1180 - Ordinance - New Sections to 5.08 Imposing of Utility TaxORDINANCE NO. 1180 ✓
AN ORDINANCE REPEALING ORDINANCE NO. 961
AND ORDINANCE NO. 703 (Port Orchard Municipal
Code Chapter 5.08) AND ADDING NEW SECTIONS TO
CHAPTER 5.08 OF THE PORT ORCHARD MUNICIPAL
CODE RELATING TO THE IMPOSING OF A UTILITY
BUSINESS AND OCCUPATIONAL TAX UPON THE TELE-
PHONE BUSINESS, REQUIRING A UTILITY BUSINESS
LICENSE FOR THE SAME, PROVIDING FOR THE
COLLECTION THEREOF, DEFINING OFFENSES AND
PRESCRIBING PENALTIES.
THE CITY COUNCIL OF THE CITY OF PORT ORCHARD DOES
ORDAIN AS FOLLOWS:
SECTION 1. That Ordinance No. 961 and Ordinance
No. 703 are hereby repealed.
SECTION 2. That the following sections be added
!� pal. I)q_7 - (°/$-L
as new additions to Chapter 5.08 of the Port Orchard Municipal
Code:
\ Section 5.08.010 Power of City. The provisions of
this Ordinance shall be deemed to be an exercise of the power
of the City of Port Orchard to license for revenue.
T Section 5.08.020 Application and issuance of license.
After January 1, 1982, no person, firm or corporation shall
engage in or carry on any business, occupation, act or privilege
for which a tax is imposed by Section 5.08.030 of this Ordinance
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 prescribe, giving
such information as the Clerk shall deem reasonably necessary to
enable said Clerk's Office to administer and enforce this
Ordinance; and, upon acceptance of such application by the Clerk
said Clerk shall thereupon issue such license to the applicant.
Such Occupational License shall be personal and non -transferable
and shall be valid as long as the licensee shall continue in said
business and shall comply with this Ordinance.
�'> Section 5.08.030 Levy of Tax. From and after
January 1, 1982, there is hereby levied upon, and there shall
be collected from, every person, firm or corporation engaged
in carrying on the following business for hire or for sale of
a commodity or a service within or partly within the corporate
limits of the City of Port Orchard the tax for the privilege
of so doing business as hereinafter defined, to -wit:
A. Upon any telephone business there shall be
levied a utility tax equal to eight percent (8%) of the total
gross operating revenues, including revenues from intrastate
toll, derived from the operation of such business within the
City of Port Orchard. Gross operating revenues shall not in-
clude charges which are passed on to 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 Ordinance.
"Telephone Business" means the business of providing
access to a local telephone network, local telephone network
switching service, toll service, or coin telephone services,
or providing telephonic, video, data or similar communication
or transmission for hire, via a local telephone network, toll
line or channel, or similar communication or transmission
system. It includes cooperative or farmer -line telephone
companies or associations operating an exchange. "Telephone
business" does not include the providing of competitive telephone
service, nor the providing of cable television service.
"Competitive telephone service" means the providing
of any person or telephone equipment, apparatus, or service,
other than toll service, which is of a type which can be provided
by persons that are not subject to regulation as telephone
companies under Title 80 RCw and for which a separate charge
is made.
(2)
Section 5.08.040 Deductions. In computing said
utility 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. Amounts derived from transactions in interstate
or foreign commerce or from any business which the City of
Port Orchard is prohibited from taxing under the Constitutions
of the United States or the State of Washington;
C. Amounts derived by the taxpayer from the City of
Port Orchard.
Section 5.08.050 Payment periods. The utility tax
imposed by this Ordinance shall be due and payable in monthly
installments and remittance shall be made on or before the 30th
day of the month next succeeding each month in which the tax
accrued. On or before said due date, the taxpayer shall file
with the City Clerk a written return, upon such form and setting
forth such information as the Clerk shall reasonably require,
together with the payment of the amount of utility tax.
Section 5.08.060 Records kept. Each taxpayer shall
keep records reflecting the amount of his said gross operating
revenues, and such records shall be open at all reasonable
times to the inspection of the City Clerk, or his duly authorized
subordinates, for verification of said utility tax returns or
for the fixing of the utility tax of a taxpayer who shall fail to
make such returns.
Section 5.08.070 Failure to pay utility tax -Penalty.
If any person, firm or corporation subject to this Ordinance shall
fail to pay any utility tax required by this Ordinance within
thirty (30) days after the due date thereof, there shall be added
to such utility tax a penalty of Ten Percent (100) of the amount
of such utility tax and interest charged at the rate of Eighteen
Percent (18%) in addition to the penalty. Any utility tax due
under this Ordinance and unpaid, and all penalties and interest
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thereon, shall constitute a debt to the City of Port Orchard
and may be collected by court proceedings, which remedy shall
be in addition to all other remedies.
Section 5.08.080 Credits to taxpayer. Any money
paid to the City of Port Orchard through error or otherwise
not in payment of the utility tax imposed hereby or in excess
of such utility tax shall, upon request of the taxpayer, be
credited against any utility tax due or to become due from the
taxpayer hereunder, or upon the taxpayer's ceasing to do business
in the City of Port Orchard, be refunded to the taxpayer. No
taxpayer may demand a refund of utility tax collected more than
three years from the date of the demand. The City may not demand
utility tax more than three years after the utility tax is accrued.
