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Nevada Senate Bill No. 155 by Senator Baker, March 2, 1949

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1949-03-02

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Bill introduced by Senator Baker to amend the Water District Act to allow issuance of bonds and levying taxes for district operation and maintenance.

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hln000930

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Box 13 Folder W23-1-C Water Conservation - Supply from Lake Mead
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hln000930. Union Pacific Railroad Collection, 1828-1995. MS-00397. Special Collections and Archives, University Libraries, University of Nevada, Las Vegas. Las Vegas, Nevada. http://n2t.net/ark:/62930/d1cc0xt3f

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English

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S. B. 155 SENATE BILL NO. 155?SENATOR BAKER MARCH 2, 1949 Referred to Select Committee of Senator from Clark County. Summary?Amends Las Vegas Water District Act to provide for issuance of bonds ; levying taxes for operation and maintenance expenses. EXPLANATION ? Matter in italics is new; matter in brackets [ ] is material to be omitted. AN ACT to amend an act entitled "An act to create a water district in the Las Vegas valley, Clark County, Nevada; to provide for the procurement, storage, distribution and sale of water and rights in the use thereof from Lake Mead for industrial, irrigation, municipal, and domestic uses; to provide for the conservation of the ground-water resources of the Las Vegas valley, and to create authority to purchase, acquire, and construct the necessary works to carry out the provisions of this act; to authorize a tax levy for the payment of obligations during the organizational period, and to provide for the issuance of district bonds to be paid solely from the operating revenues of such district," approved March 27, 1947. The People of the State of Nevada, represented in Senate and Assembly, do enact as follows: SECTION 1. The title of the above-entitled act is hereby amended to read as follows: An act to create a water district in the Las Vegas valley, Clark County, Nevada; to provide for the procurement, storage, distribu-tion and sale of water and rights in the use thereof from Lake Mead for industrial, irrigation, municipal, and domestic uses; to provide for the conservation of the ground-water resources of the Las Vegas valley, and to create authority to purchase, acquire and construct the necessary works to carry out the provisions of this act; [to authorize a tax levy for the payment of obligations during the organizational period, and to provide for the issuance of district bonds to be paid solely from the operating revenues of such district] to provide for the issuance of district bonds; to provide for the levy of taxes for the pay-ment of operation and maintenance expenses and to supplement other revenues available for the payment of principal of and interest on such bonds of said district; granting said district the franchise to carry on its operations in municipal corporations within its boundaries; exempting the property and bonds of said district from taxation; validating the creation and organization of said district; and for other purposes related thereto. SEC. 2. Section 6 of the above-entitled act is hereby amended to read as follows Section 6. Not less than fifteen nor more than twenty days before any election held under this act subsequent to the organization of the district, the secretary shall cause notice specifying the polling places and time of holding the election to be posted in three public places in each election precinct and in the office of the board of directors. Prior to the time for posting the notice the board of directors shall appoint three qualified electors to act as inspectors of election in each election precinct, and shall also appoint two clerks of election for each precinct. If the board of directors fail to appoint a board of election or the members appointed do not attend the opening of the polls on the morning of election, the electors of the precinct present at that hour may appoint the board or supply the place of absent members thereof. The board of directors shall, in its order appointing the board of election, designate the hour and the place in each precinct where the election shall be held. The secretary shall be ex officio dis-trict registrar of the district, and may, at least four weeks before any election, appoint a deputy registrar in each election precinct, whose duty it shall be to register all electors within his precinct applying for registration, and for this purpose he or she shall have authority to demand of the elector all information, and to administer all oaths required by this act. Such registrar and deputy registrar shall be governed in the performance of their duties by the general election laws of this state as far as they are applicable, and shall be at their places of registration to receive applications for registration from 9 o'clock a. m. until 9 o'clock p. m. on each of three Wednesdays next preceding the date of election. The registrars shall require registrants to take the following oath in substance: "I am, or have declared my intention to become, a citizen of the United States, am over the age of twenty-one years, and am, or properly represent, under the law in pursuance of which this election is to be held, the bona fide holder of title or evidence of title of real property within the boundaries of the Las Vegas valley water district, and such holding is for all purposes and not simply for this election or matters connected therewith." [The president or vice president of a qualified corporation may reg-ister in its behalf, or any other person may register on behalf of such corporation upon being duly authorized by the president or vice presi-dent thereof in writing. The registrar shall require registrants on behalf of a corporation to take the following oath, in substance: "I am over the age of twenty-one