Special Improvement Districts > FAQs
Why was the Improvement District Created?
Improvement Districts are created to fund public improvements such as roads, curbs, sidewalks, utilities, etc. Usually, these public improvements are funded from the proceeds of a bond issue sold by the municipality. Bonds for your District were sold after a majority of the District’s property owners agreed to the District. All properties benefiting from these improvements are included in the District.
What are my assessment installment payments used for?
To repay the principal and interest on the bonds issued to finance the cost of the public improvements.
Who is responsible for payment?
Each assessment constitutes a lien on the property similar to a mortgage and must be paid by the property owner. It is the responsibility of the owner to maintain a current and correct address at the Clark County Assessor’s office.
How often are assessments installments billed?
Assessment installments are billed either on a semi-annual or annual basis. Late Penalties for delinquent installments can be substantial. To avoid late penalties and potential sale and foreclosure proceedings, please pay the minimum amount due prior to the due date.
Can the assessment be paid in advance?
Yes, the assessment may be paid in full at any time. The current Payoff Amount is indicated on your assessment bill. This value is valid only if received on, or prior to, the due date. Assessments can also be partially pre-paid. Partial prepayments must be indicated on the payment coupon.
Is there a penalty for prepaying my assessment?
Yes. The prepayment penalty percentage may vary over time according to the terms of the Assessment Ordinance. Please refer to your assessment bill to determine the current prepayment penalty percentage.
What happens if I sell my home?
The remaining assessment is transferred to the new owner at the time of sale. If you sell your home during a billing month, you should forward your assessment bill to the new owner.
Are there penalties for failure to pay/underpayment of assessment installments?
Yes, if an assessment payment is not received or postmarked by the due date indicated on the bill, a late penalty will be imposed. In addition, failure to pay an assessment installment when due may cause the whole amount of the outstanding assessment to become due and payable immediately as a result of the commencement of sale or foreclosure proceedings.
What about Overpayments?
If an overpayment is received, the amount of the overpayment will be credited in the manner indicated on the payment coupon. If no selection is indicated, the overpayment will be applied as a credit to your next assessment installment.
Is my assessment limited to the property I own?
Yes. The assessment levied on any property owner's tax parcel is limited to that individual piece of property. As a property owner, you will never be liable for any other owner(s) assessment(s).
How many city SIDs are there?
There are 48 districts covering approximately 18,000 parcels
How are late penalties determined?
A late penalty of 2% of the total outstanding assessment will be imposed for each month (or portion thereof) that a delinquency exists. In addition, failure to pay an assessment installment when due may cause the whole amount of the outstanding assessment to become due and payable immediately as a result of the commencement of sale or foreclosure proceedings. These late penalties are required by the bondholders.
The bondholders require this late penalty because the City is prohibited from guaranteeing these bonds (NRS 271.500.1); therefore, the bondholders felt that this would ensure that homeowners pay their installments timely, so that the debt service payments would be made.
What is the foreclosure process?
Once a delinquency exists for three months, foreclosure proceedings commence: the City Council approves the list of delinquent parcels to be foreclosed upon; title searches are ordered; a notice of sale is published on our web site and in the newspapers over three consecutive weeks; notices of sale are sent to the homeowners and other "interested parties" (other lien-holders revealed through title search).
The homeowner, or interested party, has until the date of the sale to pay the installment current (the delinquent installment plus any late penalties and foreclosure fees). After that date, all assessments, except for those in district #505 (Elkhorn Springs), are "accelerated" (the entire assessment including all unpaid principle becomes due and payable).
During the foreclosure sale, "Certificates of Sale" are sold on each delinquent parcel. These constitute a first position lien on the property. Improved property has a redemption period of 2 years, unimproved property has a 120-day redemption period. YOU DO NOT GET THE HOME THAT DAY by purchasing a certificate! During the redemption period, the homeowner can redeem the foreclosure by paying-off the full amount, including interest, directly to the City of Las Vegas. The City will then forward the money to the certificate-holder, who earns 1% per month that the certificate is outstanding.
If the parcel is not redeemed within the redemption period, the certificate-holder must then notify the homeowner via a process-server that if not redeemed within 60 days, deed would be requested.
If redemption is still not made, once the City has verified that proper due-diligence has been followed; a deed will be issued to the certificate-holder.
Who do I call if I have questions regarding city SIDs?
Please call 796-0082 with SID questions.