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HomeMy WebLinkAbout6664RESOLUTION NO. 6664 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DECLARING AN EMERGENCY UNDER PROPOSITION 218 AND CALLING FOR THE PLACEMENT OF A GENERAL TAX MEASURE ON THE BALLOT AT A SPECIAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, JiJNE 9, 2009 FOR THE SUBMISSION TO THE QUALIFIED VOTERS OF A PROPOSED ORDINANCE UPDATING THE TELEPHONE/ TELECOMMUNICATIONS PROVISIONS OF THE CITY'S UTILITY USERS TAX WHEREAS, pursuant to Article II, Chapter 6, Part 7 of the Arcadia Municipal Code (A.M.C. §§ 2670 - 2679), the City currently levies a Utility Users' Tax ("UUT") at the rate of seven percent (7%) on electricity, gas and water and at the rate of five percent (5%) oii telephone usage within the City; and WHEREAS, pursuant to Arcadia Municipal Code Sections 2671.5 and 2671.6, the City has suspended a portion of the UUT and has been temporarily collecting the UUT at the rate of five percent (5%) for electricity and gas usage, and has not been collecting UUT on water usage; and WHEREAS, the UUT is a general tax which funds the City general fund. The general fund pays for essential City services such as police protection, fire and paramedic services, street operations and maintenance, library services, parks and recreation services and general municipal services to the public; and WHEREAS, the City currently receives approximately $5,100,000 per year in UUT, approximately $1,500,000 of which is generated solely from telephone communication services, and such revenues are critical to the public welfare and the City's financial ability to provide essential municipal services; and WHEREAS, several lawsuits have been filed in other jurisdictions challenging the application of the UUT to certain telephone/telecommunication services as a result of outdated ordinance definitions or references to outdated federal laws (ie: the Federal Excise Tax); and WHEREAS, an adverse ruling on the Federal Excise Tax issue (and its application to the City's telephone communications UUT) could result in the elimination of 70% or more of the City's current UUT on telephone communication services -amounting to over $1,000,000 of general fund revenue per year; and WHEREAS, in the case of AB Cellular LA, LLC v. City of Los Angeles, a final appellate court ruling was rendered in May, 2007, with possible adverse financial implications for the City's UUT on wireless telephone services and the City's budget; and WHEREAS, a number of telephone companies are applying the City's UUT inconsistently, due to outdated definitions and legal uncertainty, exposing the City 2 6664 to refund claims and legal challenges regarding inconsistent application of the City's telephone communications tax; and WHEREAS, several major telecommunication providers have notified the City in writing that they are collecting and remitting the City's UUT under protest; and WHEREAS, without immediate voter approval of the City's telephone communications UUT, the City will increase its exposure to claims for refunds on the City's telephone communications UUT that could adversely affect its budget; and WHEREAS, without immediate voter approval of the City's telephone communications UUT, the City's budget could be vulnerable to serious financial shortfalls due to adverse court rulings (existing and/or imminent) regarding the City's telephone communications UUT that cannot be covered by current City reserves or by readily available alternative revenue sources; and WHEREAS, such financial shortfalls may force the reduction of essential municipal services, which will endanger the health, safety and general welfare of the City and its citizens; and there is a need to amend the UUT in order to maintain funding for City services at existing levels for the health, safety and general welfare of the citizens of the City; and 3 6664 WHEREAS, the City desires reasonable certainty in the collection and receipt of its UUT and budgetary planning; consistent application of its telephone communications L1IJT; and the elimination of current legal risks associated with its existing telephone communications WT; and WHEREAS, on November 6, 1996, the voters of the State of California approved Proposition 218 (California Constitution, Article XIIIC), an amendment to the State Constitution which requires that all general taxes which are imposed, extended or increased must be approved by a majority vote of the voters; and WHEREAS, the amendments proposed in the attached ordinance may be characterized as an "increase" in the UUT under Proposition 218; and WHEREAS, Proposition 218 permits the City Council to call a special election to impose, increase or extend a general tax, if the City Council finds that there exists an emergency requiring an election to be conducted earlier than the next regularly scheduled general election at which city council members are to be elected; and WHEREAS, the next regularly scheduled general election at which city council members are to be elected is not until April, 2010; and 4 6664 WHEREAS, as described above, the health, safety and general welfare of the citizens of the City would be endangered if the City were unable to place the UUT measure before its voters until April, 2010; and WHEREAS, all of the circumstances described create an emergency situation warranting the placement of a measure on the next available special election ballot to permit the voters to decide on the UUT measure pursuant to Proposition 218. