HomeMy WebLinkAbout2090 Reducing Utility Business Tax on Telephone BusinessesORDINANCE NO. 2090
AN ORDINANCE REDUCING THE UTILITY BUSINESS TAX
UPON TELEPHONE BUSINESSES, BY AMENDING PRIOR ORDINANCES
AND ESTABLISHING AN EFFECTIVE DATE.
THE CITY COUNCIL FOR THE CITY OF PORT TOWNSEND, IN REGULAR SESSION ASSEMBLED,
DO ORDAIN AS FOLLOWS:
Section I
Section 5.84.030 of the Port Townsend Municipal Code, together
with Section 3 of Ordinance 1903; Section I or Ordinance 1931; Section 1
of Ordinance 1965; Section I of Ordinance 1970; Section I of Ordinance 2004;
and SectiOn i of Ordinance 2018;and Section I of Ordinance 2048; are each here
and hereby amended to read as f611ows:
5.84.030 Tax Imposed. From and after January 1, 1982, there is 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 the tax for the
privilege of so doing business as hereinafter defined:
(1) Upon any telephone business there shall be levied a tax equal
to (6~½§) 6.12 percent of the total gross operating revenues, excluding
revenues from intrastate toll, derived from the operation of such business
within the city. Gross operating revenues forlthis purpose shall not
include charges which are passed on to the 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 chapter.
"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 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 by any
person of telephone equipment, apparatus, or service, other than toll service,
which is a type which can be provided by persons that are not subject to
regulation as telephone companies under RCW Title 80 and for which a separate
charge is made.
(2) There is levied a tax on the sale, delivery or distribution
of electricity and electrical energy and for the privilege of carrying on
said business, such tax to be equal to four percent of-lthe total gross
operating revenue derived from sales of such electricity to ultimate users
within the city; provided, however, that there shall not be any tax levied for
the installation charges of electrical units.
(3) There is levied a tax on the sale of natural, manufactured or
mixed gas for residential, commercial or industrial consumption and for the
privilege of carrying on said business, such tax to be equal to four percent
of gross operating revenues from such sale of natural, manufactured or mixed
gas within the limits of the city.
(4) There is levied on every person engaged in or carring on
the business of selling or furnishing water, a fee or tax equal to seven
percent of the total gross,income from such business in the city during
his fiscal year next precedln~ the tax year for which the license is required.
(5) There is levied on every person engaged in or carrying on
the business of selling or furnishing sewage disposal, a fee or tax equal
to seven percent of the total gross income from such business in the city
during his fiscal year next preceding the tax year for which the license
is required.
(6) For the purposes of defining "sewage disposal" as used in sub-
section (5) of this section, the term shall not apply to those persons or
firms engaged in the pumping of septic tanks, cesspools or holding tanks,
and the hauling of materials thus pumped.
Section 2
This Ordinance shall take effect on January 1, 1988.
Read for the first, second and third times, passed by the City
Council for the City of Port Townsend and approved by the Mayor this 20 day
of October, 1987.
David A GroVe
City Clerk
Mayor, Brent Shirley
Approved as to form:
Keith C. Harper
City Attorney