This chapter shall be known as the "Utility Users' Tax Ordinance" of the city.
(Ord. 506 § 2, 1994)
The following words and phrases whenever used in this chapter shall be construed as defined in this section.
"City"
means the city of Loma Linda.
"Cogenerator"
means any person employing cogeneration technology (as defined in Section 218.5 of the California Public Utilities Code) for producing power from other than a conventional power source for the generation of electricity for self-use or sale to others.
"Gas"
means natural or manufactured gas or any alternate hydrocarbon fuel which may be substituted therefor.
"Month"
means a calendar month.
"Nonutility supplier"
means: (a) an electricity supplier, other than an electrical corporation franchised to serve the city, which generates electrical energy in capacities of at least fifty kilowatts for its own use or for sale to others, including those using cogeneration or fuel cell technologies; or (b) a gas supplier, other than a gas corporation franchised to serve the city, that sells or supplies gas to other users within the city.
"Person"
means any domestic or foreign corporation, firm, association, syndicate, joint stock company, partnership of any kind, joint venture, club, Massachusetts business or common law trust, society or individuals.
"Service supplier"
means any entity required to collect or self-impose and remit a tax as imposed by this chapter.
"Service user"
means a person required to pay a tax imposed by this chapter.
"Tax administrator"
means the finance director of the city of Loma Linda.
"Telephone corporation," "electrical corporation," "gas corporation," "cable television corporation"
shall have the same meanings as defined in Sections 234, 218, 222, 241 and 215-5, respectively, of the California Public Utilities Code except, "electrical corporation," "gas corporation," shall also be construed to include any municipality or public agency engaged in the selling or supplying of electrical power or gas to a service user.
(Ord. 506 § 3, 1994)
A. 
Nothing in this chapter shall be construed as imposing a tax upon any person when imposition of such tax upon that person would be in violation of the Constitution of the United States or that of the state of California.
B. 
Entities defined under Section 3.18.020(J) of this chapter and other public authorities, as defined by the tax administrator, shall be exempt from this tax.
C. 
The city council may, by order or resolution, establish one or more classes of persons or one or more classes of utility service otherwise subject to payment of a tax imposed by this chapter and provide that such classes of persons or service shall be exempt in whole or in part from such tax.
D. 
The tax administrator shall prepare a list of the persons exempt from the provisions of this chapter by virtue of this section and furnish a copy thereof to each service supplier.
E. 
The tax imposed by this chapter shall not apply to charges related to late payments, returned checks and collection charges.
(Ord. 506 § 4, 1994)
A. 
There is imposed a tax on the amounts paid for any intrastate telephone services by every person in the city using such services. The tax imposed by this section shall be at the rate of three percent of the charges made for such services and shall be paid by the person paying for such services.
B. 
As used in this section, the term "charges" shall not include charges for services paid for by inserting coins in coin-operated telephones except that where such coin-operated service is furnished for a guaranteed amount, the amounts paid under such guarantee plus any fixed monthly or other periodic charge shall be included in the base for computing the amount of tax due; nor shall the term "charges" include charges for any type of service or equipment furnished by a service supplied subject to public utility regulations during any period in which the same or similar services or equipment are also available for sale or lease from persons other than a service supplier subject to public utility regulation; nor shall the words "telephone communication services" include land mobile service or maritime mobile services as defined in Section 2.1 of Title 47 of the Code of Federal Regulations, as said section existed on January 1, 1970. The term "telephone communication services" refers to that service which provides access to a telephone system and the privilege of telephone quality communication with substantially all persons having telephone stations which are part of such telephone system. The telephone users' tax is intended to, and does, apply to all charges billed to a telephone account having a situs in the city, irrespective of whether a particular communication service originates and/or terminates within the city.
C. 
The tax imposed by this section shall be collected from the service user by the person providing the intrastate telephone communication services, or the person receiving payment for such services. The amount of the tax collected in one month shall be remitted to the tax administrator on or before the last day of the following month; or at the option of the person required to collect and remit the tax, an estimated amount of tax collected, measured by the tax bill in the previous month, shall be remitted to the tax administrator on or before the last day of each month.
D. 
Notwithstanding the provisions of subsection (A) of this section, the tax imposed under this section shall not be imposed upon any person for using intrastate telephone communication services to the extent that the amounts paid for such services are exempt from or not subject to the tax imposed under Division 2, Part 20 of the California Revenue and Taxation Code, or the tax imposed under Section 4251 of the Internal Revenue Code.
