after July 1, 1986, pursuant to:

(1) The Santini-Burton Act, Public Law 96-586; or

(2) Chapter 585, Statutes of Nevada 1985, at page 1866, approved by the voters on November 4, 1986.

(b) Local government includes property which was transferred from private ownership, after July 1, 1997, to property held in trust for an Indian tribe pursuant to the provisions of the Indian Reorganization Act, 25 U.S.C. §§ 461 et seq.

(Ch. 491, Stats. 1991 p. 1447; A—Ch. 257, Stats. 1999 p. 1100)

Sec. 29. Certain counties and Carson City authorized to impose tax on gross receipts of retailers; requirements of ordinance imposing tax; payment of tax to Department of Taxation; deposit of proceeds of tax with State Treasurer for credit to Sales and Use Tax Account in State General Fund; distribution of proceeds.

1. Except as otherwise provided in this section and in section 34 of this act and in addition to all other sales and use taxes, the Board of County Commissioners of Churchill, Elko, Humboldt, Washoe and Lander counties and the Board of Supervisors of Carson City may by ordinance, but not as in a case of emergency, impose a tax at the rate of up to 1/4 of 1 percent of the gross receipts of any retailer from the sale of all tangible personal property sold at retail, or stored, used or otherwise consumed in the county.

2. The tax imposed pursuant to this section applies throughout the county, including incorporated cities in the county.

3. The ordinance enacted pursuant to this section must include provisions in substance as follows:

(a) Provisions substantially identical to those of the Local School Support Tax Law, insofar as applicable.

(b) A provision that all amendments to the provisions of the Local School Support Tax Law subsequent to the date of enactment of the ordinance, not inconsistent with this section, automatically become a part of the ordinance enacted pursuant to subsection 1.

(c) A provision that the county shall contract before the effective date of the ordinance enacted pursuant to subsection 1 with the Department to perform all functions incident to the administration or operation of the tax imposed pursuant to subsection 1.

(d) A provision that a purchaser is entitled to a refund, in accordance with the provisions of NRS 374.635 to 374.720, inclusive, of the amount of the tax required to be paid that is attributable to the tax imposed upon the sale of, and the storage, use or other consumption in a county of, tangible personal property used for the performance of a written contract for the construction of an improvement to real property which was executed before July 30, 1991, or for which a binding bid was submitted before that date if the bid was afterward accepted, if under the terms of the contract or bid the contract price or bid amount cannot be adjusted to reflect the imposition of the additional tax pursuant to this section.

(e) A provision that specifies the date on which the tax is first imposed or on which any change in the rate of the tax becomes effective, which must be the first day of the first calendar quarter that begins at least 120 days after the effective date of the ordinance.

4. All fees, taxes, interest and penalties imposed and all amounts of tax required to be paid to the county under this section must be paid to the Department of Taxation in the form of remittances made payable to the Department of Taxation.

5. The Department of Taxation shall deposit the payments with the State Treasurer for credit to the Sales and Use Tax Account in the State General Fund.

6. The State Controller, acting upon the collection data furnished by the Department, shall monthly:

(a) Transfer from the Sales and Use Tax Account to the appropriate account in the State General Fund 1.75 percent of all fees, taxes, interest and penalties collected pursuant to this section during the preceding month as compensation to the State for the cost of collecting the tax.

(b) Determine the amount equal to all fees, taxes, interest and penalties collected in each county during the preceding month, less the amount transferred to the State General Fund pursuant to paragraph (a).

(c) Credit the amount determined pursuant to paragraph (b) to the Tax Distribution Fund for the county in which the tax was collected.

7. Any ordinance enacted pursuant to this section is deemed to include the provisions set forth in paragraph (d) of subsection 3.

(Ch. 491, Stats. 1991 p. 1447; A—Ch. 426, Stats. 1993 p. 1370; Ch. 400, Stats. 2003 p. 2388; Ch. 421, Stats. 2005 p. 1778; Ch. 387, Stats. 2009 p. 2099)

Sec. 30. Certain counties and Carson City authorized to impose Special Governmental Services Tax on certain motor vehicles; deposit of proceeds of tax with State Treasurer for credit to Tax Distribution Fund.

