CHAPTER 4
FINANCE

SECTION:

Article 1. General

2-4-101:    Monies Collected to be Deposited in Treasury

2-4-102:    Counting Money in Treasury

2-4-103:    Bonded Indebtedness

2-4-104:    Disposition of Monies from Sale of Bonds

2-4-105:    Financial Reports

2-4-106:    Audit of Accounts

2-4-107:    Fee for Withdrawal of Land from Title Act

2-4-108:    Responsibility for Collecting Debts; Authority to Sue in Small Claims Court

2-4-109:    Authority to Cancel Liens

2-4-110:    Accepting Monetary Donations Less Than Five Thousand Dollars

Article 2. Assessment, Equalization, Levy and Collection of Taxes

2-4-201:    Transfer of Assessment and Tax Collection Duties

2-4-202:    Filing this Article with the County Auditor

2-4-203:    Preparation of Budget by City Manager

2-4-204:    Filing Description of Boundaries

2-4-205:    Fixing Amount to be Raised by Taxation and Rate

2-4-206:    Dollar Limit of Tax Rate

2-4-207:    Failure to Fix Tax Rate; Effect

2-4-208:    Authority to Levy Tax for Public Celebrations

Article 3. Sales Tax

2-4-301:    Short Title

2-4-302:    Adoption of State Sales Tax Provisions

2-4-303:    Rules and Regulations

2-4-304:    Local Regulations to Prevail

2-4-305:    Enforcement

2-4-306:    Necessity for Sales Permit; Application; Fee

2-4-307:    Issuance and Display of Permit

2-4-308:    Transferability of Permit

2-4-309:    Fee for Replacing Lost or Destroyed Permit

2-4-310:    Revocation of Permit

2-4-311:    Renewal of Permit

2-4-312:    Imposition and Rate of Tax

2-4-313:    Seller to Collect From Consumer

2-4-314:    Exempted Sales

2-4-315:    Resales

2-4-316:    Seller Cannot Advertise No Payment or Refund of Tax

2-4-317:    Tax Levied in Same Manner as State Tax

2-4-318:    Tax Payable to City Collector; Due Date

2-4-319:    Schedules for Payment of Tax

2-4-320:    Delinquency and Penalties for Nonpayment of Tax

2-4-321:    Penalties for Fraud; Misdemeanor

2-4-322:    Suit for Collection of Tax

2-4-323:    Offsets

2-4-324:    Refunds; Necessity for Filing Claim; Waiver

2-4-325:    Suit Against City for Refund

2-4-326:    Disposition of Proceeds

2-4-327:    Divulging Information Forbidden; Exceptions

Article 4. Use Tax

2-4-401:    Definition

2-4-402:    Short Title

2-4-403:    Imposition and Rate of Tax

2-4-404:    Use Tax Levied In Same Manner as State Tax

2-4-405:    Adoption of State Use Tax Law by Reference; Exceptions

2-4-406:    Rules and Regulations

2-4-407:    Interpretation

2-4-408:    Duty to Collect Tax

2-4-409:    Persons Liable to Tax

2-4-410:    Collection of Tax by Retailer

2-4-411:    Separate Display of Tax From List or Other Price

2-4-412:    Personal Property to Which Tax Applies

2-4-413:    Exemptions

2-4-414:    Registration of Retailers

2-4-415:    Due Date of Taxes

2-4-416:    Returns

2-4-417:    Credit for Franchise Tax Payments

2-4-418:    Schedules for Payment of Tax

2-4-419:    Suit for Tax

2-4-420:    Resale Certificate

2-4-421:    Disposition of Proceeds

2-4-422:    Divulging of Information Forbidden

2-4-423:    False and Fraudulent Returns

2-4-424:    Failure to Make Return or Furnish Data

2-4-425:    Penalty for Fraud

2-4-426:    Delinquency and Penalties for Nonpayment of Tax

2-4-427:    Offsets

2-4-428:    Refunds; Necessity for Filing Claim; Waiver

2-4-429:    Suit Against City for Refund

2-4-430:    Enforcement

Article 5. Uniform Local Sales and Use Tax

2-4-501:    Short Title

2-4-502:    Operative Date

2-4-503:    Purpose

2-4-504:    Contract with State

2-4-505:    Sales Tax

2-4-506:    Place of Sale

2-4-507:    Use Tax

2-4-508:    Adoption of Provisions of State Law

2-4-509:    Limitations on Adoption of State Law

2-4-510:    Permit Not Required

2-4-511:    Exclusions and Exemptions; Higher Assessment Ratio

2-4-512:    Exclusions and Exemptions

2-4-513:    Application of Provisions Relating to Exclusions and Exemptions

2-4-514:    Amendments

2-4-515:    Existing City Sales and Use Tax Ordinances Suspended

2-4-516:    Disposition of Proceeds

2-4-517:    Enjoining Collection Forbidden

2-4-518:    Violation a Misdemeanor

Article 6. Transient Occupancy Tax

2-4-601:    Title

2-4-602:    Definitions

2-4-603:    Tax Imposed

2-4-604:    Exemptions

2-4-605:    Operator’s Duties

2-4-606:    Registration

2-4-607:    Registration Certificates

2-4-608:    Reporting and Remitting

2-4-609:    Security Deposit

2-4-610:    Transfer of Business

2-4-611:    Penalties and Interest

2-4-612:    Failure to Collect and Report Tax; Determination of Tax

2-4-613:    Records

2-4-614:    Refunds

2-4-615:    Actions to Collect

2-4-616:    Failure to Register or File Reports, Etc.

2-4-617:    Effective Date

Article 7. Cigarette Tax

2-4-701:    Title

2-4-702:    Definitions

2-4-703:    Tax Imposed

2-4-704:    Tax Paid to Retailer

2-4-705:    Retailer Remits Quarterly

2-4-706:    Registration

2-4-707:    Penalties and Interest

2-4-708:    Failure to Collect and Report Tax; Determination of Tax

2-4-709:    Records

2-4-710:    Refunds

2-4-711:    Actions to Collect

2-4-712:    Failure to Register or File Reports, Etc.

2-4-713:    Effective Date

2-4-714:    Suspension of Tax

Article 8. Business Tax

2-4-801:    Revenue Measure

2-4-802:    Imposition of Business Taxes

2-4-803:    Vending and Other Coin Operated Machines

2-4-804:    Contractors

2-4-805:    Laundry Services

2-4-806:    Residential Rental Business

2-4-807:    Commercial Rental Business

2-4-808:    Exemptions from Business Taxes

2-4-809:    Business Taxes in Addition to Other Fees and Taxes

2-4-810:    Registration Required

2-4-811:    Business Tax Registration Certificate

2-4-812:    License Inspectors

2-4-813:    Payment of Business Taxes

2-4-814:    Delinquency Dates

2-4-815:    Penalties

2-4-816:    Credits and Refunds

2-4-817:    Business Tax as Debt

2-4-818:    Rules and Regulations

2-4-819:    Employment Records

2-4-820:    Business Tax Penalty Amnesty Program.

Article 9. Parking and Business Improvement Areas

Division 1. Parking and Business Improvement Area Law

2-4-901:    Purpose of Division

2-4-902:    General Business License Tax

2-4-903:    References to Additional Tax

2-4-904:    Termination of Proceedings on Majority Protest

Article 10. Documentary Stamp Tax

2-4-1001:    Title and Authority

2-4-1002:    Tax Imposed

2-4-1003:    Payment

2-4-1004:    Governmental Exemptions

2-4-1005:    Mortgages Excluded

2-4-1006:    Reorganization Plans Excluded

2-4-1007:    Securities and Exchange Commission Orders Excluded

2-4-1008:    Partnership Transfers Excluded

2-4-1009:    Administration

2-4-1010:    Refunds

2-4-1011:    Operative Date

Article 11. Utility Users Tax

2-4-1101:    Definitions

2-4-1102:    Telecommunications Service Users’ Tax

2-4-1103:    Electricity Users’ Tax

2-4-1104:    Gas Users’ Tax

2-4-1105:    Collection of Tax from Service Users Receiving Direct Purchase of Gas or Electricity

2-4-1106:    Substantial Nexus/Bundling

2-4-1107:    Constitutional and Statutory Exemptions

2-4-1108:    Senior Citizen Exemption

2-4-1109:    Disability Exemption

2-4-1110:    Automatic Adjustment of Income Levels

2-4-1111:    Duty to Collect; Procedures

2-4-1112:    Filing Return and Payment

2-4-1113:    Collection Penalties; Service Suppliers or Self-Collectors

2-4-1114:    Deficiency Determination and Assessment; Tax Application Errors

2-4-1115:    Administrative Remedy; Nonpaying Service Users

2-4-1116:    Actions to Collect

2-4-1117:    Additional Power and Duties of the Tax Administrator

2-4-1118:    Records

2-4-1119:    Refunds

2-4-1120:    Appeals

2-4-1121:    No Injunction/Writ of Mandate

2-4-1122:    Remedies Cumulative

2-4-1123:    Notice of Changes to this Article

2-4-1124:    Severability

2-4-1125:    Penalties

2-4-1126:    Future Amendment or Recodification of Cited Statute or Regulation

Article 12. Revenue Bonds

2-4-1201:    Power

2-4-1202:    Procedure

2-4-1203:    When Notes May Issue

Article 13. Short Term Borrowing

2-4-1301:    Promissory Notes, Etc.

2-4-1302:    Subordination and Repayment

Article 14. Library Fines, Fees and Deposits

2-4-1401:    Schedule of Fines, Fees and Deposits

2-4-1402:    Posting of Schedule

2-4-1403:    Charges Constitute a Debt

Article 15. City Of Burbank Health Facility Revenue Bond Ordinance

Division 1. General Provisions and Definitions

2-4-1501:    Short Title

2-4-1502:    Declaration of Necessity

2-4-1503:    Definitions

Division 2. Financing Health Facilities

2-4-1504:    Loan for Health Facility

2-4-1505:    Loan to Refund or Refinance Health Facility

2-4-1506:    Sale or Lease of Health Facility by City

2-4-1507:    Recovery of Costs and Expenses by City

2-4-1508:    Insurance or Guarantee of Payment

2-4-1509:    Fixing Rents, Fees, Rates, Etc.

2-4-1510:    Deeds of Trust or Mortgages as Security

2-4-1511:    Employment of Experts and Consultants

2-4-1512:    Do All Things Necessary and Convenient

Division 3. Bonds

2-4-1513:    Issue Limited Obligation Bonds

2-4-1514:    Amount of Bonds

2-4-1515:    Type, Form and Sale of Bonds

2-4-1516:    Terms and Conditions of Bonds

2-4-1517:    Pledge of Revenues

2-4-1518:    Liability of Council and Officers

2-4-1519:    Purchase of Bonds by City

2-4-1520:    Compelling Performance

2-4-1521:    Refunding Bonds; Use of Proceeds

2-4-1522:    Independent Validity of Bonds

Division 4. Supplemental Provisions

2-4-1523:    Liberal Construction

2-4-1524:    Effect of Omission or Defect

2-4-1525:    Authority

2-4-1526:    Provisions of this Article are Complete, Alternative

2-4-1527:    Inconsistencies with Other Statutes

2-4-1528:    Partial Invalidity

Article 16. Industrial Development Authority

2-4-1601:    Title

2-4-1602:    Purpose

2-4-1603:    Findings

2-4-1604:    Organization

2-4-1605:    Board of Directors

Article 17. Public Facilities Financing Authority

2-4-1701:    Title

2-4-1702:    Declaration of Public Uses and Purposes

2-4-1703:    Municipal Affair

2-4-1704:    Effect of Ordinance Upon Other Law

2-4-1705:    Definitions

2-4-1706:    Establishment

2-4-1707:    Meetings; Vote Necessary to Act

2-4-1708:    Governing Body of Authority; Bylaws

2-4-1709:    Financial Statements

2-4-1710:    Order for Dissolution

2-4-1711:    Corporate Powers

2-4-1712:    Acquisition and Disposal of Property; Facilities; Insurance

2-4-1713:    Maintenance and Management

2-4-1714:    Construction, Acquisition, Maintenance and Improvement of Public Facilities and Improvements

2-4-1715:    Receipt and Expenditure of Funds

2-4-1716:    Investments

2-4-1717:    Borrowing

2-4-1718:    Exercise of Powers

2-4-1719:    Necessary or Convenient Acts

2-4-1720:    Use of Services and Facilities of City

2-4-1721:    Power to Borrow and Issue Bonds; Nature of Bonds

2-4-1722:    Bond Recitals

2-4-1723:    Types of Bonds; Sources of Payment

2-4-1724:    Terms and Conditions

2-4-1725:    Contract with Bond Owners

2-4-1726:    Covenants and Agreements

2-4-1727:    Provisions for Security and Marketability

2-4-1728:    Issuance and Sale of Bonds

2-4-1729:    Validating Proceedings

2-4-1730:    Liberal Construction

2-4-1731:    Partial Invalidity

Article 18. Recreational Facilities and Landscaping District Procedures

2-4-1801:    Purpose and Intent

2-4-1802:    Compliance with Article

2-4-1803:    Necessary or Convenient Procedure Authorized

2-4-1804:    Nonexclusiveness of Remedies

2-4-1805:    Abandonment of Proceedings

2-4-1806:    Effect Upon Other Law

2-4-1807:    Applicability

2-4-1808:    Construction

2-4-1809:    Incorporation of the Landscaping and Lighting Act of 1972

2-4-1810:    Alteration of District

2-4-1811:    Landscaping and Lighting Act Definitions

2-4-1812:    Installment and Collection of Improvements

2-4-1813:    Manner of Collection of Assessments

2-4-1814:    Limitation of Actions

2-4-1815:    Changes in Formula

Article 19. Transient Parking Tax

2-4-1901:    Title and Purpose

2-4-1902:    Definitions

2-4-1903:    Tax Imposed

2-4-1904:    Transient Occupant to Pay Tax to the Operator

2-4-1905:    Operator’s Duties

2-4-1906:    Exemptions

2-4-1907:    Registration

2-4-1908:    Registration Certificates

2-4-1909:    Reporting and Remitting

2-4-1910:    Security Deposit

2-4-1911:    Transfer of Business

2-4-1912:    Penalties and Interest

2-4-1913:    Failure to Collect, Remit and/or Report Tax; Determination of Tax

2-4-1914:    Records

2-4-1915:    Refunds

2-4-1916:    Actions to Collect

2-4-1917:    Failure to Register or File Reports, Etc.

Article 20. Special Tax Financing Improvement Code

Division 1. General Provisions

2-4-2001:    Short Title

2-4-2002:    Applicability

2-4-2003:    Conflicting Provisions; Severability

2-4-2004:    Actions or Determinations; Proceedings

2-4-2005:    Establishment of a Community Facilities District; Financing Powers

2-4-2006:    Other Financing Powers of a Community Facilities District

2-4-2007:    Transfer of Funds; Use of Money; Interest

2-4-2008:    Advances of Funds or Work In-Kind

2-4-2009:    Liberal Construction of Article

2-4-2010:    Failure to Receive Notice, Resolution, Order, Etc.

2-4-2011:    Application; Municipal Officials; Powers and Duties

2-4-2012:    Extension of Community Facilities District Boundaries

2-4-2013:    Joint Community Facilities Agreement or Joint Exercise of Powers Agreement

2-4-2014:    Definitions

2-4-2015:    Special Tax; Property Acquired by Public Entity through Negotiated Transaction or by Gift or Devise; Voluntary Application of Special Tax

2-4-2016:    Special Tax; Special Assessment on Property Acquired by Public Entity through Eminent Domain

2-4-2017:    Lease or Possessory Interest by Exempt Person or Entity to Nonexempt Person or Entity; Lease Provisions; Collection

Division 2. Proceedings to Create a Community Facilities District

2-4-2018:    Institution of Proceedings; Request; Petition; Fee

2-4-2019:    Petition; Contents; Findings as to Requisite Number of Signers

2-4-2020:    Resolution of Intention to Establish District; Time for Adoption

2-4-2021:    Resolution of Intention to Establish District; Contents

2-4-2022:    Reports and Contents; Part of Hearing Record

2-4-2023:    Required Notice of Hearing

2-4-2024:    Optional Notice of Hearing

2-4-2025:    Protests; Interested Persons or Taxpayer

2-4-2026:    Written Protest

2-4-2027:    Hearing Decisions

2-4-2028:    Resolution of Formation

2-4-2029:    Special Tax; Basis for Apportionment

2-4-2030:    Noncontiguous Areas; Alteration of Boundaries

2-4-2031:    Boundaries of District; Inclusion of Lands Devoted to Agricultural, Timber or Livestock Uses

2-4-2032:    Establishment or Changing Appropriations Limit; Election

2-4-2033:    Special Tax Levy; Election; Voter Qualifications; Ballots

2-4-2034:    Elections; Law Governing

2-4-2035:    Ballot Materials

2-4-2036:    Special Tax Levy; Effect of Voter Approval or Disapproval

2-4-2037:    Application of Streets and Highway Code of California with Respect to Special Taxes; Filings

2-4-2038:    Special Tax; Levy and Apportionment

Division 3. Changes in Authorized Facilities, Services and Special Taxes

2-4-2039:    Types of Facilities and Services Provided

2-4-2040:    Resolution of Consideration; Change in Facilities, Services and Taxes

2-4-2041:    Resolution of Consideration; Content

2-4-2042:    Notice of Hearing

2-4-2043:    Protests; Elimination from Resolution; Continuation, Hearing

2-4-2044:    Dissolution of Districts

Division 4. Annexation of Territory

2-4-2045:    Authorization

2-4-2046:    Adoption of Resolution of Intention

2-4-2047:    Resolution of Intention; Contents

2-4-2048:    Notice of Hearing

2-4-2049:    Protests

2-4-2050:    Abandonment of Proposal; Required Number of Written Protests

2-4-2051:    Continuance and Duration of Hearing

2-4-2052:    Addition of Territory with Full Legal Effect; Special Tax Levy

2-4-2053:    Failure to Receive Approval; Prohibition of Further Action

Division 5. Procedures for Levying

2-4-2054:    General Procedures

2-4-2055:    Designation of Office for Special Tax Computation

2-4-2056:    Special Tax Levy Amendments

2-4-2057:    Disclosure of the Special Tax

2-4-2058:    Manner of Fixing and Collecting Charges

2-4-2059:    Use of Charges for Authorized Facilities and Services

2-4-2060:    Notice of Cancellation of Special Tax

Division 6. Bonds

2-4-2061:    Resolution to Incur Bonded Indebtedness

2-4-2062:    Inclusion of Certain Costs and Estimated Costs in Proposed Bonded Indebtedness

2-4-2063:    Notice of Hearing on Resolution

2-4-2064:    Hearing

2-4-2065:    Improvement Area

2-4-2066:    Resolution; Bonded Indebtedness

2-4-2067:    Resolution to Incur Bonded Indebtedness; Notice of Election; Publication

2-4-2068:    Elections Pursuant to This Article; Laws and Rules Applicable

2-4-2069:    Resolution Relating to Form, Execution and Issuance of Bonds

2-4-2070:    Signatures on Bonds or Coupons; Place Bonds are Payable

2-4-2071:    Sale of Bonds

2-4-2072:    Force, Value and Use of Bonds; Exemption from State Taxation

2-4-2073:    Action to Foreclose Liens

2-4-2074:    Credits for Delinquent Taxes

2-4-2075:    Delinquent Taxes, Procedures

2-4-2076:    Foreclosures

2-4-2077:    Judgments

2-4-2078:    Errors

2-4-2079:    Special Tax or Charge for Outstanding Bonded Debt

2-4-2080:    Action to Determine Validity of Bonds or Special Tax Levy

2-4-2081:    Refunding Bonds; Resolution

2-4-2082:    Refunding Bonds; Resolution for Issuance

2-4-2083:    Sale of Refunding Bonds

2-4-2084:    Amount of Proceeds and Investments in Funding Fund

2-4-2085:    Refunding Bonds; Use of Savings; Reduction of Tax Levy

2-4-2086:    Callable Bonds

Article 21. Burbank Infrastructure and Community Services Protection Transactions and Use Tax

2-4-2101:    Title

2-4-2102:    Operative Date

2-4-2103:    Purpose

2-4-2104:    Contract with State

2-4-2105:    Transactions Tax Rate

2-4-2106:    Place of Sale

2-4-2107:    Use Tax Rate

2-4-2108:    Adoption of Provisions of State Law

2-4-2109:    Limitations on Adoption of State Law and Collection of Use Taxes

2-4-2110:    Permit Not Required

2-4-2111:    Exemptions and Exclusions

2-4-2112:    Amendments

2-4-2113:    Enjoining Collection Forbidden

2-4-2114:    Oversight

2-4-2115:    Severability

2-4-2116:    Effective Date

ARTICLE 1. GENERAL1

2-4-101: MONIES COLLECTED TO BE DEPOSITED IN TREASURY:

See Charter Section 1015. [Formerly numbered Section 14-1; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-102: COUNTING MONEY IN TREASURY:

[Formerly numbered Section 14-2; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-103: BONDED INDEBTEDNESS2:

See Charter Section 1010. [Formerly numbered Section 14-3; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-104: DISPOSITION OF MONIES FROM SALE OF BONDS:

See Charter Section 1025. [Formerly numbered Section 14-4; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-105: FINANCIAL REPORTS:

See Charter Sections 1030, 1040. [Formerly numbered Section 14-5; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-106: AUDIT OF ACCOUNTS:

See Charter Section 1035. [Formerly numbered Section 14-6; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-107: FEE FOR WITHDRAWAL OF LAND FROM TITLE ACT:

Any person who requests the City to join in signing an application for the withdrawal of land from the operation of the Land Title Law (Torrens Act), 8589 of Deerings General Laws (Uncodified), shall pay to the City the sum of twenty five dollars ($25.00) to cover the cost of processing such request. [Formerly numbered Section 14-7; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-108: RESPONSIBILITY FOR COLLECTING DEBTS; AUTHORITY TO SUE IN SMALL CLAIMS COURT:

The officer, employee or department charged with responsibility for collecting or receiving any fee imposed by this code or any account or claim for damages due and owing to the City, shall enforce payment thereof by civil suit, or otherwise, as may be necessary. All other monies due and owing to the City, whether secured or unsecured, shall be collected by the City Treasurer. For claims within the jurisdictional limit of the Small Claims Court, authority is granted to the officer, employee or department head responsible for the collection thereof, to file an action therefor in Small Claims Court for and on behalf of the City after approval by the City Attorney. [Formerly numbered Section 14-8; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-109: AUTHORITY TO CANCEL LIENS:

When requested by the County Tax Collector or Auditor of the County of Los Angeles, or the City Treasurer, the City Attorney is authorized to cancel unpaid liens and assessments upon real property, the fee title to which is vested in the United States of America, State or any political subdivision or agency thereof, or a municipality. [Formerly numbered Section 14-9; Amended by Ord. No. 3058, eff. 2/21/87.]

2-4-110: ACCEPTING MONETARY DONATIONS LESS THAN FIVE THOUSAND DOLLARS:

For monetary donations less than five thousand dollars ($5,000.00), the receiving City department shall have the administrative authority to accept and appropriate such donation as to be used for the donor’s intended purpose. No formal acceptance by the City Council is necessary. [Added by Ord. No. 3650, eff. 11/6/04.]

ARTICLE 2. ASSESSMENT, EQUALIZATION, LEVY AND COLLECTION OF TAXES3

2-4-201: TRANSFER OF ASSESSMENT AND TAX COLLECTION DUTIES4,5:

The assessment duties of the City Clerk as ex officio assessor and the tax collection duties of the City Treasurer as ex officio tax collector are hereby transferred to the County Assessor and County Tax Collector, respectively, of the County, and hereafter, all property in the City shall be assessed, and all taxes thereon shall be collected, in accordance with the provisions of Title 5, Division 1, Part 2, Chapter 2, Article 1, of the Government Code of the State, which provisions are hereby adopted by reference and incorporated herein as if set forth herein in full. The City Attorney, and the County Counsel when requested by the City Attorney, jointly and severally, are authorized to represent the City in any action or proceeding respecting taxes to which the City is a party. [Formerly numbered Section 14-10; Amended by Ord. No. 3058, eff. 2/21/87.]

2-4-202: FILING THIS ARTICLE WITH THE COUNTY AUDITOR:

The City Clerk shall file a certified copy of this article with the County Auditor on or before the first Monday of the February following its adoption. [Formerly numbered Section 14-11; Amended by Ord. No. 3058, eff. 2/21/87.]

2-4-203: PREPARATION OF BUDGET BY CITY MANAGER:

See Charter Section 1005. [Formerly numbered Section 14-12; Amended by Ord. No. 3058, eff. 2/21/87.]

2-4-204: FILING DESCRIPTION OF BOUNDARIES:

On or before the first Monday of July each year, the Council shall cause to be filed with the County Auditor a description of the exterior boundaries of each district or portion of the City in which a rate of taxation is to be levied which is different from the rate to be levied in any other district or portion of the City. [Formerly numbered Section 14-13; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-205: FIXING AMOUNT TO BE RAISED BY TAXATION AND RATE6,7:

Annually, after preparing the budget and after receiving from the County Auditor a written statement showing separately the total value of all property within the City and total value of all property in each district or portion of the City in which a different rate of taxation is to be levied, the Council shall fix by ordinance the amount of revenue from property taxes necessary to support its departments for the current year and to pay the bonded or other indebtedness of the City, or any portion of district thereof, and shall, at the same time, or thereafter, but not later than the last Tuesday in August, fix by ordinance the rate of taxes or rates of taxes, if different portions or different districts require different rates, designated in the number of cents per each one hundred dollars ($100.00), using as a basis the value of the property as assessed and equalized by the County. The rates shall be sufficient to raise the amount fixed by ordinance and the expense of collection. The Council shall immediately transmit to the County Auditor the statement of the rates fixed. [Formerly numbered Section 14-14; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-206: DOLLAR LIMIT OF TAX RATE:

[Formerly numbered Section 14-15; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-207: FAILURE TO FIX TAX RATE; EFFECT:

[Formerly numbered Section 14-16; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-208: AUTHORITY TO LEVY TAX FOR PUBLIC CELEBRATIONS:

[Formerly numbered Section 14-17; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 3. SALES TAX

2-4-301: SHORT TITLE:

This article shall be known as the SALES TAX ORDINANCE. [Formerly numbered Section 14-18; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-302: ADOPTION OF STATE SALES TAX PROVISIONS:

All of the provisions of Part 1, Division 2, of the Revenue and Taxation Code of the State known as the “Sales and Use Tax Law”, as amended and in force and effect on September 9, 1953, except the provisions thereof pertaining solely to the Use Tax and Sections 6008, 6009, 6009.1, 6051, 6052, 6053, 6066 to 6071, inclusive, 6451, 6482 to 6485, inclusive, 6591, 6907, 6908, 6981, 7052, 7056, 7057, 7101, 7102 and 7151 to 7513, inclusive, are hereby adopted by reference and incorporated in this article as hereinafter altered as though set forth herein in full, and all provisions of any other ordinance in conflict therewith are inapplicable to this article and the tax hereby imposed; provided, however, that:

A.    The City shall be substituted for the State whenever the State is referred to in said law;

B.    The County shall be substituted for the County of Sacramento whenever the latter county is referred to in said law;

C.    The Mayor shall be substituted for the Governor whenever the Governor is referred to in said law;

D.    The City Attorney shall be substituted for the Attorney General whenever the Attorney General is referred to in said law;

E.    The Finance Officer shall be substituted for the State Controller and State Board of Control whenever referred to in said laws;

F.    The Council shall be substituted for the State Board of Equalization insofar as said Board is empowered by said law to adopt rules and regulations pertaining to the interpretation, administration and enforcement of said law;

G.    The City Manager shall be substituted for the State Board of Equalization in the application of Section 6459 of said law to Section 2-4-317 of this article.

H.    The City Tax Collector shall be substituted for the State Board of Equalization in said law in all instances not otherwise provided for in this article.

I.    The term “gross receipts” as used therein shall not include the amount of any tax imposed by the State, whether imposed upon the retailer or upon the consumer; and

J.    The words and figures “Section 6591” shall be deleted from Section 6537 of said law, and the following words and figures substituted in place thereof: Section 2-4-308 and, if applicable, Section 2-4-318 of this code. [Formerly numbered Section 14-19; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-303: RULES AND REGULATIONS:

A.    State Rules and Regulations: The rules and regulations of the State Board of Equalization, as amended and in force and effect on January 1, 1948, pertaining to the interpretation, administration and enforcement of the State “Sales and Use Tax Law”, insofar as applicable, shall apply in the interpretation of this article until specifically repealed or abandoned by said Board, or superseded by the rules and regulations of the Council.

B.    Rules and Regulations of the Council: The Council may adopt, by resolution, such reasonable rules and regulations for the purpose of administering and enforcing this article as the City Manager shall prescribe and recommend. Such rules and regulations may, among other things, require each person affected by this article to keep such records, receipts, invoices and other pertinent papers as may be deemed necessary for the purpose of administering and enforcing this article. [Formerly numbered Section 14-20; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-304: LOCAL REGULATIONS TO PREVAIL:

The provisions of this article and the rules and regulations adopted by the Council shall prevail over the State “Sales and Use Tax Law” and the rules and regulations of the State Board of Equalization in case of conflict. [Formerly numbered Section 14-21; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-305: ENFORCEMENT:

The City Manager shall enforce the provisions of this article. [Formerly numbered Section 14-22; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-306: NECESSITY FOR SALES PERMIT; APPLICATION; FEE:

A.    Selling Prohibited Without Permit: No person shall engage in business as a seller in the City without a permit or permits so to do as in this article provided. Each officer of a corporation which violates this section shall also be guilty of a misdemeanor.

B.    One Permit Per Business Location: A separate permit shall be obtained for each place of business.

C.    Contents of Application: Applications for a permit or permits hereunder shall be filed with the City Tax Collector. Every application shall be made upon a form prescribed by the City and shall set forth the name under which the applicant transacts or intends to transact business, the location of their place or places of business from which taxable sales will be made, and such other information as the City may require. The application shall be signed by the owner, if a natural person; by a member or partner, in the case of an association or partnership; or in the case of a corporation, by an executive officer or some person specifically authorized by the corporation to sign the application, to which shall be attached the written evidence of their authority.

D.    Fee: Every application shall be accompanied by a fee of one dollar ($1.00) for each permit. [Formerly numbered Section 14-23; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-307: ISSUANCE AND DISPLAY OF PERMIT:

A.    Issuance: After compliance with the preceding section, the City Tax Collector shall issue to each applicant a separate permit for each place of business from which taxable sales will be made; provided, however, that no permit shall be knowingly issued to any person who, at the time of making application, is indebted to the City for any unpaid taxes required to be paid under this article.

B.    Display: The permit shall at all times be conspicuously displayed at the place for which issued. [Formerly numbered Section 14-24; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-308: TRANSFERABILITY OF PERMIT:

A permit is not assignable and is valid only for the person in whose name it is issued and for the transaction of business at the place designated therein; provided, however, a change of location may be endorsed upon the permit by the City Tax Collector upon the payment of a fee of one dollar ($1.00). [Formerly numbered Section 14-25; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-309: FEE FOR REPLACING LOST OR DESTROYED PERMIT:

The City Tax Collector shall collect a fee of one dollar ($1.00) for replacing any lost or destroyed permit. [Formerly numbered Section 14-26; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-310: REVOCATION OF PERMIT:

Whenever any person fails to comply with any provision of this article, or any rule or regulation adopted pursuant to the provisions thereof, the City Manager may revoke or suspend any one or more of the permits held by such person, after giving them a hearing on ten (10) days’ notice specifying the time and place of hearing and requiring them to show cause why their permit or permits should not be revoked. The City Manager shall notify the City Tax Collector in the event a permit is revoked. [Formerly numbered Section 14-27; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-311: RENEWAL OF PERMIT:

The City Tax Collector shall not renew a permit after revocation thereof unless authorized to do so by the City Manager. The City Manager must satisfy themselves that the applicant for renewal of permit will comply with the provisions of this article and the rules and regulations adopted pursuant thereto before such renewal is authorized. [Formerly numbered Section 14-28; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-312: IMPOSITION AND RATE OF TAX:

For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers at the rate of one percent (1%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in the City on or after January 1, 1955. The tax imposed by the provisions of this article is in addition to any and all other taxes imposed by any other provisions of this code. [Formerly numbered Section 14-29; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-313: SELLER TO COLLECT FROM CONSUMER:

Insofar as it can be done, the tax hereby imposed shall be collected by the retailer from the consumer. [Formerly numbered Section 14-30; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-314: EXEMPTED SALES:

In addition to the exemptions contained in Part 1, Division 2 of the Revenue and Taxation Code of the State, there shall be excluded from the computation of the tax hereby imposed, gross receipts from:

A.    Sales of meals, food and drinks sold or served on common carriers operating into, through or out of this City from or to points outside the City;

B.    Sales made to or by the State or to any other agency, department, political subdivision, district or municipal corporation thereof, provided there exists a reciprocal exemption to this City;

C.    Sales of property to be used in connection with the erection, construction, repair or alteration of either public works or buildings belonging to or being constructed by or on behalf of, or for the use of the United States government; and also the State or any agency, department, political subdivision district or public or municipal corporation of the State, provided there exists a reciprocal exemption to this City;

D.    Sales made to the Burbank Unified School District; and

E.    Sales of lubricating oil, combustible fluids, such as gasoline and fuel oil, made to operators of common carriers by air, to be used or consumed in the operation of such common carriers by air, principally outside the City. [Formerly numbered Section 14-31; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-315: RESALES:

The City Tax Collector may, at their option, accept a State Resale Certificate as evidence that any sale is not at retail, or they may, in their discretion, require an affidavit from the seller setting forth such information respecting such sale as they deem necessary to determine the nature thereof. [Formerly numbered Section 14-32; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-316: SELLER CANNOT ADVERTISE NO PAYMENT OR REFUND OF TAX:

No retailer shall advertise, hold out or state to the public or to any customer, directly or indirectly, that the tax or any part thereof will be assumed or absorbed by the retailer, or that it will not be added to the selling price of the property sold, or that, if added, it or any part thereof will be refunded. [Formerly numbered Section 14-33; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-317: TAX LEVIED IN SAME MANNER AS STATE TAX:

The tax hereby levied, except as otherwise herein provided, is levied in the same manner, to the same extent and under the same conditions as sales taxes are levied pursuant to Part 1, Division 2, of the Revenue and Taxation Code of the State, as amended and in force and effect on January 1, 1948. [Formerly numbered Section 14-34; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-318: TAX PAYABLE TO CITY COLLECTOR; DUE DATE:

The tax imposed by this article shall be paid to the City Tax Collector on or before the last day of the month next succeeding each quarterly period, the first quarterly payment to be due and payable under this article on July 31, 1948. The first quarterly period commences April 1, 1948. [Formerly numbered Section 14-35; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-319: SCHEDULES FOR PAYMENT OF TAX:

The Council, by resolution, shall adopt rules prescribing methods and schedules for the collection and payment of the tax. Such schedules shall be so determined as to facilitate collection of this tax at the same time that the retailer collects the tax imposed under the State Sales and Use Tax Law and so as to produce an average tax return of one percent (1%) on all purchases subject to the sales tax. [Formerly numbered Section 14-36; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-320: DELINQUENCY AND PENALTIES FOR NONPAYMENT OF TAX:

All taxes payable under this article shall be deemed delinquent if not paid when due and payable. Whenever any tax becomes delinquent, a penalty of ten percent (10%) of the amount thereof shall be imposed and added thereto. At the close of business of the last day of each calendar month thereafter, an additional penalty of five percent (5%) of the original tax shall be imposed and added. Every penalty shall become a part of the tax imposed by this article. In no case, however, shall the total penalty exceed fifty percent (50%) of the original tax. [Formerly numbered Section 14-37; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-321: PENALTIES FOR FRAUD; MISDEMEANOR:

A.    If the failure of any person to file a return, or if any part of the deficiency for which a deficiency determination is made, is due to fraud or an intent to evade this article or the authorized rules and regulations, a penalty of twenty five percent (25%) of the amount of the determination shall be added thereto in addition to all other penalties provided in this article.

B.    Any person required to make, render, sign, or verify any report under the provisions of this article, who makes any false or fraudulent return with intent to defeat or evade the determination of the amount due and required to be paid hereunder, is guilty of a misdemeanor. [Formerly numbered Section 14-38; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-322: SUIT FOR COLLECTION OF TAX:

Suit for the collection of any tax, including penalties, due and payable hereunder, may be filed in any court of competent jurisdiction in the State, and shall be prosecuted by the City Attorney. [Formerly numbered Section 14-39; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-323: OFFSETS:

The City Tax Collector, in making a determination may offset any funds due to the retailer from the City, including any overpayments, against payments due to the City. [Formerly numbered Section 14-40; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-324: REFUNDS; NECESSITY FOR FILING CLAIM; WAIVER:

Refunds of any amount, penalty, or interest, which have been paid more than once or have been erroneously or illegally collected or computed, may be allowed by the City Tax Collector with the approval of the Finance Officer, provided a written claim stating the specific ground upon which the claim is founded has been filed with the City Tax Collector within three (3) months after the overpayment was made. Failure to file a claim within the time prescribed constitutes a waiver of any demand against the City on account of overpayment. If a refund is approved, the overpayment shall be credited on any amount then due from the payor under this article, and the balance shall be refunded to the payor or their successors, administrators or executors. If disallowed, notice of disallowance, shall be served by the City Tax Collector upon the claimant by mailing such notice postage prepaid. [Formerly numbered Section 14-41; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-325: SUIT AGAINST CITY FOR REFUND:

No suit or proceedings shall be maintained in any court for the recovery of any amount alleged to have been erroneously or illegally determined or collected unless a claim for refund or credit has been duly filed pursuant to Section 2-4-324 of this article. Within three (3) months after the service of the notice of disallowance of a claim filed pursuant to said Section 2-4-324 of this article, the claimant may bring an action against the City on the grounds set forth in the claim in a court of competent jurisdiction in the County for the recovery of the whole or any part of the amount with respect to which the claim has been disallowed. If the City Tax Collector fails to serve notice of action on a claim within three (3) months after the claim is filed, the claimant may consider the claim disallowed and within three (3) months thereafter may bring an action against the City on the grounds set forth in the claim for the recovery of the whole or any part of the amount claimed as an overpayment. Failure to bring action within said three (3) month period constitutes a waiver of any demand against the City on account of such alleged overpayment. [Formerly numbered Section 14-42; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-326: DISPOSITION OF PROCEEDS:

All monies collected under and pursuant to the provisions of this article, after deducting therefrom the cost and expense of administering this article, shall be deposited and paid into the following funds of the City as indicated: ninety five percent (95%) into the General Fund; five percent (5%) into the Capital Outlay Fund to be expended solely for capital outlays and public works of the City. [Formerly numbered Section 14-43; renumbered by Ord. No. 3058, eff. 2/21/87; 2800, 2446.]

