AB 301 — Revises provisions relating to community development. (BDR 25-1047)

and (3) submit to the Division a final application for the issuance of transferable tax credits not less than 45 days before the project closes.

A project sponsor that is issued transferable tax credits is authorized to transfer the credits to another entity, which may transfer those transferable tax credits to one or more of its subsidiaries or affiliates.

(NRS 360.867) Section 5 of this bill:

(1) requires, with certain exceptions, a final application for the issuance of transferable tax credits to be submitted not less than 15 days before the closing of the project rather than not less than 45 days before the closing of the project;

(2) authorizes a project sponsor to demonstrate the acquisition of the site;

and (3) authorizes a project sponsor to transfer transferable tax credits to a member or partner of the project sponsor to any other entity, who may then transfer the transferable tax credits to another entity.

- 83rd Session (2025) – 3 – EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

- *AB301_R1* – 2 – 2.

The secretary shall keep audio recordings or transcripts of all meetings and,and [, in a well-bound book,book,] a record of all of the board’s proceedings,contracts, minutesbonds ofgiven by employees , [and] all meetings,corporate acts [.] and any certificates,other contracts,information bondsor givenrecords bynecessary employeesfor andcarrying allout corporatethe acts.duties of the board.

Except as otherwise provided in NRS 241.035, the[the book,book,] audio recordings, transcripts and records must be open to inspection of all owners of real property in the district as well as to all other interested persons.

The treasurer shall keep strict and accurate accounts of all money received by and disbursed for and on behalf of the district , including, without limitation, all audits and financial statements, in permanent records.

All records of the board’s actions, including, without be:itation, minutes, budgets, audits and financial statements, must (a) Published on the Internet website maintained by the board;

or - 83rd Session (2025) – 4 – publication on the Internet website of the county.

All information provided to the county pursuant to this paragraph must be submitted in a format that allows for publishing in accordance with Title II of the Americans with Disabilities Act.

6.

6.7.

The compensation of the members of a board is payable monthly, if the budget is adequate and a majority of the members of the board vote in favor of such compensation, but no member of the board may receive any other compensation for his or her service to themust districtreceive asthe ansame employeeamount orof otherwise.compensation.

Each member of the board must receive the same amount of compensation.

[6.] 7.8.

- *AB301_R1* – 3 – Sec.

(Deleted by amendment.) HSec. - *AB301_R1*

3.

NRS 318.1192 is hereby amended to read as follows:

318.1192 1.

In the case of a district created wholly or in part for acquiring television maintenance facilities, the board shall have power to:

[1.] (a) Acquire television broadcast, transmission and relay improvements and construct and operate a video service network pur[2.] (b) Levy special assessments against specially benefited real property on which are located television receivers operated within the district and able to receive television broadcasts supplied by the district.

[3.] (c) Fix tolls, rates and other service or use charges for services furnished by the district or facilities of the district, including, without limitation, any one, all or any combination of the following:

[(a)] (1) Flat rate charges;

- 83rd Session (2025) – 5 – [(b)] (2) Charges classified by the number of receivers;

[(c)] (3) Charges classified by the value of property served by television receivers;

[(d)] (4) Charges classified by the character of the property ser[(e)] (5) Minimum charges;s;

[(f)] (6) Stand-by charges;

or [(g)] (7) Other charges based on the availability of service.

[4.] 2.

The district shall not have the power in connection with the basic power stated in this section to borrow money which loan is evidenced by the issuance of any general obligation bonds or other general obligations of the district.

3.

The board of the district shall submit an annual report to the board of county commissioners of the county in which the district is located.

The annual report must set forth, without limitation:

(a) The budget and expenditures of the district;

(b) The status of the equipment of the district;

(c) The status of any license held by the district;

(d) A recommendation as to whether the continuation of the district is necessary;

and (e) Any information necessary for the board of county commissioners to review the work of the board and determine whether the board is achieving its statutory purpose.

Sec.

4.

