Nevada § 354.725 - Severe financial emergency: Termination or modification of management of local government on motion of Nevada Tax Commission or at request of local government or Committee on Local Government Finance

§ 354.725. Severe financial emergency: Termination or modification of management of local government on motion of Nevada Tax Commission or at request of local government or Committee on Local Government Finance

1. The Nevada Tax Commission may, on its own motion or at the request of a local government

or the Committee, terminate the management of a local government by the Department

at any time upon a finding that the severe financial emergency has ceased to exist. 2. The governing body of a local government which has complied with all requests made

by the Department pursuant to NRS 354.695 may petition the Nevada Tax Commission for termination or modification of the management

of the local government by the Department or of any request made by the Department

pursuant to NRS 354.695 . 3. The Commission shall not terminate or modify the management of a local government

pursuant to subsection 1 or 2 without first obtaining a recommendation from the Committee

as to the termination or modification. 4. The Nevada Tax Commission shall provide notice, a hearing and a written decision

on each such petition. 5. In determining whether a condition of severe financial emergency should be terminated,

the Nevada Tax Commission shall give consideration to the following: (a) The local governing body has shown a desire and capability to manage the financial

affairs of the local government in accordance with the provisions of NRS. (b) The local government has staff available with sufficient financial expertise that

they can adequately control the finances of the local government. (c) All violations of statutes have been corrected. (d) The local government has no funds with deficit fund balances. (e) The local government has increased its revenues or made appropriate expenditure

reductions so that it is anticipated that it can operate for the next fiscal year

in a positive cash and fund balance position without imposing any increased or additional

tax pursuant to NRS 354.705 . (f) The governing body has expressed a determination through a resolution submitted

to the Department of Taxation to manage the affairs of the local government in accordance

with the provisions of NRS relating to financial matters and utilizing sound accounting

and financial management practices. 6. The Nevada Tax Commission may require the governing body to submit special reports

to the Department for a period not to exceed 5 years as a condition of terminating

the management of the local government by the Department. 7. When a petition relating to a specific request is denied, the governing body may

not resubmit a petition to terminate or modify that request until 3 months following

the date of denial.