ORDINANCE 1252ORDINANCE NO. 1252
AN ORDINANCE OF THE PEOPLE OF THE CITY OF EL
SEGUNDO, CALIFORNIA, APPROVING, FROM APRIL 9,
1996 FORWARD, A BUSINESS LICENSE TAX,
TRANSIENT OCCUPANCY TAX AND A COMMERCIAL
AND INDUSTRIAL UTILITY USERS TAX AT THE SAME
RATES AS ARE CURRENTLY SET FORTH IN THE EL
SEGUNDO MUNICIPAL CODE; DELETING THEREFROM
CERTAIN SECTIONS PROVIDING FOR TRANSIENT
OCCUPANCY TAX CREDITS AND TAX CREDIT
AGREEMENTS; AND REDUCING THE TRANSIENT
OCCUPANCY TAX FROM 10% TO 8 %.
WHEREAS, Proposition 62 was adopted as an initiative measure at the 1986
general election. Proposition 62 states, among other matters, that the imposition
of general taxes be approved by a majority vote of the people;
WHEREAS, several California Court of Appeal opinions, including City of
Wood lake v. Logan (1991) 230 Cal.App.3d 1058, subsequently declared
Proposition 62 unconstitutional insofar as it purported to apply to cities;
WHEREAS, in good faith belief that Proposition 62 was invalid, the City
Council adopted Ordinance Nos. 1128, 1138, 1166, 1168, 1187, 1219, 1227 and
1238 relating to the Business License Tax, Ordinance Nos. 1102, 1121 and 1216
relating to the Transient Occupancy Tax; Ordinance Nos. 1220 relating to the
Business License Tax and the Transient Occupancy Tax; Ordinance Nos. 1133,
1134, and 1135 relating to the Utility Users Tax; and Ordinance Nos. 1142 and
1164 relating to the Business License Tax and the Utility Users Tax;
WHEREAS, the recent California Supreme Court decision in Santa Clara
County Local Transportation Authority v. Carl Guardino held Proposition 62 to be
constitutional;
WHEREAS, the People of the City desire to maintain the fiscal integrity of
the City and to ensure that the City continues to meet its obligations to the
community in the provision of vital public services; and
WHEREAS, this ordinance provides for the enactment of the City's tax
structure.
NOW, THEREFORE, THE PEOPLE OF THE CITY OF EL SEGUNDO DO HEREBY
ORDAIN AS FOLLOWS:
SECTION 1. Chapter 3.06 of the El Segundo Municipal Code entitled
"BUSINESS ATTRACTION PROGRAM" is hereby approved to read as follows:
"CHAPTER 3.06 - BUSINESS ATTRACTION PROGRAM
3.06.010 TITLE
This chapter shall be known as the Business Attraction Program of the City.
3.06.020 PURPOSE
This chapter sets forth a mechanism for establishing financial incentives to
businesses to facilitate business attraction in the City.
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3.06.030 BUSINESSES ELIGIBLE FOR INCENTIVES
"Business" as used in this chapter is defined as a business proposing to locate in
the City which meets most of the following criteria and is eligible for consideration for the
incentives established under this chapter:
(a) The business is engaged in a Primary or Secondary Target Industry
as identified in the City Economic Development Strategic Plan dated September
23, 1993, as amended from time to time by the city council.
(b) The business has developed a business plan for long -term growth.
(c) The business will provide the City with a return on investment within
three years or a longer term if approved by the city council. The method used to
determine the return on investment for the City shall consider the costs of City
services provided to the business and the revenue and other benefits that the
business provides to the City. The revenue and benefits provided to the City shall
include, but not be limited to, the following factors: increase in number of jobs,
increase in square footage occupied, increase in sales and use tax revenue,
increase in utility users tax revenue, increase in franchise fees, and increase in any
other taxes or fees paid to the City.
(d) Commitment of the business to stay in City for a minimum of six
years.
(e) Business has the capability of utilizing existing businesses located in
the City or attracting support industries into the City.
3.06.040 BUSINESS LICENSE TAX CREDIT.
(a) Any business which increases the amount of sales and use tax revenue
received by the City from the business or its activities above its baseline, as defined
hereunder, shall receive a credit to its business license tax equal to the dollar amount of
the increase above the baseline. The amount of business license tax credit shall be
determined annually and is subject to approval by the city manager. Said credit shall be
applied to the business license tax owed in the next fiscal year only; provided that, in no
event, shall the credit exceed the amount of business license tax owed.
(b) For the purposes of this section, the "baseline" for a business shall be
determined as follows. For each fiscal year, the baseline shall be equal to the amount
of sales and use tax and business license tax revenue projected to be generated for the
City as calculated from projections based on the business plan submitted by the business
to the City.
(c) A business may only be granted business license tax credits under this section
for the first three years that the business operates in the City or such longer term as
determined pursuant to subsection (c) of Section 3.06.030. A business is not eligible to
receive any business license tax credits based on sales and use tax revenue established
under Title 5 of the Code which the business is receiving a business license tax credit
under this section.
3.06.060 UTILITY USERS TAX CREDIT.
The City Manager, or his or her designee, is hereby authorized to negotiate and
enter into a tax credit agreement which grants to a business a credit on the utility users
tax imposed by the City for a period not to exceed three years following the date of the
agreement or such longer term as determined pursuant to subsection (c) of Section
3.06.030. The credit shall be calculated annually and shall be applied to the utility users
tax owed for the next fiscal year only; provided that, in no event, shall the credit exceed
the amount of tax owed.
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3.06.070 PLANNING AND BUILDING FEES AGREEMENTS.
(a) The Director of Planning and Building Safety, or his or her designee, is hereby
authorized to negotiate an agreement which reduces the planning and/or building fees
applicable to a project developed by a business in an amount not to exceed fifty percent
(50 %) of the fees imposed. The fee reduction shall only apply to projects specified in the
agreement. Said agreement shall be approved by the city manager.
(b) The Director of Planning and Building Safety, or his or her designee, is hereby
authorized to negotiate an agreement which establishes a timetable for the completion of
the review, approval and inspection process conducted by the City in connection with a
project developed by a business. Under said agreement, the planning and/or building
fees applicable to the project shall be refunded and/or waived if the failure to meet the
timetable is solely caused by City inaction. The fee refund and/or waiver shall only apply
to the project specified in the agreement. Said agreement shall be approved by the city
manager.
(c) For the purposes of this section, "planning and/or building fees" is defined as
any or all of the fees imposed by the City under the Zoning, Subdivision, Building,
Electric, Plumbing, and Mechanical Codes of the City.
3.06.080 TAX REDUCTIONS AND SUSPENSIONS
The City Council of the City of El Segundo has the authority to (i) provide for the
suspension of taxes collected under Title 3 and Title 5 hereof and, (ii) provide for a
reduction in the tax rates assessed under Title 3 and Title 5 hereof."
SECTION 2. Section 3.06.050 of the El Segundo Municipal Code is hereby
deleted in its entirety.
SECTION 3. Section 3.12.020 of Chapter 3.12, entitled 'TRANSIENT
OCCUPANCY TAX," of the El Segundo Municipal Code is hereby approved to read as
follows:
"3.12.020 DEFINITIONS.
Except where the context otherwise requires, the definitions given in this section
govem the construction of this chapter.
"Hooter means any structure, or any portion of any structure, which is occupied or
intended or designed for occupancy by transients for dwelling, lodging or sleeping
purposes, and includes any hotel, inn, tourist home or house, motel, studio hotel, bachelor
hotel, lodginghouse, rooming house, apartment house, dormitory, public or private dub,
mobile home or house trailer at a fixed location, or other similar structure or portion
thereof.
"Ocaparq�' means the use or possession, or the right to the use or possession
of any room or rooms or portion thereof in any hotel for dwelling, lodging or sleeping
purposes.
"Operation" means the person who is proprietor of the hotel, whether in the capacity
of owner, lessee, sublessee, mortgagee in possession, licensee, or any other capacity.
Where the operator performs his functions through a managing agent of any type or
character other than an employee, the managing agent shall also be deemed an operator
for the purposes of this article and shall have the same duties and liabilities as his
principal. Compliance with the provisions of this chapter by either the principal or the
managing agent shall, however, be considered to be compliance by both.
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"Person" means any firm, partnership, joint venture, association, social club,
fraternal organization, joint stock company, corporation, estate, trust, business trust,
receiver, trustee, syndicate or any other group or combination acting as a unit.
"Rent" means the consideration charged, whether or not received, for the
occupancy of space in a hotel valued in money, whether to be received in money,
goods, labor or otherwise, including all receipts, cash, credits and property and
services of any kind or nature, without any deduction therefrom whatsoever.
"Tax administrator" means the director of finance.
"Transient" means:
(1) Any person as defined in this section, who exercises occupancy or is
entitled to occupancy by reason of concession, permit, right of access, license or other
agreement, for a period of thirty (30) consecutive calendar days or less.
(2) Any individual who personally exercises occupancy or is entitled to
occupancy by reason of concession, permit, right of access, license or other
agreement, for a period of thirty (30) consecutive calendar days or less.
Any such person or individual so occupying space in a hotel shall be deemed to
be a transient.
In determining whether an individual is a transient, uninterrupted periods of time
extending both prior and subsequent to the effective date of the ordinance codified in
this section may be considered."
SECTION 4. Section 3.12.030 of the El Segundo Municipal Code is hereby
approved to read as follows:
"3.12.030 IMPOSITION - RATE. For the privilege of occupancy in any hotel,
each transient is subject to and shall pay a tax of eight percent (8 %) of the rent
charged by the operator.
The tax constitutes a debt owed by the transient to the city which is extinguished only
by payment to the operator of the hotel at the time the rent is paid. If the rent is paid
in installments, a proportionate share of the tax shall be paid with each installment.
The unpaid tax shall be due upon the transient's ceasing to occupy space in the hotel.
If for any reason the tax due is not paid to the operator of the hotel, the tax
administrator may require that the tax shall be paid directly to the tax administrator."
SECTION 5. Section 3.12.036 of the El Segundo Municipal Code is hereby
deleted in its entirety.
SECTION 6. Sections 3.12.045 and 3.12.160 of the El Segundo Municipal
Code are hereby deleted in their entirety.