NRS 354.475 is hereby amended to read as follows:

354.475 1.

All special districts subject to the provisions of the Local Government Budget and Finance Act with annual total Taxation for exemption from the requirements of the Localtment of Government Budget and Finance Act for the filing of certain budget documents and audit reports.

Such districts may further petition to use a cash basis of accounting.

2.

A special district subject to the provisions of the Local Government Budget and Finance Act with budgeted annual total expenditures of $300,000 or more in a fiscal year that reasonably anticipates its actual annual total expenditures for that fiscal year will be less than $300,000 may petition the Department of Taxation for a conditional exemption from the requirement of providing for an annual audit pursuant to NRS 354.624 for that fiscal year.

If the actual annual total expenditures of the special district are $300,000 or more, the special district shall provide for an annual audit for that fiscal year.

3.

A petition filed with the Department of Taxation:

- 83rd Session (2025) – 6 – (a) Pursuant to subsection 1 must be received by the Department of Taxation on or before March 1 to be effective for the succeeding fiscal year;

or (b) Pursuant to subsection 2 must be received by the Department fiscal year.on or before March 1 to be effective for the current 4.

A board of county commissioners may request the Department of Taxation to audit the financial records of a special district that is exempt from the requirement of providing for an annual audit pursuant to this section.

5.

If a petition filed by a special district pursuant to subsection is granted by the Department of Taxation:

(a) The minimum required of the special district is the filing with the Department of Taxation of an annual budget on or before April 15 of each year and the filing of fiscal reports in accordance with NRS 354.6015;

and (b) The special district is exempt from all publication requirements of the Local Government Budget and Finance Act, except that the Department of Taxation by regulation shall require an annual publication of a notice of budget adoption and filing.

If a petition filed by a general improvement district pursuant to subsection 1 is granted by the Department of Taxation, the board of the general improvement district is exempt from all publication requirements of the Local Government Budget and Finance Act but shall publish the district’s budget, financial statements and audits that are described in NRS 318.085.

6.

The Committee on Local Government Finance shall adopt out the purposes of this section.94 which are necessary to carry 7.

The revenue recorded in accounts that are kept on a cash basis must consist of cash items.

8.

As used in this section, “cash basis” means the system of accounting under which revenues are recorded only when received and expenditures or expenses are recorded only when paid.

Sec.

5.

NRS 360.867 is hereby amended to read as follows:

360.867 1.

On behalf of a project, the project sponsor may apply to the Division for a certificate of eligibility for transferable tax credits which may be applied to:

(a) Any tax imposed by chapter 363A or 363B of NRS;

(b) The gaming license fees imposed by the provisions of NRS 463.370;

(c) Any tax imposed by chapter 680B of NRS;

or - 83rd Session (2025) – 7 – paragraphs (a), (b) and (c).e fees and taxes described in 2.

To apply for a certificate of eligibility for transferable tax credits, the project sponsor must:

(a) Submit an application on a form prescribed by the Division;

and (b) Comply with the requirements to obtain an allocation of federal low-income housing tax credits which are set forth in the qualified allocation plan.

3.

The Division shall:

(a) Review each application for a certificate of eligibility for transferable tax credits submitted pursuant to subsection 2 and any supporting documents to determine whether the requirements for eligibility for a reservation of transferable tax credits are met and the amount of transferable tax credit threshold points awarded to the project;

(b) Determine the amount of transferable tax credits for which determined by the Division to be necessary to make the projectt financially feasible after considering all other sources of financing for the project;

and (c) Reserve the amount of transferable tax credits for which each project is determined to be eligible pursuant to paragraph (b) in the order of the amount of transferable tax credit threshold points awarded to each such project pursuant to paragraph (a) until a reservation is made for each project or the amount of transferable credits reserved for the fiscal year is equal to the amount of transferable tax credits which the Division is authorized to approve for the fiscal year pursuant to NRS 360.868, whichever occurs first.

