Nevada § 373.0663 - Additional taxes in certain counties whose population is 700,000 or more: Imposition; rates and annual increases; approval by board of county commissioners; approval of certain increases by voters; effective dates

§ 373.0663. Additional taxes in certain counties whose population is 700,000 or more: Imposition; rates and annual increases; approval by board of county commissioners; approval of certain increases by voters; effective dates

1. Except as otherwise provided in this section, in a county whose population is 700,000

or more and in which a commission has been created and a tax is imposed pursuant to NRS 373.030 : (a) The board may by ordinance impose: (1) An excise tax on each gallon of motor vehicle fuel, except aviation fuel, sold

in the county in an amount equal to the product obtained by multiplying 3.6 cents

per gallon by the lesser of the applicable percentage or the adjusted average highway

and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 3.6 cents

per gallon to the amount of the tax imposed pursuant to subparagraph (1) during the

immediately preceding fiscal year, then multiplying that sum by the lesser of the

applicable percentage or the adjusted average highway and street construction inflation

index for the fiscal year in which the increase becomes effective. (b) The board may by ordinance impose: (1) An excise tax on each gallon of motor vehicle fuel, except aviation fuel, sold

in the county in an amount equal to the product obtained by multiplying 1.75 cents

per gallon by the lesser of the applicable percentage or the adjusted average highway

and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 1.75

cents per gallon to the amount of the tax imposed pursuant to subparagraph (1) during

the immediately preceding fiscal year, then multiplying that sum by the lesser of

the applicable percentage or the adjusted average highway and street construction

inflation index for the fiscal year in which the increase becomes effective. (c) The board may by ordinance impose: (1) An excise tax on each gallon of motor vehicle fuel, except aviation fuel, sold

in the county in an amount equal to the product obtained by multiplying 1 cent per

gallon by the lesser of the applicable percentage or the adjusted average highway

and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 1 cent

per gallon to the amount of the tax imposed pursuant to subparagraph (1) during the

immediately preceding fiscal year, then multiplying that sum by the lesser of the

applicable percentage or the adjusted average highway and street construction inflation

index for the fiscal year in which the increase becomes effective. (d) The board may by ordinance impose: (1) An excise tax on each gallon of motor vehicle fuel, except aviation fuel, sold

in the county in an amount equal to the product obtained by multiplying 9 cents per

gallon by the lesser of the applicable percentage or the adjusted average highway

and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 9 cents

per gallon to the amount of the tax imposed pursuant to subparagraph (1) during the

immediately preceding fiscal year, then multiplying that sum by the lesser of the

applicable percentage or the adjusted average highway and street construction inflation

index for the fiscal year in which the increase becomes effective. (e) The board may by ordinance impose: (1) An excise tax on each gallon of motor vehicle fuel, except aviation fuel, sold

in the county in an amount equal to the product obtained by multiplying 18.455 cents

per gallon by the lesser of the applicable percentage or the adjusted average highway

and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 18.455

cents per gallon to the amount of the tax imposed pursuant to subparagraph (1) during

the immediately preceding fiscal year, then multiplying that sum by the lesser of

the applicable percentage or the adjusted average highway and street construction

inflation index for the fiscal year in which the increase becomes effective. (f) The board may by ordinance impose: (1) An excise tax on each gallon of motor vehicle fuel, except aviation fuel, sold

in the county in an amount equal to the product obtained by multiplying 18.4 cents

per gallon by the lesser of the applicable percentage or the adjusted average highway

and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 18.4

cents per gallon to the amount of the tax imposed pursuant to subparagraph (1) during

the immediately preceding fiscal year, then multiplying that sum by the lesser of

the applicable percentage or the adjusted average highway and street construction

inflation index for the fiscal year in which the increase becomes effective. (g) The board may by ordinance impose: (1) An excise tax on each gallon of special fuel that consists of an emulsion of water-phased

hydrocarbon fuel sold in the county in an amount equal to the product obtained by

multiplying 19 cents per gallon by the lesser of the applicable percentage or the

adjusted average highway and street construction inflation index for the fiscal year

in which the ordinance becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 19 cents

per gallon to the amount of the tax imposed pursuant to subparagraph (1) during the

immediately preceding fiscal year, then multiplying that sum by the lesser of the

applicable percentage or the adjusted average highway and street construction inflation

index for the fiscal year in which the increase becomes effective. (h) The board may by ordinance impose: (1) An excise tax on each gallon of special fuel that consists of liquefied petroleum

