This chapter shall be known as and may be cited as the lodgers’
tax ordinance.
(1981 Code, sec. 19-48; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
The purpose of this chapter is to impose a tax borne by persons
using commercial lodging accommodations, which tax will provide revenues
for the purpose of advertising, publicizing and promoting tourist
related facilities, tourist attractions, and acquisition, construction
and maintenance of tourist attractions and recreational facilities,
and for all other legally permissible purposes.
(1981 Code, sec. 19-48.1; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
For the purposes of this chapter the following words, terms
and phrases shall have the meanings respectively ascribed to them:
In addition to rooms, all facilities and/or amenities, that
are provided as a part of the taxable service of lodgings, including
those that are an essential and integral part of the provision or
use of lodgings whether or not advertised and/or billed separately,
unless the separate advertising/billing procedure is first approved
in writing by the town administrator.
The lodgers’ tax advisory board.
The town finance department head or other designated representative
thereof.
The total amount of rent paid for lodging, or other accommodations,
not including the state gross receipts tax or local sales tax.
A written agreement signed and executed by a vendor and vendee,
for lodgings, for a period of at least thirty (30) days, and which
may automatically renew on a month-to-month basis unless specific
action is taken by the parties.
The rooms or other accommodations furnished by a vendor to
a vendee by a taxable service of lodgings.
An amount of money guaranteed by the town to be earned by
an airline providing air services thereto, which is the difference
between the minimum flight charge revenue specified in the contract
between the town and said airline, and the amount of actual flight
charge revenue received by the airline that is less than that contractual
amount.
The tax on lodging authorized by the Lodgers’ Tax Act.
An individual residing and domiciled, or intending to reside
and domicile, within a location for 185 days or more.
An individual, estate, trust, receiver, cooperative association,
club, corporation, company, firm, partnership, limited liability company,
limited liability partnership, joint venture, syndicate or other association,
but not including the United States of America, the State of New Mexico
or any corporation, department, instrumentality or agency of the federal
government or the state government, or any political subdivision of
the state.
The consideration received by a vendor in money, credits,
property or other consideration valued in money for lodgings and other
accommodations subject to an occupancy tax authorized in the Lodgers’
Tax Act.
A hotel, motel or other premises used for lodging that is
not the vendee’s household or primary residence.
Lodgings for the purpose of housing a vendee within proximity
of the vendee’s employment or job location.
A person who travels for the purpose of business, pleasure
or culture to a municipality or county imposing an occupancy tax.
Events that are planned for, promoted to and attended by
tourists.
Facilities and attractions that are intended to be used by
or visited by tourists.
Transportation systems that provide transportation for tourists
to and from tourist related facilities, attractions and events.
The town manager or other designated representative thereof.
A natural person to whom lodgings are furnished in the exercise
of the taxable service of lodging.
A person furnishing lodgings in the exercise of the taxable
service of lodging.
(1981 Code, sec. 19-49; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
There is imposed an occupancy tax of revenues of five percent
(5%) of gross taxable rent for lodging within the municipality paid
to vendors after the effective date hereof.
(1981 Code, sec. 19-50; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 02-14 adopted 2002; Ordinance 22-18 adopted 10/25/2022)
The occupancy tax shall not apply:
A.
If a
vendee:
1.
Has
been a permanent resident of the taxable premises for a period of
at least thirty (30) consecutive days, unless those premises are temporary
lodging; or
2.
Enters
into or has entered into a lease agreement as defined by this chapter
for lodgings at the taxable premises, unless those premises are temporary
lodging;
B.
If the
rent paid by a vendee is less than two dollars ($2.00) a day;
C.
To lodging
accommodations at institutions of the federal government, the state
or any political subdivision thereof;
D.
To lodging
accommodations at religious, charitable, educational or philanthropic
institutions, including, without limitation, such accommodations at
summer camps operated by such institutions;
E.
To clinics,
hospitals or other medical facilities, or
F.
To privately
owned and operated convalescent homes, or homes for the aged, infirm,
indigent or chronically ill.
(1981 Code, sec. 19-51; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
A.
Every
vendor providing lodgings shall collect the tax thereon on behalf
of the town, and shall act as a trustee therefor.
B.
The
tax shall be collected from the vendees and shall be charged separately
from the rent fixed by the vendor for the lodgings.
C.
Every
vendor shall specify to the town, on a form provided by the town,
whether the vendor is using a cash or accrual method of accounting
in reporting and paying lodgers’ taxes.
