Acquisition of works: Procedure for creation of indebtedness; elections.

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1. Whenever the board of a district incorporated under this chapter, by resolution adopted by a majority of the board, determines that the interests of the district and the public interest or necessity demand the acquisition, construction or completion of any source of water supply, waterworks, or other improvements, or facility, or the making of any contract with the United States, the State of Nevada or other persons to carry out the objects or purposes of the district, wherein the indebtedness or obligations required will be a greater expenditure than the ordinary annual income and revenue of the district permits, the board shall order the submission of the proposition of issuing that obligation or indebtedness, for the purposes set forth in the resolution, to such qualified electors of the district as have paid a tax on property in the district in the year preceding the election, at a special election or the next primary or general election. In the order submitting the propositions to the electors, the board shall, if it is proposed that the indebtedness be secured by pledge of any revenues of the district, so state, and shall designate the revenues to be so pledged.

2. A special election may be held only if the board determines, by a unanimous vote, that an emergency exists. The determination made by the board is conclusive unless it is shown that the board acted with fraud or a gross abuse of discretion. An action to challenge the determination made by the board must be commenced within 15 days after the board’s determination is final. As used in this subsection, "emergency" means any unexpected occurrence or combination of occurrences which requires immediate action by the board to prevent or mitigate a substantial financial loss to the district or to enable the board to provide an essential service to the residents of the district.

3. Any election held for the purpose of submitting any proposition or propositions of incurring such obligation or indebtedness may be held separately, or may be consolidated or held concurrently with any other election authorized by law at which such qualified electors of the district are entitled to vote.

4. A resolution adopted pursuant to subsection 1 must, in addition to the declaration of public interest or necessity, include a statement of:

(a) The objects and purposes for which the indebtedness is proposed to be incurred.

(b) The estimated cost of the works or improvements, as the case may be.

(c) The amount of principal of the indebtedness to be incurred therefor, and the maximum rate of interest to be paid on the indebtedness.

5. The resolution must also:

(a) Fix the date upon which the election will be held and the manner of holding the election and describe the method of voting for or against the incurring of the proposed indebtedness.

(b) Fix the compensation to be paid the officers of the election and shall designate the precincts and polling places and shall appoint for each polling place, from each precinct from the electors thereof, the officers of such election, which officers shall consist of three judges, one of whom shall act as clerk, who shall constitute a board of election for each polling place.

6. The description of precincts may be made by reference to any order of the board of county commissioners of the county in which the district or any part thereof is situated, or by reference to any previous order or resolution of the board or by detailed description of those precincts. Precincts established by the boards of the various counties may be consolidated for special elections held hereunder.

7. If the election is held concurrently or consolidated with any other election, the resolution calling the election is not required to designate precincts or polling places or the names of officers of election, but must contain a reference to the act or order calling such other election and fixing the precincts and polling places and appointing election officers therefrom.

[34:380:1955] — (NRS A 1963, 772; 1993, 1090)


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