[Rev. 11/22/2013 3:25:38 PM--2013]

SOUTHERN NEVADA WATER SYSTEM ACT OF 1975

Chapter 482, Statutes of Nevada 1975

AN ACT relating to water; providing for certain services and facilities and electric properties complementary thereto; providing for improvements to facilities and properties appertaining thereto for the control of erosion; supplementing chapter 268, Statutes of Nevada 1967; authorizing the acquisition, improvement, replacement and repair of certain facilities, properties appurtenant thereto and electric works, properties and appurtenances complementary thereto and the issuance of bonds and other securities by the State of Nevada, acting by and through the Colorado River Commission; providing for the construction, other acquisition, equipment, operation, maintenance, improvement and disposal of properties appertaining to such facilities and properties; otherwise concerning such securities, facilities and properties, and revenues, taxes, pledges and liens pertaining thereto by reference to the State Securities Law; authorizing the repayment to the Federal Government, at a discount, of the remaining unpaid reimbursable costs of the facilities; and providing other matters properly relating thereto.

   (Ch. 482, Stats. 1975 p. 758; A—Ch. 397, Stats. 1977 p.765; Ch. 14, Stats. 1979 p. 19; Ch. 454, Stats. 1983 p. 1190; Ch. 231, Stats. 1985 p. 729; Ch. 432 , Stats. 1989 p. 930)

[Approved: May 17, 1975]

(Leadlines for sections have been supplied by the Legislative Counsel of the State of Nevada)

The People of the State of Nevada, represented in Senate and Assembly, do enact as follows:

      Section 1.  Definitions.  Terms used or referred to in this act are as defined in the State Securities Law; but the following terms, wherever used or referred to in this act, unless the context otherwise requires, have the meanings ascribed to them in sections 2 to 6, inclusive, of this act.

      (Ch. 482, Stats. 1975 p. 758)

      Sec. 2.  “Commission” defined.  “Commission” means the Colorado River Commission of Nevada.

      (Ch. 482, Stats. 1975 p. 758; A—Ch. 454, Stats. 1983 p. 1188)

      Sec. 2.5.  “Electric properties” defined.  “Electric properties” means electric transmission works, properties and appurtenances of an electric supplier.

      (Added—Ch. 397, Stats. 1977 p. 763)

      Sec. 3.  “Facilities” defined.  “Facilities” means collectively the federal facilities, as defined in this act, and the state facilities, as defined in this act.

      (Ch. 482, Stats. 1975 p. 758)

      Sec. 4.  “Federal facilities” defined.  “Federal facilities” means the works, facilities and appurtenances constructed by the Federal Government under the authorization of the Southern Nevada Water Project Act, or by the State of Nevada pursuant to this act and other acts supplemental thereto, or by both the Federal Government and the State, including, without limitation, all pipelines, conduits, pumping plants, intake facilities, aqueducts, laterals, water storage and regulatory facilities, electric substations, and related works to be constructed for the purpose of transporting water from storage in Lake Mead to points of delivery established for the project within Clark County, Nevada.

      (Ch. 482, Stats. 1975 p. 758)

      Sec. 5.  “Project” defined.  “Project” means the construction, other acquisition, improvement and equipment of the federal facilities, as defined in this act and as delineated in the United States Department of Interior, Bureau of Reclamation Definite Plan Report on Southern Nevada Water Project, Nevada (Second Stage), of the electric properties, as defined in this act, and of the state facilities, as defined in this act and as delineated in the Division of Colorado River Resources Alfred Merritt Smith Water Treatment Plant Stage II Expansion Pre-Design Report, by the State, acting by and through the Division, as authorized by this act and by other acts supplemental thereto.

