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Home My WebLink AboutCA TUT Repeal Ord. 18375, a Agenda Item No. Af 64 Meeting Date: December 2, 2013 a r I1 a id i Prepared by: Lisa Goldfien, Asst. City Attorney City Manager Appro SUBJECT: CONSIDERATION OF AN ORDINANCE OF THE CITY OF SAN RAFAEL REPEALING ORDINANCE NO. 1837, ADOPTED IN 2005 AND IMPOSING A TRANSACTIONS AND USE (SALES) TAX (MEASURE S). Staff recommends that the City Council conduct a public hearing and pass to print thc ordinance repealing Ordinance No. 1837 (Measure S). BACKGROUND: In July 2005, the City Council adopted Ordinance No. 1837, which added new Chapter 3.19 to the San Rafael Municipal Code establishing a 10 -year, one-half of one -percent (0.50%) transactions and use (i.e., sales) tax. That ordinance was subsequently approved as "Measure S" by a majority of the voters at the November 8, 2005 election. The City has a contract with the State Board of Equalization ("BOE") to collect and administer the Measure S transactions and use taxes. The County Registrar has certified to the passage of Measure E at the November 5, 201 %to' general municipal election. That measure approved Council Ordinance No. 1913, amending SRMC Chapter 3.19 to replace the Measure S transactions and use tax with a new, 20 -year, three-quarters of one -percent (0.754) transactions and use tax, effective April 1, 2014. In order for the BOE to stop collecting the Measure S tax and to begin collecting the Measure E tax, the BOE has requested that the City formally repeal the Measure S tax, embodied in Ordinance No. 1837, as of the effective date of Measure E. Staff has prepared the attached ordinance to repeal Ordinance No. 1837. ix9i:T9T&WmAy Councill Meeting: C tl�; —1 Disposition., 1.2L5L_ 6UA z Adoption of the proposed ordinance will terminate the authority of the BOE to collect new Measure S transactions and use taxes as of April 1, 2014. On that date, the BOE will begin to collect transactions and use taxes at the rate of 0.75% pursuant to Measure E. 1,41:111 L The City Council has the following options to consider on this matter: 1 . Adopt the ordinance as proposed. 2. Do not adopt the proposed ordinance. Staff recommends against this action as it will conflict with the mandates of Measure E and the procedures of the BOE. 1 . Open the public hearing and accept public testimony on the ordinance - 2. Close the public hearing; and 3. Pass the ordinance to print. ATTACHMENTS. - 1 . Proposed Ordinance ORDINANCE NO 1917 AN ORDINANCE OF THE CITY OF SAN RAFAEL REPEALING ORDINANCE NO, 1837, ADOPTED IN 2005 AND IMPOSING A TRANSACTIONS AND USE (SALES) TAX (MEASURE S). I INIg I � � I a 9 0 NI I I 1_1 LIVIA 0 re -1.1 so 1. In July, 2005, the City Council adopted Ordinance No. 1837, adding Chapter 3.19 to the San Rafael Municipal Code imposing a one-half of one percent (0.50°0) transactions and use tax within the City of San Rafael, and that ordinance was placed on the November 8, 2005 general municipal election ballot as Measure S, for approval by the City's voters (hereafter "Measure S"). 2. In the general municipal election of November 8, 2005, the voters of San Rafael approved Measure S by a majority vote of the qualified voters of the city voting in that election. 3. Measure S became effective on April 1, 2006 and was set to expire by its terms on March 31, 2016. 4. On August 5, 2013, by a unanimous vote, the City Council adopted Ordinance No. 1913, amending Chapter 3.19 of the San Rafael Municipal Code to replace Measure S with a new three-fourths of one percent (0.75°0) transactions and use tax within the City of San Rafael, and that ordinance was placed on the November 5, 2013 general municipal election ballot as Measure E. for approval by the City's voters (hereafter "Measure E"). 5. In the general municipal election of November 5, 2013, the voters of San Rafael approved Measure E by a majority vote of the qualified voters of the city voting in that election. 