SECTION 7. Section 3.12.120(a) of the El Segundo Municipal Code is hereby
approved to read as follows:
"Whenever the amount of any tax, interest or penalty has been overpaid or paid
more than once or has been erroneously or illegally collected or received by the city
under this article it may be refunded as provided in subsection (b) and (c), provided
(i) the tax was paid under protest and, (ii) a claim in writing therefor, stating under
penalty of perjury the specific grounds upon which the claim is founded, is filed with
the tax administrator within one year of the date of payment. The claim shall be on
forms furnished by the tax administrator."
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SECTION 8. Chapter 3.24, entitled "UTILITY USERS TAX," of Title 3 of the El
Segundo Municipal Code is hereby approved to read as follows:
3.24.010 DEFINITIONS. The following words and phrases whenever used in this
ordinance shall -be construed as defined in this section.
(a) "Commr+cial or lrxksbbl Udlity User" shall mean any commercial or industrial
utility user conducting business as described in Chapter 5.08, Business License Schedule,
Sections: 5.08.020, 5.08.078, 5.08.080, 5.08.090, 5.08.140, 5.08.150, 5.08.170, 5.08.180,
5.08.190, 5.08.195, 5.08.220, 5.08.236, 5.08.240, 5.08.360, 5.08.370, 5.08.420, 5.08.440,
5.08.490, 5.08.510, 5.08.520, 5.08.570, 5.08.580, 5.08.585, 5.08.590, 5.08.600, 5.08.640,
5.08.665, and 5.08.670, of the El Segundo Municipal Code; and shall mean "electrical
corporation," "gas corporation," and "water corporation."
(b) "Electrical corporation ", "gas corporation", and "weber corporation" shall have
the same meaning as defined in Section 218, 222 and 241 respectively, of the Public
Utilities Code of the State of California as said sections existed on January 1, 1975,
except "electrical corporation ", shall be construed to include any municipality, franchised
agency, or cogenerator.
(c) 'Tax adTir* trabor'' shall mean the finance director of the City of El Segundo.
(d) "Service supplier" shall mean any entity which receives taxes paid and remits
same as imposed by this chapter.
(e) "Service user'' shall mean a commercial or industrial utility user required to pay
a tax imposed by this chapter.
(f) "Mortf' shall mean a calendar month.
(g) " Cogenerator" shall mean any corporation, including an electrical corporation,
or commercial or industrial utility user employing cogeneration technology for producing
power from other than a conventional power source for the generation of electricity.
3.24.020 EXEMPTIONS. Nothing in this ordinance shall be construed as imposing
a tax upon any person when imposition of such tax upon that commercial or industrial
utility user would be in violation of the Constitution of the United States or that of the
State of California or upon the City or any of its departments, agencies, boards or
commissions or upon the El Segundo Unified School District, Centinela Valley Union High
School District and the Wisebum School District, or upon any other person when
imposition of such tax upon that person would be in violation of the Constitution of the
United States or the Constitution of the State of California. The Tax Administrator shall
prepare a list of the commercial and industrial utility users exempt from the provisions of
this Chapter by virtue of this section and furnish a copy thereof to each service supplier.
3.24.030 ELECTRICITY USERS TAX.
(a) There is hereby imposed a tax upon every commercial or industrial
utility user in the city using electrical energy in the city. The tax imposed
by this section shall be at the rate of three percent (3 %) of the charges
made for such energy and shall be paid by the commercial or industrial
utility user paying for such energy. "Charges," as used in this section, shall
include charges made for: (1) metered energy, and (2) minimum charges
for service, including customer charges, service charges, demand charges,
standby charges and annual and monthly charges, fuel cost adjustments,
etc.
(b) As used in this section, the term "using electrical energy" shall not
be construed to mean the storage of such energy by a person in a battery
owned or possessed by him for use in an automobile or other machinery or
device apart from the premises upon which the energy was received,
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provided however, that the term shall include the receiving of such energy
for the purpose of using it in the charging of batteries; nor shall the term
include electricity used and consumed by an electric utility supplier in the
conduct of its business as an electric public utility; nor shall the term include
the mere receiving of such energy by an electric public utility or
governmental agency at a point within the City of El Segundo for resale; or
the use of such energy in the production or distribution of water by a public
utility or a governmental agency.
(c) The tax imposed by this section shall be collected from the service
user by the person providing such energy. The amount of the tax collected
in one (1) month shall be remitted to the tax administrator on or before the
last day of the following month. Remittance of tax may be predicated on a
formula based upon the payment pattern of the supplier's customer.
3.24.035 TAX ON COGENERATED ELECTRICITY.
(a) There is hereby imposed a tax on every commercial or industrial
utility user in the city using cogenerated electrical energy in the city. The
tax imposed by this section shall be at the rate of three percent (3 %) of the
value of the cogenerated energy. The value shall be equal to the price an
electrical corporation, serving the city, would pay to purchase electrical
energy from a cogenerator. The cogenerator shall install and maintain an
appropriate utility -type metering system which will enable compliance with
this section.
(b) The tax shall be collected and paid by the oogenerator if the
cogenerator consumes the energy. If the cogenerator sells the energy, the
tax shall be paid by the cormrrnercial or industrial utility user to whom the
energy is sold and collected by the cogenerator.
(c) The amount of the tax collected in one (1) month shall be remitted
to the tax administrator on or before the last day of the following month.
3.24.040 GAS USERS TAX.
(a) There is hereby imposed a tax upon every commercial or industrial
utility user in the city other than a Gas Corporation, using in the city, gas
which is delivered through mains or pipes. The tax imposed by this section
shall be at the rate of three percent (3 %) of the charges made for such gas
and shall be paid by the com riercial or industrial utility user paying for such
gas. "Charges," as used in this section, shall include: (1) gas which is
delivered through mains or pipes; (2) minimum charges for services,
including customer charges, service charges, and annual and monthly
charges.
(b) There shall be excluded from the base on which the tax imposed in
this section is computed: (1) charges made for gas which is to be resold
and delivered through mains or pipes; (2) charges made for gas sold for
use in production or distribution of water by a public utility or governmental
agency; (3) charges made by a gas public utility for gas used and
consumed in the conduct of the business of gas public utilities; (4) charges
made for gas used in the propulsion of a motor vehicle, as that phrase is
defined in the Vehicle Code of the State of California, utilizing natural gas;
and (5) charges related to late payments and returned checks.
(c) The tax imposed by this section shall be collected from the service
user by the person selling the gas. The person selling the gas shall, on or
before the 20th of each calendar month, commencing on the 20th day of
the calendar month after the effective date of this part, make a return to the
tax administrator stating the amount of taxes billed during the preceding
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calendar month. At the time such returns are filed, the person selling the
gas shall remit tax payments to the tax administrator in accordance with
schedules established or approved by the tax administrator.
3.24.050 WATER USERS TAX.
(a) There is hereby imposed a tax upon every commercial or industrial
utility user in the city using water which is delivered through mains or pipes.
The tax imposed by this section shall be at the rate of three percent (3 %)
of the charges made for such water and shall be paid by the commercial or
industrial utility user paying for such water.
(b) There shall be excluded from the base on which the tax imposed in
this section is computed charges made for water which is to be resold and
delivered through mains or pipes; and charges made by a municipal water
department, public utility or a county or municipal water district for water
used and consumed by such department, utility or district.
(c) The tax imposed by this section shall be collected from the service
user by the person selling the water. The amount collected in one (1)
month shall be remitted to the tax administrator on or before the last day of
the following month."
3.24.055 TELEPHONE USERS TAX.
(a) There is hereby imposed a tax on the amounts paid for any telephone
communication services by every commercial or industrial utility user in the City
(other than a telephone corporation regulated by the California Public Utilities
Commission) using such services. The tax imposed by this section shall be at the
rate of two percent (2 %) of the charges made for such services and shall be paid
by the commercial or industrial utility user paying for such services.
(b) As used in this section, the term "charges" shall not include charges for ser-
vices paid for by inserting coins and coin- operated telephones except that where
such coin - operated service is furnished for a guaranteed amount, the amounts paid
under such guarantee plus any fixed monthly or other periodic charge shall be
included in the base for computing the amount of tax due; nor shall the words
"telephone communication services" include land mobile service or maritime mobile
services as defined in Section 2.1 of Title 47 of the Code of Federal Regulations,
as said section existed on January 1, 1970. The term "telephone communication
services" shall mean that service which provides access to and use of a telephone
system regardless of the mode of access to or use of the system, but shall not
include equipment provided by the entity providing the service to the service user.
The Telephone Users Tax is intended to, and does, apply to all charges billed to
a telephone account having a situs in the City, irrespective of whether a particular
communication service originates and/or terminates within the City.
(c) The tax imposed by this section shall be collected from the service user by the
entity providing and/or billing for the telephone communication services. The
amount of the tax collected in one (1) month shall be remitted to the Tax
Administrator on or before the last day of the following month.
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(d) Notwithstanding the provisions of subsection (a), the tax imposed under this
section shall not be imposed upon any person for using telephone communication
services to the extent that the amounts paid for such services are exempt from or
not subject to the tax imposed under Division 2, Part 20 of the California Revenue
and Taxation Code, or the tax imposed under Section 4251 of the Internal
Revenue Code.
3.24.060 REPORTING AND REMTTING. Each service supplier shall, on or
before the last day of each month, make a return to the Tax Administrator on forms
provided by him, stating the amount of taxes billed by the service supplier during the
preceding month, except as provided in section 3.24.040 (c) of this chapter. At the time
the return is filed, the full amount of the tax collected shall be remitted to the Tax
Administrator. The Tax Administrator is authorized to require such further information as
he deems necessary to determine if the tax imposed hereby is being levied and collected
in accordance with this chapter.
3.24.070 INTEREST AND PENALTY.
(a) Taxes collected from a service user which are not remitted to the Tax
Administrator on or before the due dates provided in this ordinance are delinquent.
Should the due date occur on a weekend or legal holiday, the return may be
postmarked the first regular working day following a Saturday /Sunday, or legal
holiday.
(b) Penalties for delinquency in remittance of any tax collected or any deficiency
determination pursuant to this chapter shall attach to, and be paid by, the person
required to collect and remit at the rate of fifteen percent of the total tax collected
or imposed by this chapter.
(c) The Tax Administrator is hereby empowered to impose additional penalties
upon persons required to collect and remit taxes under the provisions of this
chapter for fraud or negligence in reporting or remitting at the rate of fifteen percent
of the amount of the tax collected or as recomputed by the Tax Administrator.
(d) Every penalty imposed under the provisions of this section shall become a part
of the tax required to be remitted.
