ORD 1987-12 - Taxation - Hotel - Motel Occupancy Tax 05-26-1987ORDINANCE NO. 87 -12
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HUNTSVILLE, TEXAS,
AMENDING CHAPTER 15B, TAXATION, OF THE CODE OF ORDINANCES OF THE
CITY; INCREASING THE HOTEL -MOTEL OCCUPANCY TAX TO 7% OF
CONSIDERATION PAID BY OCCUPANTS; INCREASING THE INTEREST RATE ON
DELINQUENT PAYMENTS; AND MAKING OTHER PROVISIONS AND FINDINGS
RELATED THERETO.
WHEREAS Texas Revised Civil Statutes art. 1269j -4.1 authorizes a city to levy
an occupancy tax on hotels; and
WHEREAS the City currently levies a tax of 4 %; and
WHEREAS the City now desires to increase said tax by 3% for the purpose of
the acquisition of a site for and the construction, improvement,
equipping, operation and maintenance of a convention center facility;
- the funding of facilities, personnel and materials for the registration
of convention delegates or registrants; and
- the conducting a solicitation and operating program to attract
conventions and visitors to the city; and
WHEREAS the City desires to implement this tax increase in stages as the
convention center facility is made available by
adding a 1% occupancy tax upon the groundbreaking (estimated 1988) for a
convention center to be owned by the Huntsville Area Conference and
Visitors Bureau;
adding another 1% occupancy tax six months after said groundbreaking;
and
adding a final 1% occupancy tax upon an appropriate showing of need;
NOW, THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUNTSVILLE, TEXAS, that:
SECTION 1: Article I, Hotel Motel Occupancy Tax, of Chapter 15B, Taxation, of
the Code of Ordinances of the City of Huntsville, Texas, is hereby
amended by the repeal of Sec. 15B -3, as presently constituted, and by
the adoption of a new Sec. 15B -3 that shall read as follows:
Sec. 15B -3. Levy of tax; rate; exceptions.
(a) (1) There is hereby levied a tax upon the occupancy of
any room or space furnished by any hotel or motel where such cost
of occupancy is at the rate of two dollars ($2.00) or more per day;
such tax to be equal to four (4) per cent of the consideration paid
by the occupant of such room or space to such hotel or motel.
(2) Effective January 1, 1988, or upon groundbreaking
for a convention facility site as determined herein,
whichever is later, there is levied an additional tax upon
the occupancy or space furnished by any hotel or motel of one
(1%) per cent of the consideration paid by the occupant of
such room or space, for a total local hotel/motel occupancy
tax of five (5%) per cent. Groundbreaking shall occur when
the Huntsville Area Conference and Visitors Bureau enters
into a contract for acquisition of a conference center, a
building permit has been issued by the City for the
construction of said center, and a contractor has worked two
continuous weeks on the site. The City Manager shall
determine the date of groundbreaking.
(3) Effective July 1, 1988, or six months after
groundbreaking, whichever is later, there is levied an
additional tax upon the occupancy or space furnished by any
hotel or motel of two (2%) per cent of the consideration paid
by the occupant of such room or space, for a total local
hotel/motel occupancy tax of seven (7%) per cent; provided,
however, that the additional tax levy shall only be one (1%)
per cent of the consideration paid by the occupant of such
room or space unless the City Council determines by
resolution adopted prior to the effective date of the
additional tax that said tax is needed for convention/
conference center services.
(b) No tax shall be imposed hereunder upon a permanent
resident.
(c) No tax shall be imposed hereunder upon a corporation or
association organized and operated exclusively for religious,
charitable or educational purposes, in which no part of the net
earnings inures to the benefit of any private shareholder or
individual.
SECTION 2: Section 15B-5 of the Code of Ordinances of the City of Huntsville,
Texas, is amended by the adoption of a new sentence to read as follows:
Every person owning, operating, managing or controlling any
motel or hotel within the City of Huntsville, Texas, shall collect
the tax imposed in section 15B-3 hereof, for the City of
Huntsville, Texas. 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 City Tax Assessor-Collector.
SECTION 3: Section 15B -6 of the Code of Ordinances of the City of Huntsville,
Texas, is hereby amended to read as follows:
Sec. 15B -6. Reports.
On the last day of the month following each quarterly period,
every person required to collect the tax imposed in this article
shall file a report with the tax assessor - collector of the City of
Huntsville, showing the consideration paid for all room occupancies
in the preceding quarter, the amount of tax collected on such
occupancies, the amount of taxes (if any) already remitted to the
City, and any other information as the assessor - collector may
reasonably require.
SECTION 4: Section 15B -9 through Section 15B -11 of the Code of Ordinances of
the City of Huntsville, Texas, are amended to read as follows:
Sec. 15B -9. Payment of taxes, penalties, interest, securities.
(a) Every person who collects a tax imposed under this article
shall remit the tax collected to the City tax assessor -
collector no later than the last day of the month following
the quarterly period in which the tax was collected.
Provided, however, that all payments are due immediately
upon cessation of business for any reason.
(b) Any person who fails to remit the tax imposed by this
article within the time required shall forfeit to the City
as a penalty an additional 5% of such tax, or the portion
thereof, not remitted.
(c) Delinquent taxes shall draw interest at the rate of ten per
cent (10 %) per annum beginning thirty (30)days from the due
date thereof.
(d) Every penalty imposed, and such interest as accrues under
the provisions of this section, shall become a part of the
tax required to be paid.
Sec. 15B -10. Offenses, criminal penalties, etc.
(a) A person commits an offense if he intentionally or knowingly
fails to file a report of taxes collected under this article
by the last day of the month following a quarterly period in
which taxes were collected.
(b) An offense under this section is punishable by a fine of not
less than $1.00 nor more than $200.00.
SECTION 5: Any person, firm, or corporation violating any provisions of
this Ordinance or failing to comply with any requirement of this
Ordinance will be guilty of a misdemeanor and subject to a fine of up to
Two Hundred Dollars ($200.00) upon conviction. Each day during or upon
which said person shall violate or continue violation of any provision
of this Ordinance or non-compliance with any requirement of this
Ordinance shall constitute a distinct and separate offense. The
violation of any provision of this Ordinance or the failure to comply
with any requirement of this Ordinance shall each constitute a distinct
and separate offense.
SECTION 6: If any section, subsection, sentence, clause, phrase or portion of
this Ordinance is for any reason held invalid or unconstitutional, such
portion shall be deemed a separate, distinct and independent provision
and such holding shall not affect any of the remaining provisions of
this Ordinance.
SECTION 7: All Ordinances and parts of Ordinances in conflict with the
provisions of this Ordinance are hereby repealed; provided, however,
that such repeal shall be only to the extent of such inconsistency and
in all other respects this ordinance shall be cumulative of other
Ordinances regulating and governing the subject matter covered by this
Ordinance.
SECTION 8: The City Secretary is hereby directed to cause the caption of this
Ordinance to be published at least twice within ten days of final
passage. This ordinance sh,all take effect on May 31, 1987.
PASSED AND APPROVED this May of
AT
THE CITY
By
Jan
1987.
F HUNTSVILLE
Adige.4056!-./
nday, M.yor
41 ,.../L/
DeShaw, City Secretary
APP ED AS TO FORM: e
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