1. Except as otherwise provided in section 34 of this act and in addition to all other taxes imposed on the valuation of vehicles, the Board of County Commissioners of Churchill, Elko, Humboldt, Washoe and Lander counties and the Board of Supervisors of Carson City may by ordinance, but not as in a case of emergency, impose a Special Governmental Services Tax of 1 cent on each $1 of valuation of the vehicle for the privilege of operating upon the public streets, roads and highways of the county on each vehicle based in the county except:

(a) A vehicle exempt from the Governmental Services Tax pursuant to chapter 371 of NRS; or

(b) A vehicle subject to NRS 706.011 to 706.861, inclusive, which is engaged in interstate or intercounty operations.

2. The Department of Motor Vehicles shall deposit the proceeds of the tax imposed pursuant to subsection 1 with the State Treasurer for credit to the Tax Distribution Fund for the county in which it was collected.

3. As used in this section, “based” has the meaning ascribed to it in NRS 482.011.

(Ch. 491, Stats. 1991 p. 1448; A—Ch. 13, Stats. 2001 p. 337; Ch. 520, Stats. 2001 p. 2640)

Sec. 31. Certain counties and Carson City authorized to impose license fee for gaming activities; limitation on revenue from fee; deposit of proceeds of tax with State Treasurer for Credit to Tax Distribution Fund.

1. Except as otherwise provided in section 34 of this act, notwithstanding the provisions of NRS 463.395 and in addition to all other fees and taxes imposed on gaming, the Board of County Commissioners of Churchill, Elko, Humboldt, Washoe and Lander counties and the Board of Supervisors of Carson City may by ordinance, but not as in a case of emergency, impose a license fee for conducting, carrying on or operating any gambling game, slot machine or other game of chance.

2. The total amount of revenue estimated to result for any fiscal year from the imposition of a license fee pursuant to the provisions of this section must not exceed the total amount of revenue estimated to result for the same year from the imposition of all taxes imposed in the county pursuant to sections 29 to 33, inclusive, of this act, multiplied by a fraction, the numerator of which is the total gaming license fees collected by all local governments in the county, including the county, for the Fiscal Year 1990-1991, and the denominator of which is the general fund revenues of the county and any incorporated cities in the county for the Fiscal Year 1990-1991.

3. The tax imposed pursuant to this section applies throughout the county, including incorporated cities in the county.

4. The proceeds of the tax imposed pursuant to this section must be deposited with the State Treasurer for credit to the tax distribution fund for the county in which it was collected.

(Ch. 491, Stats. 1991 p. 1448)

Sec. 32. Certain counties and Carson City authorized to impose tax on transfer of real property; requirements of ordinance imposing tax; deposit of proceeds of tax with State Treasurer for credit to Tax Distribution Fund.

1. Except as otherwise provided in section 34 of this act and in addition to all other taxes imposed on transfers of real property, the Board of County Commissioners of Churchill, Elko, Humboldt, Washoe and Lander counties and the Board of Supervisors of Carson City may by ordinance, but not as in a case of emergency, impose a tax at the rate of up to 10 cents for each $500 of value or fraction thereof on each deed by which any lands, tenements or other realty is granted, assigned, transferred or otherwise conveyed to, or vested in, another person, if the consideration or value of the interest or property conveyed, exclusive of the value of any lien or encumbrance remaining on the interest of property at the time of sale, exceeds $100. The amount of tax must be computed on the basis of the value of the transferred real property as declared pursuant to NRS 375.060.

2. The ordinance imposing the tax must include:

(a) Provisions substantially identical to those contained in chapter 375 of NRS, insofar as applicable; and

(b) A provision that all amendments to chapter 375 of NRS after the date of enactment of the ordinance, not inconsistent with the chapter, automatically become a part of the ordinance imposing the tax.

3. The tax imposed pursuant to this section applies throughout the county, including incorporated cities in the county.

4. The proceeds of the tax must be deposited with the State Treasurer for credit to the Tax Distribution Fund for the county in which it was collected.