3.24.080 ACTIONS TO COLLECT. Any such tax received from a service user
which has willfully been withheld from the Tax Administrator shall be deemed a debt owed
to the City by the person required to collect and remit. Any person holding such money
contrary to the provisions of this ordinance shall be liable to an action brought in the
name of the City for the recovery of such amount.
3.24.090 DUTY TO COLLECT - PROCEDURES. The duty to collect and remit
the taxes imposed by this ordinance shall be performed as follows:
(a) Notwithstanding the provisions of section 3.24.040 (c), the tax shall be collected
insofar as practicable at the same time as and along with the charges made in
accordance with the regular billing practices of the service supplier. Where the
amount paid by a service user to a service supplier is less than the full amount of
the energy charge and tax which has accrued for the billing period, such amount
and any subsequent payments by a service user shall be applied to the utility
charge first until such charge has been fully satisfied. Any remaining balance shall
be applied to taxes due. In those cases where a Service user has notified the
service supplier of his refusal to pay the tax imposed on said energy charges
section 3.24.110 (c) will apply.
(b) The duty to collect tax from a service user shall commence with the beginning
of the first full regular billing period applicable to the service user where all charges
normally included in such regular billing are subject to the provisions of this
ordinance. Where a person receives more than one billing, one or more being for
LAX2:141505.9 8
different periods than another, the duty to collect shall arise separately for each
billing.
3.24. 100 ADDITIONAL_ POWER AND DUTIES OF TAX ADMINISTRATOR
(a) The Tax Administrator shall have the power and duty, and is hereby directed
to enforce each and all of the provisions of this ordinance.
(b) The Tax Administrator shall have the power to adopt rules and regulations not
inconsistent with provisions of this ordinance for the purpose of carrying out and
enforcing the payment, collection and remittance of the taxes herein imposed. A
copy of such rules and regulations shall be on file in the Tax Administrator's office.
(c) The Tax Administrator may make administrative agreements to vary the strict
requirements of this ordinance so that collection of any tax imposed here may be
made in conformance with the billing procedures of particular service supplier so
long as said agreements result in collection of the tax in conformance with the
general purpose and scope of this ordinance. A copy of each such agreement
shall be on file in the Tax Administrator's office.
(d) The Tax Administrator shall deternine the eligibility of any com ercial or
industrial utility user who asserts a right to exemption from the tax imposed by this
ordinance. The Tax Administrator shall provide the service supplier with the name
of any commercial or industrial utility user who the Tax Administrator determines
is exempt from the tax imposed hereby, together with the address and account
number to which service is supplied to any such exempt commercial or industrial
utility user. The Tax Administrator shall notify the service supplier of the
termination of any commercial or industrial utility user's right to exemption
hereunder, or the change of any address to which service is supplied to any
exempt commercial or industrial utility user.
3.24.110 ASSESSMENT - ADIVINISTRATIVE REMEDY.
(a) The Tax Administrator may make an assessment for taxes not remitted by a
person required to remit.
(b) Wheneverthe Tax Administrator determines that a service user has deliberately
withheld the amount of the tax owed by him from the amounts remitted to a person
required to collect the tax, or that a service user has refused to pay the amount of
tax to such person, or whenever the Tax Administrator deems it in the best interest
of the City, he may relieve such person of the obligation to collect taxes due under
this ordinance from certain named service users for specified billing periods.
(c) The service supplier shall provide the City with amounts refused and/or unpaid
along with the names and addresses of the service users neglecting to pay the tax
imposed under provisions of this ordinance. Whenever the service user has failed
to pay the amount of tax for a period of two or more billing periods, the service
supplier shall be relieved of the obligation to collect taxes due.
(d) The Tax Administrator shall notify the service user that he has assumed
responsibility to collect the taxes due for the stated periods and demand payment
of such taxes. The notice shall be served on the service user by handing it to him
personally or by deposit of the notice in the United States mail, postage prepaid
thereon, addressed to the service user at the address to which billing was made
by the person required to collect the tax; or, should the service user have changed
his address, to his last known address. If a service user fails to remit the tax to
the Tax Administrator within fifteen (15) days from the date of the service of the
notice upon him, which shall be the date of mailing if service is not accomplished
in person, a penalty of twenty -five percent (25 %) of the amount of the tax set forth
in the notice shall be imposed, but not less than $5.00. The penalty shall become
part of the tax herein required to be paid.
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3.24.120 RECORDS. It shall be the duty of every person required to collect and
remit to the City any tax imposed by this ordinance to keep and preserve, for a period of
three (3) years, all records as may be necessary to determine the amount of such tax as
he may have been liable for the collection of a remittance to the Tax Administrator, which
records the Tax Administrator shall have the right to inspect at all reasonable times.
3.24.130 REFUNDS.
(a) Whenever the amount of any tax has been overpaid or paid more than once
or has been erroneously or illegally collected or received by the Tax Administrator
under this ordinance, it may be refunded as provided in subsections (b) and (c) of
this section, provided (i) the tax was paid under protest and, (ii) a claim in writing
therefor, stating under penalty of perjury the specific grounds upon which the claim
is founded, is filed with the Tax Administrator within one year of the date of
payment. The claim shall be on forms furnished by the Tax Administrator.
(b) Notwithstanding the provisions of subsection (a) of this section, a service
supplier may claim a refund or take as credit against taxes collected and remitted
the amount overpaid, paid more than once, or erroneously or illegally collected or
received when it is established that the service user from whom the tax has been
collected did not owe the tax; provided, however, that neither a refund nor a credit
shall be allowed unless the amount of the tax so collected has either been
refunded to the service user or credited to charges subsequently payable by the
service user to the person required to collect and remit. A service supplier that
has collected any amount of tax in excess of the amount of tax imposed by this
ordinance and actually due from a service user, may refund such amount to the
service user and claim credit for such over - payment against the amount of tax
which is due upon any other monthly returns, provided such credit is claimed in a
return dated no later than one (1) years from the date of overpayment.
(c) No refund shall be paid under the provisions of this section unless the claimant
establishes his right thereto by written records showing entitlement thereto.
(d) Notwithstanding other provisions of this section, whenever a service supplier,
pursuant to an order of the California Public Utilities Commission or a court of
competent jurisdiction, makes a refund to service users of charges for past utility
services, the taxes paid pursuant to this ordinance on the amount of such refunded
charges shall also be refunded to service users, and the service supplier shall be
entitled to claim a credit for such refunded taxes against the amount of tax which
is due upon the next monthly returns. In the event this ordinance is repealed, the
amounts of any refundable taxes will be bome by the City.
(e) A service supplier may refund the taxes collected to the service user in
accordance with this section or by the service supplier's customary practice.
3.24.140 REDUCTION OF UTILITY USERS TAX BASED ON SALES TAX
RECEIPTS. Whenever in this Title a utility users tax is imposed on any person subject
to the utility users tax, the amount of the utility users tax shall be reduced proportionately
whenever the preceding fiscal year exceeds the limit determined by the formula in
subsection (a) of this section.
(a) The sales tax limit which will trigger a reduction in the utility users tax shall be
equal to eighty percent of the sales tax revenue received in the 1979 -80 fiscal year
multiplied by the appropriations limit established annually since 1980 - 81 under
the provisions of Article XIIIB of the California constitution.
(b) In any year in which sales tax revenue exceeds the limit established in
subsection (a) of this section, the utility users tax imposed the following July 1,
shall be reduced by the percentage that revenue exceeds the limit.
LAX2:141505.9 1 O
-:\.� \ .,515.9
3.24.150 UTILITY USERS ACCOUNT. The Tax Administrator shall establish a
"Utility Users Tax Account" within the General Fund and shall place therein any and all
taxes collected under this ordinance which are in excess of the amounts needed to
balance the adopted General Fund budget during any one fiscal year.
3.24.160 ANNUAL REVIEW.
(a) Each year in conjunction with the annual budget deliberations and prior to
September 30, the City Council shall reconsider the provisions and rate of the
utility users tax as well as any taxes that may have been placed in the utility users
tax account as provided in 3.24.150 during the preceding and current fiscal years.
Notwithstanding the provisions of section 3.24.140, the Council may reduce or
suspend all or a part of the tax rate for the current fiscal year; or may provide no
tax on one or more utilities for the current fiscal year.
(b) The City will give the service supplier at least one month's notification prior to
any requested change in the utility users tax percentage."
SECTION 9. The sunset date of July 1, 1991 contained in Section 4 of Ordinance
No. 1116 which provided that the utility users tax imposed by Chapter 3.24 of Title 3 of
the El Segundo Municipal Code shall terminate on that date is hereby deleted and said
Chapter 3.24 of the El Segundo Municipal Code shall continue in full force and effect
beyond that date until such time as it shall be rescinded by the City Council.
SECTION 10. Section 5.04.020 of Chapter 5.04 of Title 5, entitled "BUSINESS
REGULATIONS AND LICENSING," of the El Segundo Municipal Code is hereby
approved to read as follows:
"5.04.020 FEE DEEMED TAX - ESTABUSHED BY RESOLUTION. The fees
provided for in this Title 5 are exclusively a tax imposed for revenue purposes and
imposed only with the intent of the city to have each commercial activity, as herein
provided, sustain its just share of the burden or expense of local government, and defray
the costs of administration of this Title 5.
SECTION 11. Section 5.04.100 of Title 5 of the El Segundo Municipal Code is
hereby approved to read as follows:
"5.04.100 STATEMENT FILING (VIOLATION PENALTY). In all cases, the amount
of Business License Fee to be paid under the provision of this title, by any person, is
based upon the number of persons employed, or upon the number of square feet of floor
space, or upon square acre of space owned, leased, or rented, or upon the number of
vehicles used, or upon the number of machines or other devises used for any business,
enterprise, game or activity, or upon the number of rooms or units in any building or
structure.
Before any person can obtain a Business License renewal, and prior to January 31 of
each year, that person must file a Business License Renewal Application signed under
penalty of perjury that all infomration is true, with the Finance Director for guidance in
ascertaining the amount the person is required to pay or deposit, and provide the
following information: the number of employees employed by the person, or upon the
number of square feet of floor space, or upon square acre of space owned, leased, or
rented, or the number of vehicles used, or the number of machines or other devices used
for any business, enterprise, game or activity by the person, or the number of rooms or
units contained in the building or structure, for the quarters in the calendar year during
Mich the person was, or will actually be doing business in the City of El Segundo.
