1. Each local government that receives a portion of the revenue from the tax levied pursuant to the provisions of NRS 354.59815 shall establish a special ad valorem capital projects fund and shall deposit all revenue received pursuant to the provisions of NRS 354.59815 in that fund. All interest and income earned on the money in the fund must also be deposited in the fund.
2. The money in the fund may only be used for:
(a) The purchase of capital assets including land, improvements to land and major items of equipment;
(b) The renovation of existing governmental facilities not including normal recurring maintenance; and
(c) The repayment of a medium-term obligation issued to fund a project described in paragraph (a) or (b).
3. Money may be retained in the fund for not more than 10 years to allow the funding of projects without the issuance of bonds or other obligations. For the purpose of determining the length of time a deposit of money has been retained in the fund, all money withdrawn from the fund shall be deemed to be taken on a first-in, first-out basis.
4. The annual budget and audit report of each local government must specifically identify this fund and must indicate in detail the projects that have been funded with money from the fund. Any planned accumulation of the money in the fund must also be specifically identified.
(Added to NRS by 1989, 2073; A 1995, 1819)