(Ch. 491, Stats. 1991 p. 1448)

Sec. 32.5 Expeditious imposition of tax in Washoe County: Public hearing; notice of hearing; publication of ordinance by title; revision of ordinance. Notwithstanding the provisions of sections 29 to 32, inclusive, of this act, or NRS 244.100, the Board of County Commissioners of Washoe County may, on or before September 1, 1991, adopt ordinances imposing any of the taxes authorized pursuant to those sections in the following manner:

1. The Board shall hold a public hearing to allow members of the public to present their opinions concerning the proposed ordinance. The Board shall publish notice of the hearing not less than 5 nor more than 10 days before the date of the hearing in a newspaper of general circulation in the county. The notice must be at least equal in size to one-quarter of a normal newspaper page.

2. The Board may adopt or reject the ordinance, or the ordinance as amended, at the public hearing.

3. After adoption, the ordinance must be:

(a) Signed by the Chair of the Board.

(b) Attested by the County Clerk.

(c) Published by title only, together with the names of the county commissioners voting for or against their passage, in a newspaper published in and having a general circulation in the county, at least once a week for a period of 2 weeks before it goes into effect. Publication by title must also contain a statement to the effect that typewritten copies of the ordinance are available for inspection at the office of the County Clerk by all interested persons.

4. Whenever a revision is made and the revised ordinances are published in book or pamphlet form by authority of the Board of County Commissioners, no further publication is necessary.

(Added—Ch. 610, Stats. 1991 p. 2014)

Sec. 33. Certain counties and Carson City authorized to levy tax ad valorem on taxable property; public hearing required before tax levied; publication of notice of hearing; deposit of proceeds of tax with State Treasurer for credit to Tax Distribution Fund.

1. Except as otherwise provided in section 34 of this act, the Board of County Commissioners of Churchill, Elko, Humboldt, Washoe and Lander counties and the Board of Supervisors of Carson City may levy a tax ad valorem on the assessed valuation of all taxable property in the county.

2. Before levying a tax pursuant to the provisions of subsection 1, the governing body shall hold a public hearing to allow members of the public to present their opinions concerning the tax. The governing body shall publish notice of the hearing not less than 5 nor more than 10 days before the date of the hearing in a newspaper of general circulation in the county. The notice must be at least equal in size to one-quarter of a normal newspaper page.

3. The provisions of NRS 354.59811 do not apply to a tax levied pursuant to the provisions of this section and the tax must not be considered in determining the allowed revenue from taxes ad valorem for the county or any local government therein.

4. Notwithstanding the provisions of NRS 279.676, no portion of the taxes levied pursuant to this section may be distributed to a redevelopment agency.

5. The county treasurer shall deposit the proceeds of the tax levied pursuant to the provisions of this section monthly with the state treasurer for credit to the Tax Distribution Fund for the county in which it was collected.

(Ch. 491, Stats. 1991 p. 1449)

Sec. 34. Adoption and revision of plan to replace reduction in amount of proceeds of Supplemental City-County Relief Tax; inclusion of certain taxes in plan; imposition of certain taxes prohibited after June 30, 1996.

1. The Board of County Commissioners of Elko, Humboldt or Lander county or the Board of Supervisors of Carson City, which has or will be imposing one or more of the taxes authorized by sections 29 to 33, inclusive, of this act:

(a) Shall adopt a plan to replace the reduction in the amount of proceeds of the Supplemental City-County Relief Tax estimated for that county pursuant to section 35 of this act on or before September 1, 1991, if the tax is to be imposed or levied for Fiscal Year 1991-1992 and on or before May 31 of the immediately preceding fiscal year if the tax is to be imposed or levied for Fiscal Years 1992-1993 through 1995-1996. The plans may include one or more of the taxes authorized by sections 29 to 33, inclusive, of this act, but the total amount of revenue estimated to result from all taxes imposed or levied pursuant to sections 29 to 33, inclusive, of this act must not exceed the estimate of the reduction in the amount of proceeds of the Supplemental City-County Relief Tax estimated for that county pursuant to section 35 of this act for the fiscal year during which the plan is to be in effect.

(b) May revise the plans adopted pursuant to subsection 1 for the Fiscal Years 1992-1993 through 1996-1997 on or before the May 31 immediately preceding the fiscal year during which the plan is to be in effect.

2. The Board of County Commissioners of Elko, Humboldt and Lander counties and the Board of Supervisors of Carson City shall not, after June 30, 1996, impose, levy or continue any of the taxes authorized by sections 29 to 33, inclusive, of this act.

