HomeMy WebLinkAbout6620 ORDINANCE NO. 6 6 2 0
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
AUBURN, WASHINGTON, AMENDING SECTIONS 3.42.010
AND 3.42.020 OF THE AUBURN CITY CODE RELATING TO
THE TAX LEVIED ON THE TOTAL ANNUAL REVENUES OF
CABLE TELEVISION BUSINESSES OPERATING WITHIN
THE CITY
WHEREAS, the current provisions of the Auburn city code provide for a 1% tax on
the total annual revenues of cable television businesses operating within the city, which
one percent is designated for use by the city in support of its arterial street system; and
WHEREAS, the city of Auburn has needs with respect to its police services and its
public safety and criminal justice systems which warrant financial support and
commitment by the city; and
WHEREAS, applicable law authorizes cities to assess and levy a tax on the annual
revenues of cable television businesses of 6%; and
WHEREAS, in order to better meet the needs of the city for police services and its
public safety and criminal justice systems, it would be appropriate to levy a full 6% on the
total annual revenues of cable television businesses operating within the city and to
designate the additional 5% for support of the city's police services and its public safety
and criminal justice systems.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
WASHINGTON, DO ORDAIN as follows:
SECTION ONE. AMENDMENT TO CITY CODE. Section 3.42.010 of the Auburn
City Code be, and the same is hereby amended to read as follows:.
3.42.010 Tax created.
There is created a utility tax in the amount of ere-six percent to be levied on-and
after July 1, 2008, as set forth below, of the gross receipts against and upon the total
annual revenues of cable television businesses operating within the city. (Ord. 6170 § 5,
2008.)
Ordinance No. 6620
September 7, 2016
Page 1
SECTION TWO. AMENDMENT TO CITY CODE. Section 3.42.012 of the Auburn
City Code be, and the same is hereby amended to read as follows:
3.42.020 Levy and collection of tax.
There is levied a tax of one-six percent on the gross income of, and upon the total
annual revenues of, cable television businesses operating within the city, which tax shall
be collected from and levied upon the total receipts of such cable television business(es).
For the purposes hereof, the following terms and definitions shall apply:
A. "Gross income" means the value proceeding or accruing from the sale of any
tangible property or service, and receipts (including all sums earned or charged, whether
received or not), by reason of the investment of capital in the business engaged in,
including rentals, royalties, fees, or other emoluments, however designated (excluding
receipts or proceeds from the use or sale of real property or any interest therein, and
proceeds from the sale of notes, bonds, mortgages, or other evidences of indebtedness,
or stocks and the like) and without any deduction on account of the cost of the property
sold, the cost of materials used, labor costs, interest or discount paid, or any expense
whatsoever, and without any deduction on account of losses, including the amount of
credit losses actually sustained by the taxpayer whose regular books or accounts are kept
upon an accrual basis.
B. "Cable television business" means:
1.A system providing service pursuant to a franchise issued by the City under the
Cable Communications Policy Act of 1984 Public Law No. 98-549, 47 U.S.C. Section 521,
as it may be amended or superseded; or
2. Any system that competes directly with such franchised system by employing
antennae, microwaves, wires, wave guides, coaxial cables, or other conductors,
equipment or facilities designed, construed or used for the purpose of:
a. Collecting and amplifying local and distant broadcast television signals and
distributing and transmitting them;
b. Transmitting original cable-cast programming not received through television
broadcast signals; or
c. Transmitting television pictures, film and videotape programs not received
through broadcast television signals, whether or not encoded or processed to permit
reception by only selected receivers; provided, however, that "cable television service"
shall not include entities that are subject to charges as "commercial TV stations" under
47 U.S.C. Section 158, as it may be amended or superseded.
C. The tax revenue generated by the-one percent levied pursuant to Ordinance
No. 6170 shall be relegated for use by the city in support of its arterial street system. The
tax revenue generated by the remaining five percent levied pursuant to Ordinance No.
6620 shall be relegated for use by the city in support of its police, public safety and
criminal justice system.
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Ordinance No. 6620
September 7, 2016
Page 2
of Chic c-iapter. (Ord. 6170 § 5, 2008.)
SECTION THREE. IMPLEMENTATION. The Mayor is hereby authorized to
implement such administrative procedures as may be necessary to carry out the
directions of this legislation.
SECTION FOUR. SEVERABILITY. The provisions of this ordinance are declared
to be separate and severable. The invalidity of any clause, sentence, paragraph, section
or portion of this ordinance, or the invalidity of the application thereof to any person or
circumstance shall not affect the validity of the remainder of this ordinance, or the validity
of its application to other persons or circumstances.
SECTION FIVE. EFFECTIVE DATE. This Ordinance shall be in full force and
effect on January 1, 2017, and five days after its passage, approval and publication as
provided by law.
INTRODUCED: SEP 1 9 2016
PASSED: SEP 19 2016
APPROVED: SEP 1 9 2016
CITY OF AUBURN
ATTEST:
N NC IKUS a, R
Danielle E. Daskam, City Clerk
APPROVED AS TO FORM:
1J4D- a'- , City •ttorney -
Published: \ ..., tie ` 'cv�.. w a), t ls
Ordinance No. 6620
September 7, 2016
Page 3