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: SECTION 1. Findings. The City Council finds that all of the preceding recitals are true and correct. SECTION 2. Declaration of Emergency. Pursuant to California Constitution, Article XIIIC, Section 2(b), the City Council hereby unanimously declares the existence of an emergency in that there are imminent financial risks and dangers, as described above, to the public welfare and the City's financial ability to provide essential municipal services without disruption, so that a special election is necessary to address such risks and dangers. 6664 5 SECTION 3. Submission of Measure. Pursuant to Government Code Section 53724 and any other applicable requirements of the laws of the State of California, the City Council hereby orders the following proposed ordinance to be submitted to the voters of the City at a special municipal election to be held on Tuesday, June 9, 2009: "Shall an ordinance be adopted to update, YES with no increase in rates, Arcadia's existing Utility User's Tax Ordinance on telephone/telecommunications services to address current and future technologies in order to preserve funding for critical City services, including police and fire protection, paramedic services, library and recreational programs, so that all taxpayers are treated equally regardless of technology used, while maintaining cun•ent low income and disabled exemptions?" NO SECTION 4. Text of Ordinance. The text of the ordinance to be submitted to the voters is attached as Exhibit "A". SECTION 5. Conduct of Election. The City Clerk is authorized, instructed and directed to procure and furnish any and all official ballots, printed matter and all supplies, equipment and paraphernalia that may be necessary in order to properly and lawfully conduct the election. In all particulars not recited in 6664 6 this Resolution, the election shall be held and conducted as provided by law for holding municipal elections. SECTION 6. Notice of Election. Notice of the time and place of holding the election is hereby given, and the City Clerk is authorized, instructed and directed to give further or additional notice of the election, in time, form and manner as required by law. SECTION 7. Impartial Analysis. Pursuant to California Elections Code Section 9280, the City Council hereby directs the City Clerk to transmit a copy of the measure to the City Attorney. The City Attorney shall prepare an impartial analysis of the measure, not to exceed 500 words in length, showing the effect of the measure on the existing law and the operation of the measure, and transmit such impartial analysis to the City Clerk within ten (10) days following the adoption of this Resolution. SECTION 8. Certification. The City Clerk shall certify to the adoption of this Resolution. [SIGNATURES ON NEXT PAGE] ~ 6664 Passed, approved and adopted this i7cb day of February , 2009. ~.,E! ~C _ Q/~d..Gu,e~ Mayor of the City of Arcadia ATTEST: ~. ity Clerk _ _ _~ APPROVED AS TO FORM: ~. I~~~n,7.a.~ Step en P. Deitsch City Attorney 6664 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES) SS: CITY OF ARCADIA ) I, JAMES H. BARROWS, City Clerk of the City of Arcadia, hereby certifies that the foregoing Resolution No. 6664 was passed and adopted by the City Council of the City of Arcadia, signed by the Mayor and attested to by the City Clerk at a regular meeting of said Council held on the 17th day of February, 2009 and that said Resolution was adopted by the following vote, to wit: AYES: Council Member Amundson, Chandler, Kovacic, Wuo and Harbicht NOES: None ABSENT: None ~' ~- l ity Clerk of the City of Arcadia 9 6664 ATTACHMENT "A" Ordinance Regarding Utility Users Tax (ATTACHED) 10 6664 MEASURE "_" ORDINANCE NO. XXXXX AN ORDINANCE OF THE PEOPLE OF THE C[TY OF ARCADIA UPDATING THE TELEPHONE/TELECOMMUNICATIONS PROVISIONS OF THE CITY'S UTILITY USERS TAX. (NOTE: additions are highlighted in bold italics and deletions are highlighted in strikeeat) THE PEOPLE OF THE CITY OF ARCADIA, CALIFORNIA DO HEREBY ORDAIN AS FOLLOWS: Section 1. Section 2670 of Part 7 of Chapter 6 of Article II of the Arcadia Municipal Code is hereby amended to read as follows: "2670. DEFINITIONS. The definitions given in this section govern the construction of this Part. (a) "Person" shall mean any domestic or foreign corporation, firm, association, syndicate, joint stock company, partnership or any kind, joint venture, club, Massachusetts business or common-law trust, society, individual, or municipal corporation. (b) "City" shall mean the City of Arcadia. (c) ", "eElectrical corporation", "gas corporation", "water corporation", and "cable television corporation" shall have the same meanings as defined in Sections ~ 218, 222, 241 and 215.5, respectively, of the Public Utilities Code of the State of California, as said sections existed on January 1, 1970, except that "water corporation" shall not mean or include the City of Arcadia. (d) "Tax Administrator" shall mean the Finance Director of the City of Arcadia. (e) "Service Supplier" shall mean a person required to collect and remit a tax imposed by this Part. (~ "Service User" shall mean a person required to pay a tax imposed by this Part. (g) "Month" shall mean a calendar month. (h) "Ancillary