2-4-327: DIVULGING INFORMATION FORBIDDEN; EXCEPTIONS:

No officer or employee of the City, having an administrative duty under this article, shall make known in any manner whatsoever the business affairs, operations, or information obtained by an investigation of records and equipment of any retailer or any other person visited or examined in the discharge of their official duty, or the amount or source of income, profits, losses, expenditures, or any particulars thereof, set forth or disclosed in any return, or permit any return or copy thereof or any book containing any abstract or particulars thereof to be seen or examined by any person. However, the City Manager may, by written order authorize examination of the return by Federal or State officers or employees or by the tax officers of this or any other city if a reciprocal arrangement exists. Successors, receivers, trustees, executors, administrators, assignees, and guarantors, if directly interested, may be given information as to the items included in the measure and amounts of any unpaid tax or amounts of tax required to be collected, interest and penalties. This section shall not apply to proceedings or actions to determine taxes due or to collect such taxes as provided in this article. [Formerly numbered Section 14-44; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 4. USE TAX

2-4-401: DEFINITION:

As used in this article, unless the context otherwise clearly indicates:

A.    USE: Shall mean the exercise of any right or power over tangible personal property incident to the ownership of that property, subject, however, to the following exemptions:

1.    It does not include the sale of that property in the regular course of business;

2.    It does not include the keeping, retaining or exercising of any right or power over tangible personal property shipped or brought into this City and which is thereafter transported outside the City for principal use or consumption outside the City, and which property is actually so used or consumed;

3.    It does not include the use of such property for the purpose of being processed, fabricated, or manufactured into, attached to or incorporated into, other tangible personal property which is to be transported outside the City and thereafter used principally outside the City, or which is to be subsequently sold or resold in the regular course of business;

4.    It does not include the exercise of any right or power over tangible personal property incident to ownership of that property if such property was purchased for principal use or consumption outside the City and is so used or consumed. [Formerly numbered Section 14-46; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-402: SHORT TITLE:

This ordinance may be cited and shall be known as the USE TAX ORDINANCE OF THE CITY OF BURBANK or the BURBANK USE TAX ORDINANCE. [Formerly numbered Section 14-47; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-403: IMPOSITION AND RATE OF TAX:

An excise tax is hereby imposed on the use or other consumption in the City of tangible personal property purchased from any retailer on or after January 1, 1955, for use or other consumption in the City at the rate of one percent (1%) of the sales price of the property. [Formerly numbered Section 14-48; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-404: USE TAX LEVIED IN SAME MANNER AS STATE TAX:

The tax hereby levied, except as otherwise herein provided, is levied in the same manner, to the same extent and under the same conditions as use taxes are levied pursuant to Part 1, Division 2, of the Revenue and Taxation Code of the State known as the “Sales and Use Tax Law” as amended and in force and effect on January 1, 1950. [Formerly numbered Section 14-49; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-405: ADOPTION OF STATE USE TAX LAW BY REFERENCE; EXCEPTIONS:

All of the provisions of Part 1, Division 2, of the Revenue and Taxation Code of the State known as the “Sales and Use Tax Law” as amended and in force and effect on September 9, 1953, except the provisions thereof pertaining solely to the “Sales Tax” and Sections 6008, 6201 to 6204, inclusive, 6207, 6226, 6241 to 6246, inclusive, 6403, 6453, 7052, 7057, 7101, 7102, 7151, 7152, and 7153, are hereby adopted by reference and made a part of this article as though fully set forth herein; and all provisions of this code or any other ordinance in conflict therewith are inapplicable to this article and the tax hereby imposed; provided, however, that:

A.    The City shall be substituted for the State whenever the State is referred to in said law;

B.    The County shall be substituted for the County of Sacramento whenever the latter county is referred to in said law;

C.    The Mayor shall be substituted for the Governor whenever the Governor is referred to in said law;

D.    The City Attorney shall be substituted for the Attorney General whenever the Attorney General is referred to in said law;

E.    The Finance Director shall be substituted for the State Controller and State Board of Control whenever referred to in said law;

F.    The Council shall be substituted for the State Board of Equalization insofar as said Board is empowered by said law to adopt rules and regulations pertaining to the interpretation, administration and enforcement of said law;

G.    The City Manager shall be substituted for the State Board of Equalization in the application of Section 6459 of said law to Section 2-4-404 of this article;

H.    The City Tax Collector shall be substituted for the State Board of Equalization in said law in all instances not otherwise provided for in this article;

I.    The term “gross receipts” as used therein shall not include the amount of any tax imposed by the State, whether imposed upon the retailer or upon the consumer;

J.    The term “sales price” shall not include the amount of any State sales tax or use tax; and

K.    The word “storage” shall for the purpose of the article be deemed deleted from those provisions of said law, it being the intent of the Council that the tax imposed by this article shall not apply to the storage of tangible personal property. [Formerly numbered Section 14-50; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-406: RULES AND REGULATIONS:

A.    State Rules and Regulations: The rules and regulations of the State Board of Equalization pertaining to the interpretation, administration and enforcement of the “Sales and Use Tax Law”, insofar as applicable, and as amended and in effect on July 1, 1951, shall apply to the interpretation of this article until specifically repealed or abandoned by said Board or superseded by the rules and regulations of the Council.

B.    Rules and Regulations of the Council: The Council may adopt, by resolution, such reasonable rules and regulations for the purpose of administering and enforcing this article as the City Manager shall prescribe and recommend. Such rules and regulations may, among other things, require each person affected by this article to keep such records, receipts, invoices and other pertinent papers as may be deemed necessary for the purpose of administering and enforcing this article.

C.    Local Regulations to Prevail: The provisions of this article and the rules and regulations adopted by the Council shall prevail over the State “Sales and Use Tax Law” and the rules and regulations of the State Board of Equalization in case of conflict. [Formerly numbered Section 14-51; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-407: INTERPRETATION:

The inclusion of any clause, portion or part of the “Sales and Use Tax Law”, Part 1, Division 2 of the Revenue and Taxation Code of the State, verbatim in this article shall not in or of itself be deemed to exclude any of the remaining provisions of said “Sales and Use Tax Law” that are made a part hereof by reference only. [Formerly numbered Section 14-52; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-408: DUTY TO COLLECT TAX:

Every retailer maintaining a place of business in this City shall apply to the City Tax Collector for authorization to collect the tax imposed by this article. Any retailer not maintaining a place of business in this city may apply to the City Tax Collector for authorization to collect the tax hereby imposed. Upon receipt of any application in such form as required by them, the City Tax Collector, in the case of a retailer maintaining a place of business in the City, shall authorize, and in the case of a retailer not maintaining a place of business in the City, may authorize the applicant to make such collections and to forward the same to the City Tax Collector. [Formerly numbered Section 14-53; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-409: PERSONS LIABLE TO TAX:

Every person using or otherwise consuming in this City tangible personal property purchased from a retailer, is liable for the tax; provided, however, that no tax shall be due hereunder if the tax imposed by Article 3 of this chapter has been paid on the sale of such property. The liability of such person is not extinguished until the tax has been paid to the City except that a receipt from a retailer authorized pursuant to Section 2-4-408 of this article to collect the tax, given to the purchaser pursuant to Section 2-4-410 of this article, is sufficient to relieve the purchaser from further liability for the tax to which the receipt refers.

[Formerly numbered Section 14-54; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-410: COLLECTION OF TAX BY RETAILER:

Every retailer who is authorized by the City Tax Collector to collect the tax imposed by this article and who makes sales of tangible personal property for use or other consumption in this City, not exempted under the provisions of this article, shall collect the tax from the purchaser at the time of making the sale, or, if the use of other consumption of the tangible personal property is not then taxable hereunder, at the time the use or other consumption becomes taxable. Upon collecting the tax, the retailer, on demand, shall give to the purchaser a receipt therefor in the manner and form prescribed by the City Tax Collector. The tax so collected by the retailer shall be held in trust by them for the City and shall be paid to the City by the retailer in the manner and at the times elsewhere provided in this article. [Formerly numbered Section 14-55; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-411: SEPARATE DISPLAY OF TAX FROM LIST OR OTHER PRICE:

The tax so collected by the retailer from the purchaser shall be displayed separately from the list price, the price advertised in the premises, the marked price or other price on the sales check or other proof of sale. [Formerly numbered Section 14-56; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-412: PERSONAL PROPERTY TO WHICH TAX APPLIES:

Except as otherwise specifically exempted, the tax hereby imposed applies to all tangible personal property located in the City and purchased from a retailer; provided, however, that if the retailer in good faith takes from the purchaser a certificate that the property was purchased prior to the effective date of this article or was not purchased for use or consumption in the City and has not been nor will be so used or consumed, they shall be relieved of liability to collect and pay the tax. The certificate shall be signed by and bear the name of the purchaser, shall indicate the address of the purchaser and the place where such tangible personal property will be used or consumed, the date of the purchase, and shall be substantially in such form as the City Tax Collector may prescribe. [Formerly numbered Section 14-57; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-413: EXEMPTIONS:

In addition to those exemptions contained in Part 1 of Division 2 of the Revenue and Taxation Code of the State which are incorporated into this article by reference, there shall be excluded from the computation of the tax the sales price of:

A.    Purchases made by the State or by any agency, department, political subdivision, district or municipal corporation thereof, provided there exists a reciprocal exemption to this City;

B.    Purchases of tangible personal property to be used in connection with the erection, construction, repair or alteration of either public works or buildings belonging to or being constructed by or on behalf of or for the use of the United States Government; and the State or any agency, department, political subdivision, district or public or municipal corporation of the State, provided there exists a reciprocal exemption to this City;

C.    Purchases made pursuant to contracts actually executed in good faith prior to midnight August 31, 1951;

D.    Purchases of property upon which a sales tax, purchase tax, use tax, purchase and use tax, or any of them, has been legally imposed by and paid on the same transaction to any City of the State having a similar reciprocal exemption;

E.    Purchases made by the Burbank Unified School District; and

F.    Purchases of lubricating oil, combustible fluids, such as gasoline and fuel oil, made by operators of common carriers by air, to be used or consumed in the operation of such common carriers by air, principally outside the City. [Formerly numbered Section 14-58; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-414: REGISTRATION OF RETAILERS:

Every retailer selling tangible personal property for use or other consumption in the City and which retailer maintains a place of business in the City or acts through agents located in the City and which retailer is not a permittee under the provisions of Article 3 of this chapter, shall register with the City Tax Collector and give the name and address of such agent or agents and office or other place of business in the City. [Formerly numbered Section 14-59; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-415: DUE DATE OF TAXES:

Taxes imposed by this article are due and payable to the City Tax Collector on or before the last day of the month next succeeding each quarterly period, the first quarterly payment to be due and payable under this article on or before October 31, 1951. The City Tax Collector may require returns and payment of the amount of taxes for quarterly periods other than calendar quarters depending upon the principal place of or the nature of the business of the seller or retailer or may require returns and payment of the amount of taxes for other than quarterly periods. [Formerly numbered Section 14-60; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-416: RETURNS:

Each return filed by a retailer shall show the total sale price of the property sold by them during the reporting period in respect of which they collected the tax hereby imposed. Each return filed by a purchaser shall show the total sale price of the property purchased by them during the reporting period, in respect of which a tax is due under this article. All returns shall also show the amount of the taxes for the period covered by the return and such other information as the City Tax Collector deems necessary to the proper administration of this article. [Formerly numbered Section 14-61; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-417: CREDIT FOR FRANCHISE TAX PAYMENTS:

Every person who transports or transmits persons, property, gas, electricity, or communications in the City under a franchise from the City may offset any taxes paid to City for such franchise against any taxes for which such person is liable under this article, provided the franchise tax has accrued during the same annual period as the use tax against which it is applied. Persons intending to avail themselves of an offset under this section shall notify the City Tax Collector thereof in writing at or prior to the commencement of the annual period, or portion thereof, for which the offset will be claimed and, upon doing so, may withhold compliance with Sections 2-4-415 and 2-4-416 of this article until such time as the franchise tax is due and payable. In filing their use tax return, such person, or an officer thereof if a corporation, may file, in lieu of any and all returns required to be filed under this article, an affidavit stating that the amount of the use tax does not exceed the amount of the franchise tax. If use taxes have been paid to any other city for all or part of the period covered by such affidavit, the amount of each such payment shall be stated together with any other information necessary to satisfy the City Tax Collector that the amount of the use tax does not exceed the franchise tax. [Formerly numbered Section 14-62; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-418: SCHEDULES FOR PAYMENT OF TAX:

The Council, by resolution, shall adopt rules prescribing methods and schedules for the collection and payment of the tax. Such schedules shall be so determined as to facilitate collection of this tax at the same time that the retailer collects the tax imposed under the State Sales and Use Tax Law and so as to produce an average tax return of one percent (1%) on all purchases subject to the use tax. [Formerly numbered Section 14-63; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-419: SUIT FOR TAX:

All taxes hereby levied shall be payable to the City Tax Collector and any civil suit for the collection thereof may be filed in any court of competent jurisdiction in the State and the City Attorney shall prosecute the action. [Formerly numbered Section 14-64; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-420: RESALE CERTIFICATE:

The City Tax Collector may at their option accept a State Resale Certificate as evidence that any sale is not a sale for use or consumption in the City, or they may in their discretion require an affidavit from the seller setting forth such information respecting such sale as they deem necessary to determine the nature of such sale. [Formerly numbered Section 14-65; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-421: DISPOSITION OF PROCEEDS:

All monies collected under and pursuant to the provisions of this article, after deducting therefrom the cost and expense of administering this article, shall be deposited and paid into the following funds of the City as indicated: forty percent (40%) into the General Fund; sixty percent (60%) into the created and established “Capital Outlay Fund” to be expended solely for capital outlays and public works of the City. [Formerly numbered Section 14-66; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-422: DIVULGING OF INFORMATION FORBIDDEN:

No officer or employee of the City having an administrative duty under this article shall make known in any manner whatever the business affairs, operations, or information obtained by an investigation of records and equipment of any retailer or any other person visited or examined in the discharge of official duty, or the amount or source of income, profits, losses, expenditures, or any particular thereof set forth or disclosed in any return, or permit any return or copy thereof or any book containing any abstract or particulars thereof to be seen or examined by any person. However, the Council may, by resolution, authorize examination of the returns by Federal or State officers or employees or by the tax officers of this or any other city if a reciprocal arrangement exists. Successors, receivers, trustees, executors, administrators, assignees, and guarantors, if directly interested, may be given information as to the items included in the measure and amounts of any unpaid tax or amounts of tax required to be collected, interest and penalties. This section shall not apply to any court proceedings or actions to determine or collect taxes as provided in this article, nor to any officer or employee of the City acting in response to any process of the court. [Formerly numbered Section 14-67; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-423: FALSE AND FRAUDULENT RETURNS:

No person required to make, render, sign or verify any report under the provisions of this article, shall make any false or fraudulent return, with intent to defeat or evade the determination of an amount due and required to be paid hereunder. [Formerly numbered Section 14-68; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-424: FAILURE TO MAKE RETURN OR FURNISH DATA:

No retailer or other person shall fail or refuse to furnish any return required to be made or fail or refuse to furnish a supplemental return or other data required by the City Tax Collector, or render a false or fraudulent return. [Formerly numbered Section 14-69; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-425: PENALTY FOR FRAUD:

If the failure of any person to file a return, or if any part of the deficiency for which a deficiency determination is made, is due to fraud or an intent to evade this article or the authorized rules and regulations, a penalty of twenty five percent (25%) of the amount of the determination shall be added thereto in addition to all other penalties provided in this article. [Formerly numbered Section 14-70; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-426: DELINQUENCY AND PENALTIES FOR NONPAYMENT OF TAX:

All taxes payable under this article shall be deemed delinquent if not paid when due and payable. Whenever the tax becomes delinquent, a penalty of ten percent (10%) of the amount thereof shall be imposed and added thereto. At the close of business of the last day of each calendar month thereafter, an additional penalty of five percent (5%) of the original tax shall be imposed and added. Every penalty shall become a part of the tax imposed by this article. In no case, however, shall the total penalty exceed fifty percent (50%) of the original tax. [Formerly numbered Section 14-71; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-427: OFFSETS:

In making a determination, the City Tax Collector may offset any funds due to the retailer from the City including any overpayments, against payments due to the City, including any underpayments and penalties. [Formerly numbered Section 14-72; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-428: REFUNDS; NECESSITY FOR FILING CLAIM; WAIVER:

Refunds of any amount, penalty, or interest, which have been paid more than once or have been erroneously or illegally collected or computed, may be allowed by the City Tax Collector with the approval of the Finance Director; provided a written claim stating the specific ground upon which the claim is founded has been filed with the City Tax Collector within three (3) months after the overpayment was made. Failure to file a claim within the time prescribed constitutes a waiver of any demand against the City on account of overpayment. If a refund is approved, the overpayment shall be credited on any amount then due from the payor under this article, and the balance shall be refunded to the payor or their successors, administrators or executors. If disallowed, notice of disallowance shall be served by the City Tax Collector upon the claimant by mailing such notice postage prepaid. [Formerly numbered Section 14-73; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-429: SUIT AGAINST CITY FOR REFUND:

No suit or proceedings shall be maintained in any court for the recovery of any amount alleged to have been erroneously or illegally determined or collected unless a claim for refund or credit has been duly filed pursuant to this section. Within three (3) months after the service of the notice of disallowance of a claim filed pursuant to this section, the claimant may bring an action against the City on the grounds set forth in the claim in a court of competent jurisdiction in the County for the recovery of the whole or any part of the amount with respect to which the claim has been disallowed. If the City Tax Collector fails to serve notice of action on a claim within three (3) months after the claim is filed, the claimant may consider the claim disallowed and within three (3) months thereafter may bring an action against the City on grounds set forth in the claim for the recovery of the whole or any part of the amount claimed as an overpayment. Failure to bring action within said three (3) month period constitutes a waiver of any demand against the City on account of such alleged overpayment. [Formerly numbered Section 14-74; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-430: ENFORCEMENT:

The City Manager shall enforce the provisions of this article. [Formerly numbered Section 14-75; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 5. UNIFORM LOCAL SALES AND USE TAX

2-4-501: SHORT TITLE:

This article shall be known as the BURBANK UNIFORM LOCAL SALES AND USE TAX ORDINANCE. [Formerly numbered Section 14-77; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-502: OPERATIVE DATE:

This article shall become operative on January 1, 1974. [Formerly numbered Section 14-77.5; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-503: PURPOSE:

The Council hereby declares that this article is adopted to achieve the following, among other, purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

A.    To adopt a sales and use tax ordinance which complies with the requirements and limitations contained in Part 1.5 of Division 2 of the State Revenue and Taxation Code;

B.    To adopt a sales and use tax ordinance which incorporates provisions identical to those of the State Sales and Use Tax Law insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.5 of Division 2 of the State Revenue and Taxation Code;

C.    To adopt a sales and use tax ordinance which imposes a tax and provides a measure therefor that can be administered and collected by the State Board of Equalization in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the State Board of Equalization in administering and collecting the State sales and use taxes;

D.    To adopt a sales and use tax ordinance which can be administered in a manner that will, to the degree possible consistent with the provisions of Part 1.5 of Division 2 of the State Revenue and Taxation Code, minimize the cost of collecting City sales and use taxes and at the same time minimize the burden of record keeping upon persons subject to taxation under the provisions of this article. [Formerly numbered Section 14-78; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-504: CONTRACT WITH STATE:

Prior to the operative date of this article this City shall contract with the State Board of Equalization to perform all functions incident to the administration and operation of this article; provided, that if this City shall not have contracted with the State Board of Equalization prior to said operative date, it shall nevertheless so contract and in such case the operative date shall be the first day of the first calendar quarter following the execution of such contract rather than the first day of the first calendar quarter following the adoption of this article. [Formerly numbered Section 14-78.5; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-505: SALES TAX:

For the privilege of selling tangible personal property at retail a tax is hereby imposed upon all retailers in the City at the rate of one percent (1%) of the gross receipts of the retailer from the sale of all tangible personal property sold at retail in this City on and after the operative date of this article. [Formerly numbered Section 14-79; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-506: PLACE OF SALE:

For the purpose of this article, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or their agent to an out of state destination or to a common carrier for delivery to an out of state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the State sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the State Board of Equalization. [Formerly numbered Section 14-79.5; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-507: USE TAX:

An excise tax is hereby imposed on the storage, use or other consumption in this City of tangible personal property purchased from any retailer on and after the operative date for storage, use or other consumption in this City at the rate of one percent (1%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to State sales or use tax regardless of the place to which delivery is made. [Formerly numbered Section 14-80; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-508: ADOPTION OF PROVISIONS OF STATE LAW:

Except as otherwise provided in this article and except insofar as they are inconsistent with the provisions of Part 1.5 of Division 2 of the State Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of said Revenue and Taxation Code are hereby adopted and made a part of this article as though fully set forth herein. [Formerly numbered Section 14-81; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-509: LIMITATIONS ON ADOPTION OF STATE LAW:

In adopting the provisions of Part 1 of Division 2 of the State Revenue and Taxation Code, wherever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefor. The substitution, however, shall not be made when the word “State” is used as part of the title of the State Controller, the State Treasurer, the State Board of Control, the State Board of Equalization, the State Treasury, or the Constitution of the State of California; the substitution shall not be made when the result of that substitution would require action to be taken by or against the City, or any agency thereof rather than by or against the State Board of Equalization, in performing the functions incident to the administration or operation of this article; the substitution shall not be made in those sections, including, but not necessarily limited to, sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of said Revenue and Taxation Code, or to impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the State under the said provisions of that code; the substitution shall not be made in Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of said Revenue and Taxation Code; and the substitution shall not be made for the word “State” in the phrase “retailer engaged in business in this State” in Section 6203 or in the definition of that phrase in Section 6203. [Formerly numbered Section 14-81.5; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-510: PERMIT NOT REQUIRED:

If a seller’s permit has been issued to a retailer under Section 6067 of the State Revenue and Taxation Code, an additional seller’s permit shall not be required by this article. [Formerly numbered Section 14-82; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-511: EXCLUSIONS AND EXEMPTIONS; HIGHER ASSESSMENT RATIO:

Subject to Section 2-4-513, there shall be excluded from the measure of tax:

A.    The amount of any sales or use tax imposed by the State of California upon a retailer or consumer.

B.    The storage, use or other consumption of tangible personal property, the gross receipts from the sale of which has been subject to sales tax under a sales and use tax ordinance enacted in accordance with Part 1.5 of Division 2 of the State Revenue and Taxation Code by any city and county, county, or city in this State.

C.    The gross receipts from sales to, and the storage, use or other consumption of property purchased by, operators of common carriers and waterborne vessels to be used or consumed in the operation of such common carriers or waterborne vessels principally outside of this City.

D.    The storage or use of tangible personal property in the transportation or transmission of persons, property or communications, or in the generation, transmission or distribution of electricity or in the manufacture, transmission or distribution of gas in intrastate, interstate or foreign commerce by public utilities which are regulated by the Public Utilities Commission of the State of California. [Formerly numbered Section 14-83; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-512: EXCLUSIONS AND EXEMPTIONS:

A.    The amount subject to tax shall not include any sales or use tax imposed by the State of California upon a retailer or consumer.

B.    The storage, use, or other consumption of tangible personal property, the gross receipts from the sale of which have been subject to tax under a sales and use tax ordinance enacted in accordance with Part 1.5 of Division 2 of the Revenue and Taxation Code by any city and county, county, or city, in this State shall be exempt from the tax due under this article.

C.    There are exempted from the computation of the amount of the sales tax the gross receipts from the sale of tangible personal property to operators of aircraft to be used or consumed principally outside the city in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

D.    In addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code the storage, use, or other consumption of tangible personal property purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government is exempted from the use tax. [Formerly numbered Section 14-83.5; renumbered by Ord. No. 3058, eff. 2/21/87; 2942, 2403.]

2-4-513: APPLICATION OF PROVISIONS RELATING TO EXCLUSIONS AND EXEMPTIONS:

A.    Section 2-4-512 of this article shall become operative on January 1 of the year following the year in which the State Board of Equalization adopts an assessment ratio for State assessed property which is identical to the ratio which is required for local assessments by Section 401 of the State Revenue and Taxation Code, at which time Section 2-4-511 of this article shall become inoperative.

B.    In the event that Section 2-4-512 of this article becomes operative and the State Board of Equalization subsequently adopts an assessment ratio for the State assessed property which is higher than the ratio which is required for local assessments by Section 401 of the State Revenue and Taxation Code, Section 2-4-511 of this article shall become operative on the first day of the month next following the month in which such higher ratio is adopted, at which time Section 2-4-512 of this article shall be inoperative until the first day of the month following the month in which the Board again adopts an assessment ratio for State assessed property which is identical to the ratio required for local assessments by Section 401 of the Revenue and Taxation Code, at which time Section 2-4-512 of this article shall again become operative and Section 2-4-511 of this article shall become inoperative. [Formerly numbered Section 14-84; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-514: AMENDMENTS:

All subsequent amendments of the State Revenue and Taxation Code which relate to the sales and use tax and which are not inconsistent with Part 1.5 of Division 2 of said Revenue and Taxation Code shall automatically become a part of this article. [Formerly numbered Section 14-85; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-515: EXISTING CITY SALES AND USE TAX ORDINANCES SUSPENDED:

At the time this article goes into operation, the provisions of Articles 3 and 4 of this chapter (existing City sales and use tax ordinances) shall be suspended and shall not again be of any force or effect until and unless for any reason the State Board of Equalization ceases to perform the functions incident to the administration and operation of the sales and use tax hereby imposed; provided, however, that if for any reason it is determined that the City is without power to adopt this article or that the State Board of Equalization is without power to perform the functions incident to the administration and operation of the taxes imposed by this article, the provisions of Articles 3 and 4 of this chapter (existing City sales and use tax ordinances) shall not be deemed to have been suspended, but shall be deemed to have been in full force and effect at the rate of one percent (1%) continuously from and after April 1, 1956. Upon the ceasing of the State Board of Equalization to perform the functions incident to the administration and operation of the taxes imposed by this article, the provisions of Articles 3 and 4 of this chapter (existing City sales and use tax ordinances) shall again be in full force and effect at the rate of one percent (1%). Nothing in this article shall be construed as relieving any person of the obligation to pay to the City any sales or use tax accrued and owing by reason of the provisions of Articles 3 and 4 of this chapter (existing City sales and use tax ordinances) in force and effect prior to and including March 31, 1956. [Added by Ord. No. 2405; formerly numbered Section 14-85.1; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-516: DISPOSITION OF PROCEEDS:

All monies received by the City pursuant to the provisions of this article shall be deposited for expenditure into the following funds of the City according to the percentage indicated: ninety five percent (95%) into the General Fund; five percent (5%) into the Capital Outlay Fund to be expended solely for capital acquisitions, equipment and improvements of the City. [Added by Ord. No. 2405; formerly numbered Section 14-85.2; renumbered by Ord. No. 3058, eff. 2/21/87; 2800, 2446.]

2-4-517: ENJOINING COLLECTION FORBIDDEN:

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or this City, or against any officer of the State or this City, to prevent or enjoin the collection under this article, or Part 1.5 of Division 2 of the State Revenue and Taxation Code, of any tax or any amount of tax required to be collected. [Formerly numbered Section 14-85.5; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

2-4-518: VIOLATION A MISDEMEANOR:

Any person violating any of the provisions of this article shall be guilty of a misdemeanor. [Formerly numbered Section 14-86; renumbered by Ord. No. 3058, eff. 2/21/87; 2403.]

ARTICLE 6. TRANSIENT OCCUPANCY TAX

2-4-601: TITLE:

This article shall be known as the BURBANK UNIFORM TRANSIENT OCCUPANCY TAX ORDINANCE. [Formerly numbered Section 14-87; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-602: DEFINITIONS:

The following words and phrases, wherever used in this article, shall be construed as herein defined:

DIRECTOR: The City Manager, or the designee or designees of the City Manager.

HOTEL ACCOMMODATIONS: Any room or rooms in any structure, or any portion of a structure, which is occupied or intended or designed for occupancy for dwelling, lodging or sleeping purposes, and includes any hotel, inn, tourist home or house, motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house, dormitory, public or private club, mobile home or house trailer at a fixed location, or other similar structure or portion thereof. The term “hotel accommodations” does not include an accommodation which a person occupies as their domicile and permanent residence.

OCCUPANCY: The use or possession or the right to the use or possession of any hotel accommodations.

OPERATOR: Any person who engages in the proprietorship of a hotel without regard to their legal estate in the premises; the term includes the executor, administrator, assignee or immediate successor in interest of the proprietor of a hotel.

RENT: The consideration charged, whether or not received, for the occupancy of space in a hotel valued in money, whether to be received in money, goods, labor or otherwise, including all receipts, cash credits and property and services of any kind or nature, without any deduction therefrom whatsoever.

TRANSIENT: Any person who exercises occupancy or is entitled to occupancy of any hotel accommodation by reason of concession, permit, right of access, license or other agreement. For the purpose of this definition, “transient” does not include:

A.    Any natural person who, by way of advance monthly payment, is entitled to and actually does occupy a hotel accommodation for a calendar month or, in the alternative, for thirty (30) consecutive calendar days; nor

B.    Any natural person who, having occupied a hotel accommodation for a calendar month or, in the alternative, for thirty (30) consecutive calendar days, and having paid the transient occupancy tax during said period, thereafter continues to occupy said hotel accommodation. [Formerly numbered Section 14-88; renumbered by Ord. No. 3058, eff. 2/21/87; 3110, 3028, 2937, 2926.]

2-4-603: TAX IMPOSED:

For the privilege of occupancy of any hotel accommodation, each transient is subject to and shall pay a tax in the amount designated in the Burbank Fee Resolution. This tax shall constitute a debt owed by the transient to the City which is extinguished only by payment to the operator of the hotel at the time the rent is paid. If the rent is paid in installments, a proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon the transient’s ceasing to occupy space in the hotel. If for any reason the tax due is not paid to the operator of the hotel, the Director may require that such tax shall be paid directly to the Community Development Department. [Formerly numbered Section 14-89; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-604: EXEMPTIONS:

No tax shall be imposed upon:

A.    Any person as to whom, or any occupancy as to which, it is beyond the power of the City to impose the tax herein provided;

B.    Any Federal or State officer or employee while on official business only and when payment for such occupancy is made directly to the operator by duly authorized voucher payment from a governmental accounting office;

C.    Any officer or employee of a foreign government who is exempt by reason of express provision of Federal law or international treaty.

No exemption shall be granted except upon a claim therefor made at the time rent is collected and under penalty of perjury upon a form prescribed by the Director. [Formerly numbered Section 14-90; renumbered by Ord. No. 3058, eff. 2/21/87; 3110, 2926.]

2-4-605: OPERATOR’S DUTIES:

Each operator shall collect the tax imposed by this article to the same extent and at the same time as the rent is collected from every transient. The amount of tax shall be separately stated from the amount of the rent charged, and each transient shall receive a receipt for payment from the operator. No operator of a hotel shall advertise or state in any manner, whether directly or indirectly, that the tax or any part thereof will be assumed or absorbed by the operator, or that it will not be added to the rent, or that, if added, any part will be refunded except in the manner hereinafter provided. [Formerly numbered Section 14-91; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-606: REGISTRATION:

Within thirty (30) days after they undertake the proprietorship of a hotel, every operator renting occupancy to transients shall register their hotel with the Director and obtain from them a “Transient Occupancy Registration Certificate”. The certificate issued by the Director is personal to each operator and is not transferable from person to person or from place to place. [Formerly numbered Section 14-92; renumbered by Ord. No. 3058, eff. 2/21/87; 2926.]

2-4-607: REGISTRATION CERTIFICATES:

The Transient Occupancy Registration Certificate issued to each registered operator shall be posted by them in a conspicuous place upon the hotel premises. The certificate shall be entitled “Transient Occupancy Registration Certificate” and shall state:

A.    The name of the registered operator.

B.    The name and address of the hotel.

C.    The date of issuance of the certificate.

D.    The explanation, “This certificate does not constitute a permit. It signifies that the person named hereon has fulfilled the requirements of the Burbank Uniform Transient Occupancy Tax Ordinance by registering with the Director for the purpose of collecting and remitting the required transient occupancy tax. This certificate does not authorize any person to operate a hotel without strictly complying with all state and local laws including those requiring a permit from any board, commission, office or department of the City of Burbank”; and

E.    The legend:

THIS CERTIFICATE IS NOT TRANSFERABLE. A new proprietor of this hotel must obtain a new Transient Occupancy Registration Certificate from the Director within thirty (30) days. A new proprietor is liable for all accrued and unpaid transient occupancy taxes.

[Formerly numbered Section 14-93; renumbered by Ord. No. 3058, eff. 2/21/87; 2926.]

2-4-608: REPORTING AND REMITTING:

Each operator shall, on or before the last day of the month following the close of each calendar quarter, or at the close of any shorter reporting period which may be established by the Director, make a return to the Director, on forms provided by them, of the total rents charged and received and the amount of tax collected for transient occupancies. At the time the return is filed, the full amount of the tax collected shall be remitted to the Director. They may establish shorter reporting periods for any certificate holder if they deem it necessary in order to ensure collection of the tax and they may require further information in the return. Returns and payments are due immediately upon cessation of business for any reason. All taxes collected by operators pursuant to this article shall be held in trust for the account of the City until payment thereof is made to the Director. [Formerly numbered Section 14-94; renumbered by Ord. No. 3058, eff. 2/21/87; 2926.]

2-4-609: SECURITY DEPOSIT:

Whenever they deem it reasonably necessary to ensure remittance of the transient occupancy tax, the Director may require any operator to deposit security for their payment of the tax. The type and amount of security deposit shall be determined by the Director but shall not exceed a sum or value equal to twice the estimated tax payable by the operator for any one calendar quarter. To recover transient occupancy tax, including penalty and interest, remittable by the depositor, the Director may apply or sell at public auction the security deposited with them. Security deposits in the form of bearer bonds issued by the United States of America or by the State may be sold by the Director at private sale for the current market price. At least ten (10) days prior to the application or sale of a security deposit, the Director shall serve upon the depositing operator notice of intent to apply or sell the security deposit. Service of notice may be made by placing the notice in the United States mail, postage prepaid, addressed to the depositing operator at their hotel. Any portion of the proceeds from the sale of security remaining after satisfaction of outstanding transient occupancy taxes, penalty, interest and costs of sale, may be retained by the Director for security or may be paid over by them to the depositing operator. [Formerly numbered Section 14-95; renumbered by Ord. No. 3058, eff. 2/21/87; 2926.]

2-4-610: TRANSFER OF BUSINESS:

A.    Successor’s Liability: If an operator conveys or quits their hotel business, their assignee or successor in interest shall withhold sufficient of the purchase price to cover the accrued or outstanding transient occupancy tax liability of the operator until the operator produces a certificate of the Director stating the nonliability of the operator for payment of transient occupancy tax. If the assignee or successor in interest fails to withhold the amount required to pay the tax liability, they shall become personally liable for the payment of the amount required to be withheld by them.

B.    Certificate of Nonliability: Within thirty (30) days from the date of receipt of the application of any operator for a certificate of nonliability for the payment of transient occupancy tax, the Director shall issue the certificate if the operator’s tax liability has been satisfied to the date of application. If tax has accrued to that date, the Director shall give notice to the operator of the amount which must be paid as a condition of issuing the certificate. [Formerly numbered Section 14-96; renumbered by Ord. No. 3058, eff. 2/21/87; 2926.]

2-4-611: PENALTIES AND INTEREST:

A.    Original Delinquency: Any operator who fails to remit any tax imposed by this article within the time required shall pay a penalty of ten percent (10%) of the amount of the tax in addition to the amount of the tax.

B.    Continued Delinquency: Any operator who fails to remit any delinquent remittance on or before a period of thirty (30) days following the date on which the remittance first became delinquent shall pay a second delinquency penalty of twenty percent (20%) of the amount of the tax in addition to the amount of the tax and the ten percent (10%) penalty first imposed.

C.    Fraud: If the Director determines that the nonpayment of any remittance due under this article is due to fraud, a penalty of twenty five percent (25%) of the amount of the tax shall be added thereto in addition to the penalties stated in subsections A and B of this section.

D.    Interest: In addition to the penalties imposed, any operator who fails to remit any tax imposed by this article shall pay interest at the rate of two percent (2%) per month or fraction thereof on the amount of tax from the date on which the remittance first became delinquent until paid.

E.    Penalties Merged With Tax: Every penalty imposed and such interest as accrues under the provisions of this section shall become a part of the tax herein required to be paid. [Formerly numbered Section 14-97; renumbered by Ord. No. 3058, eff. 2/21/87; 2926.]

2-4-612: FAILURE TO COLLECT AND REPORT TAX; DETERMINATION OF TAX:

If any operator shall fail or refuse to collect said tax and to make, within the time provided in this article, any report and remittance of said tax or any portion thereof required by this article, the Director shall proceed in such manner as they may deem best to obtain facts and information on which to base their estimate of the tax due. As soon as the Director shall procure such facts and information as they are able to obtain upon which to base the assessment of any tax imposed by this article and payable by any operator who has failed or refused to collect the same and to make such report and remittance, they shall proceed to determine and assess against such operator the tax, interest and penalties provided for by this article. In case such determination is made, the Director shall give a notice of the amount so assessed by serving it personally or by depositing it in the United States mail, postage prepaid, addressed to the operator so assessed at their last known place of address. Such operator may within ten (10) days after the serving or mailing of such notice make application in writing to the Director for a hearing on the amount assessed. If application by the operator for a hearing is not made within the time prescribed, the tax, interest and penalties, if any, determined by the Director shall become final and conclusive and immediately due and payable. If such application is made, the Director shall give not less than five (5) days’ written notice in the manner prescribed herein to the operator to show cause at a time and place fixed in said notice why said amount specified therein should not be fixed for such tax, interest and penalties. At such hearing, the operator may appear and offer evidence why such specified tax, interest and penalties should not be so fixed. After such hearing, the Director shall determine the proper tax to be remitted and shall thereafter give written notice to the person in the manner prescribed herein of such determination and the amount of such tax, interest and penalties. The amount determined to be due shall be payable after fifteen (15) days unless an appeal is taken as provided in Title 2, Chapter 1, Article 15 of this code. [Formerly numbered Section 14-98; renumbered by Ord. No. 3058, eff. 2/21/87; 3078, 2926.]

