HomeMy WebLinkAbout6801 (2) ORDINANCE NO. 6801
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
AUBURN, WASHINGTON, INCREASING THE RATE OF
TAX ON WATER, STORM DRAINAGE, SEWER AND
GARBAGE/SOLID WASTE UTILITIES IN THE CITY,
AMENDING SECTIONS 3.40.010 AND 3.41.010 AND
REPEALING SECTIONS 3.40.020, 3.41.015, AND 3.41.020
OF THE AUBURN CITY CODE
WHEREAS, Auburn City Code (ACC) sections 3.40.010, 3.40.020, 3.41.010 and
3.41.020 establish a tax to be collected from water, storm drainage, sewer and
garbage/solid waste utilities in the City;
WHEREAS, the City would like to increase its revenues as part of its long-term
financial plan;
WHEREAS, the City has reviewed its budget and its various utility tax funds and
finds that it is appropriate to amend portions of Chapters 3.40 and 3.41 of the ACC to
increase City utility tax rates to support the City's financial needs and to ensure that the
City's revenue growth meets or exceeds its expenditures to preserve the sustainability of
its general fund;
WHEREAS, other portions of Chapters 3.40 and 3.41 of the ACC contain language
that is redundant within the code and/or no longer applicable to the City such that it should
be repealed;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
WASHINGTON, DO ORDAIN as follows:
Section 1. Amendment to City Code. Section 3.40.010 of the Auburn City
Code is amended to read as follows:
Ordinance No. 6801
November 4, 2020
Page 1 of 4 Rev.2019
A. There is created a ten percent tax in the amount of seven percent, to be
levied on and after January 1, 2021 July 1, 2008, against and upon the total
annual revenues derived from:
1. The City's of the water, storm drainage and sewer utility fundsi and
2_on-,aAll water, storm drainage and sewer utilities, business enterprises
or other entities engaged in providing such utility services within the city.
B. The Finance Director is directed to collect this imposed tax and to pay
the collected revenue into the City's current expense fund.
C. This ordinance is subject to RCW 35.21.706 within seven days of passage of
the ordinance by filing a referendum petition with the City Clerk.
Section 2. Amendment to City Code. Section 3.41.010 of the Auburn City
Code is amended to read as follows:
A. There is created a ten percent utility tax_ in the amount of seven percent, to be
levied on and after January 1, 2021 July 1, 2008, against and upon the gross
receipts and total annual revenues of:
1. The City's garbage fund; and
2. • - - - - - - - - - - - - -- • • - - - - -- - - • - -- -- -
All solid waste utilities and -every business enterprise or other
entity engaged in handling solid waste.
B. For the purposes of this section hereof, "solid waste" means garbage,
recyclables and yard debris. The increase in tax revenue generated by the
additional one percent tax levied pursuant to Ordinance No. 6170 shall be
relegated for use by the city in support of its arterial street system. It is provided,
source to the city of Auburn arterial street fund in an amount sufficient to off set
the amount of the increases in utility tax rates of this chapter and the long term
funding source is sufficient to maintain the city of Auburn's arterial street system's
for the foreseeable future, the garbage and solid waste utility tax rate shall
automatically revert to six percent of the gross receipts against and upon the total
every business enterprise or other entity engaged in handling solid waste.
Ordinance No. 6801
November 4, 2020
Page 2 of 4 Rev.2019
C. The Finance Director is directed to collect this tax and to pay the collected
funds into the City's general expense fund. Pursuant to RCW 35.58.560, nothing
in this section shall be intended or construed to impose a tax on any county owned
or operated solid waste facility.
D. This ordinance is subject to RCW 35.21.706 within seven days of passage of
the ordinance by filing a referendum petition with the City Clerk.
Section 3. Repeal of City Code sections. The following ACC sections and the
corresponding ordinance language are hereby repealed:
ACC 3.40.020 Levy and Collection
ACC 3.41.015 Special Internal Tax Created
ACC 3.41.020 Levy and Collection of Tax
Section 4. Implementation. The Mayor is authorized to implement those
administrative procedures necessary to carry out the directives of this legislation.
Section 5. Severability. The provisions of this ordinance are declared to be
separate and severable. The invalidity of any clause, sentence, paragraph, subdivision,
section, or portion of this ordinance, or the invalidity of the application of it to any person
or circumstance,will not affect the validity of the remainder of this ordinance, or the validity
of its application to other persons or circumstances.
Section 6. Effective date. This Ordinance will take effect and be in force five
days from and after its passage, approval, and publication as provided by law.
INTRODUCED: NOV 1 6 2020
PASSED: NOV 1 6 2020
APPROVED: NOV 1 6 2020
ANCY KUS, MAY R
Ordinance No. 6801
November 4, 2020
Page 3 of 4 Rev.2019
ATTEST: APPROVED AS TO FORM:
Shawn Campbell, MMC, City Clerk endra Comeau, City Attorney
Published: NOV 1 9 2020
Ordinance No. 6801
November 4, 2020
Page 4 of 4 Rev.2019