The City Council declares that the license taxes required to be paid hereby are assessed pursuant to Section 37101 of the Government Code of the State of California and the taxing power of the city and solely for the purpose of producing revenue. This chapter is not adopted for regulatory purposes. The continued development of the city, with the consequent increase in population and in the use of public facilities, has imposed increased requirements for such facilities, including, but not limited to parks, major streets, traffic signals, storm drains, bridges and public buildings (such as fire stations, police facilities, maintenance facilities, libraries and general offices). The necessity for such facilities results from new construction. The need for such facilities cannot be met from existing city revenues. The most practical and equitable method of raising city revenue is to impose a tax upon new construction in the city.
(Ord. 6067 § 1, 1982)
For the purposes of this chapter, the following words and phrases shall have the meanings respectively ascribed to them by this section:
"Mobile home space"
means each space, area or building, in a trailer park or mobile home park or other place, designed or intended as a place to accommodate any mobile home, trailer, van, bus or other vehicle or mobile structure, at a time when the same is being used as living or sleeping quarters for human beings.
"Person"
includes every individual, firm, partnership, joint venture, association, trust, corporation or any other group engaging in construction activities itself or through the services of any employee, agent or independent contractor.
(Ord. 6067 § 1, 1982)
A. 
In addition to any other fee, license or tax required by this code, every person constructing or causing to be constructed or erected any building or structure in the city for which a building permit is required, shall pay a license tax in the amount of 3.5 percent of the valuation of the building or structure established pursuant to this code for determining the building permit fee.
B. 
The developer of a mobile home park shall pay a license tax fee of $1,150.00 for each mobile home space. The license tax for mobile home spaces shall be automatically increased or decreased on January 1st of each year by the same percentage as the percentage of increase or decrease in construction costs between December 1st of each of the two immediately preceding years, for which purpose construction costs and the increase or decrease therein shall be based on the Engineering News Record Construction Cost Index.
C. 
For the alteration of or addition to residential structures or mobile home parks, the license tax shall be computed only on the valuation of additional dwelling units or mobile home spaces, if any, resulting from the alteration or addition.
D. 
For additions to structures, other than residential structures, the tax shall be calculated on the value of the addition only.
E. 
For the alteration of structures, other than residential structures, the tax shall be calculated on the value added by the alteration. The tax shall be imposed upon alterations only where the alteration changes the use potential for the structure, results in the ability to accommodate a more intense operation of the existing use, or results in making the structure suitable for occupancy or use pursuant to the building code.
(Ord. 6067 § 1, 1982; Ord. 6072 § 1, 1983; Ord. 6078 § 1, 1986; Ord. 6082 § 1, 1987; Ord. CS-041 § 5, 2009; Ord. CS-094 § 5, 2010; Ord. CS-154 § 5, 2011; Ord. CS-186 § 5, 2012)
A credit toward the license tax imposed by this chapter shall be given if:
A. 
A public facilities fee has been paid pursuant to council policy number 17 in satisfaction of an obligation under a public facilities fee agreement for the building or structure. The amount of the credit shall be the amount of the fee paid. For purposes of this section, the payment of a public facilities fee shall be deemed to include any applicable credits against such fee from community facilities district number one;
B. 
The property is subject to taxation under the communities facilities district number one amount of the credit shall be determined by the City Council and established by resolution.
(Ord. 6067 § 1, 1982; Ord. NS-156 § 1, 1991)
The license taxes imposed pursuant to Section 5.09.030 shall be due and payable at the Office of the Community and Economic Development Director, City Hall, Carlsbad, California, upon issuance of the building permit. The tax for a mobile home space shall be paid prior to the issuance of the first permit for the construction of such space or if such construction is performed without a permit, at the time when construction is commenced.
No permit shall be issued until the tax is paid.
(Ord. 6067 § 1, 1982; Ord. NS-676 § 3, 2003; Ord. CS-164 § 14, 2011)
If a permit for construction work expires or if such permit is revoked and if within 30 days following the expiration or revocation date of the permit the permittee files written application for a refund in the office of the City Clerk, there shall be a refund of the entire tax paid. There shall be no refund if any construction work has been performed nor shall there be any partial refund. In the event of a refund, it is unlawful for any person to proceed in any way with further construction without first applying for another building permit and paying the tax imposed by this chapter. If no refund is made and a permit expires after work has been performed, a new building permit shall be required and the tax imposed by this chapter shall be paid; provided, however, a credit shall be given not to exceed the tax paid in connection with the expired permit.