2-4-613: RECORDS:

A.    Right of Inspection: No reports or statements by an operator shall be conclusive as to the matters set forth in such reports or statements, nor shall the filing of such reports or statements preclude the City from collecting by appropriate action such sum as is actually due and payable under this article. The reports or statements of the operator and each of the several items in such reports and statements shall be subject to audit and verification by the Director, their deputies, or authorized agents of the City, who are hereby authorized to examine, audit, and inspect such books and records of any operator as may be necessary in their judgement to verify or ascertain the tax due.

B.    Maintenance of Records: It shall be the duty of every operator to keep and preserve for a period of not less than three (3) years all records as may be necessary to determine the amount of any tax liability pursuant to this article, which records the Director or their deputies or agents shall have the right to inspect and copy at all reasonable times upon demand. Each operator within the City is hereby required to permit an examination of such books and records for the purposes described in this section and at a location within the City of Burbank. In the event such books and records cannot be made available within the City of Burbank, the operator is hereby required to reimburse the City for the costs of all transportation, lodging, meals, portal to portal travel time, and other incidental costs reasonably incurred by the City in obtaining said audit.

C.    Confidentiality: Except as specifically provided in this subsection the information furnished or secured pursuant to this article shall be confidential. Any unauthorized disclosure or use of such information by any officer, agent, or employee of the City of Burbank shall constitute a misdemeanor and such officer, agent, or employee shall be subject to the penalty provisions of this code, in addition to any other penalties provided by law; provided, however, this section shall not apply to any disclosures made in connection with any appeal proceeding pursuant to this article or any civil action relating to the recovery of such taxes, interest, or penalties, or any prosecution of any person for violation of any provisions of this article. The provisions of this subsection C shall not include, however, the monthly or annual gross revenues of an operator taxable under this article or the amount of tax paid by an operator pursuant to this article. [Formerly numbered Section 14-100; renumbered by Ord. No. 3058, eff. 2/21/87; 3110, 2926.]

2-4-614: REFUNDS:

A.    Claim To Be In Writing: Whenever the amount of any tax, interest or penalty has been overpaid or paid more than once or has been erroneously or illegally collected or received by the City under this article, it may be refunded as provided in subsections B and C of this section, provided a claim in writing therefor, stating under penalty of perjury the specific grounds upon which the claim is founded, is filed with the Director within three (3) years of the date of payment. The claim shall be on forms furnished by the Director.

B.    Operator’s Refund; Options: An operator may claim a refund or take as credit against taxes collected and remitted the amount overpaid, paid more than once or erroneously or illegally collected or received when it is established in a manner prescribed by the Director that the person from whom the tax has been collected was not a transient; provided, however, that neither a refund nor a credit shall be allowed unless the amount of the tax so collected has either been refunded to the transient or credited to rent subsequently payable by the transient to the operator.

C.    Transient Refund: A transient may obtain a refund of taxes overpaid or paid more than once or erroneously or illegally collected or received by the City by filing a claim in the manner provided in subsection A of this section, but only when the tax was paid by the transient directly to the Director, or when the transient having paid the tax to the operator, establishes to the satisfaction of the Director that the transient has been unable to obtain a refund from the operator who collected the tax.

D.    Records Required: No refund shall be paid under the provisions of this section unless the claimant establishes their right thereto by written records showing entitlement thereto. [Formerly numbered Section 14-101; renumbered by Ord. No. 3058, eff. 2/21/87; 2926.]

2-4-615: ACTIONS TO COLLECT:

Any tax required to be paid by any transient under the provisions of this article shall be deemed a debt owed by the transient to the City. Any such tax collected by an operator which has not been paid to the City shall be deemed a debt owed by the operator to the City. Any person owing money to the City under the provisions of this article shall be liable to an action brought in the name of the City for the recovery of such an amount. [Formerly numbered Section 14-102; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-616: FAILURE TO REGISTER OR FILE REPORTS, ETC.:

An operator or other person who fails or refuses to register as required herein, or to furnish any return required to be made, or who fails or refuses to furnish a supplemental return or other data required by the Director, or who renders a false or fraudulent return or claim, and any person required to make, render, sign or verify any report or claim who makes any false or fraudulent report or claim with intent to defeat or evade the determination of any amount due required by this article to be made, is guilty of a misdemeanor. [Formerly numbered Section 14-103; renumbered by Ord. No. 3058, eff. 2/21/87; 2926.]

2-4-617: EFFECTIVE DATE:

The tax imposed by this article shall become operative and be imposed on October 1, 1964, and shall not apply prior to said date. [Formerly numbered Section 14-104; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 7. CIGARETTE TAX

2-4-701: TITLE:

This article shall be known as the BURBANK CIGARETTE TAX ORDINANCE. [Formerly numbered Section 14-105; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-702: DEFINITIONS:

The following words and phrases, wherever used in this article, shall be construed as herein defined:

CIGARETTE: Any roll for smoking made wholly or in part of tobacco, irrespective of size or shape and irrespective of whether the tobacco is flavored, adulterated or mixed with any other ingredient, where such roll has a wrapper or cover made of paper or any other material, unless such wrapper is wholly or in the greater part made of tobacco and weighs over three (3) pounds per thousand.

RETAILER: Any domestic or foreign corporation, association, syndicate, joint venture, joint stock company, partnership of any kind, club, Massachusetts business or common law trust, society or individual who sells cigarettes for any purpose other than resale. Where cigarettes are offered for sale through the means of a vending machine, the person holding title to the cigarettes in the machine shall be deemed the retailer.

USE OR CONSUMPTION: Includes the exercise of any right or power over cigarettes incident to the ownership thereof other than the sale of the cigarettes or the keeping or retention thereof for the purpose of sale. [Formerly numbered Section 14-106; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-703: TAX IMPOSED:

An excise tax is hereby imposed upon the use or consumption in the City of Burbank of cigarettes purchased from a retailer for use or consumption within the City of Burbank at the rate of one mill ($0.001) per cigarette. [Formerly numbered Section 14-107; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-704: TAX PAID TO RETAILER:

The tax constitutes a debt owed by the purchaser to the City which is extinguished only by payment of the tax to the Community Development Director or to the retailer. When a purchase from a retailer is made within the City, the tax shall be paid to the retailer at the time the purchase price is paid. The tax collected or required to be collected by the retailer constitutes a debt owed by the retailer to the City. Should any remittance of tax be made by a retailer prior to sale of cigarettes to consumer, such remittance shall be considered as an advance payment to be reimbursed by adding the amount of the tax to the price of the cigarettes at the time of sale to the user or consumer. [Formerly numbered Section 14-108; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-705: RETAILER REMITS QUARTERLY:

Each retailer selling cigarettes within the City of Burbank shall collect the tax imposed under this article, and on or before the last day of the month following the close of a calendar quarter remit the total amount so collected to the Community Development Director, together with a statement on a form provided by the Community Development Director showing the number of cigarettes sold to purchasers, the amount of tax collected, and such other information as the Community Development Director shall require. Where the Community Development Director determines that efficiency in the administration of the tax would be promoted, they may establish reporting periods greater than quarterly, but not to exceed one year. The Community Development Director may establish shorter reporting periods for any retailer if they deem it necessary in order to insure collection of the tax. Statements and payments are due immediately upon cessation of the business of selling cigarettes for any reason. All taxes collected by retailers pursuant to this article shall be held in trust for the account of the City until payment thereof is made to the Community Development Director. [Formerly numbered Section 14-109; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-706: REGISTRATION:

A.    Obtaining Certificate: Within thirty (30) days after the operative date of this article, or within thirty (30) days after commencing business, whichever is later, each retailer shall register with the Community Development Director and obtain from them a “Cigarette Tax Registration Certificate” to be at all times posted in a conspicuous place on the premises; provided, however, each retailer who does not operate from a fixed place of business shall keep the registration certificate upon their person at all times while engaging in the business of being a retailer. No person shall engage in the business of being a retailer without obtaining a registration certificate therefor. Said certificate shall, among other things, state the following:

1.    The name of the operator.

2.    The address of the retailer’s place of business;

3.    The date upon which the certificate was issued; and

4.    “This Cigarette Tax Registration Certificate signifies that the person named on the face hereof has fulfilled the requirements of the Cigarette Tax Ordinance by registering with the Community Development Director for the purpose of collecting the Cigarette Tax from purchasers of cigarettes and remitting said tax to the Community Development Director. This certificate does not authorize any person to conduct any lawful business in an unlawful manner, nor to operate a cigarette retailing business without complying with all state and local applicable laws, including, but not limited to, those requiring a permit from any board, commission, department or office of this City. This certificate does not constitute a permit”.

B.    Certificate To Be Countersigned: All cigarette tax Registration Certificates shall be countersigned by the Community Development Director.

C.    Separate Certificate For Each Place Of Business: A retailer having more than one place of business within the City at which cigarettes are sold, other than a vending machine operator, shall be required to obtain a separate registration for each such place of business.

[Formerly numbered Section 14-110; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-707: PENALTIES AND INTEREST:

A.    Failure to Remit; Delinquencies: Taxes collected by a retailer which are not remitted to the Community Development Director on or before the due date fixed in Section 2-4-705 of this article, or fixed by the Community Development Director as provided herein, are delinquent.

B.    Ten (10) Percent Penalty for Delinquencies: Any retailer who fails to remit any tax imposed by this article within the time required shall pay a penalty of ten percent (10%) of the amount of the tax in addition to the amount of the tax.

C.    Additional Ten (10) Percent Penalty for Further Delinquencies: Any retailer who fails to remit any delinquent remittance on or before a period of thirty (30) days following the date on which the remittance first became delinquent shall pay a second delinquency penalty of ten percent (10%) of the amount of the tax in addition to the amount of the tax and the ten percent (10%) penalty first imposed.

D.    Twenty Five Percent Penalty for Fraud: If the Community Development Director determines that the nonpayment of any remittance due under this article is due to fraud, a penalty of twenty five percent (25%) of the amount of the tax shall be added thereto in addition to the penalties stated in subsections B and C of this section.

E.    One-Half of One Percent Penalty Per Month: In addition to the penalties imposed, any retailer who fails to remit any tax imposed by this article shall pay interest at the rate of one-half of one percent (0.5%) per month or fraction thereof on the amount of the tax, exclusive of penalties, from the date on which the remittance first became delinquent until paid.

F.    Penalty and Interest Part of Tax: Every penalty imposed and such interest as accrues under the provisions of this section shall become a part of the tax herein required to be paid. [Formerly numbered Section 14-111; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-708: FAILURE TO COLLECT AND REPORT TAX; DETERMINATION OF TAX:

If any retailer shall fail or refuse to collect said tax and to make, within the time provided in this article, any report and remittance of said tax or any portion thereof required by the article, the Community Development Director shall proceed in such manner as they may deem best to obtain facts and information on which to base their estimate of the tax due. As soon as the Community Development Director shall procure such facts and information as they are able to obtain upon which to base the assessment of any tax imposed by this article and payable by any retailer who has failed or refused to collect the same and to make such report and remittance, they shall proceed to determine and assess against such retailer the tax, interest and penalties provided for by this article. In case such determination is made, the Community Development Director shall give a notice of the amount so assessed by serving it personally or by depositing it in the United States mail, postage prepaid, addressed to the retailer so assessed at their last known place of address. Such retailer may within ten (10) days after the serving or mailing of such notice make application in writing to the Community Development Director for a hearing on the amount assessed. If application by the retailer for a hearing is not made within the time prescribed, the tax, interest and penalties if any, determined by the Community Development Director shall become final and conclusive and immediately due and payable. If such application is made, the Community Development Director shall give not less than five (5) days’ written notice in the manner prescribed herein to the retailer to show cause at a time and place fixed in said notice why said amount specified therein should not be fixed for such tax, interest and penalties. At such hearing, the retailer may appear and offer evidence why such specified tax, interest and penalties should not be so fixed. After such hearing the Community Development Director shall determine the proper tax to be remitted and shall thereafter give written notice to the retailer in the manner prescribed herein of such determination and the amount of such tax, interest and penalties. The amount determined to be due shall be payable after fifteen (15) days unless an appeal is taken as provided in Section 2-4-113 of this chapter. [Formerly numbered Section 14-112; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-709: RECORDS:

It shall be the duty of every retailer liable for the collection and payment to the City of any tax imposed by this article to keep and preserve, for a period of three (3) years, all records as may be necessary to determine the amount of such tax as they may have been liable for the collection of and payment to the City, which records the Community Development Director shall have the right to inspect at all reasonable times. [Formerly numbered Section 14-114; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-710: REFUNDS:

A.    Claim in Writing: Whenever the amount of any tax, interest or penalty has been overpaid or paid more than once or has been erroneously or illegally collected or received by the City under this article, it may be refunded as provided in subsection B and C of this section provided a claim in writing therefor, stating under penalty of perjury the specific ground upon which the claim is founded, is filed with the Community Development Director within three (3) years of the date of payment. The claim shall be on forms furnished by the Community Development Director.

B.    Choice of Refund Or Credit: A retailer may claim a refund or take as credit against taxes collected and remitted the amount overpaid, paid more than once or erroneously or illegally collected or received when it is established in a manner prescribed by the Community Development Director that a person from whom the tax has been collected was not a user or consumer as the term is defined in subsection 2-4-702B of this article; provided, however, that neither a refund nor a credit shall be allowed unless the amount of the tax so collected has either been refunded to the purchaser erroneously required to pay the tax or otherwise credited to them.

C.    Claim to Be Established By Written Records: No refund shall be paid under the provisions of this section unless the claimant establishes their right thereto by written records showing entitlement thereto. [Formerly numbered Section 14-115; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-711: ACTIONS TO COLLECT:

Any person using or consuming cigarettes within the City who has not paid the tax required by the provisions of this article, and any retailer who has failed to collect or who has collected but not remitted any tax required to be paid by the provisions of this article, shall be liable to an action brought in the name of the City for the recovery of such amount. [Formerly numbered Section 14-116; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-712: FAILURE TO REGISTER OR FILE REPORTS, ETC.:

Any retailer or other person who fails or refuses to register as required herein or to furnish any return required to be made, or who fails or refuses to furnish a supplemental return or other data required by the Community Development Director, or who renders a false or fraudulent return or claim, and any person required to make, render, sign or verify any report or claim who makes any false or fraudulent report or claim with intent to defeat or evade the determination of any amount due required by this article to be made, is guilty of a misdemeanor. [Formerly numbered Section 14-117; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3828, eff. 8/24/12.]

2-4-713: EFFECTIVE DATE:

The tax imposed by this article shall become operative and be imposed on October 15, 1964, and shall not apply prior to said date. [Formerly numbered Section 14-118; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-714: SUSPENSION OF TAX:

The provisions of this article are suspended as of October 1, 1967, and shall remain suspended and be of no force and effect while the State imposes and collects a cigarette tax and allocates a portion of such tax to counties, cities and cities and counties pursuant to Section 30462(e) of the Revenue and Taxation Code as amended by Chapter 963 of the Statutes of 1967. Should Section 30462(e) as amended by Chapter 963 of the Statutes of 1967, pursuant to which the City is entitled to receive an allocation of State Cigarette tax revenues, be declared invalid for any reason, then and in that event the provisions of this article shall be deemed not to have been suspended but to have been in full force and effect continuously from and after October 1, 1967. Nothing in this section shall be construed as relieving any person of the obligation to pay to the City any cigarette tax accrued and owing under this article before October 1, 1967. [Formerly numbered Section 14-119; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 8. BUSINESS TAX

2-4-801: REVENUE MEASURE:

This article is enacted solely to raise revenue for municipal purposes and is not intended for regulation. The payment of a business tax required by the provisions of this article shall not entitle the payor to carry on any business unless the payor has complied with all of the requirements of this article and all other provisions of this code or State law. [Added by Ord. No. 2357; formerly numbered Section 14-120; renumbered by Ord. No. 3058, eff. 2/21/87; 2939.]

2-4-802: IMPOSITION OF BUSINESS TAXES:

A.    Schedule of Taxes: No person shall engage in any business at any location in the City without first having paid the business tax specified in the Burbank Fee Resolution for each such business.

B.    Computation of Tax: Except as otherwise provided in this article, the business tax shall consist of two (2) components. The first component shall be a basic or minimum tax to be levied against all businesses, at each business location, doing business within the City. The second component shall be an additional levy for each employee, not exceeding three thousand (3,000) employees, as of July 1 of each year, employed or retained by each such business according to the classifications designated in the Burbank Fee Resolution. The basic tax and the additional levy when added together shall yield the total business tax liability of each business.

C.    Adjustment Factor: Effective January 1, 1985, and each succeeding January 1 thereafter, the schedule of business taxes established by the City Council and designated in the Burbank Fee Resolution shall be adjusted in accordance with the provisions of this subsection. On November 1 of each year, the Building Director shall review the current Producers’ Price Index (PPI) published by the Bureau of Labor Statistics of the Department of Labor. When such index differs from the index for the previous November 1, the factor of increase or decrease shall be applied to the schedule of business taxes. Such factor shall be computed by dividing the PPI for the current November 1 by that pertaining to the previous November 1. The business taxes then in effect shall be multiplied by said factor and rounded off to the nearest nickel, to determine the adjusted business taxes for the following calendar year.

D.    Definitions: Unless the particular provisions or the context otherwise requires, the definitions contained in this subsection shall govern the construction, meaning, and application of the words and phrases used in this article.

BUILDING DIRECTOR: The Building Official or the designee of the Building Official.

BUSINESS: Each and every activity concerned with the making, supplying, and distribution of commodities or services, including, but not limited to, every profession, trade, occupation, and all and every kind of calling.

EMPLOYEE: “Employee” as such term is defined in 42 USC Section 410(j) of the Social Security Act. For the purposes of this article, the term “employee” shall include any person licensed as a real estate salesperson pursuant to the Business and Professions Code of the State of California and working under the supervision of a licensed real estate broker.

E.    Professionals:

1.    Every person conducting, carrying on, or managing any of the following professions or services shall pay the annual business tax designated in the Burbank Fee Resolution: appraiser, architect, artist, assayer, attorney at law, bacteriologist, business counselor, certified public accountant, chemist, chiropodist, chiropractor, civil engineer, chemical engineer, consulting engineer, dentist, designer, detective, draftsman, economist, electrical engineer, engraver, entomologist, geologist, hydraulic engineer, illustrator, insurance adjustor, insurance broker, landscape architect, lapidary, lithographer, masseur, masseuse, mechanical engineer, mining engineer, oculist, optician, optometrist, osteopath, osteopathist, physical therapist, physician, psychologist, psychiatrist, public accountant, real estate broker, surgeon, surveyor, veterinarian, or other profession or service determined by the Building Director to be similar thereto.

2.    Except as provided in subsection E3 of this section, a person acting as the employee of another person shall not be subject to a business tax under subsection E1 of this section.

3.    Each employee who has a right to share in any profits (other than by way of a profit sharing, pension, annual bonus, or similar plan) of their employer carrying on a profession or business enumerated in subsection E1 of this section, shall be subject to a business tax under said subsection.

4.    Each member of any partnership or other association carrying on a profession or business enumerated in subsection E1 of this section shall be subject to a business tax under said subsection. [Added by Ord. No. 2357; formerly numbered Section 14-120.1; renumbered by Ord. No. 3058, eff. 2/21/87; 2964, 2951, 2939.]

2-4-803: VENDING AND OTHER COIN OPERATED MACHINES:

A.    Gross Receipts: Every person engaged in the business of operating, providing, renting or leasing coin operated machines shall pay a business tax in an amount equal to a percentage, specified in the Burbank Fee Resolution, of the gross receipts derived from the operation of such machines within the City.

B.    Coin Operated Machine: “Coin operated machines”, as used herein, shall mean machines and devices other than those specified in subsection C of this section, the operation of which results from the insertion of a coin, slug, or token of value, whether placed or inserted directly into such machines or devices, or into devices causing their operation, and shall include, but not be limited to, coin operated vending machines, phonographs and other music machines and devices, radios, television sets, pinball machines and other amusement devices, weighing machines and devices, and baggage checking devices.

C.    Exemption: Nothing herein shall be construed to require the payment of any business tax for any coin operated telephone, or any coin box for the receipt of fares on any carrier, or any coin operated machine or device entirely owned, operated, and supplied by the owner or operator of a business for the convenience of its employees, visitors, customers, or tenants, which business is specifically taxed by other provisions of this article.

[Added by Ord. No. 2357; formerly numbered Section 14-120.2; renumbered by Ord. No. 3058, eff. 2/21/87; 2939, 2811, 2551, 2537, 2435, 2389, 2381, 2363.]

2-4-804: CONTRACTORS:

Every person who is required to have a state contractor’s license and who is conducting, carrying on, or managing the business of a contractor or subcontractor in the City shall pay a business tax as determined by the volume of work schedule, designated in the Burbank Fee Resolution, from jobs or projects located within the City. [Added by Ord. No. 2357; formerly numbered Section 14-120.3; renumbered by Ord. No. 3058, eff. 2/21/87; 2939.]

2-4-805: LAUNDRY SERVICES:

For every person conducting, carrying on or managing the business of a service laundry, laundromat, laundry route operator, laundry collector, cleaning and laundry service, or any similar business, the business tax shall be determined by the gross receipts schedule designated in the Burbank Fee Resolution. [Added by Ord. No. 2435; formerly numbered Section 14-120.4; renumbered by Ord. No. 3058, eff. 2/21/87; 2939.]

2-4-806: RESIDENTIAL RENTAL BUSINESS:

A.    Apartments and Bungalows: For every person conducting or carrying on or managing an apartment, flat, court, bungalow, or rooming house, consisting of three (3) or more individual living units or rooms available for rent, the business tax shall be as designated in the Burbank Fee Resolution.

B.    Hotels and Motels: For every person conducting or carrying on or managing a hotel or motel, the business tax shall be as designated in the Burbank Fee Resolution. [Added by Ord. No. 2939; formerly numbered Section 14-120.5; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-807: COMMERCIAL RENTAL BUSINESS:

For every person conducting or carrying on or managing a business involving the rental or lease of commercial, retail, office, wholesaling, or manufacturing property or space, the business tax shall be as designated in the Burbank Fee Resolution. Each business location shall be taxed separately. [Added by Ord. No. 2939; formerly numbered Section 14-120.6; amended by Ord. No. 3197, eff. 8/18/90; 3058.]

2-4-808: EXEMPTIONS FROM BUSINESS TAXES:

Persons exempted from the payment of license fees by Section 3-6-412 of this code shall be similarly exempt from the payment of business taxes imposed by this article. Nothing contained in this article shall be deemed or construed to apply to any person engaged in a profession solely as an employee of a person subject to, or exempted from, a business tax imposed by this article or a license fee imposed by other provisions of this code. Persons engaged in any home occupation permitted by Section 10-1-661 of this code shall not be subject to any business tax or registration fee imposed by this article if the gross receipts from such occupation is less than one thousand two hundred dollars ($1,200.00) per year.

[Added by Ord. No. 2357; formerly numbered Section 14-121; renumbered by Ord. No. 3058, eff. 2/21/87; 2939, 2435, 2363.]

2-4-809: BUSINESS TAXES IN ADDITION TO OTHER FEES AND TAXES:

License application fees, license fees, permit application fees, permit fees and special business license taxes imposed by other provisions of this code are in addition to the business taxes imposed by this article and persons required to pay taxes under this article must obtain any required permit or license for the business being conducted and pay such additional fees or taxes in the manner and at the times provided. [Added by Ord. No. 2357; formerly numbered Section 14-121.1; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-810: REGISTRATION REQUIRED:

Every person required to pay a tax under this article shall furnish to the Building Director on forms provided for such purpose, a sworn statement, accompanied by a registration fee specified in the Burbank Fee Resolution, setting forth the following:

A.    The name and address of the business and whether a sole proprietorship, partnership, corporation or other business entity.

B.    The exact nature or kind of business.

C.    The place or places where business is conducted or to be conducted.

D.    The names and residence addresses of the owners of the business, and if a corporation, the names and residence addresses of the principal officers thereof.

E.    The number of employees employed or retained by the business on the July 1 immediately preceding the filing of the application.

F.    Such other information as the Building Director may require.

In the event the nature or kind of business so conducted is changed so as to require the payment of an additional or different tax under the provisions of this article, the person conducting such business shall file an amended sworn statement setting forth the exact nature or kind of business being conducted and pay any additional tax which may be due. Changes of address or ownership shall be promptly reported to the Building Director. [Added by Ord. No. 2357; formerly numbered Section 14-121.2; renumbered by Ord. No. 3058, eff. 2/21/87; 2939.]

2-4-811: BUSINESS TAX REGISTRATION CERTIFICATE:

A.    Issuance of Certificate: Upon compliance with provisions of Section 2-4-810 of this article, the Building Director shall issue to the registrant a Business Tax Registration Certificate which shall state:

1.    The name of the person to whom issued.

2.    The classification of the business engaged in.

3.    The address of the location from which the business is conducted.

B.    Posting and Keeping: Every person engaged in a business subject to tax under the provisions of this article shall keep the registration certificate issued therefor posted in a conspicuous place upon the premises at or from which the business is conducted.

C.    Not Transferable; Exception: No Business Tax Registration Certificate issued under this article shall be transferable; provided, however, that where a Business Tax Registration Certificate has been issued for a particular place, such certificate may, upon application therefor and paying the fee specified in the Burbank Fee Resolution, be amended so as to show conduct of such business at some other location. [Added by Ord. No. 2357; formerly numbered Section 14-121.3; renumbered by Ord. No. 3058, eff. 2/21/87; 2939, 2435.]

2-4-812: LICENSE INSPECTORS:

The Building Director or designees of the Building Director may enter free of charge, at any time, any place of business for which a registration certificate is required by this article and demand the exhibition of any such certificate by any person engaged or employed in the transaction of such business. The Building Director or designees of the Building Director shall also have the power to collect and receive money in payment of business taxes. [Added by Ord. No. 2939; formerly numbered Section 14-121.4; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-813: PAYMENT OF BUSINESS TAXES:

A.    When Payable: Annual taxes imposed by this article shall be payable in advance on January 1 of each year or on the day business is commenced, whichever is later. Taxes imposed on a daily basis shall be payable in advance prior to the commencement of each day of business.

B.    Prorating: When a business is commenced in the second or subsequent quarter of any calendar year, the annual tax applicable to such business, except an annual tax based on costs of production, charges for related services, volume of work or gross receipts, shall be prorated as of the first day of the quarter.

C.    Estimated Tax: Except as otherwise provided in this article, if the amount of tax to be paid by any person under the provisions of this article is based upon costs of production, charges for related services, volume of work or gross receipts, they shall estimate their costs of production, charges for related services, volume of work or gross receipts, for the period involved and such estimate, if accepted by the Building Director as reasonable, shall be used in determining the amount of tax to be paid, provided, however, that the amount of tax so determined shall be tentative only and such person shall, within thirty (30) days after the expiration of the period for which the tax is paid, furnish the Building Director with a sworn statement showing the costs of production, charges for related services, volume of work or gross receipts, as the case may be, and the actual tax due for such period. Should the amount of tax actually due be in excess of the estimated tax previously paid, such excess shall be paid forthwith, together with such penalties as may be applicable. If the actual tax due is less than the estimated tax previously paid, such excess shall be credited against the tax payable for the succeeding calendar year, or in the event such person is no longer engaged in a business subject to a tax under the provisions of this article, such excess shall be refunded.

D.    Statements Not Conclusive: No statement of any person subject to a tax under the provisions of this article shall be conclusive as to the matters therein set forth, nor shall the filing of the same preclude the City from collecting by appropriate action such sum as is actually due and payable hereunder. [Added by Ord. No. 2357; formerly numbered Section 14-122; renumbered by Ord. No. 3058, eff. 2/21/87; 2939, 2537, 2435, 2363.]

2-4-814: DELINQUENCY DATES:

Annual taxes payable on January 1 shall be deemed delinquent if not paid on or before the close of business on January 31. When a business subject to an annual tax is commenced after January 1, the tax payable by such business shall be deemed delinquent if not paid within thirty (30) days after the commencement of operations. Taxes imposed on a daily basis shall be deemed delinquent if not paid prior to the close of each day of business. [Added by Ord. No. 2357; formerly numbered Section 14-122.1; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-815: PENALTIES:

Whenever a tax imposed by this article is not paid on or before the delinquency date, a penalty in an amount specified in the Burbank Fee Resolution shall be imposed, unless it is demonstrated to the satisfaction of the Building Director that the failure to pay the tax before the delinquency date was due to excusable neglect. In addition to the penalty or penalties imposed, interest at the rate of one percent (1%) per month, or fraction thereof, shall be paid on the amount of the business taxes due and unpaid. [Added by Ord. No. 2357; formerly numbered Section 14-122.2; renumbered by Ord. No. 3058, eff. 2/21/87; 2939, 2363.]

2-4-816: CREDITS AND REFUNDS:

A.    Credits: Whenever any license fee imposed by other provisions of this code is repealed concurrently with the imposition of a business tax under this article, the unexpired prorated portion of such license fee shall be credited against the tax payable.

B.    Refunds: Whenever it is established to the satisfaction of the Building Director that the amount of any tax under this article has been overpaid or paid more than once or has been erroneously or illegally collected or received, it may be refunded. [Added by Ord. No. 2357; formerly numbered Section 14-122.3; renumbered by Ord. No. 3058, eff. 2/21/87; 2939.]

2-4-817: BUSINESS TAX AS DEBT:

A.    Debt: Any person carrying on any trade, calling, profession, occupation, or business without having obtained a Business Tax Registration Certificate shall be liable for the amount of the business tax imposed by this article, the Burbank Fee Resolution, and the rules and regulations promulgated thereunder. The amount of such business tax, including any penalty or interest thereon, shall be a debt owed to the City.

B.    Conviction: The conviction and punishment of any person for transacting any trade, calling, profession, occupation, or business without having obtained a Business Tax Registration Certificate pursuant to the provisions of this article shall not excuse or exempt such person from the business tax due and unpaid at the time of any such violation of the provisions of this article. [Added by Ord. No. 2939; formerly numbered Section 14-122.4; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-818: RULES AND REGULATIONS:

The Building Director may prescribe, from time to time as may be deemed necessary or desirable, rules and regulations, not in conflict with this article, relating to the administration and interpretation of this article and the business tax portion of the Burbank Fee Resolution, and the classification of trades, callings, professions, occupations, and businesses contained therein. [Added by Ord. No. 2939; formerly numbered Section 14-122.5; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-819: EMPLOYMENT RECORDS:

All holders of Business Tax Registration Certificates shall keep complete employee records, including payroll records or other documentation approved by the Building Director, which may demonstrate compliance with this article and shall retain all such records for examination by the Building Director or designees of the Building Director. Such records shall be maintained for a period of at least three (3) years. [Added by Ord. No. 2939; formerly numbered Section 14-122.6; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-820: Business Tax Penalty Amnesty Program:

Council may, by resolution, cause the development, implementation and administration of a business tax penalty amnesty program, whereby temporarily, for a specified period of time, certain elements of Article 8, Title 2 Chapter 4 of the Burbank Municipal Code will not be applied. [Added by Ord. No. 3686, eff. 2/18/06.]

ARTICLE 9. PARKING AND BUSINESS IMPROVEMENT AREAS

DIVISION 1. PARKING AND BUSINESS IMPROVEMENT AREA LAW

2-4-901: PURPOSE OF DIVISION:

The provisions of this division shall supplement Division 18, Part 5 of the State Streets and Highways Code, known as the Parking and Business Improvement Area Law of 1965, which is adopted by reference and incorporated in this division as though set forth herein in full. [Formerly numbered Section 14-123; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-902: GENERAL BUSINESS LICENSE TAX:

Proceedings may be brought to impose a tax on businesses within a parking and business improvement area although no general business license tax exists. [Formerly numbered Section 14-124; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-903: REFERENCES TO ADDITIONAL TAX:

All references to an additional tax, rate or levy or an increase in tax, or levy shall be deemed to include the imposition of a tax, rate or levy where none exists. [Formerly numbered Section 14-125; renumbered by Ord. No. 3058, eff.2/21/87.]

2-4-904: TERMINATION OF PROCEEDINGS ON MAJORITY PROTEST:

When no general business license tax exists, proceedings shall terminate if protest is made by a majority of the taxable businesses in the proposed area or by businesses paying a majority of the proposed taxes within the area. [Formerly numbered Section 14-126; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 10. DOCUMENTARY STAMP TAX

2-4-1001: TITLE AND AUTHORITY:

This article shall be known as the BURBANK REAL PROPERTY TRANSFER TAX ORDINANCE. It is adopted pursuant to the authority contained in Part 6.7 (commencing with Section 11901) of Division 2 of the State Revenue and Taxation Code. [Formerly numbered Section 14-141; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1002: TAX IMPOSED:

There is hereby imposed on each deed, instrument or writing by which any lands, tenements, or other realty sold within the City shall be granted, assigned, transferred or otherwise conveyed to, or vested in, the purchaser or purchasers, or any other person or persons, by their direction, when the consideration or value of the interest to property conveyed (exclusive of the value of any lien or encumbrances remaining thereon at the time of sale) exceeds one hundred dollars ($100.00) a tax at the rate of twenty seven and one-half cents ($0.275) for each five hundred dollars ($500.00) or fractional part thereof. [Formerly numbered Section 14-142; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1003: PAYMENT:

The tax imposed pursuant to this article shall be paid by any person who makes, signs or issues any document or instrument subject to the tax, or for whose use or benefit the same is made, signed or issued. [Formerly numbered Section 14-143; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1004: GOVERNMENTAL EXEMPTIONS:

Any deed, instrument or writing submitted to the County Recorder for recordation to which the United States or any agency or instrumentality thereof, or any state or territory or political subdivision thereof, is a party, shall be exempt from any tax imposed pursuant to this article when the exempt agency is acquiring title. [Formerly numbered Section 14-144; renumbered by Ord. No. 3058, eff. 2/21/87; 2283.]

2-4-1005: MORTGAGES EXCLUDED:

The tax imposed pursuant to this article shall not apply to any instrument in writing given to secure a debt. [Formerly numbered Section 14-145; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1006: REORGANIZATION PLANS EXCLUDED:

A.    The tax imposed pursuant to this article shall not apply to the making, delivering or filing of conveyances to make effective any plan or reorganization or adjustment:

1.    Confirmed under the Federal Bankruptcy Act, as amended;

2.    Approved in an equity receivership proceeding in a court involving a railroad corporation, as defined in Subdivision (m) of Section 205 of Title 11 of the United States Code, as amended;

3.    Approved in an equity receivership proceeding in a court involving a corporation, as defined in Subdivision (3) of Section 506 of Title 11 of the United States Code, as amended; or

4.    Whereby a mere change in identity, form or place or organization is effected.

B.    Subsection A1 to A4, inclusive, of this section shall only apply if the making, delivery or filing of instruments of transfer or conveyances occurs within five (5) years from the date of such confirmation, approval or change. [Formerly numbered Section 14-146; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1007: SECURITIES AND EXCHANGE COMMISSION ORDERS EXCLUDED:

The tax imposed pursuant to this article shall not apply to the making or delivery of conveyances to make effective any order of the Securities and Exchange Commission, as defined in Subdivision (a) of Section 1083 of the Internal Revenue Code of 1954; but only if:

A.    The order of the Securities and Exchange Commission in obedience to which such conveyance is made recites that such conveyance is necessary or appropriate to effectuate the provisions of Section 79k of Title 15 of the United States Code, relating to the Public Utility Holding Company Act of 1935;

B.    Such order specifies the property which is ordered to be conveyed; and

C.    Such conveyance is made in obedience to such order. [Formerly numbered Section 14-147; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1008: PARTNERSHIP TRANSFERS EXCLUDED:

A.    In the case of any realty held by a partnership, no levy shall be imposed pursuant to this article by reason of any transfer of an interest in a partnership or otherwise, if:

1.    Such partnership (or another partnership) is considered a continuing partnership within the meaning of Section 708 of the Internal Revenue Code of 1954; and

2.    Such continuing partnership continues to hold the realty concerned.

B.    If there is a termination of any partnership within the meaning of Section 708 of the Internal Revenue Code of 1954, for purposes of this article, such partnership shall be treated as having executed an instrument whereby there was conveyed, for fair market value (exclusive of the value of any lien or encumbrance remaining thereon), all realty held by such partnership at the time of such termination.

C.    Not more than one tax shall be imposed pursuant to this article by reason of a termination described in subsection B of this section, and any transfer pursuant thereto, with respect to the realty held by such partnership at the time of such termination. [Formerly numbered Section 14-148; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1009: ADMINISTRATION:

The County Recorder shall administer this article in conformity with the provisions of Part 6.7 of Division 2 of the State Revenue and Taxation Code and the provisions of any county ordinance adopted pursuant thereto. [Formerly numbered Section 14-149; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1010: REFUNDS:

Claims for refund of taxes imposed pursuant to this article shall be governed by the provisions of Chapter 5 (commencing with Section 5096) of Part 9 of Division 1 of the State Revenue and Taxation Code. [Formerly numbered Section 14-150; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1011: OPERATIVE DATE:

This article shall become operative upon the operative date of any ordinance adopted by the County of Los Angeles, pursuant to Part 6.7 (commencing with Section 11901) of Division 2 of the State Revenue and Taxation Code, or upon the effective date of this article, whichever is the later. [Formerly numbered Section 14-151; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 11. UTILITY USERS TAX

2-4-1101: DEFINITIONS:

Except where the context otherwise requires, the definitions given in this section govern the construction of this article:

A.    ANCILLARY TELECOMMUNICATIONS SERVICE (or ANCILLARY SERVICE) means services that are associated with or incidental to the provision, use or enjoyment of telecommunications service, including but not limited to Conference Bridging Service, Detailed Telecommunications Billing Service, Directory Assistance, Vertical Service and Voicemail Service as defined herein.

