HomeMy WebLinkAboutCC Ord 1369 1993-05-24
ORDINANCE NUMBER . ~.3~'l
AN ORDINANCE OF THE CITY OF SEAL BEACH
INCREASING THE UTILITY USER TAX AND AMENDING
ARTICLE VIII OF CHAPTER 22 (TAXATION) OF THE
CODE OF THE CITY OF SEAL BEACH
THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES ORDAIN I
AS FOLLOWS:
Section 1. Article VIII of Chapter 22 (Taxation) of
the Code of the City of Seal Beach is hereby amended to read as
follows:
Article VIII. Utility Users Tax.
Section 22-60. Definitions. The following words and phrases
whenever used in this article shall be construed as defined in
this section.
(a) "Person" means all domestic and foreign corporations, firms,
associations, syndicates, joint stock companies,
partnerships of every kind, joint ventures, clubs,
Massachusetts business or common law trusts, societies and
individuals.
(b) "Month" means a calendar lI1onth.
(c) "Service user" means a person required to pay a tax imposed
under the provisions of this article.
(d) "Service supplier" means any person required to collect and
remit a tax imposed by this article.
(e) "Cogeneration technology" means the use for the generation
of electricity of exhaust steam, waste steam, heat, or
resultant energy from an industrial, commercial or
manufacturing plant or process, or the use of exhaust steam,
waste steam, or heat from a thermal power plant for an
industrial, commercial, or manufacturing plant or process.
(f) "Telephone Communication Services" shall mean services which
provide access to a telephone system and the privilege of
telephone communication with substantially all persons
having telephone stations which are part of such telephone
system.
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(g) "Fuel" shall mean natural or manufactured gas or any
alternate hydrocarbon fuel which may be substituted
therefor.
Section 22-61. Constitutional Exemotions. Nothing in this
article shall be construed as imposing a tax upon any person when
imposition of such tax upon that person would be in violation of
the Constitution of the United States or that of the State of
California.
Section 22-61.1. Senior Citizen Exemption.
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(a) The tax imposed by this article shall not apply to any
individual sixty-five years of age or older who uses
telephone, electric, or gas services, in or upon any
premises occupied by such individual, provided that the
combined adjusted gross income, as such term is used for
Federal income tax purposes, for the calendar year prior to
the fiscal year (July 1st through June 30th) for which the
exemption provided in this section is applied, of all
members of the household in which such individual resided is
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Ordinance Number ;I;5~
less than the qualifying income for California Senior
Citizen Property Tax Assistance, as documented by a copy of
the current Federal Income Tax Return(s) or California
Senior Citizen Property Tax Assistance Claim Form(s) (FTB
Form-9000.
(b) Any service user exempt from the taxes imposed by this
chapter because of the provisions of subsection (a) above,
may file an application with the Director of Finance for an
exemption. Such application shall be made upon forms sup-
plied by the Director of Finance and shall recite facts
under oath which qualify the applicant for an exemption.
The Director of Finance shall review all such applications
and certify as exempt those applicants determined to qualify
therefor and shall notify all service suppliers affected
that such exemption has been approved, stating the name of
the applicant, the address to which such exempt service is
being supplied, the account number, if any, and such other
information as may be necessary for the service supplier to
remove the exempt service user from its tax billing
procedure. Upon receipt of such notice, the service
supplier shall not be required to continue to bill any
further tax imposed by this chapter from such exempt service
user until further notice by the Director of Finance is
given. The service supplier shall eliminate such exempt
service user from its tax billing procedure for the first
regular full billings dated on or after November 1, 1975,
upon receipt of such notice from the Director of Finance
prior to October 1, 1975, and thereafter, no later than
sixty days after receipt of such notice from the Director of
Finance.
