HomeMy WebLinkAboutORD 1974-028 ORDINANCE NO. 7�+-28
AN ORDINANCE PROVIDING FOR THE AMENDMENT
OF THE CITY CODE OF GRAPEVINE, TEXAS, BY
ADDING THERETO A NEW ARTICLE TO BE KNOWN
� AS THE "HOTEL OCCUPANCY TAX"; PROVIDING
�„ n FOR THE ASSESSMENT AND COLLECTION OF A
HOTEL OCCUPANCY TAX; PROVIDING FOR COLLEGTION
AND REPORTS CONCERNING THE TAX; PROVIDING
FOR THE MAKING OF RULES AND REGULATIONS
BY THE CITY MANAGER; PROVIDING FOR A PENALTY
AND AN EFFECTIVE DATE; PROVIDING FOR THE USE
OF REVENUES DERIVED THEREFROM; PROVIDING
FOR A SAVINGS CLAUSE; AND PROVIDING FOR AN
EMERGENGY,
WHEREAS, the City Council is of the opinion and finds that a large
+ portion of the public facilities are necessarily supplied for the use of the
transient public in the form of display and entertainment facilities; and
WHEREAS, the Gity Council is of the further opinion and finds that
public facilities and services in general, benefit and are enjoyed by visitors to
the City of Grapevine; and
� WHEREAS, display, entertainment, meeting and other convention
facilities are provided for the special use and additional benefit of visitors; and
WHEREAS, use of these conv�§ention facilities is to be encouraged
through a vigorous, intensive convention solicitation program supported by
an annual allocation of funds by the City in the manner hereinafter set forth,
from total collections of a hotel occupancy tax after all debt services require-
ments are first satisfied; and
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WHEREAS, the burden of financing the cost of convention facilities
and the convention solicitation program should be spread as far as possible among
the persons for whom the facilities are being provided and who make use of
the facilities from time to time;
NOW, THEREFORE, BE IT ORDAINED BY THE CTTY COUNCIL OF
THE CITY OF GRAPEVINE, TEXAS:
SECTION 1. That the City Code of Grapevine, Texas, be, and it is
hereby amended by adding thereto a new Article known as the "Hotel Occupancy
Tax", consisting of the following sections, which shall read as follows:
' "Hotel Occupancy Tax
1. Definition of Terms
2. Levy of Tax; Rate; Exceptions
3. Disposition of Revenue
4. Collection
5, Reports
6. Rules and Regulations
7. Penalties
8. Effective Date of Tax
9. Collection Fee
10. Grapevine Tourist & Convention Bureau
created; Composition; Appointment of Officers
11. Grapevine Tour�st & Convention Bureau Created;
Qualifications and Appointment of Members;
Term of Office and Removal from Office of
Members of the Bureau; Filling Vacancies
in Bureau
12. Grapevine To�rist & Convention Bureau Created;
Powers and Duties of Bureau
F:- .
13. Grapevine Tourist & Convention Bureau Created;
Budget & A udit,"
�° ' " SECTION 1. Definition of Terms: The following words, terms and
phrases are, for the purpose of this Article, except where the context
clearly indicates a different meaning, defined as follows:
(a) "Hotel" shall mean any building or buildings in which the
public may, for a consideration, obtain sleeping accommodations.
The term shall include hotels, motels, tourist homes, houses or
courts, lodging houses, inns, rooming houses, or other buildings
where rooms are furnished for a consideration, but "hotel" shall
not be defined so as to include hospitals, sanitariums, or nursing
homes.
i (b) "Consideration:" shall mean the cost of the room in such hotel
� -� only if the room is one ordinarily used for sleeping, and shall not
include the cost of any food served or personal services rendered
to the occupant of such room not related to the cleaning arrl readying
of such room for occupancy.
(c) "Occupancy" shall mean the use or possession, or the right
to the use or possesion, of any room in a hotel if the room is
one ordinarily used for sleeping and if the occupant's use,
possession, or right to use or possession extends for a period
� of less than thirty (30) days.
(d) "Occupant" shall mean anyone, who, for a consideration uses,
posseses, or has a right to use or possess any room in a hotel
if the room is one ordinarily used for sleeping.
