1.  A governing body may create a district pursuant to NRS 271.6312 only if:

Terms Used In Nevada Revised Statutes 271.6315

  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • county: includes Carson City. See Nevada Revised Statutes 0.033
  • Deed: The legal instrument used to transfer title in real property from one person to another.
  • Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
  • Lien: A claim against real or personal property in satisfaction of a debt.
  • Mortgagee: The person to whom property is mortgaged and who has loaned the money.

(a) The governing body makes a finding that the creation of the district serves the public purposes of resource conservation, reducing emissions or increasing the resiliency of the community.

(b) The governing body has, pursuant to NRS 271.6325, adopted by resolution a procedure for the creation and administration of a district for the purpose of financing or refinancing one or more qualified improvement projects.

2.  The governing body shall not approve a tract within the boundaries of the district for financing or refinancing a qualified improvement project unless:

(a) The owner of the tract on which a qualified improvement project will be located enters into a voluntary assessment agreement pursuant to NRS 271.6316.

(b) The amount of the assessment lien that will be placed on the tract for a qualified improvement project, if used for improving or retrofitting an existing structure, does not exceed 25 percent of the fair market value of the property assessed, as determined by a certified appraiser pursuant to guidelines adopted pursuant to NRS 271.6325.

(c) The amount of the assessment lien that will be placed on the tract for a qualified improvement project, if used for new construction or a gut rehabilitation, does not exceed 35 percent of the fair market value of the property assessed, as determined by a certified appraiser pursuant to guidelines adopted pursuant to NRS 271.6325.

(d) The outstanding amount owed on all recorded instruments which are liens against the tract including the assessment lien for the qualified improvement project, will not exceed 90 percent of the estimated fair market value of the property assessed, as determined by a certified appraiser pursuant to guidelines adopted pursuant to NRS 271.6325.

(e) Any lender who holds a lien on the tract on which the qualified improvement project will be located consents in writing to the levy of an assessment and assessment lien against the tract to secure repayment of the financing or refinancing of the qualified improvement project. A consent signed pursuant to this paragraph must be in a recordable form and is binding on the holder of a lien who signs the consent. Each consent provided pursuant to this paragraph must be recorded in the office of the county recorder and, once recorded, is binding on the lender who signed the consent and any successors or assigns.

3.  Real property owned by the United States Department of Defense is not eligible for any qualified improvement project authorized pursuant to NRS 271.6301 to 271.6325, inclusive.

4.  A district created pursuant to NRS 271.6312 may be created at any time as designated by a governing body.

5.  As used in this section, ‘lender’ means a mortgagee, the beneficiary of a deed of trust or other creditor who holds a mortgage, deed of trust or other recorded instrument that encumbers a tract as security for the repayment of a loan.