NAC354.8668. Central service cost allocation plan: Requirements.

Except as otherwise limited by the provisions of this section and NAC 354.867, the central service cost allocation plan of a local government:

     1. May include costs for services and property that are payable from the general fund or any internal service funds or other funds of the local government.

     2. Must be limited to indirect costs for services and property provided by the local government on a centralized basis, which may include, without limitation, general administrative costs, planning costs, budgeting costs, payroll costs, legal costs, legislative costs, and costs for general ledger accounting, internal audits, the administration of accounts payable, human resources, general services, emergency services, public relations, public works, property management, building and grounds maintenance, procurement and contracts, grants management, risk management, a motor pool, road maintenance, water and sewer service, telecommunications, automatic data processing services, printing, maintaining a library, records maintenance, storage and warehousing, and animal control.

     3. Must not include any transfers of franchise fees, payments in lieu of taxes made for the use of any rights-of-way, payments for debt service or any direct costs which are billable directly to a specific department, agency or enterprise fund of the local government.

     4. Must be based upon either audited historical data or budget data. The determination of which data to use must anticipate any expected program changes for the coming year that would not be reflected in historical data.

     5. Must allocate costs in a manner that:

     (a) Provides for an equitable distribution of general, overhead, administrative and similar costs of the local government; and

     (b) Allocates to an enterprise fund only costs for services and property that are assignable or chargeable to the cost objective of the enterprise fund.

     6. Must include a description of the methodology used to determine the allocation of costs and a schedule of the current billing rates for those costs.

     7. Must be updated annually before:

     (a) The date on which the local government submits its tentative budget to the Department; or

     (b) If the local government is exempt from the requirement to submit a tentative budget to the Department, the date on which the local government submits its final budget to the Department.

     8. Must include an attestation, signed by the chief financial officer of the local government or his or her designee, that the central service cost allocation plan complies with the provisions of NAC 354.865 to 354.867, inclusive.

     (Added to NAC by Com. on Local Gov’t Finance by R007-12, eff. 12-20-2012)