Nevada § 349.306 - Covenants and other provisions in state securities

Full text of Nevada Nevada Revised Statutes § 349.306 — Covenants and other provisions in state securities, with citation guidance and answers to common questions.

§ 349.306. Covenants and other provisions in state securities

Any resolution providing for the issuance of any bonds or other state securities hereunder

payable from pledged revenues and any indenture or other instrument or proceedings

appertaining thereto may at the discretion of the Commission contain covenants or

other provisions, notwithstanding such covenants and provisions may limit the exercise

of powers conferred hereby, in order to secure the payment of such securities, in

agreement with the holders of such securities, including without limitation covenants

or other provisions as to any one or more of the following: 1. The pledged revenues and, in the case of general obligations, the taxes to be fixed,

charged or levied and the collection, use and disposition thereof, including but not

limited to the foreclosure of liens for delinquencies, the discontinuance of services,

facilities or use of any properties or facilities, prohibition against free service,

the collection of penalties and collection costs, and the use and disposition of any

moneys of the State, derived or to be derived, from any source herein designated; 2. The acquisition, improvement or equipment of all or any part of properties pertaining

to any project or any facilities; 3. The creation and maintenance of reserves or sinking funds to secure the payment

of the principal of and interest on any securities or of operation and maintenance

expenses of any facilities, or part thereof, and the source, custody, security, regulation,

use and disposition of any such reserves or funds, including but not limited to the

powers and duties of any trustee with regard thereto; 4. A fair and reasonable payment by the State from its General Fund or other available

moneys to the account of any designated facilities for services rendered thereby to

the State; 5. The payment of the cost of any project by delineating the purpose or purposes to

which the proceeds of the sale of securities may be applied, and the custody, security,

use, expenditure, application and disposition thereof; 6. The temporary investment and any reinvestment of proceeds of bonds, other securities,

any taxes or pledged revenues, or any combination thereof, in federal securities and

other securities issued by the Federal Government; 7. The pledge of and the creation of a lien upon pledged revenues or the proceeds

of bonds or other state securities pending their application to defray the cost of

any project, or both such revenues and proceeds of such securities, to secure the

payment of bonds or other securities issued hereunder; 8. The payment of the principal of and interest on any securities, and any prior redemption

premiums due in connection therewith, and the sources and methods thereof, the rank

or priority of any securities as to any lien or security for payment, or the acceleration

of any maturity of any securities, or the issuance of other or additional securities

payable from or constituting a charge against or lien upon any pledged revenues or

other moneys pledged for the payment of securities and the creation of future liens

and encumbrances thereagainst; 9. The use, regulation, inspection, management, operation, maintenance or disposition,

or any limitation or regulation of the use, of all or any part of the facilities or

any property of the State appertaining thereto; 10. The determination or definition of pledged revenues from any facilities or of

operation and maintenance expenses of facilities, the use and disposition of such

revenues and the manner of and limitations upon paying such expenses; 11. The creation of special funds and accounts appertaining to any pledged revenues

or to the bonds or other securities issued hereunder; 12. The insurance to be carried by the State or any other person in interest and use

and disposition of insurance moneys, the acquisition of completion, performance, surety

and fidelity bonds appertaining to any project or funds, or both, and the use and

disposition of any proceeds of such bonds; 13. Books of account, the inspection and audit thereof, and other records appertaining

to any project, facilities or pledged revenues; 14. The assumption or payment or discharge of any obligation, lien or other claim

relating to any part of any project, any facilities or any securities having or which

may have a lien on any part of any pledged revenues or other moneys of the state; 15. Limitations on the powers of the State to acquire or operate, or permit the acquisition

or operation of, any structures, facilities or properties which may compete or tend

to compete with any facilities; 16. The vesting in a corporate or other trustee or trustees of such property, rights,

powers and duties in trust as the Commission may determine, which may include any

or all of the rights, powers and duties of the trustee appointed by the holders of

securities, and limiting or abrogating the right of such holders to appoint a trustee,

or limiting the rights, duties and powers of such trustee; 17. Events of default, rights and liabilities arising therefrom, and the rights, liabilities,

powers and duties arising upon the breach by the State of any covenants, conditions

or obligations; 18. The terms and conditions upon which the holders of the securities or any portion,

percentage or amount of them may enforce any covenants or provisions made hereunder

or duties imposed thereby; 19. The terms and conditions upon which the holders of the securities or of a specified

portion, percentage or amount thereof, or any trustee therefor, shall be entitled

to the appointment of a receiver, which receiver may enter and take possession of

any facilities or service, operate and maintain the same, prescribe fees, rates and

charges, and collect, receive and apply all revenues thereafter arising therefrom

in the same manner as the State itself might do; 20. A procedure by which the terms of any resolution authorizing securities, or any

other contract with any holders of securities, including but not limited to an indenture

of trust or similar instrument, may be amended or abrogated, and as to the proportion,

percentage or amount of securities the holders of which must consent thereto, and

the manner in which such consent may be given; 21. The terms and conditions upon which any or all of the securities shall become

or may be declared due before maturity, and as to the terms and conditions upon which

such declaration and its consequences may be waived; and 22. All such acts and things as may be necessary or convenient or desirable in order

to secure the securities, or in the discretion of the Commission tend to make the

securities more marketable, notwithstanding that such covenant, act or thing may not

be enumerated herein, it being the intention hereof to give the Commission power to

do in the name and on behalf of the State all things in the issuance of state securities

and for their security except as herein expressly limited.

Source: official Nevada text · Last verified 2026-08-27

Frequently Asked Questions About Nevada § 349.306

What does Nevada Revised Statutes § 349.306 cover?

Section 349.306 ("Covenants and other provisions in state securities") is part of the Nevada Revised Statutes, the codified statutory law of Nevada. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite Nevada § 349.306?

A common citation format is "Nevada Revised Statutes § 349.306" (Nevada). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of Nevada law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Nevada official source linked on this page or consult a licensed Nevada attorney.

How does Nevada § 349.306 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Nevada can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in Nevada.