All exemptions shall continue and be renewed automatically
by the Director of Finance so long as the prerequisite facts
supporting the initial qualification for exemption shall
continue; provided, however, that the exemption shall
automatically terminate with any change in the service
address or residence of the exempt individual; further
provided, such individual may nevertheless apply for a new
exemption with each change of address or residence. Any
individual exempt from the tax shall notify the Director of
Finance within ten days of any change in fact or
circumstance which might disqualify said individual from
receiving such exemption. It shall be a misdemeanor for any
person to knowingly receive the benefits of the exemption
provided by this section when the basis for such exemption
either does not exist or ceases to exist.
Notwithstanding any of the provisions of this subsection,
however, any service supplier who determines by any means
that a new or nonexempt service user is receiving service
through a meter or connection exempt by virtue of an
exemption issued to a previous user or exempt user of the
same meter or connection shall immediately notify the
Director of Finance of such fact and the Director of Finance
shall conduct an investigation to ascertain whether or not
the provisions of this section have been complied with, and,
where appropriate, order the service supplier to commence
collecting the tax from the nonexempt service user.
Section 22-62. Teleohone Users Tax.
(a) There is hereby imposed a tax upon every person in the City
of Seal Beach using intrastate, interstate, including the
District of Columbia, or international telephone
communication services in the City of Seal Beach. The tax
imposed by this section shall be at the rate of eleven
percent (11%) of the charges made for such services and
shall be paid by the person paying for such services. Said
Ordinance Number Ij/ptf
tax shall apply to all charges billed to a telephone account
having a situs in the City, irrespective of whether a
particular telephone service originates and/or terminates
within the City.
(b) As used in this section, the term "charges" shall not I
include charges for services paid for by inserting coins in
coin-operated telephones except that where such coin
operated telephone service is furnished for a guaranteed
amount, the amounts paid under such guarantee plus any fixed
monthly or other periodic charge shall be included in the
base for computing the amount of tax due; nor shall the term
"telephone conununication services" include land mobile
services or maritime mobile services as defined in Section
2.1 of Title 47 of the Code of Federal Regulations.
(c) The tax imposed in this section shall be collected from the
service user by the person providing the intrastate,
interstate, or international telephone conununication
services. The amount collected in one month shall be
remitted to the Director of Finance and shall be due on or
before the twentieth day of the following month. If
remitted by mail, such remittance shall be postmarked on or
before the twentieth day of the following month; provided,
however, that if the twentieth day falls on a weekend or
legal holiday, and the remittance is made by mail, the
remittance shall be postmarked as of the first business day
following such weekend or legal holiday.
(d) Notwithstanding the provisions of subsection (a), the tax
imposed under this section shall not be imposed upon any I
person for using intrastate, interstate, or international
telephone conununications services to the extent that the
amounts paid for such services are exempt from or are not
subject to the tax imposed under Section 4251 of Title 26 of
the United Scates Code.
(e) The duty to collect the tax, for interstate and
international conununication services shall conunence with the
first regular billing period of each service user ending on
or after July 1, 1989.
Section 22-63. Electricitv Users Tax.
(a) There is hereby imposed a tax upon every person in the City
of Seal Beach using electrical energy in the City of Seal
Beach. The tax imposed by this section shall be at the rate
of eleven percent (11%) of the charges made for such energy
and shall be paid by the person paying for such energy.
"Charges" as used in this section, shall include charges
made for (1) metered energy, and (2) minimum charges for
service, including customer charges, service charges,
standby charges, charges for temporary services, demand
charges and annual and monthly charges and any other charges
or cost adjustments authorized by the California Public I
Utilities Conunission or the Federal Energy Regulatory
Conunission.
(b) As used in this section, the term "using electrical energy"
shall not be construed to mean the storage of such energy by
a person in a battery owned or possessed by him for use in
an automobile or other machinery or device apart from the
premises upon which the energy was received, provided,
however, that the term shall include the receiving of such
energy for the purpose of using it in the charging of bat-
teries; nor shall the term include the mere receiving of
such energy by an electrical public utility or governmental
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agency at a point within the City of Seal Beach for resale;
or the use of such energy in the production or distribution
of water by a public utility or a governmental agency. The
term "using electrical energy" shall be construed as includ-
ing a person using or purchasing power produced by cogenera-
tion technology or by other than a conventional power source
for the generation of electricity.