B.    BILLING ADDRESS means the mailing address of the service user where the service supplier submits invoices or bills for payment by the customer.

C.    CITY means the City of Burbank.

D.    CITY MANAGER means the City Manager of City, or their authorized representative.

E.    COGENERATOR means any corporation or person employing cogeneration (as defined in Section 218.5 of the California Public Utilities Code) for producing power for the generation of electricity for self use or sale to others from a qualified cogeneration facility (as defined in the federal Public Utility Regulatory Policies Act of 1978 and regulations thereunder).

F.    CONFERENCE BRIDGING SERVICE means ancillary service that links two (2) or more participants of an audio or video conference call and may include the provision of a telephone number. Conference bridging service does not include the telecommunications services used to reach the conference bridge.

G.    DETAILED TELECOMMUNICATIONS BILLING SERVICE means an ancillary service of separately stating information pertaining to individual calls on a customer’s billing statement.

H.    DIRECTORY ASSISTANCE means an ancillary service of providing telephone number information, and/or address information.

I.    ELECTRICAL CORPORATION means a corporation or person as defined in Public Utilities Code Section 218.

J.    EXEMPT WHOLESALE GENERATOR shall have the same meaning and usage as set forth in the Federal Power Act (15 U.S.C.S. 79z-5a) and regulations thereunder.

K.    GAS means natural or manufactured gas or any alternate hydrocarbon fuel which may be substituted therefor.

L.    GAS CORPORATION means a corporation or person as defined in Public Utilities Code Section 222.

M.    GROSS ANNUAL INCOME OF THE HOUSEHOLD means the income of every member of the household received during the year for which the refund is claimed and shall include but not be limited to wages, salaries, bonuses, tips, gross amount of pensions and annuities, retirement benefits, social security payments, disability payments, life insurance benefits, interests, capital gains, spousal support and inheritances.

N.    HANDICAPPED PERSON means a person who is disabled and lacks sufficient annual income to meet the costs of health care and whose other assets are so limited that their application toward the costs of such care would jeopardize such person or such person’s family’s future minimum self-maintenance and security. For the purposes of this article, the term “handicapped person” shall not include any person who regularly requires the use of an essential life-support device.

O.    MOBILE TELECOMMUNICATIONS SERVICE shall have the same meaning and usage as set forth in the Mobile Telecommunications Sourcing Act (4 U.S.C. Section 116 et seq.) and the regulations thereunder.

P.    MONTH means a calendar month.

Q.    NON-UTILITY SUPPLIER means:

1.    a service supplier, other than a supplier of electric distribution services to all or a significant portion of the City, which generates electricity for sale to others, and shall include, but is not limited to, any publicly-owned electric utility, investor-owned utility, cogenerator, distributed generation provider, exempt wholesale generator (15 U.S.C. Section 79z-5a), municipal utility district, federal power marketing authority, electric rural cooperative, or other supplier or seller of electricity;

2.    an electric service provider (ESP), electricity broker, marketer, aggregator, pool operator, or other electricity supplier other than a supplier of electric distribution services to all or a significant portion of the City, which sells or supplies electricity or supplemental services to electricity users within the City; and

3.    a gas service supplier, aggregator, marketer, or broker, other than a supplier of gas distribution services to all or a significant portion of the City, which sells or supplies gas or supplemental services to users within the City.

R.    PAGING SERVICE means a “telecommunications service” that provides transmission of coded radio signals for the purpose of activating specific pagers; such transmissions may include messages and/or sounds.

S.    PERSON means without limitation, any natural individual, firm, trust, common law trust, estate, partnership of any kind, association, syndicate, club, joint stock company, joint venture, joint power authority, limited liability company, corporation (including foreign, domestic, and nonprofit), municipal district or municipal corporation (other than the City) cooperative, receiver, trustee, guardian, or other representative appointed by order of any court.

T.    PERSON WHO REGULARLY REQUIRES THE USE OF AN ESSENTIAL LIFE-SUPPORT DEVICE means a person who daily uses, for eight (8) or more hours each day, either a respirator, an iron lung, or a kidney dialysis machine.

U.    PLACE OF PRIMARY USE means the street address representative of where the customer’s use of the communications service primarily occurs, which must be the residential street address or the primary business street address of the customer.

V.    POST-PAID TELECOMMUNICATIONS SERVICE means telecommunications service obtained by making a payment on a communication-by-communication basis either through the use of a credit card or payment mechanism such as a bank card, travel card, credit card, or debit card, or by charge made to a service number which is not associated with the origination or termination of the telecommunications service.

W.    PREPAID TELECOMMUNICATIONS SERVICE means the right to access telecommunications service that is paid for in advance, that enables the origination of communications using an access number or authorization code, whether manually or electronically dialed, and is sold in predetermined units or dollars of which the number declines with use in a known amount.

X.    PRIVATE TELECOMMUNICATIONS SERVICE means telecommunications service that entitles the customer to exclusive or priority use of a communications channel or group of channels between or among termination points, regardless of the manner in which such channel or channels are connected, and includes switching capacity, extension lines, stations, and any other associated services that are provided in connection with the use of such channel or channels. A communications channel is a physical or virtual path of communications over which signals are transmitted between or among customer channel termination points (i. e., the location where the customer either inputs or receives the communications).

Y.    SERVICE ADDRESS means the residential street address or the business street address of the service user. For a telecommunications service user, “service address” means:

1.    The location of the service user’s communication equipment from which the communication originates or terminates, regardless of where the communication is billed or paid; or,

2.    If the location in subsection (1) of this definition is unknown (e.g., mobile telecommunications service or VoIP service), the service address means the location of the service user’s place of primary use.

3.    For prepaid telecommunications service, “service address” means the location associated with the service number or, if not known, the point of sale of the services.

Z.    SERVICE SUPPLIER means any entity or person, including the City, that provides telecommunications, electric, or gas service to a user of such services within the City, and includes an entity or person required to collect, or self-collect under Section 2-4-1105 of this article, and remit a tax as imposed by this article, including its billing agent in the case of electric or gas.

AA.    SERVICE USER means a person required to pay a tax imposed under the provisions of this article.

BB.    STATE means the State of California.

CC.    STREAMLINED SALES AND USE TAX AGREEMENT means the multi-state agreement commonly known and referred to as the Streamlined Sales and Use Tax Agreement, as it is amended from time to time.

DD.    TAX ADMINISTRATOR shall mean the City’s Finance Director, or their designee.

EE.    TELECOMMUNICATIONS SERVICE means the transmission, conveyance, or routing of voice, data, audio, video, or any other information or signals to a point, or between or among points, whatever the technology used. The term “telecommunications services” includes such transmission, conveyance, or routing in which computer processing applications are used to act on the form, code or protocol of the content for purposes of transmission, conveyance or routing without regard to whether such services are referred to as voice over internet protocol (VoIP) services or are classified by the Federal Communications Commission as enhanced or value added, and includes video and/or data services that is functionally integrated with “telecommunication services.” “Telecommunications service” includes, but is not limited to the following services, regardless of the manner or basis on which such services are calculated or billed: ancillary telecommunications service; intrastate, interstate, and international telecommunications service; mobile telecommunications service; prepaid telecommunications service; post-paid telecommunications service; private telecommunications service; paging service; 800 service (or any other toll-free numbers designated by the Federal Communications Commission); 900 service (or any other similar numbers designated by the Federal Communications Commission for services whereby subscribers who call in to pre-recorded or live service). The term “telecommunications service” also includes, but is not limited to, charges for: connection, reconnection, termination, movement, or change of telecommunications service; late payment fees; detailed billing; central office and custom calling features (including but not limited to call waiting, call forwarding, caller identification and three-way calling); voice mail and other messaging services; directory assistance; access and line charges; universal service charges; regulatory, administrative and other cost recovery charges; local number portability charges; and text and instant messaging. “Telecommunications service” shall not include digital downloads that are not “ancillary telecommunications service,” such as music, ringtones, games, and similar digital products.

FF.    VERTICAL SERVICE means an ancillary service that is offered in connection with one or more telecommunications services, which offers advanced calling features that allow customers to identify callers and to manage multiple calls and call connections, including conference bridging services.

GG.    VOICE MAIL SERVICE means an ancillary service that enables the customer to store, send or receive recorded messages. Voice mail service does not include any vertical services that the customer may be required to have in order to utilize the voice mail service.

HH.    WATER CORPORATION means a corporation or person as defined in Public Utilities Code Section 241.

II.    VOICE OVER INTERNET PROTOCOL (or VOIP) means the digital process of making and receiving real-time voice transmissions over any Internet Protocol network.

JJ.    800 SERVICE means a “telecommunications service” that allows a caller to dial a toll-free number without incurring a charge for the call. The service is typically marketed under the name “800,” “855,” “866,” “877,” and “888” toll-free calling, and shall include any subsequent numbers designated for such service by the Federal Communications Commission.

KK.    900 SERVICE means an inbound toll “telecommunications service” purchased by a subscriber that allows the subscriber’s customers to call in to the subscriber’s prerecorded announcement or live service. “900 service” does not include the charge for collection services provided by the seller of the “telecommunications services” to the subscriber, or service or product sold by the subscriber to the subscriber’s customer. The service is typically marketed under the name “900” service, and shall include any subsequent numbers designated for such service by the Federal Communications Commission. [Added by Ord. No. 2177; Formerly numbered Section 14-152; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3809, eff. 4/26/11; 3703, 3699, 3638, 3553, 3506, 3095, 3058, 3028, 2461, 2348.]

2-4-1102: TELECOMMUNICATIONS SERVICE USERS’ TAX:

A.    There is hereby imposed a tax upon every person in the City using telecommunications service. The tax imposed by this Section shall be at the rate of seven (7%) percent of the charges made for such services and shall be collected from the service user by the telecommunications service supplier or its billing agent. There is a rebuttable presumption that telecommunications service that is billed to a billing or service address in the City is used, in whole or in part, within the City’s boundaries, and such service is subject to taxation under this section. There is also a rebuttable presumption that prepaid telecommunications service sold within the city is used, in whole or in part, within the City and is therefore subject to taxation under this section. If the billing address of the service user is different from the service address, the service address of the service user shall be used for purposes of imposing the tax. As used in this section, the term “charges” shall include, but not be limited to, the value of any other services, credits, property of every kind or nature, or other consideration provided by the service user in exchange for the communication services.

B.    “Mobile telecommunications service” shall be sourced in accordance with the sourcing rules set forth in the Mobile Telecommunications Sourcing Act (4 U.S.C. Section 116 et seq.). The Tax Administrator may issue and disseminate to communication service suppliers, which are subject to the tax collection requirements of this Section, sourcing rules for the taxation of other communication services, including but not limited to post-paid communication services, prepaid communication services, VoIP, and private communication services, provided that such rules are based upon custom and common practice that further administrative efficiency and minimize multi jurisdictional taxation (e.g., Streamlined Sales and Use Tax Agreement).

C.    The Tax Administrator may issue and disseminate to telecommunications service suppliers, which are subject to the tax collection requirements of this Section, an administrative ruling identifying those telecommunications services, or charges therefor, that are subject to or not subject to the tax of subsection A. above.

D.    To prevent actual multi jurisdictional taxation of telecommunications service subject to tax under this Section, any service user, upon proof to the Tax Administrator that the service user has previously paid the same tax in another state or city on such telecommunications service, shall be allowed a credit against the tax imposed to the extent of the amount of such tax legally imposed in such other state or city; provided, however, the amount of credit shall not exceed the tax owed to the City under this Section.

E.    The tax on telecommunications service imposed by this Section shall be collected from the service user by the service supplier. The amount of tax collected in one month shall be remitted to the Tax Administrator, and must be received by the Tax Administrator on or before the twentieth (20th) day of the following month. [Added by Ord. No. 2177; Formerly numbered Section 14-153; Amended by Ord. No. 3809, eff. 4/26/11; 3703, 3699, 3638, 3553, 3506, 3258, 3058, 2351.]

2-4-1103: ELECTRICITY USERS’ TAX:

A.    There is hereby imposed a tax upon every person using electricity in the City. The tax imposed by this section shall be at the rate of seven percent (7%) of the charges made for such electricity, and for any supplemental services or other associated activities directly related and/or necessary for the provision of electricity to the end user, which are provided by a service supplier or nonutility supplier to a service user. The tax shall be collected from the service user by the service supplier or nonutility service supplier, or its billing agent.

B.    As used in this section, the term “charges” shall apply to all services, components and items that are: 1) necessary or common to the receipt, use and enjoyment of electric service; or 2) currently, or historically have been, included in a single or bundled rate for electric service by a local distribution company to a class of retail customers. The term “charges” shall include, but is not limited to, the following charges:

1.    Energy charges;

2.    Distribution and transmission charges;

3.    Metering charges;

4.    Standby, reserves, firming, ramping, voltage support, regulation, emergency, or other similar minimum charges for services;

5.    Customer charges, late charges, service establishment or reestablishment charges, demand charges, fuel or other cost adjustments, power exchange charges, independent system operator (ISO) charges, stranded investment or competitive transition charges (CTC), public purpose program charges, nuclear decommissioning charges, trust transfer amounts (bond financing charges), franchise fee, franchise surcharge, annual and monthly charges, and other charges, fees and surcharges which are necessary to or common for the receipt, use and enjoyment of electric service; and

6.    Charges, fees, or surcharges for electricity services or programs, which are mandated by the California Public Utilities Commission, or the Federal Energy Regulatory Commission, whether or not such charges, fees, or surcharges appear on a bundled or line item basis on the customer billing.

C.    As used in this section, the term “charges” shall include the value of any other services, credits, property of every kind or nature, or other consideration provided by the service user in exchange for the electricity or services related to the provision of such electricity.

D.    The Tax Administrator, from time to time, may survey the electric service suppliers to identify the various unbundled billing components of electric retail service that they commonly provide to residential and commercial/industrial customers in the City, and the charges therefor, including those items that are mandated by state or federal regulatory agencies as a condition of providing such electric service. The Tax Administrator, thereafter, may issue and disseminate to such electric service suppliers an administrative ruling identifying those components and items which are: 1) necessary or common to the receipt, use or enjoyment of electric service; or 2) currently, or historically have been, included in a single or bundled rate for electric service by a local distribution company to a class of retail customers. Charges for such components and items shall be subject to the tax of subsection A of this section.

E.    As used in this section, the term “using electricity” shall not include electricity used in water pumping by water corporations; nor shall the term include the mere receiving of such electricity by an electrical corporation or governmental agency at a point within the City for resale.

F.    The tax on electricity provided by self-production or by a non-utility supplier or an electric utility not under the jurisdiction of this article shall be collected and remitted in the manner set forth in Section 2-4-1105 of this Article. All other taxes on charges for electricity imposed by this Section shall be collected from the service user by the electric service supplier or its billing agent. The amount of the tax collected in one (1) month shall be remitted to the Tax Administrator on or before the twentieth (20th) day of the following month or, at the option of the person required to collect or remit the tax, such person shall remit an estimated amount of the tax measured by the tax billed in the previous month or upon the payment pattern of the service user, which must be received by the Tax Administrator on or before the twentieth (20th) day of the following month, provided that the service user shall submit an adjusted payment or request for credit, as appropriate, within sixty (60) days following each calendar quarter. The credit, if approved by the Tax Administrator, may be applied against any subsequent tax bill that becomes due. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058, 2351.]

2-4-1104: GAS USERS’ TAX:

A.    There is hereby imposed a tax upon every person using gas in the City, which is transported through a pipeline distribution system or by mobile transport. The tax imposed by this section shall be at the rate of seven percent (7%) of the charges made for such gas, including all services related to the storage, transportation, and delivery of such gas, and shall apply to all uses of gas including but not limited to, heating.

B.    As used in this section, the term “charges” shall apply to all services, components and items for gas service that are: 1) necessary or common to the receipt, use and enjoyment of gas service; or 2) currently, or historically have been, included in a single or bundled rate for gas service by a local distribution company to a class of retail customers. The term “charges” shall include, but is not limited to, the following charges:

1.    The commodity charges for purchased gas, or the cost of gas owned by the service user (including the actual costs attributed to drilling, production, lifting, storage, gathering, trunk-line, pipeline, and other operating costs associated with the production and delivery of such gas), which is delivered through a gas pipeline distribution system or by mobile transportation;

2.    Gas transportation charges (including interstate charges to the extent not included in commodity charges);

3.    Storage charges; provided, however, that the service supplier shall not be required to apply the tax to any charges for gas storage services when the service supplier cannot, as a practical matter, determine the jurisdiction where such stored gas is ultimately used; but it shall be the obligation of the service user to self-collect the amount of tax not applied to any charge for gas storage by the service supplier and to remit the tax to the appropriate jurisdiction;

4.    Capacity or demand charges, late charges, service establishment or reestablishment charges, transition charges, customer charges, administrative charges, marketing fees, brokers fees, minimum charges, annual and monthly charges, and any other charges which are necessary or common to the receipt, use and enjoyment of gas service; and

5.    Charges, fees, or surcharges for gas services or programs, which are mandated by the California Public Utilities Commission or the Federal Energy Regulatory Commission, whether or not such charges, fees, or surcharges appear on a bundled or line item basis on the customer billing.

C.    As used in this section, the term “charges” shall include the value of any other services, credits, property of every kind or nature, or other consideration provided by the service user in exchange for the gas or services related to the delivery of such gas.

D.    The Tax Administrator, from time to time, may survey the gas service suppliers to identify the various unbundled billing components of gas retail service that they commonly provide to residential and commercial/industrial customers in the City, and the charges therefor, including those items that are mandated by state or federal regulatory agencies as a condition of providing such gas service. The Tax Administrator, thereafter, may issue and disseminate to such gas service suppliers an administrative ruling identifying those components and items which are: 1) necessary or common to the receipt, use or enjoyment of gas service; or 2) currently, or historically have been, included in a single or bundled rate for gas service by a local distribution company to a class of retail customers. Charges for such components and items shall be subject to the tax of subsection A of this section.

E.    The following shall be excluded from the base on which the tax imposed in this section is computed:

1.    Charges made for gas which is to be resold and delivered through a pipeline distribution system;

2.    Charges made for gas to be used in the generation of electricity by an electrical corporation; and

3.    Charges made by a gas corporation for gas used and consumed in the conduct of the business of gas corporations.

F.    The tax on gas provided by self-production or by a non-utility supplier not under the jurisdiction of this article shall be collected and remitted in the manner set forth in Section 2-4-1105 of this article. All other taxes on charges for gas imposed by this section shall be collected from the service user by the gas service supplier or its billing agent. The amount of tax collected in one (1) month shall be remitted to the Tax Administrator, and must be received by the Tax Administrator on or before the twentieth (20th) day of the following month; or, at the option of the person required to collect or remit the tax, such person shall remit an estimated amount of tax measured by the tax billed in the previous month or upon the payment pattern of the service user, which must be received by the Tax Administrator on or before the twentieth (20th) day of the following month, provided that the service user shall submit an adjusted payment or request for credit, as appropriate, within sixty (60) days following each calendar quarter. The credit, if approved by the Tax Administrator, may be applied against any subsequent tax bill that becomes due. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058, 2351.]

2-4-1105: COLLECTION OF TAX FROM SERVICE USERS RECEIVING DIRECT PURCHASE OF GAS OR ELECTRICITY:

A.    Any service user subject to the tax imposed by Section 2-4-1103 or 2-4-1104 of this article, which produces gas or electricity for self-use, or which receives gas or electricity, including any related supplemental services, directly from a non-utility supplier not under the jurisdiction of this Article, or that, for any other reason, is not having the full tax collected and remitted by its service supplier, a non-utility service supplier, or its billing agent on the use of gas or electricity, including any related supplemental services, in the City shall report said fact to the Tax Administrator and shall remit the tax due directly to the Tax Administrator within thirty (30) days of such use. In lieu of paying said actual tax, the service user may, at its option, remit to the Tax Administrator within thirty (30) days of such use an estimated amount of tax measured by the tax billed in the previous month, or upon the pattern payment of similar customers of the service supplier using similar amounts of gas or electricity, provided that the service user shall submit an adjusted payment or request for credit, as appropriate, within sixty (60) days following each calendar quarter. The credit, if approved by the Tax Administrator, may be applied against any subsequent tax bill that becomes due.

B.    The Tax Administrator may require said service user to identify its non-utility supplier and provide, subject to audit, invoices, books of account, or other satisfactory evidence documenting the quantity of gas or electricity used, including any related supplemental services, and the cost or price thereof. If the service user is unable to provide such satisfactory evidence, or, if the administrative cost of calculating the tax, in the opinion of the City, is excessive, the City may determine the tax by applying the tax rate to the equivalent charges the service user would have incurred if the gas or electricity used had been provided by the service supplier, which is the primary supplier of gas or electricity within the City. [Added by Ord. No. 3506; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553.]

2-4-1106: SUBSTANTIAL NEXUS/BUNDLING:

A.    For purposes of imposing a tax or establishing a duty to collect and remit a tax under this article, “substantial nexus” and “minimum contacts” shall be construed broadly in favor of the imposition, collection and/or remittance of the utility users’ tax to the fullest extent permitted by state and federal law, and as it may change from time to time by judicial interpretation or by statutory enactment. Any telecommunications service (including VoIP) used by a person with a service address in the City which service is capable of terminating a call to another person on the general telephone network shall be subject to a rebuttable presumption that “substantial nexus/minimum contacts” exists for purposes of imposing a tax or establishing a duty to collect and remit a tax under this Chapter. A service supplier shall be deemed to have sufficient activity in the City for tax collection and remittance purposes if its activities include but are not limited to any of the following: maintains or has within the City directly or through an agent, affiliate, or subsidiary, a place of business of any nature; solicits business in the City by employees, independent contractors, resellers, agents, or other representatives; solicits business in the City on a continuous regular, seasonal, or systematic basis by means of advertising that is broadcast or relayed from a transmitter within the City or distributed from a location within the City; or advertises in newspapers or other periodicals printed and published within the City or through materials distributed in the City by means other than the United States mail; or if there are activities performed in the City on behalf of the service supplier that are significantly associated with the service supplier’s ability to establish and maintain a market in the City for the provision of services that are subject to a tax under this Chapter.

B.    If any nontaxable charges are combined with and not separately stated from taxable service charges on the customer bill or invoice of a service supplier, the combined charge is subject to tax unless the service supplier identifies, by reasonable and verifiable standards, the portions of the combined charge that are nontaxable and taxable through the service supplier’s books and records kept in the regular course of business, and in accordance with generally accepted accounting principles, and not created and maintained for tax purposes. If the service supplier offers a combination of taxable and non-taxable services, and the charges are separately stated, then for taxation purposes, the values assigned the taxable and non-taxable services shall be based on its books and records kept in the regular course of business and in accordance with generally accepted accounting principles, and not created and maintained for tax purposes. The service supplier has the burden of proving the proper valuation of the taxable and non-taxable services. [Added by Ord. No. 3638, eff. 6/19/04; Amended by Ord. No. 3809, eff. 4/26/11.]

2-4-1107: CONSTITUTIONAL AND STATUTORY EXEMPTIONS:

A.    The taxes imposed by this article shall not apply to:

1.    Any person or service if imposition of such tax upon that person or service would be in violation of a federal or state statute or the Constitution of the United States or the Constitution of the State of California; or

2.    The City.

B.    Any service user that is exempt from the tax imposed by this Article pursuant to subsection A of this section shall file an application with the Tax Administrator for an exemption; provided, however, this requirement shall not apply to a service user that is a state or federal agency or subdivision (such as a public school district or a community college district) with a commonly recognized name. Said application shall be made upon a form approved by the Tax Administrator and shall state those facts, declared under penalty of perjury, which qualify the applicant for an exemption, and shall include the names of all utility service suppliers serving that service user. If deemed exempt by the Tax Administrator, such service user shall give the Tax Administrator timely written notice of any change in utility service suppliers so that the Tax Administrator can properly notify the new utility service supplier of the service user’s tax exempt status. A service user that fails to comply with this Section shall not be entitled to a refund of utility users taxes collected and remitted to the Tax Administrator from such service user as a result of such noncompliance. Upon request of the Tax Administrator, a service supplier or non-utility supplier, or their billing agents, shall provide a list of names and addresses of those customers which, according to their billing records, are deemed exempt from the utility users tax.

C.    The decision of the Tax Administrator may be appealed pursuant to Section 2-4-1120 of this article. Filing an application with the Tax Administrator and appeal to the City Manager pursuant to Section 2-4-1120 of this article is a prerequisite to a suit thereon.

D.    The City Council may, by resolution, establish one or more classes of persons or one or more classes of utility service otherwise subject to payment of a tax imposed by this Article and provide that such classes of persons or service shall be exempt, in whole or in part from such tax for a specified period of time. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058, 2524.]

2-4-1108: SENIOR CITIZEN EXEMPTION:

A.    Eligibility: Any service user who is sixty two (62) years of age or older shall be eligible for an exemption from the taxes imposed by this article if the gross annual income of the household in which such individual resides is less than the amount established by Council and designated in the Burbank Fee Resolution.

B.    Application: Applications for exemption shall be filed with the Tax Administrator on such forms as they may provide.

C.    Time to File: Applications may be filed at any time.

D.    Contents of Application: Applications shall be verified by declaration under penalty of perjury and shall contain such information as may be required by the Tax Administrator. An application must be accompanied by a copy of the applicant’s federal income tax return for the most recent year. However, if no federal income tax return was filed in the previous year, the applicant shall provide any other taxpayer return or return information requested by the Tax Administrator. An application will not be considered complete and will not be processed without a copy of the applicant’s federal income tax return or if no federal income tax return was filed, such other taxpayer return or return information requested by the Tax Administrator.

E.    Review and Certification: The Tax Administrator shall review each application and shall certify the applicant as exempt if the eligibility requirements of subsection A of this section are met, except that no exemption shall be granted to an applicant who is receiving service from a service supplier through a master meter, or who is sharing or prorating service with other service users even though such service users qualify under the provisions of subsection A of this section and no exemption shall be granted with respect to any tax imposed by this article which is or has been paid by a public agency or where the applicant receives funds from a public agency specifically for the payment of such tax.

F.    Notice to Service Supplier: If an applicant is certified as exempt, the Tax Administrator shall promptly notify applicant’s service suppliers, stating the name of the applicant, the address to which such exempt service is being supplied, the account number, if any, and such other information as may be necessary for the service supplier to remove the exempt service user from its tax billing procedure.

G.    Discontinuance of Billing: Upon receipt of such notice, the service supplier shall within sixty (60) days discontinue billing applicant for taxes imposed by this article, except as otherwise provided in subsection H of this section.

H.    Prior Taxes to be Collected: Taxes billed by the service supplier to the service user prior to removing the service user from its tax billing procedure, shall be collected from the service user and the service user shall pay such taxes to the service supplier. Taxes billed to and paid by the service user between the time that the application for exemption is filed and the service supplier removes the service user from its taxing procedure will not be refunded to the service user.

I.    Duration of Exemption: Exemptions certified by the Tax Administrator shall continue so long as the facts supporting the qualification for exemption shall exist; provided, however, that the exemption shall automatically terminate with any change in the service address or residence of the exempt individual, or assignment of a different account number by the service supplier because of discontinuance or suspension of service at the request of the service user; and provided further, that such individual may nevertheless apply for a new exemption with each change of address or residence.

The Tax Administrator shall have the right to request a copy of an exempt service user’s most recent federal income tax return and/or any other taxpayer return or return information at any time. The exemption shall terminate if this information shows that the exempt service user is no longer eligible for the exemption or if the exempt service user refuses or fails to provide the Tax Administrator with the requested documents or information.

J.    Duty to Disclose Disqualification: Any service user who has been exempted under this section shall notify the Tax Administrator within ten (10) days of any change in fact or circumstance which might disqualify said individual from receiving such exemption. It shall be a misdemeanor for any person to knowingly receive the benefits of the exemption provided by this section when the basis for such exemption does not exist or ceases to exist.

Any service supplier, who determines by any means that a new or nonexempt service user is receiving service through a meter or connection exempt by virtue of an exemption issued to a previous user or exempt user of the same meter or connection, shall immediately notify the Tax Administrator of such fact and the Tax Administrator shall conduct an investigation to ascertain whether or not the provisions of this section have been complied with, and, where appropriate, order the service supplier to commence collecting the tax from the nonexempt service user.

K.    Adjustments: Income levels as designated in the Burbank Fee Resolution and referred to in subsection A of this section shall be updated and changed annually, if necessary, by an adjustment as set forth in Section 2-4-1110 of this article. [Added by Ord. No. 2524; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3308, 3161, 3058, 3036, 2794, 2650.]

2-4-1109: DISABILITY EXEMPTION:

A.    Eligibility: Any service user who is a handicapped person or the head of the household supporting a handicapped person shall be exempt from the taxes imposed by this article if the gross annual income of the household in which such individual resides is less than the amount established by Council and designated in the Burbank Fee Resolution. Any person who regularly requires the use of an essential life support device, or the head of any household who supports such a person, shall be exempt from the taxes imposed by this article regardless of gross annual income.

B.    Application: Application for exemption shall be filed with the Tax Administrator on such forms as they may provide.

C.    Time to File: Applications may be filed at any time.

D.    Contents of Application: Applications shall be verified by declaration under penalty of perjury and shall contain such information as may be required by the Tax Administrator. An application must be accompanied by a copy of the applicant’s federal income tax return for the most recent year. However, if no federal income tax return was filed in the previous year, the applicant shall provide any other taxpayer return or return information requested by the Tax Administrator. An application will not be considered complete and will not be processed without a copy of the applicant’s federal income tax return or if no federal income tax return was filed, such other taxpayer return or return information requested by the Tax Administrator. However, if the applicant is a person who regularly requires the use of an essential life support device, or the head of any household who supports such a person, such application need not be accompanied by the applicant’s federal income tax return or any other taxpayer return or return information and may be considered complete and processed without such documents or information if the application is otherwise complete.

E.    Review and Certification: The Tax Administrator shall review each application and shall certify the applicant as exempt if the eligibility requirements of subsection A of this section are met, except that no exemption shall be granted to an applicant who is receiving service from a service supplier through a master meter, or who is sharing or prorating service with other service users even though such service users qualify under the provisions of subsection A of this section and no exemption shall be granted with respect to any tax imposed by this article which is or has been paid by a public agency or where the applicant receives funds from a public agency specifically for the payment of such tax.

F.    Notice to Service Supplier: If an applicant is certified as exempt, the Tax Administrator shall promptly notify applicant’s service suppliers, stating the name of the applicant, the address to which such exempt service is being supplied, the account number, if any, and such other information as may be necessary for the service supplier to remove the exempt service user from its tax billing procedure.

G.    Discontinuance of Billing: Upon receipt of such notice, the service supplier shall within sixty (60) days discontinue billing applicant for taxes imposed by this article, except as otherwise provided in subsection H of this section.

H.    Prior Taxes to be Collected: Taxes billed by the service supplier to the service user prior to removing the service user from its tax billing procedure, shall be collected from the service user and the service user shall pay such taxes to the service supplier. Taxes billed to and paid by the service user between the time that the application for exemption is filed and the service supplier removes the service user from its taxing procedure will not be refunded to the service user.

I.    Duration of Exemption: Exemptions certified by the Tax Administrator shall continue so long as the facts supporting the qualification for exemption shall exist; provided, however, that the exemption shall automatically terminate with any change in the service address or residence of the exempt individual, or assignment of a different account number by the service supplier because of discontinuance or suspension of service at the request of the service user, and provided further, that such individual may nevertheless apply for a new exemption with each change of address or residence.

The Tax Administrator shall have the right to request a copy of an exempt service user’s most recent federal income tax return and/or any other taxpayer return or return information at any time. The exemption shall terminate if this information shows that the exempt service user is no longer eligible for the exemption or if the exempt service user refuses or fails to provide the Tax Administrator with the requested documents or information. However, if the service user qualified for the exemption because the service user is a person who regularly requires the use of an essential life support device, or the head of any household who supports such a person, the Tax Administrator shall not have the right to request a copy of the service user’s federal income tax return or other taxpayer return or return information.

J.    Duty to Disclose Disqualification: Any service user who has been exempted under this section shall notify the Tax Administrator within ten (10) days of any change in fact or circumstance which might disqualify said individual from receiving such exemption. It shall be a misdemeanor for any person to knowingly receive the benefits of the exemption provided by this section when the basis for such exemption does not exist or ceases to exist.

Any service supplier, who determines by any means that a new or nonexempt service user is receiving service through a meter or connection exempt by virtue of an exemption issued to a previous user or exempt user of the same meter or connection, shall immediately notify the Tax Administrator of such fact and the Tax Administrator shall conduct an investigation to ascertain whether or not the provisions of this section have been complied with, and, where appropriate, order the service supplier to commence collecting the tax from the nonexempt service user.

K.    Adjustments: Income levels as designated in the Burbank Fee Resolution and referred to in subsection A of this section shall be updated and changed annually, if necessary, by an adjustment as set forth in Section 2-4-1110 of this article. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3308, 3161, 3095, 3058, 2794, 2735, 2568.]

2-4-1110: AUTOMATIC ADJUSTMENT OF INCOME LEVELS:

A.    Annual Adjustment: An annual adjustment of the income levels mentioned in Sections 2-4-1108 and 2-4-1109 of this article shall be made by replacing, if different, the income level figures appearing in the Burbank Fee Resolution with the most recent figures for “very low family income” households published by the U.S. Department of Housing and Urban Development (“HUD”) in its “Income Limits For Public Housing And Section 8 Programs” for the Los Angeles-Long Beach (Los Angeles County) area (hereinafter “HUD Guidelines”). Should the title of the HUD Guidelines change or vary from the foregoing, the document published by HUD most closely approximating the intent and purpose of the HUD Guidelines shall be utilized.

B.    Exception: Nothing in this section shall prevent the Burbank City Council from setting income levels greater or less than indicated in the HUD Guidelines. [Added by Ord. No. 3161; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553.]

2-4-1111: DUTY TO COLLECT; PROCEDURES:

The duty of service suppliers to collect and remit the taxes imposed by the provisions of this Article shall be performed as follows:

A.    The tax shall be collected insofar as practicable at the same time as, and along with, the collection of the charges made in accordance with the regular billing practice of the service supplier. Where the amount paid by a service user to a service supplier is less than the full amount of the charge and tax which was accrued for the billing period, a proportionate share of both the charge and the tax shall be deemed to have been paid. In those cases where a service user has notified the service supplier of refusal to pay the tax imposed on said charges, Section 2-4-1115 of this article shall apply.

B.    The duty of a service supplier to collect the tax from a service user shall commence with the beginning of the first regular billing period applicable to the service user where all charges normally included in such regular billing are subject to the provisions of this Article. Where a person receives more than one billing, one or more being for different periods than another, the duty to collect shall arise separately for each billing period. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058.]

2-4-1112: FILING RETURN AND PAYMENT:

Each person required by this article to remit a tax shall file a return to the Tax Administrator, on forms approved by the Tax Administrator on or before the due date. The full amount of the tax collected shall be included with the return and filed with the Tax Administrator. The Tax Administrator is authorized to require such additional information as they deem necessary to determine if the tax is being levied, collected, and remitted in accordance with this Article. Returns are due immediately upon cessation of business for any reason. Pursuant to Revenue and Tax Code Section 7284.6, the Tax Administrator, and its agents, shall maintain such filing returns as confidential information exempt from disclosure provisions of the Public Records Act. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058.]

2-4-1113: COLLECTION PENALTIES; SERVICE SUPPLIERS OR SELF-COLLECTORS:

A.    Taxes collected from a service user, or self-collected by a service user subject to Section 2-4-1105 of this article, are delinquent if not received by the Tax Administrator on or before the due date. Should the due date occur on a weekend or legal holiday, the return must be received by the Tax Administrator on or before the first regular working day following the weekend or legal holiday. A direct deposit, including electronic fund transfers and other similar methods of electronically exchanging monies between financial accounts, made by a service supplier in satisfaction of its obligations under this subsection shall be considered timely if the transfer is initiated on or before the due date, and the transfer settles into the City’s account on or before the following business day.

B.    If a service supplier, or a service user subject to Section 2-4-1105 of this article, fails to remit any tax collected (by failing to properly assess the tax on one or more services or charges on the customer’s billing), on or before the due date, said person shall pay a penalty for such delinquencies at the rate of fifteen percent (15%) of the total tax that is delinquent in the remittance, and shall pay interest at the rate of three-quarters of one percent (3/4%) per month, or any fraction thereof, on the amount of the tax, exclusive of penalties, from the date on which the remittance first became delinquent, until paid.

C.    The Tax Administrator shall have the power to impose additional penalties upon persons required to collect and/or remit taxes pursuant to the provisions of this article for fraud or gross negligence in reporting or remitting at the rate of fifteen percent (15%) of the amount of the tax collected and/or required to be remitted, or as recomputed by the Tax Administrator.

D.    The Tax Administrator shall have the power to impose additional penalties upon persons required to collect and remit taxes pursuant to the provisions of this chapter for fraud or gross negligence in reporting or remitting at the rate of fifteen percent of the amount of the tax collected and/or required to be remitted, or as recomputed by the Tax Administrator.

E.    For collection purposes only, every penalty imposed and such interest that is accrued under the provisions of this section shall become a part of the tax herein required to be paid.

F.    Notwithstanding the foregoing, the Tax Administrator may, in their discretion, modify the due dates of this chapter to be consistent with any uniform standards or procedures that are mutually agreed upon by other public agencies imposing a utility users’ tax, or otherwise legally established, to create a central payment location or mechanism. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058.]

2-4-1114: DEFICIENCY DETERMINATION AND ASSESSMENT; TAX APPLICATION ERRORS:

A.    The Tax Administrator shall make a deficiency determination if they determine that any person required to collect or self-collect taxes pursuant to the provisions of this Article has failed to collect and remit the proper amount of tax by improperly or failing to apply the tax to one or more taxable services or charges. Nothing herein shall require that the Tax Administrator institute proceedings under this section if, in the opinion of the Tax Administrator, the cost of collection or enforcement likely outweighs the tax benefit.

B.    The Tax Administrator shall mail a notice of such deficiency determination to the person required to pay or remit the tax, which notice shall refer briefly to the amount of the taxes owed, plus interest at the rate of three-quarters of one percent (3/4%) per month, or any fraction thereof, on the amount of the tax from the date on which the tax should have been received by the City.