Telecommunications Services" shall mean services that are associated with or incidental to the provision, use or enjoyment of telecommunications services, including but not limited to the following services: (1) "Conference bridging service" means an ancillary service that links two or more participants of an audio or video conference call and may i~aclude the provision of 11 6664 a telephone number. Conference bridging service does not include the telecommunications services used to reach the conference bridge. (2) "Detailed telecommunications billing. service" n+emrs an ancillary service of separately stating information pertaining to individual calls on a customer's billing statement. (3) "Directory assistance" means an ancillary service of providing telephone number information, and/or address information. (4) "Vertical service" means aw ancillary service that is offered in connection with oree or more telecommur:icatiorrs services, which offers advanced calling features that allow customers to identify callers and to manage multiple calls and call connections, including conference bridging services. (5) "Voice mail service" means an ancillary service that enables the customer to store, send or receive recorded messages. Voice mail service does not include arry vertical services that the customer may be required to have in order to utilize the voice mail service. (i) "Billing Address" shall mean the mailing address of the service user where the service supplier submits invoices or bills for payment by the service user. Q) "Communication Services" shall mean telecommunications services and ancillary telecommunicatiar services. (k) "Mobile Telecommunications Service" shall have the same rneanirrg a»d usage as set forth in the Mobile Teleconunrurications Sourcing Act (4 U.S.C. Section 124) and the regulations thereunder. (l) "Municipal Organization"shall mean an organization or association created by statute or by voluntary action, whose purpose is to facilitate the development and dissemination of uniform rulings or interpretations regarding the application of utility users taxes to communications services in the State of California. (m) "Place of Primary Use" shall mean the street address representative of where Hie customer's use of the communications service primarily occurs, which must be t/re residential street address or the primary business street address of the customer. (~y "Post-Paid Telecommunicatimr Service" shall mean the teleco»emunicatiora service obtained by making a payment on a telecommunication-by-telecommunicatio» basis either through Hze use of a credit card or payment mechanism such as a bank card, travel card, credit card, or debit card, or by charge made to a service rtun:ber which is not associated with the origination or termination of the telecommunication service. (o) "Prepaid Telecommunication Service" shall memo the right to access telecommunication services, which must be paid for in advance acrd which enables the origination of telecommunications using arr access number or authorizatio» code, whether manually or electronically dialed, and that is sold ir+ predetermined units or dollars of which the number declines with use in a known amount. 12 6664 (p) "Private Telecommunication Service" sl:a[! n:eon a telecommunicatior+ service tkat entitles the customer to exclusive nr priority use of a telecommunications channel or group of channels between or among tern:ireation points, regardless of the manner in which such channel or channels are connected, and includes switching capacity, extension lines, stations, and any other associated services that are provided in connection with the use of such channel or channels. A telecommunications channel is a physical or virtual path of telecommunications over which signals are transmitted between or among customer channel termination points (i.e., the location where the customer either inputs or receives the telecommunications). (q) "Service Address" means any of the following: (1) Tl:e location of the service user's telecommunications equipment from which the telecommunication originates or terminates, regardless of where the telecommunication is billed or paid; or, (2) If the location hr subsection (1) of this definition is unknown (e.g., mobile telecommunications or VoIP service), the service address means the location of the service user's place of prim:ary use, or (3) For prepaid telecommunication service, "service address" means the location associated with the service r+urr:ber. (r) "Streamlined Sales and Use Tax Agreement" shall mean the multi-state agreemer:t commonly known and referred to as the Streamlined Sales and Use Tax Agreement, and as it is amended from time to time. (s) "Communications Services" shall mean the transmission, conveyance, or routing of voice, data, audio, video, or any other information or signals to a paint, or between or among points, whatever the technology used The term "communications services" includes such transmission, conveyance, or routing in which computer processing applications are used to act on the form, code or protocol of the content for purposes of transmission, conveyance or routing without regard to whether such services are referred to as voice over internet protocol (VoIP) services or are classified by the Federal Comrunications Commissimr as enhanced or value added, mrd includes video