(c) The tax imposed by this section shall be collected from the
service user by the person supplying such energy. The
amount of tax collected in one month shall be remitted to
the Director of Finance and shall be due on or before the
twentieth day of the following month. If remitted by mail,
such remittance shall be postmarked on or before the twenti-
eth day of the following month; provided, however, that if
the twentieth day falls on a weekend or legal holiday, and
the remittance is made by mail, the remittance shall be
postmarked as of the first business day following such
weekend or legal holiday.
Section 22-64. Fuel Users Tax.
(a) There is hereby imposed a tax upon every person in the City
of Seal Beach using fuel which is delivered through mains or
pipes or by mobile transport. The tax imposed by this
section shall be at the rate of eleven percent (11%) of the
charges made for such fuel and shall be paid by the person
paying for such fuel. "Charges," as used in this section,
shall include charges made for metered fuel or mobile
transport, fuel transportation charges and charges for
service, including customer charges, service charges,
minimum charges, demand charges, and annual and monthly
charges and any other charge authorized by the California
Public Utilities Commission or the Federal Energy Regulatory
Commission.
(b) There shall be excluded from the basis on which the tax
imposed in this section is computed charges made for fuel
which is to be resold and delivered though mains or pipes;
charges made for gas sold for use in the generation of
electrical energy or for the production or distribution of
water by a public utility or government agency and charges
made by a gas public utility for gas used and consumed in
the conduct of the business of gas public utilities.
(c) The tax imposed in this section shall be collected from the
service user by the person selling the fuel. The amount
collected in one month shall be remitted to the Director of
Finance and shall be due on or before the twentieth day of
the following month. If remitted by mail, such remittance
shall be postmarked on or before the twentieth day of the
following month; provided, however, that if the twentieth
day falls on a weekend or legal holiday, and the remittance
is made by mail, the remittance shall be postmarked as of
the first business day following such weekend or legal
holiday.
Section 22-65. Puroose. The taxes imposed hereinabove are
established solely to raise revenue for the general governmental
purposes of the City. The revenues generated thereby shall be
deposited in the general fund of the City and may be expended for
any proper municipal purpose.
Ordinance Number / ~
Section 22-66. Interest and Penaltv.
(a) Taxes collected from a service user which are not remitted
to the Director of Finance on or before the due dates pro
vided in this article are delinquent and are subject to
penalties and interest.
(b) Penalties for delinquency in remittance of any tax collected
or any deficiency determination, shall attach and be paid by
the persons required to collect and remit at the rate of
fifteen percent (15%) of the total tax collected or imposed
herein.
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(c) Every penalty imposed under the provisions of this section
shall become a part of the tax required to be remitted.
(d) When fraud or gross negligence in reporting and remitting
tax collections is discovered, the Finance Director shall
have power to impose additional penalties of twenty percent
(20%) of taxes owed upon persons required to collect and
remit taxes under the provisions of this section.
(e) Any person required to remit to the Finance Director
delinquent taxes as required in this section, shall pay
interest at the rate of one and one-half percent (1.5%) per
month or portion thereof, on the amount of tax owed
exclusive of penalties, from the date on which the tax first
became delinquent until paid.
(f) Notwithstanding the provisions of subsections(J:1 and Cd) of
this section, no penalty or interest shall be applied if
delinquencies are the result of natural disasters or other
phenomena beyond the control of the person charged with
collecting and remitting the tax, provided the person
obliged to remit tax notifies the Finance Director as soon
as normal communications permit.
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Section 22-67. Actions to Collect. Any tax required to be paid
by a service user under the provisions of this article shall be
deemed a debt owed by the service user to the City. Any such tax
collected from a service user which has not been remitted to the
Director of Finance shall be deemed a debt owed to the City by
the person required to collect and remit. Any person owing money
to the City under the provisions of this article shall be liable
to an action brought in the name of the City for the recovery of
such amount.
