2023 Nevada Revised Statutes › Chapter 350 - Municipal Obligations › NRS 350.660 - Covenants and other provisions in municipal securities.

Any ordinance providing for the issuance of any bonds or other municipal securities hereunder payable from pledged revenues and any indenture or other instrument or proceedings appertaining thereto may at the discretion of the governing body contain covenants or other provisions, notwithstanding such covenants and provisions may limit the exercise of powers conferred hereby, in order to secure the payment of such securities, in agreement with the holders of such securities, including without limitation covenants or other provisions as to any one or more of the following:
1. The pledged revenues and, in the case of general obligations, the taxes to be fixed, charged or levied and the collection, use and disposition thereof, including but not limited to the foreclosure of liens for delinquencies, the discontinuance of services, facilities or use of any properties or facilities, prohibition against free service, the collection of penalties and collection costs, and the use and disposition of any moneys of the municipality, derived or to be derived, from any source herein designated;
2. The acquisition, improvement or equipment of all or any part of properties pertaining to any project or any facilities;
3. The creation and maintenance of reserves or sinking funds to secure the payment of the principal of and interest on any securities or of operation and maintenance expenses of any facilities, or part thereof, and the source, custody, security, regulation, use and disposition of any such reserves or funds, including but not limited to the powers and duties of any trustee with regard thereto;
4. A fair and reasonable payment by the municipality from its general fund or other available moneys to the account of any designated facilities for services rendered thereby to the municipality;
5. The payment of the cost of any project by delineating the purpose or purposes to which the proceeds of the sale of securities may be applied, and the custody, security, use, expenditure, application and disposition thereof;
6. The temporary investment and any reinvestment of proceeds of bonds, other securities, any taxes or pledged revenues, or any combination thereof, in federal securities and other securities issued by the Federal Government;
7. The pledge of and the creation of a lien upon pledged revenues or the proceeds of bonds or other municipal securities pending their application to defray the cost of any project, or both such revenues and proceeds of such securities, to secure the payment of bonds or other such securities issued hereunder;
8. The payment of the principal of and interest on any municipal securities, and any prior redemption premiums due in connection therewith, and the sources and methods thereof, the rank or priority of any securities as to any lien or security for payment, or the acceleration of any maturity of any securities, or the issuance of other or additional securities payable from or constituting a charge against or lien upon any pledged revenues or other moneys pledged for the payment of securities and the creation of future liens and encumbrances thereagainst;
9. The use, regulation, inspection, management, operation, maintenance or disposition, or any limitation or regulation of the use, of all or any part of the facilities or any property of the municipality appertaining thereto;
10. The determination or definition of pledged revenues from any facilities or of operation and maintenance expenses of facilities, the use and disposition of such revenues and the manner of and limitations upon paying such expenses;
11. The creation of special funds and accounts appertaining to any pledged revenues or to the bonds or other securities issued hereunder;
12. The insurance to be carried by the municipality or any other person in interest and use and disposition of insurance moneys, the acquisition of completion, performance, surety and fidelity bonds appertaining to any project or funds, or both, and the use and disposition of any proceeds of such bonds;
13. Books of account, the inspection and audit thereof, and other records appertaining to any project, facilities or pledged revenues;
14. The assumption or payment or discharge of any obligation, lien or other claim relating to any part of any project, any facilities or any securities having or which may have a lien on any part of any pledged revenues or other moneys of the municipality;
15. Limitations on the powers of the municipality to acquire or operate, or permit the acquisition or operation of, any structures, facilities or properties which may compete or tend to compete with any facilities;
16. The vesting in a corporate or other trustee or trustees of such property, rights, powers and duties in trust as the governing body may determine, which may include any or all of the rights, powers and duties of the trustee appointed by the holders of securities, and limiting or abrogating the right of such holders to appoint a trustee, or limiting the rights, duties and powers of such trustee;
17. Events of default, rights and liabilities arising therefrom, and the rights, liabilities, powers and duties arising upon the breach by the municipality of any covenants, conditions or obligations;
18. The terms and conditions upon which the holders of the municipal securities or any portion, percentage or amount of them may enforce any covenants or provisions made hereunder or duties imposed thereby;
19. The terms and conditions upon which the holders of the securities or of a specified portion, percentage or amount thereof; or any trustee therefor, shall be entitled to the appointment of a receiver, which receiver may enter and take possession of any facilities or service, operate and maintain the same, prescribe fees, rates and charges, and collect, receive and apply all revenues thereafter arising therefrom in the same manner as the municipality itself might do;
20. A procedure by which the terms of any ordinance authorizing securities, or any other contract with any holders of municipal securities, including but not limited to an indenture of trust or similar instrument, may be amended or abrogated, and as to the proportion, percentage or amount of securities the holders of which must consent thereto, and the manner in which such consent may be given;
21. The terms and conditions upon which any or all of the securities shall become or may be declared due before maturity, and as to the terms and conditions upon which such declaration and its consequences may be waived; and
22. All such acts and things as may be necessary or convenient or desirable in order to secure the securities, or in the discretion of the governing body tend to make the securities more marketable, notwithstanding that such covenant, act or thing may not be enumerated herein, it being the intention hereof to give the governing body power to do in the name and on behalf of the municipality all things in the issuance of municipal securities and for their security except as herein expressly limited.
(Added to NRS by 1967, 437)