and/or data services that is functionally integrated with "communications services': "Connnurrications services" include, but are not limited to the following services, regardless of the manner or basis on which such services are calculated or billed: ancillary telecommunication services; neobile telecommunications service; prepaid telecommunication service; post paid telecommunication service; private telecommureicatiore service; paging service; 800 service (or any other toll free numbers designated by the Federal Comrnur+ications Commission); 900 service (or any other sin:filar numbers designated by the Federal Comn:unications Commission for services whereby subscribers who call in to pre-recorded or live service). (t) "VoIP" (Voice over Internet Protocol) shall mean the digital process of making and receiving real-lime voice transmissimes over any L:ternet Protocol network. 13 6664 (u) "800 SERVICE" shall mean a "conununications service" that allows a caller to dial a toll free number without incurring a charge for the call. The service is typically marketed under the name "800", "855", "866'; "877", and "888"toll free calling, and any subsequent numbers designated by the Federal Communications Commission. (v) "900 SERVICE" shall mean an inbound toll "communications service" purchased by a subscriber tlaat allows the subscriber's customers to call in to the subscriber's prerecorded announcement or live service. "900 service" does trot include the cltarge for: collection services provided by Nae seller of the "telecommunications services" to the subscriber, or service or product sold by the subscriber to the subscriber's customer. The service is typically marketed under Nee name "900" service, and any subsequent numbers designated by the Federal Conrmutaications Commission." Section 2. Section 2671 of Part 7 of Chapter 6 of Article II of the Arcadia Municipal Code is hereby amended to read as follows: "2671. ~ COMMUNICATIONS SERVICES TAX. (a) There is hereby imposed a tax upon every person in the City, using intrastate, interstate and international communications services, including cellular telephone services, and the telephone services that gain access to the Public Switched Network (PSN), by means of various technologies, by every person in the City using such services. The tax imposed by this section shall be at the rate of five percent (5%) of all charges made for such services and shall be paid by the person paying for such service. There is a rebuttable presumption that communications services, which services are capable of terminating a call to another person otr the getreral telephone network, and which are billed to a billing or service address in the City, are used, in whole or in part, within the City's boundaries, and such services are subject to taxatiar under this chapter. If the billing address of the service user is different from the service address, the service address of the service user s{call be used for purposes of imposing Nre tax. (b) "Mobile Telecommunications Service" shall be sourced in accordance with the sourcing rules set forth in the Mobile Telecommunications Sourcing Act (4 U.S.C. Section 124). The Tax Administrator may issue at:d disseminate to communication service suppliers, which are subject to the tax collection requirements of this Part, sourcing rules for the taxation of oNrer conurrunication services, including but toot limited to post paid telecommunication services, prepaid telecommunication services, and private telecommunication services, provided that such rules are based upon custom and common practice tlaat further administrative efficiency and minimize multi jurisdictional taxation (e.g., Streamlined Sales and Use Tax Agreement). (bc) As used in this section, the term " 14 6664 *°° a•~°; °°~ °"°" «"° •°-•-• "tele~keA~communciations services" shall not include "land private mobile radio services" /as defined in °aT Part 20.3 of Title 47 of the Code of Federal RegulationsJ, or "private mobile service" /as defined in 47 U.S.C.A. Section 332(d)(3)J, which is not interconnected with the PSN '~. As used in this section, the tern: "conamuraications services" shall include, but shall not be limited to charges for: connection, reconnection, termination, movement, or change of communications services; late payneent fees; detailed billing; central office and custom calling features (including but not limited to call waiting, call forwarding, caller identification and three-rvay calling); voice mail and other messaging services; directory assistance; access and line charges; universal service charges; regulatory, adirainistrative and other cost recovery charges; Iota! number portability charges; and text and instant messaging. "Communication services" shall not include digital downloads such as, music, ringtones, games, and similar digital products. al, ,71. A')CI ,.F T:aI°'1~ ..F al.,, 1 i..:a°.J Cr.,r°~ (`..rl° _ ...1. ~°..a:..» .. :tea°.i .. Y J r . 1 1 non ...:«L..,,r - °..a a,. ,..,".. °.. r:..., r"~ r"o: ~.,~ (d) 'r" .»,..,.. -_~~»'»- °---~- -".._,.°,..."_n "° °FF__al.,° ,.., n°,.°.,,a.o« ~~-Pfl~ As used in this .. . a- section, the term "charges" shall include the value of any other services, credits, property of every kind or nature, or other consideration provided by the service user in exchange for the corrrnrurricatiores services. (e) The Tax Administrator, fro»r time to time, may issue and disseminate to `.