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01-87 ORDINANCE NO.' 1-87 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DELRAY BEACH, FLORIDA, AMENDING C. HA.P.TER 25, "TAXATION", OF THE CODE OF ORDINANCES OF THE.'..~.C~TY OF DELRAY BEACH, FLORIDA, BY AMENDING AI~TIC.'J~E ~II, "UTILITY SERVICES", SECTION 25-9.3, "LEVIED; PURCHASER TO PAY", TO CLARIFY THE INTENT OF THE CITY COUNCIL. FOR THE USE OF REVENUES DERIVED FROM THE 8.5% UTILITIES SERVICES TAX AS SAME REGARDS UTILITY TAX OBLIGATIONS OF THE CITY; PROVIDING A SAVING CLAUSE; PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Delray Beach, Florida, did adopt Ordinance No. 24-86 on May 13, 1986, increasing the tax on utility services from 7.5% to 8.5%; and, WHEREAS, the City Council of the City of Deh'ay Beach, Florida, wishes to clarify that it was then and is currently its intent that any such sums attributable to said increase will be earmarked for beautification programs, such use being subject to the requirements for debt service and or other ~ovenants of past, current, or future utility tax certificates/bonds. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That Section 25-23, "Levied; purchaser to pay" of the Code of Ordinances of the City of Delray Beach, Florida, shall be, and the same is hereby, amended to read as follows: Sec. 25-23. Levied; purchaser to pay. (a) There is hereby levied by the City on each and every purchase in the city, of electricity, metered and bottled gas (natural or manufactured), and local telephone service, a tax based upon the charge made by the seller thereof, as follows, to wit: Eight and one-half percent (8.5%) on the total amount billed in any current month. Which tax shall, in every case, be paid by the purchaser, for the use of the city, to the seller of such electricity, gas or local telephone service at the time of paying the charge therefor to the seller thereof, but not less often than monthly. (b) The tax imposed by subsection (a) above shall not be applied against any fuel adjustment charge, and such charge shall be separately stated on each bill. "Fuel adjustment charge" shall mean all increases in the cost of utility services to the ultimate consumer resulting from an 'increase in the cost of fuel to the utility subsequent to October 1, ].973. (c) To the extent such sums are not otherwise rec~uired to meet current or future utility- ta~-~e-~tiflcate bond covenants, and/or the debt service on s~'me, that ~4mt portion of the revenues attributable to the increase in the tax f~om seven and one-half percent (7.5%) to eight and one-half percent (8.5%) shall be transferred monthly to the City of Delray Beach Beautification Program, to be used ~ete~y for capital and operating expenses incurred in projects for the beautification of the public rights-of-way within the city and the maintenance of such beautification projects. Any revenues transferred to such fund in excess of fund expenditur~.~s in any fiscal year shall be retained and such use reappropriated in the fund in the next fiscal year betn sub eot to the riot lien ~ h ~-~-U~~- se ~ Section 9.. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, or word be declared by a cou~t of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hez~-of as a whole or pa_-~ thereof other than the pa~t declared to be invalid. Section 3. That this ordinance shall become effective immediately upon its passage on second and final reading. PASSED AND ADOPTED in special session on second and final reading on this the 20th day of January , 1987 ATTEST: First Reading January 6, 1987 Second Reading January 20, 1987 ORD. NO. 1-87