Chapter 3.145
UTILITY TAXES

Sections:

Article I. Public Utility District

3.145.010    Imposition – Rate.

3.145.020    Payment.

Article II. Gas

3.145.030    License required.

3.145.040    Imposition – Rate.

3.145.050    Deductions.

3.145.060    Exemption from business regulations.

3.145.070    Violation – Penalty.

Article III. Telephone

3.145.080    Imposition – Rate.

3.145.090    Payment.

3.145.100    Deduction of bad debts.

3.145.110    Limitations.

3.145.120    Current Expense Fund.

Article IV. Cable Television

3.145.130    Imposition – Rate.

3.145.140    Payment.

3.145.150    Financial report.

Article V. Water and Sewer

3.145.160    Tax imposed – Water.

3.145.170    Tax imposed – Sanitary sewer.

3.145.180    Tax imposed – Storm water.

3.145.190    Tax payment.

3.145.200    Deposit of revenue.

3.145.210    Referendum.

Article VI. Solid Waste

3.145.220    Tax imposed – Solid waste.

3.145.230    Deposit of revenue.

Article I. Public Utility District

3.145.010 Imposition – Rate.

There is hereby levied upon any public utility district doing business within the City of Mountlake Terrace a utility tax of five percent of the gross revenues derived from the sale of electricity by such district within the City, exclusive of revenues derived from the sale of electricity for the purpose of resale. This tax shall commence and be effective on the first day of October, 2001, and expire on September 30, 2003. Thereafter, upon the completion of the two-year time period herein, October 1, 2003, there is hereby levied a utility tax of six percent of the gross revenues derived from the sale of electricity by any public utility district doing business within the City of Mountlake Terrace on the gross revenues exclusive of revenues derived from the sale of electricity for the purpose of resale. (Ord. 2290 § 1, 2001; Ord. 2265 § 1, 2001; Ord. 1497 § 1, 1982).

3.145.020 Payment.

The aforesaid tax shall be paid bi-monthly, commencing with the first day of the first month following the effective date hereof. (Ord. 1497 § 2, 1982).

Article II. Gas

3.145.030 License required.

After January 1, 1962, no person, firm or corporation shall engage in or carry on any business, occupation, act or privilege for which a tax is imposed by MTMC 3.145.040 without first having obtained, and being the holder of a license so to do, to be known as an occupation license. Each such person, firm, or corporation shall promptly apply to the City Clerk for such license upon such forms as the Clerk shall deem reasonably necessary to enable him to administer and enforce this article; and upon acceptance of such application by the Clerk he shall thereupon issue such license to the applicant, hereinafter referred to as the taxpayer. Such occupation license shall be personal and nontransferable and shall be valid as long as the license shall continue in said business and shall comply with this article. (Ord. 268 § 1, 1961).

3.145.040 Imposition – Rate.

There is hereby levied upon and there shall be collected from every person, firm, or corporation engaged in natural gas business and/or artificial gas business for hire within the corporate limits of the City of Mountlake Terrace a tax for the privilege of so doing, such tax to be equal to five percent of the total gross revenues received, exclusive of monies collected by such person, firm, or corporation for reimbursement of such tax, from the operation of such businesses within the corporate limits of the City of Mountlake Terrace. The aforesaid tax shall be paid monthly. The tax shall commence and be effective on the first day of October, 2001, and expire on September 30, 2003. Thereafter, upon expiration of the two-year time period herein, October 1, 2003, there is hereby levied upon and there shall be collected from every person, firm, or corporation engaged in natural gas business and/or artificial gas business for hire within the corporate limits of the City of Mountlake Terrace, a tax for the privilege of so doing, such tax to be equal to six percent of the total gross revenues received, exclusive of monies collected by such person, firm, or corporation for reimbursement of such tax, from the operation of such businesses within the corporate limits of the City of Mountlake Terrace. The aforesaid tax shall be paid monthly. (Ord. 2290 § 2, 2001; Ord. 2265 § 2, 2001; Ord. 1499, 1982; Ord. 268 § 2, 1961).

3.145.050 Deductions.

In computing said annual tax there shall be deducted from said gross operating revenues the following items:

A. The amount of credit losses and uncollectibles actually sustained by the taxpayer;

B. The amounts derived from transactions in interest or foreign commerce or from any business which the City of Mountlake Terrace is prohibited from taxing under the Constitutions of the United States or the state of Washington;

C. In the case of natural or artificial gas, all income from sales of such gas to one customer or rate payer in excess of $2,500 per month.

D. All cash discounts allowed and actually granted by the taxpayer during the tax year. (Ord. 298, 1962; Ord. 268 § 3, 1961).

3.145.060 Exemption from business regulations.

Any person, firm or corporation required to purchase a license pursuant to the terms of this article is hereby specifically exempted from requirements of Ordinance No. 509* of the City of Mountlake Terrace providing for regulating the conduct and licensing of businesses. (Ord. 268 § 4, 1961).

*Code reviser’s note: Ord. 509 was repealed by Ord. 655.

3.145.070 Violation – Penalty.

Any violation of this article shall be deemed a misdemeanor, punishable by a fine not to exceed $300.00 or by imprisonment not to exceed 90 days by both such fine and imprisonment. (Ord. 268 § 5, 1961).