~ communications service suppliers that are subject to the tax collection requirements of this Part, an administrative ruling identifying those conunweications services that are subject to the taz of subsection (a) above. This administrative ruling shall not impose a new tax, revise an existing tax methodology as stated in this Part, or increase an existing tax except as allowed by California Government Code Section 53750(li)(2), as it may be amended from time to time. (~ To facilitate the uniform interpretation and application of similar ordinance provisions in other local jurisdictions in the state, the Tax Administrator may, prior to issuing and disseminating a sourcing rule or an administrative tax ruling, submit his or her proposed sourcing rule or administrative tax ruling to a Municipal Organization for review and canneent, according to the rules and procedures of that Municipal Organization, or its successor organization. (g) To prevent actual multi jurisdictional taxation of communications services subject to tax under this section, any service user, upon proof to the Tax Administrator that the service user has previously paid the same tax in another state or city orr such communications services, slrall be allowed a credit against the tax imposed to the extent of the amount of such tax 15 6664 legally imposed in such other state or city; provided, however, the amount of credit shall not exceed the tax owed to the City under this section." Section 3. Section 2671.4 is hereby added to Part 7 of Chapter 6 of Article II of the Arcadia Municipal Code and shall read as follows: "2b71.4 EFFECT OF BUNDLING TAXABLE WITHNON-TAXABLE ITEMS. If any nontaxable charges are bundled with and not separately stated from taxable service charges on the customer bill or invoice of a service supplier, the combined charge is subject to tax unless the service supplier identifies, by reasonable and verifiable standards, the portions of the combined charge that are nontaxable and taxable through the service supplier's books and records kept in the regular course of business, and in accordance with generally accepted accounting principles, and not created and maintained for tax purposes. The service supplier has the burden of proving the proper apportionment of taxable and non-taxable charges. If the service supplier offers a combination of taxable and non-taxable services, and tlae charges are separately stated, then for taxation purposes, the values assigned the taxable and non- taxable services shall be based on its books and records kept in the regular course of business and in accordance with generally accepted accounting principles, and not created and maintained for tax purposes. The service supplier laas the burden of proving the proper valuation of the taxable and non-taxable services. " Section 4. Section 2671.6 of Part 7 of Chapter 6 of Article II of the Arcadia Municipal Code is hereby amended to read as follows: "2b71. b INDEFINITE SUSPENSION OF A PORTION OF THE UTILITY USER TAX RATE That notwithstanding the utility user tax rates set forth in °~~"°°^"~^"° '~" '°', 2671.1 (a); and 2671.2 (a), of this Code, ° ^"^-^°° F - ^~~^" *°'°^"^ :e, the utility user tax rate for electricity shall be five percent (5%) of the charges for such electricity, and the utility user tax rate for gas shall be five percent (5%) of the charges for such gas. That during such time as this Section of the Arcadia Municipal Code is in effect, the utility user tax rates imposed by Subsections' " ~"~, 2671.1 (a); and 2671.2 (a) over the rate set forth in this Section, shall be suspended, and shall not be collected. The rate set forth in this Section shall not be operative as to a service user and the duty to collect the tax pursuant to such rate from a service user shall not commence until the beginning of the first regular billing period applicable to that service user which starts on or after June 3, 1980. Where a service user receives more than one (1) billing, one or more being for different periods than another, the rate set forth in this Section shall be operative, and the duty to collect the tax pursuant to said rate shall arise separately for each billing period. The utility users tax shall be reviewed annually by the City Council and the Ciry Council may, by ordinance or resolution, adjust the rate or temporarily suspend all or a portion of the tax, as appropriate to the financial condition of the city. No adjustment to the rate or temporary 16 6664 suspension of the tax shall constitute a decrease in a tax, or an increase in a taz requiring voter approval under California Constitution Article XIIIC (Proposition 218); provided the City Council's action does not increase the tax beyorad the maximum rate or methodology set forth in this voter-approved ordinance. To the ~rtent that any aspect of a rate adjustment or temporary tax suspension is found to invoke such a requirement under Proposition 218, the entire City Council action shall be deemed null and void ab initio, and there shall be no entitlement to adjustnent or suspension for any service user. " Section 5. Section 2671.8 is hereby added to Part 7 of Chapter 6 of Article II of the Arcadia Municipal Code and shall read as follows: "2671.8 SUBSTANTIAL NEXUS/MINIMUM CONTACTS For purposes of imposing a tax or establishing a duty to collect and remit