CITY OF WOODLAND, WASHINGTON ORDINANCE NO. 1336

Transcription

1 CITY OF WOODLAND, WASHINGTON AN ORDINANCE AMENDING ORDINANCE NO UTILITY TAX ON GROSS REVENUES FROM WATER, SEWER AND SOLID WASTE/RECYCLING SERVICES DELETING A SUNSET PROVISION AND APPROVING AN ORDINANCE SUMMARY FOR PUBLICATION AS MORE PARTICULARLY SET FORTH HEREIN RECITALS WHEREAS, the City of Woodland adopted Ordinance Number 1228 on September 4, Ordinance 1228 enacted a 6.5% tax on the following utilities: water, sewer, and solid waste & recycling; WHEREAS, the City Council found that the tax was necessary to maintain city services at current levels when facing declining tax revenues due to national and regional economic problems adversely impacting real property tax and retail sales tax revenues; WHEREAS, while many other Washington cities use utility taxes as a permanent source of revenue and have done so for years, the City ofwoodland had not enacted such a tax and only did so in Ordinance 1228 due to circumstances the Council found to be unique and likely temporary in nature; WHEREAS, the tax was enacted for a 36 month period. Ordinance 1228 includes a sunset provision which terminates the tax in January of2016; WHEREAS, in a February 23,2015, Council workshop, the Council discussed budgetary issues arising from a forecast of continued shortfalls in the general fund budget. The City Council determined that extension of the utility tax may be the best option to address the shortfalls. The City Council requested the Mayor to have a resolution drawn by the City Attorney indicating the utility tax, first enacted in Ordinance 1228, could be extended later in the year to address the projected budget shortfall; WHEREAS, on March 16, 2015, the City Council of the City of Woodland approved Resolution 654 which set forth the Council's intent to extend the utility tax as a source of revenue to fund anticipated current expense budget shortfalls; AND, WHEREAS. to give effect to that intent. the Sunset Provision of Ordinance No referenced therein as Section 8. is hereby deleted in full and Section 7 is amended to delete language necessary only to the original enactment of Ordinance No ORDINANCE NOW, THEREFORE, the City Council of the City of Woodland hereby ordains as follows: Page 1 of8

2 I. Ame11ded Ordillallce: Ordinance 1228 is amended to read as follows: 1. Purpose. The purpose of this ordinance is to adopt a utility tax to be levied on and after December 31, 2011, that runs parallel to the billing cycle for utility charges. The provisions of this chapter are an exercise of the statutory authority of the City to tax gross revenues of public and private utilities. The tax is intended to supplement revenue shortfalls from projected shortterm economic conditions and allow for 36 months of collections and terminating at the end of 36 months of collecting. 2. Tax Imposed. A. Water Utility Tax Imposed. There is levied and there shall be collected from every business, person, firm or corporation, including public municipal corporations, that are engaged in carrying on a water supply and utility business in the City of Woodland, a tax in the amount of six and one-half percent (6.5%) of the total gross revenue that the entity receives from providing such service. B. Sewer/Wastewater Utility Tax Imposed. There is levied and there shall be collected from every business, person, firm or corporation, including public municipal corporations, that are engaged in carrying on a sewer/wastewater treatment utility business in the City ofwoodland, a tax in the amount of six and one-half percent (6.5%) of the total gross revenue that the entity receives from providing said service. C. Solid Waste and Recycling Utility Tax Imposed. There is levied and there shall be collected from every business, person, firm or corporation, including public municipal corporations, that are engaged in solid waste collection and recycling services in the City of Woodland, a tax in the amount of six and one-halfpercent (6.5%) on the total gross revenue that the entity receives from providing said service within the corporate limits of the City of Woodland. 3. Administrative/Tax Payment. A. Tax Year. The tax year for purposes of this water, sewer and waste water/recycling utility tax shall commence January 1, 2012, and thereafter shall commence on January 1 and end on December 31 each year. B. Payment. The tax imposed shall be due and payable in monthly installments and remittance therefore shall be made on or before the fifteenth day of the month next succeeding the end of the month in which the tax accrued. On or before the fifteenth day of such month the taxpayer shall make a return upon a form to be supplied by the Clerk-Treasurer setting forth such information as may be required by him or her and showing the amount of the tax for Page 2 of8