Section 22-68. Dutv to Collect--procedures. The duty to collect
and remit the taxes imposed by this article shall be performed as
follows:
(a) The tax shall be collected insofar as practicable at the
same time as and along with the charges made in accordance
with the regular billing practice. If the amount paid by a
service user is less than the full amount of the charge and
tax which has accrued for the billing period, a proportion-
ate share of both the charge and the tax shall be deemed to
have been paid.
(b) The duty to collect tax from a service user shall commence
with the beginning of the first regular billing period
applicable to that person which starts on or after the
operative date of this chapter. Where a person receives
more than one billing, one or more being for different
periods than another, the duty to collect shall arise
separately for each billing period.
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Ordinance Number
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Section 22-69. Additional Powers and Duties of Director of
Finance. etc.
(a) The Director of Finance may make an assessment for taxes not
paid or remitted by a person required to payor remit. A
notice of the assessment which shall refer briefly to the
amount of the taxes and penalties imposed and the time and
place when such an assessment shall be submitted to the City
Council for confirmation or modification. The Director of
Finance shall mail a copy of such notice to the person
selling the service and to the service user at least ten
days prior to the date of the hearing and shall post such
notice for at least five days continuous prior to the date
of the hearing at those places specified in Section 2-7.1 of
this code. Any interested party having any objections may
appear and be heard at the hearing provided his objection is
filed in writing with the Director of Finance prior to the
time set for the hearing.
At the time fixed for considering said assessment, the City
Council shall hear the same together with any objection
filed as aforesaid and thereupon may confirm or modify said
assessment by motion.
(b) Whenever the Director of Finance determines that a service
user has deliberately withheld the amount of the tax owed by
him from the amounts remitted to a person required to
collect the tax, or that a service user has failed to pay
the amount of the tax to such person for a period of two or
more billing periods, or whenever the Director of Finance
deems it in the best interest of the City, he may relieve
such person of the obligation to collect taxes due under
this article from certain named service users for specified
billing periods. The Director of Finance shall notify the
service user that he has assumed responsibility to collect
the taxes due for the stated periods and demand payment of
such taxes. The notice shall be served on the service user
by handing it to him personally or by deposit of the notice
in the United States mail, postage prepaid thereon,
addressed to the service user at the address to which
billing was made by the person required to collect the tax;
or, should the service user have changed his address, to his
last known address. If a service user fails to remit the
tax to the Director of Finance within fifteen days from the
date of the service of the notice upon him, which shall be
the date of mailing if service is not accomplished in
person, a penalty of twenty-five percent (25%) of the amount
of the tax set forth in the notice shall be imposed, but not
less than five dollars. The penalty shall become part of
the tax herein required to be paid.
Section 22-70. Records. It shall be the duty of every person
required to collect and remit to the City any tax imposed by this
article to keep and preserve, for a periOd of three years, all
records as may be necessary to determine the amount of such tax
as he may have been liable for the collection of and remittance
to the Director of Finance, which records the Director shall have
the right to inspect at all reasonable timee.
Section 22-71. Refunds.
(a) Whenever the amount of any tax has been overpaid or paid
more than once or has been erroneously or illegally
collected or received by the Director of Finance under this
article it may be refunded as provided in this section.
Ordinance Number ;(~
(b) A person required to collect and remit taxes imposed under
this article may claim a refund or take a credit against
taxes collected and remitted the amount overpaid, paid more
than once or erroneously or illegally collected or received
when it is established in a manner prescribed by the
Director of Finance that the service user from whom the tax
has been collected did not owe the tax; provided, however,
that neither a refund nor a credit shall be allowed unless
the amount of the tax so collected has either been refunded I
to the service user or credited to charges subsequently
payable by the service user to the person required to
collect and remit.