If a business is seeking its initial El Segundo Business License, that business shall, within
the first five (5) days of business activity (or upon a timely written request, the Finance
Director may grant an extension of time not to exceed thirty (30) calendar days), file a
Business Registration Application, signed under penalty of perjury that all information is
LAX2:141505.9 1 1
true, with the Finance Director for guidance in ascertaining the amount the business is
required to pay or deposit, showing the number of employees employed by the business,
or upon the number of square feet of floor space, or upon square acres of space owned,
leased, or rented, or the number of machines or other devices used for any business,
enterprise, game or activity by the business, or the number of rooms or units contained
in the building or structure, for the quarters in the calendar year during which they will
actually be doing business in the City of El Segundo.
Each person subject to any tax in this Title shall retain records documenting the
information upon which any applicable tax is calculated and which shall support the
calculation of tax reflected on that person's return. Unless a subcontractor of a taxpayer
has a valid City Business License, said records shall include records of the taxpayer's
subcontractors and the taxpayer shall be held responsible for the failure of any of its
subcontractors to maintain records necessary to calculate any tax under this title. Said
records shall be kept for three (3) years from the date upon which the tax to which the
records related was due. Where no records are available or those available are
insufficient to calculate the tax due hereunder, the City shall have the authority to
determine the tax due. Upon fifteen (15) days notice (or upon a timely written request,
the Finance Director may grant an additional extension of time, not to exceed fifteen (15)
calendar days), a taxpayer or any business which the City contends should pay tax, must
make available to the City, within the City of El Segundo, all records requested by the City
relating to said tax.
No statement shall be conclusive upon the City, or upon any officer thereof, as to the
matters therein set forth, or otherwise, and the same shall not prejudice the right of the
City to recover any amount that may be ascertained to be due from the person, in
addition to the amount shown by the statement to be due, in case the statement should
be found to be incorrect.
If any person required by this section to provide information fails to do so, the person
shall be required to pay a penalty of fifty dollars ($50) per day if the business employs ten
(10) or less employees or one - hundred dollars ($100) per day if the business employs
more than ten (10) employees until such time as the information required by this section
is properly filed with the Finance Director. That person shall be guilty of a violation of this
chapter which shall be punishable as provided in this chapter."
SECTION 12. Section 5.04.110 of Title 5 of the El Segundo Municipal Code is hereby
approved as follows:
"5.04.110 APPEAL PROCEDURE; BUSINESS CLASSIFICATION METHOD. Any
applicant for a Business License under this title, or any licensee hereunder, may appeal
the amount of any tax, interest or penalty that has been overpaid or paid more than once
or has been erroneously or illegally collected or received by the city under this Title 5, in
the manner provided herein. Within 10 days of the provision of an interpretation of this
Title 5, or of an opinion concerning Title 5 from a license inspector, auditor, or designated
City official, any party affected thereby may pay the tax so assessed under protest and
request a hearing before the Finance Director or histher designee. Said hearing shall be
held within 30 days from the date of the first appeal and a final decision shall be rendered
at the hearing. Within 10 days from the date of the hearing, an appeal of the Finance
Director's decision may be filed with the City Council. Within 30 days from the date of the
filing of the second appeal, the matter shall be scheduled for hearing with the City
Council. However, appeal to the City Council may only be made when the dispute
concerns the accuracy of calculation of the amounts due, or the facts upon which a tax
assessment is based.
A claim appealing the final decision of the Finance Director or of the City Council
may be filed in writing, stating under penalty of perjury the specific grounds upon which
the claim is founded, provided such claim is filed with the Finance Director within one year
of the date of payment.
LAM :141505.9 12
If the full amount of the tax and any penalty and interest due is not paid, there shall
be no rights of appeal, and penalty and interest shall continue to run.
Any appeal rights provided for herein are lost if the procedures set forth herein are
not fully complied with and if the appeal is not made in writing with the Finance
Department within the time specified herein."
SECTION 13. Section 5.04.125 of Title 5 of the El Segundo Municipal Code is
hereby approved to read as follows:
5.04.125 INVESTIGATION, INSPECTION AND FEE. Notwithstanding any
provisions of this title, when, in the discretion of the licensing authority, it shall be deemed
necessary, an application for a business license or permit, or renewal thereof, shall be
forwarded to the appropriate departments of the city, including, but not limited to, city
manager, city attorney, police department, fire department, and development services
department for investigation and/or inspection.
The appropriate departments shall conduct any investigation and/or inspection to
determine whether said license or permit should be issued in accordance with the
appropriate provisions of the El Segundo Municipal Code. A period of not less than 30
days shall be allowed for the purpose of conducting said services.
In addition to the applicable licensing and permit fees all investigation and inspection fees
shall be due and payable at the time the application is filed."
SECTION 14. Section 5.04.220 of Title 5 of the El Segundo Municipal Code is hereby
approved in its entirety to read as follows:
'TITLE 5 - BUSINESS REGULATIONS AND LICENSING
5.04.220 PENALTIES AND INTEREST. A license for a business from other than
a fixed place of business within the City is due and payable upon the first day of business
activity, and delinquent thereafter.
A license for a new business with a fixed place of business within the City is due and
payable upon the first day of business activity, and delinquent five (5) days thereafter.
A license for a business previously licensed, or doing business in the City during the prior
tax year from a fixed place of business, is due and payable the first day of January, and
delinquent the first day of February.
(a) Interest Any person who fails to pay any tax required to be paid by this title shall
pay interest at the rate of one percent (1 %) per month, or fraction thereof, on the
amounts of the tax, exclusive of penalties, from the date on which the tax first
became delinquent until paid. Interest shall run during any period of time for which
an extension of time has been granted by the City for payment of the tax. Interest
required by any of the provisions of this title shall not be subject to waiver or
compromise except as the City Council may direct. Said interest shall not be
compounded, but shall be on principal only.
(b) Penalties. Al taxes imposed by this title shall be subject to the following penalties.
(1) Delinquency. Any person who fails to pay any tax, or any fraction thereof
required to be paid by this title within the time required, shall pay a penalty
of twenty percent (20 %) per month of the amount of the unpaid tax. Such
penalty shall not exceed 100% of the tax for any calendar year for each
year that the tax is unpaid. This penalty shall accrue on the first day of
each calendar month for which the tax remains unpaid.
(2) Fraud If the City official administering the tax, after notice to taxpayer and
hearing determines that the nonpayment of any tax due under this chapter
LAX2 :141505.9 13
d.�:\�\ «505.9
is due to fraud, a penalty of ninety percent (90 %) of the amount of the
unpaid tax shall be added thereto, in addition to any other penalties set forth
in this section. Where, after notice and hearing to the taxpayer, the City
determines that a corporate director, officer, or shareholder is responsible
for the fraud resulting in the nonpayment of the tax of a corporation, the City
may designate the tax, interest, and penalties unpaid, including the penalty
provided for in this subsection due to said fraud as a personal debt of said
director, officer, or shareholder.
(3) Merger of Interest and Penalties. Such interest as is accrued, and every
penalty imposed under the provisions of this section, shall become a part
of the tax required to be paid under this title.
(4) Penalties on Principle. All penalties imposed hereunder shall be calculated
on principle only, and shall not be compounded."
SECTION 15. Section 5.04.222 of the El Segundo Municipal Code is hereby
approved to read as follows:
"5.04.222 CREDIT FOR PENALTIES PAID.
A credit against the Business License Tax for past penalties paid shall be granted
beginning with the tax due in January, 1992, to be calculated and administered as follows:
(a) For The Tax Due January 1, 1992
Any taxpayer who has been assessed and has, by September 10, 1991, paid a
penalty for the tax year 1989 and/or 1990 and/or 1991, shall receive a credit in a sum
equal to fifty percent (50 %) of the penalty paid, to be applied against the Business
License Tax due in January 1, 1992 and years thereafter. Said credit shall only be
effective if the entire tax (less the credit) is paid before February 1, 1992. As provided
for in (c) below the credit granted hereunder may be carried over from year to year until
exhausted.
(b) For Subsequent Tax Years
Any taxpayer who has been assessed a penalty and paid that penalty by
September 30 in the year prior to the January 1 a tax is due, may claim a credit against
that tax in the amount of 50% of said penalty paid if the tax (less the credit) is paid before
February 1 of the year in which the tax is due.
(c) For All Tax Years
City staff shall calculate the credit granted hereunder and reflect the amount of said
credit upon tax statements mailed to taxpayers.
No tax, to which the credit granted hereunder is applied, shall be reduced by said
credit to less than 50% of the amount due before application of the credit, in any tax year.
However, where the amount of the credit exceeds 50% of the tax due in any given year,
the unused balance of the credit may be carried over to future tax years and applied to
the tax then due so long as the full amount of the tax (less the credit) is paid by February
1st of the year in which the tax is due."
SECTION 16. Section 5.04.265 of Title 5 of the El Segundo Municipal Code is
hereby approved to read as follows:
"5.04.265 CONFIDENTIALITY OF TAX RECORDS. The City shall retain as
confidential all tax statements, returns and receipts submitted or provided under this Title,
any records required to be submitted by a taxpayer hereunder and any business data
disclosed to the City as a result of any tax audit hereunder."
LAM :141505.9 14
SECTION 17. Section 5.04.270 of Title 5 of the El Segundo Municipal Code is
hereby approved to read as follows:
"5.04.270 RECORD KEEPING AND AUDITS. Each person subject to any tax in
this Title shall retain records documenting the information upon which any applicable tax
is calculated and which shall support the calculation of tax reflected on that person's
return. Said records shall include records of the taxpayer's subcontractors. The taxpayer
shall be held responsible for the failure of any of its subcontractors to maintain records
necessary to calculate any tax under this Title. Said records shall be kept for three (3)
years from the date upon which the tax to which the records relate is due. Where no
records are available or those available are insufficient to calculate the tax due hereunder,
the City shall have the authority to determine the tax due. Upon five (5) working days
notice, a taxpayer or any business which the City contends should pay tax, must make
available to the City at City Hall in El Segundo all records requested by the City relating
to said tax. Failure to do so may result in a fine of two hundred dollars ($200) for every
day, beyond the notice period, for which the person fails to comply."
SECTION 18. Section 5.08.019 of the El Segundo Municipal Code is hereby
approved to read as follows:
"5.08.019 TAX REDUCTION. Notwithstanding any other provision of Title 5 of the
El Segundo Municipal Code, the amount of a business license tax imposed on any
business by the said Title 5 of the El Segundo Municipal Code shall be reduced by ten
percent (10 %) and the remainder of such tax shall be reduced by an additional five
percent (5 %)."
