2023 Nevada Revised Statutes › Chapter 705 - Railroads and Monorails › NRS 705.890 - Authority authorized to incur debt; payment and security of debt; financing agreements. [Expires by limitation 1 year after the date on which the Governor declares by public proclamation that the Nevada High-Speed Rail System connecting southern California with southern Nevada has been completed, or on the date all borrowing made pursuant to NRS 705.890 is retired, whichever is later.]

1. The Authority, or a corporation formed by the Authority pursuant to the laws of this State or the State of California, as the Authority deems appropriate, may issue bonds, notes, obligations or other evidences of borrowing to finance all or a part of the construction of all or a part of the Nevada High-Speed Rail System. For the purposes of issuing bonds, notes, obligations or other evidences of borrowing pursuant to this section, the Authority and any corporation formed by the Authority are constituted authorities for the purposes of regulations enacted by the Internal Revenue Service pursuant to 26 U.S.C. §§ 103 and 141 to 150, inclusive.
2. Bonds, notes, obligations or other evidences of borrowing issued by the Authority or any corporation formed by the Authority which are issued to finance all or any part of the construction of all or a part of the Nevada High-Speed Rail System may be payable from and secured by:
(a) A pledge of property of the Authority or a corporation formed by the Authority pursuant to this section;
(b) A pledge of any revenue of the System, including revenue from fares, revenue from advertising and all other revenue of the System; and
(c) A pledge of any other money made available to the Authority or a corporation formed by the Authority pursuant to this section by:
(1) Grants from the Federal Government or any other federal funds as may be available to pay costs of the System or debt service on any borrowing;
(2) Any company, public or private; or
(3) Any local government or governmental entity in this State or in the State of California pursuant to an intergovernmental agreement or otherwise.
3. The Authority, in coordination with the franchisee selected pursuant to NRS 705.870, may enter into agreements with any person, local government or governmental entity for the provision of resources or assistance to the Authority or a corporation formed by the Authority concerning the financing of the Nevada High-Speed Rail System.
4. The Authority or any corporation formed by the Authority pursuant to this section may issue obligations to refund any obligations issued pursuant to the provisions of NRS 705.800 to 705.900, inclusive, for any purpose the Authority determines to be sufficient.
5. Nothing in this section authorizes the Authority or any corporation formed by the Authority to obligate this State or the State of California or any political subdivision thereof unless such state or political subdivision has obligated itself to the Authority or a corporation created by the Authority through an intergovernmental agreement.
6. The creation, perfection, priority and enforcement of any lien on pledged revenue or other money established to secure any bond, note, obligation or other evidence of borrowing issued pursuant to this section, must be as specified in this section and in the instruments approved by the Authority pertaining to that bond, note, obligation or other evidence of borrowing. It is the purpose of this section to provide expressly for the creation, perfection, priority and enforcement of a security interest created by the Authority in pledged revenues or other money in connection with bonds, notes, obligations or other evidences of borrowing issued pursuant to this section, as provided for in paragraph (n) of subsection 4 of NRS 104.9109. Any lien on pledged revenue or other money created to secure any bond, note, obligation or other evidence of borrowing issued pursuant to this section has priority over any lien thereon created pursuant to the provisions of chapters 104 to 104C, inclusive, of NRS unless otherwise provided in the instrument creating the lien to secure such bond, note, obligation or other evidence of borrowing issued pursuant to the provisions of this section.
(Added to NRS by 2015, 1265)