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HomeMy WebLinkAbout1259 ORDINANCE NO. 1259 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, ADDING TO CHAPTER 6 OF ARTICLE II OF THE ARCADIA MUNICIPAL CODE A NEW PART 6 ENTITLED "UNIFORM TRANSIENT \ OCCUPANCY TAX" CONTAINING DIVISIONS 1 , 2 , 3 AND 4. ' THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA DOES ORDAIN AS FOLLOWS: SECTION 1. That the Arcadia Municipal Code is hereby amended by adding to Chapter 6 of Article II thereof a new Part 6, the same to read as follows: ARTICLE II. CHAPTER 6. PART 6, DIVISION 1. ADMINISTRATION TAXES UNIFORM TRANSIENT OCCUPANCY TAX DEFINITIONS 2661 DEFINITIONS. For the purpose of this Part certain words and terms are hereafter defined and shall have the meaning thus ascribed. 266l.1. TITLE. This Part shall be known as the Uniform Transient Occupancy Tax of the City of Arcadia. 2661.2. HOTEL. "Hotel" means any structure, or any portion of any structure, which is occupied or intended or designed for occupancy by transients for dwelling, lodging or sleeping purposes, and includes any hotel, inn, tourist home or house, motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house, dormitory, public or private club, mobilehome or house trailer at a fixed location, or other similar structure or portion thereof. 2661.3, OCCUPANCY. 'llQccupancy" means the use or possession, or the right to the use or possession of any room or rooms or portion thereof, in any hotel for dwelling, lodging or sleeping purposes. -1- 1259 '1 2661. 4. TRANSIENT. "Transient" means any person who exercises occupancy or is entitled to occupancy by reason of con- cession, permit, right of access, license or other agreement for a period of thirty (30) consecutive calendar days or less, counting portions of calendar days as full days. Any such person so occupy- ing space in a hotel shall be deemed to be a transient until the period of thirty (30) days has expired unless there is an agreement, in writing between the operator and the occupant providing for a longer period of occupancy. In determining whether a person is a transient, uninterrupted perio~s of time extending both prior and subsequent to the effective date of this Part may be considered. 2661.5, RENT. "Rent" means the consideration charged, whether or not received, for the occupancy of space in a hotel valued in money, whether to be received in money, goods, labor or otherwise, including all receipts, cash, credits and property and services of any kind or nature, without any deduction therefrom whatsoever. 2661.6. OPERATOR. "Operator" means j:i person who is proprietor of the hotel, whether in the capacity of owner, lessee, sublessee, mortgagee in possession, licensee, or any.other capacity. Where the operator performs his functions through a managing agent of any type or character other than an employee, the managing agent shall also be deemed an operator for the purposes of this Part and shall have the same duties and liabilities as his principal. Com- pliance with the provisions of this Part by either the princi- pal or the managing agent shall, however, be considered to be com- pliance by both. 2661.7. TAX ADMINISTRATOR. "Tax Administrator" means the City License Officer. -2- 1259 , DIVISION 2. IMPOSITION AND RATE. 2662. TAX IMPOSED. For the privilege of occupancy in any hotel, each transient is subject to and shall pay a tax in the amount of four per cent (4%) of the rent charged by the operator. Said tax constitutes a debt owed by the transient to the City which is ex- tinguished only by payment to the operator or to the City, The transient shall pay the tax to the operator of the hotel at the time the rent is paid. If the rent is paid in installments, a proportion- ate share of the tax shall be paid with each installment. The un- paid tax shall be due upon the transient's ceasing to occupy space in the hotel, If for any reason the tax due is not paid to the operator of the hotel, the Tax Administrator may require that such tax shall be paid directly to the Tax Administrator. DIVISION 3. EXEMPTIONS. 2663. EXEMPTIONS. The tax enacted by this Part shall not be imposed upon any person or agency defined in the following subsections, 2663.1. SAME. EXEMPTED BY LAW. Any person as to whom, or any occupancy as to which, it is beyond the power of the City to impose ,the tax herein provided. 2663.2. SAME. OFFICIALS. Any federal or State of Cali- - fornia officer or employee when on official business. 2663.3, SAME. FOREIGN AGENCIES. Any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty, 2663.4. SAME. PROCEDURE. No exemption shall be granted except upon a claim therefor made at the time rent is collected and under penalty of perjury upon a form prescribed by the Tax Administra- tor. DIVISION 4. COLLECTION PROCEDURE. 2664.1. OPERATOR'S DUTIES. Each operator shall collect the tax imposed by this Part to the same extent and at the same time as the -3- 1259 rent is collected from every transient, The amount of tax shall be separately stated from the amount of the rent charged, and each transient shall receive a receipt for payment from the operator. No operator of a hotel shall advertise or state in any manner, whether directly or indirectly, that the tax or any part thereof will be assumed or absorbed by the operator, or that it will not be added to the rent, or that, if added, any part will be refunded except in the manner hereinafter provided. 