(1981 Code, sec. 19-52; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 00-13 adopted 2000; Ordinance 22-18 adopted 10/25/2022)
Each vendor shall make a report by the twenty-fifth day of each
month, on forms provided by the town, of the receipts for lodging
in the preceding calendar month, and shall submit the proceeds of
the lodgers’ tax to the town and include sufficient information
to enable the town to audit the report, and such report shall be verified
on oath by the vendor.
(1981 Code, sec. 19-53; Ordinance 97-32, sec. 1, adopted 1997; amended per letter from town 4/3/98; Ordinance 22-18 adopted 10/25/2022)
A.
A vendor
shall maintain adequate records of facilities subject to the occupancy
tax and of proceeds received for the use thereof. Such records shall
be maintained in the town, shall be open to the inspection of the
town during reasonable hours and shall be retained for three (3) years.
The vendor shall provide such records to the town upon thirty (30)
days’ notice.
(1981 Code, sec. 19-54; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 00-13 adopted 2000; Ordinance 22-18 adopted 10/25/2022)
Upon a change of ownership of the lodging establishment or upon
the closing of the lodging establishment, the vendor shall notify
the town in writing stating the date of the change in ownership or
the date that the lodging establishment will be closed.
(Ordinance 00-13 adopted 2000; Ordinance 22-18 adopted 10/25/2022)
A vendor is liable for the payment of any occupancy tax not
remitted to the town, whether due to their failure to collect the
tax or otherwise. Said liability shall include the tax, a civil penalty
equal to the greater of ten percent (10%) of the unremitted amount
or one hundred dollars ($100.00), and for every month that the vendor
fails to remit the amount due, interest of one percent (1%) per month.
The town shall give the vendor written notice of the delinquency,
which notice shall be mailed to the vendor.
(1981 Code, sec. 19-55; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 00-13 adopted 2000; Ordinance 22-18 adopted 10/25/2022)
If any vendor neglects or refuses to pay the tax as required
by this chapter, the town finance department may make an estimate
of said vender’s rent for the period which they have failed
to make a return, and upon the basis of said estimated amount, compute
and assess the tax due, including any penalties and interest. Promptly
thereafter the town shall give the delinquent vendor written notice
of such assessment, which shall be served by certified mail.
(1981 Code, sec. 19-56; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
If the payments are not made by the vendor within fifteen (15) days of a notice of estimated tax given under section 4.12.090 or 4.12.100 of this chapter, the town clerk shall bring an action in law or equity in the district court for the collection of any amounts due, including, without limitation, penalties thereon, interest on the unpaid principal at a rate not exceeding one percent (1%) a month, the costs of collection and reasonable attorney fees incurred in connection therewith.
(1981 Code, sec. 19-57; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
If any person believes they have made payment of any lodgers’
tax in excess of that for which they were liable, they may claim a
refund thereof by directing to the town finance director, not later
than ninety (90) days from the date payment was made, a written claim
for refund. Every claim for refund shall state the nature of the complaint
and the affirmative relief requested. The town finance director may
allow the claim in whole or in part, or may deny it.
(1981 Code, sec. 19-59; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
Proceeds of the occupancy tax collected based on the first thirty
(30) days of lodging shall be used as follows:
A.
At least
one-half (1/2) of the proceeds from the first three percent (3%) of
the tax and at least one-fourth (1/4) of the proceeds from the tax
in excess of three percent (3%) shall be used for the purpose of advertising,
publicizing and promoting the community’s tourist related attractions,
facilities and events. Proceeds for such purposes shall be used within
two years of the close of the fiscal year in which they were collected
and shall not be accumulated beyond that date or used for any other
purpose.
B.
Not
more than one percent (1%) of the proceeds shall be used for the purpose
of providing public transportation within the town and adjacent tourist
destination areas.
C.
The
proceeds of the occupancy tax not used for the above-stated purposes
shall be used to defray costs as follows:
1.
Collecting
and administering the tax;
2.
Audits;
3.
Establishing,
operating, purchasing, constructing, otherwise acquiring, reconstructing,
extending, improving, equipping, furnishing or acquiring real property
or any interest in real property for the site or grounds for convention
facilities, tourist related facilities, tourist attractions or transportation
systems of the municipality or the county in which the municipality
is located;
4.
Advertising,
publicizing and promoting tourist related attractions, facilities
and events of the municipality or county and tourist facilities or
attractions within the area;
5.
Providing
police and fire protection and sanitation service for tourist related
events, facilities and attractions located in the respective municipality
or county;
6.
