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HomeMy WebLinkAboutReso 75-2004 RESOLUTION NO. 75-2004 CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA A RESOLIJTION ESTABLISHING NOVEMBER 2, 2004 AS THE DATE FOR A SPECIAL MUNICIPAL EI,ECTION ON A PROPOSED BALLOT MEASURE SEEKING VOTER AUTHORIZATION TO IMPOSE A ()NE PERCENT (1%) INCREMENT TO BE ADDED TO THE CITY'S EXISTING EXCISE TAX ON THE PRIVILEGE OF USING HOTEL ACCOMMODATIONS IN THE CITY RAISIN(; THE TOTAL TAX FROM EIGHT PERCENT (8%) TO NINE PERCENT (9%) WITH THE INCREMENTAL AMOUNT BEING USED FOR PARK, LIBRARY, PUBLIC SAFETY AND RECREATION SERVICES; ESTABLISHING POLICIES AND PROCEDURES IN CONNECTION WITH SUCH AN ELECTION; AMENDING THE CITY CLERK BUDGET; AND REQUESTING THE COUNTY CI,ERK TO CONDUCT THE ELECTION WHEREAS, on August 22, 1966, pursuant to its authority under California Revenue and Taxation Code sections 7280 et seq., the City Council of the City of South San Francisco (the City Council) adopted Ordinance No. 554, codified as Chapter 4.20 of the Municipal Code, which provided for the imposition and collection of a general excise tax on the privilege of using hotel accommodations in the City (a "transient occupancy tax" or "TOT") to be paid by hotel users and collected by hotel operators; and WHEREAS, the City Council subsequently adopted Ordinance No. 638 on October 24, 1972; Ordinance No. 676 on October 16, 1974; Ordinance No. 772 on August 16 , 1978; and Ordinance No. 1126 on March 24, 1993, with the TOT last being increased to eight percent (8%) on August 16, 1978; and WHEREAS, Article XIIIC, Section 2(b) of the California Constitution requires that any special or general tax, such as the TOT, must be approved by a vote of the voters voting on the issue of increasing or imposing a tax; and WHEREAS, the City Council of the City of South San Francisco (the City Council) expressed its intent to impose an additional one percent increment to the existing TOT, raising the total TOT from eight percent (8%) to nine (9%) during the duly noticed regular meeting held July 14, 2004; and WHEREAS, a substantial portion of the City's General Fund (as established in the City's budget for Fiscal Year 2004-2005) is used for public safety purposes (police and fire protection services) and the City Council has determined that an additional increment to the TOT is an effective way of preserving other vital public services such as park, library, public safety and recreation services at or near current levels in light of the present uncertainty regarding whether the State will attempt to take additional funds from cities to eliminate the state budget deficit; and WHEREAS, after receiving information at its July 14, 2004 City Council meeting and prior budget workshops regarding the effects of the current economy and State budget on the City's finances and ability to fund necessary community services, and after subsequently receiving testimony from the public, the City Council determined that the public interest would be well served by asking the voters of South San Francisco to authorize an additional one percent (1%) increment to the existing TOT raising the total TOT from eight percent (8%) to nine percent (9%); and WHEREAS, Article XIIIC, Section 2(b) requires that an election by the voters to approve a general tax must be consolidated with an election for City Councilmembers; and WHEREAS, the November 2, 2004 election does not include an election for any member of the City Council; and WHEREAS, given the uncertainty in the state budget, the City needs to identify revenue sources for fiscal year 2005-2006 and thereafter in order to provide continuity in recreation and other public services; and WHEREAS, the one percent (1%) incremental adjustment to the TOT is hereby proposed as a Special Tax with revenues derived from the increase specifically designated to fund park, recreation, public safety and library services; and WHEREAS, pursuant to Government Code Section 50075.1, the City declares that the proceeds from the special tax shall only be used for the purposes designated herein and that an account shall be created for the purpose of maintaining such revenues. An accounting of the funds deposited and report of all funds deposited and expended shall occur on an annual basis in accordance with the provisions of Government Code Section 50075.3; and WHEREAS, the tax imposed pursuant to this measure will be collected in accordance with the procedures established in Exhibit A, including any references contained therein; and WHEREAS, as a Special Tax, the one percent (1%) increment must be approved by a sixty-six percent majority vote; and WHEREAS, after considering the foregoing information, the Council believes that the one percent (1%) incremental adjustment to the existing TOT should be authorized by the voters of South San Francisco in the amount described herein, with implementation of the increment effective January 1, 2005; and WHEREAS, the cost of conducting the Special Election is $26,000 and will be paid out of the City Clerk's budget; and WHEREAS, based on all of the information presented at the July 28, 2004 City Council meeting, both written and oral, including the staff reports, minutes, and other relevant materials (hereafter the "Record"), the City Council finds that under CEQA Guidelines 15060(c) (2) and 15378(b) (4), this tax does not constitute a project under CEQA and therefore review under CEQA is not required. NOW, THEREFORE, BE IT RESOLVED, as follows: 1. Call for Election. Pursuant to Elections Code §9222, the City Council hereby establishes November 2, 2004, as the date for a Special Municipal Election at which the voters of the City of South San Francisco shall decide whether to authorize an additional one percent (1%) increment to be added to the