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Home My WebLink About2021-26 - Providing a One-Year Waiver of the Business License Tax Renewal for Businesses Required to Close by Order of the State of CaliforniaRESOLUTION NO. 2021-26 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA PROVIDING A ONE- YEAR WAIVER OF THE BUSINESS LICENSE TAX RENEWAL FOR BUSINESSES REQUIRED TO CLOSE BY ORDER OF THE STATE OF CALIFORNIA WHEREAS, -Section 200 of the Charter of the City of Newport Beach ("City") vests the City Council with the authority to make and enforce all laws, rules and regulations with respect to municipal affairs subject only to the restrictions and limitations contained in the Charter and the State Constitution, and the power to exercise, or act pursuant to any and all rights, powers, and privileges, or procedures granted or prescribed by any law of the State of California; WHEREAS, the City requires all businesses operating or conducting business within the City to obtain a business license pursuant to Newport Beach Municipal Code ("NBMC") Section 5.04.020 (License and Tax Payment, and Fingerprinting Fee Requirements); WHEREAS, NBMC Chapter 5.08 (License Fee Categories) provides that businesses shall pay an annual business tax as established by resolution of the City Council; WHEREAS, on January 31, 2020, the United States Secretary of Health and Human Services announced a nationwide public health emergency, in response to the COVID-19 outbreak; WHEREAS, on March 4, 2020, Governor Gavin Newsom declared a State of Emergency to make resources available, formalize emergency actions, and help the State of California prepare for the broader spread of COVID-19; WHEREAS, as a result of COVID-19, Governor Newsom mandated the closure of various businesses throughout this past year; WHEREAS, California Government Code Section 4467(a)(2)(A) requires cities that issue business licenses to collect a state fee of $4.00 from any applicant for a business license or renewal thereof ("State Fee"), to benefit disability access and compliance with construction -related accessibility requirements and to develop educational resources for businesses to facilitate compliance with federal and state disability laws, as specified therein; and Resolution No. 2021-26 Page 2 of 3 WHEREAS, the City desires to help alleviate the impact of these closures for those businesses impacted by Governor Newsom's closure orders who maintain a current Newport Beach business license. NOW, THEREFORE, the City Council of the City of Newport Beach resolves as follows: Section 1: The City does hereby waive the business license tax and agree to pay the State Fee for those categories of businesses identified in Exhibit "A," which is attached hereto and incorporated herein by reference, that are current with their business license tax payments. The waiver and payment of the State Fee provided herein shall commence on April 1, 2021 until March 31, 2022. Section 2: A business that does not fit within a category identified in Exhibit "A" may request a waiver from the City's Finance Director. Waivers may be granted to a business, where the owner or operator demonstrates the business ceased operations due to Governor Newsom's closure orders, could not conduct the business virtually, and the business is current with their business license tax payments. For example, professional service firms that may have closed their doors to the public, but were still able to operate or meet with their clients remotely, would not qualify. The Finance Director's decision whether to grant or deny a waiver shall be final. In the event a waiver is granted pursuant to this Section 2, the City agrees to pay the business' State Fee. The waiver and payment of the State Fee provided herein shall commence on April 1, 2021 and continue until March 31, 2022. Section 3: To qualify for the waiver and payment of State Fee provided herein, a business must be commercially based, as that term is defined in Section 5.08.005(C) (Business Tax — Definitions), in the City of Newport Beach. Section 4: Refunds shall not be provided as a result of a business' change of status or a change in the number of employees from the previous year. Section 5: The recitals provided in this resolution are true and correct and are hereby incorporated into the operative part of this resolution. Section 6: If any section, subsection, sentence, clause or phrase of this resolution 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 resolution. The City Council hereby declares that it would have passed this resolution, and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Resolution No. 2021-26 Page 3 of 3 Section 7: The City Council finds the adoption of this resolution is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 8: This resolution shall take effect on April 1, 2021, and the City Clerk shall certify the vote adopting this resolution. ADOPTED this 23rd day of P"---� '' ATTEST: W1, �./.1L.�FAW,,Leitani I. br-own 17City Clerk APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE - -- a on C. Harp City Attorney Attachment(s): Exhibit A - Newport Beach Business License Categories EXHIBIT A 7241 BARBER SHOPS 7231 BEAUTY SHOPS 5181 BEER & ALE 5942 --BOOK STORES 5441 CANDY, NUT & CONFECTIONERY STO 8351 CHILD DAY CARE SVCS 5641 CHILDRENS & INFANTS WEAR STORE 5145 CONFECTIONERY 7911 DANCE STUDIOS, SCHOOLS & HALLS 5311 DEPARTMENT STORES 5813 DRINKING PLACES, BARS, COCKTAI 5812 EATING PLACES, RESTAURANTS 7929 ENTERTAINERS & ENTERTAINMENT G 5651 FAMILY CLOTHING STORES 5139 FOOTWEAR, SHOES 5712 FURNITURE STORES 5947 GIFT, NOVELTY & SOUVENIR SHOPS 5945 HOBBY, TOY & GAME SHOPS 5023 HOME FURNISHINGS, FURNITURE 5094 JEWELRY & PRECIOUS STONES 5944 JEWELRY STORES 7997 MEMBERSHIP SPORTS & RECREATION 5136 MENS & BOYS CLOTHING 5611 MENS & BOYS CLOTHING STORES 2024 MFG OF ICE CREAM & FROZEN DESE 7999 MISC AMUSEMENT& RECREATION SV 2389 MISC APPAREL & ACCESSORIES MFG 5399 MISC GENERAL MERCHANDISE STORE 5719 MISC HOME FURNISHING STORES 7299 5999 8299 8249 2339 7812 8412 7991 5461 5661 4725 4724 5932 4499 5137 5632 5621 MISC PERSONNEL SVCS MISC RETAIL STORES MISC SCHOOLS & EDUCATIONAL SVC MISC VOCATIONAL SCHOOLS MISC WOMENS & MISSES OUTERWEAR MOTION PICTURE & VIDEO PRODUCT MUSEUMS & ART GALLERIES PHYSICAL FITNESS FACILITIES, G RETAIL BAKERIES SHOE STORES TOUR OPERATORS TRAVEL AGENCIES USED MERCHANDISE STORES WATER TRANSPORTATION SERVICES WOMENS & CHILDRENS CLOTHING WOMENS ACCESSORY & SPECIALTY S WOMENS CLOTHING STORES STATE OF CALIFORNIA COUNTY OF ORANGE ss. CITY OF NEWPORT BEACH I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the whole number of members of the City Council is seven, the foregoing resolution, being Resolution No. 2021-26 was duly introduced before and adopted by the City Council of said City at a regular meeting of said Council held on the 23rd day of March, 2021; and the same was so passed and adopted by the following vote, to wit: AYES: Mayor Brad Avery, Mayor Pro Tem Kevin Muldoon, Council Member Noah Blom, Council Member Joy Brenner, Council Member Diane Dixon, Council Member Will O'Neill NAYS: None ABSENT: Council Member Duffy Duffield IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of said City this 241h day of March, 2021. c Leilani I. Brown City Clerk Newport Beach, California