(c) No refund shall be paid under the provisions of this section
unless the claimant establishes his right thereto by written
records showing entitlement thereto.
(d) Notwithstanding other provisions of this section, whenever a
service supplies, pursuant to an order of the California
Public Utilities Commission or a court of competent
jurisdiction, makes refund to service users of charges for
past utility services, the taxes paid pursuant to this Code
on the amount of such refunded charges shall also be
refunded to service users, and the service supplier shall be
entitled to claim a credit for such refunded taxes against
the amount of tax which is due upon the next monthly
returns. In the event this Code is repealed, the amount of
any refundable taxes will be borne by the City.
Section 22-72. Violations: Misdemeanor. Any person violating
any of the provisions of this article is guilty of a misdemeanor
and shall be punishable therefor as set forth in Section 1-8 of
this Code.
Section 22.73. Effective Date. The article, inasmuch as it
provides for a tax levy for the usual and current expenses of the
City, shall take effect immediately except that the tax imposed
by this article shall become operative and be imposed as of May
1, 1973, or at the beginning of the first regular billing period
on or after May 1, 1973, as provided in Section 22-68 hereof,
whichever is later and shall not apply prior to said date.
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Section 22.74. Annual Review. The rates set forth in Sections
22-62(a) , 22-63(a) and 22-64(al shall be reviewed by the City
Council on an annual basis at a regularly scheduled Council
meeting no later than April 30th of each year.
Section 2. Severabilitv. If any section, subsection,
subdivision, paragraph, sentence, clause or phrase of this
article or any part thereof is for any reason held to be
unconstitutional such decision shall not affect the validity of
the remaining portions of this article or any part thereof. The
City Council hereby declares that it would have passed each
section, subsection, subdivision, paragraph, sentence, clause or
phrase thereof, irrespective of the fact that anyone or more
sections, subsections, subdivisions, paragraphs, sentences,
clauses or phrases be declared unconstitutional.
Section 3. Certification. The City Clerk shall I
certify to the passage and adoption of this ordinance by the City
Council and shall cause the same to be posted as required by law.
Section 4. Effective Date. Pursuant to Section 416 of
the Official Charter of the City of Seal Beach, chis ordinance
shall become effective immediately upon its adoption.
_do... /0 A;-/'" 0
Mayor
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STATE OF CALIFORNIA) "'.,. '.~ "::ol1irf:;
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COUNTY OF ORANGE ) SS 1lllljG>;".c. 27. \..' ~.f!..#
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CITY F SEAL B CH 'Ib; C'OfJNt'f .c._.::'
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I, Joanne M. Yeo, City Clerk of the City of Seal Beac~
California do hereby certify that t~~egOing ordinance is an
original c of Ordinance Number on file in the of~~e
of the City,' rk, introduced at a meet ng held on the ~~~
day of , 1993, and passed, proved and
adopted by the . y Council of t City of Seal h a a
meeting thereof eld on the ~ day of
1993, by the fo lowing vot
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Number /~if
Ordinance
PASS
Seal
APPROVED and ADOPTED by the City counci~~ the City of
ch, at a meeting thereof held on the ~ ~ day of
, 1993.
AYES:
~
-
Councilmembers
NOES:
Councilmembers
ABSENT:
Councilmember
and do hereby further certify that Ordinance Number ;I~~~
has been published pursuant to the Seal Beach City Charter. and
'..olution Numb.r 2836. ~ /' ~
,#'4 (~o
City C k
Ordinance Number I.1Ij
PROOF OF PUBLICATION
(2015.5 C.C.P.)
STATE OF CALIFORNIA,
County of Orange
I am a citizen of the United States
and a resident of the County afore-
said; I am over the age of eighteen
years, and not a party to or inter-
ested in the above-entitled mailer.