If the amount of transferable tax credits reserved for the fiscal year reaches the amount of transferable tax credits which the Division is authorized to approve for the fiscal year pursuant to NRS 360.868 before each eligible project is reserved the full amount of pursuant to paragraph (b), the Division may take any action that the Division determines will ensure the maximum development of affordable housing in this State, including, without limitation, proportionally reducing the reservation of each project for which transferable tax credits are reserved or reserving for the last project to receive a reservation of transferable tax credits an amount of transferable tax credits that is less than the full amount of transferable tax credits for which the project was determined to be eligible pursuant to paragraph (b).

- 83rd Session (2025) – 8 – pursuant to subsection 3, the Division shall provide written notice oft the reservation which identifies the amount of the tax credits reserved for the project to:

(a) The project sponsor;

(b) The Department;

(c) The Nevada Gaming Control Board;

(d) The Office of Finance;

and (e) The Fiscal Analysis Division of the Legislative Counsel Bureau.

5.

The Division:

(a) Shall terminate a reservation of transferable tax credits if the project for which the reservation is awarded is not closed within the period specified in paragraph (a) of subsection 6 unless, before the expiration of that period, the Division receives from the project sponsor a written request for an extension of not more than 45 days.

The Division may grant only one extension pursuant to this the extension period, the Division must terminate the reservation of transferable tax credits.

A request for an extension submitted pursuant to this paragraph must be accompanied by proof satisfactory to the Division that:

(1) The requirements for financing the project have been substantially completed;

(2) The delay in closing was the result of circumstances that could not have been anticipated by and were outside the control of the project sponsor at the time the application was submitted by the project sponsor;

and (3) The project will be closed not later than 45 days after the Division receives the request.

(b) May terminate a reservation of transferable tax credits if the Division determines that any event, circumstance or condition occurs for which a reservation of federal low-income housing tax pursuant to this paragraph, the Division may issue a reservation ford the amount of transferable tax credits terminated to other projects eligible for transferable tax credits in the order of the amount of transferable tax credit threshold points awarded to each such project pursuant to paragraph (a) of subsection 3.

6.

Except as otherwise provided in this section, to be issued transferable tax credits:

(a) Not later than 270 days after the Division provides written notice of the reservation of transferable tax credits pursuant to - 83rd Session (2025) – 9 – that the project has been closed by providing proof satisfactory to the Division that the project sponsor has:

(1) Purchased and holds title in fee simple to , or has entered into a long-term ground lease for, the project site in the name of the project sponsor.

(2) Entered into a written agreement with a contractor who is licensed in this State to begin construction.

(3) Obtained adequate financing for the construction of the project.

The applicant must provide written commitments or contracts from third parties.

(4) Executed a written commitment for a loan for permanent financing for the construction of the project in an amount that ensures the financial feasibility of the project.

The commitment may be subject to the condition that the construction is completed and the project is appraised for an amount sufficient to justify the loan in accordance with the requirements of the lender for credit.

If the from the United States Department of Agriculture, the applicantrants must provide a form approved by the Division that indicates that money has been obligated for the construction of the project before the expiration of the period.

An advance of that money is not required before the expiration of the period.

(b) Not less than [45] 15 days before the project is closed, the project sponsor must submit to the Division a final application for transferable tax credits on a form provided by the Division and such other information as the Division deems necessary to determine whether the project qualifies for the issuance of transferable tax credits.

Upon receipt of a final application pursuant to this paragraph, the Division shall complete a review of the project and the project sponsor.

If, after such review, the Division determines that the project complies with the requirements upon which transferable tax credits were reserved pursuant to this section and a in the office of the county recorder for the county in which therded project is located:

(1) The Division shall:

(I) Determine the appropriate amount of transferable tax credits for the project, which must be the amount the Division determines is necessary to make the project financially feasible after all other sources of funding are allocated and paid toward the final cost of the project and may not exceed the amount of transferable tax credits reserved for the project pursuant to this section;

and - 83rd Session (2025) – 10 – credits will be issued;he project sponsor that the transferable tax (2) Within 30 days after the receipt of the notice, the project sponsor shall make an irrevocable declaration of the amount of transferable tax credits that will be applied to each fee or tax set forth in subsection 1, thereby accounting for all of the credits which will be issued;

and (3) Upon receipt of the declaration described in subparagraph (2), the Division shall issue transferable tax credits to the project sponsor in the amount approved by the Division.