Principal
and interest of revenue bonds issued as authorized by section 3-38-23
or 3-38-24 New Mexico Statutes Annotated, 1978;
7.
Providing
a required minimum revenue guarantee for air service to the municipality
or county to increase the ability of tourists to easily access the
municipality’s or county’s tourist-related facilities,
attractions and events; or
8.
Any
combination of the foregoing purposes or transactions stated in this
section; but for no other municipal or county purpose.
|
Proceeds of the occupancy tax collected based on the thirty-first
(31st) and subsequent days of lodging shall be dedicated to the housing
fund.
|
(1981 Code, sec. 19-60; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 00-18 adopted 2000; Ordinance 22-18 adopted 10/25/2022)
The mayor shall appoint, with the consent of the council, an
advisory board of five (5) residents of the municipality, two (2)
of whom shall be owners or operators of lodgings industry subject
to the tax within the municipality, two (2) of whom are owners or
operators of industries within the municipality that primarily provide
services or products to tourists and one member who is a resident
of the municipality and represents the general public. The members
of the board shall serve at the pleasure of the mayor. The board shall
advise the governing body on expenditures of funds authorized under
this chapter for advertising, publicizing and promoting tourist attractions
and facilities in the municipality and surrounding areas. The recommendations
for the expenditures of funds shall be submitted to the governing
body by the board. The budget approved by the governing body shall
be furnished to the advisory board.
(1981 Code, sec. 19-61; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
A.
The
town finance director shall select, for annual random audits, one
or more vendors to verify the amount of gross rent subject to the
occupancy tax and to ensure that the full amount of occupancy tax
on the rent is collected from each vendor thus audited.
B.
The
town finance director shall determine each year the number of vendors
within the municipality.
C.
The
audit(s) may be performed by the town finance director or by any other
designee. A copy of the audit(s) shall be submitted to the town’s
advisory board for review. A copy of the audit(s) shall be filed annually,
with the local government division of the department of finance and
administration.
(1981 Code, sec. 19-62; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
A.
The
occupancy tax imposed shall constitute a lien, in favor of the town,
upon the personal and real property of the owner of the property providing
lodgings within the jurisdiction of the town. The lien may be enforced
as provided in sections 3-36-1 through 3-36-7, New Mexico Statutes
Annotated (1978 as amended). Priority of the lien shall be determined
from the date of filing. The town finance director shall furnish a
certificate showing the amount of all liens against the vendor.
B.
Any
occupancy tax due the town shall be paid from the proceeds of any
sale, before payment is made, to a judgment creditor or any other
person with a claim on the proceeds of the sale.
C.
Under
process or order of court, no person shall sell the property of a
vendor without first ascertaining from the town finance director the
amount of an occupancy tax due the town.
(1981 Code, sec. 19-63; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
The governing body may contract for the management of programs
and activities for advertising, publicizing and promoting tourist
related attractions, facilities and events. The contractor shall be
required to maintain the funds from the town in a separate account,
not commingled with any other money, maintain complete and accurate
financial records of each expenditure, and make such records available
for inspection upon request by the town. Subcontractors shall be subject
to the same terms and conditions. Lodgers’ tax revenue may be
spent for day-to-day operations, supplies, salaries, office rental,
travel expenses and other administrative costs if incurred directly
for the purpose of advertising, publicizing and promoting tourist
related attractions, facilities and events. Quarterly reports of expenditures
made for contracted services shall be made to the governing body and
the advisory board.
(1981 Code, sec. 19-64; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
A report shall be made quarterly to the local government division
of the state department of finance and administration of expenditure
of lodgers’ tax. A copy shall be submitted to the advisory board.
(1981 Code, sec. 19-65; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
No vendor shall engage in the business of providing lodging
in the town without first obtaining all applicable registrations or
permits as provided in chapter 5.04 of this code.
(1981 Code, sec. 19-76; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 22-18 adopted 10/25/2022)
Any person who violates the provisions of the lodgers’
tax ordinance by failure to pay the tax, to remit the proceeds thereof
to the town, to account properly for any lodging tax proceeds pertaining
thereto, or to provide such records to the town as required in this
chapter, shall be guilty of a misdemeanor and upon conviction shall
be fined in an amount not to exceed five hundred dollars ($500.00)
or by imprisonment not to exceed ninety (90) days, or both.
(1981 Code, sec. 19-58; Ordinance 97-32, sec. 1, adopted 1997; Ordinance 00-13 adopted 2000; Ordinance 22-18 adopted 10/25/2022)