3 which the tax payer is liable for the preceding month, and shall assign and transmit the same to the Clerk-Treasurer together with the remittance for the amount then due and owing. C. Excess Payment. Any money paid through error and in excess of such tax shall be credited against any tax due or to become due from such taxpayer hereunder, or, upon the taxpayer ceasing to do business in the City, be refunded to the taxpayer. D. Exceptions and Deductions. In computing "gross earnings" under the provisions of this chapter, the following items shall be deducted from "gross earnings": 1. Uncollected accounts, ifthe books of the utility are on an accrual basis as distinguished from a cash basis. 2. Amounts received through contemplated or actual condemnation proceedings or on account of any federal, state or local public works project. protection of any property of the utility. 3. Amounts received as compensation or reimbursement for damages to or 4. Amounts collected as sales tax. E. Rules. The Clerk-Treasurer is authorized to adopt and enforce rules and regulations not inconsistent with this chapter or with Washington law for the purpose of administering and collecting the taxes. 4. Definitions. The following words, terms, and phrases, when used in this chapter, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meanmg: A. "Collector" or "Collector of Solid Waste and/or Recyclables" means a person, company or contractor with whom or which the City has entered into a contract by which such person or firm collects and removes solid waste and/or recyclables. B. "Solid Waste Collection Services" means receiving solid waste for transfer, processing, recycling, treatment, storage, or disposal, including, but not limited to all collection services under contract with the City. C. "Solid Waste" means garbage, trash, rubbish, or other material discarded as worthless or not economically viable for further use and related services. The term does not include hazardous or toxic waste nor does it include material collected primarily for recycling or salvage - including yard waste and related services. Page 3 of8

4 D. "Person" or "Company", herein used interchangeably, means any individual, receiver, administrator, executor, assignee, trustee in bankruptcy, trust, estate, firm, copartnership, joint venture, club, company, joint stock company, franchisee, business trust, municipal corporation, political subdivision of the State of Washington, corporation, limited liability company, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit, or otherwise and the United States or any instrumentality thereof. E. "Gross Earnings" means the consideration, whether money, credits, rights or property expressed in terms of money, proceeding or accruing by reason of the transaction of business and includes gross proceeds of sales, compensation for rendition of services, gains realized from interest, rents, royalties, fees, commissions, dividends and other emoluments, however designated, all without any deduction on account of cost of property sold, materials used, labor, interest, losses, discount and any other expense whatsoever. F. "Sewer Service" means any connection to the City sewer system. G. "Water Service" means any connection to the City water system. 5. Severability. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. 6. Allocation o((unds. The intended use of the revenue collected by these funds is dedicated solely to Public Safety (Police and Fire.) 7. Effective Date/Status o(retroactivity. This ordinance shall be published in the official newspaper of the City, shall take effect and be in full force five days after the date of publication. II. Ordinance Before Amendment: The text of Ordinance 1228 follows: 1. Purpose. The purpose of this ordinance is to adopt a utility tax to be levied on and after December 31, 2011, that runs parallel to the billing cycle for utility charges. The provisions of this chapter are an exercise of the statutory authority of the City to tax gross revenues of public and private utilities. The tax is intended to supplement revenue shortfalls from projected shortterm economic conditions and allow for 36 months of collections and terminating at the end of 36 months of collecting. Page 4 of8

5 2. Tax Imposed. A. Water Utility Tax Imposed. There is levied and there shall be collected from every business, person, finn or corporation, including public municipal corporations, that are engaged in carrying on a water supply and utility business in the City ofwoodland, a tax in the amount of six and one-half percent (6.5%) of the total gross revenue that the entity receives from providing such service. B. Sewer/Wastewater Utility Tax Imposed. There is levied and there shall be collected from every business, person, firm or corporation, including public municipal corporations, that are engaged in carrying on a sewer/wastewater treatment utility business in the City of Woodland, a tax in the amount of six and one-half percent (6.5%) of the total gross revenue that the entity receives from providing said service. C. Solid Waste and Recycling Utility Tax Imposed. There is levied and there shall be collected from every business, person, firm or corporation, including public municipal corporations, that are engaged in solid waste collection and recycling services in the City of Woodland, a tax in the amount of six and one-half percent (6.5%) on the total gross revenue that the entity receives from providing said service within the corporate limits of the City of Woodland. 3. Administrative/ Tax Payment. A. Tax Year. The tax year for purposes of this water, sewer and waste water/recycling utility tax shall commence January I, 2012, and thereafter shall commence on January I and end on December 31 each year. B. Payment. The tax imposed shall be due and payable in monthly installments and remittance therefore shall be made on or before the fifteenth day of the month next succeeding the end of the month in which the tax accrued. On or before the fifteenth day of such month the taxpayer shall make a return upon a form to be supplied by the Clerk-Treasurer setting forth such information as may be required by him or her and showing the amount of the tax for which the tax payer is liable for the preceding month, and shall assign and transmit the same to the Clerk-Treasurer together with the remittance for the amount then due and owing. C. Excess Payment. Any money paid through error and in excess of such tax shall be credited against any tax due or to become due from such taxpayer hereunder, or, upon the taxpayer ceasing to do business in the City, be refunded to the taxpayer. D. Exceptions and Deductions. In computing "gross earnings" under the provisions of this chapter, the following items shall be deducted from "gross earnings": Page 5 of8