Within fourteen (14) calendar days after the date of service of such notice, the person may request in writing to the Tax Administrator for a hearing on the matter. If the person fails to request a hearing within the prescribed time period, the amount of the deficiency determination shall become a final assessment, and shall immediately be due and owing to the City.

C.    If the person or entity allegedly owing the tax fails to request a hearing within the prescribed time period, the amount of the deficiency determination shall become a final assessment, and shall immediately be due and owing to the City. If the person requests a hearing, the Tax Administrator shall cause the matter to be set for hearing, which shall be held within thirty (30) days after receipt of the written request for hearing. Notice of the time and place of the hearing shall be mailed by the Tax Administrator to such person at least ten (10) calendar days prior to the hearing, and, if the Tax Administrator desires said person to produce specific records at such hearing, such notice may designate the records requested to be produced.

D.    At the time fixed for the hearing, the Tax Administrator shall hear all relevant testimony and evidence, including that of any other interested parties. At the discretion of the Tax Administrator, the hearing may be continued from time to time for the purpose of allowing the presentation of additional evidence. Within a reasonable time following the conclusion of the hearing, the Tax Administrator shall issue a final assessment (or non-assessment), thereafter, by confirming, modifying or rejecting the original deficiency determination, and shall mail a copy of such final assessment to person owing the tax. The decision of the Tax Administrator may be appealed pursuant to Section 2-4-1120 of this Article. Filing a request for a hearing with the Tax Administrator and appeal to the City Manager pursuant to Section 2-4-1120 of this Article is a prerequisite to a suit thereon.

E.    Payment of the final assessment shall become delinquent if not received by the Tax Administrator on or before the thirtieth (30th) day following the date of receipt of the notice of final assessment. The penalty for delinquency shall be fifteen percent (15%) on the total amount of the assessment, along with interest at the rate of three-quarters of one percent (3/4%) per month, or any fraction thereof, on the amount of the tax, exclusive of penalties, from the date of delinquency, until paid. The applicable statute of limitations regarding a claim by the City seeking payment of a tax assessed under this section shall commence from the date of delinquency as provided in this subsection.

F.    All notices under this section may be sent by regular mail, postage prepaid, and shall be deemed received on the third calendar day following the date of mailing, as established by a proof of mailing. [Added by Ord. No. 3638; Amended by Ord. No. 3809, eff. 4/26/11.]

2-4-1115: ADMINISTRATIVE REMEDY; NONPAYING SERVICE USERS:

A.    Whenever the Tax Administrator determines that a service user has withheld the full amount of the tax owed by the service user from the amounts remitted to a person required to collect the tax, or whenever the Tax Administrator deems it in the best interest of the City, they may relieve such person of the obligation to collect the taxes due under this article from certain named service users for specific billing periods. Whenever the service user has failed to pay the amount of tax owed for a period of two (2) or more billing periods, the service supplier shall be relieved of the obligation to collect taxes due. The service supplier shall provide the City with the names and addresses of such service users and the amounts of taxes owed under the provisions of this article. Nothing herein shall require that the Tax Administrator institute proceedings under this section if, in the opinion of the Tax Administrator, the cost of collection or enforcement likely outweighs the tax benefit.

B.    In addition to the tax owed, the nonpaying service user shall pay a delinquency penalty at the rate of fifteen percent (15%) of the total tax that is owed, and shall pay interest at the rate of three-quarters of one percent (3/4%) per month, or any fraction thereof, on the amount of the tax, exclusive of penalties, from the due date, until paid.

C.    The Tax Administrator shall notify the nonpaying service user that the Tax Administrator has assumed the responsibility to collect the taxes due for the stated periods and demand payment of such taxes, including penalties and interest. The notice shall be served on the service user by personal delivery or by deposit of the notice in the United States mail, postage prepaid, addressed to the service user at the address to which billing was made by the person required to collect the tax; or, should the service user have a change of address, to their last known address.

D.    If the service user fails to remit the tax to the Tax Administrator within thirty (30) days from the date of the service of the notice upon them, the Tax Administrator may impose an additional penalty of fifteen percent (15%) of the amount of the total tax that is owed. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058.]

2-4-1116: ACTIONS TO COLLECT:

Any tax required to be paid by a service user under the provisions of this article shall be deemed a debt owed by the service user to the City. Any such tax collected from a service user which has not been remitted to the Tax Administrator shall be deemed a debt owed to the City by the person required to collect and remit and shall no longer be a debt of the service user. Any person owing money to the City under the provisions of this article shall be liable in an action brought in the name of the City for the recovery of such amount, including penalties and interest as provided for in this Article, along with any collection costs incurred by the City as a result of the person’s noncompliance with this article, including, but not limited to, reasonable attorney fees. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058.]

2-4-1117: ADDITIONAL POWERS AND DUTIES OF THE TAX COLLECTOR:

A.    The Tax Administrator shall have the power and duty, and is hereby directed, to enforce each and all of the provisions of this Article.

B.    The Tax Administrator may adopt administrative rules and regulations not inconsistent with provisions of this Article for the purpose of interpreting, clarifying, carrying out and enforcing the payment, collection and remittance of the taxes herein imposed. A copy of such administrative rules and regulations shall be on file in the Tax Administrator’s office. To the extent that the Tax Administrator determines that the tax imposed under this Article shall not be collected in full for any period of time from any particular service supplier or service user, that determination shall be considered an exercise of the Tax Administrator’s discretion to settle disputes and shall not constitute a change in taxing methodology for purposes of Government Code Section 53750 or otherwise. The Tax Administrator is not authorized to amend the City’s methodology for purposes of Government Code Section 53750, and the City does not waive or abrogate its ability to impose the utility users’ tax in full as a result of promulgating administrative rulings or entering into agreements.

C.    Upon a proper showing of good cause, the Tax Administrator may make administrative agreements, with appropriate conditions, to vary from the strict requirements of this Article and thereby: 1) conform to the billing procedures of a particular service supplier (or service user subject to Section 2-4-1105 of this Article) so long as said agreements result in the collection of the tax in conformance with the intent of this Article; or 2) to avoid a hardship where the administrative costs of collection and remittance greatly outweigh the tax benefit. A copy of each such agreement shall be on file in the Tax Administrator’s office, and are subject to cancellation by the Tax Administrator or the City at any time.

D.    The Tax Administrator may conduct an audit, to ensure proper compliance with the requirements of this Article, of any person required to collect and/or remit a tax pursuant to this Article. The Tax Administrator shall notify said person of the initiation of an audit in writing. In the absence of fraud or other intentional misconduct, the audit period of review shall not exceed a period of three (3) years next preceding the date of receipt of the written notice by said person from the Tax Administrator. Upon completion of the audit, the Tax Administrator may make a deficiency determination pursuant to Section 2-4-1114 of this article for all taxes, penalties and interest owed and not paid, as evidenced by information provided by such person to the Tax Administrator. If said person is unable or unwilling to provide sufficient records to enable the Tax Administrator to verify compliance with this article, the Tax Administrator is authorized to make a reasonable estimate of the deficiency. Said reasonable estimate shall be entitled to a rebuttable presumption of correctness.

E.    Upon receipt of a written request of a taxpayer, and for good cause, the Tax Administrator may extend the time for filing any statement required pursuant to this article for a period not to exceed forty five (45) days, provided that the time for filing the required statement has not already passed when the request is received. No penalty for delinquent payment shall accrue by reason of such extension. Interest shall accrue during said extension at the rate of three-quarters of one percent (3/4%) per month, prorated for any portion thereof.

F.    The Tax Administrator shall determine the eligibility of any person who asserts a right to exemption from, or a refund of, the tax imposed by this article.

G.    The Tax Administrator, with the written approval of the City Attorney, may compromise a claim pursuant to this article where the portion of the claim proposed to be released is less than the amount set by separate resolution of the City Council relating to the settlement of general liability claims against the City, and, with the approval of the City Attorney and the City Council, may compromise such a claim where the portion proposed to be released is equal to or greater than the amount set by separate resolution of the City Council relating to the settlement of general liability claims against the City.

H.    Notwithstanding any provision in this article to the contrary, the Tax Administrator may waive any penalty or interest imposed upon a person required to collect and/or remit for failure to collect the tax imposed by this article if the non-collection occurred in good faith. In determining whether the non-collection was in good faith, the Tax Administrator shall take into consideration industry practice or other precedence. The Tax Administrator may also participate with other UUT public agencies in conducting coordinated compliance reviews with the goal of achieving administrative efficiency and uniform tax application determinations, where possible. To encourage full disclosure and on-going cooperation on annual compliance reviews, the Tax Administrator, and its agents, may enter into agreements with the tax-collecting service providers and grant prospective only effect on any changes regarding the taxation of services or charges that were previously deemed by the service provider, in good faith and without gross negligence, to be non-taxable. In determining whether the non-collection was in good faith and without gross negligence, the Tax Administrator shall take into consideration the uniqueness of the product or service, industry practice or other precedence. [Added by Ord. No. 3506; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553.]

2-4-1118: RECORDS:

A.    It shall be the duty of every person required to collect and/or remit to the City any tax imposed by this Article to keep and preserve, for a period of at least three (3) years, all records as may be necessary to determine the amount of such tax as they may have been liable for the collection of and remittance to the Tax Administrator, which records the Tax Administrator, or the Tax Administrator’s designated representative, shall have the right to inspect at a reasonable time.

B.    The City may issue an administrative subpoena to compel a person to deliver, to the Tax Administrator, copies of all records deemed necessary by the Tax Administrator to establish compliance with this article, including the delivery of records in a common electronic format on readily available media if such records are kept electronically by the person in the usual and ordinary course of business. As an alternative to delivering the subpoenaed records to the Tax Administrator on or before the due date provided in the administrative subpoena, such person may provide access to such records outside the City on or before the due date, provided that such person shall reimburse the City for all reasonable travel expenses incurred by the City to inspect those records, including travel, lodging, meals, and other similar expenses, but excluding the normal salary or hourly wages of those persons designated by the City to conduct the inspection.

C.    The Tax Administrator is authorized to execute a nondisclosure agreement approved by the City Attorney to protect the confidentiality of customer information pursuant to California Revenue and Tax Code Sections 7284.6 and 7284.7. The Tax Administrator, or the Tax Administrator’s designated representative, may request from a person providing transportation services of gas or electricity to service users within the City a list of the names and addresses, and other pertinent information, of its transportation customers within the City pursuant to Section 6354(e) of the California Public Utilities Code.

D.    If a service supplier uses a billing agent or billing aggregator to bill, collect, and/or remit the tax, the service supplier shall: 1) provide to the Tax Administrator the name, address and telephone number of each billing agent and billing aggregator currently authorized by the service supplier to bill, collect, and/or remit the tax to the City; and 2) upon request of the Tax Administrator, deliver, or effect the delivery of, any information or records in the possession of such billing agent or billing aggregator that, in the opinion of the Tax Administrator, is necessary to verify the proper application, calculation, collection and/or remittance of such tax to the City.

E.    If any person subject to record keeping under this section unreasonably denies the Tax Administrator, or the Tax Administrator’s designated representative, access to such records, or fails to produce the information requested in an administrative subpoena within the time specified, then the Tax Administrator may impose a penalty of five hundred dollars ($500.00) on such person for each day following: 1) the initial date that the person refuses to provide such access; or 2) the due date for production of records as set forth in the administrative subpoena. This penalty shall be in addition to any other penalty imposed under this Article. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058.]

2-4-1119: REFUNDS:

Whenever the amount of any tax has been overpaid or paid more than once or has been erroneously or illegally collected or received by the Tax Administrator under this Article, it may be refunded as provided in this Section:

A.    The Tax Administrator may refund any tax that has been overpaid or paid more than once or has been erroneously or illegally collected or received by the Tax Administrator under this Article from a service user or service supplier, provided that no refund shall be paid under the provisions of this section unless the claimant or their guardian, conservator, executor, or administrator has submitted a written claim to the Tax Administrator within one year of the overpayment or erroneous or illegal collection of said tax. Such claim must clearly establish claimant’s right to the refund by written records showing entitlement thereto. Nothing herein shall permit the filing of a claim on behalf of a class or group of taxpayers.

B.    The submission of a written claim, which is acted upon by the City Council, shall be a prerequisite to a suit thereon. (See Section 935 of the California Government Code.) The City Council shall act upon the refund claim within the time period set forth in Government Code Section 912.4. If the City Council fails or refuses to act on a refund claim within the time prescribed by Government Section 912.4, the claim shall be deemed to have been rejected by the City Council on the last day of the period within which the City Council was required to act upon the claim as provided in Government Code Section 912.4. It is the intent of the City Council that the one year written claim requirement of this subsection be given retroactive effect; provided, however, that any claims which arose prior to the commencement of the one year claims period of this subsection, and which are not otherwise barred by a then applicable statute of limitations or claims procedure, must be filed with the Tax Administrator as provided in this subsection within ninety (90) days following the effective date hereof.

C.    Notwithstanding the notice provisions of subsection A of this Section, the Tax Administrator may, at their discretion, give written permission to a service supplier, who has collected and remitted any amount of tax in excess of the amount of tax imposed by this Article, to claim credit for such overpayment against the amount of tax which is due the City upon a subsequent monthly return(s) to the Tax Administrator, provided that: i) such credit is claimed in a return dated no later than one year from the date of overpayment or erroneous collection of said tax; ii) the Tax Administrator is satisfied that the underlying basis and amount of such credit has been reasonably established; and, iii) in the case of an overpayment by a service user to the service supplier that has been remitted to the City, the Tax Administrator has received proof, to their satisfaction, that the overpayment has been refunded by the service supplier to the service user in an amount equal to the requested credit. [Added by Ord. No. 2177; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3506, 3058, 2348.]

2-4-1120: APPEALS:

A.    The provisions of this section apply to any decision (other than a decision relating to a refund pursuant to Section 2-4-1119 of this Article), deficiency determination, assessment, or administrative ruling of the Tax Administrator. Any person aggrieved by any decision (other than a decision relating to a refund pursuant to Section 2-4-1119 of this article), deficiency determination, assessment, or administrative ruling of the Tax Administrator, shall be required to comply with the appeals procedure of this section. Compliance with this section shall be a prerequisite to a suit thereon. (See Government Code Section 935(b).) Nothing herein shall permit the filing of a claim or action on behalf of a class or group of taxpayers.

B.    If any person is aggrieved by any decision (other than a decision relating to a refund pursuant to Section 2-4-1119 of this article), deficiency determination, assessment, or administrative ruling of the Tax Administrator; they may appeal to the City Manager by filing a notice of appeal with the City Clerk within fourteen (14) days of the date of the decision, deficiency determination, assessment, or administrative ruling of the Tax Administrator which aggrieved the service user or service supplier.

C.    The matter shall be set for hearing no more than thirty (30) days from the receipt of the appeal. The appellant shall be served with notice of the time and place of the hearing, as well as any relevant materials, at least five (5) calendar days prior to the hearing. The hearing may be continued from time to time upon mutual consent. At the time of the hearing, the appealing party, the Tax Administrator, the City Manager, and any other interested person may present such relevant evidence as they may have relating to the determination from which the appeal is taken.

D.    Based upon the submission of such evidence and the review of the City’s files, the City Manager shall issue a written notice and order upholding, modifying or reversing the determination from which the appeal is taken. The notice shall be given within fourteen (14) days after the conclusion of the hearing and shall state the reasons for the decision. The notice shall specify that the decision is final and that any petition for judicial review shall be filed within ninety (90) days from the date of the decision in accordance with Code of Civil Procedure Section 1094.6. If the City Manager fails or refuses to act on a refund claim within the fourteen (14) day period, the claim shall be deemed to have been rejected by the City Manager on the fourteenth day.

E.    All notices under this section may be sent by regular mail, postage prepaid, and shall be deemed received on the third (3rd) calendar day following the date of mailing, as established by a proof of mailing. [Added by Ord. No. 3093; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553, 3058.]

2-4-1121: NO INJUNCTION/WRIT OF MANDATE:

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action, or proceeding in any court against this City or against any officer of the City to prevent or enjoin the collection under this article of any tax or any amount of tax required to be collected and/or remitted. [Added by Ord. No. 3638; Amended by Ord. No. 3809, eff. 4/26/11.]

2-4-1122: REMEDIES CUMULATIVE:

All remedies and penalties prescribed by this article or which are available under any other provision of law or equity, including, but not limited to, the California False Claims Act (Government Code Section 12650 et seq.) and the California Unfair Practices Act (Business and Professions Code Section 17070 et seq.), are cumulative. The use of one or more remedies by the City shall not bar the use of any other remedy for the purpose of enforcing the provisions of this article. [Added by Ord. No. 3638; Amended by Ord. No. 3809, eff. 4/26/11.]

2-4-1123: NOTICE OF CHANGES TO THIS ARTICLE:

If a tax under this article is added, repealed, increased, reduced, or the tax base is changed, the Tax Administrator shall follow the notice requirements of Section 799 of the California Public Utilities Code. Prior to the effective date of the ordinance change, the service supplier shall provide the Tax Administrator with a copy of any written procedures describing the information that the service supplier needs to implement the ordinance change. If the service supplier fails to provide such written instructions, the Tax Administrator, or their agent, shall send, by first class mail, a copy of the ordinance change to all collectors and remitters of the City’s utility users taxes according to the latest payment records of the Tax Administrator. [Added by Ord. No. 3506; Amended by Ord. No. 3809, eff. 4/26/11; 3638, 3553.]

2-4-1124: SEVERABILITY:

If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Article or any part thereof is for any reason held to be invalid, unlawful or unconstitutional, such decision, and the decision not to enforce such, shall not affect the validity of the remaining portion of this Article or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be declared invalid, unlawful or unconstitutional. [Added by Ord. No. 3553; Amended by Ord. No. 3809, eff. 4/26/11; 3638.]

2-4-1125: PENALTIES:

Any person violating any of the provisions of this article shall be deemed guilty of a misdemeanor, or an infraction at the discretion of the City Attorney. [Added by Ord. No. 3638; Amended by Ord. No. 3809, eff. 4/26/11.]

2-4-1126: FUTURE AMENDMENT OR RECODIFICATION OF CITED STATUTE OR REGULATION:

Unless specifically provided otherwise, any reference to a state or federal statute or regulation in this Article shall mean such statute as it may be amended or recodified from time to time, provided that such reference to a statute herein shall not include any subsequent amendment thereto, or to any subsequent change of interpretation thereto by a state or federal agency or court of law with the duty to interpret such law, to the extent that such amendment or change of interpretation would require voter approval under California law, or to the extent that such change would result in a tax decrease (as a result of excluding all or a part of a utility service, or charge therefore, from taxation). Only to the extent voter approval would otherwise be required or a tax decrease would result, the prior version of the statute (or interpretation) shall remain applicable; for any application or situation that would not require voter approval or result in a decrease of a tax, provisions of the amended statute (or new interpretation) shall be applicable to the maximum possible extent.

To the extent that the city’s authorization to collect or impose any tax imposed under this chapter is expanded or limited as a result of changes in state or federal law, no amendment or modification of this chapter shall be required to conform the tax to those changes, and the tax shall be imposed and collected to the full extent of the authorization up to the full amount of the tax imposed under this chapter. [Added by Ord. No. 3638; Amended by Ord. No. 3809, eff. 4/26/11.]

ARTICLE 12. REVENUE BONDS

2-4-1201: POWER:

The Council, exercising the powers reserved to the City under Sections 3 and 5 (formerly Sections 6 and 8) of Article 11 of the Constitution of the State of California and Section 1010 of the Charter of the City, may, when the public interest and necessity require, by resolution or resolutions issue revenue bonds for the following purposes:

A.    Additions, betterments, and extensions to and improvement of the electric energy system of the City, including capacity rights in electric generation and transmission facilities, and related facilities, and incidental costs and expenses related thereto.

B.    Additions, betterments, and extensions to and improvement of the water system of the City and related facilities, and incidental costs and expenses related thereto.

C.    The acquisition, construction, extension, betterment, or improvement of any other revenue producing system or facility of the City, and incidental costs and expenses related thereto.

D.    To refund obligations issued for any of the foregoing purposes. [Added by Ord. No. 2185; formerly numbered Section 14-165; renumbered by Ord. No. 3058, eff. 2/21/87; Amended by Ord. No. 3497, eff. 11/7/98; 3000, 2270, 2189.]

2-4-1202: PROCEDURE:

The procedure for the issuance of revenue bonds shall be the procedure set forth in the State Revenue Bond Law of 1941 (commencing with Government Code Section 54300), and by this reference, with the exceptions hereafter stated, the provisions of said Law are incorporated herein; provided, however, that no election to authorize the issuance of said bonds shall be held, and the restrictions of Government Code Section 54310 shall not apply, and to those ends Sections 54380 through 54388 and Section 54310 of said Government Code are not incorporated herein and shall not be applicable to the issuance of said revenue bonds; provided, further, that the resolution authorizing the issuance of said revenue bonds may provide that such bonds shall be payable from the revenues of the Enterprise (as specifically defined in such resolution), which may include combined revenues from electric and water services, from interest earnings on unspent bond proceeds and from such other funds as may be legally available for such purpose; provided, further, that before selling the revenue bonds, or any part thereof, the Council may either negotiate the private sale of the revenue bonds with a responsible purchaser or purchasers, who may be purchasing for their own account or for purposes of resale, or give notice inviting sealed bids pursuant to Government Code Section 54388; and provided, further, that the interest rate limitation and the limit on discount contained in Section 54402(b) and 54418, respectively, of the Government Code shall likewise not be applicable. [Added by Ord. No. 2185; formerly numbered Section 14-166; renumbered by Ord. No. 3058, eff. 2/21/87; 3000, 2462, 2189.]

2-4-1203: WHEN NOTES MAY ISSUE:

The City may borrow money in anticipation of the issuance of revenue bonds of the City which have not yet been issued, sold and delivered, and for that purpose may issue negotiable bond anticipation notes, and may refund such notes from time to time, subject to the limitations of Article 13 of this chapter. The notes shall be sold at such interest and in such manner as the Council may determine, and such notes and the resolution providing for the issuance of such notes may contain any provision, condition or limitation which a revenue bond, or any resolution or ordinance providing for the issuance of revenue bonds, may contain. [Added by Ord. No. 2462; formerly numbered Section 14-167; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 13. SHORT TERM BORROWING

2-4-1301: PROMISSORY NOTES, ETC.:

The City may at any time or from time to time, by resolution adopted by a majority of all the members of the Council, incur indebtedness for any lawful purpose for any period not exceeding five (5) years, evidenced by a contract with any person or by one or more promissory notes executed as provided by said resolution and delivered to any person. [Added by Ord. No. 2462; formerly numbered Section 14-168; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1302: SUBORDINATION AND REPAYMENT:

Any indebtedness under this article shall be incurred subject and subordinate to any contractual obligation of the City to the holders of any bonds and the principal thereof and interest thereon may be made payable from revenues, or from revenues or the proceeds of the sale of bonds if incurred for a purpose for which bonds may be issued. [Added by Ord. No. 2462; formerly numbered Section 14-169; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 14. LIBRARY FINES, FEES AND DEPOSITS

2-4-1401: SCHEDULE OF FINES, FEES AND DEPOSITS:

A.    Fee Resolution: City Library property may only be borrowed from the City’s public libraries upon payment of the fines, fees, and deposits designated in the Burbank Fee Resolution.

B.    Nonresident User’s Fee: Except as otherwise provided in this subsection, all borrowers who do not reside within the City of Burbank shall pay a nonresident user’s fee as designated in the Burbank Fee Resolution for the privilege of borrowing materials from the City’s libraries. This fee shall be in addition to any other fee or fine imposed in the Burbank Fee Resolution. The following persons shall be exempt from payment of the nonresident user’s fee:

1.    Residents of those cities which are members of the Metropolitan Cooperative Library System.

2.    Persons who own real property within the City of Burbank.

3.    Students attending schools located within the City of Burbank.

4.    Certificated employees of the Burbank Unified School District.

5.    Persons who are employed in the City of Burbank. [Formerly numbered Section 14-170; renumbered by Ord. No. 3058, eff. 2/21/87; 2934, 2894, 2837, 2809, 2744, 2700, 2684, 2545, 2462, 2357.]

2-4-1402: POSTING OF SCHEDULE:

The schedule of fines, fees and deposits shall be posted in a conspicuous place in all public libraries of the City. [Formerly numbered Section 14-171; renumbered by Ord. No. 3058, eff. 2/21/87; 2545, 2462, 2357.]

2-4-1403: CHARGES CONSTITUTE A DEBT:

Any fine or fee required to be paid by any person under the provisions of this article shall be deemed a debt owed by the person to the City. Any person owing money to the City under the provisions of this article shall be liable to an action brought in the name of the City for the recovery of such amount. Nothing contained herein shall be deemed to limit the authority of the Library Services Director to revoke any library card. [Formerly numbered Section 14-172; renumbered by Ord. No. 3058, eff. 2/21/87; 2545, 2462, 2357.]

ARTICLE 15. CITY OF BURBANK HEALTH FACILITY REVENUE BOND ORDINANCE

DIVISION 1. GENERAL PROVISIONS AND DEFINITIONS

2-4-1501: SHORT TITLE:

This article may be cited as the CITY OF BURBANK HEALTH FACILITY REVENUE BOND ORDINANCE. [Added by Ord. No. 2910; formerly numbered Section 14-173; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1502: DECLARATION OF NECESSITY:

The Council hereby finds and declares that it is necessary, essential, a public purpose and a municipal affair for the City to be authorized to provide financing to health institutions within the City that provide essential services to residents of the City in order to aid such health institutions in containing costs and thereby to enable such health institutions to establish lower rates and charges than would otherwise prevail and to provide better service at such rates and charges. Unless the City intervenes to provide such financing, such rates and charges may increase at an ever accelerated pace because such health institutions cannot obtain financing at equivalent cost from private sources. [Added by Ord. No. 2910; formerly numbered Section 14-174; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1503: DEFINITIONS:

As used in this article, unless the context otherwise requires, the following terms shall have the following meanings:

BONDS: Any bonds, notes, certificates, debentures or other obligations issued or entered into by the City pursuant to this article and payable exclusively from revenues as in this article defined and from any other funds specified in this article upon which such obligations may be made a charge and from which they are made payable.

CITY: The City of Burbank.

COST: The total of all costs incurred by or on behalf of a participating health institution necessary or incident to the acquisition, construction, rehabilitation or improvement of a health facility, or the refunding or refinancing of obligations incurred to finance such acquisition, construction, rehabilitation or improvements as are approved by the City as reasonable and necessary for carrying out all works and undertakings necessary or incident to acquisition, construction, financing or refinancing of a health facility.

COUNCIL: The City Council of the City of Burbank.

HEALTH FACILITY: Any facility, place or building within the City which is maintained and operated for the diagnosis, care, prevention and treatment of human illness, physical or mental, including convalescence, rehabilitation and care during and after pregnancy, or for any one or more of these services, and which provides and will continue providing to residents of the City essential health care services designated as such in an agreement between the City and the participating health institution providing or operating such facility, place or building.

A.    “Health facility” includes a portion of one of the above types of facilities and includes the following facilities if operated in conjunction with one of the above types of facilities: a laboratory, a laundry, a nurses’ or interns’ residence, a housing facility for patients, staff or employees and the families of any of them, an administration building, an office building, a research, maintenance, storage, utility or parking facility and all structures or facilities related to any of the foregoing or required or useful for the operation of a health facility.

B.    “Health facility” shall not include any facility or building used or to be used primarily for sectarian instruction or study or primarily as a place for devotional activities or religious worship.

PARTICIPATING HEALTH INSTITUTION: A private nonprofit corporation or association authorized by the laws of the State of California to provide or operate a “health facility” as defined in this article and which, pursuant to the provisions of this article, undertakes the financing of the acquisition and construction of a health facility or undertakes the refunding or refinancing of obligations incurred to finance the acquisition and construction of a health facility.

REVENUES: Amounts received by the City as repayment of principal, interest, and all other charges with respect to a loan under this article, any proceeds received by the City from mortgage, hazard or other insurance on or with respect to such a loan, all other rents, charges, fees, income and receipts derived by the City from the financing or refinancing of a health facility under this article, any amounts received by the City as investment earnings on monies deposited in a reserve fund or any similar fund securing bonds, and such other monies as the Council may, in its discretion, lawfully designate as revenues. [Added by Ord. No. 2910; formerly numbered Section 14-175; renumbered by Ord. No. 3058, eff. 2/21/87.]

DIVISION 2. FINANCING HEALTH FACILITIES

2-4-1504: LOAN FOR HEALTH FACILITY:

The City may make, purchase, or otherwise contract for the making of a mortgage or other secured or unsecured loan, upon such terms and conditions as the City shall deem proper, to any participating health institution located in the City, or to any corporation which is a nonprofit corporation in California or a sister state of the United States of America and which is the sole member of a participating health institution located in the City, for the cost of acquiring or constructing a health facility or financing thereof; provided, however, that no such loan shall exceed the total cost of such health facility as determined by the participating health institution and approved by the City. [Added by Ord. No. 2910; formerly numbered Section 14-176; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1505: LOAN TO REFUND OR REFINANCE HEALTH FACILITY:

The City may make, purchase, or otherwise contract for the making of a mortgage or other secured or unsecured loan, upon such terms and conditions as the City shall deem proper, to any participating health institution located in the City, or to any corporation which is a nonprofit corporation in California or a sister state of the United States of America and which is the sole member of a participating health institution located in the City, to refund or refinance outstanding obligations of such participating health institution incurred to finance the cost of acquiring or constructing a health facility, whether such obligations were incurred prior to or after the enactment of this article, if the City finds that such refunding or refinancing is in the public interest and either alleviates a financial or operating hardship of such participating health institution, or is in connection with other financing by the City for such participating health institution or may be expected to result in lower charges or containment of the rate of increase in hospital rates and a saving to third parties, including government, and to others who must pay for care, or any combination thereof. [Added by Ord. No. 2910; formerly numbered Section 14-177; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1506: SALE OR LEASE OF HEALTH FACILITY BY CITY:

The City may acquire, construct, enlarge, remodel, renovate, alter, improve, furnish, equip, own and lease as lessee a health facility for the purpose of selling or leasing such health facility to a participating health institution located in the City, or to any corporation which is a nonprofit corporation in California or a sister state of the United States of America and which is the sole member of a participating health institution located in the City, and may designate such participating health institution as its agent to undertake to construct, enlarge, remodel, renovate, alter, improve, furnish and equip such health facility.

The City may sell or lease, upon such terms and conditions as the City shall deem proper, to any such participating health institution or member corporation any health facility owned by the City under this article, including a health facility conveyed to the City in connection with a financing under this article but not being financed or refinanced hereunder. [Added by Ord. No. 2910; formerly numbered Section 14-178; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1507: RECOVERY OF COSTS AND EXPENSES BY CITY:

The City may charge participating health institutions and member corporations application, commitment, financing and other fees, in order to recover all administrative and other costs and expenses incurred in the exercise of the powers and duties conferred by this article. [Added by Ord. No. 2910; formerly numbered Section 14-179; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1508: INSURANCE OR GUARANTEE OF PAYMENT:

The City may obtain, or aid in obtaining, from any department or agency of the United States or of the State of California or any private company, any insurance or guarantee as to, or of, or for the payment or repayment of, interest or principal, or both, or any part thereof, on any loan, lease or sale obligation or any instrument evidencing or securing the same, made or entered into pursuant to the provisions of this article; and may accept payment in such manner and form as provided therein in the event of default by a participating health institution or member corporation, and may assign any such insurance or guarantee as security for bonds. [Added by Ord. No. 2910; formerly numbered Section 14-180; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1509: FIXING RENTS, FEES, RATES, ETC.:

The City may fix rents, payments, fees, charges and interest rates for financing under this article and may agree to revise from time to time such rents, payments, fees, charges and interest rates to reflect changes in interest rates on bonds, losses due to defaults or changes in other expenses related to this article, including City administrative expenses. [Added by Ord. No. 2910; formerly numbered Section 14-181; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1510: DEEDS OF TRUST OR MORTGAGES AS SECURITY:

The City may hold deeds of trust or mortgages as security for loans under this article and may pledge or assign the same as security for repayment of bonds. Such deeds of trust or mortgages may be assigned to, and held on behalf of the City by, any bank or trust company appointed to act as trustee by the City in any resolution or indenture providing for issuance of bonds. [Added by Ord. No. 2910; formerly numbered Section 14-182; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1511: EMPLOYMENT OF EXPERTS AND CONSULTANTS:

The City may employ such engineering, architectural, financial, accounting, legal or other services as may be necessary in the judgment of the City for the purposes of this article. [Added by Ord. No. 2910; formerly numbered Section 14-183; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1512: DO ALL THINGS NECESSARY AND CONVENIENT:

In addition to all other powers specifically granted by this article, the City may do all things necessary or convenient to carry out the purposes of this article. [Added by Ord. No. 2910; formerly numbered Section 14-184; renumbered by Ord. No. 3058, eff. 2/21/87.]

DIVISION 3. BONDS

2-4-1513: ISSUE LIMITED OBLIGATION BONDS:

A.    The City may, from time to time, issue bonds for any of the purposes specified in Sections 2-4-1504, 2-4-1505 and 2-4-1506 of this article. Bonds shall be negotiable instruments for all purposes, subject only to the provisions of such bonds for registration.

B.    Every issue of bonds shall be a limited obligation of the City payable solely from all or any specified part of the revenues and the monies and assets authorized in this article to be pledged or assigned to secure payment of bonds. Such revenues, monies or assets shall be the sole source of repayment of such issue of bonds. Bonds issued under the provisions of this article shall not be deemed to constitute a debt or liability of the City or a pledge of the faith and credit of the City but shall be payable solely from specified revenues, monies and assets. The issuance of bonds shall not directly, indirectly, or contingently obligate the City to levy or pledge any form of taxation or to make any appropriation for their payment.

C.    All bonds shall contain on the face thereof a statement to the following effect:

Neither the faith and credit nor the taxing power of the City of Burbank, the State of California, nor any political subdivision thereof, is pledged to the payment of the principal of or premium or interest on this bond.

[Added by Ord. No. 2910; formerly numbered Section 14-185; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1514: AMOUNT OF BONDS:

In determining the amount of bonds to be issued, the City may include all costs of the issuance of such bonds, reserves for debt service and for repairs, replacements, additions and improvements, and capitalized bond interest for such period as the City may determine.

[Added by Ord. No. 2910; formerly numbered Section 14-186; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1515: TYPE, FORM AND SALE OF BONDS:

Bonds may be issued as serial bonds, term bonds, installment bonds or pass through certificates or any combination thereof. Bonds shall be authorized by resolution of the Council and shall bear such date or dates, mature at such time or times, bear interest at such fixed or variable rate or rates, be payable at such time or times, be in such denominations, be in such form, either coupon or registered, carry such registration privileges, be executed in such manner, be payable in lawful money of the United States of America at such place or places, be subject to such terms of redemption and have such other terms and conditions as such resolutions or any indenture authorized by such resolution to be entered into by the City may provide. Bonds may be sold at either a public or private sale and for such prices as the City shall determine. Pending preparation of definitive bonds, the City may issue temporary bonds, which shall be exchanged for such definitive bonds when prepared. [Added by Ord. No. 2910; formerly numbered Section 14-187; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1516: TERMS AND CONDITIONS OF BONDS:

Any resolution authorizing any bonds or any issue of bonds, or any indenture authorized by such resolution to be entered into by the City, may contain provisions respecting any of the following terms and conditions, which shall be a part of the contract with the holders of such bonds:

A.    The terms, conditions, and form of such bonds and the interest and principal to be paid thereon;

B.    Limitations on the uses and purposes to which the proceeds of sale of such bonds may be applied, and the pledge or assignment of such proceeds to secure the payment of such bonds;

C.    Limitations on the issuance of additional parity bonds, the terms upon which additional parity bonds may be issued and secured, and the refunding of outstanding bonds;

D.    The setting aside of reserves, sinking funds, and such other funds as are necessary and the regulation and disposition thereof;

E.    The pledge or assignment of all or any part of the revenues and the use and disposition thereof, subject to such agreements with the holders of bonds as may then be outstanding;

F.    Limitation on the use of revenues for expenditures for operating, administration or other expenses of the City;

G.    Specifications of the acts or omissions to act which shall constitute a default in the duties of the City, a participating health institution or a member corporation to holders of such bonds, and providing the rights and remedies of such holders in the event of default, including any limitations on the right of action by individual bondholders;

H.    The appointment, where appropriate, of a corporate trustee to act on behalf of the City and the holders of its bonds, the pledge or assignment of loans, deeds of trust, mortgages and any contracts or agreements to such trustee, and the rights of such trustee;

I.    The procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of such bonds the holders of which must consent thereto, and the manner in which such consent may be given; and

J.    Any other provisions which the Council may deem reasonable and proper for the purposes of this article and the security of the bondholders. [Added by Ord. No. 2910; formerly numbered Section 14-188; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1517: PLEDGE OF REVENUES:

Any pledge of revenues, other monies or assets, or any centralized pool of said revenues, other monies or assets, pursuant to the provisions of this article shall be valid and binding from the time such pledge is made. Revenues, monies and assets so pledged and thereafter received by the City shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the City, irrespective of whether such parties have notice thereof. Neither the resolution nor any indenture by which a pledge is created need be filed or recorded except in the records of the City. [Added by Ord. No. 2910; formerly numbered Section 14-189; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1518: LIABILITY OF COUNCIL AND OFFICERS:

Neither the members of the Council, the officers or employees of the City, nor any person executing any bonds shall be liable personally on the bonds or be subject to any personal liability or accountability by reason of the issuance thereof. [Added by Ord. No. 2910; formerly numbered Section 14-190; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1519: PURCHASE OF BONDS BY CITY:

The City shall have the power out of any funds available therefor to purchase its bonds. The City may hold, pledge, cancel, or resell such bonds, subject to and in accordance with agreements with the bondholders. [Added by Ord. No. 2910; formerly numbered Section 14-191; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1520: COMPELLING PERFORMANCE:

Any holder of bonds issued under the provisions of this article or any of the coupons appertaining thereto, and any trustee appointed pursuant to any resolution authorizing the issuance of bonds, except to the extent the rights thereof may be restricted by such resolution or any indenture authorized thereby to be entered into by the City, may, either at law or in equity, by suit, action, mandamus, or other proceedings, protect or enforce any and all rights specified in law or in such resolution or indenture, and may enforce and compel the performance of all duties required by this article or by such resolution or indenture to be performed by the City or by any officer, employee or agent thereof, including the fixing, charging, and collecting of rates, fees, interest, and charges authorized and required by the provisions of such resolution or indenture to be fixed, charged, and collected. [Added by Ord. No. 2910; formerly numbered Section 14-192; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1521: REFUNDING BONDS; USE OF PROCEEDS:

A.    The City may issue bonds for the purpose of refunding any bonds then outstanding, including the payment of any redemption premiums thereof and any interest accrued or to accrue to the earliest or any subsequent date or dates of redemption, purchase, or maturity of such bonds.

