HomeMy WebLinkAbout1329 Amending City Code Related to Utility Tax Exemptions BILL NO: 2014-061 ORDINANCE NO: /J a q
AN ORDINANCE AMENDING CITY CODE SECTION 630.010 RELATED TO UTILITY
TAX EXEMPTIONS.
BE IT ORDAINED BY THE BOARD OF ALDERMEN FOR THE CITY OF RIVERSIDE,
MISSOURI, as follows:
SECTION 1 —ADOPTION OF AMENDMENT. Section 630.010 of the City Code of the City of
Riverside, Missouri is hereby amended by addition of the following subsection:
SECTION 630.010: UTILITY TAX
A. Every gas, electricity, water or telephone company and every corporation,
company, association,joint stock company or association, partnership and
person, their lessees, trustees or receivers appointed by any court
whatsoever, owning, operating, managing, leasing or controlling a gas,
electricity, water or telephone plant or system for the manufacture,
distribution, sale or furnishing of gas (natural or manufactured), electricity,
water or telephone service, shall, in addition to all other taxes, payments or
requirements now or hereinafter required by law or City ordinance, pay to
the City as a license fee a sum equal to five percent (5%) of the licensee's
gross receipts from the sale of gas, electricity, water or telephone service
sold for domestic, commercial and industrial purposes within the limits of
the City under the licensee's applicable rate schedules on file with and
approved by the Public Service Commission of Missouri. Provided
however, said gross receipts shall not include any receipts collected by the
utility pursuant to the City's sales tax nor any receipts collected pursuant to
this Chapter. This licensee shall no later than February first (1st) and
August first (1st) respectively of each year make a report to the Governing
Body of the City of its said gross receipts for the six (6) month period
preceding December thirty-first (31st) and June thirtieth (30th)
respectively and at the time of making such reports shall pay into the City
Treasury the aforesaid license fee based upon the gross receipts so
reported. The acceptance of such fees shall not prejudice the right of the
City to collect any additional fee thereafter found to be due upon its gross
receipts for any period by reason of its inability to determine accurately the
amount properly due, licensee shall be entitled following a determination
of the overpayment to deduct such overpayment and receive a credit
therefor against the amount of license fee due for the next succeeding
period or periods following the determination of the overpayment. The
City, by its duly authorized representatives, shall have the right, at all
reasonable times during business hours, to make such examinations and
inspections of the books of such licensee as may be necessary to determine
the correctness of such reports. The City shall have the right, at its own
expense, to employ the same accountants who make the annual audit of
the books, records and accounts of the business of the licensee, to audit, at
the same time, the licensee's accounts and records and certify as to the
correctness of any payments due and payable by the licensee to the City.
The City may at its option employ independent accountants to inspect the
books, records and accounts of the licensee. (R.O. 2011 §705.010; CC
1971 §12.17; Ord. No. 77-7 §1, 5-3-77; Ord. No. 78-1 §1, 1-3-78; Ord.
No. 90-3 §1, 1-2-90)
B. The fee herein required to be paid shall not apply to gas electricity or
water service provided to the United States or to the State of Missouri or
any agency or political subdivision thereof, educational institutions not
operating for profit, churches and charitable institutions The exemptions
provided herein shall not apply to telephone service
SECTION 2 — EFFECTIVE DATE. This ordinance shall be in full force and effect from and
after the date of its passage and approval.
BE IT REMBERED that the above was read two times by heading only, PASSED AND
APPROVED by a ma"ority of the Board of Aldermen and APPROVED by the Mayor of the
City of Riverside this day of it�l 2014.
• Mayor Kathleen L. Rose
A'T'TEST
� f
Robin,i rttrell>CAtyQerk
2
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W1AR 5 1974- ' -
BTW. ORDINANCE N0. ,
OMSION
• - 7ttEASURY DEPT.
Alt.ORDINANCE-ESTABLISHING A LICENSE FEE TO BE PAID BY P15RSODIS,
` �'PTBME'OR CORPORATIONS ENGAGED IN .THE BUSINESS OF SUPPLYING '
BYA'117RAL'6R
MANUFACTURED GAS', ELfiCTRICITY,:WATER OR;TELEPBONB
SERVICE,TO CUSTOMERS WITHIN THE CORPORATELIMITS:OF TBE,:.CTTY .
-' 'RI(i$RSIbE: SSTABLISHINGTHS-RATE-.OF SUCHLICEN3OF .
