This chapter shall be known as the County of Sacramento Transactions and Use Tax Ordinance (Chapter 3.44). The County of Sacramento hereinafter called "County." This chapter shall be applicable in the incorporated and unincorporated territory of the County.
(SCC 1335 § 1, 2006)
a. 
During the past several fiscal years, the County of Sacramento has faced a number of fiscal crises, the loss of property tax revenues resulting from diversion to education from Counties of such revenues by the Legislature, and unfunded social service and other costs mandated by the Legislature. During those years, virtually all County operations funded by County tax revenues have been subjected to budgetary and staffing reductions, leaving inadequate resources to fulfill service demands. The loss of revenue has been particularly felt in those areas deemed "quality of life" in which discretionary spending has been curtailed to maintain at least minimum service levels in mandated and other priority services.
The purpose of this chapter is to raise revenue with which to restore discretionary funds which have been lost to the County which will permit the Board of Supervisors to more properly balance expenditures between mandated or high priority services and "quality of life" services and community amenities through presentation for voter approval of a one-quarter percent Transactions and Use Tax on the November 7, 2006 general election ballot.
Voters are being offered a single measure majority voter approval of which would vest discretion in the Board of Supervisors to expend the estimated $58,000,000 annual revenues for general governmental purposes.
b. 
This chapter is adopted to achieve the following objectives, and its provisions are to be interpreted in order to accomplish such objectives:
1. 
To impose a Retail Transactions and Use Tax throughout the County of Sacramento in accordance with the provisions of Part 1.6 (commencing with Section 7251) and Chapter 2 (commencing with Section 7285) of Part 1.7 of Division 2 of the Revenue and Taxation Code which authorize the Board of Supervisors to levy this tax provided that it is approved by a majority vote of the qualified voters of the County of Sacramento voting in an election on the issue.
2. 
To adopt a Retail Transaction and Use Tax ordinance which incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.
3. 
To adopt a Retail Transactions and Use Tax ordinance which imposes a tax and provides a measure therefor that can be administered and collected by the State Board of Equalization in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the State Board of Equalization in administering and collecting the California State Sales and Use Taxes.
4. 
To adopt a Retail Transactions and Use Tax ordinance which can be administered in a manner which will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes and at the same time minimize the burden of record keeping upon persons subject to taxation under the provisions of this chapter.
(SCC 1335 § 1, 2006)
a. 
Prior to the operative date of this chapter, the County shall contract with the State Board of Equalization to perform all functions incident to the administration and operation of the Transactions and Use Tax levied by this chapter.
b. 
If the County shall not have contracted with the State Board of Equalization prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.
(SCC 1335 § 1, 2006)
For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the County at the rate of one-quarter of one percent of the gross receipts of any retailer from the sale of all tangible property sold at retail in the County on and after the operative date of this chapter.
An excise tax is hereby imposed on the storage, use or other consumption in the County of tangible personal property purchased from any retailer on and after the operative date of this chapter for storage, use or other consumption in the County at the rate of one-quarter of one percent of the sales price of the property. The sales price shall include delivery charges when such charges are subject to State sales or use tax regardless of the place to which delivery is made.
(SCC 1335 § 1, 2006)
The ballot proposition for the measure shall read as follows:
COUNTY SALES TAX
Shall the Board of Supervisors levy a ¼ percent transaction and use tax (sales tax) for a maximum of 15 years for general governmental purposes?
Pursuant to Revenue and Taxation Code Section 7285, the Retail Transactions and Use Tax measure shall be placed on the November 7, 2006, general election ballot. If less than a majority of the qualified voters voting on the Retail Transactions and Use Tax measure approve the measure during the November 7, 2006, election, the tax shall not be imposed.
(SCC 1335 § 1, 2006)
For the purposes of the transactions tax levied by this chapter, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the state or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the State Board of Equalization.
(SCC 1335 § 1, 2006)
Except as otherwise provided in this chapter and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this chapter as though fully set forth herein.
(SCC 1335 § 1, 2006)
In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, wherever the State of California is named or referred to as the taxing agency, the name of the County shall be substituted therefor. The substitution, however, shall not be made when the word "State" is used as a part of the title of the State Controller, State Treasurer, State Board of Control, State Board of Equalization, State Treasury, or the Constitution of the State of California; the substitution shall not be made when the result of that substitution would require action to be taken by or against the County or any agency, officer, or employee thereof rather than by or against the State Board of Equalization, in performing the functions incident to the administration or operation of this chapter; the substitution shall not be made in those sections, including, but not necessarily limited to, sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or to impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provisions of that code; the substitution shall not be made in Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code. The word "County" shall be substituted for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203 and in the definition of that phrase in Section 6203.
(SCC 1335 § 1, 2006)
If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this chapter.
(SCC 1335 § 1, 2006)
a. 
There shall be excluded from the measure of the transactions tax and the use tax levied by this chapter the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law, or the amount of any state-administered transactions or use tax.
b. 
There are exempted from the computation of the amount of transactions tax levied by this chapter the gross receipts from:
1. 
Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.
2. 
Sales of property to be used outside the County which are shipped to a point outside the County, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the County shall be satisfied:
i. 
With respect to vehicles, other than commercial vehicles, subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code, by registration to an out-of-county address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his principal place of residence.
ii. 
With respect to commercial vehicles, by registration to a place of business out-of-County and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.
3. 
The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this chapter.
4. 
A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this chapter.
5. 
For the purposes of subsections (b)(3) and (b)(4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.
c. 
There is exempted from the use tax imposed by the ordinance codified in this chapter, the storage, use or other consumption in the County of tangible personal property:
1. 
The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.
2. 
Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code, but does not apply to fuel or petroleum products.
3. 
If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this chapter.
4. 
If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this chapter.
5. 
For the purposes of subsections (c)(3) and (c)(4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.
6. 
Except as provided in subsection (c)(7) of this section, a retailer engaged in business in the County shall not be required to collect a use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the County or participates within the County in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the County or through any representative, agent, canvasser, solicitor, subsidiary, or person in the County under the authority of the retailer.
7. 
"A retailer engaged in business in the County" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect a use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the County.
d. 
Any person subject to a use tax under this chapter may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax, pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.
(SCC 1335 § 1, 2006)
All amendments subsequent to the effective date of this chapter to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 of Division 2 of the Revenue and Taxation Code, and all amendments of Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this chapter; provided, however, that no such amendment shall operate so as to affect the rate of tax imposed by this chapter.
(SCC 1335 § 1, 2006)
The tax imposed by this chapter shall be imposed for fifteen years from the operative date of the tax as set forth in the ordinance codified in this chapter and, thereafter, shall no longer be imposed.
(SCC 1335 § 1, 2006)
No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the County, or against any officer of the State or the County, to prevent or enjoin the collection under this chapter, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.
(SCC 1335 § 1, 2006)
If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this chapter or any part thereof is for any reason held to be invalid, such invalidity shall not affect the validity of the remaining portion of this chapter or any part thereof. The Board of Supervisors of the County of Sacramento hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be declared invalid.
(SCC 1335 § 1, 2006)