B.    The proceeds of bonds issued for the purpose of refunding any outstanding bonds may, in the discretion of the City, be applied to the purchase or retirement at maturity or redemption of such outstanding bonds, either at their earliest or any subsequent redemption date or dates or upon the purchase or retirement at the maturity thereof and may, pending such application, be placed in escrow, to be applied to such purchase or retirement at maturity or redemption on such date or dates as may be determined by the City.

C.    Pending use for purchase, retirement at maturity or redemption of outstanding bonds, any proceeds held in escrow pursuant to subsection B of this section may be invested and reinvested as provided in the applicable resolution or indenture. Any interest or other increment earned or realized on any such investment may be applied to the payment of the outstanding bonds to be refunded or to the payment of interest on the refunding bonds. After the terms of the escrow have been fully satisfied and carried out, any balance of such proceeds and any interest or increment earned or realized from the investment thereof may be returned to the City to be used by it for any lawful purpose.

D.    All bonds issued pursuant to this section shall be subject to the provisions of this article in the same manner and to the same extent as other bonds issued pursuant to this article. [Added by Ord. No. 2910; formerly numbered Section 14-193; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1522: INDEPENDENT VALIDITY OF BONDS:

The validity of the authorization and issuance of any bonds is not dependent on and shall not be affected in any way by any proceedings taken by the City for the making of any loan or the entering into of any agreement, or by the failure to make any loan or enter into any agreement, for which bonds are authorized to be issued under this article. [Added by Ord. No. 2910, eff. 8/8/83.]

DIVISION 4. SUPPLEMENTAL PROVISIONS

2-4-1523: LIBERAL CONSTRUCTION:

This article, being necessary for the welfare of the City and its inhabitants, shall be liberally construed to effect its purposes. [Added by Ord. No. 2910; formerly numbered Section 14-195; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1524: EFFECT OF OMISSION OR DEFECT:

If the jurisdiction of the Council to order the proposed act is not affected, any omission of any officer of the City in proceedings under this article or any other defect in the proceedings shall not invalidate such proceedings or the bonds issued pursuant to this article. [Added by Ord. No. 2910; formerly numbered Section 14-196; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1525: AUTHORITY:

This article is full authority for the issuance of bonds by the City for the purposes specified herein. [Added by Ord. No. 2910; formerly numbered Section 14-197; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1526: PROVISIONS OF THIS ARTICLE ARE COMPLETE, ALTERNATIVE:

This article shall be deemed to provide a complete, additional, and alternative method for doing the things authorized thereby, and shall be regarded as supplemental and additional to the powers conferred by other laws. The issuance of bonds under the provisions of this article need not comply with the requirements of any other law applicable to the issuance of bonds. The purposes authorized hereby may be effectuated and the bonds may be issued for any such purposes under this article notwithstanding that any other law may provide for such purposes or for the issuance of bonds for like purposes and without regard to the requirements, restrictions, limitations or other provisions contained in any other law. [Added by Ord. No. 2910; formerly numbered Section 14-198; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1527: INCONSISTENCIES WITH OTHER STATUTES:

To the extent that the provisions of this article are inconsistent with the provisions of any general statute, or a special act or parts thereof, including provisions of this code, the provisions of this article shall be deemed controlling. [Added by Ord. No. 2910; formerly numbered Section 14-199; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1528: PARTIAL INVALIDITY:

If any division, section, subsection, sentence, clause or phrase of this article is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of the article. The Council hereby declares that it would have passed this article and each division, section, subsection, sentence, clause and phrase thereof, irrespective of the fact that any one or more divisions, sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. [Added by Ord. No. 2910; formerly numbered Section 14-200; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 16. INDUSTRIAL DEVELOPMENT AUTHORITY

2-4-1601: TITLE:

This article shall be referred to as the BURBANK INDUSTRIAL DEVELOPMENT AUTHORITY ORDINANCE. [Added by Ord. No. 2925; formerly numbered Section 14-201; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1602: PURPOSE:

The California Industrial Development Financing Act, Title 10 (commencing with Section 91500) of the California Government Code (the “act”), has established an industrial development authority of this City for the achievement of specified public purposes. The public purposes are to increase opportunities for useful employment or otherwise contribute to economic development. [Added by Ord. No. 2925; formerly numbered Section 14-202; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1603: FINDINGS:

There is a need in the City of Burbank for acquisition, construction, or rehabilitation of facilities for the use of industry which will increase employment opportunities or otherwise contribute to economic development. In addition, industry requires the new and alternative method of capital finance that industrial development authorities can provide. [Added by Ord. No. 2925; formerly numbered Section 14-203; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1604: ORGANIZATION:

The Burbank Industrial Development Authority is hereby declared organized and is authorized to transact business within the corporate limits of the City of Burbank and exercise all of the powers and other authority conferred upon industrial development authorities by the Act. [Added by Ord. No. 2925; formerly numbered Section 14-204; renumbered by Ord. No. 3058, eff. 2/21/87.]

2-4-1605: BOARD OF DIRECTORS:

The Council of the City of Burbank hereby declares itself to be the Board of Directors of the Burbank Industrial Development Authority, and all the rights, powers, privileges, duties, liabilities, disabilities, and immunities vested in such a board under the Act shall be vested in the Council as such a board. [Added by Ord. No. 2925; formerly numbered Section 14-205; renumbered by Ord. No. 3058, eff. 2/21/87.]

ARTICLE 17. PUBLIC FACILITIES FINANCING AUTHORITY

2-4-1701: TITLE:

This article shall be referred to as the CITY OF BURBANK PUBLIC FACILITIES FINANCING AUTHORITY ORDINANCE. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1702: DECLARATION OF PUBLIC USES AND PURPOSES:

The City Council hereby finds and determines that the construction, acquisition, maintenance and improvement of public facilities and improvements within the City and the performance of all undertakings incidental or advantageous thereto are public purposes for which public money may be spent and private property acquired, and are governmental functions. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1703: MUNICIPAL AFFAIR:

The City Council hereby finds and determines that the activities set forth in Section 2-4-1702 of this article are municipal affairs, necessary and appropriate to a municipal corporation and the general welfare of its inhabitants, and are not prohibited by the Constitution of the State of California or by the City Charter. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1704: EFFECT OF ORDINANCE UPON OTHER LAW:

This article shall not affect any other provision of law relating to the same or a similar subject but provides an alternative method of procedure governing the subject to which it relates; and it shall not abridge, modify or otherwise affect the right of the City to exercise any power given to it by the Constitution or any other law. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1705: DEFINITIONS:

Unless the context otherwise requires, the definitions set forth in this section shall govern the construction of this article.

AUTHORITY: The public body established pursuant to Section 2-4-1706 of this article.

BONDS: Any revenue bonds issued by the Authority pursuant to the provisions of this article.

CITY: The City of Burbank.

CITY CHARTER: The Charter of the City as approved by the voters of the City at a special election held therefor on January 4, 1927, and as thereafter amended.

PROJECT: The construction, acquisition, maintenance or improvement of public facilities and improvements authorized by this article.

PUBLIC FACILITIES AND IMPROVEMENTS: Any real or personal property, or any interests therein, which is used for public purposes of the City, including, but not limited to, land, buildings, equipment, furnishings and other appurtenances which are incidental thereto.

STATE: The State of California. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1706: ESTABLISHMENT:

There is hereby created and established within the City of Burbank a public body, corporate and politic, separate and apart from the City, to be known as the City of Burbank Public Facilities Financing Authority. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1707: MEETINGS; VOTE NECESSARY TO ACT:

The Authority shall hold meetings at such times as it shall determine. The affirmative votes of at least three (3) members of the governing body of the Authority shall be required for the taking of action. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1708: GOVERNING BODY OF AUTHORITY; BYLAWS:

The members of the City Council shall act ex officio as the governing body of the Authority. At its organizational meeting the Authority shall adopt bylaws governing the conduct of its affairs in any manner deemed advisable by the Authority and not inconsistent with the terms of this article. Such bylaws may be amended from time to time by the governing body of the Authority. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1709: FINANCIAL STATEMENTS:

At least once annually the Authority shall prepare and make available, for inspection by interested members of the public, a statement of all its financial affairs, audited by independent certified public accountants. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1710: ORDER FOR DISSOLUTION:

The City Council may order the dissolution of the Authority if the Authority has no outstanding indebtedness and is not a party to any outstanding material contracts. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1711: CORPORATE POWERS:

The Authority may:

A.    Sue and be sued, have a seal, and make and execute contracts and other instruments necessary or convenient to the exercise of its powers.

B.    Make, and from time to time amend and repeal, bylaws and regulations not inconsistent with this article to carry into effect the powers and purposes hereof.

C.    Select and appoint or remove such permanent and temporary officers, agents, counsel and employees, as it requires, and may determine their qualifications, duties, and compensation. The powers of the Authority under this subdivision are subject to all limitations and rights applicable to similar employment by the City, unless by resolution the City Council otherwise determines. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1712: ACQUISITION AND DISPOSAL OF PROPERTY; FACILITIES; INSURANCE:

The Authority may:

A.    Purchase, lease, obtain option upon, acquire by gift, grant, bequest, devise, or otherwise, any real or personal property within the City, or any interest in, or improvements on, such property.

B.    Sell, lease, exchange, transfer, assign, encumber (by mortgage, deed of trust, or otherwise) or otherwise dispose of any real or personal property or any interest in such property.

C.    Insure any of its real or personal property or operations against risks or hazards. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1713: MAINTENANCE AND MANAGEMENT:

The Authority may acquire, construct, rent, lease, maintain, repair, manage and operate all or any portion of any real and personal property, including the leasing of the operation of the property, and the leasing for commercial purposes of surplus space or space which it is not economic to use for public purposes. Leases may be negotiated without competitive bidding or awarded after competitive bidding in such manner as may be established or determined by the Authority. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1714: CONSTRUCTION, ACQUISITION, MAINTENANCE AND IMPROVEMENT OF PUBLIC FACILITIES AND IMPROVEMENTS:

The Authority may do any act to construct, acquire, maintain and improve public facilities and improvements within the City, to devote such facilities and improvements to uses and activities consistent with the public purposes of this article and to acquire and construct such facilities and improvements on real property owned, controlled, or operated by it, or on property leased by it from the City, as may be necessary or appropriate to such uses and activities. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1715: RECEIPT AND EXPENDITURE OF FUNDS:

The Authority may receive, control, and order the expenditure of any and all money and funds pertaining to public facilities and improvements or related properties, including, but not limited to:

A.    All revenue derived from operations of the Authority.

B.    All money appropriated or made available by the City for such purpose, including, but not limited to, the proceeds of all bonds or other obligations issued by the City for public facilities or improvements.

C.    The proceeds of all financial aid or assistance by the State or the federal government.

D.    The proceeds of all bonds issued pursuant to this article. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1716: INVESTMENTS:

The Authority may invest funds held in reserve or sinking funds, or funds not required for immediate disbursement, in property or securities in which municipalities may legally invest funds subject to their control under the laws of the State. No such investment shall be made in contravention of any covenant or agreement with the owners of any bonds issued and outstanding. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1717: BORROWING:

The Authority may borrow money or accept financial or other assistance from the City, the State, the federal government, or any other source for or in aid of any public facility or improvements within the City, and to such ends may comply with any conditions attached thereto. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1718: EXERCISE OF POWERS:

The Authority may exercise all or any part or combination of the powers granted by this article. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1719: NECESSARY OR CONVENIENT ACTS:

The Authority may do and perform any and all other acts and things necessary, convenient, desirable, or appropriate to carry out the provisions of this article. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1720: USE OF SERVICES AND FACILITIES OF CITY:

In order that there may be no unnecessary duplication of effort or expense, the Authority may provide for the furnishing of services by, and the use of facilities of, any department, office or agency of the City in lieu of, or in conjunction with, the direct provision by the Authority of services and the use of facilities through employment or purchase or other means. The furnishing of such services and the use of such facilities of any such department, office or agency shall be upon such terms and conditions as may be approved by the Authority and the City Council. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1721: POWER TO BORROW AND ISSUE BONDS; NATURE OF BONDS:

The Authority shall have the power to borrow money to provide funds for any public facilities and improvements and to issue in its name revenue bonds to evidence the indebtedness created by such borrowing. The bonds of each issue shall constitute special obligations, and evidence a special indebtedness, of the Authority, and shall be a charge upon and payable solely from such revenues and funds as are specified therein and in the proceedings for their issuance. Such bonds shall not constitute obligations or evidence any indebtedness of the City. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1722: BOND RECITALS:

All such bonds shall recite upon their face, in substance, that they constitute special obligations, and evidence a special indebtedness, of the Authority, payable, both as principal and interest, and as to any premiums upon the redemption of any thereof, solely from such revenues and funds as are specified therein and in the proceedings for their issuance, and shall also recite upon their face that they are issued under this article. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1723: TYPES OF BONDS; SOURCES OF PAYMENT:

The Authority may issue such types of bonds as it determines, including bonds on which the principal and interest are payable:

A.    Exclusively from the income and revenue of the public facilities and improvements financed with the proceeds of the bonds, or with such proceeds and financial assistance from the State or federal government or from any other source in aid thereof.

B.    Exclusively from the income and revenue of certain designated public facilities and improvements, whether or not such public facilities and improvements were financed in whole or in part with the proceeds of the bonds, and including income or revenue from any future extension, betterment, or addition to any such public facilities and improvements thereafter to be established.

C.    From its revenues generally, including, but not limited to, revenue from the leasing of public facilities and improvements owned or leased to it.

D.    From any contributions or other financial assistance from the City, the State or federal government, or from any other source.

E.    From any combination of these sources. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1724: TERMS AND CONDITIONS:

Except as limited by express provision of this article, the Authority, by resolution, or by trust indenture, contract, or other agreement with or from the benefit of the bond owners, may determine all the terms and conditions of each issue, series, or division of bonds and of their sale and issuance, and all matters necessary or appropriate in connection with the bonds. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1725: CONTRACT WITH BOND OWNERS:

The Authority may provide that any resolution, trust agreement or indenture adopted or entered into in connection with the authorization of any bonds shall constitute a contract with the owners of such bonds, not subject to repeal, and not subject to any modification other than to the extent and in a manner provided in any such resolution. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1726: COVENANTS AND AGREEMENTS:

The Authority may provide for such covenants and agreements on the part of the Authority as it deems necessary or advisable for the better security of any bonds. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1727: PROVISIONS FOR SECURITY AND MARKETABILITY:

The Authority may provide for such other acts and matters as it may deem to be necessary, convenient, or desirable to secure the bonds or to make them more marketable. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1728: ISSUANCE AND SALE OF BONDS:

The bonds may be issued and sold in such manner and pursuant to such proceedings as the Authority shall at the time determine and direct, at public or private sale, at a discount or a premium, and at a rate of interest not to exceed the rate determined by the Authority in the resolution providing for the sale thereof. The bonds shall be payable at the times and in the amounts determined by the Authority in said resolution. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1729: VALIDATING PROCEEDINGS:

An action to determine the validity of any bonds issued by the Authority under this article or of any contracts entered into by the Authority under this article may be brought pursuant to Chapter 9 (commencing with Section 860) of Title 10 of Part 2 of the Code of Civil Procedure of the State of California. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1730: LIBERAL CONSTRUCTION:

This article, being necessary for the health, welfare and safety of the City and its residents, shall be liberally construed to effect its purposes. Furthermore, the City Council hereby declares that this article is an exercise of the power granted to the City by the City Charter and the Constitution of the State and is an exercise by the City of its powers as to municipal affairs and its police powers, and this article shall be liberally construed to uphold its validity under the laws of the State. [Added by Ord. No. 3070, eff. 7/4/87.]

2-4-1731: PARTIAL INVALIDITY:

If any section, paragraph, sentence, clause or phrase of this article shall for any reason be held illegal or unenforceable, such holding shall not affect the validity of the remaining portions of this article. The City Council hereby declares that it would have adopted this article and each and every other section, paragraph, sentence, clause or phrase hereof and authorized the proceedings authorized to be taken pursuant thereto irrespective of the fact that any one or more sections, paragraphs, sentences, clauses or phrases of this article may be held illegal, invalid or unenforceable. [Added by Ord. No. 3070, eff. 7/4/87.]

ARTICLE 18. RECREATIONAL FACILITIES AND LANDSCAPING DISTRICT PROCEDURES

2-4-1801: PURPOSE AND INTENT:

The purpose of this article is to establish a method whereby parks, recreational facilities, open space, public parking facilities, landscaping, medians, street trees and appurtenant facilities, streets, bike paths, or trails may be constructed, installed and/or maintained, and whereby the costs thereof may be assessed to property which is receiving special benefit from such systems or facilities; and to establish a procedure whereby such assessments may be collected. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1802: COMPLIANCE WITH ARTICLE:

Any proceedings or assessment levied pursuant to this article shall not be held invalid for failure to comply with the provisions of this article provided such failure is not a constitutional defect. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1803: NECESSARY OR CONVENIENT PROCEDURE AUTHORIZED:

Any procedure not expressly set forth in this article but deemed necessary or convenient to carry out any of its purposes is authorized. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1804: NONEXCLUSIVENESS OF REMEDIES:

The remedies in this article for the enforcement of any assessment levied pursuant to this article are not exclusive, and additional remedies may be provided at any time. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1805: ABANDONMENT OF PROCEEDINGS:

Proceedings under this article may be abandoned at any time prior to the confirmation of the assessments. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1806: EFFECT UPON OTHER LAW:

This article does not affect other law relating to the same or any similar subject, but provides an alternative authority and procedure for the subject to which it relates. When proceeding under this article, its provisions only need to be followed. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1807: APPLICABILITY:

This article shall apply to any assessment levied after the effective date of this article, despite the fact that Council action in ordering said assessment may have been taken prior to said effective date. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1808: CONSTRUCTION:

This article is to be liberally constructed. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1809: INCORPORATION OF THE LANDSCAPING AND LIGHTING ACT OF 1972:

The Landscaping and Lighting Act of 1972 (Part 2 commencing with Section 22500 of Division 15 of the California Streets and Highways Code), as amended from time to time, is incorporated in and made a part of this article. Except as otherwise provided by this article or chapter, the mode and manner for making improvements and for levying and collecting assessments shall be as prescribed in the Landscaping and Lighting Act of 1972. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1810: ALTERATION OF DISTRICT:

The boundaries of any district created pursuant to this article may be altered from time to time in the manner provided in the Landscaping and Lighting Act of 1972 or as otherwise may be provided by the Council in the resolution initiating proceedings for any such alteration. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1811: LANDSCAPING AND LIGHTING ACT DEFINITIONS:

A.    For all purposes under this article, the term “improvement” shall include all items listed in Section 22525 of the Landscaping and Lighting Act of 1972 and also installation, construction, maintenance or serving of any: 1) parks, playfields or recreation facilities which are available for public use and are owned by the City, or by any other public entity including, but not limited to, a school district or a community college district, and maintained by the City pursuant to a contract with such other public entity; 2) public street, highway, road, alley, lane, boulevard, pedestrian mall, parkway, bike path, trail, or other way dedicated to or used for public use and all appurtenances including, but not limited to, medians, sound walls and street signs; and 3) public parking lots.

B.    For all purposes under this article, the term “incidental expenses” shall include all items listed in Section 22526 of the Landscaping and Lighting Act of 1972 and also all costs and expenses incurred in connection with the administration of a district created pursuant to this article. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1812: INSTALLMENT AND COLLECTION OF IMPROVEMENTS:

The City may, by resolution, determine that the estimated cost of any of the improvements authorized pursuant to this article is greater than can be conveniently raised from a single assessment order that the estimated cost shall be raised by an assessment levied and collected in installments over such period of time as may be set forth in that resolution. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1813: MANNER OF COLLECTION OF ASSESSMENTS:

The assessments levied pursuant to this article shall be collected as provided in the Landscaping and Lighting Act of 1972 or as otherwise may be provided by the Council in the resolution levying such assessments. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1814: LIMITATION OF ACTIONS:

The validity of any initial assessment levied under this article shall not be contested in any action or proceeding, unless the action or proceeding levied after the initial assessment shall not be contested in any action or proceeding unless the action or proceedings is commenced with thirty (30) days after such assessment is levied, and may be contested only for the purpose of challenging the accuracy of computation of the component elements of the assessment formula or the validity of any change in the assessment formula made pursuant to Section 2-4-1815 of this article. Any appeal from a final judgment in any such action or proceeding shall be perfected within thirty (30) days after the entry of judgment. [Added by Ord. No. 3257, eff. 7/20/91.]

2-4-1815: CHANGES IN FORMULA:

Changes in the assessment formula may be made in proceedings for the levy of annual assessments after the levy of the initial assessment. In such event, the proposed change shall be described in the engineer’s report and in the resolution of intention. [Added by Ord. No. 3257, eff. 7/20/91.]

ARTICLE 19. TRANSIENT PARKING TAX

2-4-1901: TITLE AND PURPOSE:

This article, which establishes a general tax, shall be known as the TRANSIENT PARKING TAX ORDINANCE. All taxes, interest and penalties received pursuant to the provisions of this article shall be deposited by the Tax Administrator in the City’s General Fund and shall be utilized for general governmental purposes, as determined by the City Council through the annual budget adoption process. [Amended by Ord. No. 3772, eff. 12/25/09; Added by Ord. No. 3426, eff. 1/20/96.]

2-4-1902: DEFINITIONS:

The following words and phrases, wherever used in this article, shall be construed as herein defined:

MEDICAL FACILITY: A building or buildings where at least ninety percent (90%) of the total occupied space in each building is occupied by tenants who provide medical, dental, psychological, pharmacy, medical laboratory and/or other similar health care services to humans.

MOTOR VEHICLE: Every self-propelled vehicle operated or suitable for operation on the highway.

NEGLIGENCE: The continuous and/or frequent incorrect reporting of gross revenues and/or tax due, in a tax return, that results in remitting an incorrect tax amount that differs from what is actually due in three or more quarters of the previous twenty four (24) months.

OCCUPANCY: The use or possession or the right to the use or possession of any space for the parking of a motor vehicle in a parking facility.

OPERATOR: Any person who operates a parking facility, whether in the capacity of owner, lessee, mortgagee in possession, licensee, valet or other service supplier or any other capacity. When the operator performs their functions through a managing agent of any type or character other than an employee, the managing agent shall also be deemed an operator for purposes of this article and shall have the same duties and liabilities as the principal. When the managing agent collects parking fees and tax on behalf of the principal and deposits the same into the principal’s account in a financial institution, such principal shall be responsible for reporting and remitting the tax to the City. It shall be the duty of the managing agent to provide the Director with the name and address of each principal who will be responsible for reporting and remitting the tax to the City. Compliance with the provisions of this article by either the principal or the managing agent shall be considered to be compliance by both. A person who qualifies as an operator shall not, by reason of being exempt from the tax imposed in this article, be exempt from the duties and liabilities of an operator imposed under this article.

PARKING FACILITY: Any outdoor space or uncovered plot, place, street, lot, parcel, yard or enclosure, or any portion thereof, or any building or structure, or any portion thereof, where or in which a motor vehicle may be parked, stored, housed or kept, for which any charge is made.

PARKING FEE: The consideration charged, whether or not received, for the occupancy or use of space in a parking facility valued in money, whether received in money, goods, labor or otherwise, including all receipts, cash, credits and property and services of any kind or nature, without any deduction therefrom. The parking fee shall be deemed to include the total charges required to be paid by a transient occupant, including, but not limited to, any valet or service labor charge in connection with the use or occupancy of parking space on public or private property. Nothing shall be construed to mean that a parking fee is charged to the transient occupant of space in a parking facility for the sale of petroleum products, automobile parts or other tangible personal property, the rendering of services, including car wash services, totally unconnected with the use or occupancy of parking space, or where parking space is provided to the transient occupant as a compliment from the operator and where no consideration is charged to or received from any other person.

PARKING METER: Any device which, when the recording device thereof is set in motion, or immediately following the remittance of any payment, shall register the period of time that any motor vehicle may be parked in the space assigned.

PERSON: Any natural person, partnership, joint venture, joint stock company, corporation, estate, trust, business trust, receiver, administrator, executor, assignee, trustee in bankruptcy, firm, company, association, club, syndicate, society, public agency, municipal corporation, joint powers agency, special district, the State of California, political subdivision of the State of California, the United States, instrumentality of the United States, or any group or combination acting as a unit, whether mutual, cooperative, social, nonprofit or otherwise.

TAX ADMINISTRATOR: The City Manager, or the designee or designees of the City Manager.

TRANSIENT OCCUPANT: A person who, for a consideration, uses, possesses or has the right to use or possess any space for the parking of a motor vehicle in a parking facility under any lease, concession, permit, right of access, license to use or other agreement or otherwise, whether voluntarily or involuntarily. Transient occupant shall be deemed to include any person required to pay any valet or service labor charge in connection with the parking of motor vehicles on public or private property. Transient occupant shall also be deemed to include any person required to pay a charge for the occupancy of parking space by another person by means of validation or otherwise, unless the person paying for the parking space pays in advance and the natural person occupying the parking space is entitled to occupy the parking space for a calendar month or longer period, in which case, neither the person paying the parking fee nor the natural person occupying the parking space. Transient occupant does not include a person who, by way of advance payment, is entitled to occupy a parking space for a calendar month or longer period. [Added by Ord. No. 3426; Amended by Ord. No. 3772, eff. 12/25/09; 3434.]

2-4-1903: TAX IMPOSED:

For the privilege of occupying space in any parking facility in the City of Burbank, each transient occupant is subject to and shall pay a tax in the amount of twelve percent (12%) of the parking fee. The tax rate may be modified from time to time by resolution of the City Council, after a public hearing on such matter, provided, however, that the rate may not exceed twelve percent (12%). The tax imposed by this article shall be paid upon any occupancy by a transient occupant on and after February 1, 1996, although such occupancy may be pursuant to a contract, lease or other arrangement made prior to such date. Where the parking fee is paid, or charged or billed, or falls due on either a weekly or other term basis, the parking fee so paid, charged, billed or fallen due shall be subject to the tax herein imposed to the extent that it covers any portion of the period occurring on or after February 1, 1996, and such payment, charge, bill or parking fee due shall be apportioned on the basis of the proration of the number of days covered thereby. In computing the tax herein imposed, the fractional part of one cent ($0.01) shall be disregarded unless it amounts to one-half (1/2) of one cent ($0.01) or more, in which case the amount shall be increased to the next highest cent. The tax herein imposed constitutes a debt owed by the transient occupant to the City, which is extinguished by payment to the operator or the City.

[Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09; 3612 (approved by the voters on 4/8/03).]

2-4-1904: TRANSIENT OCCUPANT TO PAY TAX TO THE OPERATOR:

Unless prohibited by the laws of the United States or the State of California or exempted by the provisions of this article, every transient occupant occupying parking space in a parking facility shall be required to pay the tax imposed herein to the operator along with the parking fee for occupancy. If the parking fee is paid in installments, or if an amount paid is less than the full amount of parking fee and tax accrued at the time of payment, a proportionate share of the tax shall be deemed to have been paid with each such payment or installment. Any unpaid tax shall be due upon the transient occupant’s ceasing to occupy parking space in the parking facility. If for any reason the tax is not paid to the operator, the Tax Administrator shall require that such tax shall be paid directly to the City. Payment of the tax to the operator does not relieve the transient occupant of liability for the tax to the City until the tax has been remitted to the City by the operator, unless the transient occupant has a receipt for the parking fee and tax issued by the operator. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1905: OPERATOR’S DUTIES:

Each operator shall collect the tax imposed by this article to the same extent and at the same time as the parking fee is collected from every transient occupant. In all cases in which the tax is not collected by the operator from the transient occupant, the operator shall be liable to the City for the amount of tax due on the amount of the taxable parking fee collected from the transient occupant under the provisions of this article the same as though the tax were paid by the transient occupant. The amount of tax shall be separately stated from the amount of the parking fee charged, and each transient occupant, upon demand, shall be given a receipt for payment. No operator shall advertise or hold out or state in any manner, directly or indirectly, that the tax or any part thereof will be assumed or absorbed by the operator or that it will not be added to the parking fee for the parking space, or that, if added, it or any part thereof will be refunded. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1906: EXEMPTIONS:

No tax shall be imposed upon:

A.    Any person as to whom or any occupancy as to which it is beyond the power of the City to impose the tax herein provided.

B.    The parking fee for any occupancy of parking space in a parking facility owned or operated by the City.

C.    The parking fee for any occupancy of parking space in a parking facility which is part of a hospital.

D.    The parking fee for any occupancy of parking space in a parking facility which is part of a medical facility provided: 1) the parking facility exclusively serves such medical facility and 2) the medical facility has been certified by the Tax Administrator as a medical facility. “Transient Parking Medical Facility Exemption Certificates” shall be issued pursuant to the guidelines established by the Tax Administrator.

E.    The impound and/or storage fees charge by a tow operation within the City of Burbank, duly licensed and permitted pursuant to the provisions of Title 3, Chapter 4, Article 5 of this Code. [Added by Ord. No. 3426; Amended by Ord. No. 3772, eff. 12/25/09; 3651, 3434]

2-4-1907: REGISTRATION:

A.    TRANSIENT PARKING FACILITY REGISTRATION.

(1)    Within thirty (30) days after the effective date of this article or within thirty (30) days after commencing business, whichever is later, every operator of any parking facility shall register each parking facility with the Tax Administrator by completing and submitting a City of Burbank Transient Parking Tax application. The Tax Administrator shall review the application and if the application is complete, shall issue the operator a “Transient Parking Registration Certificate”. Each certificate issued by the Tax Administrator is personal to each operator and is not transferable from person to person or from place to place.

(2)    Each operator of any parking facility shall reregister each parking facility with the Tax Administrator thirty (30) days prior to each fiscal year, the start of the fiscal year being July 1st.

B.    TRANSIENT PARKING MEDICAL FACILITY EXEMPTION REGISTRATION.

(1)    Within thirty (30) days of the effective date of this section or within thirty (30) days after commencing business, whichever is later, every operator of any parking facility seeking the medical facility exemption shall register each parking facility with the Tax Administrator by completing and submitting a City of Burbank Transient Parking Tax Medical Facility Exemption application. The Tax Administrator shall review the application and if the application is complete, shall issue the operator a “Transient Parking Medical Facility Exemption Certificate”, pursuant to Section 2-4-1906. Each certificate issued by the Tax Administrator is personal to each operator and is not transferable from person to person or from place to place.

(2)    Each operator of any parking facility shall re-register each parking facility with the Tax Administrator thirty (30) days prior to the beginning of each fiscal year, the start of the fiscal year being July 1st of each year. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1908: REGISTRATION CERTIFICATES:

A.    TRANSIENT PARKING REGISTRATION CERTIFICATE.

The Transient Parking Registration Certificate issued to each registered operator shall be posted in a conspicuous place upon the parking facility premises. Notwithstanding the foregoing, the certificate for any unattended parking facility may be maintained at any other business location of the operator within the City of Burbank. Each certificate shall expire on the 30th of June following the date of issuance. The certificate shall be entitled “Transient Parking Registration Certificate” and shall state:

(1)    The name of the registered operator;

(2)    The name and address of the parking facility;

(3)    The date of issuance of the certificate;

(4)    The date of expiration of the certificate;

(5)    The statement: “This certificate does not constitute a permit, it signifies that the person named hereon has fulfilled the requirements of the Burbank Transient Parking Tax Ordinance by registering with the Tax Administrator for the purpose of collecting and remitting the required transient parking tax. This certificate does not authorize any person to operate a parking facility without strictly complying with all state and local laws including those requiring a permit from any board, commission, office or department of the City of Burbank”; and

(6)    The statement: “THIS CERTIFICATE IS NOT TRANSFERABLE”. A new proprietor of this parking facility must obtain a new Transient Parking Registration Certificate from the City of Burbank within thirty (30) days of assuming ownership. A new proprietor is liable for all accrued and unpaid transient parking taxes, including all applicable interest and penalties.

B.    TRANSIENT PARKING MEDICAL FACILITY EXEMPTION CERTIFICATE.

The Transient Parking Medical Facility Exemption Certificate issued to each registered operator shall be posted in a conspicuous place upon the parking facility premises. Notwithstanding the foregoing, the certificate for any unattended parking facility may be maintained at any other business location of the operator within the City of Burbank. Each certificate shall expire on the 30th of June following the date of issuance. The certificate shall be entitled “Transient Parking Medical Facility Exemption Certificate” and shall state:

(1)    The name of the exempted operator;

(2)    The name and address of the parking facility;

(3)    The date of issuance of the certificate;

(4)    The date of expiration of the certificate;

(5)    The statement, “This certificate does not constitute a permit, it signifies that the facility named hereon has met all guidelines as established by the Tax Administrator in accordance with Burbank Municipal Code Section 2-4-1906 and is hereby certified as a Medical Facility as defined in Burbank Municipal Code Section 2-4-1902”. This certificate does not authorize any person to operate a parking facility without strictly complying with all state and local laws including those requiring a permit from any board, commission, office or department of the City of Burbank; and

(6)    The statement, “THIS CERTIFICATE IS NOT TRANSFERABLE. A new proprietor of this parking facility must obtain a new Transient Parking Medical Exemption Certificate from the City of Burbank within thirty (30) of assuming ownership.” [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1909: REPORTING AND REMITTING:

Each operator shall, on or before the last day of the month following the close of each calendar quarter, or at the close of any shorter reporting period which may be established by the Tax Administrator, make a return to the Tax Administrator, on forms provided by the Tax Administrator, of the total parking fees charged and received and the amount of tax collected for transient parking occupancies. At the time the return is filed, the full amount of the tax collected and tax not collected but required to be collected shall be remitted to the Tax Administrator. The Tax Administrator may establish shorter reporting periods for any certificate holder if they deem it necessary in order to ensure collection of the tax and may also require further information in the return. Returns and payments are due immediately upon cessation of business for any reason. All taxes collected by operators pursuant to this article shall be held in trust for the City until payment thereof is made to the Tax Administrator. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1910: SECURITY DEPOSIT:

Whenever the Tax Administrator deems it reasonably necessary to ensure remittance of the transient parking tax, an operator may be required to deposit security for the payment of the tax. The type and amount of security deposit shall be determined by the Tax Administrator but shall not exceed a sum or value equal to twice the estimated tax payable by the operator for any one calendar quarter. To recover transient parking tax, including penalty and interest, remittable by the depositor, the Tax Administrator may apply or sell at public auction the security deposited with the Tax Administrator. Security deposits in the form of bearer bonds issued by the United States of America or by the State of California may be sold by the Tax Administrator at private sale for the current market price. At least ten (10) days prior to the application or sale of a security deposit, the Tax Administrator shall serve upon the depositing operator notice of intent to apply or sell the security deposit. Service of notice may be made by placing the notice in the United States mail, postage prepaid, addressed to the depositing operator at the operator’s last known mailing address. Any portion of the proceeds from the sale of security remaining after satisfaction of outstanding transient parking taxes, penalty, interest and costs of sale, may be retained by the Tax Administrator for security or may be paid to the depositing operator. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1911: TRANSFER OF BUSINESS:

A.    OPERATOR’S DUTY TO NOTIFY.

An operator who conveys or quits the parking facility business shall notify the Tax Administrator in writing of such event, and provide the name and address of the purchaser or transferee, in the event of a sale or transfer, at least thirty (30) days in advance of the conveyance or close of the business. If the decision to convey or quit was made less than thirty (30) days prior to the purchase, transfer or close of the business, written notice shall be provided forthwith.

B.    SUCCESSOR’S LIABILITY.

If an operator conveys or quits the parking facility business, the operator’s assignee or successor in interest shall withhold sufficient funds from the purchase price to cover the accrued or outstanding transient parking tax liability of the operator, until such time as the operator produces a Certificate of Non-Liability from the Tax Administrator for payment of transient parking tax. If the assignee or successor in interest knowingly fails to withhold the amount required to pay the tax liability, they shall become jointly and severally liable with the operator for the payment of any amount required to be withheld.

C.    CERTIFICATE OF NON-LIABILITY.

Within thirty (30) days from the date of receipt of the application of any operator for a Certificate of Non-Liability for the payment of transient parking tax, the Tax Administrator shall issue the certificate if the operator’s tax liability has been satisfied to the date of application. If tax has accrued to that date, the Tax Administrator shall give notice to the operator of the amount which must be paid as a condition of issuing the certificate. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1912: PENALTIES AND INTEREST:

A.    ORIGINAL DELINQUENCY.

Any tax or portion thereof collected or required to be collected by an operator that is not remitted to the Tax Administrator before the due dates specified in Section 2-4-1909 of this article is delinquent. Any operator who fails to remit any tax or portion of any tax imposed by this article within the time required shall pay a penalty of ten percent (10%) of the amount of the tax due in addition to the amount of the tax.

B.    CONTINUED DELINQUENCY.

If the tax due or any portion thereof is not remitted to the Tax Administrator within thirty (30) days after the due date, the operator shall pay a second delinquency penalty of twenty percent (20%) of the amount of the tax due in addition to the amount of the tax and the ten percent (10%) penalty first imposed.

C.    FRAUD.

If the Tax Administrator determines that the nonpayment of tax or portion of any tax due under this article is due to fraud or intentional disregard of this article, a penalty of twenty five percent (25%) of the amount of the tax due shall be added thereto in addition to the penalties stated in subsections A and B of this section.

D.    INTEREST.

In addition to the penalties imposed, any operator who fails to remit any tax or portion thereof required to be collected by this article shall pay interest, compounded monthly, at the rate of one percent (1%) per month, or fraction thereof, on the amount of tax due from the date on which the tax first became delinquent until the date the tax is paid.

E.    PENALTIES FOR FAILURE TO KEEP AND PRESERVE REQUIRED RECORDS.

Any operator that fails to maintain records for the prescribed time as described in Section 2-4-1914 shall pay a penalty of $500, in addition to the amount of taxes owed.