      (Ch. 482, Stats. 1975 p. 758; A—Ch. 397, Stats. 1977 p. 764)

      Sec. 6.  “State facilities” defined.  “State facilities” means the works, facilities and appurtenances constructed by the State of Nevada pursuant to this act and other acts supplemental thereto, for the acquisition of a water plant for the treatment of raw water and the disposal of potable water for industrial, commercial, residential, culinary, or domestic use, or any combination thereof, including, without limitation, collection and disposal lines, lands, easements, rights in lands, water rights, distribution and storage reservoirs, other storage facilities, trunk, connection and other water mains, inlets, tunnels, flumes, conduits, canals, hydrants, filtration works, meters, pumping and gaging stations, and equipment, in supplementation of the federal facilities, as herein defined.

      (Ch. 482, Stats. 1975 p. 758)

      Sec. 7.  Powers of Commission; limitations on issuance of securities.

      1.  The Commission, on the behalf and in the name of the State, may:

      (a) Acquire, hold, improve and equip the facilities;

      (b) Acquire, hold, improve, equip and dispose of properties appertaining to the facilities, including, without limitation, water and water rights, for the benefit and welfare of the people of the State;

      (c) Acquire, improve and equip the facilities and electric properties, wholly or in part, directly by construction contract or indirectly by contract with the Federal Government, or otherwise, or any combination thereof, as the Commission may from time to time determine; and

      (d) Borrow money and otherwise become obligated in a total principal amount:

             (1) Not exceeding $63,000,000 to defray wholly or in part the cost of acquiring, improving and equipping the state facilities, and issue state securities to evidence such obligations;

             (2) Not exceeding $11,000,000 to defray wholly or in part the cost of improving a section of the Las Vegas Valley Lateral, a conduit of the Robert B. Griffith Water Project supplying water for industrial and municipal use, in order to protect it from erosion, and issue state securities to evidence such obligations;

             (3) Not exceeding $10,000,000 to defray wholly or in part the cost of emergency replacement or repair of the facilities or any properties appertaining to the facilities, and issue state securities to evidence such obligations;

             (4) Not exceeding $11,000,000 to defray wholly or in part the cost of acquiring, improving and equipping additional and existing laboratory, maintenance, operations and administrative facilities at the state facility;

             (5) Not exceeding $3,930,000 to defray wholly or in part the cost of restoring and replacing the communications network of the Southern Nevada Water System;

             (6) Not exceeding $100,000,000 to repay in full to the Federal Government at a discount the remaining unpaid reimbursable costs of the federal facilities;

             (7) Not exceeding $175,000,000 to defray wholly or in part the cost of acquiring, improving and equipping existing and supplemental state and federal facilities;

             (8) Not exceeding $40,000,000 to defray wholly or in part the cost of acquiring, improving and equipping existing and additional facilities to disinfect the water supply so that the quality of the water will comply with federal requirements regarding water quality; and

             (9) Not exceeding $10,000,000 to defray wholly or in part the cost of acquiring, improving, equipping or replacing computers, computer programs and equipment for the treatment, testing, processing and delivery of water in and through the facilities.

      2.  The power to issue securities in a principal amount not more than $11,000,000 under subparagraph (2) of paragraph (d), $10,000,000 under subparagraph (3) of paragraph (d), $11,000,000 under subparagraph (4) of paragraph (d), $3,930,000 under subparagraph (5) of paragraph (d), $175,000,000 under subparagraph (7) of paragraph (d), $40,000,000 under subparagraph (8) of paragraph (d) and $10,000,000 under subparagraph (9) of paragraph (d) respectively, of subsection 1 increases or decreases to the extent justified by reason of changes in procurement costs between:

      (a) December 31, 1984, for the purposes of subparagraphs (2) and (3) of paragraph (d) of subsection 1;

      (b) December 31, 1992, for the purposes of subparagraphs (4) and (5) of paragraph (d) of subsection 1; and

      (c) December 31, 1990, for the purposes of subparagraphs (7), (8) and (9) of paragraph (d) of subsection 1,

Ê and the date of procurement as indicated by engineering cost indexes applicable to this type of procurement. The power to issue such securities for the purposes of subparagraphs (2), (3), (4), (5), (7), (8) and (9) of paragraph (d) of subsection 1 decreases to the extent that the Congress by federal act appropriates money, the Bureau of Reclamation allots money and the Federal Government is obligated to pay earnings under contract for the purposes specified in those subparagraphs or any part thereof.