(Ord. 6067 § 1, 1982)
Funds from this tax shall be placed in the general fund and shall be available for general governmental purposes. Decisions on the expenditure of such funds shall be made by the City Council in the context of approval of the city's annual operating and capital improvements budget or at such other time as the council may direct.
(Ord. 6067 § 1, 1982)
There is excepted from the tax imposed by this chapter, the following:
A. 
The construction of a building or structure or mobile home space which is a replacement for a building or space being removed from the same lot or parcel of land. The exception shall equal but not exceed the tax which would be payable hereunder if the building being replaced were being newly constructed. If the tax imposed on the new building exceeds the amount of this exception, such excess shall be paid;
B. 
Accessory buildings or structures in mobile home parks, such as a club house, swimming pool, or laundry facilities;
C. 
Buildings or structures which are clearly accessory to an existing use such as fences, pools, patios and automobile garages;
D. 
Additions to existing single-family or two-family residential structures, provided the addition does not create a new dwelling unit or economy dwelling unit as defined by the Uniform Building Code;
E. 
The City Council may grant an exception for a low cost housing project where the City Council finds such project consistent with the housing element of the general plan and that such exception is necessary. In approving an exception for low cost housing, the City Council may attach conditions, including limitations on rent or income levels of tenants. If the City Council finds a project is not being operated as a low cost housing project in accordance with all applicable conditions, the tax, which would otherwise be imposed by this chapter, shall immediately become due and payable.
(Ord. 6067 § 1, 1982)
There is excluded from the tax imposed by this chapter:
A. 
Any person when imposition of such tax upon that person would be in violation of the Constitution and laws of the United States or the State of California;
B. 
The construction of any building by a nonprofit corporation exclusively for religious, educational, hospital or charitable purposes;
C. 
The construction of any building by the City of Carlsbad, the United States or any department or agency thereof or by the State of California or any department, agency or political subdivision thereof.
(Ord. 6067 § 1, 1982)
It is unlawful for any person to erect, construct, enlarge, alter, repair, move, improve, make, put together or convert any building or structure in the city, or attempt to do so, or cause the same to be done, without first paying the tax imposed by this chapter.
(Ord. 6067 § 1, 1982)
The taxes imposed by this chapter are due from the person by or on behalf of whom a residential, industrial or commercial building or mobile home space is constructed, whether such person is the owner or a lessee of the land upon which the construction is to occur. The Community and Economic Development Director shall collect the tax due hereunder. The full amount due under this chapter shall constitute a debt to the city. An action for the collection thereof may be commenced in the name of the city in any court having jurisdiction of the cause.
The City Manager shall be responsible for the administration and enforcement of this chapter. The City Manager's decisions may be appealed to the City Council whose decision shall be final.
(Ord. 6067 § 1, 1982; Ord. NS-676 § 3, 2003; Ord. CS-164 § 14, 2011)
The taxes imposed by this chapter shall be applicable with respect to building permits for construction activities, issued on or after November 3, 1987, provided any person constructing one or more dwelling units, or otherwise engaging in construction taxable hereunder, pursuant to a building permit applied for before July 28, 1987, but not actually issued until on or after the date, shall not be liable for payment of the tax provided such person has obtained all other discretionary approvals required for the project, has had the application accepted as complete, paid the plan check fee, and who obtains the permit applied for within 180 days of the date the application was accepted and diligently pursues the project to completion.
(Ord. 6067 § 1, 1982; Ord. 6082 § 1, 1987)
The increased tax adopted by Ordinance No. 6078 shall apply to all projects for which building permits were issued after January 21, 1986. In those instances where building permits were issued after January 21, 1986, and before the effective date of this ordinance, the increased tax shall be due and owing upon the effective date of this ordinance. This section is adopted to implement city Ordinance No. 9791.
(Ord. 6078 § 2, 1986)