a tax under this chapter, "substantial nexus" and "minimum contacts" shall be construed broadly in favor of the impositiory collection and/or remittance of tl:e utility users tax to the fullest extent permitted by state and federal law, and as it may change from time to time by judicial interpretation or by statutory enactment. A service supplier shall be deemed to have sufficient activity in flee City for tax collection and ren:inance purposes if its activities include, but are not limited to, any of the following: maintains or has within the City, directly or through an agent or subsidiary, a place of business of any nature; solicits business in the City by employees, independent contractors, resellers, agents or other representatives; solicits business in the City on a continuous, regular, seasonal or systematic basis by means of advertising that is broadcast or relayed from a transmitter with the Ciry or distributed from a location within the City; or advertises in newspapers or other periodicals printed and published within the City or through materials distributed in the City by means other than the United States mail; or if there are activities performed in the City a: behalf of the service supplier that are significantly associated with the service supplier's ability to establish and maintain a market in the City for the provisiar of services that are subject to a tax under this Chapter. " Section 6. Section 2672. l of Part 7 of Chapter 6 of Article II of the Arcadia Municipal Code is hereby amended to read as follows: "2672.1 EXEMPTION. The tax imposed by this Part 7 shall not apply during any calendar year to any of the following: la~ ,7 C 7 } 1.7 -.1 1, !` I'f D I T T .. T „ f .. r"° ~ F .. •°/"'~" °~~-' ~°°°° ••~°-° a••°. Any service user wleo has an income adjusted for family size, at or below fifty percent (50%) of the area median income as determined under the Section 8 Income Limits for Los Angeles County as published by the United States Department of Housing and Urban Development and applicable to the Comn+unity Development Block Grant Programs; and 17 6664 r1,.... Nrnan-ai z,vov , r..,.,..,,e Tom., r ,..., F .. «ti,,...e.,. ~ ....,~.:,.w ~..:a «...,o~ ...e.e a ...... ..............v .t,,.., c~ cnn (db) Any per-seR service user who meets the criterion of disability as established by the Social Security Administration's Supplemental Income program for the Aged, Blind and Disabled. (Title XVI of the Social Security Act as amended.)" Section 7. Section 2679.1 is hereby added to Part 7 of Chapter 6 of Article II of the Arcadia Municipal Code and shall read as follows: "2679.1 FUTURE AMENDMENT TO CITED STATUTE Unless specifically provided otherwise, any reference to a state or federal statute in this Part shall mean such statute as u may be amended from time to time, provided that such reference to a statute herein shall not include any subsequent amendment thereto, or to any subsequent change of interpretation thereto by a state or federal agency or court of law with the duty to interpret such law, to the extent that such amendment or change of interpretation would require voter approval under California law, or to the ~rtent that such change would result in a tax decrease (as a result of excluding all or a part of any utility service, or charge therefor, from taxatiora). Only to the extent voter approval would otherwise be required or a tax decrease would result,'the prior version of the statute (or interpretation) shall remain applicable; for any application or situation that would not require voter approval or would not result in a decrease of a tax, provisions of the amended statute (or new interpretation) shall be applicable to the maximum possible extent. To the extent that the City's authorization to collect or impose any tax imposed under this Part is expanded or Zimited as a result of changes in state or federal law, no amendment or modification of this Part shall be required to conform the tax to those changes, and the tax shall be imposed and collected to the full extent of the authorization up to the full amount of the tax imposed under this chapter. " Section 8. Effective Date. The amendments to this Part are subject to a vote of the citizens of Arcadia and shall become effective immediately upon the date that the City Clerk certifies that this Ordinance has been approved by a majority of the voters of Arcadia at the Special Municipal Election of April 21, 2009. Section 9. Severability. If any section, sentence, clause or phrase of this ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining provisions of this ordinance. The People of the City of Arcadia hereby declare that they would have adopted this ordinance and each section, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. 18 6664 Section 10. Certification/Summary. Following the City Clerk's certification that the citizens of Arcadia have approved this Ordinance, the Mayor shall sign this Ordinance and the City Clerk shall cause the same to be entered in the book of original ordinances of said Ciry; and shall cause the same, or a summary thereof, to be published as required by law. I hereby certify that the forgoing ordinance was PASSED, APPROVED and ADOPTED by the People of the City of Arcadia on the day of , 2009. Mayor of the City of Arcadia ATTEST: City Clerk APPROVED AS TO FORM: Stephen P. Deitsch City Attorney 19 6664