HomeMy WebLinkAbout2960 OrdinanceORDINANCE NO. Da_QLQ
AN ORDINANCE imposing a special excise tax on lodging for fmancmg the
Trade, Recreation and Agricultural Center (TRAC)
WHEREAS, Engrossed Substitute House Bill 1862 was passed by the 1993
state legislature authonzmg the city to levy and collect a special excise tax
for the purpose of financing the Trade, Recreation and Agricultural Center, Now,
Therefore,
THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON, DOES
ORDAIN AS FOLLOWS:
§1. New Chapter 3 95 is hereby added to the Pasco Municipal Code, which
chapter shall read as follows
CHAPTER 395
SPECIAL EXCISE TAX ON
LODGING FOR TRAC
Sections
3 95 010
3 95 020
3 95 030
3 95 040
Levy
Admimstration and collection
TRAC Fund
Effective date
3 95 010 LEVY For the purpose of paying any part of the cost
of sitmg, acquisition, construction, operation, and maintenance of a
Trade, Recreation and Agricultural Center ('TRAC), the council of the
city, being the legislative and governing body of the city, does
impose and levy a special excise tax of two percent (2%) on the sale
of or charge made for the furnishing of lodging by a hotel,
roommghouse, tourist court, motel, trailer camp, and the granting of
a similar license to use real property, as distmguished from renting
or leasing of real property For the purposes of this tax, it is
presumed that the occupancy of real property for a continuous period
of one (1) month or more constitutes a rental or lease of real
property and not a mere license to use or enjoy the property The tax
imposed under this section is in addition to the lodging tax imposed
and levied under Chapter 3 94 PMC
3 95 020 ADMINISTRATION AND COLLECTION A "seller", as
defined m RCW 82 08 010, shall collect the tax required under this
chapter and shall pay the tax to the city as provided in PMC 3 94 030
VED AS TO FO
Mayor
ATTEST
Jv Arare
RUBSTELLO CATHERINE D SEAMAN
Deputy City Clerk ttor City
along with the lodging tax provided in Chapter 3 94 PMC The deduction
from state taxes under RCW 67 28 190 does not apply to taxes imposed
under this section
3 95 030 TRAC FUND The tax levied and collected under this
chapter shall be credited to a special fund of the city commonly known
as the "TRAC Fund" provided for in Chapter 3 126 PMC
3 95 040 EFFECTIVE DATE The effective date of the tax
imposed m this chapter shall be October 1, 1993, and such tax shall
be due and payable to the city on such date and all days following, to
be collected as heretofore provided
§2. This ordinance shall take effect five (5) days after passage and
publication
Passed by the City Council of the City of Pasco, at its regular meeting of
August 16, 1993
2
Vtt..01 DATE 00 /PO / LEGAL NO #11.7
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COUNTY OF BENTON
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STATE OF WASHINGTON
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deposes and says, I am the Legal Clerk of the Tn-City Herald, a
daily newspaper That said newspaper is a legal newspaper and
has been approved as a legal newspaper by order of the superior
court in the county in which it is published and it is now and has
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was printed in the regular and entire issue of the Tn-City Herald
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commencing on 00/2.2,-)3 , and ending on
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COMMISSION EXPIRES 7 — 4-7-
ORDINANCE NO 2960
AN ORDINANCE imposing a
special excise tax on lodging
for financing the Trade
Recreation and Agricultural
Center (TRAC)
WHEREAS Engrossed Sub-
stitute House Bill 1862 was
passed by the 1993 state leg
!stature authorizing the city to
levy and collect a special ex
cis° tax for the purpose of ti
nancing the Trade Recre
ation and Agncultural Center
Now Therefore
THE CITY COUNCIL OF
THE CITY OF PASCO
WASHINGTON DOES OR
DAIN AS FOLLOWS
§1 New Chapter 395 is
hereby added to the Pasco
Municipal Code which chap
ter shall read as follows
CHAPTER 395
SPECIAL EXCISE TAX ON
LODGING FOR TRAC
Sections
3 95 010 Levy
395 020 Administration and
collection
3 95 030 TRAC Fund
395 040 Effective date
3 95 010 LEVY For the pur
\pose of paying any part of the
cost of siting acquisition con
i struction operation and
' maintenance of a Trade
Recreation and Agricultural
!Center (TRAC) the council of
I the city being the legislative
1 and governing body of the
city does impose and levy a
special excise tax of two per
cent (2%) on the sale of or
charge made for the furnish
ing of lodging by a hotel
roominghouse tourist court
motel trailer camp and the
granting of a similar license to
use real property as distin-
guished from rent ng or leas-
, ing of real property For the
purposes of this tax it is pre-
1 sumed that the occupancy of
, real property for a continuous
' period of one (1 ).month or
more cZinstitutes a rental or
lease of real property and not
a mere license to use or enjoy
the property The tax im-
posed under this section is in
addition to the lodging tax im-
posed and levied under
Chapter 3 94 PMC
3 95 020 ADMINISTRATION
AND COLLECTION A sell
ee as defined in RCW
82 08 010 shall collect the
tax required under this chap-
ter and shall pay the tax to the
city as provided in PMC
3 94 030 along with the lodg-
ing tax provided in Chapter
394 PMC The deduction
' from state taxes under RCW
67 28 190 does not apply to
n taxes imposed under this
section
3 95 030 TRAC FUND The
tax levied and collected under
this chapter shall be credited
to a special fund of the city
commonly known as the
TRAC Fund provided for in
Chapter 3 126 PMC
395 040 EFFECTIVE DATE
The effective date of the tax
imposed in this chapter shall
be October 1 1993 and such
tax shall be due and payable
to the city on such date and all
days following to be collected
as theretofore provided
