CHAPTER 10
LICENSES

Article I. In General.

Repealed by Ord. No. 85-4, § 2.

Article II. License Tax Schedules.

Repealed by Ord. No. 85-4, § 2.

Article III. Parking and Business Improvement Area.

10.49 Establishment.

A parking and business improvement area is herewith established. (Ord. No. 71-23, § 7.)

10.50 Area defined.

"Area" as used herein means a parking and business improvement area established under the state parking and business improvement law of 1965 within the boundaries hereinafter set forth. (Ord. No. 71-23, § 1.)

10.51 Resolution and hearing.

As provided and required by section 36,000, et seq., California Streets and Highways Code, the city council adopted resolution 71-78 on April 20, 1971, titled "resolution of intention to establish parking and business improvement area."

As provided and required by section 36,000, et seq., California streets and highways code, a public hearing was scheduled for and held on May 4, 1971, at 7:30 p.m., in the city council chamber concerning the formation of such an area. (Ord. No. 71-23, § 2, 3.)

10.52 Boundaries.

The boundaries of such area shall include the middle of Kentucky Street, south to the middle of Delaware Street, west to the middle of Pennsylvania Avenue, and east to the middle of Union Avenue. (Ord. No. 71-23, § 4.)

10.53 Financial obligation of license holders.

Business license holders within the area established by this article shall be subject to the provisions of the additional tax provided herein. (Ord. No. 71-23, § 5.)

10.54 Rate of levy.

The additional levy to be charged businesses in such area shall be computed as one dollar and thirty five cents ($1.35) for each one dollar of the city business license tax for retail merchants licensed under section 10B.41, classification "A" only, and sixty six cents ($.66) for each one dollar of city business license tax for all other businesses licensed under Chapter 10.B. (Ord. No. 83-31, § 1; Ord. No. 85-4, § 3.)

10.55 Purpose of tax.

The proposed revenue is intended for the acquisition, construction or maintenance of parking facilities for the benefit of the area, decoration of any public place in the area, promotion of public events which are to take place on or in public places in the area, furnishing of music in any public place in the area, and the general promotion of retail trade activities in the area. (Ord. No. 71-23, § 8.)

Article IV. Taxes on Construction.

10.56 Purpose and authority.

The city council hereby declares that the license taxes required to be paid hereby are assessed pursuant to section 37101 of the state Government Code and the taxing power of the city and solely for the purpose of producing revenue. The continued development of dwelling units and commercial facilities in the city, with the consequent increase in the use of and need for public facilities of the city, has created an urgency in that there are insufficient funds available to meet the increased requirements for the following capital improvements, to wit: major streets, storm drains, bridges, and public buildings to serve the increasing population of the city and the increase in commercial establishments within the city. (Ord. No. 80-1, § 1; Ord. No. 86-37, § 2.)

10.57 Definitions.

For the purposes of this article, the following words and phrases shall have the meanings respectively ascribed to them by this section:

Commercial facility. Any structure, premises or facility which is not a single family residence, multiple dwelling structure, or is not a structure located in an industrial park, business park, or planned employment center where industrial type uses are the predominant land uses provided for under the general plan and applicable zoning ordinance, and whose cost of oversizing are not paid for by a credit received under this article or by taxes received under this article.

Cost of oversizing. An amount determined by the director of public works by subtracting the estimated cost of a street or storm drain improvement which is not an oversized improvement from the actual cost of the oversized improvement.

Family. One or more persons occupying a premises and living as a single, nonprofit housekeeping unit. A family shall be deemed to include necessary servants.

Multiple dwelling structure. Any structure, facility, or premises designed for occupation by more than one family, with each such family living independently of each other in a room or suit of rooms separated by a common wall or floor. Each such room or suite of rooms shall constitute a habitation unit. The term "multiple dwelling structure" excludes hotels, motels, boarding houses, rest homes, and similar facilities designed for temporary occupancy.

Oversized improvement. Any storm drain which exceeds thirty six inches in diameter or any one half of a street which exceeds the standard width as provided in chapter 25, article III.

Single family residence. Any detached structure designed for occupation by one family. The term "single family residence" includes mobile home spaces designed to be used for parking a mobile home on a temporary, semipermanent, or permanent basis. (Ord. No. 75-14, § 84-21, § 1; Ord. No. 86-37, § 1.)

10.58 Computation.

Every person constructing or causing to be constructed or to be altered through the services of any employee, agent or independent contractor or otherwise, any single family residence, multiple dwelling structure, or commercial facility in the city for which a building permit is issued shall pay a license tax computed as follows:

(a)    Single family residences: $1,120 for each single family residence.

(b)    Multiple dwelling structures: $800 for each habitation unit to be contained in such multiple dwelling structure.

(c)    Commercial facilities: For each square foot contained in a commercial facility:

(1)    $0.70 per square foot for the first 15,000 square feet, plus

(2)    $0.58 per square foot for the next 15,000 square feet, plus

(3)    $0.46 per square foot for the next 70,000 square feet, plus

(4)    $0.34 per square foot over the first 100,000 square feet.

(d)    For the purpose of subsection (c) of this section, the number of square feet contained in a facility is obtained by adding the number of square feet in the ground level of the facility to the number of square feet in each level of the facility above the ground.

(e)    For the alteration of dwelling structures, the license tax shall be computed only on the additional habitation units, if any, resulting from the alteration and for the alteration of commercial facilities, the license tax shall be computed only upon the additional square footage, if any, resulting from the alteration. (Ord. No. 75-14, § 1; Ord. No. 78-29, § 1.)

