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HomeMy WebLinkAbout2024-037 Ordinance amending YMC Chapter 7.64.040 to update the utility tax for the Storm Drainage and Surface Water Management Utility ORDINANCE NO. 2024-037 AN ORDINANCE amending Yakima Municipal Code Chapter 7.64.040 YMC to update the utility tax for the Storm Drainage and Surface Water Management Utility. WHEREAS, the City of Yakima (City) is authorized by Title 35 RCW to acquire, construct, own operate, and provide financing for storm drainage and surface water management, and to establish rates, fees, and charges therefore; and WHEREAS, it is necessary to revise the utility tax in order to cover actual costs for storm drainage and surface water management services provided by the City of Yakima; and WHEREAS, the City Council of the City of Yakima finds and determines Chapter 7.64.040 that it is in the best interest of the residents and the City to raise the Stormwater utility tax from fifteen percent to twenty percent and amend the Yakima Municipal Code to reflect the increase; now, therefore, BE IT ORDAINED BY THE CITY OF YAKIMA: Section 1. Section 7.64.040 of the City of Yakima Municipal Code is hereby amended to read as follows: 7.64.040 Stormwater tax. For the provision of stormwater compliance and stormwater collection services there is levied a tax against the total assessments collected from annual stormwater assessment charges. Commencing January 1, 2025, and effective annually thereafter, the rate of the tax shall be twenty percent. (Ord. 2018-050 § 1, 2018: Ord. 2011-59 § 4, 2011). Section 2. Effective Date. This ordinance shall be in full force and effect 30 days after its passage, approval, and publication as provided by law and by the City Charter. PASSED BY THE CITY COUNCIL, signed and approved this 26th day of November, 2024. ATTEST: \Onna ‘'h�l Patricia Byer , Mayor io p '` 11 111` _door o� Rosalinda Ibarra, City Clerk ‘IhItAl ,k�' Publication Date: December 3, 2024 Effective Date: January 2, 2025 i4 ..44iiiiii , ,i 00 •'�J; , BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 3.B. For Meeting of: November 26, 2024 ITEM TITLE: Ordinance amending YMC Chapter 7.64.040 to update the utility tax for the Storm Drainage and Surface Water Management Utility SUBMITTED BY: * Scott Schafer, Director of Public Works Mike Price, Wastewater/Stormwater Division Manager SUMMARY EXPLANATION: The City of Yakima (City) Stormwater Division is a self-supported enterprise fund utility that is funded by rates for services provided. Enterprise funds contribute to the General Fund in the form of a "Utility Tax" also known as "In-Lieu Tax" based on a percentage rate of the utility's gross revenue. The City's Stormwater Utility Tax is currently set at 15%. As part of the 2025/2026 Budget Session discussions, the City Council directed staff to increase the Stormwater Utility Tax from fifteen percent to twenty percent; increasing the funding into the General Fund by approximately $217,496 per year. Attached for review is the revised Yakima Municipal Code Chapter 7.64.040 as directed by City Council at the November 4, 2024 City Council meeting. ITEM BUDGETED: N/A STRATEGIC PRIORITY 24-25: A Resilient Yakima RECOMMENDATION: Pass Ordinance. ATTACHMENTS: Ordinance YMC 7.64.040_redline Ordinance YMC 7.64.040 final 3 ORDINANCE NO. 2024- AN ORDINANCE amending Yakima Municipal Code Chapter 7.64.040 YMC to update the utility tax for the Storm Drainage and Surface Water Management Utility. WHEREAS, the City of Yakima (City) is authorized by Title 35 RCW to acquire, construct, own operate, and provide financing for storm drainage and surface water management, and to establish rates, fees, and charges therefore; and WHEREAS, it is necessary to revise the utility tax in order to cover actual costs for storm drainage and surface water management services provided by the City of Yakima; and WHEREAS, the City Council of the City of Yakima finds and determines Chapter 7.64.040 that it is in the best interest of the residents and the City to raise the Stormwater utility tax from fifteen percent to twenty percent and amend the Yakima Municipal Code to reflect the increase; now, therefore, BE IT ORDAINED BY THE CITY OF YAKIMA: Section 1. Section 7.64.040 of the City of Yakima Municipal Code is hereby amended to read as follows: 7.64.040 Stormwater tax. For the provision of stormwater compliance and stormwater collection services there is levied a tax against the total assessments collected from annual stormwater assessment charges. Commencing January 41, 2049202 , and effective annually thereafter, the rate of the tax shall be percent. (Ord. 2018-050 § 1, 2018: Ord. 2011-59 § 4, 2011). Section 2. Effective Date. This ordinance shall be in full force and effect 30 days after its passage, approval, and publication as provided by law and by the City Charter. PASSED BY THE CITY COUNCIL, signed and approved this 26th day of November, 2024. ATTEST: Patricia Byers, Mayor Rosalinda Ibarra, City Clerk Publication Date: December 3, 2024 Effective Date: January 2, 2025 4