2664,2, REGISTRATION, Within thirty (30) days after the effective date of this Part, or within thirty (30) days after cownen- cing business, whichever is later, each operator of any hotel rent- ing occupancy to transients shall register said hotel with the Tax Administrator and obtain from him a "Transient Occupancy Registra- tion Certificate" to be at all times posted in a conspicuous place on the premises, Said certificate shall, among other things, state the following: (1) The name of the operator; (2) The address of the hotel; (3) The date upon which the certificate was issued; (4) "This Transient Occupancy Registration Certificate sig- nifies that the person named on the face hereof has fulfilled the re- quirements of the Uniform Transient Occupancy Tax Ordinance by regis- tering with the Tax Administrator for the purpose of collecting from transients the Transient Occupancy Tax and remitting said tax to the Tax Administrator. This certificate does not authorize any person to conduct any unlawful business or to conduct any lawful business in an unlawful manner, nor to operate a hotel without strictly complying with all local applicable laws, including but not limited to those requiring a permit from any board, commission, department or office of this City. This certificate does not constitute a permit." -4- l259 2664.3. REPORTING AND REMITTING. Each operator shall, on or before the last day of the month following the close of each calendar quarter, or at the close of any shorter reporting ~,period which may be established by the Tax Administrator, make a return to the Tax Adminis- trator, on forms provided by him, of the total rents charged and re- ceived and the amount of tax collected for transient occupancies. At the time the return is filed, the full amount of the tax collected shall be remitted to the Tax Administrator. The Tax Administrator may establish shorter reporting periods for any certificate holder if he deems it necessary in order to insure collection of the tax and he may require further information in the return. Returns and payments are due immediately upon cessation of business for any reason, All taxes collected by operators pursuant to this Part shall be held in trust for the account of the City until payment thereof is made to the Tax Administrator. 2664.4. PENALTIES AND '~NTEREST. Penalties shall apply and . interest be due as provided in the fol~owing subsections. 2664,4,l, SAME. ORIGINAL DELINQUENCY. Any operator who fails to remit any tax imposed by this Part within the time required shall pay a penalty of 10% of the amount of the tax in addition to the amount of the tax, 2664.4.2. SAME. CONTINUED DELINQUENCY. Any operator who fails to remit any delinquent remittance on or before a period of thirty (30) days following the date on which the remittance first be- came delinquent shall pay a second delinquency penalty of 10% of the amount of the tax in addition to the amount of the tax and the 10% penalty first imposed. 2664.4.3, SAME. FRAUD. If the Tax Administrator deter- mines that the non-payment of any remittance due under this Part is due to fraud, a penalty of 25% of the amount of the tax shall be added thereto in addition to the penalties stated in Bubsections 2664.4,1. and 2664.4,2, -5- 1259 2664,4.4. SAME. INTEREST. In addition to the penalties imposed, any operator who fails to remit any tax imposed by this Part shall pay interest at the rate of one-half of 1% per month or frac- tion thereof on the amount of the tax, exclusive of penalties, from the date on which the remittance first became delinquent until paid. 2664,4.5. SAME. PENALTIES MERGED WITH TAX. Every penalty imposed and such interest as accrues under the provisions of this Division shall become a part of the tax herein required to be paid, 2664.4.5. TAX ADMINISTRATOR DETERMINATIONS. If any operator shall fail or refuse to collect said tax and to make, within the time provided in this Part, any report and remittance of said tax or any portion thereof required by this Part, the Tax Ad- ministrator shall proceed in such manner as he may deem best to ob- tain facts and information on which to base his estimate of the tax due. As soon as the Tax AdminIstrator shall procure such facts and information as he is able to obtain upon which to base the assess- ment of any tax imposed by this Part and payable by any opera- tor who has failed or refused to collect the same and to make such report and remittance, he shall proceed to determine and assess -against such operator the tax, interest and penalties provided for by this Part. In case such determination is made, the Tax Administrator shall give a notice of the amount so assessed by serving it personally or by depositing it in the United States mail, postage prepaid, addressed to the operator so assessed at his last known place of address. Such operator may within ten (10) days after the serving or mailing of such notice make application in writing to the Tax Administrator for a hearing on the amount assessed. If application by the operator for a hearing is not made within the time prescribed, the tax, interest and penalties, if any, determined by the Tax Administrator shall become final and conclusive and imme- diately due and payable, If such application is made, the Tax Ad- ministrator shall give not less than five (5) days written notice -6- 1259 in the manner prescribed herein to the operator to show cause at a time and place fixed in said notice why said amount specified therein should not be fixed for such tax, interest and penalties. At such hearing, the operator may appear and offer evidence why such speci- fied tax, interest and penalties should not be so fixed. After such hearing the Tax Administrator shall determine the proper tax to be remitted and shall thereafter give written notice to the person in the manner prescribed herein of such determination and the amount of such tax, interest and penalties. The amount determined to be due shall be payable after fifteen (15) days unless an appeal is taken as provi- ded in the following subsection. 2664.5.1. SAME. APPEAL. Any operator aggrieved by any decision of the Tax Administrator with respect to the amount of such tax, interest and penalties, if any, may appeal to the Council by filing a notice of appeal with the City Clerk within fifteen (15) days of the serving or mailing of the determination of tax due. The Council shall fix a time and place for hearing such appeal, and the City Clerk shall give notice in writing to such operator at his last known place of address, The findings of the Council shall be final and conclusive and shall be served upon the appellant in the manner prescribed above for service of notice of hearing. Any amount found to be due shall be immediately due and payable upon the service of notice. ,2664.6. RECORDS. It shall be the duty of every operator liable for the collection and payment to the City of any tax imposed by this Part 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 payment to the City, which records the Tax Administrator shall have the right to inspect at all reasonable times. -7- 1259 2664.7. REFUNDS. Whenever the amount of any tax, interest or penalty has been overpaid or paid more than onceor has been erroneously or illegally collected or received by the City under this Part it may be refunded as provided in the following subsec- tions provided a claim in writing therefor, stating under penalty of perjury the specific grounds upon which the claim is founded, is filed with the Tax Administrator within three years of the date of payment. The claim shall be on forms furnished by the Tax Adminis- trator. 2664.7.1. SAME. CREDITS. An operator may claim a re- fund or take as 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 Tax Administrator that the person from whom the tax has been collected was not a transient; provided, however, that neither a refund nor a credit shall be allowed unless the amount of the ~ax so collected has either been refunded to the transient or credited to rent subsequently payable by the transient to the operator. 2664.7.2. SAME. CLAIMS. A transient may obtain a re- fund of taxes overpaid or paid more than once or erroneously or illegally collected or received by the City by filing a claim in the manner provided in Section 2664.7, but only when the tax was paid by the transient directly to the Tax Administrator, or when the transient having paid the tax to the operator establishes to the satisfaction of the Tax Administrator that the transient has been unable to obtain a refund frorn the operator who collected the tax. 2664.7.3. SAME. PROOF. No refund shall be paid under the provisions of this Part unless the claimant establishes his right thereto by written records showing entitlement thereto. 2664.8. ACTION TO COLLECT. Any tax required to be paid by any transient under the provisions of this Part shall be deemed a debt owed by the transient to the City. Any such tax collected by an -8- 1259 operator which has not been paid to the City shall be deemed a debt owed by the operator to the City. Any person owing money to the City under the provisions of this Part shall be liable to an action brought in the name of the City for the recovery of such amount. 2664.9. VIOLATIONS. No person shall fail or refuse to register as required by this Part, or to furnish any return required to be made by this Part, or fail or refuse to furnish a supplemental return or other data required by the Tax Administrator. No person required to make, render, sign or verify any report, return or claim shall make any false or fradudulent report, return or claim with intent to defeat or evade the determination required by this Part to be made of any amount due. No person shall fail or refuse to pay any sum required by this Part to be paid. SECTION 2. This ordinance shall be effective thirty (30) days from and after the date of its adoption except that the tax imposed b~ this ordinance shall become operative and be imposed on February 1, 1965 ~pli~~if/t'/t~%fi, and shall not apply prior to said date. SECTION 3. Any person violating any of the provisions of this ordinance shall be guilty of a misdemeanor and shall be punishable therefor by a fine of not more than five hundred dollars ($500.00) or by imprisonment in the City jailor County jail for a period of not more than six (6) months or by both such fine and imprisonment. SECTION 4. The City Clerk shall certify to the adoption of this ordinance. -9- 1259 I HEREBY CERTIFY that the foregoing ordinance was adopted at a regular meeting of the City Council of the City of Arcadia held on the 6TH day of OCTOBER , 1964, by the affirmative vote of at least three Councilmen, to wit: AYES: COUNCILMEN BALSER, CONSIDINE, FORMAN, REIBOLD AND TURNER NOES: NONE ABSENT: NONE ~Z~..~ City Clerk of the City of Arcadia SIGNED AND APPROVED this 6TH day of OCTOBER , 1964. ~~~~ Mayor of the City of Arcadia ~- '- -, , r '.....). . ._-..~ ATTEST:'_~- _.~ ,-~ ~%:~', -J di--" ~/ ' ',- d~22 '-'~~'",,"~ City Cle'rk ;,-:: - (itiir) , ~ -' ~ - -- -,:. 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