      (Ch. 482, Stats. 1975 p. 759; A—Ch. 397, Stats. 1977 p. 764; Ch. 14, Stats. 1979 p. 18; Ch. 454, Stats. 1983 p. 1188; Ch. 231, Stats. 1985 p. 727; Ch. 432, Stats. 1989 p. 929; Ch. 198, Stats. 1991 p. 368; Ch. 631, Stats. 1993 p. 2644)

      Sec. 8.  Issuance of securities; revenues pledged for payment.

      1.  Subject to the limitations as to maximum principal amounts in section 7 of this act, the Commission may issue to defray the cost of the project, or any part thereof, at any time or from time to time after the adoption of this act, as the Commission may determine, the following types of state securities in accordance with the provisions of the State Securities Law:

      (a) General obligation bonds and other general obligation securities payable from taxes, the payment of which securities is additionally secured with net pledged revenues;

      (b) Revenue bonds and other securities constituting special obligations and payable from net pledged revenues; or

      (c) Any combination of such securities.

      2.  Nothing in this act shall be construed as preventing the Commission from funding, refunding or reissuing any outstanding state securities issued by the Commission or Division at any time as provided in the State Securities Law.

      3.  Subject to contractual obligations, the net revenues pledged, if any, for the payment of state securities by the Commission may be derived from the operation of all or any part of the income-producing facilities under the jurisdiction of the Commission, including, without limitation, the facilities acquired by the project.

      (Ch. 482, Stats. 1975 p. 759; A—Ch. 454, Stats. 1983 p. 1189; Ch. 231, Stats. 1985 p. 729)

      Sec. 9.  Approval of contracts by Governor.  Any and all contracts entered into pursuant to the provisions of this act shall not be binding upon the State until executed or otherwise approved by the Governor, including, without limitation, the execution of securities in the manner and as otherwise provided in the State Securities Law.

      (Ch. 482, Stats. 1975 p. 760)

      Sec. 10.  Powers supplemental; applicability of other laws.  The powers conferred by this act shall be in addition to and supplemental to, and the limitations imposed by this act shall not affect, the powers conferred by any other law, general or special, particularly chapter 268, Statutes of Nevada 1967; and securities may be issued hereunder without regard to the procedure required by any other such law except as otherwise provided in this act or in the State Securities Law. Insofar as the provisions of this act are inconsistent with the provisions of any other law, general or special, the provisions of this act shall be controlling.

      (Ch. 482, Stats. 1975 p. 760)

      Sec. 11.  Legislative declaration; applicability of State Securities Law.

      1.  The Legislature finds and declares that the issuance of securities and other incurrence of indebtedness pursuant to this act are for the protection and preservation of the natural resources of this state and obtaining the benefits thereof, and constitute an exercise of the authority conferred by the second paragraph of Section 3 of Article 9 of the Constitution of the State of Nevada.

      2.  The provisions of the State Securities Law, contained in chapter 349 of NRS, apply to the issuance of securities and the acquisition of property under this act.

      (Ch. 482, Stats. 1975 p. 760)

      Sec. 12.  Severability.  If any provision of this act or the application thereof to any person, thing or circumstance is held invalid, such invalidity shall not affect the provisions or application of this act that can be given effect without the invalid provision or application, and to this end the provisions of this act are declared to be severable.

      (Ch. 482, Stats. 1975 p. 760)

      Sec. 13.  Effective date.  This act shall become effective upon passage and approval.

      (Ch. 482, Stats. 1975 p. 760)