O2309City Council Meeting: April 13, 2010
ORDINANCE NUMBER 2309
(City Council Series)
Santa Monica, California
(CCS)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA
AMENDING SECTION 6.16.010 OF ARTICLE 6 OF THE SANTA MONICA MUNICIPAL
CODE, RELATING TO CHALLENGES TO TAXES ASSESSED BY THE CITY
WHEREAS, the City of Santa Monica imposes taxes on a variety of private
activities to provide the City with sufficient funds for public services; and
WHEREAS, the California Constitution, Article XIII, section 32 states that no
legal or equitable action may be brought to prevent or enjoin the collection of any tax,
but there has been some question as to whether this provision applies to municipalities
(the "pay first, litigate later rule"); and
WHEREAS, to clarify that the pay first, litigate later rule is applicable to the City,
and that no challenge to aCity-imposed tax may be brought except after such tax,
including interest and any penalties, has been paid, the City finds it necessary to adopt
an express pay first, litigate later rule.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES HEREBY ORDAIN AS FOLLOWS:
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SECTION 1. Section 6.16.010 of Chapter 6.16 of the Santa Monica Municipal
Code is amended to read as follows:
Section 6.16.010. Right of Appeal.
(a) Any person aggrieved by the action of any officer or
employee of the City suspending, revoking, or denying any
permit or license under Article 6 of this Code may appeal to
a Hearing Examiner in accordance with Section 6.16.020:
For purposes of this Code, revocation shall include a
decision to deny an application to renew a license or permit.
Any reference in this Code to the License Review Board or
License Appeal Board shall be deemed to refer to a Hearing
Examiner.
(b) There shall be no right of administrative appeal as to
the determination of the amount of any tax, fee, interest, or
penalties due, nor shall there be any right to administrative
appeal as to any determination concerning business
classification or refunds.
(c) No injunction, writ of mandate, or other legal or
equitable process shall issue in any suit, action, or
proceeding in any court against the City or an officer thereof,
to prevent or enjoin the collection of taxes assessed
pursuant to this Article.
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(d) No person may commence or maintain any
proceeding, or assert any legal or equitable claim of any
kind, whether affirmatively or by defense, against the City
challenging or disputing in any way .the imposition,
assessment or collection of any tax, interest, or penalty,
unless the person first deposits with the City the full amount
of any tax, interest or penalty imposed or assessed or
otherwise challenged or claimed to be in dispute. Only after
payment of a tax, including interest and any penalties
assessed or imposed, claimed to be illegal or otherwise
improper, may a person maintain an action to recover the tax
and other amounts paid and in dispute, with interest, in such
manner as provided by law.
SECTION 2. Any provision of the Santa Monica Municipal Code or appendices
thereto inconsistent with the provisions of this Ordinance, to the extent of such
inconsistencies and no further, is hereby repealed or modified to that extent necessary
to effect the provisions of this Ordinance.
SECTION 3. If any section, subsection, sentence, clause, or phrase of this
Ordinance is for any reason held to be invalid or unconstitutional by a decision of any
court of competent jurisdiction, such decision shall not affect the validity of the
remaining portions of this Ordinance. The City Council hereby declares that it would
have passed this Ordinance and each and every section, subsection, sentence, clause,
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or phrase not declared invalid or unconstitutional without regard to whether any portion
of this Ordinance would be subsequently declared invalid or unconstitutional.
SECTION 4. 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 within 15 days after its adoption. This Ordinance shall become
effective 30 days from its adoption.
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APPROVED AS TO FORM:
Approved and adopted this 13th day of April, 2010.
~f ~
Pam O'Connor, Mayor Pro Tem
State of California
County of Los Angeles) ss.
City of Santa Monica )
I, Maria Stewart, City Clerk of the City of Santa Monica, do hereby certify that the
foregoing Ordinance No. 2309 (CCS) had its introduction on March 23rd, 2010, and was
adopted at the Santa Monica City Council meeting held on April 13th, 2010, by the
following vote:
Ayes: Council members: McKeown, Shrives, Davis, Holbrook, O'Day
Mayor Pro Tem O'Connor
Noes: Council members: None
Abstain: Council members: None
Absent: Council members: Bloom
A summary of Ordinance No. 2309 (CCS) was duly published pursuant to California
Government Code Section 40806.
ATTEST:
Maria S art, City Clerk