8FEE: ,:FIXING
TBa:TZME
SUCH PER PER.SSALL .COMMENCE: AND
ALL
-v ORDINANCES OR--,PARTS.oF-ORDINANCES.IN:CONFLICT THEREWITH. .
BE,IT ORDAINED BY THE BOARD:OF ALDERMEN OF THE-CITY OF: .
MISSOURI, AS FOLLOWS: .. ,
Section 1.. - Every gas, electricity, water, or telephonq l
Company-and ever y,.corporation,
-companYrasaociation,. joint -_
" stook ecmpany-ox association, partnership and parson, their
1e880e8, trustees or receivers appointedbyany court whatsoever,
otining,-operating, managing, leasing or controlling,a gas, •
elactrieity, water ox, telepbone plant or system for the •
manufaotUre,,distribution, Sale or furnishing of gas, (natural
or manufactured):electricity, waiter or:telephone aervice,
shall,..
in addition-to all.bther taxes, Payments oY-::requirements
new or ,hereafter.required by law.Or City ordinance, Pay to'the
;,city as 'a "license fee a abm equal to ten percent ,(lot) of the
":11cessee'5 -gross receipts from .the sale of gas,,:'electricity
-'. Mater oY telephone-service sold for domestic, commercial and..
_"indust 3al :Purposes :Within the limits of:.the ccommerciaUnder the ,
U"fi6S''s applicable rate schedules on file with and apprwmd
'*y the',Public:Service'Commission':Of Missouri. The.:licenaee'.r-;
; 41611not later than February 1-and August I respectively of
P each year°make a-!report-to the governing body of the city of
= .`Ltts said gross receipts'.for thesix (6) months' period preceding,
x
December. 31 and
June 30 respectively and atthe time`. of making _
such reports shall pay: into the city treasury the afcresaid
r
licenae• as
'rfee bed upon the gross receipts;so reported. The
�Jaaceptanee of:such fees shall not prejudicethe right Of the
city to.collect .any additional fee thereafter found ,to be due
an Lhe :evant that licensee shall pay a sum greater than is
,.,t ue upon:its gross receipts for any. Period,;by. reason of its . '
iaabllity to determina::accukately:the amount properly due,
* McGhsee:-shall:be- entitled following a determination.:of. tb;e•. -
bV'erpayment to_deduct such overpayment and keceive a'creditr :
therefor against she amount of license fee due for :the.next;
:waceeding period or periods following the..determination of
?the
overpayment. : The city, by its::duly .authori%ed repre@entativas,
'shall,have the right, at:all reasonable times during'business -
.bours, to make much examinations and inspections of the books,
of such':lioensee ;as may be necessary to determine the correctness
Of such reports. : The city;shall have the right, at,its
Audit.
+ o ;to employ the same accountants who:make the annual-'_._' t
Audit.obooks, records and accounts of:the business, Lha
�' 1'�.asnseet' t0 'audit, at the,same time, the: Licensee'ti-acabu�tttia `.
kecoiils and :certify As to the correctness of an - a
Y 'payments
+►niipaysbleby,the licensee tothe city, : The,aity mag; -+
-{ .at Sts�option-employ independent accountants to insect the .
7'bnbiter, aecwrds-and:.aceountsp
:of -
-- B00tion 2. For each,and every month, or part thereof, any
yob •13ebxise, lee remains unpaid, after the same becomes,duly and
Pa3fdbIso 'thart strait be added,to such license fee, as:.a penalty
f'br.sil' delayed payment, :ten percent (10%) :of the amount ,*f. :.
t[Ch-ticense Ise for the first month, or part thereof; the T
,yams iibt,ungpid, and for each and every month`.thereafter two,. ,;`
;,P.Srcept''.(21) of tris amount of such license fee until the samgt
its fU11, gid:
t a
stn o
Sedtion,3. The fee herein.required to be paid shall not
,�appfy-to gae,;:electricity or. water service provided to the.
%`Fr$'�� Un tad States:or to:the State of Missouri or any-agency 'Or'
tioal."subdivision thereof, <educational institutions not -
° i �in ..iapgrating for,.profit, churches and charitable institutipna.
:bxemptions provided`herein":shall not:.apply to telephone
'' sertii'oa. •
1,Section 4. The fee herein required'.to be paid is .an
-� !occupation. or license .fee and shall. be u in lieof any other
^ occupation or license fee required of "any person, £irm or
.corporation engaged in:the business described in-Section 1.
„thereof, but nothing herein.shall be construed as
_.exempting .
