Loading...
HomeMy WebLinkAboutOrdinance No. 97-992 ORI$1NAL CITY OF THE COLONY ORDINANCE NO. 97-992 AN ORDINANCE OF THE CITY OF THE COLONY, TEXAS PROVIDING FOR THE LEVY OF A HOTEL OCCUPANCY TAX PURSUANT TO CHAPTER 351, TEXAS TAX CODE; PROVIDING FOR THE ASSESSMENT AND COLLECTION OF THE TAX; PROVIDING FOR THE DISPOSITION OF REVENUES DERIVED FROM THE TAX; PROVIDING FOR COLLECTION AND REPORTS CONCERNING THE TAX; PROVIDING FOR THE MAKING OF RULES AND REGULATIONS BY THE CITY MANAGER NECESSARY TO COLLECT THE TAX; PROVIDING PENALITIES FOR VIOLATION OF THE ORDINANCE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING AN EFFECTIVE DATE. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS: WI-IEREAS, the City of The Colony is authorized pursuant to and in accordance with Chapter 35 l, Tex. Tax Code, to impose a tax on a person who, under a lease, concession, permit, right of access, license, contract, or agreement, pays for the use or possession or for the right to the use or possession of a room that is in a hotel, cost $2 or more each day, and is ordinarily used for sleeping. NOW, TH]SREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF THE COLONY, TEXAS: SECTION 1: Incorporation of Premises That all of the above premises are found to be true and correct and are incorporated into the body of this Ordinance as if copied in their entirety. SECTION 2: Definition of Terms The following words, terms and phrases are, for the purpose of this Ordinance except where the context clearly indicates a different meaning, defined as follows: HOTEL OCCUPANY TAX OILDINANCE - Page 1 (a) "Hotel" shall mean a building or buildings in which the public may, for a consideration, obtain sleeping accommodations. The term shall include: hotels, motels, tourist homes, tourist houses or tourist courts, lodging houses, inns, rooming houses, bed and breakfast, or other buildings, where rooms are furnished for a consideration, but "hotel" shall not be defined so as to include: (a) hospitals, sanitariums or nursing homes, or (b) a dormitory or other housing facility owned or leased and operated by an institution of higher education or a private or independent institution of higher education as those terms are defined by Section 61.003, Texas Education Code, used by the institution for the purpose of providing sleeping accommodations for persons engaged in an educational program or activity at the institution. (b) "Hotel Occupancy Tax" shall mean the tax imposed by Section 3 of this Ordinance. (c) "Consideration" shall mean the cost of the room in such hotel only if the room is one ordinarily used for sleeping and shall not include the cost of any food served or personal services rendered to the occupant of such room not related to the cleaning and readying of such room for occupancy. (d) "Occupancy" shall mean the use or possession, or the right to the use or possession, of any room in a hotel if the room is one ordinarily used for sleeping and if the occupant's use, possession or right to use or possession extends for a period of less than thirty (30) days. (e) "Occupant" shall mean anyone who, for a consideration, uses, or possesses or has a right to use or possess any room in a hotel if the room is one ordinarily used for sleeping. (f) "Person" shall mean any individual, company, Corporation or association owning, operating, managing or controlling any hotel. (g) "City Manager" shall mean the City Manager of The Colony or his or her designated representative. (h) "Quarterly Period" shall mean the regular calendar quarters of the year, the first quarter being composed of the months of October, November, and December, the second quarter being composed of the months of January, February, and March, the third quarter being composed of the months of April, May, and June and the fourth quarter being composed of the months of July, August, and September. (i) "Permanent Resident" shall mean any occupant who has or shall have the right of occupancy of any room or rooms or sleeping space or facility in a hotel for at least HOTEL OCCUPANY TAX ORDINANCE - Page 2 thirty (30) consecutive days during the current calendar year or preceding year, so long as there is no interruption of payment for the period. SECTION 3: Levy of Tax, Rate, Exceptions. There is hereby levied a tax upon the cost of occupancy of any room or space fumished by any hotel where such cost of occupancy is at the rate of TWO DOLLARS ($2.00) or more per day, such tax to be equal to seven percent (7%) of the consideration paid by the occupant of such room, space or facility to such hotel, exclusive of other occupancy taxes imposed by other governmental agencies. SECTION 4: Extraterritorial Jurisdiction. Any hotel occupancy tax provided herein shall be imposed in The Colony extraterritorial jurisdiction, provided, however, that