Chapter 3.08
FOOD AND BEVERAGE TAX
Sections:
3.08.030 Percentage of gross retail income.
3.08.040 Imposition, payment and collection of tax.
3.08.060 Payments to County Treasurer.
3.08.010 Establishment.
A. Pursuant to the authority granted to the Council by the General Assembly of the State, under IC 6-9-20, et seq., there is hereby continued a County food and beverage tax to be imposed upon any transaction in which food or beverage is furnished, prepared or served:
1. For consumption at a location, or on equipment provided by a retail merchant;
2. Within the County; and
3. By a retail merchant for consideration.
B. The transactions described in subsection A of this section include, but are not limited to, transactions in which food or beverage is:
1. Served by a retail merchant off the merchant’s premises;
2. Food sold in a heated state or heated by a retail merchant;
3. Two or more food ingredients mixed or combined by a retail merchant for sale as a single item (other than food that is only cut, repackaged, or pasteurized by the seller, and eggs, fish, meat, poultry, and foods containing these raw animal foods requiring cooking by the consumer as recommended by the federal Food and Drug Administration in chapter 3, subpart 3-401.11 of its Food Code so as to prevent food borne illnesses); or
4. Food sold with eating utensils provided by a retail merchant, including plates, knives, forks, spoons, glasses, cups, napkins, or straws (for purposes of this subdivision, a plate does not include a container or packaging used to transport the food).
C. Pursuant to the authority granted to the Council by the General Assembly of the State, under IC 6-9-20, et seq., the Council hereby determines that the tax under IC 6-9-20, et seq., and Chapter 3.08 of the Code of Ordinances of Vanderburgh County, Indiana, (1) has been and is continued to finance improvements to the County auditorium or auditorium renovation resulting in a new convention center and related parking facilities and (2) shall be and hereby is continued to fund and finance the acquisition, construction, and equipping of an arena and other facilities that serve or support the arena activities.
(Ord. 08-09-014 § 1: Prior code § 112.10) (Amended 8/5/2009)
3.08.020 Exemptions.
The county food and beverage tax does not apply to the finishing, preparing, or serving of any food or beverage in a transaction that is exempt, or to the extent exempt, from the state gross retail tax imposed by IC 6-2.5.
(Prior code § 112.11)
3.08.030 Percentage of gross retail income.
The County food and beverage tax imposed on a food or beverage transaction described in Section 3.08.010 of this chapter equals one percent of the gross retail income received by the merchant from the transaction. For purposes of this chapter, the gross retail income received by the retail merchant from such a transaction does not include the amount of tax imposed on the transaction under IC 6-2.5 et seq.
(Prior code § 112.12)
3.08.040 Imposition, payment and collection of tax.
The tax imposed under this chapter shall be imposed, paid and collected in the same manner that the state gross retail tax is imposed, paid and collected under IC 6-2.5. However, the return to be filed for the payment of the taxes may be made on separate returns or may be combined with the return filed for the payment of the state gross retail tax, as prescribed by the Department of State Revenue.
(Prior code § 112.13)
3.08.050 Repealed 08/05/09
3.08.060 Payments to County Treasurer.
A. The Treasurer of the County shall continue the auditorium fund initially established.
B. By the twentieth (20th) day of each month, the Treasurer of the County shall determine whether there is any excess food and beverage tax revenue under this chapter that is not required pursuant to IC 6-9-20-8.8 to be deposited and held in the auditorium fund to:
1. Pay any debt service on bonds issued or rentals on leases entered into by January 1, 2009, for which a pledge of revenues of the food and beverage tax has been made by the County to finance improvements to the county auditorium or auditorium renovation resulting in a new convention center and related parking facilities (the “Centre”) as set forth in IC 6-9-20-8.7; or
2. Provide for a debt service reserve related to the bonds or leases described in the foregoing subdivision (1) as set forth in IC 6-9-20-8.7.
Such amounts as set forth in the foregoing subdivision (1) and (2) are herein referred to as “Centre Debt Service.”
