Chapter 3.15
PARKING TAX
Sections:
3.15.040 Parking facility tax imposed.
3.15.060 Parking facility operator’s duties.
3.15.080 Reporting and remitting.
3.15.090 Penalties and interest.
3.15.100 Failure to collect and report tax – Determination of parking tax due.
3.15.010 Authority.
This chapter shall be known as the “Parking Tax Ordinance of the City of Millbrae.” (Ord. 702, § 1)
3.15.020 Purpose.
The parking tax required by this chapter is imposed through the taxing power of the city solely for the purpose of generating revenue to be placed in the general fund to support general municipal services and functions. Payment of the tax does not release or in any way excuse a person from compliance with other applicable provisions of this code or other laws, including any permit or license requirement. (Ord. 702, § 1).
3.15.030 Definitions.
A. “Effective date” means November 9, 2005, on which date the ordinance codified in this chapter will go into effect if it has received a majority vote approval in the general municipal election on November 8, 2005.
B. “Occupant” means a person who, for consideration, uses, possesses or has the right to use or possess any space for the parking or storage of motor vehicles, motorcycles, or other similar means of conveyance in a parking facility.
C. “Parking facility” means any privately owned operation located off of the street in the city of Millbrae with the purpose of providing, for any form of consideration, parking or storage of motor vehicles, motorcycles or other similar means of conveyance.
D. “Parking facility operator” means the person who is the proprietor of the parking facility, whether in the capacity of owner, lessee, sublessee, mortgagee in possession, licensee, or any other capacity, including but not limited to a receiver appointed by a court of competent jurisdiction or a trustee in bankruptcy. Where a parking facility operator performs functions through a managing agent of any type or character other than an employee, the managing agent shall also be deemed a parking facility operator for the purposes of this chapter and shall have the same duties and liabilities as his/her principal. Compliance with the provisions of this chapter by either the principal or the managing agent shall, however, be considered to be compliance by both.
E. “Parking fee” means the consideration received for the parking or storage of motor vehicles, motorcycles, or other similar means of conveyance, whether to be received in money, goods, labor or otherwise, including all receipts, cash, credits and property and services of any kind or nature, without any deduction therefrom whatsoever. “Parking fee” includes the total charges required to be paid by an occupant (including, but not limited to, a valet or service labor charge) in connection with the use or occupancy of parking space.
F. “Parking tax” means the tax imposed by this chapter.
G. “Tax administrator” means the city manager or designee. (Ord. 702, § 1).
3.15.040 Parking facility tax imposed.
For the privilege of parking at a parking facility, each occupant is subject to and shall pay a parking tax in the amount of ten percent of the parking fee charged by a parking facility operator commencing on the effective date of the ordinance codified in this chapter. Where the parking fee is paid, charged or billed, or falls due on either an hourly, daily, weekly, monthly or other term basis, the parking fee so paid, charged, billed, or fallen due shall be subject to the tax herein imposed.
The parking tax constitutes a debt owed to the city which is extinguished only by payment to the parking facility operator or to the city. Each occupant shall pay the tax to the parking facility operator at the time the parking fee is paid. If the parking fee is paid in installments, a proportionate share of the tax shall be paid with each installment. If for any reason the tax due is not paid to the parking facility operator, the tax administrator may require that such tax shall be paid directly to the tax administrator. (Ord. 702, § 1).
3.15.050 Exemption.
No parking tax shall be imposed on any occupant who is a registered guest in a hotel as defined in MMC 3.30.020(B) for the parking or storage of a motor vehicle on or off hotel premises if no charge is made to the occupant or if such charge is added to the room bill of the occupant and paid by him to the hotel; provided, that proper records are maintained by both the hotel operator and the parking facility operator which accurately reflect such exempt parking activity. (Ord. 702, § 1).
3.15.060 Parking facility operator’s duties.
Each parking facility operator shall collect the tax imposed by this chapter to the same extent and at the same time as the parking fee is collected. The amount of tax shall be separately stated from the amount of the parking fee charged, and each customer shall receive a receipt for payment from the parking facility operator.