The project sponsor may transfer the transferable tax credits to a member or partner of the project sponsor or to any other entity.

The project sponsor shall notify the Division upon transferring any transferable tax credits.

An entity to which a project sponsor transfers any transferable tax credits may transfer those transferable tax credits to one or more of its subsidiaries or affiliates and shall notify the Division upon making any such transfer.

The Division shall notify Analysis Division of the Legislative Counsel Bureau and theal Nevada Gaming Control Board of all transferable tax credits issued, segregated by each fee or tax set forth in subsection 1, and of all transferable tax credits transferred, segregated by each fee or tax set forth in subsection 1.

7.

Upon completion of the project, the project sponsor shall submit to the Division a certification of costs on a form provided by the Division and such other information as the Division deems necessary to determine the final cost of the project.

If, based upon the final cost of the project indicated in the certification of costs, the Division determines that the amount of transferable tax credits issued by the Division to the project sponsor is greater than the amount of transferable tax credits to which the project sponsor is entitled:

(a) The Division shall notify the project sponsor, the Department the Legislative Counsel Bureau and the Nevada Gaming Controlsion of Board that the project sponsor is required to repay the portion of the transferable tax credits to which the project sponsor is not entitled.

The notice must specify the amount of transferable tax credits that the project sponsor is required to repay.

(b) The project sponsor shall repay to the Department of Taxation or the Nevada Gaming Control Board, as applicable, the portion of the transferable tax credits to which the project sponsor is not entitled.

- 83rd Session (2025) – 11 – Administrator of the Division to protect from disclosure any information in the application which, under generally accepted business practices, would be considered a trade secret or other confidential proprietary information of the business.

After consulting with the business, the Administrator of the Division shall determine whether to protect the information from disclosure.

The decision of the Administrator of the Division is final and is not subject to judicial review.

If the Administrator of the Division determines to protect the information from disclosure, the protected information:

(a) Is confidential proprietary information of the business;

(b) Is not a public record;

(c) Must be redacted by the Administrator of the Division from any copy of the application that is disclosed to the public;

and (d) Must not be disclosed to any person who is not an officer or employee of the Division unless the lead participant consents to the dis9.

The Division may adopt any regulations necessary to carry out the provisions of NRS 360.860 to 360.870, inclusive.

10.

The Nevada Tax Commission and the Nevada Gaming Commission:

(a) Shall adopt regulations prescribing the manner in which transferable tax credits described in this section will be administered.

(b) May adopt any other regulations that are necessary to carry out the provisions of NRS 360.860 to 360.870, inclusive.

11.

As used in this section:

(a) “Affiliate” means a person who, directly or indirectly through one or more intermediaries, controls, is controlled by or is under common control with a specified person.

(b) “Certification of costs” means a report from an independent certified public accountant attesting:

project;

ando the amount of the actual costs of construction of the (2) That those costs may be included in the eligible basis of the project pursuant to the provisions of 26 U.S.C.

§ 42.

(c) “Subsidiary” means an entity in which a person owns beneficially or of record 50 percent or more of the outstanding equity interests.

(d) “Transferable tax credit threshold points” means points awarded based on specific objectives determined by the Division through the dissemination of a strategic plan for the development of - 83rd Session (2025) – 12 – affordable housing created by the Division, the review of housing data and the receipt of input from persons interested in the development of affordable housing.

Sec.

6.

1.

This section and section 5 of this act become effective on July 1, 2025.

2.

Sections 1 to 4, inclusive, of this act become effective on October 1, 2025.

~~~~~ 25 - 83rd Session (2025)