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HomeMy WebLinkAboutReg 2018-11-19 Item 4F - Ordinance - Business License Fee Exemption for Card RoomsCOUNCIL AGENDA SYNOPSIS Meeting Date Prepared by Mayor:,- review Council review 11/19/18 VC ITEM INFORMATION ITEM No. 4.F. STAFF SPONSOR: VICKY CARLSEN ORIGINAL AGENDA DATE: 11/19/18 AGENDA ITEM TITLE Approve Ordinance Exempting Card Rooms from Business License Fee c,\T;(;()RY Discussion MIA Date 11/19/18 E Motion AN Date . Resolution Z Ordinance Mtg Date 11/19/18 . Bid Award E Public Hearing Meg Date fl Other A It,g Date Mtg Date Mtg Date S l'()NS R E Council Mayor EHR EDCD ZFinance Fire TS PR E Police ) , / Court SP ()NtioR' s Per discussion at the November 13, 2018 C.O.W., the Council is being asked to approve an SUMMARY ordinance that will add an exemption for card rooms from paying a business license fee REVIEWED BY C.O.W. Mtg. II CDN Comm E Finance Comm. E Public Safety Comm. [i] Parks Comm. 0 Planning Comm. COMMITTEE CHAIR: El Trans &Infrastructure DATE: 11/13/18 Arts Comm. RECOMMENDATIONS: SPONSOR/ADMIN. CommITTIT Finance Department Direction was given for this item at the 11/13/18 C.O.W. COST IMPACT / FUND SOURCE EXPENDITUI k REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED $ $ $ Fund Source: Comments: MTG. DATE RECORD OF COUNCIL ACTION 11/19/18 MTG. DATE ATTACHMENTS 11/19/18 Informational Memorandum dated 11/14/18 Draft Ordinance 167 168 City of Tukwila Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM TO: Finance Committee FROM: Peggy McCarthy, Finance Director BY: Vicky Carlsen, Deputy Finance Director CC: Mayor Ekberg DATE: November 14, 2018 SUBJECT: Ordinance to Exempt Card Rooms from Business License Fee ISSUE Approve the ordinance exempting card rooms from the business license fee. BACKGROUND At the November 13, 2018 Committee of the Whole meeting, there was Council consensus to exempt card rooms from the business license fee. In order to exempt card rooms from the business license fee, Tukwila Municipal Code 05.04.090 Exemption will need to be amended to include an exemption for the card rooms. RECOMMENDATION The Council is asked to approve the ordinance adding an exemption for card rooms at the November 19, 2018 Regular Council Meeting. ATTACHMENTS Draft Ordinance 169 170 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AMENDING VARIOUS ORDINANCES AS CODIFIED IN TUKWILA MUNICIPAL CODE SECTION 5.04.090, "EXEMPTION," TO ADD A BUSINESS LICENSE FEE EXEMPTION FOR CERTAIN PUBLIC CARD ROOMS; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the Tukwila City Council passed Ordinance No. 2588 on October 15, 2018, to adopt Model Business License Language as directed by the State; and WHEREAS, the City Council passed Ordinance No. 2590 on November 5, 2018, to increase the tax on cards rooms in the City; and WHEREAS, the City Council desires to provide an equitable cost structure for businesses in the City; WHEREAS, the City Council desires to lessen the burden of the gambling tax increase by exempting card rooms from the business license fee; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. No Impact on 2018 Business Licenses. It is the City Council's intention that the following amendment apply to Business Licenses issued for 2019 and beyond, and have no impact on Business Licenses issued by the City for 2018. Section 2. TMC Section 5.04.090 Amended. Ordinance Nos. 2588 §6, 2544 §5, 2356 §6, 2333 §7 and 2315 §1 (part), as codified at Tukwila Municipal Code Section 5.04.090, are hereby amended to read as follows: W: Word Processing\Ordinances\Business license fee exemption for card rooms 11-14-18 VC:bjs Page 1 of 3 171 5.04.090 Exemption A. Exemptions. The following entities may claim an exemption from the Business License fee, but if exempt under this subsection such entities shall still register under this chapter: 1. Certain Organizations Exempt from Federal Income Tax. An organization that files with the City a copy of its current IRS 501(c)(3) exemption determination letter issued by the Internal Revenue Service. 2. A governmental entity that engages solely in the exercise of governmental functions. Activities that are not exclusively governmental, such as some of the activities of a hospital or medical clinic, are not exempt under this chapter. 3. A nonprofit business operated exclusively for a religious purpose, upon furnishing proof to the Finance Director of its nonprofit status. For the purposes of this chapter, the activities that are not part of the core religious functions are not exempt. 4. A Gcivic groups, service clubs, armor social organizations that arc is not engaged in any profession, trade, or occupation, but arc is organized to provide civic, service, or social activities in the City. a. Examples of such organizations include but are not limited to: Soroptomists, Kiwanis, Lions' Rotary, American Legion, children's and adults' athletic leagues and similar types of groups, clubs or organizations. 5. A Gcourt interpreters who provides an oral translation between speakers who speak different languages, and who arc is either a certified interpreter, qualified interpreter, or registered interpreter, and who makes less than $12,000 in gross annual revenue in Tukwila, Washington. Certified, qualified and registered interpreters are defined as follows: a. "Certified interpreter" means an interpreter who is certified by the administrative office of the courts. b. "Qualified interpreter" means a person who is readily able to interpret or translate spoken and written English for non -English-speaking persons and to interpret or translate oral or written statements of non -English-speaking persons into spoken English. c. "Registered interpreter" means an interpreter who is registered by the administrative office of the courts. 6. A public card room (also known as a social card room) with a house -banked license. B. Nothing in this chapter shall be construed to require a license for any farmer, gardener, or other person to sell, deliver or peddle any fruits, vegetables, berries, butter, eggs, fish, milk, poultry, meats or any farm produce or edibles raised, caught, produced or manufactured by such person in any place within the State. W: Word Processing\Ordinances\Business license fee exemption for card rooms 11-14-18 VC:bjs Page 2 of 3 172 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 five days after passage and publication as provided by law. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, a Regular Meeting thereof this day of , 2018. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk APPROVED AS TO FORM BY: Rachel B. Turpin, City Attorney Allan Ekberg, Mayor Filed with the City Clerk: Passed by the City Council: Published: Effective Date: Ordinance Number: W: Word Processing\Ordinances\Business license fee exemption for card rooms 11-14-18 VC:bjs Page 3 of 3 173