HomeMy WebLinkAboutOrd 2590 - 2019 Gambling Tax
Cover page to Ordinance 2590
The full text of the ordinance follows this cover page.
Ordinance 2590 was amended or repealed by the
following ordinances.
AMENDED REPEALED
Section(s) Amended Amended by Ord # Section(s) Repealed Repealed by Ord #
1 (part)
2730
City of Tukwila
Washington,
Ordinance No. .) 17 J
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF TUKWILA, WASHINGTON, AMENDING ORDINANCE
NOS. 2349 §2 AND 1809 §1 (PART), AS CODIFIED AT
TUKWILA MUNICIPAL CODE SECTION 3.08.030, "TAX
RATES," TO INCREASE THE TAX ON CERTAIN
GAMBLING ACTIVITIES; REPEALING ORDINANCE NOS.
2230, 2150 AND 1891; PROVIDING FOR SEVERABILITY;
AND ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, the social card rooms operating in Tukwila generate significant
gambling tax revenues for the City; and
WHEREAS, there is a cost to patrol and enforce City codes related to gambling;
and
WHEREAS, the more card rooms operated as a commercial stimulant, the more
City costs increase; and
WHEREAS, pursuant to the City Council's power to tax certain activities for
revenue purposes as set forth in RCW 9.46.110, the City Council now desires to
increase the tax levied on any social card room operated as a commercial stimulant,
upon certain conditions, by amending Tukwila Municipal Code (TMC) Section
3.08.030.A.4; and
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY ORDAINS AS FOLLOWS:
Section 1. TMC Section 3.08.030, "Tax Rates," Amended. Ordinance Nos.
2349 §2 and 1809 §1 (part), as codified at TMC Section 3.08.030, are hereby amended
to read as follows:
A. Pursuant to RCW 9.46.110 and RCW 9.46.120, as amended by the Laws of
Washington, effective July 27, 1997, there is levied upon all persons, associations and
organizations who have been duly licensed by the Washington State Gambling
Commission, as authorized by law, the following tax:
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1. Bingo games and raffles: To conduct or operate any bingo games and
raffles, a tax rate of 5% of the gross revenue received therefrom, Tess the actual amount
paid by such person, association or organization for or as prizes.
2. Amusement game: To conduct any amusement game, a tax rate of 2% of
the gross revenue received therefrom, less the actual amount paid by such person,
association or organization for or as prizes.
3. Punchboards or pulltabs: For the conduct or operation of any
punchboards or pulltabs, a tax rate of 5% of the gross receipts from such activities for
commercial stimulant operators (taverns, restaurants, etc.); and a tax rate of 10% on the
gross receipts less the amount paid out as prizes for charitable or nonprofit
organizations.
4. Social card games:
a. For the conduct or operation of any premises or facility used to play
social card games, a tax rate of 11 % of the gross receipts received therefrom; provided
that when the number of card rooms in the City exceeds five, the tax rate shall increase
to 15% of the gross receipts received therefrom. Additionally, when the number of card
rooms exceeds six, the tax rate shall increase to 20% of the gross receipts received
therefrom.
b. For purposes of this provision, an operating business is defined as: a
business open to the public and engaged in the business of operating a social card
room for a period of 30 days. For purposes of this section, the 30 days are not required
to be consecutive days. After the 30 days of operations, which triggers the increased
tax rate, the Finance Director or his or her designee, shall notify the social card rooms
of the increased rate and that rate shall be paid thereafter by all card rooms in this tax
category, starting the financial quarter after notification.
B. Non -Profit Organizations.
1. No tax shall be imposed under the authority of TMC Chapter 3.08 on bingo
or raffles when such activities or any combination thereof are conducted by any bona
fide charitable or nonprofit organization as defined in RCW 9.46.0209, which
organization has no paid or management personnel, and has gross income from bingo
and raffles, or any combination thereof, not exceeding $5,000 per year, Tess the amount
paid for or as prizes.
2. The Finance Director may waive the tax due each quarter from a bona fide
charitable or nonprofit organization as defined in RCW 9.46.0209. This waiver may
occur only if the charitable or nonprofit organization demonstrates by clear and
convincing documentation that an amount equal to at least 70% of the tax due the City,
as computed pursuant to TMC Section 3.08.030, will be donated to charitable nonprofit
organizations serving the City whose purpose is to provide programs or facilities for
meeting the basic health, education, welfare, or other needs of the residents of the City.
Failure to donate at least 70% of the tax due the City will result in revocation of the
waiver and the disqualification of the bona fide charitable or nonprofit organization to
receive a waiver for future tax payments.
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Section 2. Repealer. Ordinance Nos. 2230, 2150 and 1891 are hereby repealed
in their entirety.
Section 3. Corrections by City Clerk or Code Reviser. Upon approval of the
City Attorney, the City Clerk and the code reviser are authorized to make necessary
corrections to this ordinance, including the correction of clerical errors; references to
other local, state or federal laws, codes, rules, or regulations; or ordinance numbering
and section/subsection numbering.
Section 4. Severability. If any section, subsection, paragraph, sentence, clause or
phrase of this ordinance or its application to any person or situation should be held to be
invalid or unconstitutional for any reason by a court of competent jurisdiction, such
invalidity or unconstitutionality shall not affect the validity or constitutionality of the
remaining portions of this ordinance or its application to any other person or situation.
Section 5. Effective Date. This ordinance or a summary thereof shall be published
in the official newspaper of the City, and shall take effect and be in full force January 1,
2019.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at
a Regular Meeting thereof this 4j 111 day of 1'\/t/L I-V b-e Y ' , 2018.
ATTEST/AUTHENTICATED:
risty O'flaherty, MMC, Cifj/Clerk erg, Mayor
APPROVED AS TO FORM BY: Filed with the City Clerk: / (2 -3 I -1a'
Passed by the City Council: 1 I - '-i
Published: 1 l- �-j it'
Effective Date: po r S e (Tial0 6
Rachel B. Turpin, City Attorney Ordinance Number: a, s q 0
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City of Tukwila Public Notice of Ordinance Adoption for Ordinances 2590.
On November 5, 2018 the City Council of the City of Tukwila, Washington, adopted the
following ordinance, the main points of which are summarized by title as follows:
Ordinance 2590: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
TUKWILA, WASHINGTON, AMENDING ORDINANCE NOS. 2349 §2 AND 1809 §1
(PART), AS CODIFIED AT TUKWILA MUNICIPAL CODE SECTION 3.08.030, "TAX
RATES," TO INCREASE THE TAX ON CERTAIN GAMBLING ACTIVITIES;
REPEALING ORDINANCE NOS. 2230, 2150 AND 1891; PROVIDING FOR
SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE.
The full text of this ordinance will be provided upon request.
Christy O'Flaherty, MMC, City Clerk
Published Seattle Times: November 8, 2018