SECTION 19. Section 5.08.020 of the El Segundo Municipal Code is hereby
approved as follows:
"5.08.020 BUSINESS GENERALLY. Every person engaged in a business not
specifically mentioned or classified in this chapter shall pay a license fee in accordance
with the following schedule:
(a) A basic fee of one hundred and three dollars ($103) per year, which
shall cover the first ten (10) employees and one hundred twenty seven
dollars ($127) per year for each employee in excess of ten employees; and
(b) In addition, each such person shall pay a fee of twenty -five cents
($0.25) per square foot of floor area occupied for a business purpose in
excess of 5,000 square feet. A fee of ten cents ($0.10) per square foot
shall be imposed on vacant space available for rent or lease for business
purposes, said fee to be payable by the person with the right to possession
of the property; and
(c) In addition, each such person shall pay eleven dollars ($11.00) per
year for each additional business location within the city.
(d) Notwithstanding the foregoing, a credit shall be granted against the
tax imposed by this section whenever a business subject to the tax imposed
by this chapter generates sales and/or use tax in the year immediately
preceding the year in which the tax is due. The credit shall be applied to
the business registration tax due for the following year. The credit shall be
equal to fifty percent (50 %) of the portion of the sales and/or use tax
generated which was awarded to the City of El Segundo during the twelve
month period ending on the June 30th preceding the date the tax is due.
However, the amount of said credit shall under no circumstances be
calculated to be greater than the total amount of tax due.
(e) Notwithstanding the foregoing, a business which increases the amount of sales
and use tax revenue received by the City from the business or its activities above
its baseline, as defined hereunder, shall receive a credit to the business license tax
=:141505.9 15
imposed under this chapter equal to the dollar amount of the increase above the
baseline. The amount of business license tax credit shall be determined annually
and is subject to approval by the City Manager. Said credit shall be applied to the
business license tax owed in the next fiscal year only; provided that, in no event,
shall the credit exceed the amount of business license tax owed.
(1) For the purposes of this subsection, the "baseline" for a business shall
be calculated as follows.
(i) For the first fiscal year in which a credit is granted, the "baseline"
shall equal the sum of sales and use tax received by the City from
the business and its activities and the business license tax imposed
by the City in the prior fiscal year.
(ii) For each subsequent fiscal year, the baseline amount
established under subsection (i) above shall be recalculated as
follows: the sales and use tax component of the baseline shall be
adjusted to reflect any increase from the prior fiscal year in the
consumer price index as established in the report of consumer prices
for all urban consumers for the Los Angeles - Anaheim - Riverside
Standard Metropolitan Statistical Area. Said adjustment shall be
based on the most recent month for which such price index figure is
available on the date the adjustment is calculated. The business
license tax component of the baseline shall be recalculated to equal
the amount of business license tax imposed on the business under
the fee schedule in effect at the time the recalculation is made,
including any automatic increase established under this Code;
provided, that, in no event, shall the amount of business license tax
be less than the amount under subsection (i) above.
(2) A business in not eligible to receive any business license tax credits
under this subsection (e) while the business is receiving a business license
tax credit under Section 3.06.040 of this Code.
(3) The business license tax credit established under this subsection (e)
shall be known as the business Relation Program of the City."
For the purpose of this section, the term "employee" shall mean any person employed by
the business and shall include an independent contractor and persons employed by the
independent contractor, unless the independent contractor and/or persons employed by
the independent contractor has a valid City of El Segundo business license as prescribed
in Chapters 5.04 and 5.08 of the El Segundo Municipal Code.
The total number of employees for each business for purposes of this section shall be
determined by averaging the total number of employees employed by each business
during each of the four calendar quarters preceding the date the tax is paid.
For the purpose of this section, "floor area" means the total floor space in terms of square
footage occupied by owner, lessee or renter in a building except:
1. Elevator shafts;
2. Stairwells;
3. Courts or atrium, uncovered and open to the sky;
4. Rooms exclusively housing building operating equipment; and
5. Parking areas."
SECTION 20. Section 5.08.021 of Title 5 of the El Segundo Municipal Code is
hereby approved to read as follows:
LAX2 :141505.9 16
"5.08.021 NEW BUSINESSES.
a. Initial Tax Any business not specifically mentioned or classified in this chapter
which is locating, or doing business in the City of El Segundo for the first time
shall, before receiving a Business License from the City, pay the tax imposed by
Section 5.08.020. The amount of said tax shall be calculated based upon the
taxpayer's best estimate of the average quarterly number of employees, square
feet, and business locations which the business will have within the City the
remainder of that calendar year.
b. A usbmnt Each new business shall, upon renewal of its Business License
in the first full year following the year it began doing business in the City of El
Segundo, be subject to an adjustment. This adjustment shall be based upon the
difference between the estimates of employees, and square feet occupied supplied
by the business to the City at its initial application, and the actual average quarterly
number of employees, and square feet, and business locations which the taxpayer
had during its initial year of doing business in the City. The Finance Director shall
recalculate this initial tax based upon these actual figures and, if the resulting
amount is greater than the actual tax paid by the taxpayer in the preceding year,
shall impose a surcharge to be collected at the same time, and in the same way
as the renewal tax. If the actual tax is less than the initial tax, the Finance Director
shall apply a credit against the renewal tax in the amount of the difference."
SECTION 21. Section 5.08.025 of Title 5 of the El Segundo Municipal Code is
hereby approved to read as follows:
"5.08.025 REFUND OF TAX ON PROPERTY AVAILABLE FOR RENT OR
LEASE.
A. Any taxpayer who has paid the tax for property available for rent or lease
imposed by Section 5.08.020(b) herein, who leases all or any part of the property
by June 30 of the year in which the tax was due and paid, and the new occupant
has paid a square footage tax for its occupancy, shall be entitled to a refund up
to 100 %.
B. If all or any part of the property is rented by December 31 of the year in
which the tax is paid, and the new occupant has paid a square footage tax for its
occupancy, the taxpayer shall receive a refund up to 50 %.
C. It shall be the responsibility of the taxpayer to apply for the refund
authorized herein, and to demonstrate to the satisfaction of the Finance Director
that the prerequisites to receipt of the refund have been satisfied."
SECTION 22. The following sections of Title 5, Chapter 5.08 are hereby approved
to read as follows:
"5.08.030 ADVERTISING (BILLBOARDS OR SIGNBOARDS). Every person
engaged in the business of contracting, maintaining, using, or leasing billboards or
signboards, or posting, sticking, tacking, or affixing or painting bills or signs, or both upon
the same, shall pay a Business License Tax of fifty dollars ($50) per annum for each such
billboard or signboard.
5.08.040 ADVERTISING (LIGHTS). Every person advertising by means of
portable searchlights, or arc lights, or light producing apparatus or equipment, shall pay
a Business License Tax of thirty dollars ($30) per quarter. The license shall be subject
to compliance with all requirements of the traffic ordinances and regulations of the City.
5.08.050 ADVERTISING (VEHICLE SIGNS). Every person advertising by means
of portable signs mounted on vehicles, when not in connection with any business licensed
under Section 5.08.060, shall pay a Business License Tax of one hundred three dollars
LAX2:141505.9 1
3.:.: \.x \141505.5
($103) per year. The license shall be subject to compliance with all requirements of the
traffic ordinances and regulations of the City.
5.08.060 ADVERTISING (SOUND TRUCKS). Every person advertising by means
of sound trucks, portable loudspeakers, or sound-producing apparatus or equipment, shall
pay a Business License Tax of one hundred three dollars ($103) per year. The license
shall be subject to compliance with all requirements of the traffic ordinances and
regulations of the City.
5.08.070 AGENTS, SOLICITORS, AND SALESMEN. Agents, solicitors, and
salesmen selling or soliciting, or taking orders for the sale or furnishing of any paintings,
pictures, portraits, photographs, orders for advertising or for any goods, wares,
merchandise, or service at retail not otherwise provided for herein, when not in connection
with any fixed place of business within the City licensed under this title, shall pay a
Business License Tax of sixty dollars ($60) per day, or two hundred dollars ($200) per
year for each agent, salesman, or solicitor. All such sales, solicitations and/or order
taking are prohibited between the hours of six p.m. (6:00 PM) and eight a.m. (8:00 AM).
5.08.078 AMUSENENT CENTER An amusement center is defined as any place
to which the public is admitted or invited, where eight (8) or more coin- operated
amusement machines are maintained, operated or available for operation.
Every person operating an amusement center shall pay a Business License Tax of four
hundred dollars ($400) per year.
It is unlawful for any person to establish, maintain, conduct, or keep open any amusement
center, as defined in this section, within the corporate limits of the City without first having
obtained a permit, in writing, from the Finance Director. In any application for an
amusement center the Finance Director may require, in addition to other information, that
the applicant furnish the infomnation necessary to enable the Chief of Police to make an
investigation of any prior criminal activity of the applicant, or any operator of the
amusement center.
After an investigation by the Chief of Police, the Finance Director shall approve the
application for the amusement center permit, or renewal of such permit if he finds:
(1) A completed written application form has therefore been filed; and
(2) The required license fee has therefore been paid to the City Treasurer;
and
(3) As a result of his investigation, all applicable provisions of this section
with regard to such permit application have been met; and
(4) That the operation by the applicant will be carried on in a building,
structure, and location which complies with and meets all of the health,
zoning, fire, building and safety requirements, and standards of the laws
of the State of California and this Code applicable to such business
operation; and
(5) That the applicant, his employee, agent, or any person connected, or
associated with applicant as a partner, director, officer, stockholder,
associate, or manager, has not been convicted in a court of competent
jurisdiction by final judgment of an offense involving the maintenance of a
nuisance, in connection with the same or similar business operation; and
(6) That the business is not a public nuisance, or has not been a public
nuisance at any time within the last five (5) years; and
(7) That the applicant, his employee, agent, or any person connected, or
associated with applicant as partner, director, officer, stockholder,
LAX2 :141505.9 18
associate, or manager, has not knowingly made any false, misleading, or
fraudulent statement of a material fact in the application for a permit, or
in any report or record required to be filed with the Chief of Police; and
(8) That the applicant has not had a similar type permit previously revoked
for good cause within the past year, unless the applicant has shown a
material change in circumstances since the date of revocation.