*.. nk;k •' guchperson,:'firm or corporation from .the payment-:of any.tax
r upon[real or-personal.property,par from the payment of any,
•-.othar.lawfully.levied tax otherthan a license oY-occupation -
. ` "'+' •tax.:.
Section S. Telephone service is defined for the purpose
is ls 'of*this ordinance as all charges made by the telephone Company.
k �` except such receipts as represent charges £or,meseage rate
'n'' +• ... toll'; or lOng:distance-'telephone.service, charges for exclusive
''ifiteratata<serviceo£ .any kind>'. Chatgesfor Mcrae, telegraph,
tele'Vision, or radio program transmission facilities or' far
Axl. '`• ..Y"otherV.eervices furnished exclusively andpermanentlyin connection.
'•'dr4tH:'aex'vice::extending-.beyond.-:the boundaries of-rhe city:;.
charges forsthe billing and collecting:for telegrams, •ehkiges
"-'fat theisale-of and advertising in telephone directories,
. 9 ChaYges for furnishing its telephone services. , '-
Section 6. Eachlicenseesubjectao the provisions of
this_;ordinance shall commence computation of the licer fee
described in Section 1 of this ordinance as of. January 1,
�•` veI973:.except:that any:,licensee. subject to the provisions of
r
this ordinance that is:now paying..a,franchise tax to the :City
":•�,. ' "- -of P.Jvexside "shall commence ;computation of the`license fes i as
-deY,oribed in:Section .l-.of this ordinance on the first day of,
first month following the expiration' date of said franchise,
.'Section 7. All ordinances--.and parts of ordinances in ,
eonfiict herewith are expressly, repealed including specifically
`� r ,Code-.Sections-:12.2,x:12-.3 and 12,4 provided that nothing herein
-Contained -shall be construed toaffectthe obligation of- the -
holder cf any" franchise for the payment of the compensation
due Under said franchise. .,.; ..•
"�. •..
' Section 6.6. This..ordinanceshall be' designats'd Section .
n of 12.17. in the.,Coda of the City of Riverside.
}K' , PASSED this / / day of i 1973.//
Mayor
� t
Y,-
ex
,
"APPRovso this day of y' 1973.
,:; 4 Mayor
REV NONTAXABLE EXEMPT
MONTH AMT TYPE ACCOUNT NAME ADDRESS GRT
201402 (1,424.52) 93 4163416592 CITY OF KANSAS CITY 4055 NW 41 ST ST/KCMO,MO (71,23)
201402 (4,442.75)93 6323853854 CITY OF KCMG 2599 NW TULLISON/KCMO,MO (22214)
201402 (3,780.00)93 6323853854 CITY OF KCMO 2599 NW TULLISON/KCMO,MO (189.00)
201402 (726.80) 93 2742886787 CITY OF KCMO 4700 N GREEN HILLS RD/KCMO,MO (36.34)
(10.374.07) _ (518.71)
201402 (17,88321)93 10716D767 CITY OF RIVERSIDE STREETUGHTS/RIVERSIDE,MO (894.16)
201402 (3,780.00) 93 3086700722 CITY OF RIVERSIDE 2950 NW VIVION RD/KCMO,MO (189,00)
201402 (2,494.78)93 7922405202 CITY OF RIVERSIDE 2990 NW VIVION RD/RIVERSIDE,MO (124.74)
201402 (388.61)93 8138892268 CITY OF RIVERSIDE 4103 NW TREMONT RD/RIVERSIDE,MO (19.43)
201402 (203.84)93 9499796859 CITY OF RIVERSIDE 4500 NW HIGH DRIKCMO,MO (10,19)
201402 (179.35)93 8766513516 CITY OF RIVERSIDE 2805 NW VIVION RD/RIVERSIDE,MO (8.97)
201402 (158.11)93 6319480866 CITY OF RIVERSIDE 4100 NW RIVERSIDE DR,DP03JKCMO,MO (7.01)
201402 (133.45)93 3086700722 CITY OF RIVERSIDE 2950 NW VIVION RDIKCMO,MO (6.67)
201402 (109.84)93 1232049424 CITY OF RIVERSIDE 2901 NW VIVION RD,DP01/RIVERSIDE,MO (5.49)
201402 (50.48) 93 4649509862 CITY OF RIVERSIDE 4100 NW RIVERSIDE DR,DP04/KCMO,MO (2.52)
201402 (50.08) 93 3823352154 CITY OF RIVERSIDE 2025 VALLEY/RIVERSIDE,MO (2.50)
