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ORD 893 04/14/2009 ORDINANCE NO. g 9 AN ORDINANCE AMENDING THE CHAPTER 70 OF THE CODE OF ORDINANCES PROVIDING FOR A HOTEL OCCUPANCY TAX OF SEVEN (7%) PERCENT; PROVIDING FOR DEFENITIONS; PROVIDING FOR THE DISPOSITION OF REVENUE AND REFUNDS; PROVIDING FOR COLLECTION, REPORTING AND PAYMENT OF THE TAX; PROVIDING FOR REPORTS, PAYMENTS AND FEES; PROVIDING RULES,REGULATIONS AND PENALTIES; PROVIDING A CUMULATIVE CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE WHEREAS, the City of Cibolo is a Home Rule municipality duly created under the laws of the State of Texas and is authorized to adopt a hotel occupancy tax pursuant to Chapter 351 of the Texas Tax Code; and WHEREAS, the Texas Tax Code also allows for the monthly collection of a Hotel Occupancy Tax; and WHEREAS, the City Council wishes to promote tourism within the City limits; and WHEREAS, the funds generated by the hotel occupancy tax shall be used for supporting events, activities and programs that enhance and promote tourism within the City limits; and. NOW THEREFORE: BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CIBOLO: SECTION 1. Definitions Chapter 70 is hereby amended to add section 70-1 Definitions: The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: Calendar quarter means a period of three consecutive months of any year. Consideration means the cost of the room, sleeping space, bed or dormitory space or other facility in a hotel, and shall not include the cost of any food served or personal services rendered to the occupant not related to cleaning and readying such room or space for occupancy, and shall not include any tax assessed for occupancy thereof by any other governmental agency. Hotel means a building in which members of the public obtain sleeping accommodations for a consideration. The term includes a hotel, motel, tourist home, tourist house, tourist court, lodging-house, inn, or rooming-house, but does not include a hospital, sanitarium, or nursing home. Occupancy means the use or possession, or the right to the use or possession, of any room, space or facility in a hotel that is ordinarily used for sleeping. Occupant means anyone who, for a consideration, uses, possesses, or has a right to use or possess any room or rooms of sleeping space or facility in a hotel under any lease, concession,permit,right of access, license, contract or agreement. Permanent resident means any occupant who has or shall have the right to occupancy of any room or rooms or sleeping space or facility in a hotel for at least 30 consecutive days during the current calendar year or preceding year so long as there is no interruption of payment for the period. Person means any individual, company, corporation, or association owning, operating, managing or controlling any hotel. SECTION 2. Levy of tax; rate; exceptions to levy. Chapter 70 is hereby amended to add section 70-2 Levy of tax;rate; exceptions to levy: (a) There is hereby levied a tax upon the cost of occupancy of any room or space furnished by any hotel located within the city limits of the city,where such cost of occupancy is at the rate of$2.00 or more per day, such tax to be equal to seven(7%) percent of the consideration paid by the occupant of such room, space or facility to such hotel, exclusive of other occupancy taxes imposed by other governmental agencies. (b) No tax shall be imposed under this article upon a permanent resident. (c) No tax shall be imposed under this article upon foreign diplomatic personnel. (d) This article does not impose a tax on the United States,this state, or an agency, institution,board, or commission of this state other than an institution of higher education. (e) This article does not impose a tax on an officer or employee of a governmental entity described by subsection(d) of this section when traveling on or otherwise engaged in the course of official duties for the governmental entity. (f) As used in subsection(d) of this section, "institution of higher education" has the meaning assigned by the Texas Education Code § 61.003. SECTION 3. Collection. Chapter 70 is hereby amended to add section 70-3 Collection: • Every person owning, operating,managing or controlling any hotel located within the city limits shall collect the tax imposed in Section 70-2 for the city. SECTION 4. Filing of reports. Chapter 70 is hereby amended to add section 70-4 Filing of Reports: By the last day of the month following each calendar quarter, every person required to collect the tax imposed in this Ordinance shall file a report with the City Manager or his designee showing the consideration paid for all room or sleeping space occupancies in the preceding quarter, the amount of tax collected on such occupancies, and any other information as the City Manager or his designee may reasonably require. Such persons shall pay the tax due to the city on such occupancies at the time of filing such report. SECTION 5. Rules and Regulations. Chapter 70 is hereby amended to add section 70-5 Rules and Regulations: The City Manager shall have the power to make such rules and regulations as are necessary to effectively collect the tax levied in this article, and shall upon reasonable notice have access to books and records necessary to enable him to determine the correctness of any report filed as required by this article and the amount of taxes due under the provisions of this article. SECTION 6. Use of proceeds. Chapter 70 is hereby amended to add section 70-6 Use of Proceeds: The proceeds and revenues levied by this article shall be used and expended at the direction of the city council in a manner directly enhancing and promoting tourism and the convention and hotel industry, in compliance with enabling legislation. SECTION 7. Violations and penalties. Chapter 70 is hereby amended to add section 70-7 Violations and Penalties: If any person required by the provisions of this article to collect the tax imposed in this article, or make reports as required in this article, and pay to the city the tax imposed in this article, shall fail to collect such tax, file such report, or pay such tax, or if any such person shall file a false report, such person shall be deemed guilty of a misdemeanor and, upon conviction, shall be punished by fine not to exceed $500.00, and shall pay to the city the tax due,together with a penalty of 15 percent of the tax due for each 30 days that such tax is not timely filed. SECTION 8. Cumulative Clause This Ordinance shall be cumulative of all provisions of the ordinances and Code of Ordinances of the City of Cibolo, Texas, except where the provisions of the Ordinance are in direct conflict with the provisions of such ordinances, in which event the conflicting provisions of such ordinances are hereby repealed. SECTION 9. Savings Clause It is hereby declared to be the intention of the City Council that the phrases, clauses, sentences, paragraphs, and sections of this ordinance are severable, and if any phrase, clause sentence, paragraph or section of this ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such unconstitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted by the City Council without the incorporation in this ordinance of any such unconstitutional phrase, clause, sentence, paragraph or section. SECTION 10. Effective Date. This Ordinance shall become adopted and effective after the date of publication in a newspaper as provided by the City of Cibolo Charter. PASSED AND APPROVED this 14th day of April, 2009. ennifer i. r an Mayor ATTEST: Peggy Cimics City Secretary