Section 5.08.090 Wirinq regulations. The license
shall authorize and allow the licensee to commence or to continue
the maintenance and operation of its telephone and telegraph
business in the city. The licensee's cables and other appliances
and conductors may be strung on poles or other fixtures above
ground, or at the option of the licensee may be laid underground
in pipes or conduits or otherwise protected, and such other
apparatus may be used as may be necessary or proper to operate
and maintain the same. Whenever such wires, cables and other
appliances and conductors are laid underground in pipes or
conduits or otherwise protected, the licensee shall furnish
to the city one duct in its main underground system excluding
pipe or other conduit dips connecting one pole with another,
or two pairs of wire in underground cable, free of charge to
the city, to be used for low tension police and fire alarm
purposes, the licensee having the option as to whether two
pairs of wires shall be given or a duct in the underground
system. Provided, however, that the city shall, in its use
and maintenance of such fixtures, wires or ducts, comply
with the reasonable plans and rules of the licensee so that
(4)
there may be a minimum of danger of contact between its
fixtures, wires or ducts and the fixtures, wires, cables or
ducts of the licensee. The wires of the city shall not be
unduly exposed to foreign electrical current in excess of
five thousand volts. In case of a rearrangement of the plant,
the city will at its own expense, care for its own fixtures,
wires and construction. The licensee shall have no liability
whatsoever, either to the city or to any person for any
damage or claim of any kind arising out of the construction
maintenance, operation, removal or presence of the equipment
herein described and to be used by the city solely in main-
taining the efficiency of its fire alarm system and police
force.
Section 5.08.100 Excavations on streets. It shall
be lawful under the license for the licensee to make all
needful excavations in any of the streets, alleys, avenues,
thoroughfares, public highways and public grounds and places
in the city for the purpose of placing, erecting, laying,
maintaining, operating, repairing, removing or replacing poles,
conduits or other supports or conductors for wires and cables.
The work performed under the license shall be done in
compliance with the rules, regulations, ordinances or orders
which may be adopted from time to time by the city.
Section 5.08.110 Restoration of streets.
Whenever a licensee shall disturb any of the streets, alleys,
avenues, thoroughfares, public highways or public grounds for
the purposes set forth in Section 5.08.100, the licensee shall
restore the same to good order and condition as soon as possible
without unnecessary delay. Upon failure to do so, the city
shall have the right to fix a time which shall be reasonable
within which such repairs and restoration of streets shall be
completed, and upon failure of such repairs being made by the
licensee, the city shall cause such repairs to be made at the
expense of the licensee. The licensee shall save the city
(5)
harmless from any and all damages or claims arising out of,
or in any way connected with such excavations or disturbance of
the streets, alleys, avenues, thoroughfares, public highways
or public grounds, or the maintenance of the licensee's
appliances and fixtures thereon, thereunder or thereover.
Section 5.08.120 Tree trimming. Where tree trimm-
ing is necessary in public streets or places for the proper
operation of the lines and conductors of the licensee, such
trimming shall be done by competent employees of the licensee
upon application for the granting of a permit by the super-
intendent of public works or such other official as the city
council may designate.
Section 5.08.130 Rearrangement of aerial cables.
Whenever it becomes necessary to temporarily rearrange, remove,
lower or raise the aerial cables or wires or other apparatus
of the licensee to permit the passage of any building, machinery
or other object, the licensee will perform such rearrangement
on seven days notice to its manager at Bremerton from the
person or persons desiring to move the building, machinery or
other objects. The notice shall bear the approval of the super-
intendent of public works or such other official as the city
council may designate, shall detail the route of movement of
the building, machinery or other objects, shall provide that
the costs incurred by the licensee in making such rearrangements
of its aerial plant will be borne by the person or persons
giving notice and shall further provide that the person or
persons giving notice will demnify and save the licensee harmless
from any and all damages or claims of whatsoever kind or nature
caused directly or indirectly from such temporary rearrangement
of the licensee's aerial plant.
(6)
Section 5.08.140 Street improvements --Moving
telephone apparatus. Nothing in this chapter shall be construed
in any way to prevent the proper authorities of the city from
sewering, grading, planking, rocking, paving, repairing, altering
or improving any of the streets, alleys, avenues, thoroughfares,
public highways or places within the city in or upon which the
poles, wires or other conductors of the licensee shall be placed.
If it becomes necessary that the poles, wires, cables or other
apparatus of the licensee shall be moved in order for the city
to carry out such work or improvements, the licensee shall move
its poles, wires, cables and other apparatus at its own expense
within a reasonable time after notice of such proposed work or
improvements shall be given to the licensee by the city.
Section 5.08.150 Noncompliance --Penalty. Any said
person, firm or corporation subject to this Ordinance who shall
fail or refuse to apply for an Occupational License or to make
said utility tax return or to pay said utility tax when due, or
who shall make any false statement or representation in or in
connection with any application for an Occupational License or
such utility tax return, or shall otherwise violate or refuse
or fail to comply with this Ordinance, shall be quilty of a
misdemeanor, and, upon conviction thereof, shall be punished
by a fine of not to exceed Five Hundred Dollars ($500.00).
Each day's offense shall be deemed a separate violation.
Section 5.08.160 Power of Clerk to make rules and
regulations. The City Clerk is hereby authorized to adopt,
publish and enforce, from time to time, such rules and regulations
for the proper administration of this Ordinance as shall be
necessary, and it shall be a violation of this Ordinance to
violate or to fail to comply with any such rule or regulation
lawfully promulgated hereunder.
(7)
Section 5.08.170 Validity. The invalidity or
unconstitutionality of any provision or section of this
Ordinance shall not render any other provision or section
of this Ordinance invalid or unconstitutional.
PASSED by the City Council and APPROVED by the
Mayor this 28th day of September, 1981.
ATTEST:,
G. Lloyd,'/City Clerk
APPROVED AS TO FORM:
City,Attorney /
PAUL D. POWERS, JR., YOR
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