years, and the (president or vice presi-dent) of (naming the corporation), or have been duly authorized in writing to register on behalf of (naming the corporation) ; that said corporation is organized under or has qualified under the laws of Nevada to transact business therein, and is the holder of real property within the boundaries of the Las Vegas valley water district."] No election for any purpose except for organization shall be held in such water district without such registration, and only electors duly regis-tered shall be entitled to vote thereat; provided, however, that if an elector has voted at the last preceding district election, whether special 3 or general, and is still eligible, he shall not be required to reregister in order to vote at the next succeeding election, but before he shall be permitted to vote at such election, if he shall not have reregistered therefor, he shall be required to take and subscribe the registration oath before the board of election, on a form provided by the district, as evidence of his continued eligibility. In all poll books and lists of registered electors prepared for any election hereunder, the names of electors who have registered or rereg-istered for such election shall be distinguished from the names of those who voted at the last preceding district election, but who have not so registered or reregistered, by the letter R enclosed in parentheses placed before each of the names of the former and the omission thereof in connection with the names of the former and the omission therof in connection with the names of the latter. Registration of voters for any regular or special election shall close on the Wednesday preceding such election. The registration oath may be taken before the regis-trars or deputy registrars, any member of an election board, or any officer authorized by law to administer oaths. All oaths taken before the election board shall be by them preserved and returned with the ballots. SEC. 3. Section 16 of the above-entitled act is hereby amended to read as follows: Section 16. The district is authorized from time to time to issue its negotiable bonds to obtain funds for the accomplishment of any of its corporate purposes, which bonds shall be authorized by reso-lution of the governing body and shall be payable either solely from the income and revenues to be derived from the operation of its works or properties [, as hereinafter provided. These bonds shall not con-stitute an indebtedness or pledge of the general credit of the district and shall contain a recital to that effect, and such bonds shall be in coupon form, but may be made registerable as to principal if so pro-vided in the resolution authorizing the issuance thereof.] or in the dis-cretion of the governing body of the district from such income and revenues and from such taxes as may be necessary to supplement such income and revenues. If the bonds are issued with such sup-plemental pledge of taxes, they shall be issued as the general obliga-tions of the district for the payment of which the full faith, credit and resources of the district are pledged, and it shall be the duty annually of the governing body to provide for the levy of taxes on all taxable property in the district (subject to pertinent existing con-stitutional restrictions) fully sufficient in conjunction with other avail-able income and revenues of the district to assure the prompt pay-ment of principal and interest as they fall due and to establish such reserves for contingencies as may be provided in the resolution author-izing the bonds. The governing body of the district shall in each year in due season prior to the time when county taxes are levied by the board of county commissioners determine the amount of taxes which are necessary to be levied on the taxable property in such district for such year, either for the payment of maintenance and operation expenses or, where the district has issued bonds secured by the full faith, credit and resources of the district as above provided, for the the payment of principal and interest, and prior to the date on which the board of commissioners makes the county levy for such year the governing body of the district shall certify to the clerk of said board the amount necessary to be so raised by taxes levied against the tax-able property in the district in such fiscal year. The board of county commissioners shall at the time of making the levy of county taxes for that year levy the tax so certified upon all taxable property in the district. Said tax when levied shall be entered upon the assess-ment rolls and collected in the same manner as state and county taxes and the proceeds thereof shall be paid to the treasurer of the district to be used for the purposes for which the tax was levied. All taxes levied as herein provided shall constitute a lien on the property charged therewith from the date of the date of the levy thereof by the county commissioners, or the entry thereof on the assessment roll of the county auditor, until the same are paid, and thereafter, if allowed to become delinquent, shall be enforced in the same manner as is now provided by law for the collection of state and county taxes. No additional allowance, fee or compensation shall be paid to any officer for carrying out the provisions of this section. In the event that the total taxes requested to be levied in any one year by the dis-trict and the political subdivisions which overlap it should exceed fifty mills and reduction thereof shall become necessary by reason of the restriction contained in section 2 of article X of the constitution of Nevada, the board charged with the duty of making such reduc-tions and allocations is hereby required to allocate to the district suf-ficient taxes to assure the payment to the district of money sufficient to make certain the prompt payment of principal of and interest on any bonds of the district which may have been issued with the pledge of the full faith, credit and resources of the district, and where bonds have so issued, the district shall be regarded as a political subdivision of the State of Nevada