5.08.080 AMUSEMENTS GENERALLY. Every person operating a business
where an admission, fare, or fee is charged or made, or a collection or contribution is
received (and which are not otherwise provided for in this chapter) for entrance to
amusements, such as exhibitions, shows, games, rides, tent performances, merry-go-
rounds, carousels, shoot- the-chutes, shooting galleries, Ferris wheels, pig slides, ball
games, dart games, roller coasters, grunt derbies, whip rides, scooter rides,
sideshows, illusions and other amusements, or concessions similar in character to
those, or any of those hereinabove named, shall pay a Business License Tax of
twenty dollars ($20) per day, or two hundred dollars ($200) per month, and shall obtain
a special perrnit from the City Council to do so prior to engaging in such activities.
The City Council may condition such permit in any manner not prohibited by law.
5.08.085 APARTMENT HOUSE AND APARTMENT HOUSE COW FXFS.
For the purpose of this section, an apartment house complex is defined as two (2) or
more individual buildings containing dwelling units located upon the same property, or
on contiguous property under the same ownership.
Every person owning apartment houses, or apartment house complexes, shall pay a
Business License Tax of thirty dollars ($30) per year for up to the first three (3)
dwelling units; and ten dollars ($10) per year for each additional dwelling unit;
provided, however, that the dwelling units used in computing the obligation to pay the
Business License Tax shall be the dwelling units rented or leased, and the dwelling
units held for rent or lease shall not include a dwelling unit occupied by the owner.
5.08.090 AUTOMOBILE AND TRUCK WRECKING OR DISMANTLING. Every
person engaging in the business of automobile, truck wrecking or dismantling, and/or
operating an automobile, truck wrecking or dismantling yard, and/or outdoor yard of
similar character, shall pay a Business License Tax of four hundred dollars ($400) per
year, and shall obtain a special permit from the City Council to do so prior to engaging
in such activities. The City Council may condition such permt in any manner not
prohibited by law.
5.08.130 BANKRUPT STOCK AND FIRE SALES. Every person conducting
bankrupt stock sales, fire sales, damaged goods sales, and sales of similar character
(not at auction), shall pay a Business License Tax of thirty -six dollars ($36) per month,
one hundred and twenty dollars ($120) per quarter, or four hundred dollars ($400) per
year, and shall obtain a special permit from the City Council to do so prior to engaging
in such activities. The City Council may condition such permit in any manner not
prohibited by law.
5.08.140 BARBERSHOPS. Every person operating a barbershop shall pay a
Business License Tax of one hundred three dollars ($103) per year.
5.08.150 BEAUTY PARLORS. Every person operating a beauty parlor and
similar businesses shall pay a Business License Tax of one hundred three dollars
($103) per year.
5.08.170 BIWARD AND POOLROOMS. Every person operating a billiard
room and/or poolroom shall pay a Business License Tax of one hundred three dollars
($103) per year, which shall include the right to sell cigars, tobacco, soft drinks,
chewing gum, and confections, subject to first obtaining a special permit as provided
by Sections 5.28.010 and 5.28.020.
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5.08.180 BOWLING ALLEYS. Every person operating a bowling academy
bowling alley, bowling center, or similar business shall pay a Business License Tax of
one hundred three dollars ($103) basic, plus four dollars ($4) per lane per year. A
license granted under this section shall include the right to sell bowling equipment,
paraphernalia, and bowling apparel, but shall not include the right to conduct a cafe,
restaurant, lunch counter, or refreshment, or confectionery stand or concession, or any
other type of business, except as specifically authorized above.
5.08.195 CHEMICAL, PETROLEUM, CEMENT OR CRYOGENIC PRODUCTS;
SMELTERS OR REFINERIES. Every person owning or operating a business
engaged in the processing or manufacturing of chemical, petroleum, cement or
cryogenic products; and every person owning or operating a business engaged in
smelting or refining shall pay a business license fee in accordance with the following
schedule:
(a) A basic fee of one hundred and three dollars ($103) per year
which shall cover the first ten (10) employees;
(b) One hundred twenty -seven dollars ($127) per year for each
employee in excess of ten (10) employees;
(c) One thousand five- hundred thirty -one dollars ($1,531) per year per
square acre of space owned, leased or rented for the purpose of
producing, manufacturing or processing chemical, petroleum, cement or
cryogenic products; or for the purpose of smelting or refining;
(d) Thirty -six dollars ($36) per year for each vehicle in excess of six
thousand pounds (gross vehicle weight) owned or operated in the
conduct of the business;
(e) Eleven dollars ($11) per year for each additional business location
within the city.
(f) Notwithstanding the foregoing, a credit shall be granted against
the tax imposed by this section whenever a business subject to the tax
imposed by this chapter generates sales and/or use tax in the year
immediately preceding the year in which the tax is due. The credit shall
be applied to the business registration tax due for the following year.
The credit shall be equal to fifty percent (50 %) of the portion of the sales
and/or use tax generated which was awarded to the City of El Segundo
during the twelve month period ending on the June 30th preceding the
date the tax is due. However, the amount of said credit shall under no
circumstances be calculated to be greater than the total amount of tax
due.
(g) Any person subject to this section paying a delinquent utility user tax or a
tax concerning which, in the opinion of the City Manager, a Good Faith dispute
exists may enter into a settlement agreement to be ratified by the City Council
which entitles the taxpayer to a credit equal to 75% of the paid delinquent or
disputed utility user tax (excluding penalties and interest). Said credit must be
applied within three years from the date of payment. The maximum credit to be
applied against the business license tax in any year shall not exceed one -third
(1/3) of the total credit available hereunder.
5.08.200 CHRISTMAS TREE SALES. Every person engaged in the business
of Christmas tree sales shall pay a Business License Tax of fifty dollars ($50) per
year.
5.08.210 CIRCUS, WILD WEST SHOW OR SIDESHOW. Every person
operating a circus or wild west show, not including any sideshows, shall pay a
Business License Tax for the first day of two hundred dollars ($200), and one hundred
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three dollars ($103) per day thereafter. A sideshow shall pay a Business License Tax
of one hundred three dollars ($103) per sideshow for the first day, and fifty dollars
($50) per sideshow per day for each day thereafter. Every such person shall obtain a
special permit from the City Council to operate such circus, wild west show, or
sideshow, prior to engaging in such activities. The City Council may condition such
permit in any manner not prohibited by law.
5.08.220. LUNBER YARD, BUILDING MATERIAL YARD, JUNK YARD, AND
NURSERIES. Every person owning or operating a business engaged in the sale of
lumber, building material, or operation of a building material wrecking yard,
secondhand building material yard, junk yard, or outdoor yard of similar character or
wholesale or retail nursery shall pay a Business License Tax, in accordance with the
following schedule:
(a) A basic fee of one hundred three dollars ($103) per year which shall
cover the first ten (10) employees;
(b) One hundred twenty -seven dollars ($127) per year for each employee in
excess of ten (10) employees;
(c) One thousand five hundred thirty -one dollars ($1,531) per year per
square acre of space owned, leased, or rented for the purposes set forth
above;
(d) Thirty -six dollars ($36) per year for each vehicle in excess of 6,000
pounds (gross vehicle weight) owned or operated in the conduct of
business;
(e) Eleven dollars ($11) per year for each additional business location within
the City;
(f) Notwithstanding the foregoing, a credit shall be granted against the tax
imposed by this section whenever a business subject to the tax imposed
by this Chapter generates sales and/or use tax in the year immediately
preceding the year in which the tax is due. The credit shall be applied to
the business registration tax due for the following year. Credit shall be
equal to 50% of the portion of the sales and/or use tax generated which
was awarded to the City of El Segundo during the 12 month period
ending on the June 30 preceding the date the tax is due. However, the
amount of said credit shall under no circumstances be calculated to be
greater than the total amount of tax due.
5.08.230 COIN - OPERATED VENDING MACHINES (PERSONS NOT
PRIMARILY ENGAGED IN THE BUSINESS OF RENTING, LEASING OR
OPERATING THE SANE). Every person not primarily engaged in the business of
renting, leasing, or operating coin- operated vending machines for which a license is
required by Section 5.08.235, who places, maintains, and operates, or offers for
operation, a vending machine or machines, or a vending device or vending devices
which vends or delivers merchandise of any character, or provides a service for which
the coin or coins are inserted, shall pay a Business License Tax of fifty dollars ($50)
per year per vending machine or vending device.
This section shall not apply to Sections 5.08.236, 5.08.237 and 5.08.238.
5.08.235 COIN -OPERATED DEVICES (PERSONS ENGAGED IN THE
BUSINESS OF RENTING, LEASING OR OPERATING THE SANE). Every person
engaged in the business of renting, leasing, or operating coin -operated vending
machines, shall pay a Business License Tax of one hundred and fifty dollars ($150)
per year.
This section shall not apply to Sections 5.08.236, 5.08.237 and 5.08.238.
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5.08.236 COIN - OPERATED DEVICES (AUTOMATIC LAUNDRY AND DRY
CLEANING ESTABLISHMENTS). Every person engaged in the laundry and dry
cleaning business where coin- operated laundry and dry cleaning machines are used in
the operation of the business, and which are not preempted by Section 16002.2 of the
Business and Professions Code, shall pay a Business License Tax of two dollars ($2)
per year per machine; provided, however, that the Business License Tax shall not be
less than one hundred three dollars ($103) per year.
5.08.237 COIN - OPERATED AUTOMATIC WASHERS AND DRYERS
(PERSONS NOT PRIMARILY ENGAGED IN RENTING, LEASING, OR OPERATING
THE SAME). Every person not primarily engaged in the business of renting, leasing,
or operating coin- operated automatic washers and dryers who places, maintains, and
operates, or offers for operation automatic washers and dryers for which coins are
inserted, shall pay a Business License Tax of two dollars ($2) per year per machine.
5.08.238 COIN-OPERATED AUTOMATIC WASHERS AND DRYERS
(PERSONS ENGAGED IN THE BUSINESS OF RENTING, LEASING OR
OPERATING THE SAME). Every person renting, leasing, or operating coin- operated
automatic washers and dryers, whose business is limited exclusively to the renting,
leasing, or operating of such machines shall pay a Business License Tax of one
hundred three dollars ($103) per year.
5.08.240 COIN - OPERATED DEVICES (1MTH AMUSEMENT FEATURES).
Every person owning a coin, or token operated machine or device having an
amusement or skill feature connected therewith, shall pay a Business License Tax of
one hundred three dollars ($103) per year per machine. Licenses granted under this
section shall be revocable at any time, at the pleasure of the City Council for any
reason which the City Council may deem appropriate.
