O2214
F:\MunicipaILaw\Share\LAWS\ALS\WMP- Parcel Tax Ordinance - Final. 7 .19.doc
City Council Meeting - July 25, 2006 Santa Monica, California
ORDINANCE NUMBER
2214
(CCS)
(City Council Series)
AN ORDINANCE OF THE PEOPLE OF THE CITY OF SANTA MONICA, CALIFORNIA
ADOPTING A CLEAN BEACHES AND OCEAN PARCEL TAX BY ADDING TO
CHAPTER 7.64 OF THE SANTA MONICA MUNICIPAL CODE COMMENCING AT
SECTION 7.64.010 ET SEQ
THE PEOPLE OF THE CITY OF SANTA MONICA DO ORDAIN AS FOllOWS:
SECTION 1. Clean Beaches and Ocean Parcel Tax Act. Chapter 7.64 et seq.
of the Santa Monica Municipal Code, entitled "Clean Beaches and Ocean Parcel Tax
Act," is hereby enacted and shall read as follows:
7.64.010 Title and Purpose
This Chapter 7.64 et seq. may be cited as the "Clean
Beaches and Ocean Parcel Tax Act."
7.64.020 Definitions
The following words and phrases whenever used in
this Chapter shall be construed and defined in this Section
as follows:
"Director" shall mean the Director of Environmental
and Public Works Management Department, or his/her
designee.
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"Owner" shall mean the legal owner of any parcel of
real property, except when the legal owner of the real
property is such due to the holding of a mortgage, note or
other security, in which case the "owner" shall be deemed to
the beneficial owner of said parcel of real property.
"Parcel" shall mean the smallest, separately
segregated lot, unit or plot of land having an identified
owner, boundaries and surface area which is documented
for property tax purposes and given an assessor's
identification number by the County of Los Angeles Tax
Assessor.
"Parcel Size" shall mean the size of the Parcel
measured in acres.
"Possessory Interest" shall mean possession of, claim
to, or right to the possession of, land or improvements and
shall include any exclusive right to the use of such land or
improvements.
"Runoff Factor" shall mean the number set forth in the
table in section 7.64.040 below that represents the amount
of average storm drainage from a Parcel for a particular land
use.
"Single Family Dwelling" shall mean a developed
parcel with one single family detached housing unit.
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7.64.030 Necessity, Authority, and Purpose
(a) The City Council (the "Council") of the City of
Santa Monica (the "City") hereby determines as follows:
(1) that the cost to implement the City of Santa
Monica Watershed Management Plan (the "Watershed
Management Plan") throughout the City at the level required
to provide for the health, safety, and general welfare of the
residents of the City exceeds the amount of revenues from
other sources;
(2) that additional revenues are needed to fund a
portion of the cost of implementing the Watershed
Management Plan, including financing the operation,
administration, maintenance, improvement, environmental
restoration, upgrade and replacement of the existing and
future storm drainage system, on-site stormwater
management systems, storm drain conveyance system
upgrades, and multipurpose capital improvement projects;
(3) that the levy of a city-wide special tax as
hereinafter provided is necessary to fund the foregoing
municipal improvements and services.
(b) This Ordinance was approved by the voters of the
City at the consolidated State general election held on
November 7, 2006 by the following vote:
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Yes: No:
Accordingly, the City of Santa Monica Clean Beaches
and Ocean Parcel Tax (the "Tax") is levied under this
Chapter pursuant to the City's Charter, Government Code
Section 50075 et seq., and other applicable laws. Under the
Charter, it is hereby expressly provided that, as an exercise
of municipal affairs powers, the City shall be authorized to
use all or a portion of the Tax allocated for capital
improvements to pay installments of principal of and interest
on bonded indebtedness or with respect to leases, or similar
instruments for the purposes of providing financing for any
capital improvements hereunder.
7.64.040 Tax Levy
The Tax not exceeding the maximum amounts set
forth in this section 7.64.040 is hereby levied, commencing
the fiscal year 2007 -2008, on all Parcels, improved or
unimproved, within the boundaries of the City.