(e) "Person" shall mean any individual, company, corporation,
or association owning, operating, managing or controlling any
hotel.
(� "City Manager" shall mean the City Manager of the City of
Grapevine or such person as is specifically delegated by him.
(g) "Quarterly Period" shall mean the regular calendar quarters
of the year, the first quarter being composed of the months of
October, November and December, the second quarter being
the months of January, February andMarch, the third quarter
being the months of April , May and June and the foi�rth quarter
being the months of July, August and September.
(h) "Permanent Resident" shall mean any occupant who has or shall
have the right of occupancy of any room or rooms or sleeping space
or facility in a ho�Cel for at least thirty (30) consecutive days during
the cu�.rek:�:calendar year or preceding year,
"Section 2. Levy of Tax; Rate; Exceptions:
(a) There is hereby levied a tax upon the cost of occupancy of any
room or sp�k.e furnished by any hotel where such cost of occupancy
is at the rate of Two Dollars ($2. 00) or more per day, such tax to be
equal to three per cent (3�) of the consideration paid by the occupant
of such room, space or facility to such hotel, exclusive of other
occupancy taxes imposed by other governmental agencies.
"Section 3. Disposition of Revenue:
(a) The revenue derived from this ta x will b�nly be used for the
following purposes as the City Council shall direct:
1. The acquisition of sites for and the construction, improvement,
enlargi�zg, equipping, repairing, operation, and maintenance
of convention center facilities including, but not limited to,
civic center convention buildings, auditoriums, coliseums,
and parking areas or facilities for the paricing or storage of
motor vehicles or other conveyances located at or in the
immediate vicinity of the convention center facilities,
2. The furnishing of facilities, personnel and materials for the
registration of convention delegates or registrants,
3. For adverti�ing for general promotional and tourist advertising
of the city and its vicinity and conducting a solicitation and
o�erating program to attract conventions and visitors either
by the city or through contracts with persons or organizations
selected by the city.
"Section 4. Collection:
Every person owning, operating, managing or controlling any hotel
shall collect the tax imposed in Section 2 hereof for the City of
G rapevine.
"Section 5. Reports:
On the last day of the month following each guarterly period, every
person required in Section 4 hereof to collect the tax imposed herein,
shall file a report with the City Manager showing the consider�tion
paid for all room occupancies in the preceding guarter, the amount
f:.
of the tax collected on such occupancies, and any other information
as the City Manager may reasonably require. Such person shall
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pay the tax due on such occupancies at the time of filing such report.
"Section 6. Rules and Regulations: The City Manager shall have
the power to make such rules and regulations as are necessary to
effectively collect the tax levied herein, and shall upon reasonable
notice have access to books and records necessary to enable him
to determine the correctness of any report filed as reguired by
- this Article and the amount of taxes due under the provisions of
this Article.
'`Section 7. Pena ltie s:
If any person shall fail to collect the tax imposed herein, or shall fail
to file a report as rec�uired herein, or shall fail to pay to the City
Manager the tax as imposed herein when said report for payment
is due, or shall file a false report, then such person shall be
deemed guilty of a misdemeanor and upon conviction be punished
by a fine not to exceed Two Hundred Dollars ($200, 00). In
addition such person who fails to remit the tax imposed by this
Article within the time reguired shall forfeit five per cent (5�)
of the amount due a s a penalty, and after the first thirty (30?� ��ys
shall forfeit an additional five per cent (5%) of such tax, Provided,
however, that the penalty shall never less than One Dollar ($l. 00).
Delinquent taxes shall draw interest at the rate of six per cent
(6%) per annum beginning sixty (60) days from the date due,
"Section 8. Effective Date of Tax:
The occupancy tax authorized by this ordinance shall become
effective beginning october 1 1974 , and shall be
collected on a quarterly basis.
"Section 9. Collection Fee:
The City of Grapevine shall retain five percent (5°/-0) of the gross
amount of the Hotel Occupancy Tax collected to cover the cost of
sa id collection dutie s.