10.59 Credits.

(a)    Basis. Any oversized improvement required to be constructed pursuant to a subdivision agreement with the city under the Subdivision Map Act (Government Code Section 66410, et seq.), or pursuant to the conditions of a planned development district, conditional zoning, or pursuant to the conditions of a building permit granted for the construction of a commercial facility under Chapter 5 or pursuant to other conditions imposed by the city as a prerequisite to construction shall constitute the basis for credits against the taxes established in section 10.58.

(b)    Construction to which credits applicable. Credits pursuant to this section shall apply only to construction of residences, structures and facilities, upon land which was or is subject to an agreement or conditions, as specified in subsection (a) of this section, pursuant to which the oversized improvement was or is to be constructed.

(c)    Amount. The total credits based on any oversized improvement or improvements shall not exceed the cost of oversizing such improvement or improvements. The director of public works shall determine the amount of applicable credits in the following manner:

(1)    The cost of oversizing the improvement or improvements which are the basis for credits shall be apportioned on a square foot basis to all land which was subject to the agreement or conditions pursuant to which the oversized improvement or improvements were or are to be constructed; or

(2)    At the discretion of the director of public works, credits may be apportioned equally on a lot by lot basis for a residential subdivision development.

(3)    The amount per square foot determined pursuant to paragraph (1) of this subsection times the total number of square feet in a parcel of land upon which a residence, structure or facility is to be constructed, or the amount apportioned under subsection (2) shall be credited against the tax established in section 10.58 if a credit is applicable to construction on such land pursuant to subsection (b) of this section; provided, that such credit shall not exceed the amount of the tax or taxes upon construction on such land as established in section 10.58.

(4)    Where oversized improvements, required pursuant to subsection (a), are constructed by a person other than the applicant upon whom the original requirements were imposed, and where such person owns less than all lands originally subject to the agreement or conditions pursuant to which oversized improvements were to be constructed, the director of public works shall, not withstanding subsection (c)(3), allow credits to the land owned by the person constructing the improvements which may exceed the amount of the tax established in section 10.58, when and if each of the following conditions are met:

A.    The total credits do not exceed the total license taxes collected from the lands subject to the original agreement or condition.

B.    License tax funds are available in the license tax fund to reimburse the cost of the oversizing.

C.    The reimbursed funds do not exceed the cost of oversizing such improvements.

D.    No further oversized improvements remain to be constructed pursuant to subsection (a) on the lands originally subject to the agreement or conditions.

(d)    Division of parcels of land. In the event a parcel of land is divided into two or more separate parcels of land after a credit against tax pursuant to subsection (c) of this section, the credit or credits with respect to any of the separate parcels upon which a residence, structure or facility is subsequently constructed shall be reduced proportionately by the amount, if any, by which the credit against tax which was given prior to such division into separate parcels exceeded the credit against tax which would have been given if such division into separate parcels had occurred prior to construction upon the original parcel of land so divided.

(e)    Oversized improvements constructed and financed by special assessments. Credits pursuant to this section shall be applicable with respect to oversized improvements constructed and financed by proceedings pursuant to the Municipal Improvement Act of 1913 and the Improvement Bond Act of 1915. (Ord. No. 84-7, § 1.)

(f)    Section 10.59(f) is hereby added to read as follows:

In the event oversized improvements, required pursuant to subsection (a) are constructed by a person other than the person described in section 10.58 (“builder”), the director of public works shall cause the builder to be reimbursed in the amount of the credit otherwise provided by this section. (Ord. No. 89-01, § 1; Ord. No. 2008-02, § 2.)

10.60 Annual increases or decreases.

Unless the city council takes appropriate action to provide otherwise, on April 1 of each year, the license tax amounts specified in section 10.58 shall automatically increase or decrease from the amounts then applicable by the same percentage as the percentage of increase or decrease in construction costs between December 1 of each of the two immediately preceding years, for which purpose construction costs and the increase or decrease therein shall be based on the Engineering News Record Construction Cost Index for the San Francisco area. (Ord. No. 95-30, § 2.)

10.61 Time and place of payment.

The license tax established pursuant to section 10.58 shall be due and payable at the office of the building inspector, City Hall, Fairfield, California, prior to time of building permit issuance as provided in section 302 of the uniform building code as adopted by the City of Fairfield in section 5.1 of this code. (Ord. No. 75-14, § 1; Ord. No. 80-35, § 1.)

10.62 Use of proceeds.

All of the sums collected pursuant to this article shall be deposited in the capital outlay fund and shall be used solely for expenditures as needed for the following capital improvements: major streets, storm drains, bridges and public buildings. (Ord. No. 75-14, § 1; Ord. No. 80-1, § 2.)

10.63 Applicability of other provisions.

None of the provisions of Article III of this chapter, or Article I or II of Chapter 10.B, shall be applicable to this article, excepting the provisions of sections 10B.16, 10B.17, 10B.22 and 10B.31. As applied to this article, the word "collector" in sections 10B.16, 10B.17, and 10B.31 shall be deemed to mean "Director of Public Works." The word "chapter" in section 10B.17 shall be deemed to mean "Article IV," and the words "or section 10B.14" in 10B.31 shall be deemed to mean "or Article IV of this Chapter." (Ord. No. 75-14, § 1; Ord. No. 85-4, § 4.)

10.64 Exemptions.

Any charitable, religious, educational or governmental association or entity is exempted from payment of the license taxes established in this article as to any residence or structure used solely for conducting its charitable, religious, educational, or governmental activities. (Ord. No. 75-14, § 1.)

10.65 No refunds.

In the event that the building for which a tax has been paid is not under construction within 180 days of issuance of the building permit, or in the event construction tax stops for 180 days, the tax paid shall lapse and the full amount of tax in effect at the commencement or recommencement of construction shall be required. The city shall not refund the lapsed tax, but shall grant a credit on such tax in the amount of the previously paid tax. (Ord. No. 83-28, § 2.)