I am the principal clerk 01 the printer
of the SEAL BEACH SUN. a newspaper
of general circulation, printed and
published weekly in the City 01 ~
Beach, County of Orange and which
newspaper has been adjudged a
newspaper of general circulation by
the Superior Court of the County 01
Orange. State 01 Calilornia, under the
date of 2/24fi5. Case Number A82583;
that the notice of which the annexed
is a printed copy (set in type not
smaller than nonpareil). has been
published in each regular and entire
issue of said newspaper and not in
any supplement thereol on the
following dates. to-wit:
at))!.<-I ~ 1 15) ,~~
all in the. year 19~.
I certify (or declare) under penally of
perjury that the foregoing is true and
correct.
Dated at Seal Bez1h. Calif,?rn'a.
this ~~day Of~, 19~.
a,,~ .f1(rV) f/1
Signature
PUBLICATION PROCESSED BY:
THE SUN NEWSPAPERS
216 Main Street
P.O. Box 755
Seal Beach, CA 90740
(310)430-7555
..,..I
This space for tor the Counly Clerk's
Filing Stamp
Proof of Publication of I
NOTICE OF PUBLIC HEARING
....................................................... ..
........................................................ ..
NOTICE OF
PUBUe HEARING
NOTICE IS HEREBY GIVEN that the City
. CoUncil of the City of Seal Beach will conduct a
. public hearing on Monday, May 24th. 1993 at 7:00
p.m. in City Council Chambers. 211 - 8th Street.
. Seal Beach. California, to consider adjustment of
the Utility Users Tax by an amount up to six (6)
. percent. The revenue derived per percentage
Increase is estimated to. be approximately
$300.000 annually.
NOTICE IS HEREBY FURTHER GIVEN that
adjustment of the Utility Users Tax wiD also be an
agenda infonnation item at the City Council regular
meeting to be held at 7:00 p.m., Apr~ 26th, 1993 In I
the City Council Chambers. 211 - 8th Street, Seal
Beach.
At the abOve lime and place an interested persons
may be heard if so desired. Additional infonnation
may be obtaineCl at the Seal Beach City
Administration Building, offICe of the City Manager
or City Clerk. 211 - 8th Street, Seal Beach.
If you challenge the proposed actions in court, you
may be limited to raising only those isSues you or
someone elsed raised at the public hearing
described in this notice, or in written
correspondence delivered to the City of Seal Beach
at or prior to, the pubIie hearing.
DATED THIS 2nd day of April, 1993
. Joanne M. Y80. City Clerk
City of Seal Beach
,
, April 8, 15.22,1993
~ Published in the Seal Beach Sun
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PROOF OF PUBLICATION
(2015.5 C.C.P.)
STATE OF CALIFORNIA.
County of Orange
I am a citizen of the United States
and a resident of the County afore-
said; I am over the age of eighteen
years. and not a party to or inter-
ested in the above-entitled matter.
I am the principal clerk of the printer
of the SEAL BEACH SUN, a newspaper
of general circulation, printed and
published weekly in the City 01 Slwl
Beach. County of Orange and which
newspaper has been adjudged a
newspaper of general circulation by
the Superior Court of the County of
Orange. State of California. under the
date of 2/24f75. Case Number AB25B3;
that the notice of which the annexed
is a printed copy (set in type not
smaller than nonpareil). has been
published in each regular and entire
issue of said newspaper and not in
any supplement thereof on the
following dates. to-wit:
-::r~ ~
all in the year 19A.
I certify (or declare) under penalty of
perjury that the foregoing is true and
correct.
Dated at Seal Beach. California,
this S day of =ttLl..k - . 19A.
ilLr&h ~
Ot -?
S'ignature
PUBLICATION PROCESSED BY:
THE SUN NEWSPAPERS
216 Main Street
P.O. Box 755
Seal Beach, CA 90740
(310)430-7555
Ordinance Number /..~
This space for for the County Clerk's
Filing Stamp
Proof of Publication of
PUBLIC NOTICE/SUMMARY ORDINANCE
............................ .
............................ .
SUMMARY
-.va_I.
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