No parking facility operator shall advertise or state in any manner, whether directly or indirectly, that the tax or any part thereof will be assumed or absorbed by the parking facility operator, or that it will not be added to the parking fee, or that, if added, any part will be refunded except in the manner provided in this chapter. (Ord. 702, § 1).
3.15.070 Registration.
Within ten days after commencing business or the effective date of the ordinance codified in this chapter, each parking facility operator shall register said parking facility with the tax administrator and obtain from the tax administrator a “parking facility registration certificate” to be at all times posted in a conspicuous place on the premises. Said certificate shall state the name of the parking facility operator, the address of the parking facility, the date upon which the certificate was issued, and such other information to facilitate the collection of the tax as the tax administrator may require. The parking facility registration certificate shall be signed by the owner if a natural person; in the case of an association or partnership, by a member or partner; in the case of a corporation, by an executive officer or some person specifically authorized by the corporation to sign the parking facility registration certificate. The tax administrator shall within thirty days after such registration issue without charge a certificate of authority to each registrant to collect the tax from the occupant, together with a duplicate certificate and the duplicate shall state the place of business to which it is applicable. Such certificates shall be nonassignable and nontransferable and shall be surrendered immediately to the tax administrator upon cessation of business at the location named or upon its sale or transfer. (Ord. 702, § 1).
3.15.080 Reporting and remitting.
A. Every parking facility operator shall, on or before the last day of the month following the close of each calendar quarter, tender a return to the tax administrator comprised of an accounting of the total parking fees charged and received together with the amount of parking taxes collected during the preceding quarter. At the time the return is filed, the full amount of the parking taxes shall be remitted to the city.
B. Returns and payments are due immediately upon cessation of business of the parking facility for any reason. (Ord. 702, § 1).
3.15.090 Penalties and interest.
A. Original Delinquency. Any parking facility operator who fails to remit any tax imposed by this chapter within the time required shall pay a penalty of ten percent of the amount of the parking taxes due in addition to the amount of said taxes due.
B. Continued Delinquency. Any parking facility operator who fails to remit any delinquency remittance on or before a period of thirty days following the date on which the remittance first became delinquent shall pay a second delinquency penalty of ten percent of the amount of the parking taxes due in addition to the amount of said taxes due and the ten percent penalty first imposed.
C. Fraud. If the tax administrator determines that the nonpayment of any remittance due under this chapter is due to fraud, a penalty of twenty-five percent of the amount of the tax shall be added thereto in addition to the penalties stated in subsections (A) and (B) of this section.
D. Interest. In addition to the penalties imposed, any parking facility operator who fails to remit any tax imposed by this chapter shall pay interest at the rate of one-half of one percent per month or fraction thereof on the amount of the parking taxes due, exclusive of penalties, from the date on which the remittance first became delinquent until paid.
E. Penalties Merged with Tax. Every penalty imposed and such interest as accrues under the provisions of this section shall become a part of the parking taxes required to be paid in this chapter. (Ord. 702, § 1).
3.15.100 Failure to collect and report tax – Determination of parking tax due.
If any parking facility operator fails or refuses to collect the parking taxes and to submit to city, within the time provided in this chapter, any report and remittance of said taxes or any portion thereof required by this chapter, the tax administrator shall proceed in such manner as the tax administrator may deem best to obtain facts and information on which to base an estimate of the taxes due. As soon as the tax administrator procures such facts and information upon which to base the assessment of any tax imposed by this chapter and payable by any parking facility operator who has failed or refused to collect the same and to make such report and remittance, the tax administrator shall proceed to determine and assess against such parking facility operator the tax, interest and penalties provided for by this chapter. In case such determination is made, the tax administrator shall give a notice of the amount so assessed by serving it personally or by depositing it in the United States mail, postage prepaid, addressed to the parking facility operator so assessed at his last known place of address. Such parking facility operator may within ten days after the serving or mailing of such notice make application in writing to the tax administrator for a hearing on the amount assessed. If application by the parking facility operator for a hearing is not made within the time prescribed, the tax, interest and penalties, if any, determined by the tax administrator shall become final and conclusive and immediately due and payable. If such application is made, the tax administrator shall give not less than five days’ written notice in the manner prescribed herein to the parking facility operator to show cause at a time and place fixed in said notice why said amount specified therein should not be fixed for such tax, interest and penalties. At such hearing, the parking facility operator may appear and offer evidence why such specified tax, interest and penalties should not be so fixed. After such hearing the tax administrator shall determine the proper tax to be remitted and shall thereafter give written notice to the parking facility operator in the manner prescribed herein of such determination and the amount of such tax, interest and penalties. The amount determined to be due shall be payable after fifteen days unless an appeal is taken as provided in MMC 3.15.110. (Ord. 702, § 1).
