HomeMy WebLinkAboutORD 1987-031 CITY OF GRAPEVINE , TEXAS
ORDINANCE N0. $7-31
AN ORDINANCE OF THE CITY COUNCIL OF
GRAPEVINE , TEXAS AMENDING SECTION 21-5 OF
CHAPTER 21 OF THE CODE OF ORDINANCES, CITY
OF GRAPEVINE , TEXAS BY ADDING NEW
SUBSECTIONS (c) , (d) , (e) , ( f ) AND (g)
RELATING TO LOCAL SALES AND USE TAX ON
� � TELECOMMUNICATIONS SERVICES; REPEALING THE
APPLICATION OF THE EXEMPTION FROM LOCAL
SALES AND USE TAXES ON RECEIPTS FROM THE
SALE OF TELECOMMUNICATIONS SERVICES WITHIN
THE CITY OF GRAPEVINE, TEXAS AS PROVIDED BY
SECTION 4B OF ARTICLE 1066C V.A.T.C .S . ;
IMPOSING A LOCAL SALES AND USE TAX ON THE
RECEIPTS FROM THE SALE OF TELECOMMUNICATIONS
SERVICES WITHIN THE CITY OF GRAPEVINE,
TEXAS; PROVIDING FOR NOTIFICATION TO THE
COMPTROLLER OF THE STATE OF TEXAS; PROVIDING
THRT NO SUCH TAX PROVIDED FOR HEREUNDER
SHALL SERVE AS AN OFFSET TO OR TO REDUCE ANY
AMOUNT PAYABLE BY ANY PROVIDER OF
TELECOMMUNICATIONS SERVICE PURSUANT TO ANY
FRANCHISE, STREET USE ORDINANCE, CHARTER
PROVISION, STATUTE OR ANY OTHER IMPOSITION
OF THE CITY OF GRAPEVINE , TEXAS; MAKING THIS
ORDINANCE CUMULATIVE; PROVIDING A
SEVERABILITY CLAUSE; DECLARING AN EMERGENCY
AND PROVIDING AN EFFECTIVE DATE .
WHEREAS, on December 5 , 1967 , the majority of the
qualified voters of the City of Grapevine, Texas ( the "City" )
� `° voted to adopt a local sales and use tax for the benefit of the
City in accordance with Article 1066c, V.A.T.C .S . , the Local
�,,ap Sales and Use Tax Act; and
WHEREAS, on October 24 , 1967 , by the passage and adoption
of Ordinance No. 67-31 , a one percent ( 1� ) sales and use tax
was adopted within the City; and
WHEREAS , on March 6 , 1979 , by the passage and adoption of
Ordinance No. 79-7 , the City continued the sales and use tax on
the receipts from the sale, production, distribution, lease or
rental of, and the use, storage or other consumption of gas and
electricity for residential use; and
WHEREAS, State law previously exempted from the local
sales and use tax the taxation of receipts from the sale of
telecommunications services within the City; and
WHEREAS, Section 4B of the Local Sales and Use Tax Act,
as added by Section 15 of House Bill No. 1949, Acts 1985 , 69th
Legislature, Regular Session, Chapter 206 , effective October 1 ,
1985, allows the City to repeal the application of the
exemption from local sales and use taxes on receipts from the
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sale of telecommunications services within the City; and
WHEREAS, the repeal of the application of the exemption
would allow the City to impose a sales and use tax on the
receipts from the sale of telecommunications services within
the City; and
WHEREAS, the City Council finds that the repeal of the
application of the exemption, and the imposition of a sales and
use tax on the receipts from the sale of telecommunications
within the City is in the best interests of the citizens of the
City.
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NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF GRAPEVINE, TEXAS:
Section 1 . That all of the above premises are found to
be true and correct and are incorporated into the body of this
Ordinance as if copied in their entirety.
Section 2 . That Section 21-5 of Chapter 21 of the Code
"�° of Ordinances, City of Grapevine, Texas is hereby amended by
adding new subsections (c) , (d) , (e) , ( f) and (g) which
subsections shall read as follows:
( c) A tax is hereby authorized and imposed
on all receipts from the sale of
telecommunications services within the City
of Grapevine, Texas, as is provided for by
State law. For purposes of this Section
21-5 (c) , the sale of telecommunications
services is consummated at the location of
the telephone or other telecommunications
device from which the call or other
communication originates . If the point of
origin cannot be determined, the sale is
consummated at the address to which the call
or other communication is billed .
(d) The application of the exemption on
receipts from the sale of telecommunications
services provided for in Article 1066c,
Section 4B(a) , V.A.T .C .S. , is hereby
repealed by the City as authorized by
�,:.� Section 4B(b) of Article 1066c.
(e) The rate of tax imposed by Section
��_� 21-5 (c) shall be the same as the rate
imposed by the City for all other local
sales and use taxes as authorized by the
legislature of the State of Texas . The tax
imposed by Section 21-5 (c) shall not serve
as an offset to, be in lieu of or in any way
reduce any amount payable to the City
pursuant to any franchise, street use
ordinance, charter provision, statute or ,
without limitation by the foregoing
enumeration, otherwise payable by any
provider of telecommunications service; it
being the express intent hereof that all
such obligations , impositions and agreements
of every kind and nature shall remain in
full force and effect without reduction or
limitation hereby.
( f ) The City Secretary shall forward to the
Comptroller of the State of Texas, by United
States Registered or Certified Mail, a copy
�,,, of this Ordinance immediately upon adoption
and a copy of the minutes of the City
Council 's vote and discussion on this
Ordinance upon approval of the minutes by
the City Council .
(g) The provisions of Sections 21-5 (c) , (d)
and (e) shall become effective as of October
1, 1987 . "
Section 3 . This Ordinance shall be and is hereby
declared to be cumulative of all other ordinances of the City
and this Ordinance shall not operate to repeal or affect any of
such other ordinances .
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Section 4 . This Ordinance is to be liberally construed
to achieve its remedial purposes .
Section 5 . If any section, article , paragraph,
sentence, clause, phrase or word in this Ordinance, or
application thereto any person or circumstances is held invalid
or unconstitutional by a Court of competent jurisdiction, such
holding shall not affect the validity of the remaining portions
of this Ordinance; and the City Council hereby declares it
would have passed such remaining portions of this Ordinance
�'�� despite such invalidity, which remaining portions shall remain
in full force and effect .
Section 6 . This Ordinance shall become effective from
and after its passage as provided by law, and it is accordingly
so ordained .
Section 7 . The fact that the present ordinances and
regulations of the City of Grapevine, Texas are inadequate to
properly safeguard the health, safety, morals, peace, and
general welfare of the inhabitants of the City of Grapevine,
Texas, creates an emergency for the immediate preservation of
the public business, property, health, safety, and general
welfare of the public which requires that this ordinance become
effective from and after the date of its passage and it is
accordingly so ordained .
PASSED AND APPROVED this 16th day of June _�
1987 . _
Mayor , City of Grapevine, Texas
ATTEST:
�,a.•..
�� � Cit retary, C of Grapevine, Texas
[SEAL]
APPROVED AS TO FORM:
City Attorney, ity G apevine, Texas
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