"Section 10. Grapevine Tourist & Convention Bureau Created;
Composition; Appointment of Officers:
There is hereby established the Grapevine Tourist & Convention
Bureau, which shall consist of five (5) members, at lea st two (2)
of which shall be representatives of hotels or motels operated
in the City of Grapevine and the balance shall be citizens of
the City of Grapevine and one ex-officio member from the
administrative staff of the City of Grapevine and one ex-officio
member from the administrative staff of the Grapevine Chamber
of Commerce. One of the members of the Bureau shall be
elected by the Bureau as Chairman and one shall be elected by
the Bureau as Vice-President.
"Section 11. Grapevine Tourist & Convention Bureau Created;
Qualifications and Appointment of Members; Term
of Office and Removal from Office of Members of
the Bureau; Filling Vacancies in Bureau:
All members of the Bureau shall be citizens of the City of
Grapevine at the time of their appointment, The members of
the Bureau shall be appointed by the City Council, and shall
serve for a period of two years unless sooner removed; provided,
that three members shall be appointed to serve two years and two
members shall be appointed to serve for one year, so that annually
thereafter there will be three members appointed one year, and
two members appointed the next year. Regular appointment shall
be made on the date of the first official City Council meeting in
November and the expiration date of each term of office shall
fall on the date of the first official City Council meeting in November
�� 6 during the year in which the term shall e�ire. Any member of the
Bureau may be removed from office by the City Gouncil for any
cause deemed by the City Council sufficient for their removal in
the interest of the public service. Any vacancy in the membership
of the Bureau shall be filled by the Gity Council for the unexpired
term of the member whose place has by removal or otherwise
become vacant. Ex-officio members of the Bureau shall serve
two year terms. The City Council shall upon first appointments
of inembers of the Bureau designate which three members shall
� serve full two year terms and which two members shall serve
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for one year; and, thereafter the City Council shall at its first
official meeting in each succeeding November appoint three members
or two members for two year periods respectively. The term
of office of ex-officio members shall be treated a s specified for
the three members. Ex-officio members shall not vote.
"Section 12. Grapevine Tourist & Convention Bureau Created;
Powers and Duties of Bureau:
The Bureau shall function as a separate entity from the City of
Grapevine but it shall remain responsible only to the City Council
and shall have the following duties:
(a) To make recommendations to the City Council
� ° concerning the acguisition, construction, lease
or purchase of convention center fa�i.lities including
but not limited to civic center convention buildings,
auditoriums, coliseums and parking areas or
facilities for the parking or storage of motor vehicles
or other conveyances located at or in the immediate
���icinity of the convention center facilities,
(b) Provide or locate facilities, personnel and materials
for the registration of convention delegates or
registrants.
(c) Advertise for general promotional and tourist
advertising of the City and its vicinity and conducting
a solicitation and operating programs to attract
conventions and visitors.
(d) Employ a Director whose duties shall be the promotion
of Grapevine as a convention center and tourist attraction,
'S ection 13. Grapevine Tourist & Convention Bureau Created;
Budget and Audit:
The City Council in the regula r Budget of the City of G rapevine
shall provide aperating funds from the collection of the hotel-
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motel convention tax to the Bureau and monthly statements showing
- expenditures and balances shall be provided the City of Grapevine.
The City of Grapevine shall audit all expenditures. "
S�CTION 2. SAVINGS CLAUSE.
If any provision of this ordinance shall be held invalid or unconstitutional,
then Che remainder of such ordinance shall remain in full force and effect the
same as if separately enacted,
SECTION 3. EMERGENCY CLAUSE,
The fact that the general area in which the City of Grapevine lies
�,,,-, has become an attraction for persons from other states and countries reguires
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that the City of Grapevine acquire and provide funds for construction of various
facilities as well as the promotional advertising of the facilities within the
City of Grapevine, creates an urgency and an emergency for the immediate
preservation of the public peace, health, safety and welfare reguires that this
ordinance shall take effect immediately from and after its passage and it is
accordingly so ordained.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE,
TEXAS, this the Zpth day of A�,,,st , 19'� �+•
. c���
� ATTEST:
i
' y ecr t ry
,��..�.
APPROVED AS TO FORM:
ity ttorney