(Ord. 506 § 5, 1994; Ord. 518 § 1, 1995)
A. 
There is imposed a tax upon every person using electrical energy in the city. The tax imposed by this section shall be at the rate of three percent of the charges made for such energy by an electrical corporation franchised to serve the city and shall be paid by the person using the energy. The applicable tax for electrical energy provided by a nonutility supplier shall be determined by applying the tax rate to the equivalent charges the service user would have incurred if the energy used had been provided by the electrical corporation franchised by the city. Rate schedules for this purpose shall be available from the city. Nonutility suppliers shall install and maintain an appropriate utility-type metering system which will enable compliance with this section, or may arrange another methodology for applying the tax acceptable to the tax administrator. "Charges," as used in this section, includes all charges made for: (1) metered energy and (2) minimum charges for service, including customer charges, service charges, demand charges, fuel or other cost adjustments.
B. 
As used in this section, the term "using electrical energy" shall not be construed to mean the receiving of such energy by a person for the purpose of using it in the charging a battery owned or possessed by him for use in an automobile or other machinery device apart from the premises upon which the energy was received.
C. 
The tax imposed in this section shall be collected from the service user by any energy service supplier or a nonutility supplier. An energy supplier providing wheeling services for delivery of electricity through its distribution system shall collect the tax from the service user based upon the cost of wheeling the electricity. The tax on energy provided by self-production or by a nonutility supplier shall be collected and remitted in the manner set forth in Section 3.18.080. The amount of tax collected in one month shall be remitted by U.S. mail, to the tax administrator, postmarked on or before the last day of the following month; or, at the option of the person required to collect or remit the tax, an estimated amount of tax measured by the tax billed in the previous month or upon the payment pattern of the customers of the service supplier, shall be remitted.
(Ord. 506 § 6, 1994; Ord. 518 § 2, 1995)
A. 
The tax imposed on every person using cogenerated electrical energy in the city shall be at the rate specified in Section 3.18.050. The tax applicable to cogenerated electrical energy used on-site shall be determined by applying the tax rate to the equivalent charges the cogenerator would have incurred if the energy used had been provided by the electrical corporation franchised by the city.
B. 
The cogenerator shall install and maintain an appropriate metering system which will enable compliance with this section.
C. 
The tax shall be collected and paid by the cogenerator under Section 3.18.080 if the cogenerator consumes the energy. If the cogenerator sells the energy for consumption in the city, the tax will be imposed by applying the tax rate to the equivalent charges for such service the service user would have incurred if the energy used had been provided by the electrical corporation franchised by the city, and shall be collected from the service user by the energy service supplier.
D. 
The amount of the tax collected in one month shall be remitted to the tax administrator on or before the last day of the following month.
(Ord. 506 § 7, 1994)
A. 
There is imposed a tax upon every person using gas in the city, gas which is transported through a pipeline distribution system or by mobile transport. The tax imposed by this section shall be at the rate of three percent of the charges made for such gas and shall be paid by the person using the gas. The tax applicable to gas provided by nonutility suppliers shall be determined by applying the tax rate to the equivalent charges the service user would have incurred if the gas or gas transportation had been provided by the gas corporation franchised by the city. "Charges" as used in this section shall include: (1) the charge for gas which is delivered through a gas pipeline distribution system or by mobile transport; (2) gas transportation charges; and (3) demand charges, service charges, customer charges, minimum charges, annual and monthly charges and any other charges authorized by the California Public Utilities Commission or the Federal Energy Regulatory Commission.
B. 
There shall be excluded from the tax imposed in this section: (1) charges for gas which is to be resold and delivered through a gas pipeline distribution system or mobile transport; (2) charges made for gas used to generate electricity by a cogenerator or as the primary fuel in a fuel cell; and (3) charges made for natural gas used in the propulsion of a motor vehicle, as that phrase is defined in the Vehicle Code of the state of California, utilizing natural gas.
C. 
Tax imposed in this section shall be collected from the service user by the energy service supplier. An energy supplier providing transportation services for delivery of gas through a pipeline distribution system shall collect the tax from the service user based upon the cost of transporting the gas. The tax on energy provided by self-production or by a nonutility supplier shall be collected and remitted in the manner set forth in Section 3.18.080. The amount of tax collected in one month shall be remitted by U.S. mail, to the tax administrator, postmarked on or before the last day of the following month; or, at the option of the person required to collect or remit the tax, an estimated amount of tax measured by the tax billed in the previous month or upon the payment pattern of the customers of the service supplier, shall be remitted.
