AB103 - Revises provisions relating to housing authorities. (BDR 25-554)

- 83rd Session (2025) Assembly Bill No. 103–Assemblymembers O’Neill; and Anderson CHAPTER.......... AN ACT relating to housing authorities; authorizing the formation of a regional housing authority in certain counties; setting forth the composition and powers of certain regional housing authorities; revising various provisions relating to housing authorities; revising the compensation of commissioners; and providing other matters properly relating thereto. Legislative Counsel’s Digest: With certain exceptions, existing law creates a municipal corporation known as a housing authority in each city, county and town in this State to provide various types of housing services for persons of certain low income in the city, county or town. (NRS 315.140-315.7813) Existing law authorizes the initial operation of such a housing authority only when the governing body of the city, county or town declares by resolution that there is a need for the housing authority to function in the city, county or town. (NRS 315.320) Upon the adoption of such a resolution, existing law requires the appointment of five persons to serve as commissioners of the housing authority. (NRS 315.370) In a county whose population is 700,000 or more (currently only Clark County), existing law authorizes two or more housing authorities to form a regional housing authority, which is required to be governed by nine appointed commissioners. (NRS 315.7805, 315.7809) Section 3 of this bill authorizes the creation of a regional housing authority in a county whose population is 100,000 or more but less than 700,000 (currently only Washoe County) by the governing body of each city, town and county located within the county that desires to participate in the regional housing authority. Section 3 requires dissolution of the existing housing authority upon formation of the regional housing authority. Section 4 of this bill establishes the composition of the regional housing authority and requires the appointment of seven commissioners as follows: (1) two persons appointed by the governing body of the county; (2) two persons appointed by the governing body of the largest city; (3) two persons appointed by the governing body of the second largest city; and (4) one person who must be a current recipient of assistance from the housing authority appointed by the executive director of the regional housing authority. Existing law sets forth that a housing authority is required to fix the rentals or payments of its housing projects at low rates sufficient for certain purposes and is prohibited from operating for a profit. (NRS 315.500) Section 18 of this bill also authorizes a housing authority to fix the rentals or payments for the purposes of enhancing the ability of the authority to meet its purposes, including providing housing and services for low-income households in the operation area of the authority. Section 18 provides that: (1) certain housing projects constructed or operated that are eligible for low-income housing under certain federal laws are not constructed or operated for a profit; and (2) the provisions do not prohibit authorized actions or impose restrictions on a business entity created by section 5 of this bill. Section 18 also exempts a regional housing authority formed pursuant to section 3 from operating for a profit. Existing law requires a housing authority to follow certain conditions when operating or managing a housing project, including renting or leasing a dwelling or accommodation to eligible tenants subject to certain preferences and prohibiting a housing authority from accepting any person as a tenant in a housing project who – 2 – - 83rd Session (2025) exceeds certain income limitations. (NRS 315.510) Section 19 of this bill revises the preferences to only include preferences that may be required by the Federal Government pursuant to federal law or in any contract for financial assistance with the authority and eliminates the certain income limitations. Section 19 also clarifies that the provisions do not apply to a business entity created by section 5. Existing law exempts from property taxes the portion of real property that is used for housing and related facilities for persons with low incomes if the portion of the property: (1) qualifies as a low-income unit that is part of a qualified low- income housing project and is financed in part by certain federal or state funding sources; or (2) meets certain affordability requirements set forth in federal law and is financed in part by certain federal funding sources. (NRS 361.082) Existing law requires a housing authority to pay in lieu of taxes to the State or any political subdivision an amount consistent with the maintenance of the low-rent character of the housing project or the achievement of the purposes of the housing authority. (NRS 315.540) Section 20 of this bill provides that a housing authority is exempt from such payments in lieu of taxes if the property meets the requirements for the tax exemption. Existing law defines the terms “veteran” and “serviceman or servicewoman” related to housing authorities. (NRS 315.300) Section 2 of this bill moves and revises the terms “serviceman” and “servicewoman” for the purposes of existing law governing housing authorities. Section 12 of this bill revises the term “veteran” for the purposes of existing law governing housing authorities. Under existing law, a housing authority is authorized to provide, by resolution, compensation for each commissioner of $80 for each meeting attended, but imposes a monthly limit of $240 on such compensation. (NRS 315.390) In lieu of this specified amount of compensation, section 14 of this bill authorizes the housing authority to provide, by resolution, an amount of compensation determined by the housing authority that does not exceed $250 for each meeting attended. Section 14 also eliminates the monthly limit on such compensation. Existing law also creates the Nevada Rural Housing Authority to provide various types of housing services for persons of certain low and moderate income in areas of this State which are not included within the corporate limits of a city or town having a population of 150,000 or more or in other areas pursuant to a contract. (NRS 315.961-315.99874) Existing law: (1) requires the appointment of five persons to serve as commissioners of the Authority; and (2) entitles each commissioner to receive compensation of $80 per day for attendance at meetings of the Authority. (NRS 315.977, 315.980) In lieu of this specified amount of compensation, section 22 of this bill requires the Authority to determine the compensation for such attendance in an amount that does not exceed $250 per day. Section 5 of this bill establishes, in addition to the various types of housing services for persons of certain low income that a housing authority may provide, certain powers of the regional housing authority, including authorizing the regional housing authority to enter into a public-private partnership to finance a housing project, construct or operate a housing project for profit and create a nonprofit or for-profit business for the purpose of developing housing projects. Sections 5 and 22 of this bill exempt a business entity created by the regional housing authority from the provisions that require that meetings of state and local agencies be open and public. Sections 6, 10, 11, 13 and 16 of this bill revise references to a regional housing authority in existing law to include a regional authority formed pursuant to section 3. Section 8 of this bill indicates the placement of sections 2-5 in existing law relating to housing authorities. – 3 – - 83rd Session (2025) Section 9 of this bill applies the definitions in existing law and section 2 to the provisions of sections 2-5. Section 15 of this bill indicates the powers of a housing authority to carry out and effectuate the purposes and provisions of existing law relating to housing authorities includes the provisions of sections 2-5. Section 25 of this bill repeals obsolete provisions relating to the provision of housing by a housing authority. Section 7 of this bill makes conforming changes to eliminate references to the repealed provisions. EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. Chapter 315 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 5, inclusive, of this act. Sec. 2. “Serviceman” or “servicewoman” means a person who is presently serving in the Armed Forces of the United States. Sec. 3. 1. In a county whose population is 100,000 or more but less than 700,000, an authority may form a regional authority. 2. To form a regional authority as described in subsection 1, the governing body of the county and the governing body of each city and town located within the county that desires to participate in the regional authority shall adopt a resolution setting forth: (a) The intent to regionalize some or all of their powers; (b) A reference to the development plan for transitioning any existing authority to a regional authority; (c) The geographic scope of the regional authority; and (d) Such other matters as the governing bodies determine to be necessary or advisable. 3. If the formation of a regional authority pursuant to this section involves fiscal matters, the ownership of real property or the consolidation of functions, the governing bodies who form the regional authority shall, in consultation with the United States Department of Housing and Urban Development, resolve such matters by written contract, agreement or other arrangement entered into by those governing bodies. Upon the adoption of a resolution pursuant to subsection 2 forming a regional authority, the dissolution of any individual authority of the local governments who form the regional authority must be initiated. Sec. 4. 1. Upon the adoption of a resolution pursuant to section 3 of this act forming a regional authority, seven persons must be appointed to serve as commissioners of the authority as follows: – 4 – - 83rd Session (2025) (a) Two persons appointed by the governing body of the county; (b) Two persons appointed by the governing body of the largest city in the county that participates in the authority; (c) Two persons appointed by the governing body of the second largest city in the county that participates in the regional authority; and (d) One person who must be a current recipient of assistance from the authority appointed by the executive director of the authority. The initial appointment made pursuant to this section may be a recipient of assistance from any authority which was dissolved by resolution pursuant to section 3 of this act to form the regional authority. 2. Except as otherwise provided in subsections 3 and 4, each commissioner must be appointed for a term of office of 4 years. 3. Of the two commissioners appointed pursuant to paragraphs (a), (b) and (c) of subsection 1, respectively: (a) One commissioner must be appointed to an initial term of 2 years; and (b) One commissioner must be appointed to an initial term of 3 years. 4. If, during his or her term, the commissioner appointed pursuant to paragraph (d) of subsection 1 ceases to be a recipient of assistance of the authority, the commissioner must be replaced in the manner set forth in subsection 1 by a person who is a recipient of assistance. 5. All vacancies must be filled in the same manner as the original appointment for the remainder of the unexpired term. Sec. 5. 1. A regional authority formed pursuant to section 3 of this act may, in addition to exercising the powers set forth in NRS 315.440 and 315.460 and any other relevant provisions of this chapter: (a) Jointly, or with another authority, exercise any powers, privileges and rights that are exercised or capable of being exercised by a local housing agency of this State. (b) Create a business entity which has as its principal purpose the development, operation or management of housing projects. The authority or any business entity created by the authority pursuant to this paragraph may hold an ownership interest in a business entity created pursuant to this subsection and participate in matters of corporate governance for that business entity. The meetings of a business entity are not subject to the provisions of chapter 241 of NRS. – 5 – - 83rd Session (2025) (c) Enter into a public-private partnership to finance a housing project. (d) Construct or operate a housing project for profit. (e) Exercise such other powers as the governing bodies of the local governments that formed the regional authority may agree upon. 2. As used in this section, “business entity” means a corporation, whether or not for profit, nonprofit organization, association, partnership, limited-liability company, limited-liability partnership or other entity formed pursuant to this section. Sec. 6. NRS 315.021 is hereby amended to read as follows: 315.021 As used in NRS 315.021 to 315.071, inclusive, unless the context otherwise requires: 1. “Housing authority” means a housing authority created pursuant to this chapter. The term includes a regional authority formed pursuant to NRS 315.7805 [.] or section 3 of this act. 2. “Landlord” means a person who owns or manages any premises that he or she rents or leases to a tenant pursuant to a contract with a housing authority. 3. “Premises” means a particular apartment or other residential unit of public housing occupied by a tenant, or a residential unit that is occupied by a tenant pursuant to a federally assisted housing program administered by a housing authority. 4. “Public housing” means the residential accommodations operated by a housing authority or a landlord. Sec. 7. NRS 315.041 is hereby amended to read as follows: 315.041 1. Except as otherwise required by federal law or regulation, or as a condition to the receipt of federal money, a housing authority or a landlord shall, immediately upon learning of facts indicating that a tenant is required pursuant to NRS 315.031 to vacate public housing, serve upon the tenant a written notice which: (a) States that the tenancy is terminated at noon of the fifth full day following the day of service, and that the tenant must surrender the premises at or before that time; (b) Sets forth the facts upon which the tenant is required to vacate the premises pursuant [Text truncated for display. Full text available on LegiScan.]