HomeMy WebLinkAbout94-6 - Amending Chapter 3.16 of the Newport Beach Municipal Code Relating to the Transient Occupancy Tax•
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NO. 94 -6
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH AMENDING CHAPTER 3.16 OF THE NEWPORT
BEACH MUNICIPAL CODE RELATING TO THE TRANSIENT
OCCUPANCY TAX.
The City Council of the City of Newport Beach ordains as
follows:
ICTION 1: Chapter 3.16 of the Newport Beach Municipal Code
.11 be amended as follows:
ion 3.16.020 shall be amended as follows:
QUALIFYING RENTAL AGREEMENT. The term "qualifying rental
agreement" shall mean a written contract signed by both the
landlord and tenant, legally enforceable by either party. The
qualifying rental agreement shall provide for the right to occupy
a (specified number of rooms in a hotel for a period of not less
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thin thirty -one (31) consecutive days. "Qualifying rental
agreement" expressly excludes:
(a) Any agreement, regardless of the rental term, which is
te i rminated for any reason, by either party, or by mutual consent,
prior to the thirty -first consecutive day of occupancy; or,
(b) Any agreement which would be unlawful or constitute a
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violation of law.
ction 3.16.040 shall read:
(a) Any person as to whom, or any occupancy as to which, it
is beyond the power of the City to impose the tax herein
provided.
(b) Any officer or employee of a foreign government who is
empt by reason of express provision of federal law or
ternational treaty.
(c) An employee of an airline company who is occupying a
tel room in the course of his or her employment, but only when
e room is rented by the airline employer pursuant to a
qualifying rental agreement.
No exemption shall be granted excepted upon a claim
therefore made at the time rent is collected and under penalty of
perjury upon a form prescribed by the Finance Director.
• Section 3.16.080 shall be amended as follows:
A. ORIGINAL DELINQUENCY. Any operator who fails to remit
any tax imposed by this Chapter within the time required shall
pay a penalty of ten percent (10 %) of the amount of the tax in
addition to the amount of the tax.
B. CONTINUED DELINQUENCY. Any operator who fails to remit
any delinquent remittance on or before a period of thirty (30)
days following the date on which the remittance first became
delinquent shall pay a second delinquency penalty of ten percent
(10 %) of the amount of the tax in addition. No further
delinquency penalties will accrue after two months.
C. FRAUD. If the Finance Director determines that the
• nonpayment of any remittance due under this Chapter is due to
fraud, a penalty of twenty -five percent (25 %) of the amount of
the tax shall be added thereto in addition to the penalties
stated in Subparagraphs A and B of this section.
D. INTEREST. In addition to the penalties imposed, any
operator who fails to remit any tax imposed by this chapter shall
pay interest at the rate of one and one -half of one percent (1
1/2 %) per month for each month or portion of a month that the tax
shall be delinquent on the amount of the tax, exclusive of
penalties, from the date on which the tax first became delinquent
until paid. The interest shall be computed on a monthly basis
and shall not be subject to proration for any portion of a month.
•E. PENALTIES MERGED WITH TAX. For purposes of collection,
every penalty imposed and such interest as accrues under the
provisions of this section shall become merged and a part of the
tax herein required to be paid.
SECTION 2: That if any section, subsection, sentence,
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clause or phrase of this ordinance is for any reason, held to be
invalid or unconstitutional, such decision shall not affect the
validity or constitutionality of the remaining portions of this
ordinance. The City Council hereby declares that it would have
• passed this ordinance, and each section, subsection, clause or
phrase hereof, irrespective of the fact that any one or more
sections, subsections, sentences, clauses and phrases be declared
unconstitutional.
SECTION 3: The Mayor shall sign and the City Clerk shall
attest to the passage of this ordinance. The City Clerk shall
cause the same to be published once in the official newspaper of
the City, and it shall be effective thirty (30) days after its
adoption.
SECTION 4: This ordinance was introduced at a regular
• meeting of the City Council of the City of Newport Beach, held on
the 24th day of January, 1994, and adopted on the 14th day of
February, 1994, by the following vote, to wit:
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AYES, COUNCIL MEMBERS SANSONE, WATT
TURNER, COX, DERRY
NOES, COUNCIL MEMBERS HART
ABSENT COUNCIL MEMBERS HEDGES
MAYO �
ATTEST: