HomeMy WebLinkAbout10-69 - Amending Resolution 10-53RESOLUTION NO. 10- 69
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF COSTA MESA, CALIFORNIA, AMENDING
RESOLUTION 10-53.
THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY
RESOLVE AS FOLLOWS:
- WHEREAS,, at -its -meeting -of July -6, 201-0 the-City-Council-adopted-Resolut
10-53 increasing the solid waste hauler franchise fee; and
WHEREAS, Resolution 10-53 included some language which inadvertently
changed reporting and payment dates and included unnecessary language regarding
penalties and late payments that are established by Ordinance; and
WHEREAS, it is desirable to amend Resolution 10-53 to remove the
inadvertent changes and eliminate the unnecessary language regarding penalties
and late payments in order to avoid confusion.
NOW THEREFORE, BE IT RESOLVED that the City of Costa Mesa City Council
that Resolution 10-53 is amended as set forth in Attachment 1 to this Resolution.
PASSED AND ADOPTED this 19th day of October, 2010.
ATTEST:
Q�6�_2;2�
J ie Folcik, City Clerk
Allan R. Mansoor, Mayor
APPROVED AS TO FORM:
Ki berly H II arlow, City Attorney
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss
CITY OF COSTA MESA )
I, JULIE FOLCIK, City Clerk of the City of Costa Mesa, DO HEREBY CERTIFY
that the above and foregoing is the original of Resolution No. 10-69 and was duly
passed and adopted by the City Council of the City of Costa Mesa at a regular meeting
held on the 19th day of October, 2010, by the following roll call vote, to wit:
AYES: COUNCIL MEMBERS: MANSOOR, LEECE, BEVER, FOLEY, MONAHAN
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: NONE
IN WITNESS WHEREOF, I have hereby set my hand and affixed the seal of the
City of Costa Mesa this 20th day of October, 2010.
JU E FOLCIK, 61TY CLERK
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Attachment 1
RESOLUTION NO. 10-53
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF COSTA MESA, CALIFORNIA, AMENDING THE
SOLID WASTE HAULING FRANCHISE FEE.
THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY
RESOLVE AS FOLLOWS:
WHEREAS, the -City -Council -of -the -City -of -Costa -Mesa -adopted -Ordinance -No.
04-12 on November 15, 2004, that requires solid waste enterprises operating within the
City to obtain a City franchise and pay a franchise fee; and
WHEREAS, Ordinance No. 04-12 also provides in Municipal Code section 8-87
(c) that the amount of the franchise fee will be set by City Council resolution and the
City Council hereby desires to set a new fee amount and adopt related procedural
provisions for the fee's computation and collection.
WHEREAS, the City Council has adopted Ordinance No. 07-19 on December 4,
2007 setting the penalties for late or,incorrect payment of franchise fees, and
WHEREAS, the City Council desires to clarify the due dates of the quarterly
franchise fee payments and remove reference to penalties and late payment fees which
are set by Ordinance.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF COSTA MESA AS FOLLOWS:
SECTION 1. FRANCHISE FEE.
a. The previously adopted franchise fee is hereby increased to the amount
of 16% of the annual gross receipts of a franchisee from its business
conducted in the City of Costa Mesa. For the purpose of this resolution,
gross receipts means and includes all monies, fees, charges,
consideration, and revenue received by, or imputed to the franchisee and
any affiliates, parent companies, subsidiaries and/or subcontractors of the
franchisee, in connection with, arising from, or in any way attributable to the
services carried out by or on behalf of the franchisee pursuant to a
franchise granted under Costa Mesa Municipal Code section 8-87.
b. This fee shall be paid quarterly by each franchisee to the City Finance
Department ("Department"). Each payment shall be due within 30 days of
the end of each calendar quarter, i.e. payments for the four quarters shall
be due on April 30, July 31, October 31, and January 31 of each
calendar year. Whenever the last day of a fixed and final period falls on a
Saturday, Sunday or other legal Holiday, the due date will be extended to
5:00 pm of the next business day. Franchisees shall include with each
payment the financial data requested by the Department for verifying that
the amount of the fee complies with this resolution.
c. No franchisee shall itemize the amount of the franchise fee as a separate
amount or line -item in its bills to customers.
SECTION 2. FINANCIAL AUDITS OF FRANCHISEES.
a. The Department may order a financial audit of any franchisee pursuant to
Costa Mesa Municipal Code ("CMMC") section 8-87 (f). The City Audit
shall include a review of the franchisee's cash receipts records, solid waste
tonnage collection, diversion, and other related records, as well as those of
each of its parent, subsidiary and/or affiliate companies, as appropriate, to
determine the franchisee's gross receipts, the accuracy of franchise fees
paid, and such other information as shall be deemed appropriate by the City
Finance Director to evaluate the franchisee's compliance with section 8-87.
In connection with a City Audit, franchisees shall make available for review
at their business offices detailed account records, such as the names and
addresses of customers.
b. A franchisee shall reimburse the City for the cost of a City Audit if the
audit determines that the franchise fee for the audited period(s) has been
underpaid in excess of five percent (5%) of the total required fee. Such
reimbursement shall be paid by the franchisee within thirty (30) days of
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the date the City notifies the franchisee in writing of the amount of the
City's cost of the audit.
SECTION 3. REPEAL OF PRIOR RESOLUTION. Effective October 1, 2010,
City Council resolution No. 04-74 and 07-91 establishing the prior franchise fee for
commercial waste haulers doing business in the City of Costa Mesa shall be repealed
and amending and -restating -Resolution -1 -0=53 -which -was adopted ata Public Hearing
on July 6, 2010.
SECTION 4. EFFECTIVE DATE OF FRANCHISE FEE. The franchise fee rate
set by this Resolution shall commence on October 1, 2010, and the first quarter fees
shall be due to the City on January 31, 2011. Failure to pay any franchise fees or
penalties assessed to a franchisee shall constitute grounds for revocation of the
franchise pursuant to CMMC section 8-79.
PASSED AND ADOPTED this 6th day of July, 2010.
Allan R. Mansoor, Mayor
ATTEST:
Jul' Folcik, City Clerk
APPROVED AS TO FORM:
Ki `berly Hal. Barlow, City Attorney
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