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ORDINANCE NO. 928
(CITY COUNCIL SERIES)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF SANTA MONICA AMENDING CHAPTER 6B OF ARTICLE
VI ENTITLED "THE CONDOMINIUM TAX LAWtt TO
SPECIFICALLY DEFINE THE WORDS "SALE"# "CONSTRUCTION"
AND "DEVELOPMENT" FOR THE PURPOSE OF SAID LAW
AND TO PROVIDE FOR THE ADMINISTRATIVE MEANS OF
ENFORCING SAID STATUTE AND DECLARING THE PRESENCE
OF AN EMERGENCY
THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES
HEREBY ORDAIN AS FOLLOWS:
SECTION l. Chapter 6B of Article VI entitled "The
Condominium Tax Law" of the Santa Monica Municipal Code
is hereby amended to read as follows:
CHAPTER 6B The Condominium Tax Law
Section 6650. Title of This Cha~te~. This chapter
shall be known as the "Condominium Tax Law."
Section 6651. Condominium Tax. A condominium
business license tax is imposed solely for revenue purposes
upon the development and construction of all condominium
project~whether of new construction or of conversion from
an existing building, in the sum of $1,000 per planned
salable unit. No tax shall be imposed upon development
or construction of any condominium unit for which a
completed sale has occurred.
Section 6652. Definitions. In interpreting
and administering the provisions of this law, each of the
following words and phrases shall be construed as herein
set forth unless it is clearly apparent from the context
that a different meaning is intended.
(a) Condominium project. Any project so de-
fined by Section 9102 of this Code.
(b) Construction and Development. Any or all
acts connected with the building, erection, construction,
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creation, production, conversion into, subdivision to
create, or improvement to create any condominium, town-
house, community apartment, condominium cluster development
or similar structure or form of ownership.
(c) Sale. The transfer of "title" to property
by execution of the deed to seller and un~onditional delivery of
executed deed to the purchaser. For the purpose of
this chapter, a sale shall not be deemed to be completed
until a properly executed deed is delivered to the
purchaser. Recordation of the deed shall be ~rima
facie evidence of delivery.
Section 6653. Condominium License. A condominium
license will be issued by the City Clerk upon the payment of
the required fee provided herein or upon the execution
and recordation of a duly notarized agreement signed by
all record owners of the property contained within the
condominium project, in a form approved by the City
Attorney, agreeing to pay the condominium license tax
prior to occupancy. Said agreement shall be recorded
with the County Recorder and shall create a lien against
the property until it is paid. Within five (5) days of
payment of said tax, the City Clerk shall file a release
of said li~n with the County Recorder.
Section 6654. Failure to obtain license
unlawful. It is unlawful to engage in, permit, suffer, or
assist in the development or construction or to occupy
any condominium for which a license has not been obtained
as provided in this chapter.
Section 6655. Tax lien and hearin9' In the
event that a developer fails to obtain a condominium
license, the City Clerk shall notify him that he is in
violation and that if he does not request a hearing
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within five (5) days. a lian will be filed against the
property being developed for the full amount of the tax.
In the event that a hearing is demanded, a properly
noticed public hearing will be set within ten (10) days
of said request before the City Clerk, at which time
evidence may be presented to contest the lien. The
contestant will have a right to call witnesses and to
cross-examine witnesses of the City. The obligation
to pay the tax and the amount of the tax owed will be
determined prior to filing said lien.
Section 6656. Filins Notice of Lien. The
City Clerk shall, upon the determination that the tax
is due, deliver to the County Auditor and record with
the County Recorder a notice of lien substantially in the
following form, to wit,
Notice of Lien
Pursuant to the authority vested
in me by Article VI, Chapter 6B, Section 6655
of the Santa Monica Municipal Code, I did
cause a hearing to be held on the
day of
, 19
, which date was
within ten (lO) days after receiving request
for said hearing and more than five (5) days
after mailing notice of said hearing to
all interested parties, to ascertain why a
tax lien should not be imposed upon the
hereinafter described property for non-
payment of a required condominium tax,
of which
is still unpaid and
owin9J and having determined at said hearing
that said amount is owed to the City of Santa
Monica, said City hereby does claim a lien
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on said real property in the sum of
and the same shall be a lien upon said real
property until the said sum has been paid in
full and discharged of record, and said sum
shall be collected in the same manner and
at the same time as are the taxes for said
City on said real property and subject to
the same penalties and procedures to foreclose.
The real property herein mentioned and
upon which a lien is claimed is that certain
piece or parcel of land in the City of Santa
Monica, County of Los Angeles, State of
California, and particularly described as
follows, to wit:
(Description of property)
DATED this day of
19
(City Clerk)
Section 6657. Failure to Pay License--Denial
of Permits. No permit for building, construction, demo-
lition, grading, subdividing, condominium construction,
condominium conversion, variance, conditional use or
occupancy shall be granted unless the license provided
for in this chapter is obtained. Notwithstanding other
provisions of law, no occupancy permit may be obtained
under any circumstances until the condominium license tax
has been paid. A certificate of occupancy is required for
the occupancy of any condominium, new or conversion.
Separate occupancy permits may be granted upon separate
payment of the required license tax.
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Code or appendices thereto inconsistent herewith, to the extent of
such inconsistencies and no further, are hereby repealed.
SECTION 4. 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 juris-
diction, such decision shall not affect the validity of the remain-
ing portions of the ordinance. The City Council hereby declares that
it would have passed this ordinance and each section, subsection.
sentence, clause or phrase thereof, irrespective of the fact that
anyone or more sections, subsection~ sentences, clauses, or phrases
be declared invalid or unconstitutional.
SECTION 5. The City Council of the City of Santa Monica
finds that an emergency exists for the adoption of this ordinance
by reason of the fact that increased demand for public services
such as police, fire and sanitation and the like, have created
an urgent need for revenue. Condominium development has become
a very lucrative business and has also created permanent residents
of the City who utilize the urgently needed civic services. The
previously created condominium ordinance has established the tax
to provide for the continued quality of civic services; but, in
order to administer the tax properly, specific quidelines are
needed before the moritorium on condominium construction expires
on September 10, 1973.
SECTION 6. This ordinance is declared to be an emergency
measure adopted pursuant to the provisions of Section 615 of the
Santa Monica Municipal Charter and is necessary for preserving
the public peace, health, or safety, and the urgency for its
adoption is set forth in the finding above.
SECTION 7. The Mayor shall sign and the City Clerk
shall attest to the passage and adoption of this ordinance and
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shall cause the same to be published once in the official newspaper
within l5 days after its adoption. This ordinance shall become
effective upon its adoption.
ADOPTED this
31st
day
~Ug4'
Mayor
ATTEST:
~./iJ)/~
c:1Acting City Clef>
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES SSe
CITY OF SANTA MONICA
I do hereby certify that the foregoing ordinance was
duly and regularly introduced and adopted at a meeting of the
City Council of the City of Santa Monica on the
31st
day
of
A ugus t
, 1973, pursuant to Section 615 of the Charter
of the City of Santa Monica, by the following vote of the Council:
AYES:
Councilmen:
Judson, McCloskey, Swink,
Trives, van den Steenhoven,
None Hoover
NOES:
Councilmen:
ABSENT:
Councilmen:
Dituri
APPROVED AS TO FORM:
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Acting City ~~k
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v City'Attorney
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