5.08.250 COIN - OPERATED DEVICES (SEAL). Every person owning a
machine or device, which is required to pay a Business License Tax under the
provisions of this title, shall have conspicuously affixed thereto a legible and current
official seal or sticker issued by the license collector of the City for such machine or
device licensed; the seal shall include the year of issuance, and the number of the
license under which it is issued.
5.08.270 CONCERT OR OPERA Every person operating a concert, opera,
entertainment, or other show, exhibition or performance not exceeding two
performances during any one calendar month shall pay a Business License Tax of
four dollars ($4) per month, and shall obtain a special permit from the City Council to
do so prior to engaging in such activities. The City Council may condition such permit
in any manner not prohibited by law.
5.08.280 CONTRACTOR FEES (GENERAL, ELECTRICAL, PLUMBING).
Every person engaged in the business of contracting, in any of the following trades, shall
pay a Business License Tax of one hundred and fifty dollars ($150) per year: general
building contractor, general building contractor (speculative), electrical contractor, and
plumbing contractor.
5.08.300 CONTRACTOR (LATHING AND PLASTERING). Lathing and plastering
contractors shall pay a Business License Tax of one hundred and twenty dollars ($120)
per year.
5.08.310 CONTRACTOR (REPAIR, ALTERATIONS). Every person engaged in
the business of minor construction, alterations, improvements, or repair work, or every
person undertaking any project by one or more contracts, the aggregate contract price of
which, for labor, materials, and all other items is less than one hundred dollars ($100),
shall pay a Business License Tax of twenty four dollars ($24) per year. This type of
license shall not be issued, or apply in any case wherein the work of construction is only
a part of a larger or major operation, whether undertaken by the same or a different
contractor, or in which a division of the operation is made on contracts of amounts less
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than five hundred dollars ($500) for the purpose of evading the obtaining of a license, or
the payment of a license tax under this title or any of the provisions thereof.
Wherein repairs to damages resulting from accident or fire do not exceed one thousand
dollars ($1,000) total valuation, a general license covering the activities of all trades
involved in repair work may be issued to the prime contractor for the one project for a
Business License Tax of forty -eight dollars ($48).
5.08.320 SUBCONTRACTOR OR SPECIALTY CONTRACTOR A subcontractor,
or specialty contractor for the purposes of this title, is defined as a person who performs
construction work requiring special skill, and whose principal contracting business involves
the use of a specialized building trade or craft, not otherwise provided for herein.
Every person commencing, or carrying on the work of a subcontractor, shall secure a
separate city license, and shall pay for the same a Business License Tax of one hundred
three dollars ($103) per year.
5.08.340 DANCES (PUBLIC). Every person conducting public dances, where an
admission fee or per dance fee is charged, shall pay a Business License Tax of three
hundred dollars ($300) per year, and shall obtain a special permit from the City Council
to do so prior to engaging in such activities. The City Council may condition such permit
in any manner not prohibited by law.
5.08.350 DANCES (OTHER). Every person engaged in a business where any
cafe, restaurant, or any similar establishment affords its patrons the privilege or
opportunity to dance, without charge for the dancing, shall pay a Business License Tax
of three hundred dollars ($300) per year, and shall obtain a special permit from the City
Council to do so prior to engaging in such activities, the City Council may condition such
permit in any manner not prohibited by law.
5.08.360 DANCING SCHOOL OR ACADEMY (TALENT SCHOOL). Every person
conducting a dancing school or dancing acaderry, or talent school or talent academy,
shall pay a Business License Tax of fifty dollars ($50) per year.
5.08.365 DELIVERY VEHICLES. Every person engaged in a business not having
a fixed place of business within the City which, in connection with said business, delivers
any goods or services within the City shall pay a Business License Tax of seventy -two
dollars ($72) per year per vehicle.
5.08.370 DRIVE -IN THEATERS. Every person operating a drive -in theater shall
pay a Business License Tax of three hundred dollars ($300) per year, but the license shall
not include the right to conduct a cafe, restaurant, lunch counter, refreshment or
confectionery, or like stand or concession, or any other type of business.
5.08.390 FOOD CATERERS (VEHICLE). Every person conducting sales of food
from a vehicle shall pay a Business License Tax of two hundred dollars ($200) per year
per vehicle.
5.08.410 HOME OCCUPATIONS. Every person engaged in a home occupation,
as defined by the Zoning Ordinance of the City, shall pay a Business License Tax of
twenty -four dollars ($24) per year.
5.08.420 HOTELS, MOTELS, AUTO COURT, AND LODGING HOUSES. Every
person engaged in the business of operating a hotel, motel, auto court, or lodging house,
shall pay a Business License Tax of one hundred three dollars ($103) per year where the
same has less than fifteen (15) rooms, two hundred dollars ($200) per year where the
same has fifteen (15) or more rooms, but not more than forty -nine (49) rooms, and four
hundred dollars ($400) per year where the same has fifty (50) rooms or more.
5.08.440 JUNK COLLECTORS. Every person engaged in the business of junk
collection shall pay a Business License Tax of two hundred dollars ($200) per year for
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each vehicle used. "Person engaged in the business of junk collection" as used herein,
means a person engaged in the business of going from house to house, or from place
to place, gathering, collecting, buying, selling, or otherwise dealing in old rags, sacks,
bottles, cans, paper, or other articles commonly known as "Junk;" provided, however, that
any person licensed under the provisions of this section shall not solicit for 'free will
offerings" of such materials as are above enumerated, or referred to under the guise or
representation that the same are being collected by or for any charitable, or other
organization entitled to obtain a free permit, as provided for under other provisions of this
title. Provided, however, that the provisions of this title relating to junk collectors shall not
apply to official collectors of the City, or collectors specially authorized by the City Council
to make the collections as a public service.
5.08.460 LAWN SERVICE AND WINDOW CLEANING. Every person providing
lawn service, gardening service, window cleaning service, and similar services, shall pay
a Business License Tax of fifty dollars ($50) per year.
5.08.490 LOANS. Every person engaged in the business of lending, financing,
or money- lending shall pay a Business License Tax of one hundred three dollars ($103)
per year.
5.08.525 MOTION PICTURE OR TELEVISION (COMNERCIAL USE). Every
person engaged in the motion picture or television production business not operating from
a fixed place of business in the City, using either public or private property, shall pay a
Business License Application fee of three hundred dollars ($300), plus a license fee of
one hundred three dollars ($103) per day. Every person subject to this section shall also
obtain a permit pursuant to Chapter 5.42 of this Code.
5.08.527 PARWNG LOTS. Every person engaged in the business of operating
a parking lot for vehicles which is open to the public generally and which also provides
shuttle service from the parking lot to any other location shall pay a business license tax
of ten dollars ($10.00) per parking stall per year. The business license tax imposed by
this section shall not apply to the number of stalls, if any, occupied on a regular basis by
employees of the business or by tenants of the building which is serviced by the parking
lot.
5.08.530 PEDDLING (GENERALLY). Every person peddling services, not
otherwise mentioned in this chapter, shall pay a Business License Tax of one hundred
three dollars ($103) per year, and shall obtain a special permit from the City Council to
do so prior to engaging in such activities. The City Council may condition such permit in
any manner not prohibited by law.
5.08.540 PEDDLING (FOOD). Every person peddling foods, foodstuffs, and food
products, other than from catering food trucks, shall pay a Business License Tax of fifty
dollars ($50) per year where the person is on foot, and one hundred three dollars ($103)
per year where the same is sold from a vehicle, and shall obtain a special permit from the
City Council to do so prior to engaging in such activities. The City Council may condition
such permit in any manner not prohibited by law.
5.08.550 PEDDLING (MISCELLANEOUS MERCHANDISE). Every person
peddling any goods, wares, magazines, or merchandise not otherwise provided for in this
chapter, shall pay a Business License Tax of ten dollars ($10) per day where such person
is on foot, and twenty dollars ($20) per day where the same is sold from a vehicle, and
shall obtain a special permit from the City Council to do so prior to engaging in such
activities. The City Council may condition such permit in any manner not prohibited by
law.
5.08.560 PEDDLING (POPCORN, SOUVENIRS). Every person peddling popcom,
peanuts, gum, candy, confections, or toys, such as balloons, flags, pennants, banners,
canes, buttons, badges, homs, musical or noise making instruments, serpentines,
souvenirs, and similar articles, shall pay a license fee of ten dollars ($10) per day where
the same is sold from a vehicle, and shall obtain a special permit from the City Council
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to do so prior to engaging in such activities. The City Council may condition such permit
in any manner not prohibited by law.
5.08.580 REST, CONVALESCENT, GUEST AND FAMLY CARE HONES, &
CHILD CARE NURSERY. Every person operating rest, convalescent, guest homes, and
child care service, shall pay a Business License Tax of twenty -four dollars ($24) per year.
Every person operating a family care home shall pay a Business License Tax of twelve
dollars ($12) per year. No such license shall be issued without the written approval of.
(1) The State Social Welfare Board;
(2) The health officer;
(3) The Chief of the Fire Department;
(4) The Building Safety Director.
All such establishments shall be subject to inspection by the City at any time.
5.08.590 RUBBISH OR GARBAGE COLLECTION. Every person engaged in
the operation of rubbish or garbage collection shall pay a Business License Tax of two
hundred dollars ($200) per year for each vehicle used in the City.
5.08.600 SCHOOLS (PRIVATE). Every person operating a private school shall
pay a Business License Tax of twenty -four dollars ($24) per year.
5.08.620 STREET STANDS. Every person operating street stands for the
selling of any goods, wares, or merchandise on any portion of the public streets within
the City, shall pay a Business License Tax of fifty dollars ($50) per month; provided,
that no license shall be issued for the stand until a permit has been obtained from the
City Council, and that the application for the permit shall be accompanied by the
written consent of the owner or occupant of the premises abutting immediately upon
that portion of the street which the applicant desires to use; and further provided, that
the City Council shall have the right to grant, conditionally grant, or deny the perrnit
under this section in its discretion.
5.08.630 TAXICAB OR AUTOMOBILE FOR HIRE (PERMT AND FEE). Every
person engaged in the business of providing taxicabs or automobiles for hire, shall
obtain a special permit from the City Council prior to engaging in such activities, and
the City Council may condition such permit in any manner not prohibited by law.
Pen-r ittee shall pay an annual Business License Tax of (1) one hundred three dollars
($103) per year for each vehicle operated within the City limits; or (2) a flat Business
License Tax for the entire fleet of taxicabs or automobiles for hire of three hundred
dollars ($300) per year, whichever is greater.