(Ord. 506 § 8, 1994; Ord. 518 § 3, 1995)
A. 
Any service user subject to a tax imposed by Sections 3.18.040—3.18.070 who produces electricity or gas for self-use or who receives electricity or gas directly from a nonutility supplier not under the jurisdiction of this chapter or otherwise not having the full tax due on the use of gas or electricity in the city directly billed and collected by the service supplier, shall report said fact to the tax administrator and remit the tax due directly to the city within thirty days of such use.
B. 
The tax administrator may require said service user to identify its nonutility supplier and provide, subject to audit, filed tax returns or other satisfactory evidence documenting the quantity of electricity or gas used and the price thereof.
(Ord. 506 § 9, 1994)
A. 
There is imposed a tax upon every person in the city using cable television service. The tax imposed by this section shall be at the rate of three percent of the charges made for such service and shall be paid by the person paying for such service.
B. 
The tax imposed in this section shall be collected from the service user by the person furnishing the cable television service. The amount collected in one month shall be remitted to the tax administrator on or before the last day of the following month.
(Ord. 506 § 10, 1994; Ord. 518 § 4, 1995)
A. 
There is imposed a tax upon every person in the city using water which is delivered through mains or pipes. The tax imposed by this section shall be at the rate of three percent of the charges made for such water and shall be paid by the person paying for such water.
B. 
There shall be excluded from the base on which the tax imposed in this section is computed, charges made for water which is to be resold and delivered through mains or pipes.
C. 
The tax imposed in this section shall be collected from the service user by the person supplying the water. The amount collected in one month shall be remitted to the tax administrator on or before the last day of the following month.
(Ord. 506 § 11, 1994; Ord. 518 § 5, 1995)
Taxes collected from a service user which are not remitted to the tax administrator on or before the due dates provided in this chapter are delinquent. Should the due date occur on a weekend or legal holiday, the return may be postmarked on the first regular working day following a Saturday, Sunday, or legal holiday.
(Ord. 506 § 12, 1994)
Any tax required to be paid by a service user under the provisions of this chapter shall be deemed a debt owed by the service user to the city. Any such tax collected from a service user which has wilfully been withheld from the tax administrator shall be deemed a debt owed to the city by the person required to collect and remit. Any person owing money to the city under the provisions of this chapter shall be liable to an action brought in the name of the city for the recovery of such amount.
(Ord. 506 § 13, 1994)
The duty to collect and remit the taxes imposed by this chapter shall be performed as follows:
A. 
Notwithstanding the provisions of Section 3.18.080, the tax shall be collected insofar as practicable at the same time as and along with the charges made in accordance with the regular billing practices of the service supplier. Where the amount paid by a service user to a service supplier is less than the full amount of the energy charge and tax which has accrued for the billing period, such amount and any subsequent payments by a service user shall be applied to the utility charge first until such charge has been fully satisfied. Any remaining balance shall be applied to taxes due. In those cases where a service user has notified the service supplier of refusal to pay the tax imposed on said energy charges, Section 3.18.140(C) will apply.
B. 
The duty to collect tax from a service user shall commence with the beginning of the first full regular billing period applicable to the service user where all charges normally included in such regular billing are subject to the provisions of this chapter. Where a person receives more than one billing, one or more being for different periods than another, the duty to collect shall arise separately for each billing.
(Ord. 506 § 14, 1994)
A. 
The tax administrator shall have the power and duty, and is directed to enforce each and all of the provisions of this chapter.
B. 
The tax administrator shall have the power to adopt rules and regulations not inconsistent with the provisions of this chapter for the purpose of carrying out and enforcing the payment, collection and remittance of the taxes imposed in this chapter. A copy of such rules and regulations shall be on file in the tax administrator's office.
C. 
The tax administrator may make administrative agreements to vary the strict requirements of this chapter so that collection of any tax imposed in this chapter may be made in conformance with the billing procedures of a particular service supplier so long as said agreements result in collection of the tax in conformance with the general purpose and scope of this chapter. A copy of each such agreement shall be on file in the tax administrator's office.
D. 
