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HomeMy WebLinkAbout33-City Administrator CITY,OF SAN BEIOARDINO - REQUES..oOR COUNCIL ACTION From: Fred Wilson Assistant City Administrator Subject: Ordinance amending utility users tax ordinance Dept: Date: April 14, 1992 Synopsis of Previous Council action: 2/17/92 -- Adopted ordinance MCB20 increasing utility users tax to 8 1/2%. Recommended motion: That further reading of the ordinance be waived and it be laid over for final adoption. Contact person: Fred Wilson Phone: 5122 Supporting data attached: yes Ward: FUNDING REQUIREMENTS: Amount: Source: (Acct. No.) (Acct. Descriotion) Finance: Council Notes: Agenda Item No.:jj:3.3 -- CITY' OF SAN BI!~ARDINO - RI!QUI!SHOR COUNCIL ACTION STAFF REPORT The city has hired a consultant, Mr. Donald Maynor, who is currently auditing Southern California Edison and the Gas Company to verify the accurate collection of franchise fees and utility users taxes. As part of the audit process, it was determined that the existing utility users tax ordinance did not exempt public agencies (other than the San Bernardino Unified School District)' from paying utility users taxes. Accordingly, all utility users' were requested to begin the collection process. The County Counsel responded that, technically, they do not fall under the definition of "person" in Section 3.44.010B. of the current ordinance. Mr. Maynor recommends an amendment to section 3.44.010B. of the ordinance specifying language to define the word "person." The other proposed amendment relates to imposing a utility users tax on the cellular telephone monthly service charges. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 o o ORDINANCE NO. AN ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING SECTIONS 3.44.010 AND 3.44.030 OF THE SAN BERNARDINO MUNICIPAL CODE RELATING TO SERVICE USERS TAX. THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO DO ORDAIN AS FOLLOWS: SECTION 1. Subsection B of Section 3.44.010 of the San Bernardino Municipal Code is hereby amended to read as follows: "'Person' shall include, but is not limited to, all domestic, foreign, and municipal corporations, districts, public entities, political subdivisions, associations, syndicates, joint stock companies, partnerships of every kind, joint ventures, clubs, Massachusetts business or common law trusts, societies, and individuals." SECTION 2. Subsection B of Section 3.44.030 of the San Bernardino Municipal Code is hereby amended to read as follows: "As used in this Section, 'charges' shall include (but are not limited to) monthly service charges for the providing of cellular telephone communication services to a person whose billing address is in the City. It shall not include charges for services paid for by inserting coins in coin-operated telephones e.xcept 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 words 'telephone communication services' include maritime mobile services as defined in Section 2.1 of Title 47 of the Code of Federal Regulations, or as that Section may be amended from time to time." SECTION 3. Subsection E is added to Section 3.44.030 of the San Bernardino Municipal Code to read as follows: "Notwithstanding the provisions of Subsection A of this Section, the tax imposed under this Section shall not be imposed upon any person for using telephone communication services or teletypewriter exchange services, to the extent that the amounts paid for such services are exempt from or not subject to the tax imposed under Section 4251 of Title 26 of the United States Code, or as that Section may be amended from time to time." DAB/bg [Service.Ord] 1 April 13, 1992 o o 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 AN ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING SECTIONS 3.44.010 AND 3.44.030 OF THE SAN BERNARDINO MUNICIPAL CODE RELATING TO SERVICE USERS TAX. I HEREBY CERTIFY that the foregoing ordinance was duly adopted by the Mayor and Common Council of the City of meeting thereof, held on the , 1992, by the following vote, to wit: San Bernardino at a day of Council Members: AYES NAYS ABSTAIN ABSENT ESTRADA REILLY HERNANDEZ MAUDSLEY MINOR POPE-LUDLAM MILLER City Clerk The foregoing Ordinance is h~~eby approved this day of , 1992. W. R. Holcomb, Mayor City of San Bernardino Approved as to form and legal content: JAMES F. PENMAN, City Attorney ~ft-a. / DAB/bg [Service.Ord] 2 April 13, 1992