6. Measure E will become effective on April 1, 2014 and by its terms replaces Measure S. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN RAFAEL DOVIN. ORDAIN AS FOLLOWS: I k_1 ILIN V4 UsILIM Ordinance No. 1837, codified as San Rafael Municipal Code Chapter 3.19, is hereby repealed, effective as of April 1, 2014. 11-1 &TA 0 rAM" 1 If any section, subsection, sentence, clause or phrase of this Ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portions of this Ordinance. The Council hereby declares that it would have adopted the Ordinance and each section, subsection, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid. 111 LVA OT11-kirl I This Ordinance shall be published once, in full or in summary form, before its final passage, in a newspaper of general circulation, published, and circulated in the City of San Rafael, and shall be in full force and effect thirty (30) days after its final passage. If published in summary form, the summary shall also be published within fifteen (15) days after the adoption, together with the names of those Councilmembers voting for or against same, in a newspaper of general circulation published and circulated in the City of San Rafael, County of Marin, State of California. ATTEST: 4Qa4 ESTHER BEIRNE, City C11 LIPS, Mayor The foregoing Ordinance No. 1917 was read and introduced at a Regular Meeting of the City Council of the City of San Rafael, held on the 2nd day of December, 2013, and ordered passed to print by the following vote, to wit: AYES: Councilmembers: Bushey Lang, Colin, Connolly, McCullough & Mayor Phillips and will come up for adoption as an Ordinance of the City of San Rafael at a Regular Meeting of the Council to be held on the l6tth day of December, 2013. et5aHzi.g 4�4 el".. 0 ESTHER BEIRNE, City Clerk N 0 440D NOTICE OF PUBLIC HEARING The City Council of the City of San Rafael will hold a public hearing-, PURPOSE: On November 5, 2013, the voters of San Rafael passed "Measure E", which approved City Council Ordinance No. 1913 adopting a new, three-quarters of one percent (0.75%) Transactions and Use (Sales) Tax in San Rafael, effective April 1, 2014. By its terms, Measure E replaces Ordinance No. 1837, a one-half of one percent (0.50%) Transactions and Use (Sales) Tax approved by the voters on November 8, 2005 as "Measure S." At the public hearing, the City Council will consider adoption of an ordinance formally repealing Ordinance No. 1837 as of April 1, 2014. DATE/TIME/PLACE: Monday, December 2, 2013, at 7:00 p.m. City Hall Council Chamber, 1400 Fifth Avenue, San Rafael WHAT WILL HAPPEN: You may comment on the proposed Ordinance. The City Council will consider all public testimony and will then decide whether to approve the Ordinance. IF YOU CANNOT ATTEND: You may send a letter to Esther C. Beirne, City Clerk, City of San Rafael, P.O. Box 151560, San Rafael, CA 94915-1560; you may also hand -deliver a letter to the City Clerk prior to the meeting. FOR MORE INFORMATION.- You may contact Nancy Mackle, City Manager, at (415) 485- 3070. Office hours are Monday through Friday, 8:30 a.m. to 5:00 p.m. i /s/ ESTHER C. BEIRNE ESTHER C. BEIRNE, City Clerk (Please publish in the Marin Independent Journal on Friday, November 22, 2013 ROUTING SLIP FOR APPROVAL OF CONTRACTS AGREEMENTS ORDINANCES RESOLUTIONS BEFORIE APPROVAL i ! AGENCY. COUNCIL D♦ ITEM NO:# DATE OF December UROM: Lisa A. Goldfien, Assistant City Attorney *ATE: November t 2013 ORIGINATING DEPARTMENT: ! Attorney • t• CONSIDERATION OF AN ORDINANCE OF THE CITY OF SAN RAFAEL REPEALING ORDINANCE j i ADOPTED IN 2005AND IMPOSING A TRANSACTIONS USE (SALES) TAX (MEASURE S). I Robert F. Epstein, City ttorn y (LOWER APPROVALS ONLY) Reviewed by City Manager Executive Director r Approved as Co cit Agency genc Agenda Item y g APP OVER AS TO FO City Attorney (Signaturqf