HomeMy WebLinkAbout1994-046 Licenses and Business Regulations ORDINANCE NO. 94- 46
AN ORDINANCE relating to licenses and business regulations, placing an
additional 2% utility tax on the total gross income derived from
the selling of electric power; amending Section 5 50 050 of the
City of Yakima Municipal Code.
WHEREAS, Section 5 50 of the City of Yakima Municipal Code (the "Municipal
Code ") provides for the levy and collection of certain annual license fees or taxes
with respect to the conducting of certain business activities; and
WHEREAS, the City of Yakima (the "City") deems it necessary and advisable to
adopt measures providing increased revenue from certain of such license fees or
taxes in order to replace revenue lost because the City is no longer able to impose a
franchise fee for the right to use the City's streets for the purpose of electronic
distributions lines, now, therefore,
BE IT ORDAINED BY THE CITY OF YAKIMA:
Section 1 Amendment of Section 5.50.050 of the Municipal Code. Section
5 50 050 of the Municipal Code is hereby amended to read as follows.
"5 50 050 Electric, telephone, gas and steam business.
A. There are levied and shall be collected annual license fees or
taxes against the persons on account of business activities, and in the
amounts to be determined by the application of the rates herein
prescribed, as follows:
1. Commencing January 1, 1985 October 1. 1994, upon every
person engaged in or carrying on the business of selling or furnishing
electric light or power, a fee or tax equal to six percent of the total gross
income derived from such business in the City of Yakima. ;
Yg321 Bait
1986 54
1987 4.9%
1988 4696
-1989 4
1 990 4496
1991 and thcrcaftcr 4.096
2. Commencing January 1, 1985, and until July 1, 1989, upon ever)
person engaged in carrying on a telephone business, a fee or tax equal
to five and two- tenths percent of the total gross income, excluding
go, income from intrastate tolls, derived from such business in the City of
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Yakima, provided, that the rate of the fee or tax imposed by this
subsection shall be reduced according to the following schedule:
Year Rate
1986 5.096
1987 4.896
1988 4.696
1989 4.496
Commencing July 1, 1989, upon every person engaged in
carrying on a telephone business, a fee or tax equal to six percent of the
total gross income derived from such business in the City of Yakima,
provided, that such fee or tax be subject to the limitations prescribed by
RCW 35 21 714, and provided, further, that the City shall suspend
collection of any franchise fee on a telephone business in excess of the
rates of fees and taxes permitted under RCW 35 21 870 (2), which rates
are as follows:
Year Ra
1989 6.496
1990 6.296
1991 and thereafter 6.096
Total gross income for this purpose shall not include charges
which are passed on to the subscribers by a telephone business
pursuant to tariffs required by regulatory order to compensate for the
cost to the telephone business of the tax imposed by the ordinance •
codified in this section.
'Telephone business' as used herein means the business of
providing access to a local telephone network, local telephone network
switching service, toll service or coin telephone services, or providing
telephonic, video, data or similar communication or transmission for
hire, via a local telephone network, toll line or channel, or similar
communication or transmission system. It includes cooperative or
farmer line telephone companies or associations operating an
exchange. "Telephone business" does not include the providing of
"competitive telephone service" as defined hereinbelow nor the
providing of cable television service.
'Competitive telephone service' as used herein means the
providing by any person of telephone equipment, apparatus, or service,
other than toll service, which is of a type which can be provided by
persons that are not subject to regulation as telephone companies under
RCW Title 80 and for which a separate charge is made.
3. Commencing January 1, 1985, upon every person engaged
in or carrying on the business of selling or furnishing natural gas for
heat, power, light and other purposes, a fee or tax equal to five and two -
tenths percent of the total gross income derived from such business in
the City of Yakima, provided, for the year 1986 and succeeding years,
e
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kY'A, Dire
b.
• the rate of the fee or tax imposed by this subsection shall be reduced
according to the following schedule:
Year BI
1986 5 0%
1987 4 8%
1988 4.6%
1989 4 4%
1990 4.2%
1991 and thereafter 4.0%
4 Commencing January 1, 1985, upon every person engaged
in or carrying on the business of selling or furnishing steam for
heating or other commercial consumption, a fee or tax equal to five and
eight- tenths percent of the total gross income derived from such
business in the City of Yakima.
B The minimum fee or tax on each such business activity shall
not be less than $250.00 per tax year
Until July 1, 1989, the rates of tax set forth in subsection A
above shall be measured against a maximum of the first five hundred
dollars of the total gross income attributable to selling or furnishing
electric light or power, selling or furnishing telephone services
described in the definition of "telephone business" contained herein,
selling or furnishing natural gas or selling or furnishing steam to any ''
• one customer in any one calendar month or fraction thereof.
Commencing July 1, 1989, and continuing until December 31,
1993, the rates of tax set forth in subsection A above shall be measured
against a maximum of the first three thousand dollars of the total gross
income attributable to selling or furnishing electric light or power,
selling or furnishing telephone services described in the definition of
"telephone business" contained herein, selling or furnishing natural
gas or selling or furnishing steam to any one customer in any one
calendar month or fraction thereof.
Commencing January 1, 1994, the rates of tax set forth in
subsection A above shall be measured against a maximum of the first
four thousand dollars of the total gross income attributable to selling or
furnishing electric Light or power, selling or furnishing telephone
services described in the definition of "telephone business" contained
herein, selling or furnishing natural gas or selling or furnishing
steam to any one customer in any one calendar month or fraction
thereof.
Commencing October 1. 1994. the rates of tax set forth in
subsection A above shall be measured against a maximum of the first
four thousand dollars of the total gross income attributable to selling or
furnishing telephone services described in the definition of "telephone .
business" contained herein. selling or furnishing natural eas or selling
�` or furnishing steam to my one customer in any one calendar month or
fraction thereof.
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Commencing October 1. 1994, the first four percent of the tax set
fourth in subsection A above shall be measured against a maximum of •
the first four thousand dollars of the total gross income attributable to
Selling or furnishing electric light or power to any one customer in
Any one calendar month or fraction thereof: two percent of the tax set
forth in subsection A above shall be measured against the total gross
income attributable to selling or furnishing electric light or power."
Section 2, effective Date. This ordinance shall be effective thirty (30)
days after its passage, approval and publication as provided by law and the City
Charter
PASSED BY THE CITY COUNCIL, signed and approved this 2d day of August
, 1994
ATTEST Mayor
City Clerk
Publication Date. 8 - 26 - 94
{
Effective Date. 9 - 26 - 94 •
411
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