HomeMy WebLinkAboutOrdinance No. 19355ORDINANCE ND, I9355
AN ORDINANCE REGARDING DD~JNTDwN DE~IELOPMENT DISTRICT
TAXATION; REPEALING THE PROFESSIONAL TAX; AMENDING
SECTION 3.700 DF THE EUGENE CODE, 1971; AND DECLARING
AN EMERGENCE' .
The City Council of the City of Eugene finds that:
It is the goal of the City of Eugene to stimulate a balanced develop-
ment of retail, office and housing uses within the downtown area of Eu ene.
g
The Urban Renewal Plan adopted by the City Council and the Eugene
Renewal Agency supports the goal of balanced development within the downtown
area.
Interest in office development within the downtown area is not occur-
ring while interest in retail development continues.
There exists a significant vacancy factor in office space within the
downtown area and tenants previously located within the downtown area are
locating outside of the downtown area. In the past four years ninety~faur
percent of all office space construction or reconstruction has occurred out-
side the Downtown Development District. There has been no new office con-
struction within the Downtown Development District Burin this time.
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Because professional businesses are not as dependent upon location,
foot traffics vehicle volumes, as are retail locations, it is easier for pro-
fessional offices to relocate throughout the community without adversely
affecting their clientele.
There is an abundance of office space throughout the community. The
existence of the professional tax within the Downtown Development District
is perceived as a deterrent for downtown properties to compete successfully
for office development and tenants.
Ordinance - 1
The existence of the professional tax within the downtown area is:
~a~ A significant factor in the choice of office space; and
~b~ A deterrent to the development of office space and further-
ante of the City Council's goals for downtown and the accomplishment
of the Urban Renewal Plan .
NOW, THEREFQRE,
THE CITY DF EUGENE DOES ORDAIN AS FOLLO4~S:
Section 1. Section 3.704 of the Eugene Code, I97I, is amended to read
and provide;
3.700 Downtown Develo ment District Tax - Levy.
~1~ As used in this section the word "professional" includes
generally all those engaged in a profession for private gain and includes
particularly, but
(a)
(b)
(c)
(d)
(e)
(f)
(9)
(h)
~~)
(J)
involved
(k)
~~)
(m)
(n)
(o)
~P)
~9)
(r)
(s)
(t)
(u)
~~)
(w)
(x)
(Y)
~Z)
(ad)
is not limited ta, the following:
Attorneys.
Physicians.
Surgeons.
Dentists,
Accountants.
Engineers as defined by the laws of Oregon.
Architects.
Prafessional~bondsmen.
Contractors.
Manufacturers' and corporation representatives not
i n retai 1 sales.
Auditors,
Artists .
Chiropodists .
Chiropractors.
Financial brokers .
Lumber brokers.
Financial consultants.
Insurance consultants.
Interior decorators.
Investment advisors.
Laboratory operators and technicians.
Optometrists, opticians, and ophthalmologists.
Orthopedists.
Osteopaths.
Planning consultants.
Psychal agi sts .
Psychiatrists.
Ordinance - 2
~bb~ Public relations consultants.
~cc} Real estate loan brokers.
add} Tax consultants.
(eel Religious practitioners.
~ff~ Industrial financing.
~~~ Except as provided in subsections ~3~ and ~4} of this section
and except for professionals, far those exempt under state law from municipal
taxation, and for an owner or occupant of property exempt from taxation under
section 3.755 of this code, each person who engages in a business in the
Downtown Development District during part ar all of a quarter of a year shall
pay to the city for that quarter a tax of $2.50 per $1,000 of the gross re-
tail sales and receipts from the business during that quarter. A minimum
tax of $10.00 shall be charged each quarter of a year far each business.
~3} Each person engaged in banking or a savings and loan associ-
atian business in the Downtown Develailment District during part or all of a
quarter of a year, shall pay to the city for that quarter a tax of $2.50 per
$1,OOD of one and three-quarters percent x.0175} of the total demand
deposits, and of $2.50 per $1,000 of five-tenths of one percent x.005} of
the total time deposits. Total time and demand deposits of banks shall be
.the total daily average deposits during that quarter as reported on the
Federal Reserve Call; and total time deposits of savings and loan associ-
ations shall be the total daily average of all savings deposits during that
quarter. I~henever savings and loan associations receive demand-type
deposits, the tax rate an those deposits shall be $2.50 per $1,040 of one
and three-quarters percent x.0175} of the daily average of those deposits
during that quarter.
~4~ Each person engaged in a consumer finance business in the
Downtown Development District during part or all of a quarter of a year shall
pay to the city for that quarter a tax of $2.50 per $1,400 of five percent
x.05} of the total principal balance of direct loans outstanding at the end
of that quarter, excluding finance charges. .
~5} Businesses 1 ocated within the Downtown Development District
which are Hat expressly exempt from the tax imposed in this section but
which do not clearly fal l within the description of the businesses i n thi s
section shall be categorized by the city manager and granted an exemption ar
taxed at a fair and equitable rate based on gross receipts of all or part of
the business taking into account the policies of the city regarding the
development of the downtown area, the cost of the special public services
provided the Downtown Development District, the impact upon net profit the
gross receipts taxes levied by this section has on the existing tax paying
businesses and the ease with which the tax may be collected.
~6} Any person aggrieved by being erroneously classified in his
ar her opinion for purposes of the tax imposed by this section may request
the city manager to review the classification. l~ithin 15 days after receiv-
ing the request, the city manager or the manager's designee, after affording
the person an opportunity to be heard with reference to his or her grievance,
shall determine how the person shall be classified for purposes of the tax.
Such determination shall be final.
~7} The tax imposed by this section is due and ayable b the
P Y
last day of the month immediately following the quarter to which the tax
applies, and becomes delinquent if not paid on the last day of the of month
in which it becomes due. The date of the payment shall be the date of its
personal delivery to the finance officer or his ar her designee, ar its
postmark date, whichever is the earlier. The quarters to which the tax
Ordinance - 3
applies begin July 1, 1913, and every October ~, January ~, April ~, and
July 1 thereafter. A tax that becomes delinquent shall be subject to penalty
as provided in sections 3.730, 3.135, 3.144, and 3.745.
Section ~. Any obligation to pay the taxes levied under Section 3.100
of the Eugene Code, 1911 prior to the effective date of this Ordinance shall
continue after the effective date of this Ordinance. The City Manager or
the Manager's designee is directed to collect said obligations in the manner
provided in the Eugene Code, 1971 and as if this Ordinance had not been
adopted.
Section 3. The matters contained in this Ordinance concern the public
health, welfare and safety and therefore an emergency is hereby declared to
exist, and this Ordinance shall become effective as of July 1, 1985,
Passed by the City Counci 1 thi s
23rd day of September, 1985
~~
~~~~~~' City Recorder
P,pproved by the Mayor this
23rd da~ e~te~ 1985
/I/ ~
Ordinance ~ 4