2023 Nevada Revised Statutes › Chapter 319 - Assistance to Finance Housing › NRS 319.420 - Termination: Notice; meeting; penalties; regulations.

1. An owner who intends to terminate an affordability restriction and submit a request to the Division to obtain a qualified contract for the acquisition of a project shall provide written notice to:
(a) The governing body of each county and, if applicable, city within which some or all of the project is located.
(b) The Division. Upon receipt of such notice, the Division shall provide written notice to each owner who has an ownership interest in a qualified low-income housing project in this State.
(c) Each tenant of the affected project.
2. The written notice required pursuant to subsection 1 must be provided by the owner not less than 12 months before the owner submits the request to the Division to obtain a qualified contract for the acquisition of the project.
3. The written notice required to be provided to a tenant of the affected project pursuant to subsection 1 must include, without limitation:
(a) The program pursuant to which the owner is terminating the affordability restriction;
(b) The number of dwelling units affected by the termination;
(c) The anticipated date of the termination;
(d) A statement that the written notice is not a notice to vacate the dwelling unit and that the tenant is not required to vacate the dwelling unit;
(e) A description of the effects of the termination on the lease and future rent of the tenant;
(f) A description of the protections for tenants and resources for relocation set forth in the program pursuant to which the affordability restriction is being terminated;
(g) A description of the protections for tenants and the resources for relocation set forth in chapters 118, 118A and 118B of NRS;
(h) A description of the resources for housing assistance in the local community; and
(i) The contact information of the owner of the project.
4. The written notice required to be provided to the governing body of each applicable county and city, the Division and each owner who has an ownership interest in a qualified low-income housing project pursuant to subsection 1 must include, without limitation:
(a) The program pursuant to which the owner is terminating the affordability restriction;
(b) The number of dwelling units that will be affected by the termination;
(c) The anticipated date of the termination;
(d) Information regarding the disposition of the project after the termination of the affordability restriction, including, without limitation:
(1) That the project is required to be made available for purchase; and
(2) The time frame for the submission of offers to purchase the project;
(e) An identification of whether the owner receives a property tax exemption for the project pursuant to NRS 361.082 and whether the owner intends to maintain the exemption after the termination of the affordability restriction; and
(f) The contact information of the owner of the project.
5. After providing the written notice required pursuant to subsection 1, the owner who intends to terminate the affordability restriction shall hold at least one meeting for tenants of the affected project to discuss the information contained in the written notice and answer any questions regarding the written notice. Notice of such meeting must be provided to each tenant of the affected project not less than 5 business days before the meeting.
6. The Division may:
(a) Prohibit an owner who has terminated an affordability restriction from applying to the Division to obtain an allocation of federal low-income housing tax credits for a period not to exceed 5 years.
(b) Impose an administrative fine of not more than $10,000 upon an owner who fails to provide the written notice required pursuant to subsection 1. The Division may use not more than $500 of the money collected from the imposition of the fine to cover the costs of collecting the fine.
7. The Division may adopt regulations to carry out the provisions of this section.
(Added to NRS by 2021, 255)