F.    PENALTIES MERGED WITH TAX.

Every penalty imposed and such interest as accrues under the provisions of this section shall become a part of the tax herein required to be paid. [Added by Ord. No. 3426; Amended by Ord. No. 3772, eff. 12/25/09; 3434.]

2-4-1913: FAILURE TO COLLECT, REMIT AND/OR REPORT TAX; DETERMINATION OF TAX:

If any operator shall fail or refuse to collect said tax and to make, within the time provided in this article, any report and remittance of said tax or any portion thereof required by this article, the Tax Administrator shall proceed in such manner as they may deem best to obtain facts and information on which to estimate the tax due, including the use of an accounting, auditing or consulting firm. As soon as the Tax Administrator shall procure such facts and information as they are able to obtain upon which to base the assessment of any tax imposed by this article and payable by any operator who has failed or refused to collect the same, to make such report and/or to make such remittance to the City, the Tax Administrator shall proceed to determine and assess against such operator the tax, interest and penalties provided for by this article. In case such determination is made, the Tax Administrator shall give a notice of the amount so assessed by serving the notice personally or by depositing the notice in the United States mail, postage prepaid, addressed to the operator so assessed at the operator’s last known address. If the operator desires to challenge the amount assessed, the operator must, within ten (10) days after the serving or mailing of such notice, make a written request to the Tax Administrator for a hearing on the amount assessed. If a written request by the operator for a hearing is not made within the time prescribed, the tax, interest and penalties, if any, determined by the Tax Administrator shall become final and conclusive and immediately due and payable.

If a written request for a hearing is made, the Tax Administrator shall give not less than five (5) days’ written notice in the manner prescribed herein to the operator to show cause at a time and place fixed in said notice why said amount specified therein should not be fixed for such tax, interest and penalties. At such hearing, the operator may appear and offer evidence why such specified tax, interest and penalties should not be so fixed. After such hearing, the Tax Administrator shall determine the proper tax to be remitted and shall thereafter give written notice to the person in the manner prescribed herein of such determination and the amount of such tax, interest and penalties. The amount determined to be due shall be paid within fifteen (15) days after the Tax Administrator’s decision unless an appeal is taken as provided in Title 2, Chapter 2, Article 15 of this Code. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1914: RECORDS:

A.    RIGHT OF INSPECTION.

No reports or statements by an operator shall be conclusive as to the matters set forth in such reports or statements, nor shall the filing of such reports or statements preclude the City from collecting by appropriate action such sum as is actually due and payable under this article. The reports or statements of the operator and each of the several items in such reports and statements shall be subject to audit and verification by the Tax Administrator, their deputies, or authorized agents of the City, who are hereby authorized to examine, audit, and inspect such books and records of any operator as may be necessary in the Tax Administrator’s judgment to verify or ascertain the tax due.

B.    MAINTENANCE OF RECORDS.

It shall be the duty of every operator to keep and preserve for a period of not less than three (3) years all records as may be necessary to determine the amount of any tax liability pursuant to this article, which records the Tax Administrator or their deputies or agents shall have the right to inspect and copy at all reasonable times upon demand. Each operator within the City is hereby required to permit an examination of such books and records for the purposes described in this section and at a location within the City of Burbank. In the event such books and records cannot be made available within the City of Burbank, the operator is hereby required to reimburse the City for the costs of all transportation, lodging, meals, portal to portal travel time, and other incidental costs reasonably incurred by the City in obtaining said audit.

C.    RECORD FORMAT.

Records are to be in accordance with established accounting principles and include information on gross revenues from all parking functions and recorded on a daily and weekly basis and include gross vehicle usage of the parking facility with a gate count, including free occupancy parking, long term parking, leased parking to other entities, and hourly parking. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1915: REFUNDS:

A.    CLAIM TO BE IN WRITING.

Whenever the amount of any tax, interest or penalty has been overpaid or remitted more than once or has been erroneously or illegally collected or received by the City under this article, it may be refunded as provided in subsections B and C of this section provided a claim in writing therefor, stating under penalty of perjury the specific grounds upon which the claim is founded, is filed with the Tax Administrator within three (3) years of the date of payment. The claim shall be on forms furnished by the Tax Administrator.

B.    OPERATOR’S REFUND; OPTIONS.

An operator may claim a refund or take as credit against taxes collected and remitted, the amount overpaid, remitted more than once or erroneously or illegally collected or received when it is established in a manner prescribed by the Tax Administrator that the person from whom the tax has been collected was not liable for the tax; provided, however, that neither a refund nor a credit shall be allowed unless the amount of the tax so collected has either been refunded to the transient occupant or credited to the parking fee subsequently payable by the transient occupant to the operator.

C.    TRANSIENT REFUND.

A transient occupant may obtain a refund of taxes overpaid or paid more than once or erroneously or illegally collected or received by the City by filing a claim in the manner provided in subsection A of this section, but only when the tax was paid by the transient occupant directly to the Tax Administrator, or when the transient occupant having paid the tax to the operator, establishes to the satisfaction of the Tax Administrator that the transient occupant has been unable to obtain a refund from the operator who collected the tax.

D.    RECORDS REQUIRED.

No refund shall be paid under the provisions of this section unless the claimant establishes the right thereto by written records showing entitlement thereto. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1916: ACTIONS TO COLLECT:

Any tax required to be paid by any transient occupant under the provisions of this Article shall be deemed a debt owed by the transient occupant to the City. Any such tax collected by an operator which has not been remitted to the City shall be deemed a debt owed by the operator to the City. Any person owing money to the City under the provisions of this Article shall be liable to an action brought in the name of the City for the recovery of such an amount. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

2-4-1917: FAILURE TO REGISTER OR FILE REPORTS, ETC.:

An operator or other person who fails or refuses to register as required herein, or to furnish any return required to be made, or who fails or refuses to furnish a supplemental return or other data required by the Tax Administrator, or who renders a false or fraudulent return or claim, or who fails to submit to an examination, audit, and inspection of books and records, and any person required to make, render, sign or verify any report or claim who makes any false or fraudulent report or claim with intent to defeat or evade the determination of any amount due required by this Article to be made, is guilty of a misdemeanor. [Added by Ord. No. 3426, eff. 1/20/96; Amended by Ord. No. 3772, eff. 12/25/09.]

ARTICLE 20. SPECIAL TAX FINANCING IMPROVEMENT CODE

DIVISION 1. GENERAL PROVISIONS

2-4-2001: SHORT TITLE:

This article shall be known and may be cited as the CITY OF BURBANK SPECIAL TAX FINANCING IMPROVEMENT CODE, and shall be referred to herein as this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2002: APPLICABILITY:

This article is adopted pursuant to the Charter of the City of Burbank. In proceedings had pursuant to this article which are a municipal affair, any general laws referred to in this article are deemed a part of this article. In the event that any proceeding had pursuant to this article shall be adjudged a state affair, it is declared to be the intention that the proceedings were had pursuant to any applicable general law or laws.

This article provides an alternative method of financing certain public and private capital facilities and municipal services. The provisions of this article shall not affect or limit any other provisions of law authorizing or providing for the furnishing of facilities or services, or the raising of revenue for these purposes. The City may use the provisions of this article instead of or in conjunction with any other method of financing part or all of the cost of providing the authorized kinds of public and private capital facilities and municipal services.

[Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2003: CONFLICTING PROVISIONS; SEVERABILITY:

Any provision in this article which conflicts with any general law or act shall prevail over the other such provision in connection with any proceedings taken pursuant to this article. In the event any portion of this article shall be declared illegal, unenforceable, or unconstitutional, such provision shall be deemed severable from the rest of the provisions of this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2004: ACTIONS OR DETERMINATIONS; PROCEEDINGS:

The City Council may take any actions or make any determinations which it determines are necessary or convenient to carry out the purposes of this article and which are not otherwise prohibited by law. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2005: ESTABLISHMENT OF A COMMUNITY FACILITIES DISTRICT; FINANCING POWERS:

A community facilities district may be established under this article to finance any one or more municipal services within an area including, but not limited to, the following:

A.    Police protection services, including, but not limited to, criminal justice services. Criminal justice services shall not be limited to providing services for jails, detention facilities, and juvenile halls.

B.    Fire protection and suppression services, and ambulance and paramedic services.

C.    Recreation program services, library services and the operation of museums and cultural facilities.

D.    Flood and storm protection services, including, but not limited to, the operation and maintenance of storm drainage systems, including cleaning, desiltation and dredging of detention and retention ponds and facilities, removal of debris, rubbish and solid waste.

E.    Maintenance of sanitary sewer system facilities and storm drainage facilities of the City including, but not limited to, sanitary sewer mains, laterals, manholes, pump stations, and appurtenances of the City to convey, treat, and dispose of sewage.

F.    Maintenance of parks, parkways, open space and landscaping, including related paths, bikepaths, sidewalks, ornamental features and lighting.

G.    Maintenance of public streets, rights of way, public parking facilities, public utility facilities and other public facilities.

H.    Maintenance of facilities in which the City has a leasehold interest, if such facilities could otherwise be financed under this article.

I.    Any other municipal service which the City is authorized by law to provide.

For purposes of this article, municipal services that may be financed include the performance by employees of functions, operations, maintenance and repair activities, on public and private lands. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2006: OTHER FINANCING POWERS OF A COMMUNITY FACILITIES DISTRICT:

A community facilities district may also finance the purchase, construction, expansion, improvement or rehabilitation of any real or other tangible property with an estimated useful life of three (3) years or longer or may finance planning and design work which is directly related to the purchase, construction, expansion or rehabilitation of any real or tangible property. The facilities need not be physically located within the district. A district may finance the purchase of facilities whose construction has been completed before or after the adoption of the resolution of formation if the facility is or was constructed pursuant to plans approved by the City, and the facility is inspected by the City and found to be in compliance with applicable City building codes and standards. For example, a community facilities district may finance facilities, including, but not limited to, the following:

A.    Local park, recreation, parkway, and open space facilities.

B.    Public parking facilities including parking structures and surface parking lots.

C.    Libraries, community centers, recreational facilities, and childcare facilities.

D.    The district may also finance the construction or undergrounding of natural gas pipeline facilities, telephone lines, facilities for the transmission or distribution of electrical energy, and cable television lines. The district may enter into an agreement with a public utility to utilize those facilities to provide a particular service and for the conveyance of those facilities to the public utility. Any reimbursement by the public utility made to the district shall be utilized to reduce or minimize the special tax levied within the district or improvement area, or to construct or acquire additional facilities within the district or improvement area, as specified in the resolution of formation.

E.    The district may also pay in full all amounts necessary to eliminate any fixed special assessment lines or to repay or defease any indebtedness secured by any tax, fee, charge, or assessment levied within the area of a community facilities district or may pay debt service on that indebtedness.

F.    Improvements to or the rehabilitation of real property related to fire suppression, asbestos removal, seismic safety, or removal of toxic waste or hazardous substances, or any combination thereof.

G.    Any other facilities, public or private, which the City is authorized by law to contribute revenue to, or construct, own or operate. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2007: TRANSFER OF FUNDS; USE OF MONEY; INTEREST:

The City Council may from time to time transfer monies to a community facilities district or to a zone within a community facilities district, for the benefit of the district or zone, from any funds available to the City. The City Council also may appropriate any of the City’s available monies to a revolving fund to be used for the acquisition of real or personal property, engineering or other services, or the construction of structures or improvements needed in whole or in part to provide one or more of the facilities or services of a community facilities district. The district may reimburse the City for any amount transferred or appropriated pursuant to this section, together with interest at the rate per annum, as determined by the City Council. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2008: ADVANCES OF FUNDS OR WORK IN-KIND:

A.    At any time either before or after the formation of a community facilities district, the City Council may accept advances of funds or work in-kind from any source, including, but not limited to, private persons or private entities and may provide for the use of those funds or that work in-kind for any authorized purpose, including, but not limited to, paying any cost incurred by the City in creating a community facilities district. The City Council may enter into an agreement with the person or entity advancing the funds or work in-kind to repay all or a portion of the funds advanced, or to reimburse the person or entity for the value, or cost, whichever is less, of the work in-kind, as determined by the City Council, with or without interest, under all of the following conditions:

1.    The proposal to repay the funds or the value or cost of the work in-kind, whichever is less, is included in the resolution of intention or the resolution of formation to establish the district, or in the resolution of consideration to alter the types of public facilities and services provided within an established district.

2.    Any proposed special tax or change in a special tax is approved by the qualified electors of the district pursuant to this article. Any agreement may specify that if the qualified electors of the district do not approve the proposed special tax or change in a special tax, the local agency shall return any funds which have not been committed for any authorized purpose by the time of the election to the person or entity advancing the funds.

3.    Any work in-kind accepted pursuant to this section shall have been performed or constructed pursuant to plans approved by the City, and the work in-kind shall be inspected by the City and found to be in compliance with applicable City building codes and standards.

B.    Any such agreement shall not constitute a debt or liability of the City. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2009: LIBERAL CONSTRUCTION OF ARTICLE:

This article shall be liberally construed in order to effectuate its purposes. No error, irregularity, informality, and no neglect or omission of any officer, in any procedure taken under this article, which does not directly affect the jurisdiction of the City Council to order the installation of the facility or the provision of service, or the levy of special taxes, shall void or invalidate such proceeding or any levy for the costs of a facility or service. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2010: FAILURE TO RECEIVE NOTICE, RESOLUTION, ORDER, ETC.:

The failure of any person to receive a notice, resolution, order, or other matter shall not affect in any way whatsoever the validity of any proceedings taken under this article, or prevent the legislative body from proceeding with any hearing so noticed. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2011: APPLICATION; MUNICIPAL OFFICIALS; POWERS AND DUTIES:

A.    This article applies insofar as the City has the power to install or contribute revenue for any of the facilities or provide or contribute revenue for any of the services authorized under this article. The officers of the City who have similar powers and duties as the municipal officers referred to in this article shall have the powers and duties given by this article to the municipal officials. Where no similar officer exists, the City Council or the City Manager of the City may appoint a person or designate an officer to perform the duties under this article.

B.    The City may initiate proceedings pursuant to Section 2-4-2018 of this article to include territory proposed for annexation to the City within a community facilities district if a petition or resolution of application for the annexation of the territory to the City has been accepted for filing and a certificate of filing has been issued by the executive officer of the City formation commission at the time the proceedings to create the district are initiated. Those proceedings may be completed only if the annexation of the territory to the City is completed. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2012: EXTENSION OF COMMUNITY FACILITIES DISTRICT BOUNDARIES:

A.    The City may include with the boundaries of a community facilities district created pursuant to this article lands lying within the boundaries of any one or more cities, or counties, when such lands, in the opinion of the City Council, will be benefited by the proposed work if the consent of the legislative body of any territory proposed to be assessed shall first be obtained to the formation of the community facilities district and, if any of the proposed facilities or services are to be done within such territory, to the facilities or services described in the resolution of intention adopted under Section 2-4-2021 of this article and the assumption of jurisdiction thereover for the purposes aforesaid prior to the adoption thereof.

B.    The proposed resolution of intention shall be submitted to the legislative bodies which have jurisdiction over the territory into which the proposed facilities or services or the community facilities district therefor may extend. When the resolution of intention is approved and the consent of the legislative bodies whose consent is necessary is obtained, the resolution of intention may be adopted. The consent, if any, shall, of itself, constitute assent to the assumption of jurisdiction thereover for all purposes of the proceeding and authorize the City Council initiating the proceeding to take each and every step required for or suitable for the consummation of the facilities or services extending outside the limits of the City, and the levying, collecting and enforcement of the special taxes to cover the expenses thereof and the issuance and enforcement of bonds as provided in this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2013: JOINT AGREEMENT OR JOINT EXERCISE OF POWERS AGREEMENT:

A.    The City Council may enter into a joint community facilities agreement with any other local agency pursuant to this section or into a joint exercise of powers agreement pursuant to Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of the California Government Code to exercise any power authorized by this article if the City Council adopts a resolution declaring that such a joint agreement would be beneficial to the residents of the City or the district.

B.    Notwithstanding Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of the California Government Code, a contracting party may use the proceeds of any special tax or charge levied pursuant to this article or of any bonds or other indebtedness issued pursuant to this article to provide facilities or services which that contracting party is otherwise authorized by law to provide, even though another contracting party does not have the power to provide those facilities or services.

C.    The agreement entered into pursuant to this section may provide for the division of responsibility to provide any of the facilities or services among the entities entering into the agreement. The agreement shall provide for the allocation and distribution of the proceeds of any special tax levy among the parties to the agreement. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2014: DEFINITIONS:

Unless the context otherwise requires, the definitions contained in this article shall govern the construction of this article.

CLERK: The City Clerk of the City.

COMMUNITY FACILITIES DISTRICT OR DISTRICT: A district established pursuant to this article for the sole purpose of financing facilities and/or services.

COST: The expense of constructing or purchasing the facility and of related land, right of way, easements, including incidental expenses, and the cost of providing authorized services, including incidental expenses.

DEBT: Any binding obligation to repay a sum of money, including obligations in the form of bonds, certificates of participation, long term leases, loans from government agencies, or loans from banks, other financial institutions, private businesses or individuals.

INCIDENTAL EXPENSE: Includes all of the following:

A.    The cost of planning and designing facilities to be financed pursuant to this article, including the cost of environmental evaluations of those facilities.

B.    The costs associated with the creation of the district, issuance of bonds, determination of the amount of taxes, collection of taxes, payment of taxes, or costs otherwise incurred in order to carry out the authorized purposes of the district.

C.    Any other expenses incidental to the management, administration, completion, and inspection of the construction and/or acquisition of the facilities.

LANDOWNER OR OWNER OR OWNER OF LAND: Any person shown as the owner of land on the last equalized assessment roll or otherwise known to be the owner of the land by the City Clerk. Notwithstanding the foregoing, “landowner” or “owner” or “owner of land” means, with respect to any land which is the subject of a condemnation action, the person entitled to possession of the land. The City Council has no obligation to obtain other information as to the ownership of the land, and its determination of ownership shall be final and conclusive for the purposes of this article. The City or any other public agency is not a landowner or owner of land for purposes of this article, unless the land owned by the City or any public agency or any leasehold therein would be subject to a special tax levied pursuant to this article, except as provided in Section 2-4-2015 or 2-4-2016 of this division.

LEGISLATIVE BODY: The City Council.

LOCAL AGENCY: Any city or county, whether general law or chartered, special district, school district, joint powers entity created pursuant to Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of the California Government Code, or any other municipal corporation, district, or political subdivision of the state.

RATE: A single rate of tax or a schedule of rates. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2015: SPECIAL TAX; PROPERTY ACQUIRED BY PUBLIC ENTITY THROUGH NEGOTIATED TRANSACTION OR BY GIFT OR DEVISE; VOLUNTARY APPLICATION OF SPECIAL TAX:

A.    If property not otherwise exempt from a special tax levied pursuant to this article is acquired by a public entity through a negotiated transaction, or by gift or devise, the special tax shall, notwithstanding the definition of “landowner or owner or owner of land” in Section 2-4-2014 of this division, continue to be levied on the property acquired and shall be enforceable against the public entity that acquired the property.

B.    Notwithstanding any other provision of this article, any public agency other than a city, county or school district may subject property owned by it to the levy of special taxes, if it shall certify to the City Council:

1.    Its agreement to do so;

2.    That it intends to dispose of such property by transfer to a nongovernmental agency at some time in the future; and

3.    That it agrees to cooperate in the sale of the property if necessary to obtain funds to pay any special taxes levied upon such property. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2016: SPECIAL TAX; SPECIAL ASSESSMENT ON PROPERTY ACQUIRED BY PUBLIC ENTITY THROUGH EMINENT DOMAIN:

If property subject to a special tax levied pursuant to this article is acquired by the City or any public entity or entities through eminent domain proceedings, the obligation to pay the special tax shall be treated, pursuant to Section 1265.250 of the California Code of Civil Procedure, as if it were a special annual assessment. For this purpose, the present value of the obligation to pay a special tax to pay the principal and interest on any indebtedness incurred by the district prior to the date of apportionment determined pursuant to Section 5082 of the California Revenue and Taxation Code shall be treated the same as a fixed lien special assessment. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2017: LEASE OR POSSESSORY INTEREST BY EXEMPT PERSON OR ENTITY TO NONEXEMPT PERSON OR ENTITY; LEASE PROVISIONS; COLLECTION:

A.    If a public agency owning property, including property held in trust for any beneficiary, which is exempt from a special tax pursuant to Section 2-4-2054 of this article grants a leasehold or other possessory interest in the property to a nonexempt person or entity, the special tax shall, notwithstanding Section 2-4-2054 of this article, be levied on the leasehold or possessory interest and shall be payable by the owner of the leasehold or possessory interest.

B.    When entering into a lease or other written contract creating a possessory interest that may be subject to taxation, pursuant to subsection A of this section, the public agency shall include, or cause to be included, in the contract a statement that the property interest may be subject to special taxation pursuant to this chapter, and that the party in whom the possessory interest is vested may be subject to the payment of special taxes levied on the interest. Failure to comply with the requirements of this section shall not, however, invalidate the contract.

C.    If the special tax on any possessory interest levied pursuant to subsection A of this section is unpaid when due, the tax collector may use those collection procedures which are available for the collection of assessments on the unsecured roll. [Added by Ord. No. 3671, eff. 7/9/05.]

DIVISION 2. PROCEEDINGS TO CREATE A COMMUNITY FACILITIES DISTRICT

2-4-2018: INSTITUTION OF PROCEEDINGS; REQUEST; PETITION; FEE:

Proceedings for the establishment of a community facilities district may be instituted by the City Council on its own initiative or shall be instituted by the City Council when any of the following occurs:

A.    A petition requesting the institution of the proceedings signed by the requisite number of registered voters, as specified in subsection 2-4-2019D of this division, is filed with the City Clerk. The petition may consist of any number of separate instruments, each of which shall comply with all of the requirements of the petition except as to the number of signatures.

B.    A petition requesting the institution of the proceedings signed by landowners owning the requisite portion of the area of the proposed district, as specified in subsection 2-4-2019D of this division, is filed with the City Clerk.

The petitions filed pursuant to subsections A and B of this section shall be accompanied by the payment of a fee in an amount which the Financial Services Director determines is sufficient to compensate the City for all costs incurred in conducting proceedings to create a district pursuant to this article, and shall not be considered received until such payment has been made to the City. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2019: PETITION; CONTENTS; FINDINGS AS TO REQUISITE NUMBER OF SIGNERS:

A petition requesting the institution of proceedings for the establishment of a community facilities district shall do all of the following:

A.    Request the City Council to institute proceedings to establish a community facilities district pursuant to this article.

B.    Describe the boundaries of the territory which is proposed for inclusion in the district.

C.    Generally state the type or types of facilities and/or services to be financed by the district.

D.    Be signed by not less than ten percent (10%) of the registered voters residing within the territory proposed to be included within the district or by owners of not less than ten percent (10%) of the area of land proposed to be included within the district.

If the City Council finds that the petition is signed by the requisite number of registered voters residing within the territory proposed to be included within the district or by the requisite number of owners of land proposed to be included within the district, that finding shall be final and conclusive. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2020: RESOLUTION OF INTENTION TO ESTABLISH DISTRICT; TIME FOR ADOPTION:

Within six (6) months after a petition requesting the institution of proceedings for the establishment of a community facilities district is filed with the City Clerk, the City Council shall adopt a resolution of intention to establish a community facilities district in the form specified in Section 2-4-2021 of this division. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2021: RESOLUTION OF INTENTION TO ESTABLISH DISTRICT; CONTENTS:

Proceedings for the establishment of a community facilities district shall be instituted by the adoption of a resolution of intention to establish the district which shall do all of the following:

A.    State that a community facilities district is proposed to be established under the terms of this article and describe the boundaries of the territory proposed for inclusion in the district, which may be accomplished by reference to a map on file in the office of the City Clerk, showing the proposed community facilities district.

B.    State the name proposed for the district in substantially the following form:

City of Burbank Community Facilities District No. ____.

C.    Generally state the type or types of facilities and/or services proposed to be financed by the district pursuant to this article. If the purchase of completed facilities or the incurring of incidental expenses is proposed, the resolution may identify those facilities or expenses.

D.    State that, except where funds are otherwise available, a special tax sufficient to pay for all facilities and/or services, secured by recordation of a continuing lien against all nonexempt real property in the district, will be annually levied within the area of the district. The resolution shall specify the rate and method of apportionment and manner of collection of the special tax in sufficient detail to allow each landowner or resident within the proposed district to estimate the maximum amount that they will have to pay.

E.    Fix a time and place for a public hearing on the establishment of the district which shall not be less than ten (10) or more than sixty (60) days after the adoption of the resolution and direct the giving of notice as provided in Sections 2-4-2023 and, if desired, 2-4-2024 of this division.

F.    Direct the preparation and filing of the report under Section 2-4-2022 of this division.

G.    Contain a description of the proposed voting procedure. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2022: REPORTS AND CONTENTS; PART OF HEARING RECORD:

At the time of the adoption of the resolution of intention to establish a community facilities district, the City Council shall direct the Financial Services Director or another appropriate officer to file or cause to be prepared and filed at or before the time of the hearing, a report with the City Clerk containing a brief description of the facilities and services proposed to be financed by type and an estimate of the cost of providing those facilities and services, together with an estimate of the costs of any bond issuance and the City’s administration of the district. If the purchase of completed facilities or the payment of incidental expenses is proposed, the report shall contain an estimate of the cost of those facilities or incidental expenses. The report shall be made a part of the record of the hearing on the resolution of intention to establish the district. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2023: REQUIRED NOTICE OF HEARING:

A.    The City Clerk shall publish a notice of the hearing once in a newspaper of general circulation circulated in the proposed district. Publication shall be complete at least seven (7) days prior to the date of the hearing.

B.    The notice shall contain all of the following information:

1.    The text of the resolution of intention to establish the district or a summary thereof.

2.    The time and place of the hearing on the establishment of the district.

3.    A statement that at the hearing the testimony of all interested persons or taxpayers for or against the establishment of the district, the extent of the district, or the furnishing of specified types of facilities and/or services will be heard. The notice shall also describe, in summary, the effect of protests made by registered voters or landowners against the establishment of the district, the extent of the district, the furnishing of a specified type of facility or service, or a specified special tax, as provided in Section 2-4-2036 of this division.

4.    A description of the proposed voting procedure. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2024: OPTIONAL NOTICE OF HEARING:

The City Council may also direct the City Clerk to give notice of the hearing by first class mail to each registered voter and to each landowner within the proposed district. This notice shall be mailed at least five (5) days before the hearing and shall contain the same information as is required to be contained in the notice published pursuant to Section 2-4-2023 of this division, except that the entire text of the resolution of intention may be omitted if the date, number and fact of its adoption are shown and the proposed facilities and/or services are briefly described and the proposed amounts and method of apportionment of the special tax are shown. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2025: PROTESTS; INTERESTED PERSONS OR TAXPAYER:

At the hearing, protests against the establishment of the district, the extent of the district, or the furnishing of specified types of facilities or services within the district may be made orally or in writing by any interested persons or taxpayers. Any protests pertaining to the regularity or sufficiency of the proceedings shall be in writing and shall clearly set forth the alleged irregularities and defects. To be counted under Section 2-4-2026 of this division any written protest shall be filed with the City Clerk on or before the time fixed for the hearing. The City Council may waive any irregularities in the form or content of any written protest and at the hearing may correct minor defects in the proceedings. Written protests may be withdrawn in writing at any time before the conclusion of the hearing. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2026: WRITTEN PROTEST:

If fifty percent (50%) or more of the registered voters, or six (6) registered voters, whichever is more, residing within the territory proposed to be included in the district, or the owners of one-half (1/2) or more of the area of the land in the territory proposed to be included in the district and not exempt from the special tax, file written protests against the establishment of the district, and protests are not withdrawn so as to reduce the value of the protests to less than a majority, no further proceedings to create the specified community facilities district or to levy the specified special tax shall be taken for a period of six (6) months from the date of the decision of the City Council. If the majority of protests are only against the furnishing of a specified type or types of facilities or services within the proposed district, or against levying a specified special tax, those types of facilities or services or the specified special tax shall be eliminated from the resolution of formation. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2027: HEARING DECISIONS:

The hearing may be continued from time to time without further notice under Section 2-4-2023 or 2-4-2024 of this division, but shall be completed within six (6) months of the original hearing date. The City Council may modify the resolution of intention by eliminating proposed facilities or services, or by changing the rate or method of apportionment of the proposed special tax so as to reduce the maximum special tax to be levied on all or a portion of the property within the proposed district, or by removing territory from the proposed district. At the conclusion of the hearing, the City Council may abandon the proposed establishment of the community facilities district or may, after passing upon all protests, determine to proceed with establishing the district, except as provided in Section 2-4-2026 of this division. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2028: RESOLUTION OF FORMATION:

If the City Council determines to establish the district, it shall adopt a resolution of formation establishing the district. The resolution of formation shall incorporate by reference all of the information required to be included in the resolution of intention to establish the district specified in Section 2-4-2021 of this division. If a special tax is proposed to be levied in the district to pay for any facilities and/or services and the special tax has not been eliminated by majority protest pursuant to Section 2-4-2026 of this division, the resolution shall state that fact and all of the following:

A.    Determine whether all proceedings were valid and in conformity with the requirements of this article, which finding shall be final and conclusive.

B.    State that the proposed special tax to be levied within the district has not been precluded by majority protest pursuant to Section 2-4-2026 of this division.

C.    Identify any facilities and/or services, as may be changed under Section 2-4-2026 or 2-4-2027 of this division, proposed to be funded with the proceeds of the special tax.

D.    Set forth the proposed rate and method of apportionment of the special tax.

E.    Set forth the name, address, and telephone number of the office, department, or bureau of the City which will be responsible for preparing annually a current roll of special tax levy obligations by assessor’s parcel number and which will be responsible for estimating future special tax levies pursuant to Section 2-4-2055 of this article.

F.    State that upon recordation of a notice of special tax lien pursuant to Section 3114.5 of the Streets and Highways Code of California, a continuing lien to secure each levy of the special tax shall attach to all nonexempt real property in the district and this lien shall continue in force and effect until the special tax obligation is prepaid and permanently satisfied and the lien canceled in accordance with law or until collection of the tax by the City Council ceases.

G.    Set forth the county of recordation and the book and page in the “Book Of Maps Of Assessments And Community Facilities Districts” in the County Recorder’s office where the boundary map of the proposed community facilities district has been recorded pursuant to Sections 3111 and 3113 of the Streets and Highways Code of California.

H.    Provide for the conduct of the election required under Section 2-4-2033 of this division.

I.    At the option of the City Council, provide for the establishment of or change in the appropriations limit under Section 2-4-2032 of this division. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2029: SPECIAL TAX; BASIS FOR APPORTIONMENT:

A tax imposed pursuant to this article is a special tax and not a special assessment, and there is no requirement that the tax be apportioned on the basis of benefit to any property. However, a special tax levied pursuant to this article may be on or based on benefit received by parcels of real property, the cost of providing facilities and/or services available to each parcel, or any other reasonable basis as determined by the City Council. A special tax apportioned on any of these bases shall not be construed to be on or based upon the ownership of real property. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2030: NONCONTIGUOUS AREAS; ALTERATION OF BOUNDARIES:

A.    A community facilities district may include areas of territory that are not contiguous.

B.    In establishing the boundaries of the district, the City Council may alter the exterior boundaries of the district to include less territory than that described in the recorded boundary map but it may not include any territory not described in that map. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2031: BOUNDARIES OF DISTRICT; INCLUSION OF LANDS DEVOTED TO AGRICULTURAL, TIMBER OR LIVESTOCK USES:

Land devoted primarily to agricultural, timber, or livestock uses and being used for the commercial production of agricultural, timber or livestock products may be included in a community facilities district only if such land is contiguous to other land which is included within the described exterior boundaries of the community facilities district, and only if the legislative body finds that the land will be benefited by any of the types of public facilities and services proposed to be provided within the district. The land may, however, be included in the community facilities district, if the owner requests its inclusion. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2032: ESTABLISHMENT OR CHANGING APPROPRIATIONS LIMIT; ELECTION:

The City Council may submit a proposition to establish or change the appropriations limit, as defined by subdivision (h) of Section 8 of Article XIII B of the California Constitution, of a community facilities district to the qualified electors of a proposed or established district. The proposition establishing or changing the appropriations limit shall become effective if approved by the qualified electors voting on the proposition and shall be adjusted for changes in the cost of living and changes in populations, as defined by subdivisions (b) and Cc) of Section 7901 of the California Revenue and Taxation Code, except that the change in population may be estimated by the legislative body in the absence of an estimate by the State of California Department of Finance, and in accordance with Section 1 of Article XIII B of the California Constitution. For purposes of adjusting for changes in population, the population of the district shall be deemed to be at least one person during each calendar year. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2033: SPECIAL TAX LEVY; ELECTION; VOTER QUALIFICATIONS; BALLOTS:

A.    By resolution, the City Council shall submit the levy of any special taxes to the qualified electors of the proposed community facilities district in the next general election or in a special election to be held, notwithstanding any other requirement, including any requirement that elections be held on specified dates, contained in the California Elections Code, at least five (5) days, but not more than one hundred eighty (180) days, following the adoption of the resolution of formation. The legislative body shall provide the resolution of formation, a certified map of sufficient scale and clarity to show the boundaries of the district, and a sufficient description to allow the election official to determine the boundaries of the district to the official conducting the election after the adoption of the resolution of formation, if requested by the official conducting the election. Assessor’s parcel numbers for the land within the district shall be included if it is a landowner election or the district does not conform to an existing district’s boundaries, if requested by the official conducting the election. If the election is to be held less than one hundred twenty five (125) days following the adoption of the resolution of formation and the election official is other than the City Clerk, the concurrence of the election official conducting the election shall be required. However, any time limit specified by this section or requirement pertaining to the conduct of the election may be waived with the unanimous consent of the qualified electors of the proposed district and the concurrence of the election official conducting the election. In the event of such unanimous waiver, the election official shall be the City Clerk.

B.    Except as otherwise provided in subsection C of this section, if at least twelve (12) persons, who need not necessarily be the same twelve (12) persons, have been registered to vote within the territory of the proposed community facilities district for each of the ninety (90) days preceding the date of the protest hearing, the vote shall be by the registered voters of the proposed district, with each voter having one vote. Otherwise, the vote shall be by the landowners of the proposed district and each landowner who is the owner of record at the close of the protest hearing, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of land that they own within the proposed community facilities district. The number of votes to be voted by a particular landowner shall be specified on the ballot provided to that landowner.

C.    If the proposed special tax will not be apportioned in any tax year on any portion of property in the district in residential use in that tax year, as determined by the legislative body, the legislative body may provide that the vote shall be by the landowners of the proposed district whose property would be subject to the tax if it were levied at the time of the election. Each of these landowners shall have one vote for each acre, or portion thereof, that the landowner owns within the proposed district which would be subject to the proposed tax if it were levied at the time of the election.

D.    Ballots for the special election authorized by subsection A of this section may be distributed to qualified electors by mail with return postage prepaid or by personal service by the election official. The election official may provide a certificate of the proper mailing or delivery of ballots, which certificate shall constitute conclusive proof of mailing or delivery in the absence of fraud. The voted ballots shall be returned to the election officer conducting the election not later than the time specified in the resolution calling the election. However, if all the qualified voters have voted, the election shall be closed. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2034: ELECTIONS; LAW GOVERNING:

A.    Except as otherwise provided in this article, the provisions of law regulating elections of the City, insofar as they may be applicable, shall govern all elections conducted pursuant to this article. Except as provided in subsection B of this section, there shall be prepared and included in the ballot material provided to each voter an impartial analysis, and arguments and rebuttals, if any.

B.    Analysis and arguments may be waived with the unanimous consent of all the qualified electors. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2035: BALLOT MATERIALS:

A.    If the election is to be conducted by mail or hand delivered ballot the election official conducting the election shall provide ballots and election materials pursuant to subsection 2-4-2033D and Section 2-4-2034 of this division, together with all supplies and instructions necessary for the use and return of the ballot.

B.    The identification envelope for return of ballots used in landowner elections shall contain the following:

1.    The name of the landowner.

2.    The address of the landowner.

3.    A declaration, under penalty of perjury, stating that the voter is the owner of record or the authorized representative of the landowner entitled to vote and is the person whose name appears on the identification envelope.

4.    The date of signing and place of execution of the declaration described in subsection B3 of this section.

5.    The printed name and signature of the voter.

6.    The address of the voter.

7.    A notice that the envelope contains an official ballot and is to be opened only by the election official. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2036: SPECIAL TAX LEVY; EFFECT OF VOTER APPROVAL OR DISAPPROVAL:

A.    After the canvass of returns of any election pursuant to Section 2-4-2033 of this division, the City Council may levy any special tax as specified in the resolution of formation adopted pursuant to Section 2-4-2028 of this division within the territory of the district, if two-thirds (2/3) of the votes cast upon the question of levying the tax are in favor of levying that tax.

B.    After the canvass of returns of any election conducted pursuant to Section 2-4-2033 of this division, the City Council shall take no further action with respect to levying the specified special tax within the community facilities district for six (6) months from the date of the election, if the question of levying that specified special tax falls to receive approval by two-thirds (2/3) of the votes cast upon the question. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2037: APPLICATION OF STREETS AND HIGHWAY CODE OF CALIFORNIA WITH RESPECT TO SPECIAL TAXES; FILINGS:

A.    Upon a determination by the City Council that the requisite two-thirds (2/3) of votes cast in an election held pursuant to Section 2-4-2033 of this division are in favor of levying the special tax, the City Clerk shall record or cause to be recorded the notice of special tax lien provided for in Section 3114.5 of the Streets and Highways Code of California, whereupon the lien of the special tax shall attach as provided in Section 3115.5 of the Streets and Highways Code of California. The notice of special tax lien shall be recorded in the office of the county recorder in each county in which any portion of the district is located.

