Funding

Funding Sources

The Road Department is entirely funded through gas tax revenues. The Department of Taxation collects the taxes and applies the new gas tax formula, outlined in Nevada Revised Statutes (NRS) 365, to the proceeds and then distributes those monies, less administrative fees, to the counties. The City of Ely is also entitled to a portion of the 1.75 tax, 2.35 tax, and the county one-cent tax as outlines in NRS 365. The counties receive all of the 1.25 tax.

Tax Formula

In the past the gas tax formula weighed more heavily on road miles and other factors than population. The new formula weighs more heavily on population rather than any other factor. If you apply the new gas tax formula, there is a sizable reduction in the amount our county should receive, but there is a hold harmless clause which allows those counties negatively impacted by the new formula to maintain the amount received in the past as long as the tax revenues received does not decrease.

Currently, the revenue is used to fund the operation of the Road Department. NRS 365 clearly defines what the monies can be used for. NRS 365 also requires that each county submit an inventory representing total road miles and road miles which are gas tax eligible. A public hearing is held to review any requests to change status on county roads. An audit of the road system is required every 10 years. The audit is performed by the Nevada Department of Transportation.

Regional Transportation Commission (RTC)

RTC funds are a nine-cent-per-gallon local gas tax received and distributed by White Pine County through the RTC, which is comprised of one county representative, one city representative, and one person at large. The establishment and operation of the RTC is defined under NRS 373. The funds are normally spent on reconstruction projects, asphalt overlays, and slurry projects in whatever priority the RTC Board sets in the city and county.

Public Transit Funds

Public transit is funded by a one-quarter-cent sales tax established and operated under the direction of the RTC board as defined under NRS 373. NRS 377A explains how the construction, maintenance, and repair of roads is funded by taxes, specifically the gas tax.

Public transit is currently funding Ely Buss for the sum of $20,000 per year and the remaining balance of the Public Transit Fund is being split 71% to the county and 29% to the city as laid out in County Code 3.24.830. This allocation is based on paved miles. The Road Department normally uses public transit monies to purchase materials and supplies such as asphalt, magnesium chloride, salt, sand, etc.