201402 (49.22)93 3261563486 CITY OF RIVERSIDE 4399 N NORTHWOOD RD/RIVERSIDE,MO (2.48)
201402 (48.02) 93 6621536166 CITY OF RIVERSIDE 4099 NW GATEWAY AVE/RIVERSIDE,MO (2.40)
201402 (43.55) 93 3147737222 CITY OF RIVERSIDE 2509 W PLATTE,TS/RIVERSIDE,MO (2.18)
201402 (36.53)93 3948622408 CITY OF RIVERSIDE 4509 GATEWAY,TS/RIVERSIDE,MO (1.83)
201402 (34.50)93 9499796859 CITY OF RIVERSIDE 4500 NW HIGH DR/KCMO,MO (1,73)
201402 (27.06) 93 1921098495 CITY OF RIVERSIDE 4702 NW HIGH DR/RIVERSIDE,MD (1.35)
201402 (26.72)93 9775399838 CITY OF RIVERSIDE 4700 HIGH DRIVE/RIVERSIDE,MO (1.34)
201402 (26.26)93 8712274759 CITY OF RIVERSIDE 4101 VAN DE POPLIER,SIREN/RIVERSIDE,MO (1.31)
201402 (21.89)93 5319480868 CITY OF RIVERSIDE 4100 NW RIVERSIDE DR,DP03/KCMO,MO (1.08)
201402 (16.45)93 512895780 CITY OF RIVERSIDE 2626 NW PLATTE RD/KCMO,MO (0.82)
201402 (16.45) 93 2093490946 CITY OF RIVERSIDE 3880 ARGOSY CASINO PARKWAYIRIVERSIDE,MO (0.82)
201402 (16.45) 93 2130198248 CITY OF RIVERSIDE 4026 ARGOSY CASINO PARKWAY/RIVERSIDE,MO (0.82)
201402 (16.45)93 2953729970 CITY OF RIVERSIDE 4102 NW RIVERSIDE DR/KCMO,MO (0.82)
201402 (16.45) 93 4649509862 CITY OF RIVERSIDE 4100 NW RIVERSIDE DR,DP041KCMO,MO (0.82)
201402 (16.45)93 9764733731 CITY OF RIVERSIDE 4423ANW NW INDIAN LNIRIVERSIDE,MO (0.82)
201402 (978.00)93 8555870016 RIVERSIDE COMM CTR 4498 NW HIGH DR/RIVERSIDE,MO (48,90)
201402 (742.73)93 8507743245 RIVERSIDE PUBLIC WORKS 4200 NW RIVERSIDE DR/RIVERSIDE.MO (37.14)
201402 (18.62)93 4884798490 RIVERSIDE PUBLIC WORKS 4200 NW RIVERSIDE DR,A/RIVERSIDE,MO (0.93)
201402 (446.53)93 3815538478 RIVERSIDE/OUINDARO BEND 4330 BELGIUM PARKWAYIRIVERSIDE,MO (22.33)
201402 (16.45) 93 9193572037 RIVERSIDE/OUINDARO BEND 2100'N OF 169 HWY&LEVEEIRIVERSIDE,MO - (0.82)
.. (28,046.33) (1,402.30)
201402 (108.73)93 3090666476 MO DOT 3500 NW VAN DE POPULAR,B/RIVERSIDE,MO (5.44)
201402 (71.61) 93 8321982826 MO DOT 4891 NW RIVER PARK DRIVE/RIVERSIDE,MO (3.68)
201402 (47.61) 93 2194209166 MO DOT 3500 NW VAN DE POPULIER,AIRIVERSIDE,MO (2.38)
201402 (612.75)93 9121099505 RIVERSIDE POST OFFICE 4900 NW GATEWAY AVE/RIVERSIDE,MO (30.84)
(840.70) (42.04)
201402 (1,218.41) 93 7556987111 E.H.YOUNG RIVERFRONT 1001 NW ARGOSY PKWY/RIVERSIDE,MO (60.92)
201402 (206.27)93 3020337566 KC ART INSTITUTE 1801 NW PLATTE RD,SUITE 1501RIVERSIDE,MO (10.31)
201402 (97.60)93 4985348134 KC ART INSTITUTE 1801 NW PLATTE RD,SUITE 140/RIVERSIDE,MO (4.88)
201402 (256.38)93 3357807757 KENDALLWOOD HOSPICE CO 2906 NW VIVION RD,DP02/KCMO,MO (12.82)
201402 (1,016.60)93 5868370102 MID CONTINENT PUBLIC 2700 NW VIVION RDIRIVERSIDE,MO (50.83)
201402 (116.50)93 6965610718 NAWS 3402 NW VIVION RD/KCMO,MO (5.83)
201402 (524.57)93 7022307186 SWOPE HEALTH SERVICES 4443 NW GATEWAY AVE,HRE/KCMO,MO (26.23)
201402 (16.45)93 8908972992 SWOPE HEALTH SERVICES 4443 NW GATEWAY AVE,HRW/KCMO,MO (0.82)
(3,452.78) (172.64)
201402 (123.22)93 1383130078 PARK HILL SCHOOL DIST 4500 NW RIVER PARK DRIRIVERSIDE,MO (6.16)
201402 (24,250.22)93 5560259299 PARK HILL SCHOOL DISTRICT 4500 NW RIVER PARK DR,DP01/RIVERSIDE,MO (1,212.51)
201402 (3,780.00)93 5560259299 PARK HILL SCHOOL DISTRICT 4500 NW RIVER PARK DR,DP0I/RIVERSIDE,MO (189.00)
201402 (2,027.10) 93 1174774895 PARK HILL SCHOOL DISTRICT 4500 RIVER PARK/RIVERSIDE,MO (101.36)
201402 (34.70)93 7504967358 PARK HILL SCHOOL DISTRICT 4500 NW RIVER PARK RD/RIVERSIDE,MO (1.74)