the levy of such tax shall not result in a combined rate of state, county or municipal hotel occupancy taxes in the extraterritorial jurisdiction which exceeds fifteen percent (15%) of the price paid for a room in a hotel. SECTION 5: Disposition of Revenue. The revenue derived from the hotel occupancy tax will only be used for the purposes authorized by S351.001, et. seq., Tax Code, as the City Council may direct and authorize. SECTION 6: Collection. Every person owning, operating, managing or controlling any hotel shall collect the hotel occupancy imposed in Section 3 of this Ordinance for The Colony. Every person collecting the subject tax is hereby authorized to deduct and withhold from the said person's payment to The Colony, as reimbursement for the cost of collecting the tax, one percent (1%) of the amount of tax collected and required to be reported to The Colony. Every person collecting the subject tax shall forfeit the one percent (1%) reimbursement for failure to pay the tax or to file reports as required by this Ordinance. Ifa person who is liable for HOTEL OCCUPANY TAX ORDINANCE - Page 3 the payment of the Hotel Occupancy Tax is the owner of a hotel and sells the hotel, upon the sale of the hotel, the successor to the seller or the seller's assignee shall withhold from the purchase price an amount sufficient to pay The Colony the full amount of all collected but unpaid hotel occupancy tax owed to The Colony until the seller provides a receipt by a person designated by The Colony to provide the receipt showing that the amount has been paid or a certificate showing that no tax is due. SECTION 7: Reports On the last day of the month following each quarterly period, every person required in Section 6 of this Ordinance to collect the hotel occupancy tax imposed by this Ordinance, shall file a report with the City Manager showing the consideration paid for all room occupancies in the preceding quarter, the amount of the tax collected on such occupancies and any other information as the City Manager or his or her designated representative may reasonably require. Such person shall pay the hotel occupancy tax due on such occupancies at the time of filing such report. SECTION 8: Rules and Regulations. The City Manager or his or her designated representative shall have the power to make such rules and regulations as are necessary to effectively collect the hotel occupancy tax levied by this Ordinance and shall upon reasonable notice have access to books and records necessary to enable him or her to determine the correctness of any report filed as required by this Ordinance and the amount of taxes due under the provisions of this Ordinance. SECTION 9: Penalties. If any person shall fail to collect the hotel occupancy tax imposed by this Ordinance, or shall fail tn file a report as required herein, or shall fail to pay to the City Manager or his or her designated representative the tax imposed herein when said report for payment is due, or shall file a false report, then such person shall be deemed guilty of a misdemeanor and upon conviction be punished a f'me not to exceed FIVE HUNDRED DOLLARS ($500.00). HOTEL OCCUPANY TAX ORDINANCE - Page 4 In addition, such person who fails to remit the hotel occupancy tax imposed by this Ordinance within the time required shall forfeit ten percent (10%) of the amount due as a penalty, and after the first thirty (30) days shall forfeit an additional ten percent (10%) of such hotel occupancy tax. Provided, however, that the penalty shall never be less than ONE DOLLAR ($1.00). Delinquent hotel occupancy taxes shall draw interest at the rate often percent (10%) per annum beginning sixty (60) days from the date due. SECTION 10: Collection Fee The Colony shall retain one percent (1%) of the gross amount of the hotel occupancy taxes collected to cover the cost of said collection duties. SECTION 11: Severability Should any part or portion of this Ordinance, or the use created herein, be declared unconstitutional or invalid by a court or competent jurisdiction, it is expressly provided that any and all remaining portions and those provided for within this Ordinance shall remain in force and effect. SECTION 12: Conflicts All Ordinances in conflict herewith are repealed to the extent that they are in conflict. Any remaining portions of said Ordinances shall remain in full force and effect. SECTION 13: Effective Date This Ordinance shall become effective from and after its adoption and publication a~ required by the City Charter and by law. HOTEL OCCUPANY TAX ORDINANCE - Page 5 DULY PASSED AND A~PPP~OVED BY THE CITY COUNCIL OF THeE CITY OF THE COLONY, TEXAS on this (~3~ day of~1997. ATTEST: CORRECTLY RECORDED: / ~~ Patti A. Hicks City Secretary City Attorney HOTEL OCCUPANY TAX ORDINANCE - Page 6