for the purposes of chapter 233, Statutes of Nevada, 1947, and the provisions of said chapter shall be applicable to said district. Such bonds shall be in coupon form, but may be made registerable as to principal if so provided in the resolution authorizing the issuance thereof. The bonds shall be in the denomination of $100 or a multiple thereof, shall bear interest at a coupon rate not exceeding six percent per annum, shall mature serially or otherwise in such manner as may be provided by the governing body, but not later than forty years from their date, shall be made payable at such place or places within or without the State of Nevada as may be provided by the governing body, and in the discretion of the governing body may be made redeemable at the option of the district prior to maturity at such premium or premiums not greater than one hundred [three] five per-cent of the principal amount thereof as the governing body may deter-mine. The bonds shall be signed by the president and attested by the secretary of the district under the official seal of the district in such manner as may be provided in the resolution authorizing their issuance. Interest coupons to be attached to the bonds may be executed with the facsimile signatures of such officers, and in the event any officer whose signature appears on such bond or coupons shall cease to be such officer before delivery of the bonds to the purchaser, such signature shall nevertheless be valid and sufficient for all purposes. The bonds shall be sold in such manner and at such times as the governing body may determine at public or private sale for such prices as the govern-ing body shall approve, except that in no event shall the bonds be sold at a price which will result in an interest yield therefrom of more than six percent per annum computed to average maturity according to standard tables of bond values. The bonds may be issued in an amount sufficient to include the payment of all incidental costs incurred in connection with the organization of the district and with the con-struction, acquisition, extension or improvement of the works or prop-erties and the authorization and issuance of the bonds, including, but without limitation, engineering and legal fees, fiscal agent's expenses and payment of interest on the bonds of the district during the period of the construction of the works or properties and for six months there-after. Pending the preparation or execution of definitive bonds, interim receipts or certificates or temporary bonds may be delivered to the purchaser of said bonds. Bonds issued hereunder [shall] may be either payable from and secured by a pledge of the gross or net revenues derived from the operation of the works or properties con-structed, acquired, extended or improved with the proceeds thereof [subject only to the prior payment of the reasonable and necessary expenses of operating and maintaining such works or properties. If more than one series of bonds shall be issued hereunder payable from the revenues of any works or properties, priority of lien on such works or properties and the revenues thereof shall depend on the time of the delivery of such bonds, such series enjoying a lien prior and superior to that enjoyed by any series of bonds subsequently delivered; pro-vided, however, that as to any issue or series of bonds which may be authorized as a unit but delivered from time to time in blocks, the governing body may in the proceedings authorizing the issuance of said bonds provided that all of the bonds of such series or issue shall co-equal as to lien regardless of the time of delivery.] , or may be issued payable in part from such revenues and in part from the proceeds of taxes as above provided. All bonds issued under the provisions of this act shall constitute negotiable instruments within the meaning of the negotiable instruments law as that law is now or may hereafter be in force in the State of Nevada. Any resolution authorizing the issuance of bonds hereunder shall provide for the creation of a sinking fund into which shall be paid [from the revenues of the works or properties, subject only to prior payment of the reasonable and neces-sary expenses of operating and maintaining the works or properties] sums fully sufficient to pay principal of and interest on such bonds and to create such reserve for contingencies as may be provided in such resolution. Moneys in the sinking fund shall be applied to the pay-ment of interest on and principal of the bonds or to the purchase or retirement of the bonds prior to maturity in such manner as may be provided in said resolution. Such sinking fund and any reserve or con-tingency fund, or both, for which provision may be made in the reso-lution authorizing the bonds may be kept on deposit in any bank or banks within or without the state which may be designated in such resolution. The resolution authorizing such bonds may contain such covenants with the future holder or holders of the bonds as to the management and operation of the works or properties, the imposition and collection of rates and charges for the products or services fur-nished thereby, the disposition of such rates and revenues, the issuance of future bonds and the creation of future liens and encumbrances against said works or properties and the revenues thereof, the carrying of insurance on the properties constituting such works, the disposi-tion of the proceeds of any such insurance, and other pertinent matters as may be deemed necessary by the governing body to assure the marketability of such bonds; provided, such covenants are not incon-sistent with the provisions of this act. When any district shall issue bonds hereunder and shall have pledged the revenues of any works or properties for the payment thereof as herein provided, such district shall impose and collect rates and charges for the products and services furnished by such works or properties in such amounts and at such rates as shall be fully sufficient at all times to pay the expenses of operating and maintaining such works or properties, provide a sinking fund sufficient to assure the