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Home My WebLink AboutCC Ord 683 1966-06-06 ,. ; . I. r" ORDINANCE NO. 683 I AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH, CALIFORNIA, AMENDING CHAPTER 11, ARTICLE 11. SECTION 11-117 OF THE CODE OF THE CITY OF SEAL BEACH PERTAINING TO THE LICENSE TAX TO BE PAID IN CONJUNCTION WITH ENGAGING IN CERTAIN DESCRIBED OIL BUSINESS OPERATIONS AND ACTIVITIES WITHIN THE CITY OF SEAL BEACH. The City Council of the City of Seal Beach does ordain as follows: I Section 1. Section 11-117 of the Seal Beach City Code is hereby amended to read as follows: (a) Oil Business - Production - Every person conducting, managing, carrying on or engaged in the business or activity of producing crude oil, gas, petroleum or other hydrocarbon substances or products from any well or wells located within the City of Seal Beach shall pay the sum, or sums, in the manner and to the extent as hereinafter provided: (1) The sum, or sums, to be paid on a per fiscal year basis, payable quarterly. (2) For the fiscal year commencing July 1, 1966, and for each succeeding fiscal year, there shall be paid in the manner hereinafter provided, on or before September 30, December 31, March 31, and June 30, respectively, an amount equaling three cents ($.03) per quarter for each barrel of oil produced by each well in excess of three hundred (300) barrels per quarter. Production during the months of June, July, and August shall constitute the measurement of the amount due on or before September 30 for the first quarter of a fiscal year; production during the months of September, October, and November shall constitute the measurement of the amount due on or before December 31; production during the months of December, January, and February shall constitute the measure- ment of the amount due on or before March 31; pro- duction during the months of March, April, and May shall constitute the measurement of the amount due on or before June 30. The first of such payments shall be due and payable on or before Sept.30;1966. (3) For the purpose of determining the per license tax: (a) A well is located within the City of Seal Beach if the surface location of the well, the surface of the well itself, or if any portion of the well head is located within the City of Seal Beach, irrespective of the sub- surface location of the well, the producing interval thereof, or where the hole of the well may be bottomed. I - CRI6!NAL OF K!.q. eC:'l't r NOT -ro 8;': T/,::'"., I': ).\ TH6 CITY CLER:<'S O...,:I':':li I - -...., I Ordinance Number ," " I (3) (b) A barrel of oil shall consist of forty-two (42) U. S. gallons of crude petroleum or hydrocarbon substances corrected for temperature variations in accordance with methods generally approved in the petroleum industry. Petroleum or hydrocarbon substances means crude oil remaining after the removal therefrom of water or other impurities by preliminary processing in the vicinity of the well site preparatory to the shipment thereof. (c) If oil produced from two or more wells shall be coming led without the production of the respective wells being separately measured, each well whose production has been so coming led shall be considered as having produced an equal part of the total. (4) Every person having a current prepaid license to conduct, manage, carryon or engage in the business or activity of producing crude oil, gas, petroleum, or other hydrocarbon substances in the City of Seal Beach shall be entitled to a credit for that portion of the unexpired term of such license extending beyond the effective date of this section. The amount of such credit shall be ascertained by dividing the total amount (not including penalties) paid for such license by Three Hundred and Sixty-Five (365), and thereafter multiphying the resultant quotient by the number of days remaining in such unexpired term. Any such claimed credit shall be indicated on the quarterly statement herein provided to be filed, and the person so filing such statement is authorized to deduct the amount tnereof from the total amount due. All credits so claimed shall be filed as herein provided on or before June 30, 1967. (5) The person subject to the payment of the tax shall, before the business tax for each quarter becomes delin- quent, file with the City a written statement setting forth the number of wells in operation and the number of barrels of oil produced by each well during the pertinent three-month period of production upon which the tax due is to be calculated, and such person shall pay at such time the amount of the business tax computed upon the measure of the tax reported in the statement. The written statement shall include a declaration sub- stantially as follows: I I I I I Ordinance Number .. . . .. (5) (Continued) "I declare under penalty of making a false declaration that I am authorized to make this statement, and that to the best of my know- ledge and belief it is a true, correct, and complete statement made in good faith for the period stated, in compliance with the provisions of the Seal Beach City Code." Such statements shall not be conclusive against the City of Seal Beach as to the information set forth therein, nor shall the filing of a statement preclude the City of Seal Beach from collecting by appropriate action any additional tax that is later determined to be due and payable. (6) Every person required to have a license under this section shall keep full, true and accurate records as to the amount of oil produced and shipped or sold by him from wells located within the City of Seal Beach and shall upon demand of the City Manager make said records, to- gether with any shipping documents or sales invoices pertaining to such oil, available for the inspection of the City Manager or his representative at all reason- able times. (b) Oil Business - Non Production - Every person conducting, managing, carrying on or engaged in the business or activity of oil well, injection well or water source well drilling or servicing operations, or refining oil or petroleum products and producing the by-products, or marketing, selling, distributing at wholesale, oil or any petroleum products, or by-products, or maintaining tankage or warehouse storage facilities where oil is kept for the purpose of whole- sale distribution thereof shall pay the sum of Fifty Dollars ($50) per year plus a sum equal to the total of the following respective amounts per year per employee, in excess of two for the average number of individuals employed by such person whose principal activities are within the City of Seal Beach during the twelve months immediately preceding the thirty (30) days next preceding the due date of the license: From 3 to 100 employees, inclusive For the next 400 employees, inclusive For all employees over 500 $1.00 per employee .50 per employee .25 per employee A license issued pursuant to this subsection shall include and permit the marketing, selling and distributing, at wholesale, of automobile tires, batteries, and accessories. The payment of one license as herein- above provided in this subsection shall permit the engaging in any of the businesses or activities licensed without payment of an additional license tax; provided, however, that nothing in this subsection shall be deemed to apply or relate to actual oil production operations or to the operation of automobile filling stations. . I I I Ordinance Number " , . . .' , . Section 2. None of the provisions of this ordinance shall be construed to affect or to invalidate in any manner the provisions of Chapter 15, Section 15-18 - Oil-Drilling, etc., operations generally - of the Code of the City of Seal Beach. Section 3. Penalty for Delinquency... If any fee herein required to be paid to the City of Seal Beach is not paid at the time and in the manner herein provided, the same shall, thirty days thereafter, automatically be and become delinquent, and a penalty in an amount equal to twenty-five (25) per cent of such fee shall be added thereto for such delinquency, which penalty shall be and become a part of such fee and shall be enforced and collected as a part of such fee. Section 4. Severability. If any section, subsection, sentence, clause, phrase, or portion of this ordinance, or the application thereof to any person, firm, corporation or circumstance, is for any reason held to be invalid or unconstitutional by the decision of any court of com- petent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The Council of the City of Seal Beach hereby declares that it would have adopted this ordinance and each section, sub-section, sentence, clause, phrase, or portion thereof, irrespective of the fact that anyone or more sections, sub- section, sentence, clause, phrase, or portion be declared invalid or unconstitutional. Section 5. Effective Date. This ordinance shall be effective within 30 (30) days after adoption. Section 6. adoption of this required by law. The City Clerk shall certify to the passage and ordinance and shall cause the same to be posted as ATTEST: ,/~~~ City Clerk e~~~ (/yor . STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS CITY OF SEAL BEACH ) I, F. W. Hickman, City Clerk of the City of Seal Beach, hereby certify that the foregoing ordinance was passed, approved, and adopted by the City Council of the City. of Seal Beach at a meeting thereof held on the 16.n: day of ~...-., "" , 1966, by the following vote: V , c-.A L counCilmen~<1/~A~. WLU"'~'~ A "'~~./ Councilmen , ' Councilmen ~ AYES: NOES':: ABSENT: /C,b,~~ ~~