5.08.640 THEATERS AND SHOWS. Every person engaged in the business of
operating a theater, motion picture show, playhouse, events, and all other shows or
exhibitions (except those conducted in the open or under canvas) not otherwise
provided for in this chapter, shall pay a Business License Tax of one hundred three
dollars ($103) per year. Any such license, however, shall not include the right to
conduct a cafe, restaurant, or lunch counter.
5.08.650 TRANSIENT FOOD VENDOR Every transient food vendor shall pay
a Business License Tax of forty -eight dollars ($48) per day, and shall obtain a special
permit from the City Council to do so prior to engaging in such activities. The City
Council may condition such permit in any manner not prohibited by law.
5.08.660 TRANSIENT MERCHANTS. Every transient merchant, which shall
include all such persons doing business at a fixed place of business for a period of
less than thirty (30) consecutive days, and who does not deal exclusively in food or
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food stuffs for human consumption, shall pay a Business license Tax of forty dollars
($40) per day.
5.08.661 TRANSIENT IVERCI-IA UFAIRS. Notwithstanding Section 5.08.660,
every transient merchant, which shall include any person doing business at a fixed
place of business for a period of less than thirty (30) consecutive days and who is
participating in a charitable or a civic event such as a fair, shall pay a Business
License Tax of ten dollars ($10), which shall cover the period during which the
charitable or civic event is open to the public.
5.08.665 WAREHOUSES. Every person engaged in the business of operating
a warehouse or storage facility shall pay a license fee of one hundred and three
dollars ($103) per year plus fourteen cents ($0.14) per square foot of space used for
such purpose for each business location within the city."
SECTION 23. Section 5.16.330 of Chapter 5.16, Title 5 of the El Segundo
Municipal Code entitled "DRIVER'S PERMIT - APPLICATION' shall be amended to
read as follows:
"5.16.330 DRIVELS PERMIT - Issuance. Application for a driver's permit shall
be processed upon payment to the city of a processing fee for the first application by
any applicant and for each application for renewal. Each successful applicant shall be
issued an identification card which he shall have in his immediate possession while in
charge of or driving a taxicab."
SECTION 24. Section 5.16.450 of Chapter 5.16, Title 5 of the El Segundo
Municipal Code entitled "VEHICLE PERMIT - ISSUANCE" " is hereby approved to
read as follows:
"5.16.450 VEHICLE PERMIT - Issuance. Application for a vehicle permit shall
be processed upon payment to the city of an annual inspection fee. Each applicant
shall be issued a vehicle permit upon successful completion of an inspection of the
vehicle. The permit shall be posted in a conspicuous place on the rear bumper,
driver's side of the vehicle."
SECTION 25. Section 5.20.020 of Chapter 5.20, Title 5 of the El Segundo
Municipal Code entitled "LICENSE FEE" is hereby approved to read as follows:
"5.20.020 LICENSE FEE. A license fee for an auction house and for each
employee thereof, in excess of ten employees, shall be required.
In addition, each auction house shall pay a fee per square foot of floor area occupied
for the business purpose in excess of five thousand square feet; and
In addition, each auction house shall pay a fee for each additional business location
within the city.
For the purpose of determining the number of employees of the business subject to
this section, the term "employee" shall mean any person employed by the business;
and shall include an independent contractor, and persons employed by the
independent contractor, unless the independent contractor and/or persons employed
by the independent contractor has a valid City of El Segundo business license as
prescribed in Chapters 5.04 and 5.08 of the El Segundo Municipal Code.
The total number of employees for the business for purposes of this section shall be
determined by averaging the total number of employees employed by the business
during each of the four calendar quarters preceding the date the tax is payable.
For the purpose of this section, "floor area" means the total floor space in terms of
square footage occupied by an owner, lessee or renter in a building except: (1)
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.
Elevator shafts; (2) Stairwells; (3) Courts or atriums uncovered and open to the sky
(4) Rooms exclusively housing building operating equipment, and (5) Parking area."
SECTION 26. Section 5.24.020 of Chapter 5.24, Title 5 of the El Segundo
Municipal Code entitled 'BUSINESS LICENSE - FEE" is hereby approved to read as
follows:
"5.24.020 BUSINESS LICENSE - FEE. Before engaging in any of the
businesses hereinabove defined or referred to in Section 5.24.010, the licensee shall
obtain the required business license so to do, and in addition thereto the licensee shall
be subject to each and all of the terms, conditions and provisions of this chapter. A
nonrefundable fee shall be established to cover the cost of investigation and
processing and the amount therefor shall be fixed from time to time by city council
resolution."
SECTION 27. Section 5.28.010 of Chapter 5.28, Title 5 of the El Segundo
Municipal Code entitled "APPLICATION AND PERMIT - FEES" is hereby approved to
read as follows:
"5.28.010 APPLICATION AND PERMIT - FEES. It is unlawful for any person
to conduct, carry on, operate or maintain in the city, any public poolroom or billiard
room without a written application for permit or renewal of such perrnit therefor granted
by the city council. The permit shall be required in addition to any license required by
any ordinance of the city. The permit shall be granted or refused by the city council, in
its discretion, upon formal written application, therefor by the person, and the
application shall specify the name of the person applying for the permit and the
location of the premises where it is proposed to conduct the poolroom or billiard room,
and that the applicant is the only person to be in any manner connected with the
management and control of the poolroom or billiard room. The application shall be
accompanied by a nonrefundable fee which is established to cover the cost of the
investigation and processing of applications."
SECTION 28. Section 5.36.080 of Title 5 of the El Segundo Municipal Code
entitled "IDENTIFICATION CARDS - FEES" is hereby approved as to subsection (5)
only, to read as follows:
"(5) Fee. Perrrittee shall pay a fee for any such identification card required by
this chapter."
SECTION 29. Section 5.48. 100 of Chapter 5.48, Title 5 of the El Segundo
Municipal Code entitled "ALARM SYSTEM PERMIT FEE" is hereby approved to read
as follows:
"5.48.100 ALARM SYSTEM PERMIT FEE. The fee for an alarm system permit
shall be a one time fee."
SECTION 30. Section 5.48.105 of Chapter 5.48, Title 5 of the El Segundo
Municipal Code entitled 'POLICE DEPARTMENT RESPONSE SERVICE" is hereby
approved to read as follows:
"5.48.105 POLICE DEPARTMENT RESPONSE SERVICE.
(a) Pemmitbee of Silent Alarms. A service fee shall be paid to the city by each
subscriber of an alarm system, or pernittee of a silent alarm not exempt, for
each response made by the police department to the location of a false alarm
after the first three responses are made during the same fiscal year.
(b) Efflling. The licensing authority shall cause to be issued a monthly bill for
the unpaid service fees accrued during the billing period and any prior periods.
Such bill shall be due and payable within fifteen days after the billing date."
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CLERK'S CERTIFICATE
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO )
I, Cindy Mortesen, City Clerk of the City of El Segundo, California, do
hereby certify that the foregoing ordinance, being Ordinance No. 1252, is a full, true and
correct original of Ordinance No. 1252 of the said City of El Segundo, California,
entitled:
"AN ORDINANCE OF THE PEOPLE OF THE Cf TY OF EL
SEGUNDO, CALIFORNIA, APPROVING, FROM APRIL 9,
1996 FORWARD, A BUSINESS LICENSE TAX, TRANSIENT
OCCUPANCY TAX AND A COMMERCIAL AND
INDUSTRIAL UTTI.irIY USERS TAX AT THE SAME RATES
AS ARE CURRENTLY SET FORTH IN THE EL SEGUNDO
MUNICIPAL CODE, DELETING THEREFROM CERTAIN
SECTIONS PROVIDING FOR TRANSIENT' OCCUPANCY
TAX CREDITS AND TAX CREDIT AGREEMENTS* AND
REDUCING THE TRANSIENT OCCUPANCY TAX FROM
100/0 TO 8°/a"
which was duly and regularly passed, approved and adopted by the electors of the City
of El Segundo, California, at the General Municipal Election held in said City on
Tuesday, the 9th day of April, 1996, and that it was so passed and adopted by the
following vote at said election, to wit:
"YES," 2398 Votes "Shall Ordinance No. entitled:
AN ORDINANCE OF THE PEOPLE OF THE CITY OF EL
SEGUNDO, CALIFORNIA, APPROVING, FROM APRIL 9, 1996
FORWARD, A BUSINESS LICENSE TAX, TRANSIENT
OCCUPANCY TAX AND A COMMERCIAL AND INDUSTRIAL
UTILITY USERS TAX AT THE SAME RATES AS ARE CURRENTLY
SET FORTH IN THE EL SEGUNDO MUNICIPAL CODE;
DELETING THEREFROM CERTAIN SECTIONS PROVIDING FOR
TRANSIENT OCCUPANCY TAX CREDITS AND TAX CREDIT
"NO," 335 AGREEMENTS" AND REDUCING THE TRANSIENT
OCCUPANCY TAX FROM 10% TO 8%1" be approved?
and that therefore, more than a majority of the electors voting upon the question of the
adoption of said ordinance having voted in favor thereof, the said ordinance shall
accordingly become effective according to its terms and a provided by law.
I do hereby further certify that pursuant to the provisions of Section 36933
of the Government Code of the State of California, that the foregoing ORDINANCE NO
1252 was posted in the manner prescribed by law.
CnOgYLM O EN
City Clerk of the
City of El Segundo, California
(SEAL)
SECTION 31. The following Sections shall be deleted in their entirety from
Chapters 5.04 and 5.08 of Title 5 of the El
5.04.105; 5.04.220.1; 5.04.221; 5.04.270; 5.08190 08.275; 5.08.510 5.08.520;
�
5.08.570; 5.08.585; 5.08.635 and 5.08.670. All Sections of the El Segundo Municipal
Code in effect on and before November 6, 1986 contained in Titles 3 and 5 of the El
Segundo Municipal Code and which are not contained in this Ordinance, remain in
effect.
SECTION 32. Severability. If any section, subsection, subdivision, paragraph,
sentence, clause or phrase of this ordinance or an
to be unconstitutional, such decision shall not affect part e validity of he remaining
held
portion of this ordinance or any part thereof. g
SECTION 33. Certification. The City Clerk shall publish or post the ordinance
according to law.
ADOPTED BY THE ELECTORATE AT THE GENERAL MUNICIPAL
ELECTION HELD APRIL 9, 1996.
1 AiC2 :141505.9
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