Duration of validity; transference to heir; application for reestablishment by heir; calculation of payment required; issuance of certificate to heir.
1. Allodial title established pursuant to NRS 361.900 is valid for as long as the homeowner continues to own the residence unless he chooses to relinquish the allodial title pursuant to NRS 361.915. The allodial title may be transferred to the heir of the allodial titleholder upon the death of the last surviving allodial titleholder if:
(a) Within 60 days after taking possession of the home, the heir applies to the county assessor to reestablish allodial title in the name of the heir or the heir and one or more persons who own the home in any form of joint ownership with the heir and who also occupy the dwelling;
(b) The heir occupies the home within 3 months after the death of the last surviving allodial titleholder;
(c) The heir pays any additional amount due for reestablishment of allodial title as calculated by the State Treasurer pursuant to subsection 4; and
(d) The home, its appurtenances and the land on which it is located remains unencumbered, except any unpaid assessment for a public improvement.
2. The application to reestablish allodial title must be made on a form prescribed by the State Treasurer. The county assessor may require that the application be accompanied by a nonrefundable processing fee of not more than $25. If collected, the fee must be deposited in the county general fund and used to pay any expenses incurred by the county in carrying out the provisions of NRS 361.900 to NRS 361.920, inclusive.
3. Upon receipt of an application made pursuant to subsection 2, the county assessor shall transmit the application to the State Treasurer. The county assessor shall transmit with the application any additional information required by the State Treasurer.
4. Upon receipt of an application for reestablishment of allodial title from a county assessor, the State Treasurer shall determine the amount of money, if any, that would be required to be paid by the heir to reestablish allodial title to the property using a tax rate of $5 for each $100 of assessed valuation applied to the most recent assessment of the property. The amount must be separately calculated to produce an alternative for payment in a lump sum and an alternative for the payment of installments over a payment period of not more than 10 years. The amounts must be calculated to the best ability of the State Treasurer so that the money paid by the heir, if necessary, plus the money paid by all previous allodial titleholders who did not relinquish the allodial title and the interest or other income earned on that money will be adequate to pay all future tax liability of the property for a period equal to the life expectancy of the youngest titleholder of the property. The State Treasurer shall make a written record of the calculations upon which the amount was determined. The record must include an annual projection of the estimated interest and income that will be earned on the money.
5. Upon completion of the calculations required by subsection 4, the State Treasurer shall notify the heir of the two amounts.
6. If the heir pays the lump sum indicated by the State Treasurer pursuant to subsection 5 and submits proof satisfactory to the State Treasurer that the home is still a single-family dwelling occupied by the heir who is the homeowner and that the home, its appurtenances and the land on which it is located are owned free and clear of all encumbrances, except any unpaid assessment for a public improvement, the State Treasurer shall issue a certificate of allodial title to the heir for the home, its appurtenances and the land on which it is located that is described in the deed for that property.
7. If the heir notifies the State Treasurer that he wishes to enter into an agreement with the State of Nevada to reestablish allodial title to his residence by installments, the State Treasurer shall execute such an agreement on behalf of the State of Nevada. The agreement must include a provision for rescission of the agreement by the heir at any time before the last payment is made and a guarantee, upon such a rescission, of a refund of the unused portion of the installment payments. The unused portion of the installment payments must be calculated by:
(a) Determining the total amount of all installment payments made before the date of the rescission and the amount paid by all previous allodial titleholders of the property who did not relinquish the title, plus the income and interest actually accrued on that money; and
(b) Subtracting from the amount determined pursuant to paragraph (a) a pro rata share of any expenses incurred by the State Treasurer that are directly and indirectly related to the investment of the money in the Allodial Title Trust Fund and any costs directly and indirectly related to the administration of the allodial title program during the period for which the installment payments were made.
8. The heir shall pay the installments directly to the State Treasurer and shall pay the current property taxes directly to the county during the period for which the installment payments are made.
9. Upon receipt of the last installment payment, which must reflect any increase or decrease in the assessed valuation of the property since the date of the application, and submission of proof satisfactory to the State Treasurer that the home is still a single-family dwelling occupied by the heir who is the homeowner and that the home, its appurtenances and the land on which it is located are owned free and clear of all encumbrances, except any unpaid assessment for a public improvement, the State Treasurer shall issue a certificate of allodial title to the heir for the home, its appurtenances and the land on which it is located that is described in the deed for that property.
Last modified: February 27, 2006