3.15.110 Appeal.
Any parking facility operator aggrieved by any decision of the tax administrator with respect to the amount of such tax, interest and penalties, if any, may appeal to the city council by filing a notice of appeal with the city clerk within fifteen days of the serving or mailing of the determination of tax due. The council shall fix a time and place for hearing such appeal, and the city clerk shall give notice in writing to such parking facility operator at his last known place of address. The findings of the council shall be final and conclusive and shall be served upon the appellant in the manner prescribed above for service of notice of hearing. Any amount found to be due shall be immediately due and payable upon the service of notice. (Ord. 702, § 1).
3.15.120 Records – Audit.
It shall be the duty of every parking facility operator liable for collection and payment to the city of any parking taxes imposed by this chapter to keep and preserve, for a period of three years, all records as may be necessary to determine the amount of such taxes for which the parking facility operator may have been liable to collect and remit to the city. The tax administrator shall have the right to inspect such records at all reasonable times. The tax administrator also shall have the right to audit the records of a parking facility operator at all reasonable times. (Ord. 702, § 1).
3.15.130 Tax refund.
A. Whenever the amount of any parking taxes, interest or penalties has been overpaid or paid more than once or has been erroneously or illegally collected or received by the city under this chapter, it may be refunded as provided in subsections (B) and (C) of this section, provided a claim in writing therefor, stating under penalty of perjury the specific grounds upon which the claim is founded, is filed with the tax administrator within three years of the date of payment. The claim shall be on forms furnished by the tax administrator.
B. A parking facility operator may claim a refund or take as credit against taxes collected and remitted the amount overpaid, paid more than once, or erroneously or illegally collected or received when it is established in a manner prescribed by the tax administrator that the person from whom the tax has been collected was not an occupant; provided, however, that neither a refund nor a credit shall be allowed unless the amount of the tax so collected has either been refunded to the occupant or credited to parking fees subsequently payable by the occupant to the parking facility operator.
C. An occupant may obtain a refund of taxes overpaid or paid more than once or erroneously or illegally collected or received by the city by filing a claim in the manner provided by subsection (A) of this section, but only when the tax was paid by the occupant directly to the tax administrator, or when the occupant having paid the tax to the parking facility operator establishes to the satisfaction of the tax administrator that the occupant has been unable to obtain a refund from the parking facility operator who collected the tax and who actually remitted the amount of tax collected to the city.
D. No refund shall be paid under the provisions of this section unless the claimant establishes his right to such a refund by written records showing entitlement thereto. (Ord. 702, § 1).
3.15.140 Action to collect.
Any tax required to be paid by any occupant under the provisions of this chapter shall be deemed a debt owed by the occupant to the city. Any such tax collected by a parking facility operator which has not been paid to the city shall be deemed a debt owed by the parking facility operator to the city. Any person owing money to the city under the provisions of this chapter shall be liable therefor in any action brought in the name of the city for the recovery of such amount. (Ord. 702, § 1).
3.15.150 Prohibited acts.
A. Any parking facility operator or other person who fails or refuses to register as required in this chapter, or to furnish any return required to be made, or who fails or refuses to furnish a supplemental return or other data required by the tax administrator, or who renders a false or fraudulent return or claim, is guilty of a violation of this code.
B. Any person required to make, render, sign or verify any report or claim who makes any false or fraudulent report or claim with intent to defeat or evade the determination of any amount due required by this chapter to be made, is guilty of a violation of this code. (Ord. 702, § 1).