gas sold in the county in an amount equal to the product obtained by multiplying 22

cents per gallon by the lesser of the applicable percentage or the adjusted average

highway and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 22 cents

per gallon to the amount of the tax imposed pursuant to subparagraph (1) during the

immediately preceding fiscal year, then multiplying that sum by the lesser of the

applicable percentage or the adjusted average highway and street construction inflation

index for the fiscal year in which the increase becomes effective. (i) The board may by ordinance impose: (1) An excise tax on each gallon of special fuel that consists of compressed natural

gas sold in the county in an amount equal to the product obtained by multiplying 21

cents per gallon by the lesser of the applicable percentage or the adjusted average

highway and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 21 cents

per gallon to the amount of the tax imposed pursuant to subparagraph (1) during the

immediately preceding fiscal year, then multiplying that sum by the lesser of the

applicable percentage or the adjusted average highway and street construction inflation

index for the fiscal year in which the increase becomes effective. (j) The board may by ordinance impose: (1) An excise tax on each gallon of special fuel sold in the county, other than any

special fuel described in paragraph (g), (h) or (i), in an amount equal to the product

obtained by multiplying 27.75 cents per gallon by the lesser of the applicable percentage

or the adjusted average highway and street construction inflation index for the fiscal

year in which the ordinance becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 27.75

cents per gallon to the amount of the tax imposed pursuant to subparagraph (1) during

the immediately preceding fiscal year, then multiplying that sum by the lesser of

the applicable percentage or the adjusted average highway and street construction

inflation index for the fiscal year in which the increase becomes effective. (k) The board may by ordinance impose: (1) An excise tax on each gallon of special fuel that consists of liquefied petroleum

gas sold in the county in an amount equal to the product obtained by multiplying 18.3

cents per gallon by the lesser of the applicable percentage or the adjusted average

highway and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 18.3

cents per gallon to the amount of the tax imposed pursuant to subparagraph (1) during

the immediately preceding fiscal year, then multiplying that sum by the lesser of

the applicable percentage or the adjusted average highway and street construction

inflation index for the fiscal year in which the increase becomes effective. (l) The board may by ordinance impose: (1) An excise tax on each gallon of special fuel that consists of compressed natural

gas sold in the county in an amount equal to the product obtained by multiplying 18.3

cents per gallon by the lesser of the applicable percentage or the adjusted average

highway and street construction inflation index for the fiscal year in which the ordinance

becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 18.3

cents per gallon to the amount of the tax imposed pursuant to subparagraph (1) during

the immediately preceding fiscal year, then multiplying that sum by the lesser of

the applicable percentage or the adjusted average highway and street construction

inflation index for the fiscal year in which the increase becomes effective. (m) The board may by ordinance impose: (1) An excise tax on each gallon of special fuel sold in the county, other than any

special fuel described in paragraph (k) or (l), which is taxed by the Federal Government

at a rate per gallon or gallon equivalent of 24.4 cents or more, in an amount equal

to the product obtained by multiplying 24.4 cents per gallon by the lesser of the

applicable percentage or the adjusted average highway and street construction inflation

index for the fiscal year in which the ordinance becomes effective; and (2) Except as otherwise provided in subsection 5, an annual increase in the tax imposed

pursuant to subparagraph (1), on the first day of each fiscal year following the fiscal

year in which that tax becomes effective, in the amount determined by adding 24.4

cents per gallon to the amount of the tax imposed pursuant to subparagraph (1) during

the immediately preceding fiscal year, then multiplying that sum by the lesser of

the applicable percentage or the adjusted average highway and street construction

inflation index for the fiscal year in which the increase becomes effective. 2. An ordinance authorized by this section must be approved by a two-thirds majority

of the members of the board. If the board adopts an ordinance authorized by this section, the ordinance must

impose all of the taxes authorized by this section. Upon the adoption of such an ordinance, and except as otherwise provided in subsection