prompt payment of principal of and interest on the bonds as each falls due, provides such reasonable fund for contingencies as may be required by the resolution authorizing bonds and provide an adequate depreciation fund for such repairs, extensions and improvements to the works or properties as may be necessary to assure adequate and efficient service to the public. No board or commission other than the governing body of the district shall have authority to fix or supervise the making of such rates and charges. The governing body of any district which shall have issued bonds payable from revenues under the provisions of this law may authorize the issuance of bonds for the purpose of refunding such out-standing bonds. Such refunding bonds may either be sold and the proceeds applied to the retirement of the outstanding bonds, or may be delivered in exchange for the outstanding bonds. The refunding bonds shall be authorized in all respects as original bonds are herein required to be authorized, and the governing body in authorizing the refunding bonds shall provide for the security of such bonds and the source from which such bonds are to be paid and for the rights of the holders thereof in all respects as herein authorized to be provided for other bonds issued under authority of this act. The governing body may also provide that the refunding bonds shall have the same priority of lien on the revenues pledged for their payment as was enjoyed by the bonds refunded. The resolution authorizing the bonds and any resolution amenda-tory thereof shall be once published in a newspaper having general circulation in the district. For a period of thirty (30) days there-after, any person residing in the district shall have authority to insti-tute litigation contesting the validity of the bonds authorized by the / 7 resolution and the provisions appearing in the resolution for the secu-rity and payment of such bonds. After the expiration of such period of thirty (30) days, no attack may be made on the validity of such bonds or such provisions and no court in the State of Nevada shall have authority to entertain litigation contesting such matters. SEC. 4. Section 19 of the above-entitled act is hereby amended to read as follows: Section 19. [That this act is complete in itself and shall be con-trolling. The provisions of any other law, general, special or local, except as provided in this act, shall not apply to a district incorpo-rated under this act.] This act shall in itself constitute complete authority for the doing of the things herein authorized to be done. The provisions of no other law, either general or local, except as pro-vided in this act, shall apply to doing of the things herein authorized to be done, arid no board, agency, bureau or official, other than the governing body of the district, shall have any authority or jurisdic-tion over the doing of any of the acts herein authorized to be done nor shall any proceedings, publication, notice of election be required for the doing of such acts except as herein specifically required. There is hereby granted to said district the right to own and operate its water distribution system within the boundaries of any municipal corporation lying wholly or partly within the boundaries of the dis-trict, and no franchise tax shall be payable for such privilege, but it shall be the duty of the district to install and operate its proper-ties and facilities within the boundaries of such municipal corporation in such manner as to cause a minimum of inconvenience, and it shall further be the duty of the district, where such facilities are installed in the public streets and alleys of any such municipal corporation, to restore the surface of such streets and alleys to as good condition as they were in prior to such installation. Where any such municipal corporation connects its fire hydrants to the water system of the district, it shall be the duty of such municipal corporation to pay to the district such reasonable charge for such hydrant rental service as may be agreed upon between such municipal corporation and the district, and such hydrant rentals shall be payable either monthly or quarterly in such installments as may be agreed upon. Since the water district, for the creation of which provision is herein made, is created for the purpose of supplying its inhabitants with water as a public and municipal function, all property of the district shall be exempt from taxes by the State of Nevada and the political subdivision thereof, and the bonds issued by the district and the income therefrom shall also be exempt from taxation in this state. Said district and the Colorado river commission are hereby author-ized to enter into such leases and agreements with each other for short or long terms as may be considered mutually desirable in order to carry out the purposes of this act, and any such agreement or agree-ments may specifically, but without limitation, grant to said district the right to take from the Colorado River all water not heretofore otherwise appropriated to which the State of Nevada may be entitled and to purchase from the Colorado River Commission all or any part of the water of the Colorado River which is under the jurisdiction of said commission and, which has not heretofore been allocated to or ' appropriated by other users. SEC. 5. Section 20 of the above-entitled act is hereby amended to read as follows: Section 20. That the power of eminent domain herein granted may be exercised in the manner provided by Nevada Compiled Laws 1929, sections 9153 to 9176, inclusive, as amended or supplemented, or any law hereafter enacted for that purpose. Such power of eminent domain is hereby specifically made to include the right to condemn for the purposes of the. district any existing water system and the franchise thereof, whether or not such existing water system may lie, in whole or in part, within the boundaries of any municipal corpora-lion. Where condemnation proceedings for the condemnation of an existing water system are brought, the court, jury, commissioners, or referee hearing testimony on damages under