HomeMy WebLinkAboutOrd 736 ORDINANCE NO. 736
AN ORDINANCE OF THE CITY OF CATHEDRAL CITY,
CALIFORNIA, AMENDING THE CATHEDRAL CITY
MUNICIPAL CODE SECTION 3.44.160 TO CONTINUE THE
EXISTING TRANSACTIONS AND USE (SALES) TAX
WHEREAS, on February 24, 2010, the City Council unanimously declared a fiscal
emergency by Resolution 2010-66, and subsequently reaffirmed by Cathedral City
budget Resolution 2013-210, duly adopted on May 22, 2013 under Article XIIIC, section
2(b) of the California Constitution; and
WHEREAS, pursuant to California Revenue and Taxation Code Sections 7285.9
and 7290, the City of Cathedral City ("City") has the authority to levy a Transactions and
Use (Sales) Tax for general purposes; and
WHEREAS, at a Special Election held on June 8, 2010, the City Council
proposed and a majority of the voters approved an essential services temporary funding
measure which imposed a one cent sales tax (1.0%) on the sale or consumption of
tangible personal property within the City of Cathedral City (the "Sales Tax"), and
WHEREAS, the City's Transactions and Use Tax Ordinance imposing the Sales
Tax is found in Chapter 3.21 of the City's Municipal Code; and
WHEREAS, Section 3.44.16 of the City's Municipal Code sets forth a termination
date of the Sales Tax on the fifth anniversary of its adoption, which will repeal the Sales
Tax on September 30, 2015, unless continued by a majority of the voters of the City; and
WHEREAS, the City Council has determined that the continuation of the existing
Sales Tax, without raising existing tax rates, is critical to funding the City's essential
services, preserving the safety and character of Cathedral City, and ensuring that our
City has a guaranteed source of local funding that cannot be taken by Sacramento; and
WHEREAS, the City conducted a community opinion survey which shows a
majority of respondents would support continuing the Sales Tax to maintain and protect
City services; and
WHEREAS, the City Council, by adopting Resolution No. 2014-04, authorized
placing the matter of continuing the Sales Tax before the voters of Cathedral City at a
Special Election to be held on June 3, 2014 ; and
WHEREAS, the termination date in Section 3.44.160 of the City's Municipal Code
must be amended to continue the Sales Tax.
NOW, THEREFORE, the People of the City of Cathedral City do ordain as follows:
SECTION 1: AMENDMENT. Section Chapter 3.44.16 of Chapter 3.44
(Transaction and Use Tax) of the Cathedral City Municipal Code shall be amended to
read as follows:
3.44.16 Termination Date
The authority to levy the tax imposed by this ordinance shall not expire,
unless terminated by a majority vote of registered voters of the City of
Cathedral City.
SECTION 2: FULL FORCE AND EFFECT. Except as herein otherwise expressly
provided, Chapter 3.44 (Transaction and Use Tax) of the Cathedral City Municipal Code
shall remain in full force and effect.
SECTION 3: SEVERABILITY. The City Council hereby declares that every
section, paragraph, sentence, clause, and phrase of this ordinance is severable. If any
section, paragraph, sentence, clause, or phrase of this ordinance is for any reason found
to be invalid or unconstitutional, such invalidity or unconstitutionality shall not affect the
validity or constitutionality of the remaining sections, paragraphs, sentences, clauses, or
phrases.
SECTION 4: EFFECTIVE DATE. This Ordinance shall be submitted to the voters
at a Special Election to be held on June 3, 2014. Upon approval by a majority of the
voters of the City voting on this Ordinance, the amendment of Chapter 3.44 of the City's
Municipal Code shall take effect immediately and the Transactions and Use Tax shall be
continued as provided for in this Ordinance.
SECTION 5: PUBLICATION. The City Clerk of the City of Cathedral City is
hereby directed to cause the following summary of the ordinance to be published in a
newspaper of general circulation, published and circulated in the City of Cathedral City:
Contingent upon majority voter approval, this Ordinance amends the
termination date of the existing transactions and use (sales) tax. The tax
will no longer expire on the fifth anniversary. The tax will continue until
registered voters of the City of Cathedral City vote in favor of termination.
SECTION 6: CERTIFICATION. Upon certification of voter approval, this
Ordinance was duly approved by the following vote of the voters of the City of Cathedral
City on June 3, 2014:
3,645 - 66.38% Voted Yes
1,846 — 33.62% Voted No
SECTION 7: CERTIFICATION OF COUNCIL ADOPTION AND APPROVAL. This
Ordinance was introduced and approved at a regular meeting of the City Council of the
City of Cathedral City held on the 12th day of February, 2014 by the following vote:
Ayes: Councilmembers Henry, Toles and Pettis; Mayor Pro Tern Vasquez
and Mayor DeRosa
Noes: None
Abstain: None
Absent: None
/
: .1-- 7,. --C---C i 4P . .)--
`yKa hleen J. De- sa, Mayor
ATTEST:
%et , %■ t., ... .:'
Gary F.‘ owell, City erk
APPROVED AS TO FORM:
Offic,t,- -
Charles R. Green, City Attorney