5, no further action by the board is necessary to effectuate the annual increases

in the taxes imposed by the ordinance. 3. If the board adopts an ordinance imposing the taxes authorized by this section,

the ordinance: (a) Must be adopted before October 1, 2013; (b) Must become effective on January 1, 2014; and (c) Is not affected by any changes in the population of the county which occur after

the adoption of the ordinance. 4. The applicable percentage specified by the board for the taxes imposed pursuant

to this section must be the same percentage for each tax imposed pursuant to this

section. Except as otherwise provided in subsection 5, the board may amend the applicable

percentage by ordinance from time to time, but any such amendment must not become

effective earlier than 90 days after the date of the adoption of the ordinance amending

the applicable percentage. Except as otherwise provided in subsection 4 of NRS 373.120 , the applicable percentage must not be amended to reduce the applicable percentage

at any time that bonds are outstanding which are secured by the taxes imposed pursuant

to this section. 5. Upon the adoption of an ordinance authorized by this section: (a) For the period beginning on January 1, 2014, and ending on December 31, 2016,

no further action by the board is necessary to effectuate the annual increases in

the taxes imposed by the ordinance. (b) For the period beginning on January 1, 2017, and ending on December 31, 2026,

the annual increases in the taxes authorized by this section and imposed by the ordinance

may not be effectuated unless a question is placed on the ballot at the general election

on November 8, 2016, which asks the voters in the county whether to authorize the

board to impose, for the period beginning on January 1, 2017, the increases authorized

by this section in the taxes imposed by the ordinance and the question is approved

by a majority of the registered voters voting on the question. If the question is approved by a majority of such voters, no further action by the

board is necessary to effectuate the annual increases in the taxes authorized by this

section and imposed by the ordinance. If the question is not approved by a majority of such voters, the board shall not

impose any additional annual increases in the taxes authorized by this section and

imposed by the ordinance after November 8, 2016, but any annual increases in such

taxes imposed by the ordinance on or before November 8, 2016, are not affected, amended,

reduced or eliminated and must be continued for any period during which bonds are

outstanding that are secured by such taxes imposed by the ordinance. (c) For the period beginning on January 1, 2027, if the question placed on the ballot

pursuant to paragraph (b) is approved by a majority of the registered voters in the

county voting on the question, the annual increases in the taxes authorized by this

section and imposed by the ordinance may be effectuated if a question is placed on

the ballot at the general election on November 3, 2026, which asks the voters in the

county whether to authorize the board to impose, for the period beginning on January

1, 2027, the increases authorized by this section in the taxes imposed by the ordinance

and the question is approved by a majority of the registered voters voting on the

question. If the question is approved at the general election on November 3, 2026, by a majority

of such voters, no further action by the board is necessary to effectuate the annual

increases in the taxes authorized by this section and imposed by the ordinance. If the question is not approved by a majority of such voters, the board shall not

impose any additional annual increases in the taxes authorized by this section and

imposed by the ordinance after November 3, 2026, but any annual increases in such

taxes imposed by the ordinance on or before November 3, 2026, are not affected, amended,

reduced or eliminated and must be continued for any period during which bonds are

outstanding that are secured by such taxes imposed by the ordinance. 6. As used in this section: (a) “ Adjusted average highway and street construction inflation index ” means: (1) For the fiscal year in which an ordinance adopted pursuant to this section becomes

effective, the percentage obtained by adding the average highway and street construction

inflation index for that fiscal year to: (I) If the average highway and street construction inflation index for the immediately

preceding fiscal year is greater than the applicable percentage, the remainder obtained

by subtracting the applicable percentage from the average highway and street construction

inflation index for the immediately preceding fiscal year; or (II) If the average highway and street construction inflation index for the immediately

preceding fiscal year is less than or equal to the applicable percentage, zero; and (2) For each fiscal year following the fiscal year in which the ordinance becomes

effective, the percentage obtained by adding the average highway and street construction

inflation index for that fiscal year to: (I) If the adjusted average highway and street construction inflation index for the

immediately preceding fiscal year is greater than the applicable percentage, the remainder

obtained by subtracting the applicable percentage from the adjusted average highway

and street construction inflation index for the immediately preceding fiscal year;

or (II) If the adjusted average highway and street construction inflation index for the

immediately preceding fiscal year is less than or equal to the applicable percentage,

zero. (b) “ Applicable percentage ” means the lesser of 7.8 percent or the percentage specified by the board in any

ordinance imposing a tax pursuant to this section. (c) “ Average highway and street construction inflation index ” means for a fiscal year the average percentage increase in the highway and street

construction inflation index for the 10 calendar years immediately preceding the beginning

of that fiscal year. (d) “ Highway and street construction inflation index ” means: (1) The Producer Price Index for Highway and Street Construction until that Index

ceased to be published; and (2) The Producer Price Index for Other Nonresidential Construction thereafter or,

if that Index ceases to be published by the United States Department of Labor, the

published index that most closely measures inflation in the costs of highway and street

construction, as determined by the commission. (e) “ Special fuel ” has the meaning ascribed to it in NRS 366.060 .