B.    Division 4.5 (commencing with Section 3100) of the Streets and Highways Code of California applies with respect to any special tax levied pursuant to this article. This article is a “principal act” as that term is defined in Section 3100 of the Streets and Highways Code of California. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2038: SPECIAL TAX; LEVY AND APPORTIONMENT:

A.    Upon approval of a special tax pursuant to subsection 2-4-2036A of this division, the special tax may be levied only at the rate and may be apportioned only in the manner specified in the resolution of formation, except as provided in Division 3 of this article, and except that the legislative body may levy the special tax at a rate lower than that specified in the resolution of formation. In addition, the special tax may be levied only so long as it is needed to pay the principal and interest on debt incurred in order to construct facilities under authority of this article, or so long as it is needed to pay the costs and incidental expenses of services or of the construction of facilities authorized by this article.

B.    When the City Council determines that the special tax shall cease to be levied, the City Council shall direct the City Clerk to record a notice of cessation of special tax which shall state that the obligation to pay the special tax has ceased and that the lien imposed by the notice of special tax lien is extinguished. The notice of cessation of special tax shall identify the book and page of the “Book of Maps of Assessment and Community Facilities Districts” wherein the map of the boundaries of the district is recorded, and wherein the notice of special tax lien is recorded. [Added by Ord. No. 3671, eff. 7/9/05.]

DIVISION 3. CHANGES IN AUTHORIZED FACILITIES, SERVICES AND SPECIAL TAXES

2-4-2039: TYPES OF FACILITIES AND SERVICES PROVIDED:

Except as otherwise provided in this article, the City Council may, at any time, after conducting a public hearing, eliminate one or more of the types of facilities and services specified in the resolution of formation to establish the existing district but may not finance any types of facilities and services that were not specified in the resolution of formation. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2040: RESOLUTION OF CONSIDERATION; CHANGE IN FACILITIES, SERVICES AND TAXES:

The City Council shall not adopt a resolution of consideration to reduce the rate of any special tax or terminate the levy of any special tax if the proceeds of that tax are being utilized to retire any debt incurred pursuant to this article unless the City Council determines that the reduction or termination of that tax would not interfere with the timely retirement of that debt. Otherwise, the City Council may adopt a resolution of consideration:

A.    If the City Council determines that the public convenience and necessity require any change in the types of authorized facilities or services which should be financed by an established community facilities district, that the rate or method of apportionment of a special tax should be changed, or that a new special tax should be proposed, the City Council may adopt a resolution of consideration to alter the types of facilities or services to be financed by the district, to levy a new special tax or special taxes, or, except as provided in subsection B of this section, to alter the rate or method of apportionment of the special tax; or

B.    If a petition signed by fifty percent (50%) or more of the registered voters residing in the district, or by the owners of fifty percent (50%) or more of the territory within the district, is filed with the City Clerk requesting that proceedings be commenced to change the types of facilities or services financed by the district or that the rate or method of apportionment of an existing special tax be changed, or that a new special tax be levied, the City Council shall within ninety (90) days thereafter adopt a resolution of consideration in the form specified in Section 2-4-2041 of this division to make those changes within the community facilities district. Any petition filed by landowners shall be accompanied by the payment of such fee as the Financial Services Director determines is sufficient to compensate the City for all costs incurred in conducting proceedings pursuant to this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2041: RESOLUTION OF CONSIDERATION; CONTENT:

The resolution of consideration shall:

A.    State the name of the existing district and refer to the resolution of formation for further particulars.

B.    Generally describe the territory included in the district or make reference to the recorded boundary map thereof.

C.    Specify the changes in facilities and/or services which the district is authorized to finance.

D.    Specify any new special taxes which would be levied to pay for new or existing facilities and services and any proposed alteration to the rate or method of apportionment of an existing special tax.

E.    Fix a time and place for a hearing upon the resolution of consideration which shall not be less than ten (10) or more than sixty (60) days after the adoption of the resolution of consideration. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2042: NOTICE OF HEARING:

The City Clerk shall give or cause to be given notice of the hearing in the same manner, containing the same information, as applicable, and within the same time as provided for the giving of notice of a hearing on a resolution of intention to establish a community facilities district under Section 2-4-2023 of this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2043: PROTESTS; ELIMINATION FROM RESOLUTION; CONTINUATION, HEARING:

The provisions of Sections 2-4-2025 through 2-4-2038 of this article shall apply to the proceedings for changes. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2044: DISSOLUTION OF DISTRICTS:

The legislative body may, by this article, dissolve any existing district which it has created upon making all of the following determinations:

A.    That the district is not obligated to pay any outstanding debt; and

B.    That the district has no authorization to levy any special tax.

Upon dissolving a district, the City Council shall cause an addendum to be recorded to the notice of special tax lien recorded pursuant to Section 3114.5 of the Streets and Highways Code of California which shall state that the community facilities district and all associated liens, if any, have been dissolved. [Added by Ord. No. 3671, eff. 7/9/05.]

DIVISION 4. ANNEXATION OF TERRITORY

2-4-2045: AUTHORIZATION:

The City Council may annex territory to an existing community facilities district as provided in this division. The annexed territory need not be contiguous to territory included in the existing community facilities district. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2046: ADOPTION OF RESOLUTION OF INTENTION:

If the City Council determines that public convenience and necessity require that territory be added to an existing community facilities district, or if one or more of the voters residing within certain territory or landowners request the City Council to include territory within the district, the City Council may adopt a resolution of intention to annex the territory. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2047: RESOLUTION OF INTENTION; CONTENTS:

The resolution of intention to annex the territory shall do all of the following:

A.    State the name of the existing community facilities district.

B.    Generally describe the territory included in the existing district and the territory proposed to be annexed.

C.    Specify the types of facilities and/or services provided pursuant to this article in the existing district and the types of facilities and/or services to be provided in the territory proposed to be annexed; and include a plan for sharing facilities and providing services that will be provided in common within the existing district and the territory proposed to be annexed.

D.    Specify any special taxes which would be levied within the territory proposed to be annexed to pay for facilities and/or services provided pursuant to this article within that territory. A special tax proposed to pay for services to be supplied within the territory proposed to be annexed shall be equal to any special tax levied to pay for the same services in the existing district, except that a higher or lower tax may be levied within the territory proposed to be annexed to the extent that the actual cost of providing the services in that territory is higher or lower than the cost of providing those services in the existing district. A special tax proposed to pay for facilities financed with bonds secured by the existing community facilities district shall be the same as the tax levied in the existing district for that purpose, except that a higher special tax may be levied for that purpose within the territory proposed to be annexed to compensate for the interest and principal previously paid by the existing community facilities district, less any depreciation allocable to the facility as determined by the City Council in its sole discretion.

E.    Specify any alteration in the special tax rate levied within the existing community facilities district as a result of the proposed annexation. The maximum tax rate in the existing community facilities district may not be increased as a result of proceedings pursuant to this article.

F.    Fix a time and place for a hearing upon the resolution which shall not be less than ten (10) nor more than sixty (60) days after the adoption by the City Council of the resolution of intention to annex territory pursuant to this Section. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2048: NOTICE OF HEARING:

The City Clerk shall give notice of the hearing in the same manner and within the same time as provided for the giving of notice of a hearing on a resolution of intention to establish a community facilities district, as required by Section 2-4-2047 of this division. The notice shall do all of the following:

A.    Contain the text of the resolution adopted pursuant to Section 2-4-2047 of this division or a summary thereof.

B.    State the time and place for the hearing.

C.    State that at the hearing the testimony of all interested persons for or against the annexation of territory to the community facilities district or the levying of special taxes within the territory proposed to be annexed will be heard. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2049: PROTESTS:

At the hearing, protests against the proposals described in the resolution of intention may be made orally by any interested person. Any protests pertaining to the regularity or sufficiency of the proceedings shall be in writing and shall clearly set forth the irregularities or defects to which objection is made. All written protests shall be filed with the City Clerk on or before the time fixed for the hearing. The City Council may waive any irregularities in the form or content of any written protest and at the hearing may correct minor defects in the proceedings. Written protests may be withdrawn in writing at any time before the conclusion of the hearing. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2050: ABANDONMENT OF PROPOSAL; REQUIRED NUMBER OF WRITTEN PROTESTS:

If fifty percent (50%) or more of the registered voters, or six (6) registered voters, whichever is more, residing within the existing community facilities district, or if fifty percent (50%) or more of the registered voters or six (6) registered voters, whichever is more, residing within the territory proposed for annexation, or if the owners of one-half (1/2) or more of the area of land in the territory proposed to be annexed, file written protests against the proposed addition of territory to the existing community facilities district, and protests are not withdrawn so as to reduce the protests to less than a majority, no further proceedings shall be undertaken for a period of six (6) months from the date of decision of the City Council on the issues discussed at the hearing. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2051: CONTINUANCE AND DURATION OF HEARING:

The hearing may be continued from time to time, but shall be completed within six (6) months. At the conclusion of the hearing, the legislative body may abandon the proceedings or may, after passing upon all protests, submit the question of levying a special tax within the area proposed to be annexed to the existing community facilities district to the qualified electors of the area proposed to be annexed, in the manner specified for elections in Section 2-4-2033 of this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2052: ADDITION OF TERRITORY WITH FULL LEGAL EFFECT; SPECIAL TAX LEVY:

After the canvass of returns of any election conducted in accordance with Section 2-4-2051 of this division, the City Council shall determine that the area proposed to be annexed is added to and part of the existing community facilities district with full legal effect, and the City Council may levy any special tax within the annexed territory, as specified in the resolution of intention to annex adopted pursuant to Section 2-4-2046 of this division, if two-thirds (2/3) of the votes cast on the proposition are in favor of levying the special tax. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2053: FAILURE TO RECEIVE APPROVAL; PROHIBITION OF FURTHER ACTION:

After the canvass of returns of any election conducted in accordance with Section 2-4-2033 of this article, the City Council shall take no further action on annexing the territory proposed to be annexed to the community facilities district for a period of six (6) months from the date of the election if less than two-thirds (2/3) of the votes cast on the proposition are in favor of levying the special tax. [Added by Ord. No. 3671, eff. 7/9/05.]

DIVISION 5. PROCEDURES FOR LEVYING

2-4-2054: GENERAL PROCEDURES:

A.    After a community facilities district has been created and authorized to levy specified special taxes pursuant to Division 2, 3 or 4 of this article, the City Council may, by ordinance, levy the special taxes at the rate and apportion them in the manner specified in the resolution of formation or consideration, as applicable, adopted pursuant to Division 2, 3 or 4 of this article. Any such ordinance, after adoption, shall remain in effect until repealed by a later ordinance. The City Council may, by resolution, clarify any aspect of the levy of the special tax as provided by ordinance. Not later than August 10 (or such earlier or later date as may be allowed by the County Auditor) the official designated under Section 2-4-2055 of this division will cause to be prepared a list of all parcels subject to the special tax and the amounts of special tax to be levied for the applicable tax year. If the special tax is to be collected in the same manner as ordinary ad valorem taxes, such official shall deliver the list to the County Auditor not later than August 10.

B.    Properties or entities of the state, federal, or other local governments shall, except as otherwise provided in Section 2-4-2015, 2-4-2016 or 2-4-2017 of this article, be exempt from the special tax. No other properties or entities are exempt from the special tax unless the properties or entities are expressly exempted in the resolution of formation to establish a district adopted pursuant to Section 2-4-2028 of this article or in a resolution of consideration to levy a new special tax or special taxes or to alter the rate or method of apportionment of an existing special tax as provided in Section 2-4-2041 of this article.

C.    The proceeds of any special tax may only be used to pay, in whole or part, the cost of providing facilities, services and incidental expenses of the City or the district pursuant to this article. The special tax shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall be subject to the same penalties and the same procedures, sale, and lien priority in case of delinquency as is provided for ad valorem taxes, unless another procedure has been authorized in the resolution of formation establishing the district and adopted by the City Council. The tax collector may collect the special tax at intervals as specified in the resolution of formation, including intervals different from the intervals at which the ordinary ad valorem property taxes are collected. The tax collector may deduct the reasonable administrative costs incurred in collecting the special tax.

D.    All special taxes levied by a community facilities district shall be secured by the lien imposed pursuant to Section 3115.5 of the Streets and Highways Code of California. This lien shall be a continuing lien and shall secure each levy of special taxes. The lien of the special tax shall continue in force and effect until the special tax obligation is prepaid, permanently satisfied, and canceled, or until the special tax ceases to be levied by the City Council in the manner provided in Section 2-4-2038 of this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2055: DESIGNATION OF OFFICE FOR SPECIAL TAX COMPUTATION:

The City Council shall designate an office, department, or bureau of the City which shall be responsible for annually preparing the current roll of special tax levy obligations by assessor’s parcel number on nonexempt property within the district and which will be responsible for estimating future special tax levies. The designated office, department, or bureau shall establish procedures to promptly respond to inquiries concerning current and future estimated tax liability. Neither the designated office, department, or bureau, nor the City Council, shall be liable if any estimate of future tax liability is inaccurate. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2056: SPECIAL TAX LEVY AMENDMENTS:

Any action or proceeding to attack, review, set aside, void, or annul the levy of a special tax or an increase in a special tax pursuant to this article, or bonded indebtedness authorized to be incurred pursuant to this article shall be commenced within thirty (30) days after the special tax or the bonded indebtedness, as applicable, is approved by the voters. Any appeal from a final judgment in that action or proceeding shall be perfected within thirty (30) days after the entry of judgment. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2057: DISCLOSURE OF THE SPECIAL TAX:

A.    If a lot, parcel, or unit of a subdivision is subject to a special tax levied pursuant to this article for which a public report is not required pursuant to Article 2 (commencing with Section 11010) of Chapter 1 of Part 2 of Division 4 of the California Business and Professions Code, the subdivider, their agent, or representative, shall not sell, or lease for a term exceeding five (5) years, the lot, parcel, or unit, or cause it to be sold or leased for a term exceeding five (5) years, until the prospective purchaser or lessee of the lot, parcel, or unit has been furnished with and has signed a written notice as provided in this section. The notice shall contain the heading “NOTICE OF SPECIAL TAX” in type no smaller than 8-point type, and shall state the following in clear and simple language:

1.    That the property being purchased is or will be subject to a special tax.

2.    The maximum annual amount of the special tax, and the number of years for which it will be levied.

3.    The types of facilities or services to be paid for with the proceeds of the special tax.

B.    “Subdivision”, as used in subsection A of this section, means improved or unimproved land that is divided or proposed to be divided for the purpose of sale, lease, or financing, whether immediate or future, into two (2) or more lots, parcels, or units for residential use and includes a condominium project, as defined by Section 1350, a community apartment project, a stock cooperative, and a limited equity housing cooperative, as defined in Sections 11004, 11003.2, and 11003.4, respectively, of the California Business and Professions Code.

C.    If any disclosure required to be made by this section is delivered after the execution of an agreement to purchase, the buyer shall have three (3) days after delivery in person or five (5) days after delivery by deposit in the mail, to terminate their agreement by delivery of written notice of that termination to the owner, subdivider, or agent. Any disclosure delivered after the execution of an agreement to purchase shall contain a statement describing the buyer’s right, method and time to rescind as prescribed by this subdivision.

D.    The failure of the buyer or lessee to sign the notice shall not invalidate any grant, conveyance, lease, or encumbrance.

E.    Any person or entity who wilfully violates the provisions of this section shall be liable to the purchaser of a lot or unit which is subject to the provisions of this section for actual damages, and in addition thereto, shall be guilty of a public offense punishable by a fine in an amount not to exceed five hundred dollars ($500.00). In an action to enforce such liability or fine, the prevailing party shall be awarded reasonable attorney fees. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2058: MANNER OF FIXING AND COLLECTING CHARGES:

For any community facilities district or zone thereof, the City Council may fix and collect charges in the same manner as for miscellaneous extended services in county service areas. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2059: USE OF CHARGES FOR AUTHORIZED FACILITIES AND SERVICES:

Any charges collected pursuant to this article for the use of facilities or services authorized to be funded by a district may only be used for facilities and services authorized by this article, or for costs to administer a district. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2060: NOTICE OF CANCELLATION OF SPECIAL TAX:

In the event that the special tax is permanently satisfied as to a particular parcel of land, the City Clerk shall prepare and record in the office of the county recorder of the county in which the parcel of land is located, and the county recorder shall accept for recordation, a notice of cancellation of special tax authorization as to that parcel. The notice of cancellation of special tax authorization shall identify with particularity the special tax being canceled, shall contain the legal description and assessor’s parcel number of the particular parcel of land subject to the tax, and shall contain the name of the owner of record of the parcel. The City Clerk shall mail the original notice of cancellation of special tax authorization to the owner of the property after recording the document. The City Clerk may specify a charge for the preparation and recordation of this notice. [Added by Ord. No. 3671, eff. 7/9/05.]

DIVISION 6. BONDS

2-4-2061: RESOLUTION TO INCUR BONDED INDEBTEDNESS:

Whenever the City Council deems it necessary for an existing or proposed community facilities district to incur bonded indebtedness, it shall, by resolution, set forth all of the following:

A.    A declaration of the necessity for the indebtedness.

B.    The purpose for which the proposed debt is to be incurred.

C.    The amount of the proposed debt.

D.    The time and place for a hearing by the City Council on the proposed debt issue.

[Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2062: INCLUSION OF CERTAIN COSTS AND ESTIMATED COSTS IN PROPOSED BONDED INDEBTEDNESS:

The amount of the proposed bonded indebtedness may include all costs and estimated costs incidental to, or connected with, the accomplishment of the purpose for which the proposed debt is to be incurred, including, but not limited to, the estimated costs of construction or acquisition of buildings, or both; acquisition of land, rights of way, water, sewer, or other capacity or connection fees; lease payments for school facilities that are relocated, satisfaction of contractual obligations issued pursuant to this article, architectural engineering, inspection, legal, fiscal, and financial consultant fees; environmental review and monitoring costs; bond and other reserve funds; discount fees; interest on any bonds of the district estimated to be due and payable within five (5) years of the issuance of the bonds; election costs; administrative expenses of the City in administering the district or the levy and collection of the special taxes; and all costs of issuance of the bonds, including, but not limited to, fees for bond counsel, costs of obtaining credit ratings, bond insurance premiums, fees for letters of credit, and other credit enhancements costs, and printing costs. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2063: NOTICE OF HEARING ON RESOLUTION:

The City Clerk shall publish a notice of the hearing in a newspaper of general circulation circulated within the district. The notice shall state:

A.    The time and place of the hearing.

B.    At that time and place any person interested, including all persons owning property in the district, will be heard upon the proposed debt issue. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2064: HEARING:

At the time and place fixed for the hearing on the resolution declaring the necessity for incurring the bonded indebtedness or at any time and place to which the hearing is adjourned, the City Council shall proceed with the hearing. Said hearing may be consolidated with the hearing referred to in subsection 2-4-2021E of this article. on the formation of the district. At the hearing any person interested, including persons owning property within the district, may appear and present any matters material to the questions set forth in the resolution declaring the necessity for incurring the bonded indebtedness. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2065: IMPROVEMENT AREA:

For purpose of financing of, or contributing to the financing of, specified facilities, the City Council may by resolution designate a portion or portions of the district as one or more improvement areas. An area shall be known as “Improvement Area No. of City of Burbank Community Facilities District No. “. After the designation of an improvement area, all proceedings for purposes of a bond election and for the purpose of levying special taxes for payment of the bonds shall apply only to the improvement area for those specified facilities. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2066: RESOLUTION; BONDED INDEBTEDNESS:

After the City Council has held the hearing pursuant to Section 2-4-2064 of this division, if it deems it necessary to incur the bonded indebtedness, it shall by resolution state all of the following:

A.    It deems it necessary to incur the bonded indebtedness.

B.    The purpose for which the bonded indebtedness will be incurred.

C.    Either of the following in accordance with its previous determination:

1.    The whole of the district will pay for the bonded indebtedness.

2.    A portion of the district will pay for the bonded indebtedness, which portion shall be described in the resolution of the City Council made pursuant to Section 2-4-2065 of this division.

D.    The principal amount of debt to be incurred.

E.    The maximum term the bonds to be issued, which term shall not exceed fifty (50) years.

F.    The maximum annual rate of interest to be paid, payable annually or semiannually, or in part annually and in part semiannually, or in such other manner as shall be provided by the City Council.

G.    The proposition will be submitted to the voters.

H.    The date of the special community facilities district election (which may be consolidated with a general or special district election, including an election to levy a special tax) at which time the proposition shall be submitted to the voters.

I.    If the election is not conducted by mail or hand delivered ballot, the hours between which the polls shall be open.

J.    If the election is conducted by mail or hand delivered ballot, the hour when the ballots are required to be received in the office of the election officer conducting the election, and that if all qualified electors have voted, the election shall be closed. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2067: RESOLUTION TO INCUR BONDED INDEBTEDNESS; NOTICE OF ELECTION; PUBLICATION:

The resolution provided for in Section 2-4-2066 of this division shall constitute the notice of such special bond election and such resolution shall be published in a newspaper of general circulation circulating within the district, unless such notice has been waived unanimously pursuant to subsection 2-4-2033A of this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2068: ELECTIONS PURSUANT TO THIS ARTICLE; LAWS AND RULES APPLICABLE:

Except as otherwise provided in this article, the provisions of the California Elections Code relating to the qualifications of electors, the manner of voting, the duties of election officers, the canvassing of returns, and all other particulars in respect to the management of elections insofar as they may be applicable shall govern all elections pursuant to this article, except that voting shall be conducted in the manner specified in Section 2-4-2033 of this article. Propositions relating to the levy of a special tax, incurring of bonded indebtedness, or to establish or change an appropriations limit, or any combination thereof, under this article, may be combined into one ballot proposition as determined by the City Council.

If the area designated in the resolution adopted pursuant to Section 2-4-2066 of this division does not include the entire community facilities district, a separate ballot shall be prepared for the vote upon the proposition to authorize bonds and to levy a special tax for payment of such bonds and only the voters entitled thereto shall be given such ballots. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2069: RESOLUTION RELATING TO FORM, EXECUTION AND ISSUANCE OF BONDS:

If more than two-thirds (2/3) of the votes cast at the election are in favor of incurring the indebtedness, the legislative body may, by resolution, at the time or times it deems proper, provide for the following:

A.    The form of the bonds.

B.    The execution of the bonds.

C.    The issuance of any part of the bonds.

D.    The appointment of one or more banks or trust companies within or without the state having the necessary trust powers as trustee, fiscal agent, paying agent, or bond registrar.

E.    The execution of a fiscal agent agreement, trust agreement or indenture securing the bonds.

F.    The pledge or assignment of any revenues of the community facilities district to the repayment of the bonds.

G.    The investment of any bond proceeds and other revenues, including special tax revenues, by the trustee or fiscal agent in any securities or obligations described in the resolution, fiscal agent agreement, indenture, trust agreement, or other instrument providing for the issuance of the bonds.

H.    The date or dates to be borne by the bonds and the time or times of maturity of the bonds and the place or places and time or times that the bonds shall be payable.

I.    The interest, fixed or variable, to be borne by the bonds.

J.    The denominations, form, and registration privileges of the bonds.

K.    Any other terms and conditions determined to be necessary by the City Council. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2070: SIGNATURES ON BONDS OR COUPONS; PLACE BONDS ARE PAYABLE:

The bonds shall be signed by the Mayor and countersigned by the City Clerk. All signatures on the bonds may be printed, lithographed, or engraved. If any officer whose signature appears on the bonds ceases to be that officer before the delivery of the bonds, their signature is as effective as if they had remained in office. All bonds shall be payable at the office of the City’s Financial Services Director or at the office of any agent designated by the City. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2071: SALE OF BONDS:

The City may sell the bonds so authorized at public or private sale, at the times and in the manner the City Council deems appropriate. However, all bonds sold at public sale shall be sold on sealed proposals after advertising for bids by publication of notice of sale, not less than five (5) days prior to the date of sale, in a newspaper of general circulation circulating in the City. If no bids are received or the bids received are not satisfactory as to price or responsibility of the bidders, the City Council or its designee may reject all bids received, if any, and either readvertise or sell the bonds at private sale. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2072: FORCE, VALUE AND USE OF BONDS; EXEMPTION FROM STATE TAXATION:

Any bonds issued by a district organized under the provisions of this article are hereby given the same force, value and use as bonds issued by any municipality and shall be exempt from all taxation within the State. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2073: ACTION TO FORECLOSE LIENS:

A.    As a cumulative remedy, if bonds are outstanding, the City Council may, not later than four (4) years after the due date of the last installment of principal thereof, order that any delinquent special taxes levied in whole or in part for payment of the bonds, together with any penalties, interest, and costs, be collected by an action brought in the superior court to foreclose the lien of special tax.

B.    The City Council may covenant for the benefit of bond owners to commence and diligently pursue to completion any foreclosure action regarding delinquent installments of any amount levied as a special tax for the payment of interest or principal of any bonds that are issued. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2074: CREDITS FOR DELINQUENT TAXES:

A.    When any foreclosure actions are ordered, the tax collector shall be credited upon the current tax roll with the amount charged on account of the delinquent special taxes to be sued on, including applicable penalties, interest, and costs, and the tax collector shall be relieved of further duty in regard thereto. Any amounts not the subject of a foreclosure action shall remain collectible by the tax collector.

B.    The tax collector may charge the actual cost incurred in removing these sums from the tax roll. This charge shall be added to the costs to be recovered in the foreclosure action. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2075: DELINQUENT TAXES, PROCEDURES:

At any time after the tax collector has been relieved of their duty to collect sums under Section 2-4-2074 of this division and before judgment in a foreclosure action, the City Council shall dismiss the action upon payment of all of the following:

A.    The amount of any delinquent special taxes together with any penalties, interest, and costs accrued thereon to date of complete payment hereunder.

B.    Costs of suit, including, but not limited to, litigation guarantees provided by title companies with respect to all claims of ownership or interest in the subject property.

C.    Attorney fees authorized by the local agency.

D.    The tax collector’s costs authorized by subsection 2-4-2074B of this division. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2076: FORECLOSURES:

The foreclosure action shall be brought in the name of the City, and may be brought within the time specified in Section 2-4-2073 of this division. The complaint may be brief and need only include the following allegations:

A.    That on a stated date, a certain sum of special taxes, levied against the subject property (describing it) pursuant to this article, became delinquent.

B.    On that date, bonds issued pursuant to this article, payable in whole or in part by the subject special taxes, were outstanding (if applicable).

C.    That the City Council has ordered the foreclosure. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2077: JUDGMENTS:

Any judgment shall decree the amount of the continuing lien against each parcel to be foreclosed, and shall order the parcel to be sold on execution as in other cases of the sale of the real property by process of the court. The judgment amount shall include reasonable attorney fees to be fixed by the court, together with interest, penalties, and other authorized charges and costs (all calculated up to date of judgment). The foreclosure action shall be governed and regulated by the provisions of this article, and also where not in conflict with this article, by other provisions of law generally applicable to foreclosure actions. Property sold hereunder may not be sold for less than the amount of the judgment plus postjudgment interest and authorized costs without the consent of the owners of fifty one percent (51%) by principal amount of the outstanding bonds. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2078: ERRORS:

No special tax installment, interest or penalties thereon, or deed shall be held invalid for any error in computation if the error is found to be comparatively negligible, or is found to be in favor of the owner of the real property affected thereby. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2079: SPECIAL TAX OR CHARGE FOR OUTSTANDING BONDED DEBT:

When the City Council fixes and levies special taxes and charges for the community facilities district it shall also fix and levy that amount of special taxes and charges within the community facilities district which is required for the payment of the principal of and interest on any outstanding bonded debt of the community facilities district, including any necessary replenishment or expenditure of bond reserve funds or accumulation of funds for future bond payments. The special tax or charge shall be levied and collected by the same officers and at the same time and in the same manner that all other special taxes and charges are levied and collected for the community facilities district or in any other manner specified by the City Council. The special taxes and charges shall not exceed the authority granted by divisions 2, 3 or 4 of this article. All of the collections for payment of principal and interest on bonds shall be paid into the community facilities district bond or similar fund and reserve or other fund for the particular community facilities district and shall be used solely for the payment of the principal of and interest on the outstanding bonds of the community facilities district. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2080: ACTION TO DETERMINE VALIDITY OF BONDS OR SPECIAL TAX LEVY:

An action to determine the validity of bonds issued pursuant to this article or the validity of any special taxes levied pursuant to this article may be brought pursuant to Chapter 9 (commencing with Section 860) of Title 10 of Part 2 of the California Code of Civil Procedure but shall, notwithstanding the time limits specified in Section 860 of the California Code of Civil Procedure, be commenced within thirty (30) days after the voters approve the issuance of the bonds or the special tax if the action is brought by an interested person pursuant to Section 863 of the California Code of Civil Procedure. Any appeal from a judgment in that action or proceeding shall be commenced within thirty (30) days after entry of judgment. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2081: REFUNDING BONDS; RESOLUTION:

The City Council may, by resolution, authorize the issuance of new bonds to refund any or all of the district bonds outstanding or improvement area bonds outstanding that have been issued pursuant to this article. The City Council may issue refunding bonds without repeating any of the procedures required for the approval of the original bond issue, if the City Council determines that the total net interest cost to maturity on the refunding bonds plus the principal amount of the refunding bonds does not exceed the total net interest cost to maturity on the bonds to be refunded plus the principal amount of the bonds to be refunded. Subject to such limitations, the principal amount of the refunding bonds may be more than, less than, or the same as the principal amount of the bonds to be refunded. The total authorized amount of the bonded indebtedness of a district or an improvement area therein, as approved by the qualified voters thereof, shall not be reduced by the principal amount of any refunding bonds issued to refund any or all outstanding bonds of the district or improvement area. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2082: REFUNDING BONDS; RESOLUTION FOR ISSUANCE:

If the City Council determines to issue refunding bonds pursuant to this article it shall adopt a resolution providing for their issuance. The resolution shall:

A.    Describe the bonds being refunded and state the date on which it is anticipated that the refunding will occur.

B.    Fix the date of the refunding bonds.

C.    Designate the denomination or denominations of the refunding bonds.

D.    Fix the minimum rate or rates of interest to be paid on the refunding bonds.

E.    Fix the maturity dates of the refunding bonds, which may exceed the latest maturity date of the bonds being refunded, provided that the latest maturity date of the refunding bond shall not be in excess of fifty (50) years from the date of issuance of the bonds to be refunded.

F.    Designate the place or places of payment of principal and interest on the refunding bonds and on the bonds to be refunded.

G.    Describe the form of the refunding bonds. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2083: SALE OF REFUNDING BONDS:

The City Council may sell the refunding bonds at public or private sale. The proceeds of any sale of refunding bonds for cash shall be applied only as permitted by this article. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2084: AMOUNT OF PROCEEDS AND INVESTMENTS IN FUNDING FUND:

The proceeds of the refunding bonds and the earnings thereon shall be in an amount sufficient to meet either the requirements of subsection A or B of this section at the time of issuance of the refunding bonds, as certified by a certified public accountant licensed to practice in this state.

A.    The proceeds (including any amounts in any reserve fund established for the bonds to be refunded not needed for purposes of the refunding bonds) and investments, together with any interest or other gain to be derived from any such investment, shall be in an amount sufficient to pay the principal, interest, and redemption premiums, if any, on the refunded bonds as they become due or at designated dates prior to maturity and the costs of issuance of the refunding bonds.

B.    The proceeds (including any amounts in any reserve fund established for the bonds to be refunded not needed for purposes of the refunding bonds) and investments, together with any interest or other gain to be derived from any such investment, shall be in an amount sufficient to pay the principal, interest, and redemption premiums, if any, on the refunding bonds prior to the maturity of the bonds to be refunded or prior to a designated date or dates before the maturity of the bonds to be refunded, the principal and any redemption premiums due on the refunded bonds at maturity or upon that designated date or dates, and the costs of issuance of the refunding bonds. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2085: REFUNDING BONDS; USE OF SAVINGS; REDUCTION OF TAX LEVY:

Any savings achieved through the issuance of refunding bonds shall be used to reduce the special taxes which were levied to retire the bonds being refunded. At the time the City Council makes a determination to issue the refunding bonds, it shall determine and cause to be made any reductions in the annual tax in the district, which reduction shall be made on a pro rata basis. [Added by Ord. No. 3671, eff. 7/9/05.]

2-4-2086: CALLABLE BONDS:

Any bonds issued may be made callable in the document providing their terms. When bonds are made callable, a statement to that effect shall be set forth on the face of the bonds. Callable bonds may be redeemed on any interest payment date prior to their fixed maturity in the amounts, manner and prices prescribed in the document providing their terms. [Added by Ord. No. 3671, eff. 7/9/05.]

ARTICLE 21. BURBANK INFRASTRUCTURE AND COMMUNITY SERVICES PROTECTION TRANSACTIONS AND USE TAX

2-4-2101: TITLE:

This article shall be known as the Burbank Infrastructure and Community Services Protection Transactions and Use Tax Ordinance. The City of Burbank shall be called “City.” This ordinance shall be applicable in the incorporated territory of the City. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2102: OPERATIVE DATE:

“Operative Date” means the first day of the first calendar quarter commencing more than 110 days after the adoption of this Ordinance, the date of such adoption being as set forth below. Based on a November 6, 2018 election, the Operative Date for the transaction and use tax imposed hereunder shall be April 1, 2019. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2103: PURPOSE:

This ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

A.    To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose.

B.    To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.

C.    To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefore that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.

D.    To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2104: CONTRACT WITH STATE:

Prior to the operative date, the City shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the City shall not have contracted with the California Department of Tax and Fee Administration prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2105: TRANSACTIONS TAX RATE:

For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of three-quarter of one percent (0.75%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of this ordinance. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2106: PLACE OF SALE:

For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or their agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2107: USE TAX RATE:

An excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of three-quarter of one percent (0.75%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2108: ADOPTION OF PROVISIONS OF STATE LAW:

Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2109: LIMITATIONS ON ADOPTION OF STATE LAW AND COLLECTION OF USE TAXES:

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

A.    Wherever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefore. However, the substitution shall not be made when:

1.     The word “State” is used as a part of the title of the State Controller, State Treasurer, State Treasury, or the Constitution of the State of California;

2.     The result of that substitution would require action to be taken by or against this City or any agency, officer, or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Ordinance.

3.     In those sections, including, but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:

a.     Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or;

b.    Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the State under the said provision of that code.

4.    In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.

B.    The word “City” shall be substituted for the word “State” in the phrase “retailer engaged in business in this State” in Section 6203 and in the definition of that phrase in Section 6203. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2110: PERMIT NOT REQUIRED:

If a seller’s permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor’s permit shall not be required by this ordinance. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2111: EXEMPTIONS AND EXCLUSIONS:

A.    There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.

B.    There are exempted from the computation of the amount of transactions tax the gross receipts from:

1.    Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2.    Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or their agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied:

a.    With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, their principal place of residence; and

b.    With respect to commercial vehicles, by registration to a place of business out-of-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

3.    The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4.    A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.

5.    For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C.    There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property:

1.    The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2.    Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.

3.    If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4.    If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance.

5.    For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6.    Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.

7.    “A retailer engaged in business in the City” shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City.

D.    Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property, the storage, use or other consumption of which is subject to the use tax. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2112: AMENDMENTS:

All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2113: ENJOINING COLLECTION FORBIDDEN:

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2114: OVERSIGHT:

A.    It is the intent of the voters that revenue from this Ordinance should be spent across a broad category of purposes, such as operations including services and programs, and infrastructure. Further, it is the intent that this new revenue should not supplant existing infrastructure spending, but rather increase the revenue available for infrastructure projects.

B.    Prior to the adoption of the City budget each year, the City Manager (or designee) shall present to the City Council an accounting of the tax revenues received and expenditures made during the prior fiscal year under this Ordinance.

C.    After the close of every fiscal year in which the tax imposed hereunder is levied, the City shall cause an independent audit to be conducted as to the revenue generated as a result of this Ordinance and to ensure the proper expenditure thereof consistent with the purposes of this Ordinance. Such audit may be part of the annual audit of the City’s finances and reported as part of the same.

D.    If adopted by the voters and prior to the start of the new fiscal year after the Operative Date, the City Council will form a new oversight board (pursuant to Burbank Municipal Code, Title 2, Chapter, 1, Administration, Article 4. Boards, Commissions, and Committees (starting with §2-1-401)) or assign to an existing Board or Commission generally the responsibility to advise the City Council on expenditure of revenue generated from this Ordinance as recommended by City staff annually for infrastructure projects. The mission of this new Board, in part, is to ensure the reliability, maintenance and safety of the City’s infrastructure. As such, as part of the annual budget process, after receiving and reviewing recommendations from City staff on proposed funding for infrastructure projects, the oversight board will recommend prioritization of the identified infrastructure needs and, at least on an annual basis, review the status of funded projects. The City Council will appropriate revenue from this Ordinance after a public hearing, which may be combined with other budget public hearings. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2115: SEVERABILITY:

If any provision of this Ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the Ordinance and the application of such provision to other persons or circumstances shall not be affected thereby. [Added by Ord. No. 18-3,904, eff. 11/6/18.]

2-4-2116: EFFECTIVE DATE:

This Ordinance relates to the levying and collecting of the City transactions and use tax and shall take effect immediately pursuant to Charter Section 500 and state law. In accordance with applicable law, no tax imposed by this Ordinance shall take effect unless this Ordinance is adopted by the electorate at an election to be held on November 6, 2018. [Added by Ord. No. 18-3,904, eff. 11/6/18.]


1

State law reference: As to municipal finance in general, see Gov.C. §§ 50050-50059. As to financial system of City provided for by the legislative body, see Gov.C. § 43000. As to tax liens, see Gov.C. §§ 43001-43003.


2

State law reference: As to bonds for City plan, see Gov.C. § 43603. As to performance of work on bonds by force account, see Gov.C. §§ 43635, 43636. As to appointment of agents for improvements pursuant to City bonds, see Gov.C. § 43638. As to assurance of bonds, see Charter Section 1010, City procedural ordinances; state statutes Gov.C. §§ 43614, 43627, 43630; Cal.Const., Art. XI, § 16-1/2.


3

State law reference: As to date for fixing tax rate and amount to be raised by taxes, see Gov.C. §§ 36936.1, 57551.


4

See Charter Section 100, 44 (Repealed).


5

State law reference: As to transfer of functions to the County, see Gov.C. § 51541 et seq.


6

See Charter Section 1005.


7

State law reference: As to method of securing an adjustment of assessments, see Rev. & T.C. § 1822. As to special assessment improvement procedure ordinance adopted pursuant to City Charter and supplemental remedy provisions, see Gov.C. § 43240. As to equalization of assessments, see Rev. & T.C. §§ 1901-1093.