The tax administrator shall determine the eligibility of any person who asserts a right to exemption from the tax imposed by this chapter. The tax administrator shall provide the service supplier with the name of any person who the tax administrator determines is exempt from the tax imposed by this chapter, together with the address to which service is supplied to any such exempt person. The tax administrator shall notify the service supplier of termination of any person's right to exemption or the change of any address to which service is supplied to any exempt person.
E. 
The tax administrator shall provide written notice to all service suppliers of any change in the city's boundaries at least ninety days prior to any annexation or other change in the city's boundaries. Said notice shall set forth the revised boundaries by street and address along with a copy of the final annexation order from local agency formation commission.
(Ord. 506 § 15, 1994)
A. 
The tax administrator may make an assessment for taxes not remitted by a person required to remit.
B. 
Whenever the tax administrator determines that a service user has deliberately withheld the amount of tax owed by the service user from the amounts remitted to a person required to collect the tax, or that a service user has refused to pay the amount of tax, the tax administrator may relieve such person of the obligation to collect taxes due under this chapter from certain named service users for specified billing periods.
C. 
The service supplier shall provide the city with amounts refused and/or unpaid along with the names and addresses of the service users neglecting to pay the tax imposed under this chapter. Whenever the service user has failed to pay the amount of tax for a period of two or more billing periods, the service supplier shall be relieved of the obligation to collect taxes due.
D. 
The tax administrator shall notify the service user that the tax administrator has assumed responsibility to collect the taxes due for the stated periods and demand payment of such taxes. The notice shall be served on the service user by personal delivery or by deposit of the notice in the U.S. mail, postage prepaid thereon, addressed to the service user at the address to which billing was made by the person required to collect the gas; or, should the service user have changed addresses, to the last known address. If a service user fails to remit the tax to the tax administrator within fifteen days from the date of the service of the notice, which shall be the date of mailing if service is not accomplished in person, a penalty of twenty-five percent of the amount of the tax set forth in the notice shall be imposed, but not less than five dollars. The penalty shall become part of the tax required to be paid in this chapter.
(Ord. 506 § 16, 1994)
A. 
It shall be the duty of every person required to collect and remit to the city any tax imposed by this chapter to keep and preserve, for a period of three years, all records as may be necessary to determine liability for the remittance to the tax administrator, which records the tax administrator shall have the right to inspect at all reasonable times.
B. 
A person providing transportation services of natural gas to a user for delivery through a gas pipeline distribution system shall make available to the tax administrator records of the names and addresses of service users for whom only transportation services are provided by such persons. All information provided to the tax administrator pursuant to this section shall be used solely for the purposes of this chapter.
(Ord. 506 § 17, 1994)
A. 
Whenever the amount of any tax has been overpaid or paid more than once or has been erroneously or illegally collected or received by the tax administrator under this chapter, it may be refunded by the tax administrator.
B. 
Notwithstanding the provisions of subsection (A) of this section, a service supplier may claim a refund; or take as credit against taxes remitted the amount overpaid, paid more than once, or erroneously or illegally collected or received when it is established that the service user from whom the tax has been collected did not owe the tax; provided, however, that neither a refund nor a credit shall be allowed unless the amount of the tax erroneously or illegally collected has either been refunded to the service user or credited to charges subsequently payable by the service user to the person required to collect and remit. A service supplier that has collected any amount of tax in excess of the amount of tax imposed by this chapter and actually due from a service user, may refund such amount to the service user and claim credit for such overpayment against the amount of tax which is due upon any other monthly returns, provided such credit is claimed in a return dated no later than three years from the date of overpayment.
C. 
No refund shall be paid under the provisions of this section unless the claimant establishes the right thereto by written records showing entitlement thereto.
D. 
Notwithstanding other provisions of this section, whenever a service supplier, pursuant to an order of the California Public Utilities Commission or a court of competent jurisdiction, makes a refund to service users of charges for past utility services, the taxes paid pursuant to this chapter on the amount of such refunded charges shall also be refunded to service users, and the service supplier shall be entitled to claim a credit for such refunded taxes against the amount of tax which is due upon the next monthly returns. In the event this chapter is repealed, the amounts of any refundable taxes will be borne by the city.
E. 
A service supplier may refund the taxes collected to the service user in accordance with this section or by the service supplier's customary practice.
(Ord. 506 § 18, 1994)
The service supplier shall, upon notification, terminate or suspend any utility users' tax effective July 31, 1996.
(Ord. 506 § 19, 1994; Ord. 518 § 6, 1995)