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HomeMy WebLinkAboutORD 7034 EXCISE TAX HOTEL MOTEL AMEND CITY CODE ORDINANCE N0.7034 AN ORDINANCE TO AMEND THE AUGUSTA-RICHMOND COUNTY CODE BY REDESIGNATING SECTIONS 2-2-27 THROUGH 2-2-32 WHICH IMPOSE AN EXCISE TAX UPON HOTEL AND MOTEL ROOM RENTALS AS DIVISION ONE OF ARTICLE FIVE OF THE AUGUSTA RICHMOND COUNTY CODE; TO ENACT A NEW DIVISION TWO OF SAID ARTICLE FIVE, WHICH IMPOSES A TRANSPORTATION AND TOURISM FEE ON ALL HOTEL AND MOTEL ROOM RENTALS IN AUGUSTA; TO ENACT SAID NEW SECTION AND DESIGNATE THE SAME AS SECTIONS 2-2-33.1 THROUGH 2-2-33.7 OF SAID AUGUSTA CODE AS PROVIDED IN EXHIBIT "A" ATTACHED HERETO; TO PROVIDE FOR SEVERABILITY; TO REPEAL ALL ORDINANCES AND PARTS OF ORDINANCES IN CONFLICT HEREWITH; TO PROVIDE AN EFFECTIVE DATE FOR THE IMPOSITION OF SAID TAX AND FOR OTHER PURPOSES. BE IT ORDAINED BY THE AUGUSTA-RICHMOND COUNTY COMMISSION AND IT IS HEREBY ORDAINED BY THE AUTHORITY OF SAME, that the Augusta-Richmond County Code be amended as follows: SECTION 1. Section 2-2-27 through Section 2-2-32 of the Augusta Richmond-County Code which impose an Excise Tax upon all hotel and motel room rentals in Augusta is hereby redesignated as Division One of Article Five of said Code. SECTION 2. There is hereby enacted a new Division Two of Article Five which imposes a Transportation and Tourism Fee upon all hotel and motel room rentals in Augusta and said new Division Two is hereby designated as Section 2-2-33.1 to Section 2-2-33.7 of said Code as set forth in Exhibit "A" attached hereto and incorporated by reference herein. SECTION 3. This ordinance shall become effective upon its adoption in accordance with applicable laws and the fees imposed by said new sections 2-2-33.1 to 2-2-33.7 shall be imposed upon the rental of all hotel and motel rooms in Augusta, Georgia effective at 12:01 a.m. on March 1, 2008. SECTION 4. All ordinances or parts of ordinances in conflict herewith are hereby repealed. Adopted thisLi day of j-.g~ ,2008. ~d cJ Reading....F-ebua"!=:~... 5, 2008 ':~.~ .:. ,..~~~ ,."...." (> '\'~. n ~~.. 00 "1.- j;,::\!, ,-J... \-"; ~ ~,~'~ .... ~ ~ \ . ~ First .,.', Seal: erk of CotWhissi n - '.:;,~ d " _ ~'ij,;ce-ao .# ",. - . ''''1\. A!'.P _' ~,.:;~!!-:t;r ., CERTIFICATION The undersigned Clerk of Commission, Lena J. Bonner, hereby certifies that the :L~w>oing Ordinance was dilly adopted by the Augusta-Richmond County Commission on \ r:tIJ.;" Ilq , 2008 and that such Ordinance have not been modified or rescinded as of the date hereof and the undersigned further certifies that the attached Ordinance is a true copy of the Ordinance whic was approved and adopted in the foregoing meeting(s). Published in the Augusta Chronicle. Date: Publish in the Augusta chronicle Feb 28, 2008 ARTICLE 5 DIVISION TWO TRANSPORTATION AND TOURISM FEE ORDINANCE CONTENTS ~2-2-33.1 ~2-2-33.2 ~2-2-33.3 ~2-2-33.4 ~2-2-33.5 ~2-2-33.6 ~2-2-33. 7 PURPOSE FINDINGS DEFINITIONS TRANSPORTATION AND TOURISM FEES TRANSPORTATION AND FEE RATES TRANSPORTATION PROVIDERS TRANSPORTATION AND TOURISM FUND ESTABLISHED ARTICLE 5 DIVISION ONE EXCISE TAX FOR HOTEL, MOTEL RENTALS IN AUGUSTA, GA ~2-2-33.1 PURPOSE. The Augusta-Richmond County Commission is authorized by the State Constitution pursuant to Article IX, ~2, ~3(a)(5) and (9) and applicable State law to provide recreational programs and facilities and to provide public transportation services throughout Augusta to contribute to the protection and preservation of the public health, safety and welfare and for protection of the natural and historical resources Augusta. The Commission has determined that it will be able to provide these services more efficiently to the residents of Augusta and to visitors of Augusta through the construction and enhancement of public facilities to increase tourism in Augusta-Richmond County via implementation of a Transportation and Tourism Fee to be charged upon all hotel and motel rooms rented out in Augusta. In addition to increasing the efficiency of providing these services, the Transportation Fee shall also enhance the quality of transportation services provided and the tourism opportunities for both residents of Augusta and visitors to Augusta. ~2-2-32.2 FINDINGS. The Augusta-Richmond County Commission makes the following findings offact: I. The Augusta-Richmond County Commission finds that providing the most efficient and cost effective public transportation system will benefit Augusta, the residents of Augusta and visitors to Augusta by providing transportation to individuals lacking transportation services and by relieving traffic congestion and environmental pollution by reducing the number of motor vehicles on the roadway through encouraging the public's use of a mass public transportation system. 