(30216.24) (1,510.77)
201402 (102.35) 93 8232923432 RIVERSIDE RAPT CHURCH 4800 NW HOMESTEAD RDIRIVERSIDE,MO (5.12)
201402 (21.69)93 8232923432 RIVERSIDE RAPT CHURCH 4800 NW HOMESTEAD RD/RIVERSIDE,MO (1.08)
201402 (142-05)93 6076884007 ST MATHEWS UNITED 5047 NW GATEWAY/PARKVILLE,MO (7,10)
201402 (36.25)93 6076884007 ST MATHEWS UNITED 5047 NW GATEWAY/PARKVILLE,MO (1.81)
(302.34) (15.11)
73.231.46 3,661.57
a
Paul A. Campo
Phone: 816.524.4646
Facsimile: 816.524.4645
pcampo@publiclawfirm.com
255 NW Blue Parkway, Suite 202
Lee's Summit, Missouri 64063
www.publiclawfirm.com
To: City of Riverside, Missouri
From: Paul A. Campo, City Attorney
Date: June 13, 2014
Re: City Code Section 630.010 (Utility Tax)
Background
In 1973, the City adopted an ordinance imposing a gross receipts tax on water, gas,
electric and telephone utilities. Ordinance No. 73-25, a copy of which is attached. The ordinance
contained a section exempting water, gas, and electric utility service provided to the United
States, State of Missouri or any agency or political subdivision thereof, educational institutions
not operating for profit, churches and charitable institutions, from the gross receipts tax. It
appears that over the years, as the City codified its ordinances, the exemption section did not
make it into the City Code. However, some or all of the utilities were still recognizing the
exemption.
Recently, Carol Baker of Kansas City Power and Light stated that its tax department
asked whether the City had a more current ordinance regarding the exemption, and if not,
whether the City would submit a letter confirming the exemption provision. We have determined
that it is more appropriate that the exemption section be made part of the City Code in the utility
tax section rather than simply sending a letter. Accordingly, the proposed ordinance adds the
exemption section to City Code section 630.010.
KCP&L has advised that the following cities include exemptions: Claycomo, Gladstone,
North Kansas City, Parkville, and Pleasant Valley. KCP&L submitted a listing of accounts (from
February of 2014) that its exempts from the utility tax, and a copy of that listing is attached. As
you can see, the largest accounts are the City's, City of Kansas City, and the Park Hill School
District. The total amount of tax that was exempted was $3,661.72, of which $3,473.82 was
attributable to local, state or federal government agencies.
Action by the Board of Aldermen
The following actions are available to the Board of Aldermen:
1. The Board of Aldermen can affirm the existing utility tax exemptions by adopting the
proposed ordinance, in which case the City's Finance Director will notify the relevant
utility companies.
2. The Board of Aldermen can reject the utility tax exemptions by refusing to adopt the
proposed ordinance. If this were to occur, Staff recommends that the Board adopt a
motion directing the preparation of a proposed ordinance repealing Section 3 of
Ordinance No. 73-25 to make clear that there is not to be any lingering authority with
respect to exemptions, and that proposed ordinance would be brought back before the
Board at a future meeting.
3. The Board of Aldermen can defer action on the proposed ordinance and request
further information.
Staff recommendation
City staff recommends Option #1.