C. The treasurer of the County shall deposit in the auditorium fund all amounts received under this chapter, except that any excess food and beverage tax revenue under this chapter as determined under Subsection B. of this Section 3.08.060 shall by the last day of each such month be transferred to the fiscal officer of the City of Evansville, Indiana (the "City") for deposit in a municipal arena fund pursuant to IC 6-9-20-8.8. For purposes of determining the excess under the preceding sentence, the Treasurer of the County shall apply the following:
1. The “Effective Date” as used herein shall be the first day of the calendar month following the making of a determination to continue the tax under IC 6-9-20, et seq., and Chapter 3.08 of the Code of Ordinances of Vanderburgh County, Indiana to fund and finance the acquisition, construction, and equipping of an arena and other facilities that serve or support the arena activities, which finding was made under Subsection C. of Section 3.08.010 of the Code of Ordinances of Vanderburgh County, Indiana.
2. The portion of the balance in the auditorium fund on the day preceding the Effective Date that is not related to Centre Debt Service (“Centre Operating Balance”) is held by the County for the operating, improving, and equipping of the Centre.
3. The portion of the balance in the auditorium fund on the day preceding the Effective Date that relates to and corresponds to Centre Debt Service (together with any additions thereto, the “Centre Debt Service Balance”) is held by the County to provide for Centre Debt Service payments.
4. Any food and beverage tax revenue under IC 6-9-20 received by the treasurer of the County on or after the Effective Date will be deposited in the auditorium fund until the Centre Debt Service Balance equals the debt service on the Centre Bonds due through and including the next following January 1 or July 1 as applicable (the “Required Balance”) and any such food and beverage tax revenue under IC 6-9-20 that is in excess of the Required Balance shall be transferred to the City for deposit in the arena fund; provided that the treasurer of the County may after consultation with the controller of the City, establish regular reporting and payment cycles that occur before the Required Balance has been reserved as part of the Centre Debt Service Balance upon a finding that existing auditorium fund balances and expected food and beverage tax revenue are anticipated to be sufficient to provide for the timely payment of Centre Debt Service.
D. Any money earned from the investment of money in the auditorium fund becomes a part of the auditorium fund.
E. The treasurer of the County shall apply the money in the auditorium fund for the financing, construction, renovation, improvement, and equipping of a County auditorium or auditorium renovation resulting in a new convention center and related parking facilities including to pay any debt service on bonds issued or rentals on leases entered into by January 1, 2009, for which a pledge of revenues of the food and beverage tax has been made by the County to finance improvements to the County auditorium or auditorium renovation resulting in a new convention center and related parking facilities as set forth in IC 6-9-20-8.7 and to provide for required debt service reserves related to such bonds or leases.
F. The provisions of this Section 3.08.060 shall only apply to food and beverage tax revenue generated pursuant to the tax rate authorized by IC 6-9-20-5 as such was in effect on July 1, 2009.
(Ord. 08-09-014 § 3: Prior code § 112.15) (Amended 8/5/2009)
3.08.070 Application of tax.
A. The tax imposed by this chapter applies to transactions that occur after the last day of the month that succeeds the month in which the ordinance codified in this chapter was initially adopted.
B. Pursuant to IC 6-9-20-3, the tax imposed by this chapter continues and shall not terminate until January 1 of the year following the year in which the last of the bonds issued to finance (1) improvements to a County auditorium or auditorium renovation resulting in a new convention center and related parking facilities, and the last of any bonds issued to refund those bonds and (2) the acquisition, construction, and equipping of the arena and other facilities that serve or support the arena activities, have each been completely paid or defeased as to both principal and interest.
C. Pursuant to IC 6-9-20-9.5, the Treasurer of the County shall certify to the Treasurer of the State when the last of the bonds issued to finance the improvements to a County auditorium or auditorium renovation resulting in a new convention center and related parking facilities (or to refund such bonds) have been completely paid or defeased as to both principal and interest.
(Ord. 08-09-014 § 4: Prior code § 112.16) (Amended 8/5/2009)