2. The Augusta-Richmond County Commission finds that Augusta-Richmond County constitutes a tourist destination for visitors to Augusta seeking to utilize the facilities of Augusta-Richmond County and to view areas of Augusta designated as historic heritage districts. 3. Augusta-Richmond County currently provides public mass transportation services and also provides tourism opportunities for both the residents of Augusta-Richmond County and visitors to Augusta-Richmond County. 4. Establishing a Transportation and Tourism Fee will provide funds to enhance the transportation and tourism services, the value of which services will vastly exceed the Fee charged to the Hotel Room Occupants. 5. The Transportation and Tourism Fee collected pursuant to this section shall be used to provide transportation and tourism services by enhancing the availability of public transportation to Hotel and Motel occupants and by enhancing the historic heritage districts that wou1d constitute tourism destinations by residents of Augusta and visitors to Augusta. 6. To generate sufficient amounts oftourism to fund the transportation and tourism services to be provided herein, Augusta-Richmond County needs to invest in local convention and entertainment facilities such as the Trade Exhibit and Event Center to promote commercial and recreational tourism in Augusta-Richmond County. 7. The enhanced transportation services will provide needed public transportation between Hotels, the Trade Exhibit and Event Center and other tourist destinations, including the Historic Heritage District, that will in turn increase tourism and conventions in Augusta. This increase in tourism will then help fund the enhancements to the public transportation services and the tourism services, benefiting visitors to and residents of Augusta-Richmond County. ~2-2-33.3 DEFINITIONS. The following words, terms and phrases, when used in this Article, shall have the meanings as defined below: Room -a unit of lodging provided by a Hotel (as defined herein) and located within the borders of Augusta-Richmond County. Transportation Fee - means the per-night Room fee imposed pursuant to this Article for providing and enhancing transportation services and tourism services in Augusta- Richmond County. Hotel - means an Inn, Hotel, Motel, or other business subject to taxation that offers overnight accommodations, rooms, or lodging to the public for value. Room Occupant - means the person or persons listed on the Hotel registry as obtaining overnight accommodations at a Hotel. Historic Heritage District - The areas of Augusta-Richmond County identified as: Bethlehem, East Augusta, Harrisburg, Laney Walker, May Park, Olde Town, Turpin Hill and Uptown. Transportation, Tourism and Historic Heritage Committee (hereinafter "Committee") - A Committee that shall recommend for approval by the Commission the management of the Transportation and Tourism Fund as provided herein. The Committee shall consist of the Mayor, Mayor Pro-Tern, two private citizens appointed by the Mayor and Mayor Pro- Tem, and the Director of Housing and Neighborhood Development as an ex-officio member. Commission - means the Augusta-Richmond County Commission. ~2-2-33.4 TRANSPORTATION AND TOURISM FEE. To provide enhanced public transportation services and to enhance the tourism opportunities in the Historic Heritage District, it shall be a policy of Augusta to charge a Transportation and Tourism Fee (hereinafter ''Transportation Fee") on all Hotel Rooms as defined herein. The Transportation Fee shall be set in an amount that is fair and reasonable, bearing substantial relationship to the transportation and tourism services provided to all individuals or entities paying the Transportation Fee. In exchange for the Transportation Fee, the Commission shall establish a system whereby payers of the Fee shall be entitled to free use of the public transportation systems for the duration of their hotel stay in Augusta to obtain greater access the tourism destinations in Augusta. The revenues generated by the Transportation Fee shall be used to fund and enhance public transportation operations, management of the Trade Exhibit and Event Center, and to revitalize the Historic Heritage Districts of Augusta to enhance the transportation and tourism services available in Augusta. ~2-22-33.5 TRANSPORTATION FEE RATES. The Transportation Fee shall be set pursuant to this Section and may be modified by the Commission as needed to fund the continued services provided herein. In setting or modifying the rates, the Commission shall establish rates that are fair and reasonable and reflect the value of the services provided to the individuals or entities paying the Transportation Fee. Augusta shall impose upon every Room a fee of $1. 00 per overnight accommodation. This Fee shall be collected by the owner or operator of each Hotel or Motel in addition to any rates charged by the Hotel or Motel owner or operator and in addition to any other governmental taxes assessed to each Room. Each Hotel collecting the Transportation Fee shall, on or before the 20th day of each month, submit to the Finance Director of Augusta a return indicating the number of occupied Room nights and the amount of Transportation Fees collected for the immediately preceding calendar month. Hotels will use a return form as prescribed by the Finance Director and will remit, along with the Return form, payment of the fees as calcu1ated on the Return. Penalties and Interest. When any Hotel required to collect and remit the Transportation Fee fails to file a Return or to remit the total amount due by the due date and in the manner provided herein, the Hotel shall be subject to a penalty of 5% of the amount due or $50.00, whichever is greater. Interest shall also be charged at the rate of 1% per month from the last day of the month from which the fee is due until the date the Transportation Fee is paid. Examination of Records. For the purposes of determining the accuracy of any Return filed or required to be filed under this provision, or to determine the correct amount of Transportation Fees due, the Finance Director or a designated representative is entitled to request access to any books, records or other information to determine the correct amount of Transportation Fees due. ~2-2-33.6 TRANSPORTATION PROVIDED. All Room Occupants shall be entitled to utilize Augusta's public transportation system at no additional charge for the duration oftheir hotel room occupancy. The Room Occupant shall present to the bus driver for admission onto the bus for transportation in lieu of paying the bus fair. Non- Hotel Room Occupants must pay all regular fares, and the right to utilize the public transportation services under this provision is non-transferable. It shall be unlawful for any Hotel, individual, or other entity to knowingly distribute hotel room keys or items designed to resemble hotel room keys to non-Room Occupants for the purpose of providing the non-Room Occupant with free transportation services. It shall also be unlawful for a non-Room Occupant to present a Hotel Room key to utilize the public transportation services in any manner other than that prescribed herein. Violators guilty violating this Ordinance will be subject to a fme of not less than $50.00 per violation. ~2-2-33.7 TRANSPORTATION AND TOURISM FUND ESTABLISHED. Pursuant to this Ordinance, there is established a Transportation Fund, that shall be utilized to enhance the transportation services provided under the Article and to provide for the enhancement ofthe tourism facilities in Augusta-Richmond County. All of the Transportation Fees deposited in this fund shall be dedicated for the purposes articulated herein and administered by the Transportation, Tourism and Historic Heritage Committee, with approval of the Commission. The Transportation Fees collected and deposited in the Transportation Fund may be transferred from time to time to other funds as approved by the Commission to effectuate the purpose ofthe Transportation Fee for providing and enhancing transportation and tourism opportunities consistent with the uses provided herein. The Transportation Fees shall be eligible for the following uses: I. Transportation Services (a) Funding the increased demand for public transportation services created by implementation of this fee and offering transportation services at no cost to Hotel Guests paying the Transportation Fee. (b) Funding additional public transportation services for tourists and residents of Augusta-Richmond County to encourage the utilization ofthe tourism services and destinations in Augusta-Richmond County. (c) The Augusta Transit Department shall be allocated all Transportation Fee funds collected but not otherwise allocated to Tourism Enhancement or TEE Center operations. II. . Tourism Enhancement A. Fund Uses The Committee shall make recommendations for enhancement oftourism destinations within the Historic Heritage District through the following uses. The Committee shall first fund the needs of the areas designated as Bethlehem and Laney-Walker prior to funding other areas of the Historic Heritage District. (a) Planning activities that consist of all costs of data gathering, studies, analysis, and preparation of plans and the identification of actions that will implement such plans, including, but not limited to: (1) Comprehensive plans; (2) Community development plans; (3) Functional plans, in areas ~uch as: (i) Housing, including the development of a consolidated plan; (ii) Land use and urban environmental design; (iii) Economic development; (iv) Open space and recreation; (v) Energy