Existing law authorizes the governing body of any city or county to create a tourism improvement district (TID) and to pledge revenue from several sales and use taxes imposed in that district to finance certain projects within the district. (Chapter 271A of NRS) Existing law defines the term “project” to mean an art project, a tourism and entertainment project, a sports stadium and certain recreational projects. (NRS 271A.050) Section 3.5 of this bill removes a sports stadium from the definition of a project, thereby prohibiting a municipality from pledging revenue in a district to finance a sports stadium within a TID. Section 4 of this bill eliminates the authority of the governing body of a city in a county whose population is less than 700,000 (currently all cities other than Boulder City, the City of Henderson, the City of Las Vegas, the City of Mesquite and the City of North Las Vegas) or of a county whose population is less than 700,000 (currently all counties other than Clark County) to create a TID on or after July 1, 2021. Section 4 therefore retains the authority of a governing body of a city in a county whose population is 700,000 or more (currently Boulder City, the City of Henderson, the City of Las Vegas, the City of Mesquite and the City of North Las Vegas) or of a county whose population is 700,000 or more (currently Clark County) to create a TID on or after July 1, 2021. Existing law requires, with certain exceptions, the Department of Taxation to prepare and submit a semiannual report to the Director of the Legislative Counsel Bureau and the governing body of a municipality related to a tourism improvement district (TID) that states: (1) the amount of revenue from the taxable sales made each month by the businesses within a TID; (2) the portion of revenue which is attributable to persons who are not residents of this State; (3) the amount of the wages paid each month by the businesses within the TID; and (4) the number of full-time and part-time employees employed each month by businesses within the TID. The report must provide the information separately for each TID in the municipality unless reporting the information separately would disclose or result in the disclosure of information about an individual business. Further, the Department is not required to prepare and submit the report if the report cannot be prepared in a manner which would not disclose or result in the disclosure of information about an individual business. (NRS 271A.105) Section 6 of this bill additionally requires the report to state: (1) the name and geographic location of the TID; (2) the total amount of money pledged and distributed to the municipality; and (3) the remaining number of payments, and the amount of those payments, on any bonds or notes issued by the municipality. Section 6 requires the Department to report alternate information if the Department determines that reporting the prescribed information for a district which includes more than one business would disclose or result in the disclosure of proprietary information about an individual business. Section 6 also requires, to the extent possible, the report to provide the information separately for each TID that includes more than one business. Section 7 of this bill makes a conforming change to make an exception to the law that provides that records and files of the Department concerning the administration or collection of any tax, fee, assessment or other amount required by law to be collected are confidential and privileged. Existing law authorizes under certain circumstances the pledge of certain sales and use tax proceeds by a city, county or town in a county whose population is less than 700,000 (currently all counties other than Clark County) to finance certain projects for the promotion of economic development and tourism in a local improvement district. (NRS 271.650-271.680) Section 14 of this bill eliminates this authority. Sections 1-3, 5 and 8-12 of this bill make conforming changes as a result of the elimination of the authority.

Statutes affected:
As Introduced: 271A.105, 360.255
Reprint 1: 271A.105, 360.255
Reprint 2: 271.265, 271.431, 271.4315, 271A.070, 271A.080, 271A.105, 360.255, 374.785, 377.050, 377.055, 377.057, 387.1212
Reprint 3: 271.265, 271.431, 271.4315, 271A.050, 271A.070, 271A.080, 271A.105, 360.255, 374.785, 377.050, 377.055, 377.057, 387.1212
As Enrolled: 271.265, 271.431, 271.4315, 271A.050, 271A.070, 271A.080, 271A.105, 360.255, 374.785, 377.050, 377.055, 377.057, 387.1212