For each Parcel which is a Single Family Dwelling,
the annual maximum Tax rate shall be eighty-four dollars
($84) for 2007-2008 (the "Basic Tax" or "BT").
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For each Parcel that is not a Single Family Dwelling,
the maximum Tax rate for 2007-2008 shall be calculated
according to the following formula:
Parcel Size (acres) x Runoff Factor (RF) x BT
.0637
The Runoff Factors are set forth below:
Use Code Land Use Category Area Runoff Factor
Breakdown
010C Condominium Up to 0.3257
Acre 0.8194
Area in
Excess of
0.3257 Acre 0.0190
010F Cooperative Multifamily Up to 0.3257
Acre 0.8194
Area in
Excess of
0.3257 Acre 0.0190
0200 Double, Duplex Up to 0.6514
Acre 0.4176
Area in
Excess of
0.6514 0.0190
0300 Three Unit Multifamily Up to 0.9771
Acre 0.6815
Area in
Excess of
0.9771 Acre 0.0190
0400 Four Unit Multifamily Up to 1.3028
Acre 0.8194
Area in
Excess of
1.3028 Acre 0.0190
0500 Five or More Apartments or Units All Lot Areas 0.8553
0900 Mobile Home Parks All Lot Areas 0.8194
1000 Open Commercial All Lot Areas 0.4733
1100 Stores All Lot Areas 0.9086
1200 Store Combination (wI Office or Resid.) All Lot Areas 0.9086
1300 Department Stores All Lot Areas 0.9850
1400 Supermarkets All Lot Areas 0.9762
1500 Shopping Centers (Community) All Lot Areas 0.9578
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1600 Shopping Centers (Regional) All Lot Areas 0.9461
1700 Office Buildings All Lot Areas 0.9086
1800 Hotels and Motels All Lot Areas 0.9578
1900 Professional Buildings All Lot Areas 0.9578
2100 Restaurants and Cocktail Lounges All Lot Areas 0.9461
2300 Banks and Savings and Loans All Lot Areas 0.9578
2400 Service Shops All Lot Areas 0.9461
2500 Service Stations All Lot Areas 0.9578
2600 Auto, Recreation & Construction All Lot Areas 0.9461
Equipment Sales & Service
2700 Parking Lots (Commercial - Use All Lot Areas 0.9461
Properties)
3100 Light Manufacturing All Lot Areas 0.9086
3200 Heavy Manufacturing All Lot Areas 0.9086
3300 Warehousing, Distribution & Storage All Lot Areas 0.9086
3600 Lumber Yards All Lot Areas 0.9578
3800 Parking Lots (Industrial - Properties) All Lot Areas 0.9086
6400 Clubs, Lodge Halls, Fraternal Orgs. All Lot Areas 0.9086
7100 Churches All Lot Areas 0.8194
7200 Schools All Lot Areas 0.8194
7400 Hospitals All Lot Areas 0.7435
7500 Homes for the Aged and Others All Lot Areas 0.6815
8100 Utilities All Lot Areas 0.4733
Miscellaneous
The Tax imposed by this Chapter shall be assessed
to the Owner unless the owner is by law exempt from
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taxation, in which case, the tax imposed shall be assessed
to the holder of the Possessory Interest in such Parcel,
unless such holder is also by law exempt from taxation.
The Tax shall not exceed the maximum amounts set
forth in this section 7.64.040, except that the Tax shall be
increased annually by the annual percent increase for twelve
month period February through January of the prior fiscal
year, if any, in the Wage Earners and Clerical Workers All
Items Consumer Price Index (CPI-W) for the Los Angeles-
Riverside-Orange County statistical area, or any successor
index.
For the purposes specified in section 7.64.050 below,
the Tax shall be levied so long as it is necessary to pay for
any financing of capital improvements, and so long as
necessary for services as specified in section 7.64.050.
The Tax is levied pursuant to California Government
Code Section 50075 et seq. and is a tax upon each Parcel of
property. The amount of the Tax is not measured by the
value of the Parcel.
