NRS278.710. Imposition of tax on privilege of development; special election; rate of tax; collection of tax; use of revenue; applicability of chapter 278B of NRS.

      1.  A board of county commissioners may by ordinance, but not as in a case of emergency, impose a tax for the improvement of transportation on the privilege of new residential, commercial, industrial and other development pursuant to paragraph (a) or (b) as follows:

      (a) After receiving the approval of a majority of the registered voters of the county voting on the question at a special election or the next primary or general election, the board of county commissioners may impose the tax throughout the county, including any such development in incorporated cities in the county. A county may combine this question with a question submitted pursuant to NRS 244.3351, 371.045 or 377A.020, or any combination thereof.

      (b) After receiving the approval of a majority of the registered voters who reside within the boundaries of a transportation district created pursuant to NRS 244A.252, voting on the question at a special or general district election or primary or general state election, the board of county commissioners may impose the tax within the boundaries of the district. A county may combine this question with a question submitted pursuant to NRS 244.3351.

      2.  A special election may be held only if the board of county commissioners determines, by a unanimous vote, that an emergency exists. The determination made by the board of county commissioners is conclusive unless it is shown that the board acted with fraud or a gross abuse of discretion. An action to challenge the determination made by the board must be commenced within 15 days after the board’s determination is final. As used in this subsection, “emergency” means any unexpected occurrence or combination of occurrences which requires immediate action by the board of county commissioners to prevent or mitigate a substantial financial loss to the county or to enable the board of county commissioners to provide an essential service to the residents of the county.

      3.  The tax imposed pursuant to this section must be at such a rate and based on such criteria and classifications as the board of county commissioners determines to be appropriate. Each such determination is conclusive unless it constitutes an arbitrary and capricious abuse of discretion, but the tax imposed must not:

      (a) For any fiscal year beginning:

            (1) Before July 1, 2003, exceed $500;

             (2) On or after July 1, 2003, and before July 1, 2005, exceed $650;

             (3) On or after July 1, 2005, and before July 1, 2010, exceed $700;

             (4) On or after July 1, 2010, and before July 1, 2015, exceed $800;

             (5) On or after July 1, 2015, and before July 1, 2020, exceed $900; or

             (6) On or after July 1, 2020, exceed $1,000,

Ê per single-family dwelling unit of new residential development, or the equivalent thereof as determined by the board of county commissioners; or

      (b) For any fiscal year beginning:

             (1) Before July 1, 2003, $0.50;

             (2) On or after July 1, 2003, and before July 1, 2005, exceed $0.65;

             (3) On or after July 1, 2005, and before July 1, 2010, exceed $0.75;

             (4) On or after July 1, 2010, and before July 1, 2015, exceed $0.80;

             (5) On or after July 1, 2015, and before July 1, 2020, exceed $0.90; or

             (6) On or after July 1, 2020, exceed $1.00,

Ê per square foot on other new development.

      4.  If so provided in an ordinance adopted pursuant to this section, a newly developed lot for a mobile home must be considered a single-family dwelling unit of new residential development.

      5.  The tax imposed pursuant to this section must be collected before the time a certificate of occupancy for a building or other structure constituting new development is issued, or at such other time as is specified in the ordinance imposing the tax. If so provided in the ordinance, no certificate of occupancy may be issued by any local government unless proof of payment of the tax is filed with the person authorized to issue the certificate of occupancy. Collection of the tax imposed pursuant to this section must not commence earlier than the first day of the second calendar month after adoption of the ordinance imposing the tax.

      6.  In a county in which a tax has been imposed pursuant to paragraph (a) of subsection 1, the revenue derived from the tax must be used exclusively to pay the cost of:

      (a) Projects related to the construction and maintenance of sidewalks, streets, avenues, boulevards, highways and other public rights-of-way used primarily for vehicular traffic, including, without limitation, overpass projects, street projects and underpass projects, as defined in NRS 244A.037, 244A.053 and 244A.055, respectively:

             (1) Within the boundaries of the county;

             (2) Within 1 mile outside the boundaries of the county if the board of county commissioners finds that such projects outside the boundaries of the county will facilitate transportation within the county; or

             (3) Within 30 miles outside the boundaries of the county and the boundaries of this State, where those boundaries are coterminous, if:

                   (I) The projects consist of improvements to a highway which is located wholly or partially outside the boundaries of this State and which connects this State to an interstate highway; and

                   (II) The board of county commissioners finds that such projects will provide a significant economic benefit to the county;

      (b) The principal and interest on notes, bonds or other obligations incurred to fund projects described in paragraph (a); or

      (c) Any combination of those uses.

      7.  In a transportation district in which a tax has been imposed pursuant to paragraph (b) of subsection 1, the revenue derived from the tax must be used exclusively to pay the cost of:

      (a) Projects related to the construction and maintenance of sidewalks, streets, avenues, boulevards, highways and other public rights-of-way used primarily for vehicular traffic, including, without limitation, overpass projects, street projects and underpass projects, as defined in NRS 244A.037, 244A.053 and 244A.055, respectively, within the boundaries of the district or within such a distance outside those boundaries as is stated in the ordinance imposing the tax, if the board of county commissioners finds that such projects outside the boundaries of the district will facilitate transportation within the district;

      (b) The principal and interest on notes, bonds or other obligations incurred to fund projects described in paragraph (a); or

      (c) Any combination of those uses.

      8.  The county may expend the proceeds of the tax authorized by this section, or any borrowing in anticipation of the tax, pursuant to an interlocal agreement between the county and the regional transportation commission of the county with respect to the projects to be financed with the proceeds of the tax.

      9.  The provisions of chapter 278B of NRS and any action taken pursuant to that chapter do not limit or in any other way apply to any tax imposed pursuant to this section.

      (Added to NRS by 1991, 33; A 1993, 1046, 2780, 2822; 1999, 1671; 2001, 1666; 2003, 956)