the provisions of section 9163, Nevada Compiled Laws 1929, shall take into consideration in determining the amount of damages, the value of the franchise and good will of such existing utility, and for the purpose of determining the amount of such damages, may require that there be presented evi-dence from duly qualified experts in the management and operation of utility properties. Where an existing water system is so condemned, the district shall be entitled to take possession thereof upon the entry of judgment regardless of the fact that an appeal may be pending, but in such event the district shall be required to pay into court the full amount of the judgment, together with such further reasonable sum as may be required by the court to pay any further damages and costs that may be recovered in said proceedings as all damages that may be sustained by the defendant if for any cause the property shall not be finally taken by the district. SEC. 6. The above-entitled act is further amended by adding thereto a new section to be known as section 23, and to read as follows: Section 23. That all proceedings heretofore had in connection with the creation of the Las Vegas valley water district and in the organiza-tion of its board of directors, including specifically the petition filed for the creation of the district, the order entered by the board of county' commissioners of Clark County, Nevada, on August 30, 1948, creating said district, the election held therein on October 19, 1948, at which such creation was approved by the voters, the proceedings had by the board of county commissioners on November 3, 1948, canvassing such election results and confirming the creation of such district, and the proceedings had by the board of directors of such district on November 4, 1948, organizing as the governing body of the district are, despite any irregularities which may have occurred therein and despite any failure which may have occurred to comply with pertinent statutory provisions, hereby legalized, ratified, validated and con-firmed, and the Las Vegas valley water district is hereby declared to be a validly created and legally existing district under the pro-visions of chapter 167, Statutes of Nevada 1947, as amended, with the following boundaries: Beginning at the NW corner of section 6 town- ship 19 south range 60 east; thence running south 9 miles to the SW comer section 18 township 20 south range 60 east; thence east 3 miles to the SW corner of section 15 township 20 south range 60 east; thence south 3 miles to the SW corner section 34 township 20 range 60 east; thence westerly along the fifth standard parallel south of the NW corner of section 3 township 21 south range 60 east; thence south 9 miles to the SW corner of section 15 township 22 south range 60 east; thence east 15 miles to the SE corner of section 13 township 22 south range 62 east; thence south 1 mile to the SW corner, section 19 township 22 south range 63. east; thence east 2 miles to the SE corner section 20 township 22 south range 63 east; thence north 4 miles to the NE corner section 5 township 22 south range 63 east; thence east 1 mile to the SE corner section 33 township 21 south range 63 east; thence north 2 miles to the NE corner section 28 township 21 south range 63 east; thence west 4 miles to the SE corner section 23 township 21 south range 62 east; thence north 4 miles to the NE comer section 2 township 21 south range 62 east; thence east along the fifth standard parallel south to the SE corner section 35 town-ship 20 south range 62 east; thence north 9 miles to the NE corner section 23 township 19 south range 62 east; thence west 11 miles to the SE corner section 13 township 19 south range 60 east; thence north 3 miles to the NE corner of section 1, being also the NE corner of township 19 south range 60 east; thence west 6 miles to the place of beginning, the NW corner of township 19 south range 60 east. The above description includes all of township 19 south range 60 east, sections 1-18, 22-27, and 34-36, inclusive, of township 20 south range 60 east, sections 1-3, 10-15, 22-27, and 34-36, inclusive, of town-ship 21 south range 60 east, sections 1-3 and 10-15, inclusive, of town-ship 22 south range 60 east; sections 19-36, inclusive, township 19 south range 61 east; all of township 20 south range 61 east; all of township 21 south range 61 east and sections 1-18, inclusive, township 22 south range 61 east; sections 19-23 and 26-35, inclusive, township 19 south range 62 east; sections 2-11, 14-23, and 26-35, inclusive, town-ship 20 south range 62 east; sections 2-11, 14-23, and 25-36, inclusive, township 21 south range 62 east; sections 1-18, inclusive, township 22 south range 62 east; sections 28-33, inclusive, of township 21 south range 63 east; sections 5-8 and 17-20, inclusive, of township 22 south range 63 east; and the governing body thereof is hereby declared to be a board of directors consisting of: Harry Miller, president, Thomas Campbell, vice president, Spencer Butterfield, secretary-treasurer, Victor Shurt-liff, member, E. 0. Underhill, member, James Cashman, member, John Bunch, member, as so created, and under said board of directors and the successors thereto elected as provided in chapter 167 aforesaid, said district is hereby authorized to carry out all of the powers imposed in it by the provisions of chapter 167 aforesaid as it now exists and as it may hereafter be amended. SEC. 7. The above-entitled act is further amended by adding thereto a new section to be known as section 24, and to read as follows: Section 24. That if any provision or provisions of this act or the 10 application of such provision or provisions to any person, body or circumstance shall ever be held by any court of competent jurisdiction to be invalid or ineffective for any purpose, the remaining provisions of this act and the application thereof to persons, bodies or circum-stances other than those as to which it shall have been held to be invalid or ineffective shall not be affected thereby. SEC. 8. This act shall be in full force and effect from and after its passage and approval.