6 1. Uncollected accounts, if the books of the utility are on an accrual basis as distinguished from a cash basis. 2. Amounts received through contemplated or actual condemnation proceedings or on account of any federal, state or local public works project. 3. Amounts received as compensation or reimbursement for damages to or protection of any property of the utility. 4. Amounts collected as sales tax. E. Rules. The Clerk-Treasurer is authorized to adopt and enforce rules and regulations not inconsistent with this chapter or with Washington law for the purpose of administering and collecting the taxes. 4. Definitions. The following words, terms, and phrases, when used in this chapter, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meanmg: A. "Collector" or "Collector of Solid Waste and/or Recyclables" means a person, company or contractor with whom or which the City has entered into a contract by which such person or firm collects and removes solid waste and/or recyclables. B. "Solid Waste Collection Services" means receiving solid waste for transfer, processing, recycling, treatment, storage, or disposal, including, but not limited to all collection services under contract with the City. C. "Solid Waste" means garbage, trash, rubbish, or other material discarded as worthless or not economically viable for further use and related services. The term does not include hazardous or toxic waste nor does it include material collected primarily for recycling or salvage - including yard waste and related services. D. "Person" or "Company", herein used interchangeably, means any individual, receiver, administrator, executor, assignee, trustee in bankruptcy, trust, estate, firm, copartnership, joint venture, club, company, joint stock company, franchisee, business trust, municipal corporation, political subdivision of the State of Washington, corporation, limited liability company, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit, or otherwise and the United States or any instrumentality thereof. E. "Gross Earnings" means the consideration, whether money, credits, rights or property expressed in terms of money, proceeding or accruing by reason of the transaction of Page 6 of 8

7 business and includes gross proceeds of sales, compensation for rendition of services, gains realized from interest, rents, royalties, fees, commissions, dividends and other emoluments, however designated, all without any deduction on account of cost of property sold, materials used, labor, interest, losses, discount and any other expense whatsoever. F. " Sewer Service" means any connection to the City sewer system. G. "Water Service" means any connection to the City water system. 5. Severability. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionallty shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. 6. Allocation o[funds. The intended use of the revenue collected by these funds is dedicated solely to Public Safety (Police and Fire.) 7. Effecitve Date/Status o[retroactivity. This ordinance shall be published in the official newspaper of the City, shall take effect and be in full force five days after the date of publication, and ifbased on the date of publication, this ordinance takes legal effect October 16, 2012 (for the December, 2012 Utility Billing). 8. Sunset Provision. The utility taxes established in this chapter shall automatically terminate after 36 months of collection, provided however, that taxes levied within that 36 month period but not paid, shall remain collectable. ADOPTED in an Open Public Meeting this 5'Th day of Ociz,be ', CITY OF WOODLAND, WASHINGTON Attest:!r~. ~er&t.ure; ' Page 7 of8

8 William J. Eli Page 8 of8

9 SUMMARY OF OF THE CITY OF WOODLAND, WASHINGTON On October 5, 2015, the City Council of the City of Woodland, Washington, approved Ordinance No. 1336, the main point which may be summarized by its title as follows: AN ORDINANCE AMENDING ORDINANCE NO UTILITY TAX ON GROSS REVENUES FROM WATER, SEWER AND SOLID WASTE/RECYCLING SERVICES DELETING A SUNSET PROVISION AND APPROVING AN ORDINANCE SUMMARY FOR PUBLICATION AS MORE PARTICULARLY SET FORTH HEREIN The full text of thjs Ordinance will be mailed upon request. APPROVED by the City Council at their meeting on October 5, MariE. Ripp, Clerk-Tre rer Published: Effective: October 14, 2015 October 19, 2015