Chapter 5.05
UTILITY TAX
Sections:
5.05.020 Exercise of revenue license power.
5.05.030 Administrative provisions.
5.05.120 Imposition of the tax—Tax levied.
5.05.010 Purpose.
The provisions of this chapter shall be deemed an exercise of the power of the city, as provided in Chapter 35A.11 RCW, to license and/or tax for revenue, the privilege of engaging in utility business in the city. For the purpose of this chapter, the terms “license” and “tax” shall be synonymous. (Ord. 3887 § 2 (Exh. A), 2017; Ord. 3556 § 1, 2004)
5.05.020 Exercise of revenue license power.
The provisions of this chapter shall be deemed an exercise of the power of the city to license for revenue. The provisions of this chapter are subject to periodic statutory or administrative rule changes or judicial interpretations of the ordinances or rules. The responsibility rests with the licensee or taxpayer to reconfirm tax computation procedures and remain in compliance with the city code. (Ord. 3887 § 2 (Exh. A), 2017; Ord. 3556 § 1, 2004)
5.05.030 Administrative provisions.
The administrative provisions contained in Chapter 5.02, including but not limited to the registration provisions of Sections 5.02.050 through 5.02.110, shall be fully applicable to the provisions of this chapter except as expressly stated to the contrary herein. The threshold limits set forth in Section 5.02.045 shall not apply. (Ord. 3915 § 3, 2018; Ord. 3887 § 2 (Exh. A), 2017; Ord. 3743 § 1, 2011; Ord. 3556 § 1, 2004)
5.05.120 Imposition of the tax—Tax levied.
Upon every person engaging within the city in any one or more of the businesses hereinafter mentioned, as to such person the license fee shall be equal to the gross operating revenue of the business multiplied by the rate set forth after the business, as follows:
A. The business of selling and furnishing natural gas: six percent of the total gross revenue.
B. The business of selling or furnishing or distributing electricity within the city, exclusive of the revenue derived from the sale of electricity for the purpose of resale: six percent of the total gross revenue.
C. Upon any telephone business there shall be levied a tax equal to six percent of the total gross operating revenues derived from within the city. Gross operating revenues for this purpose shall not include charges which are passed on to the subscribers by a telephone company pursuant to tariffs required by regulatory order to compensate for the cost to the company of the tax imposed by this chapter.
1. “Telephone business” means the business of providing access to a local telephone network, local telephone network switching service, toll service, cellular telephone services or coin telephone services, or providing telephonic, video, data or similar communications or transmission for hire via a local telephone network, toll line or channel, cable, microwave or similar communications or transmission system.
The term shall also include the ownership, operation, maintenance or commercial use of an antenna by a wireless communications service provider as defined in Section 17.08.020J.
It includes cooperative or farmer line telephone companies or associations operating an exchange. “Telephone business” does not include the providing of competitive telephone service, or the providing of cable television service.
2. “Competitive telephone service” means the providing by any person of telecommunications equipment or apparatus, directory advertising and lease of telephone street directories, or service, other than toll service, related to that equipment or apparatus such as repair or maintenance service if the equipment is of a type which can be provided by persons that are not subject to regulation as telephone companies under RCW Title 80 and for which a separate charge is made.
D. The business of selling and furnishing coaxial cable and fiber optic cable subscriber systems for television and other signal distribution: eight percent of the total gross revenue. For the purpose of this subsection, “gross revenue” and “total gross revenue” shall be defined as the terms are defined in the current franchise agreement for such services, it being authorized by Ordinance No. 15-3861.
E. The business of selling or furnishing water for hire: twenty percent of the total gross revenue.
F. The business of selling or furnishing sanitary sewer service: twenty percent of the total gross revenue.
G. The business of selling or furnishing garbage or refuse service: twenty percent of the total gross revenue. (Ord. 3887 § 2 (Exh. A), 2017; Ord. 3882 § 1, 2016; Ord. 3864 § 1, 2015; Ord. 3801 § 1, 2013; Ord. 3780 § 1, 2012; Ord. 3645 § 2, 2007; Ord. 3556 § 1, 2004)
5.05.130 Severability.
If any provision of this chapter or its application to any person or circumstance is held invalid, the remainder of the chapter or the application of the provision to other persons or circumstances shall not be affected. (Ord. 3887 § 2 (Exh. A), 2017; Ord. 3556 § 1, 2004)