Article III. Telephone

3.145.080 Imposition – Rate.

Upon any telephone business there shall be levied a tax equal to six percent of the total gross operating revenues including revenues from 100 percent intrastate toll, derived from the operation of such businesses within the City of Mountlake Terrace. “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 article.

A. “Telephone business” means the business of providing access to local telephone network, local telephone network switching service, toll service, cellular telephone services, coin telephone services, telephonic, video, data, or similar communication or transmission for hire, via a local telephone network, toll line or channel, cable, microwave, or similar communication or transmission system. The term includes cooperative or farmer line telephone companies or associations operating exchanges. “Telephone business” does not include the providing of competitive telephone service, or providing of cable television service, or other providing of broadcast services by radio or television stations.

B. “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 or apparatus is of a type which may be provided by persons not subject to regulation as telephone companies under RCW Title 80, and for which a separate charge is made. (Ord. 2064 § 1, 1995).

3.145.090 Payment.

Any operator of a telephone utility subject to the provisions of this article shall make a bi-monthly return on such forms as may be prescribed by the City Manager and pay the tax due by the thirtieth day of the following month. (Ord. 2064 § 2, 1995).

3.145.100 Deduction of bad debts.

There shall be expected and deducted from the total gross income, upon which the tax is computed, all bad debts which are written off the books of the taxpayer as uncollectible. In the event the debts are subsequently collected, said income shall be reported and the return for the current period in which said deductions are collected. (Ord. 2064 § 3, 1995).

3.145.110 Limitations.

Nothing in this article shall be construed as requiring a license, or the payment of a license fee or tax, or the doing of any act which would constitute an unlawful burden or interference with the doing of any business in interstate or foreign commerce, or be in violation of the Constitution or laws of the United States of America, or which would not be consistent with the Constitution or laws of the state of Washington. (Ord. 2064 § 4, 1995).

3.145.120 Current Expense Fund.

All revenues received by the City from the tax imposed by this article shall be deposited in the Current Expense Fund. (Ord. 2064 § 5, 1995).

Article IV. Cable Television

3.145.130 Imposition – Rate.

There is hereby levied upon any cable communications company doing business within the City of Mountlake Terrace a utility tax of five percent of the gross revenues derived from the sale of services within the City. (Ord. 2204 § 1, 1998; Ord. 2030 § 1, 1993).

3.145.140 Payment.

The aforesaid tax shall be paid quarterly on or before the twentieth day of each January, April, July, and October. (Ord. 2030 § 2, 1993).

3.145.150 Financial report.

Each payment shall be accompanied by a financial report showing the basis for the tax computation and such other information directly related to confirming the amount of the gross customer’s revenues as may be reasonably required by the City. (Ord. 2030 § 3, 1993).

Article V. Water and Sewer

3.145.160 Tax imposed – Water.

There is levied upon the gross receipts received by the City of Mountlake Terrace for the provision of water within the city limits of Mountlake Terrace, Washington, a tax at the rate of 13.8 percent. (Ord. 2541 § 1, 2010; Ord. 2255 § 1, 2000; Ord. 2221 § 1, 1999).

3.145.170 Tax imposed – Sanitary sewer.

There is levied upon the gross receipts received by the City of Mountlake Terrace for the provision of sanitary sewer within the city limits of Mountlake Terrace, Washington, a tax at the rate of 10 percent. (Ord. 2255 § 1, 2000; Ord. 2221 § 2, 1999).

3.145.180 Tax imposed – Storm water.

There is levied upon the gross receipts received by the City of Mountlake Terrace for the provision of storm water within the city limits of Mountlake Terrace, Washington, a tax at the rate of 10 percent. (Ord. 2255 § 1, 2000; Ord. 2221 § 3, 1999).

3.145.190 Tax payment.

The tax imposed in this article shall be due and payable in monthly installments. (Ord. 2255 § 1, 2000; Ord. 2221 § 4, 1999).

3.145.200 Deposit of revenue.

All revenue derived from the tax imposed in this article shall be deposited in the general fund of the city. (Ord. 2255 § 1, 2000; Ord. 2221 § 5, 1999).

3.145.210 Referendum.

The ordinance codified in this article is subject to referendum as provided in RCW 32.51.706. A referendum petition may be filed within five days of passage of the ordinance codified in this article by filing a petition with the City Clerk, or any assistant of the City Clerk. This referendum procedure in accordance with RCW 35.21.706 shall be exclusive and supersedes the otherwise applicable referendum allowed by law and ordinance of the City of Mountlake Terrace. (Ord. 2255 § 1, 2000; Ord. 2221 § 6, 1999).

Article VI. Solid Waste

3.145.220 Tax imposed – Solid waste.

There is hereby levied upon any solid waste collection service doing business within the City of Mountlake Terrace under the provisions of Chapter 13.10 MTMC, a utility tax equal to 10 percent of the gross revenues derived from the sale of services within the City. (Ord. 2275 § 1, 2001).

3.145.230 Deposit of revenue.

All revenue derived from the tax imposed in this article shall be deposited into the general fund of the City. (Ord. 2275 § 2, 2001).