§2 This ordinance shall take
effect five (5) days after pas-
sage and publication
Passed by the City Council of
the City of Pasco at its regu-
lar meeting of August 16
1993
-s Joyce DeFelice Mayor
Attest
s- Cathenne D Seaman
Deputy City Clerk
Approved As To r--orm
-s Greg A Rubstello
City Attorney
#1379 8/22/93
„1111111 1111111111111$0 10,,,, FINANCE DEPARTMENT (509) 545-3401 / Scan 726-3401 / Fax (509) 545-3403
P 0 BOX 293, 412 WEST CLARK, PASCO, WAS111NGTON 99301
August 17, 1993
Tn-City Herald
P0 Box 2608
Pasco, Wa 99302
Dear Kathy
Please publish the attached Ordinance(s) No 2959, 2960, and Summary of
Ordinance No 2961 on the following date
August 22, 1993
Please send two (2) Affidavits of Publication for each
Thank you,
Cathenne D Seaman
Deputy City Clerk
545-3402
cds
* No attachments or maps included
AGENDA REPORT NO. 54
TO
FROM
SUBJECT
City Council
,
Gary Crutchfiel ib o tt ty ager
Additional Room Tax for TRAC
August 11, 1993
Reg Mtg 8/16/93
I. REFERENCE(S):
1 House Bill 1862
2 Proposed Ordinance
II. ACTION REQUESTED OF COUNCIL/STAFF RECOMMENDATIONS:
8/16 MOTION: I move to adopt Ordinance No , implementing the
additional room tax authority for the TRAC project
III. HISTORY AND FACTS BRIEF:
A) The Trade Recreation and Agriculture Center (TRAC) has been an on-going
effort on the part of both the city and the county for the past several
years The city has long pursued its desire to support the project,
but needed additional room tax authority to assure adequate resources
to retire its share of the local debt for the project
B) Many other cities around the State have obtained special legislative
authority over the years to increase the room tax collected within
their communities and apply the proceeds from that additional tax to
those special projects The city was successful m the 1993
Legislature, due m large part to the efforts of Representative Dave
Mastin and Senator Valora Loveland, in that the Legislature authorized
an additional two percent room tax for the TRAC project
IV. DISCUSSION:
A) The city recently corrurutted to pay its half of the local share of the
design cost, which is now underway The Department of Revenue advises
that the collections from the additional room tax will not be realized
by the city until approximately 90 days following the effective date of
the city's Ordinance, they also recommend the ordinance be effective
at the beginrung of a calendar quarter THus, the room tax authority
should be implemented effective October 1, so as to generate receipts
by the end of the calendar year Payments made for the city's share
of the design cost between now and the end of the year, would be
financed by a short-term mterfund loan and reimbursed with the initial
proceeds of the additional tax
ENGROSSED SUBSTITUTE HOUSE DILL 1862
AS RECOMMENDED BY THE CONFERENCE COMMITTEE
Passed Legislature - 1993 Regular Session
State of Washington 53r6 Legislature 1993 Regular Session
By House Committee on Revenue (originally sponsored by Representatives
Mastin, Grant, Ludwig, Bray and Jacobsen)
Read first time 03/08/93
1 AN ACT Relating to a special excise tax on hotel, motel,
2 roominghouse, and trailer camp charges, amending RCW 67.28 200; and
3 adding a new section to chapter 67.28 RCW
4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON'
5 NEW SECTION_ Sec. 1. A new section is added to chapter 67.28 RCW
6 to read as follows:
7 (1) The legislative body of a city with a population of over ten
8 thousand in a county that is the smallest county in a metropolitan
9 statistical area as defined on the effective date of this act that has
10 a population of between thirty-eight thousand and fifty thousand may 1
11 levy and collect a special excise tax not to exceed two percent on the I
12 sale of or charge made for the furnishing of lodging by a hotel,
13 roominghouse, tourist court, motel, trailer camp, and the granting of
14 a similar license to use real property, as distinguished from the
15 renting or leasing of real property For the purposes of this tax, it
16 is presumed that the occupancy of real property for a continuous period
17 of one month or more constitutes a rental or lease of real property and
18 not a mere license to use or to enjoy the property
p. 1 ESHB 1862.PL
1 (2) The tax authorized in subsection (1) of this section is in
2 addition to any other tax authorized by law.
3 (3) A seller, as defined in RCW 82.08 010, who is required to
4 collect a tax under this section, shall pay the tax to the city as
5 provided in RCW 67.28 200. The deduction from state taxes under RCW
6 67 28 190 does not apply to taxes imposed under this section
7 (4) The tax levied and collected under this section must be
8 credited to a special fund of the city The taxes may be levied only
9 for thP purpose of paying any part of the cost of siting, acquisition,
10 construction, operation, and maintenance of a trade recreation
11 agricultural center, which facility includes an exhibition hall, a
12 meeting and convention center, and an agricultural arena, in the city
13 and may be used for and pledged to the payment of bonds, leases, or
14 other obligations incurred for these purposes.
15 (5) The tax imposed under this section shall expire when all
16 obligations for which the taxes have been pledged are satisfied
17 Sec. 2. RCW 67.28.200 and 1991 c 331 s 2 are each amended to read
18 as follows
19 The legislative body of any county or city may establish reasonable
20 exemptions and may adopt such reasonable rules and regulations as may
21 be necessary for the levy and collection of the taxes authorized ((by
22 RCW 67 28 180, 67
-
23 67 2-8- 2-6-.)) under this chapter The department of revenue shall
24 perform the collection of such taxes on behalf of such county or city
25 at no cost to such county or city.
--- END ---
ESHB 1862 PL p. 2