As we’ve demonstrated elsewhere, “each year, the District establishes…annual Recreation…and Beach Facility Fee(s)…collected from property owners within the District through a levy placed on the(ir) property tax bill(s)¹…As part of the annual budget process the Board traditionally approves a resolution which outlines the billing (NRS 318.197²) and collection (NRS 318.201³) process(es) set forth in (the) Nevada Revised Statutes (“NRS”)…which establish…the amount of the…RFF and…BFF to be collected.”⁴ “At (a publicly noticed) meeting the Board…t(akes) action (via resolution⁵)…which…(approves) a final report⁶ contain(ing) a description of each parcel of real property (allegedly) receiving…services and facilities (from the District, and) the (final) amount of…charge(s)…for such year.”⁷ Although that resolution and report describe the RFF/BFF, in part, as “service charges⁸…for…the (mere) availability of the use of IVGID’s beaches” and other delineated public recreation facilities⁹, since the statutory authority for these “fees” is the broader NRS 318.197 which encompasses “charges for the availability of service,” here we answer the question what are “charges for the availability of service?”

What Are “Charges For The Availability of Service?” Although NRS 318.197 expressly uses the words “availability of service,” nowhere is the term defined. So we’re relegated to searching elsewhere. And here “service availability (charges are similar to service charges and are)…flat fee(s) designed to recover the cost of delivering (a utility service like) electricity to all (users)…This charge…is…similar to service or facility charges that (some utilities charge and it is)…reflective of the investment in (infrastructure like poles, wires, transformers and equipment)…it takes to provide…safe, reliable…service.  It also supports fleet, facility and customer service functions, such as…maintenance, restoration…when outages occur, right-of-way clearing, and general administration…These costs are part of (a customer’s) bill…so (service) is ‘available’…whenever (he/she/it) want(s) it.  The service availability charge allows everyone to pay a share of the basic costs in order to (realize) reliable…service…whenever it’s needed.”¹⁰ 

So there you go. Charges for the availability of service fees every customer of a service pays in order to realize reliable service whenever it is needed!

1. See page 102 of the packet of materials prepared by staff in anticipation of the Board of Trustee’s (“Board’s”) May 27, 2020 meeting (“the 5/27/2020 Board packet”).
2. Which allows general improvement district (“GID”) boards to “fix (in part)…recreational facilit(y)…rates, tolls and charges (in general)…for…the availability of” services.
3. Which allows “any (GID) board which has adopted rates pursuant to…chapter (NRS 318 to)…elect to have such charges for the forthcoming fiscal year collected on the tax roll.”
4. See page 103 of the 5/27/2020 Board packet.
5. See NRS 318.201(9). For an example of the type of resolution, see pages 185-193 of the packet of materials prepared by staff in anticipation of the Board’s May 26, 2021 meeting (“the 5/26/2021 Board packet“).
6. An example of that report (for fiscal year 2021-22) appears at pages 188-193 of the 5/26/2022 Board packet.
7. See NRS 318.201(8) and (9).
8. See ¶4 at pages 185-186 of the 5/26/2021 Board packet.
9. See ¶4(b) at page 186 as well as ¶I at page 190 of the 5/26/2021 Board packet.
10. Go to https://www.cecmo.com/service-availability-charge-explained.