(Ch. 491, Stats. 1991 p. 1449; A—Ch. 475, Stats. 1993 p. 1949)

Sec. 35. Legislative findings and declaration: Amount of reduction of proceeds of Supplemental City-County Relief Tax. The Legislature hereby finds and declares that the following amounts specified for each county estimate fairly the amount by which the proceeds of the Supplemental City-County Relief Tax were reduced during the revision of the formula for the distribution of the Supplemental City-County Relief Tax:

1. For fiscal year 1991-1992:

Carson City.................................................... $342,678

Churchill........................................................... 340,084

Elko.................................................................... 802,427

Humboldt.......................................................... 504,554

Lander.................................................................. 24,803

2. For fiscal year 1992-1993:

Carson City.................................................... $685,356

Churchill........................................................... 680,168

Elko................................................................ 1,604,854

Humboldt....................................................... 1,009,107

Lander.................................................................. 49,606

3. For fiscal year 1993-1994:

Carson City.................................................... $514,017

Churchill........................................................... 510,126

Elko................................................................ 1,203,641

Humboldt.......................................................... 756,830

Lander.................................................................. 37,205

4. For fiscal year 1994-1995:

Carson City.................................................... $342,678

Elko.................................................................... 802,427

Humboldt.......................................................... 504,554

Lander.................................................................. 24,803

5. For fiscal year 1995-1996:

Carson City.................................................... $171,339

Elko.................................................................... 401,214

Humboldt.......................................................... 252,277

Lander.................................................................. 12,402

(Ch. 491, Stats. 1991 p. 1450; A—Ch. 475, Stats. 1993 p. 1949)

Sec. 36. Department of Taxation to provide estimates necessary to carry out provisions of act; local governments not required to use estimates. The Department of Taxation shall provide to the Board of County Commissioners of Churchill, Elko, Humboldt, Lander and Washoe counties and the Board of Supervisors of Carson City, any estimate that is requested by the board and related to carrying out the provisions of this act. The board is not required to use any estimate provided pursuant to this section to carry out the provisions of this act.

(Ch. 491, Stats. 1991 p. 1451; A—Ch. 475, Stats. 1993 p. 1950)

Sec. 38. Reduction of rates of certain taxes in Washoe County; restriction on decrease or increase of taxes; reduction of amount of license fee for gaming activities in Washoe County.

1. The Board of County Commissioners of Washoe County shall reduce the rate of the tax ad valorem imposed pursuant to section 33 of this act by 1.5 cents per $100 of assessed valuation for the Fiscal Year 1993-1994.

2. The Board of County Commissioners of Washoe County shall reduce the rate of the tax ad valorem imposed pursuant to section 33 of this act, in addition to the reduction made pursuant to subsection 1, by 4 cents per $100 of assessed valuation for the Fiscal Year 1994-1995.

3. The Board of County Commissioners of Washoe County shall reduce the rate of the Special Governmental Services Tax imposed pursuant to section 30 of this act to the amounts shown for each $1 of valuation for the respective Fiscal Years:

2001-2002....................................................................................................... 0.8 cents

2002-2003....................................................................................................... 0.6 cents

2003-2004....................................................................................................... 0.4 cents

2004-2005....................................................................................................... 0.2 cents

The Board of County Commissioners of Washoe County shall not impose or levy that Special Governmental Services Tax for any fiscal year after June 30, 2005.

4. The Board of County Commissioners of Washoe County or Churchill County shall not, after June 30, 1994:

(a) Except as otherwise provided in subsection 2, 3 or 5, decrease the rate of any of the taxes imposed pursuant to sections 29 to 33, inclusive, of this act unless all of the local governments that are entitled to receive a monthly distribution from the Tax Distribution Fund for the county agree to the decrease.

(b) Increase the rate of any tax imposed pursuant to sections 29 to 33, inclusive, of this act.

5. If necessary to avoid violating the provisions of subsection 2 of section 31 of this act, the Board of County Commissioners of Washoe County shall reduce the amount of the license fee imposed pursuant to that section by the minimum amount necessary to comply with the provisions of subsection 2 of section 31 of this act.

(Ch. 491, Stats. 1991 p. 1451; A—Ch. 475, Stats. 1993 p. 1950; Ch. 196, Stats. 1999 p. 940; Ch. 13, Stats. 2001 p. 337)