7.64.050 Purposes and Uses of Tax
There is hereby established a special fund entitled
"Clean Beaches and Ocean Parcel Tax Fund" to be
maintained by the City. Proceeds of the tax, together with
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any interest and penalties thereon (collectively, the "Tax
Proceeds"), shall be collected each fiscal year and deposited
in said special fund, and shall be used exclusively for the
implementation of the Watershed Management Plan,
including but not limited to, financing the operation,
administration, maintenance, improvement, environmental
restoration, upgrade and replacement of the existing and
future storm drainage system, on-site stormwater
management systems, storm drain conveyance system
upgrades, and multipurpose capital improvement projects,
improving the quality of stormwater, as well as complying
with local, state, and federal stormwater regulations and
paying for, or securing the payment of, any indebtedness
incurred for these purposes, and any and all other purposes
as more fully discussed therein. The following are goals of
the Watershed Management Plan:
. Reduce urban runoff pollution
. Reduce urban flooding
. Increase water reuse and conservation
. Increase recreational opportunities and open
space
. Increase wildlife and marine habitat
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The Tax Proceeds may a Iso be used to enforce and
administer the Tax, including costs for submission of any
measure to the voters for the establishment or alteration of
the Tax.
7.64.060 Exemptions
The Tax imposed by this Chapter shall not be
construed as imposing a tax upon any person when the
imposition of such tax upon that person would be in violation
of either the Constitution of the United States or the
Constitution of the State of California. The City Council is
authorized to establish by resolution special exemption
procedures and eligibility criteria for natural persons based
on income, age or disability. The Tax imposed by this
Chapter shall be subject to the exemptions set forth in this
section or adopted by resolution as authorized herein.
7.64.070 Computation and Collection of Tax;
Interest and Penalties
The Director or his/her designee or employee is
hereby authorized and directed each fiscal year,
commencing with the fiscal year 2007-2008, to determine
the Tax amount to be levied for the next ensuing fiscal year
for each taxable parcel of real property within the City, in the
manner and as provided in Section 7.64.040. The Chief
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Financial Officer (the "CFO") is hereby authorized and
directed to provide all necessary information to the Auditor-
Controller of the County of Los Angeles to effect proper
billing and collection of the Tax, so that the installments of
the Tax shall be included on the secured property tax roll of
the County of Los Angeles. Un less otherwise required by
the Council, no Council action shall be required to authorize
the annual collection of the Tax as herein provided.
The Tax shall be collected in the same manner as
ordinary ad valorem taxes are collected and shall have the
same lien priority, and be subject to the same penalties and
the same procedure and sale in cases of delinquency as
provided for ad valorem taxes collected by the County of Los
Angeles; provided, however, that the Council may provide
for other appropriate methods of collection of the Tax by
appropriate resolution(s) of the Council.
The Tax shall constitute a lien upon the Parcel upon
which it is levied until it has been paid. Any unpaid Tax due
under this Chapter shall be subject to all remedies provided
under the City's Municipal Code and as provided by law.
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7.64.080
Accountabil ity; Citizen's Oversight
Committee
Pursuant to Sections 50075.1 and 50075.3 of the
California Government Code, the specific purposes of the
Tax and the requirement that the Tax proceeds be applied to
such purposes and the establishment of a special fund for
the Tax proceeds are as set forth in section 7.64.050. So
long as the Tax is collected hereunder, commencing no later
than July 1, 2008, the CFO is here by authorized and
directed to cause to be prepared and filed with the Council a
report that shows the amount of Tax collected and expended
and the status of any projects funded with the Tax Proceeds.
For purposes of this section 7.64.080, the CFO is authorized
to retain such consultants, accountants or agents as may be
necessary or convenient to accomplish the foregoing.
The Council shall establish a Citizen's Oversight
Committee to audit the use of the Tax Proceeds. The
membership, scope and responsibilities of the Citizen's
Oversight Committee shall be determined by the Council in
its exercise of discretion.
