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Ord 69-2019 Levying Voter Approved Venue Tax 12/17/2019 Ordinance No. 69-2019 ORDINANCE PROVIDING FOR THE IMPOSITION AND LEVY OF AN ADDITIONAL HOTEL OCCUPANCY TAX EQUAL TO TWO PERCENT (2.00%) FOR VENUE PROJECTS APPROVED BY THE VOTERS IN THE CITY OF WICHITA FALLS, TEXAS ON NOVEMBER 5, 2019 AND CONSISTING OF THE RENOVATION, MAINTENANCE AND IMPROVEMENT OF THE MULTI-PURPOSE EVENT CENTER AND THE PERFORMANCE HALL IN MEMORIAL AUDITORIUM; AMENDING THE CODE OF ORDINANCES ARTICLE III HOTEL AND MOTEL OCCUPANCY TAX SECTION 98-92; AND CONTAINING OTHER PROVISIONS INCIDENT AND RELATED TO THE PURPOSE OF THIS ORDINANCE. community related cap authorized by the Act to finance the venue projects, subject to approval of the voters in an election called for such purposes; and WHEREAS, in accordance with requirements in the Act, on June 4, 2019, the City Council adopted a resolution authorizing the planning, acquisition, establishment, development, construction and renovation of the Multi-Purpose Event Center and the performance hall in the Memorial Auditorium ( financing under the Act proposed to be used for the Venue Project, subject to voter approval at an election called for such purposes; and and the Venue Project would have no significant negative fiscal impact on state revenue; and WHEREAS, on August 6, 2019, the City Council adopted an ordinance calling for and ordering a special ll qualified voters of the City would have the opportunity to vote on the questions of approving and implementing the Venue Project Resolution designating the Multi-Purpose Event Center and the performance hall in Memorial Auditorium as venue projects and authorizing an additional hotel occupancy tax at a rate not to exceed two percent (2%) to provide a payment source for revenue bonds or other obligations issued by the City to finance the Venue Project; and WHEREAS, at the Election, a majority of the voters of the City voting in the election voted in favor of the propositions authorizing the City to provide for the renovation, maintenance, improvement and financing of the Multi- Purpose Event Center and the performance hall in Memorial Auditorium, and to impose a hotel occupancy tax at a rate not to exceed two percent (2.00%) for the purpose of financing the Venue Project, with the maximum hotel occupancy tax rate imposed from all sources in the City to be fifteen percent (15.00%) of the price paid for a room in a hotel; and WHEREAS, the City Council canvassed the returns of the Election and declared the favorable results of the Election on November 12, 2019; and WHEREAS, in accordance with the wishes of the majority of voters of the City voting on the propositions presented at the Election, the City is working toward the planning, development, improvement and financing of the Venue Project; and WHEREAS, the City Council anticipates issuing revenue bonds to fund the costs of the Venue Project; and WHEREAS, the City Council has found and determined that it is in the best interests of the City to impose the additional hotel occupancy tax authorized by the voters at the Election with the revenue from such taxes to be pledged as security for and payment of revenue bonds, the proceeds of which shall benefit the Venue Project. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WICHITA FALLS, TEXAS: SECTION 1. (a) In accordance with the results of the Election, there is hereby levied and imposed an additional hotel occupancy tax at the rate of two percent (2.00%), to be imposed on the full cost, excluding the amount of any other tax that may apply, of the price paid for a room in a hotel within Wichita Falls, Texas, consistent with the propositions authorizing the levy and collection of the hotel occupancy tax approved at the Election and applicable provisions of the Act and such tax is in addition to the hotel occupancy tax of seven percent (7%) currently imposed by the City as provided for in Article III, Section 98-92 of the Code of Ordinances. (b) Each bill or other receipt for a hotel room charge subject to the hotel occupancy tax imposed by this Ordinance shall contain, in addition to any other disclosures required by law, a statement in a conspicuous location stating: THE CITY OF WICHITA FALLS REQUIRES THAT AN ADDITIONAL TAX OF 2% BE IMPOSED ON EACH HOTEL ROOM CHARGE FOR THE PURPOSE OF FINANCING THE VENUE PROJECTS APPROVED BY THE VOTERS OF THE CITY ON NOVEMBER 5, 2019 AND CONSISTING OF A MULTI-PURPOSE EVENT CENTER AND A PERFORMANCE