Nevada § 333A.100 - Indebtedness of State under contract; term of contracts

§ 333A.100. Indebtedness of State under contract; term of contracts

1. Notwithstanding any provision of this chapter to the contrary, a performance contract

entered into pursuant to this chapter does not create a debt for the purposes of Section 3 of Article 9 of the Nevada Constitution . 2. Except as otherwise provided in this section, the term of a performance contract

may extend beyond the biennium in which the contract is executed, provided that the

performance contract contains a provision which states that all obligations of the

State under the performance contract are extinguished at the end of any fiscal year

if the Legislature fails to provide an appropriation to the using agency for the ensuing

fiscal year for payments to be made under the performance contract. If the Legislature fails to appropriate money to a using agency for a performance

contract, there is no remedy against the State, except that if a security interest

in any property was created pursuant to the performance contract, the holder of such

a security interest may enforce the security interest against that property. Except as otherwise provided in NRS 333A.0916 , the term of a performance contract must not exceed 20 years after the date on which

the work required by the performance contract is completed. 3. The length of a performance contract may reflect the useful life of the operating

cost-savings measure being installed or purchased under the performance contract.