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7.64.090 Examination of Books and Records and
Annual Audit
The CFO or Director or their designee or employee or
agent, is hereby authorized and directed to examine
assessment rolls, property tax records, records of the Los
Angeles County Recorder and any other records of the
County of Los Angeles deemed necessary in order to
determine ownership of parcels and computation of the Tax.
A certified public accounti ng firm retained by the City
will perform an annual audit to assure accountability of the
proper disbursement of these Tax Proceeds in accordance
with the objectives stated herein.
7.64.100 Property Tax
This special parcel tax is a property tax and qualified
property owners and renters shall be entitled to the benefits
of the Gonsalves-Deukmejian-Petris Senior Citizen's
Property Tax Assistance Law (California Revenue &
Taxation Code Section 20501 et seq.) and the Senior
Citizens and Disabled Property Tax Postponement Law
(California Revenue & Taxation Code Section 20581 et
seq.), as provided by law.
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7.64.110 Refund of Tax, Penalty, or Interest Paid
More Than Once; or Erroneously or Illegally Collected
When the amount of the Tax, any penalty, or any
interest has been paid more than once, or has erroneously
or illegally collected or received by the City under this
Chapter, it may be refunded provided a verified claim in
writing therefore, stating the specific ground upon which the
claim is founded, is filed with the CFO within one (1) year
from the date of payment. If the claim is approved by the
CFO, the excess amount collected or paid may be refunded
or may be credited against any amounts then due and
payable from the person from whom it is collected or by
whom paid, and the balance may be refunded to such
person, his/her administrators or executors.
7.64.120 Savings Clause
The provisions of this Ch apter shall not apply to any
person, or to any property as to whom or which it is beyond
the power of the City to impose the Tax herein provided. If
any provision, sentence, clause, section or part of this
Chapter is found to be unconstitutional , illegal or invalid,
such unconstitutionality, illegality or invalidity shall affect only
such provision, sentence, clause, section or part of this
Chapter and shall not affect or impair any remaining
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provisions, sentences, clauses, sections or parts of this
Chapter. It is hereby declared to be the intention of the City
that this Chapter would have been adopted had such
unconstitutional, illegal or invalid provision, sentence, clause,
section or part thereof not been included herein.
7.64.130 Regulations
The Council is hereby authorized to promulgate such
regulations as it shall deem necessary in order to implement
the provision of this Chapter, including implementing this
Chapter which is hereby codified in Article 7, Chapter 7.64
et. seq. of the Santa Monica Municipal Code or as otherwise
designated by the City Clerk.
7.64.140 Increase Appropriations Limit
Pursuant to California Constitution Article XIIIB, the
appropriations limit for the City of Santa Monica is hereby
increased by the aggregate sum authorized to be levied by
this Tax for the fiscal year 2007-2008 and each year
thereafter.
SECTION 2. Amendment or Repeal. The City Council is hereby authorized to
adopt additional provisions consistent with the intent of this Ordinance and to amend the
provisions of this Ordinance without voter approval, provided such amendments do not
extend the Tax to a taxpayer not subject to the Tax or increase the amount of the Tax
beyond the amount authorized by this Ordinance. Any amendment to this Ordinance
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which extends the Tax to a taxpayer who would otherwise not be subject to it or
increase the amount of Tax beyond the maximum tax rates and escalation factors
authorized by this Ordinance must be approved only by a vote of the qualified electors
or property owners of the City.
SECTION 3. Severability. If any provision, section, paragraph, sentence or
word of this Ordinance, or the application thereof to any person or circumstance, is
rendered or declared invalid by any court of competent jurisdiction, the remaining
provisions, sections, paragraphs, sentences or words of this Ordinance, and their
application to other persons or circumstances shall not be affected thereby and shall
remain in full force and effect and to that end the provisions of this Ordinance are
severable.
SECTION 4. Effective Date. This Ordinance relates to the levying and
collecting of the Tax by the City and shall be in full force and effect ten (10) days after
the certification by the Council of the election returns indicating passage of the
Ordinance by two-thirds of the voters casting votes in the election.
APPROVED AS TO FORM:
JY
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