use and conservation; (vi) Floodplain and wetlands management; (vii) Transportation; (viii) Utilities; and (ix) Historic preservation. (4) Other plans and studies such as: (i) Small area and neighborhood plans; (ii) Capital improvements programs; (iii ) Individual project plans (but excluding engineering and design costs related to a specific activity); (iv) The reasonable costs of general environmental, urban environmental design and historic preservation studies; (v) Strategies and action programs to implement plans, including the development of codes, ordinances and regulations; (5) Policy-planning-management-capacity building activities which will enable the recipient to: (1) Determine its needs; (2) Set long-term goals and short-term objectives, including those related to urban environmental design; (3) Devise programs and activities to meet these goals and objectives; (4) Evaluate the progress of such programs and activities in accomplishing these goals and objectives; and (5) Carry out management, coordination and monitoring of activities necessary for effective planning implementation, but excluding the costs necessary to implement such plans. (b) Development hard costs. The actual cost of constructing or rehabilitating historic structures. These costs include the following: (1) For new construction, costs to meet the applicable new construction standards. (2) For rehabilitation costs: (i) To meet the property standards of applicable County, historic preservation, State, and Federal codes. (ii) To make essential improvements, including energy-related repairs or improvements, improvements necessary to permit use by persons with disabilities, and the abatement of hazardous conditions. (3) For both new construction and rehabilitation costs: (i) To demolish existing structures. (ii) To make utility connections including off-site connections from the property line to the adjacent street. (iii) To make improvements to the project site that are keeping with improvements of surrounding projects. Site improvements may include on-site roads and sewer and water lines necessary to the development ofthe project. The project site is the property owned by the project owner, upon which the project is located. (4) Costs to make utility connections or to make improvements to the project sites. (c) Refinancing Costs. The cost to refinance existing debt secured by real property that is being rehabilitated or improved with Tourism Funds. (d) Acquisition Costs. Costs of acquiring improved or unimproved real property. (e) Related soft costs. Other reasonable and necessary costs incurred by property owners or Augusta-Richmond County and associated with the financing or development (or both) of new construction, rehabilitation or acquisition of real property with Tourism Funds. These costs include, but are not limited to: (1) Architectural, engineering or related professional services required to prepare plans, drawings, specifications, or work write-ups. (2) Costs to process and settle the financing for a project, such as private lender origination fees, credit reports, fees for title evidence, fees for recordation and filing oflegal documents, building permits, attorneys fees, private appraisal fees and fees for an independent cost estimate, builders or developers fees. (3) Costs of a project audit that Augusta-Richmond County may require with respect to the development of the project. (4) Costs to provide information services such as affirmative marketing and information to prospective investors and tourists. (5) Staff and overhead costs directly related to carrying out the project, such as work specifications preparation, loan processing inspections, and other services related to assisting potential owners, and investors. (6) For both new construction and rehabilitation, costs for the payment of impact fees that are charged for all projects within Augusta- Richmond County. (7) Costs of environmental review directly related to the project. B. Amount Allocated. For fifty (50) years following implementation ofthese provisions, unless extended hereafter, $750,000.00 per year of the funds generated shall be allocated to the enhancement of the Laney- Walker and Bethlehem Historic Heritage District. III. Trade Exhibit and Event (TEE) Center For fifty years following adoptions of these provlSlons, unless extended hereafter, $350,000.00 per year ofthe Transportation Fund shall be allocated to the TEE Center. This amount shall be used for the management and operating expenses of the TEE Center, including the cost of promoting use of public transportation in conjunction with TEE Center events and to encourage utilization of the enhanced tourism services by TEE Center patrons. This amount may be adjusted annually to reflect increases in accepted inflation rates.