HALL AT MEMORIAL AUDITORIUM AND RELATED INFRASTRUCTURE. (c) In no event shall the hotel occupancy tax approved by the voters at the Election, together with other state and local hotel occupancy taxes collected on the price paid for a room in a hotel within the City, exceed fifteen percent (15.00%). (d) The hotel occupancy tax shall be collected beginning on January 17, 2020. (e) The City hereby creates and establishes the Venue Project Fund and the Venue HOT Account within the Venue Project Fund and the proceeds of the additional two percent (2%) hotel occupancy taxes imposed by this Ordinance shall be deposited into the Venue HOT Account within such Venue Project Fund and shall be used only for purposes of the Venue Project authorized at the Election and in accordance with the Act. SECTION 2. Article III, Section 98-92 of the Code of Ordinances is and shall be amended in its entirety to read as follows: -92. Levy and use. (a) There is levied a tax upon the cost of occupancy of any sleeping room furnished by any hotel where such cost of occupancy is at the rate of $2.00 or more per day. Such tax shall be equal to seven percent (7%) of the consideration paid by the occupant of such room to such hotel. Tax revenue derived from the levy and collection of such seven percent (7%) tax shall be expended as provided in Texas Tax Code § 351.001 et seq. (b) There is levied an additional tax upon the cost of occupancy of any sleeping room furnished by any hotel where such cost of occupancy is at the rate of $2.00 or more per day. Such tax shall be equal to two percent (2%) of the consideration paid by the occupant of such room to such hotel. Tax revenue derived from the levy and collection of such two percent (2%) tax shall be deposited in the Venue Project Fund and may be used only for the venue projects approved by voters in the City in Propositions A and B of the November 5, 2019 special venue project election and Local Government Code Chapter 334 and shall not be used for general revenue purposes or other governmental operations of the City. (c) No tax shall be imposed under this article upon a permanent SECTION 3. (a) City staff is hereby directed to ensure the timely collection of the taxes and the development of procedures for the allocation of revenues and imposition and collection of the taxes; the development of record-keeping, reports, and filing requirements related to the levy and collection of the additional hotel occupancy tax imposed by this Ordinance; and the development of tax collection procedures and protocols, and auditing requirements to ensure that the proper amount of taxes have been collected and deposited with the City in accordance with this Ordinance, the Code of Ordinances and other applicable law. (b) The Mayor, Chief Financial Officer, City Manager, Assistant City Manager, City Clerk, City Attorney and any other officer or agent of the City, and each of them, shall be and they are hereby expressly authorized, empowered and directed from time to time and at any time to do and perform all such acts and things and to execute, acknowledge and deliver in the name of the City all other such documents, certificates and instruments, whether or not herein mentioned, as may be necessary or desirable in order to carry out the terms and provisions of this Ordinance, including taking any other action contemplated by the Act. SECTION 4. This Ordinance shall be cumulative of all ordinances of the City, except where the provisions of this Ordinance are in direct conflict with the provisions of such other ordinances, in which case the conflicting provisions of such other ordinances are hereby repealed. SECTION 5. That the repeal of any ordinance or part of ordinances affected by the enactment of this Ordinance shall not be construed as abandoning any action now pending under or by virtue of such ordinance or as discontinuing, abating, modifying, or altering any penalty accruing or to accrue, or as affecting any rights of the City under any section or provisions of any ordinance at the time of passage of this Ordinance. SECTION 6. This Ordinance shall be in full force and effect on January 17, 2020, unless the circumstances set forth in the City Charter dictate otherwise. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF WICHITA FALLS, TEXAS, this December 17, 2019. ________________________________ Mayor ATTEST: ________________________________ City Clerk \[SEAL\] APPROVED AS TO FORM: ________________________________________ City Attorney