NRS 277A.370
Agreements for exchange of cash flow based on price of fuel.


1.

A commission that budgets $1,000,000 or more in any fiscal year for the purchase of fuel may enter into an agreement for an exchange of cash flow based on the price of fuel as provided in this section if it finds that such an agreement would be in the best interest of the commission.

2.

A commission may only enter into an agreement to exchange cash flow payments based on the price of fuel only if:

(a)

The long-term unsecured debt obligations of the person with whom the commission enters the agreement are rated “A” or better by a nationally recognized rating agency; or

(b)

The obligations pursuant to the agreement of the person with whom the commission enters the agreement are guaranteed by a person whose long-term debt obligations are rated “A” or better by a nationally recognized rating agency.

3.

A commission may agree, with respect to a fuel that the commission has budgeted to purchase in a fiscal year:

(a)

To pay sums based on a fixed price or prices for that fuel, on an amount of the fuel that does not exceed the amount of the fuel that the commission expects to acquire over a period that is not more than 63 months from the date of the agreement, in exchange for an agreement by the other party to pay sums equal to a variable price for that fuel determined pursuant to a formula or price reference set forth in the agreement on the same amount of the fuel as the amount used in determining the sums payable by the commission;

(b)

To pay sums based on a variable price or prices for that fuel determined pursuant to a formula or price reference set forth in the agreement, on an amount of fuel that does not exceed the amount of the fuel the commission expects it will acquire over the period that is not more than 63 months from the date of the agreement, in exchange for an agreement by the other party to pay sums equal to a fixed price or prices for that fuel on the same amount of fuel as the amount used in determining the sums payable by the commission; or

(c)

To pay sums based on a variable price or prices for the fuel determined pursuant to a formula or price reference set forth in the agreement, on an amount of the fuel that does not exceed the amount of the fuel that the commission expects it will acquire over the period that is not more than 63 months from the date of the agreement, in exchange for an agreement by the other party to pay sums equal to a different variable price for that fuel determined pursuant to a formula or price reference set forth in the agreement on the same amount of the fuel as the amount used in determining the amount payable by the commission.

4.

The payments to be made for any fiscal year must be based on the amounts of the fuel that the commission expects to buy or sell during that fiscal year and must be scheduled to be paid within an 18-month period that begins 3 months before and ends 3 months after the fiscal year.

5.

A certification by the commission or its chief financial officer as to any determination made under this section or as to the amount of fuel that a commission expects to buy or sell during the term of an agreement entered into pursuant to this section, or during all or any part of any fiscal year that is wholly or partially included in the term of an agreement entered into pursuant to this section, is conclusive, absent fraud, for the purpose of determining whether the commission is authorized to enter into an agreement under this section.

6.

The term of an agreement entered into pursuant to this section may not exceed 63 months.

7.

An agreement entered into pursuant to this section is not:

(a)

A debt or indebtedness of the commission for the purposes of any limitation upon the indebtedness of the commission or any requirement for an election with regard to the issuance of securities that is applicable to the commission.

(b)

Subject to the limitations of subsection 1 of NRS 354.626.

8.

A commission which has entered into an agreement pursuant to this section may use the price it pays or expects to pay for fuel after giving effect to the agreement for the purpose of calculating:

(a)

Rates and charges of a revenue-producing enterprise whose revenues are pledged to or used to pay municipal securities;

(b)

Statutory requirements concerning revenue coverage that are applicable to municipal securities; and

(c)

Any other amounts which are based upon the amounts to be paid for fuel.

9.

Subject to covenants applicable to municipal securities to which any revenues of the commission or county are pledged, any payments required to be made by the commission under an agreement may be made from money that could be used to pay for the fuel or from any other legally available source.

10.

The powers granted by this section are in addition to all other powers of any commission, and nothing herein limits the exercise of a power a commission otherwise has.

Source: Section 277A.370 — Agreements for exchange of cash flow based on price of fuel., https://www.­leg.­state.­nv.­us/NRS/NRS-277A.­html#NRS277ASec370.

277A.010
Short title.
277A.020
Definitions.
277A.030
“Acquire” and “acquisition” defined.
277A.040
“Board” defined.
277A.050
“City” defined.
277A.060
“Commission” defined.
277A.070
“Department” defined.
277A.080
“Fixed guideway” defined.
277A.090
“Improve” and “improvement” defined.
277A.100
“Project” defined.
277A.110
“Public highway” defined.
277A.120
“Public transit system” defined.
277A.130
“Street banner” defined.
277A.140
“Town” defined.
277A.150
“Vending stand” defined.
277A.160
Interpretation and construction of chapter.
277A.170
Creation by ordinance in certain counties.
277A.180
Composition
277A.200
Organization and meetings.
277A.210
Capacity to sue and be sued
277A.220
Designation and duties as metropolitan planning organization.
277A.230
Powers regarding federal money and projects and public hearings
277A.240
Creation of fund to match federal money
277A.250
Powers regarding property, eminent domain and adoption of regulations.
277A.255
Disposal of real property and improvements acquired by exercise of power of eminent domain: Procedure
277A.260
Security in operations
277A.265
Creation, maintenance or display of comprehensive model or map of physical location of facilities of public utility, public water system or video service provider prohibited.
277A.270
Exclusive operation of system of public transportation
277A.280
Authority of commission and certain counties and cities to establish or operate public transit system
277A.283
Powers regarding provision of freight rail service in relation to certain qualified projects approved by Office of Economic Development.
277A.285
Powers regarding Complete Streets Program.
277A.290
Powers regarding parking facilities or parking spaces for general public and public employees.
277A.300
Electrical and communication systems and related infrastructure: Construction, modification, operation and maintenance
277A.310
Placement of street banners: Authority of commission
277A.320
Counties whose population is 700,000 or more: Construction, installation and maintenance of vending stands for passengers of public mass transportation.
277A.330
Counties whose population is 700,000 or more: Construction, installation and maintenance of benches, shelters and transit stops for passengers of public mass transportation.
277A.340
Counties whose population is 700,000 or more: Advisory committee concerning construction, installation and maintenance of benches, shelters and transit stops.
277A.345
Counties whose population is 700,000 or more: Establishment of regional rapid transit authority
277A.347
Establishment of Nevada Yellow Dot Program in counties whose population is 700,000 or more
277A.350
Cooperation with local air pollution control board and regional planning coalition in certain counties
277A.360
Annual reports to Department by commissions in certain counties.
277A.370
Agreements for exchange of cash flow based on price of fuel.
277A.380
Exercise of additional powers.
277A.400
“High-capacity transit” defined.
277A.410
Applicability.
277A.420
Interpretation and construction.
277A.430
Powers regarding transportation projects and high-capacity transit systems.
277A.440
Agreements related to development of transportation project or high-capacity transit system.
277A.450
Utilization of turnkey procurement and competitive negotiation procurement process.
277A.460
Creation of account for deposit of appropriations used to pay costs of transportation project.
277A.470
Recommendations to board of county commissioners for imposition of tax
277A.480
Imposition of tax upon approval of voters.
277A.490
Remittance and use of proceeds of tax.
Last Updated

Jun. 24, 2021

§ 277A.370’s source at nv​.us