City's existing excise tax on the privilege of using hotel accommodations in the City. The measure shall be designated by letter by the City Clerk. Pursuant to Election Code Section 10400 et seq., the measure shall be consolidated with the statewide general election to be conducted on November 2, 2004. follows: Ballot Language. The ballot language for the proposed measure shall be as Shall the City of South San Francisco be authorized to add a one percent (1%) increment on the existing hotel tax, paid by guests and collected by hotel operators, raising the total tax imposed from 8% of the room rate to 9% of the room rate, with the revenue from said increment reserved for park, recreation, library and public safety services? [3Yes [] No 3. Proposed Ordinance. The ordinance authorizing a one percent (1%) increment to be added to the existing TOT, pursuant to Section 2, is as set forth in Exhibit A attached hereto. 4. Submission of Ballot Arguments and Impartial Analysis. (a) The last day for submission of direct arguments for or against the measure shall be by 5:00 p.m. on August 13, 2004. (b) The last day for submission of rebuttal arguments for or against the measure shall be by 5:00 p.m. on August 23, 2004. (c) Direct arguments shall not exceed three hundred words and shall be signed by not more than five persons. (d) Rebuttal arguments shall not exceed two hundred fifty words and shall be signed by not more than five persons; those persons may be different persons than the persons who signed the direct arguments. (e) The City Attorney shall prepare by August 11, 2004, an impartial analysis of the measure showing the effect of the measure. [Optional] (f) The Mayor (or Councilmember ) is hereby authorized to prepare written arguments in favor of the proposed measures, not to exceed 300 words, on behalf of the City Council. The arguments may also be signed by bona fide associations or by individual voters who are eligible to vote. 5. Request to Order Election. The City Council hereby requests that the San Mateo County Board of Supervisors order this election to be conducted by the County Clerk and the County Election Department officials in connection with the general election to be held November 2, 2004. 6. City Clerk Budget Amendment. The budget for the City Clerk shall be increased by $26,000 for Fiscal Year 2004-2005. 7. Effective Date. This Resolution shall become effective immediately upon its passage and adoption, and the City Clerk is directed to send certified copies of this Resolution to the San Mateo County Board of Supervisors and to the County Clerk-Recorder. The Services Agreement for the Provision of Election Services between City of South San Francisco and San Mateo County Assessor-County Clerk-Recorder is attached hereto as Exhibit B. I hereby certify that the foregoing Resolution was regularly introduced and ad,othPted by the City Council of the City of South San Francisco at a regular meeting held on the 28t day of July 2004 by the following vote: AYES: Councilmembers Joseph A. Femekes, Richard A. Garbarino, and Pedro Gonzalez, Vice Mayor Raymond L. Green and Mayor Karyl Matsumoto NOES: None. ABSTAIN: None. ABSENT: None. ATTEST: City Clerk EXHIBIT A ORDINANCE NO. AN ORDINANCE OF THE PEOPLE OF THE CITY OF SOUTH SAN FRANCISCO AMENDING CHAPTER 4.20 OF THE SOUTH SAN FRANCISCO MUNICIPAL CODE AND ADDING SECTION 4.20.033 CONCERNING THE TRANSIENT OCCUPANCY TAX Tine People of the City of South San Francisco do lnereby ordain as follows: SECTION I. Chapter 4.20 of tine South San Francisco Municipal Code is hereby amended to read as follows: (with text in strikeout indicating deletion and double-underlined text indicating addition): Section 4.20.030 Amended "For the privilege of occupancy in any hotel, eacln transient is subject to and slnall pay a general tax in the amount of eiglnt percent of tine rent charged by the operator and a special tax of one percent. The total general and special taxes imposed pursuant to this Chapter shall equal nine percent of the rent charged by the operator. If a room is rented by a firm, corporation, partnership, joint venture or any other organization on a long term basis, the tax hereby imposed shall fall upon and be borne by each individual who occupies or has the right to occupy the room for a period of thirty consecutive days or less. The tax constitutes a debt owed by the transient to the city which is extinguished 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 proportionate share of the tax shall be paid with each installment. The unpaid 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." Added Section 4.20.033: "4.20.033 There is hereby imposed a special tax upon the privilege of occupancy in any hotel. Each transient is subject to and shall pay a special tax of one percent of the rent charged by the operator. The revenue generated by the one percent increment shall only be used for the purpose of funding parks, recreation, library and public safety services and shall be in addition ~b, and separate from, the general excise tax imposed pursuant to Chapter 4.20.030. If a room is rented by a firm, corporation, partnership, joint venture or any other organization on a lon~ term basis, the tax hereby imposed shall fall upon and be borne by each individual who occupies or has the right to occupy the room for a period of thirty consecutive days or less. The tax constitutes a debt owed by the transient to the city which is extinguished 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 proportionate share of the tax shall be paid with each installment. The unpaid 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 SECTION 2. SECTION 3. SECTION 4. SECTION 5. Severabilit¥. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of this ordinance, including the application of such part or provision to other persons or circumstapces shall not be affected thereby and shall continue in full force and effect. To this end, provisions of this ordinance are severable. The People of the City of South San Francisco hereby declare that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase hereof irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases be held unconstitutional, invalid, or unenforceable. Election Required for Tax to be Effective. The tax proposed by this ordinance shall not become effective until approved by 2/3 of the voters voting on the issue at the November 2, 2004 election. Effective Date of Tax. If this ordinance is approved by a majority of the voters voting on the issue at the November 2, 2004 election, pursuant to Elections Code Section 9217, this ordinance shall be considered adopted on that date and the tax shall become effective January 1, 2005, or no sooner than 10 days after the Council certifies the results of the election, whichever occurs later. Publication. This Ordinance shall be published once, with the names of those City Councilmembers voting for or against it, in the San Mateo County Times, a newspaper of general circulation in the City of South San Francisco, in accordance with Government Code Section 36933. Introduced at a regular meeting of the City Council of the City of South San Francisco, held the day of 2004. Adopted as an Ordinance of the City of South San Francisco at a regular meeting of the City Council held the day of 2004, by the following vote: AYES: NOES: ABSTAIN: ABSENT: this ATTEST: City Clerk As Mayor of the City of South San Francisco, I do hereby approve the foregoing Ordinance day of 2004. Mayor EXHIBIT B SERVICE AGREEMENT FOR THE PROVISION OF ELECTION SERVICES BETWEEN CITY OF SOUTH SAN FRANCISCO AND SAN MATEO COUNTY ASSESSOR-COUNTY CLERK-RECORDER This agreement, entered into this __ day of ,2004, by and between the City of South San Francisco and San Mateo County Assessor-County Clerk-Recorder (hereinafter referred to as County Clerk); WHEREAS, it is necessary and desirable that the County Clerk be retained for the purpose of conducting an election hereinafter described for the City of South San Francisco (hereinafter referred to as City); NOW, THEREFORE, IT IS HEREBY AGREED BY THE PARTIES HERETO AS FOLLOWS: SERVICES TO BE PERFORMED BY THE CITY OF SOUTH SAN FRANCISCO: 1) No later than the 88th day prior to the election the City of South San Francisco will request the Board of Supervisors through the County Clerk to conduct an election for the City of South San Francisco on November 2, 2004, and will request services of the County Clerk. This section is applicable only if additional matters will be placed on the ballot, and a resolution is required. 2) The City will publish the Notice of Election and the Notice to File Declarations of Candidacy for the offices to be voted on, and/or the Notice to File Arguments For or Against any measure. 3) The City will submit to the County Clerk the titles and exact number of offices to be voted on, the names and ballot designations of the candidates for those offices, and/or the exact ballot measure wording to be voted on by the 85th day prior to the election, or by the 82nd day prior to the election if Elections Code §§ 10225, 10229, and 10407 become applicable. 4) The City Clerk will prepare and deliver to the County Clerk the ballot pamphlet information containing, as applicable, candidate statements, ballot measure, tax rate statement, impartial analysis, arguments for or against and rebuttals thereto. The last day for primary arguments (300 words) to be submitted is August 13, 2004. The last day for rebuttal arguments (250 words) and impartial analysis is August 23, 2004. 5) The City will review and sign off on the sample ballot and official ballot wording for the City's Candidates/Measures. SERVICES TO BE PERFORMED BY COUNTY CLERK: 1) The County Clerk will select the sample and official ballot printer(s) and translators. 2) The County Clerk will prepare and dehver all election information to the printers and translators. 3) The County Clerk will issue, receive and process absentee ballots. 4) The County Clerk will set up all polling place locations, hire polhng place workers, pubhsh required notice, and conduct the election. 5) The County Clerk will prepare a Canvass of Votes Cast and submit a Certificate of County Clerk to the City of South San Francisco. 6) The County Clerk will conduct other various and miscellaneous election activities as required including but not hmited to all those required of the City's Election Official, other than those described under "Services to be Performed by the City of South San Francisco". TERMS: This agreement shall be in effect for the performance of all services incident to the preparation and conduct of the election to be held on November 2; 2004. In the event the County Clerk is unable to perform services required under this Agreement, as a result of employer/employee relation conditions, vendor conditions or other conditions beyond the control of the County Clerk, the County Clerk will be relieved of all obligations under this Agreement. The County Clerk may terminate this agreement after giving 72 hours written notice and the County Clerk will be relieved of all obhgations. This agreement can be mutually terminated upon a 30 day written notice. CONSIDERATION: In consideration of the performance of services and supplies provided by the County Clerk, the City of South San Francisco shall pay to the County Clerk a sum equal to the actual cost of such services and supphes. The City of South San Francisco shall make payment within 30 days of receipt of invoice from County Clerk. CITY: Signature: Date: Print Name: Title: COUNTY: Signature: Date: Print Name: Title: