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HomeMy WebLinkAbout1036 - Ordinance ORDINANCE NO. 1036 AN ORDINANCE OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, AMENDING SECTION 3.40.020 OF CHAPTER 3.40 OF TITLE 3 OF THE RANCHO CUCAMONGA MUNICIPAL CODE TO INCREASE THE CITY'S EXISTING TRANSIENT OCCUPANCY TAX RATE FROM TEN PERCENT (10%) TO TWELVE PERCENT (12%) The People of the City of Rancho Cucamonga do hereby ordain as follows: Section 1. Municipal Code Amendment. Section 3.40.020 ("Imposition of tax") of Chapter 3.40 ("Transient Occupancy Tax") of Title 3 ("Revenue and Finance") of the Rancho Cucamonga Municipal Code is hereby amended to read as follows: "3.40.020—Imposition of tax. For the privilege of occupancy in any hotel, each transient is subject to and shall pay a tax in the amount of twelve percent (12%) of,the rent charged by the operator. Said tax constitutes a debt owed by the transient to the city which is extinguished only by payment to the operator or to the city. The transient shall pay the tax to the operator of the hotel at the time the rent is paid. If the rent is paid in installments, a proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon the transient's ceasing to occupy space in the hotel. If for any reason the tax due is not paid to the operator of the hotel, the tax administrator may require that such tax shall be paid directly to the city." Section 2. Future Amendments. Notwithstanding California Elections Code Section 9217, without a vote of the People of the City of Rancho Cucamonga, the Rancho Cucamonga City Council may do any and all of the following: (i) repeal this Ordinance; (ii) reduce the rate of the transient occupancy tax below twelve percent (12%); (iii) increase the rate of the transient occupancy tax back to 12% if it has previously been reduced below such rate; or (iv) amend any other provision of Rancho Cucamonga Municipal Code Chapter 3.40 that does not increase the rate of the tax above 12%. In no-event shall the City Council increase the rate of the transient occupancy tax in excess of 12% without approval by a majority of the voters voting in an election on the increase. Section 3. General Tax. If adopted, this Ordinance will increase, as set forth herein, the rate of the City's existing transient occupancy tax, which is a general tax of the City. Section 4. Public Accountability. Each year, as part of the audit of the City's financial statements, the City's independent auditors shall complete a report reviewing the collection and expenditure of revenue from the tax levied by this Ordinance. Revenue from the tax shall be used to fund governmental services and infrastructure within the City of Rancho Cucamonga. Section 5. Severability. If any section, subsection, sentence, clause, phrase, or portion of this Ordinance is for any reason held to be invalid or unenforceable by a court of competent jurisdiction, the remaining portions of this Ordinance shall nonetheless remain in full force and effect. The People of the City of Rancho Cucamonga hereby declare that they would have adopted each section, subsection, sentence, clause, phrase, or portion of this Ordinance, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions of this Ordinance be declared invalid or unenforceable. Ordinance No. 1036 - Page 1 of 3 Section 6. Effective Date. The Mayor and City Clerk are hereby authorized to attest to the adoption of this Ordinance by signing where indicated below. This Ordinance shall take effect ten days following certification of the vote by the City Council. Ordinance No. 1036 - Page 2 of 3 PASSED, APPROVED, AND ADOPTED by the People of the City of Rancho Cucamonga, California, voting on the 5th day of November, 2024. Dennis Michael, ayor ATTEST: l �J nice C. Reynolds, City Cler STATE OF CALIFORNIA ) COUNTY OF SAN BERNARDINO ) ss CITY OF RANCHO CUCAMONGA ) I, JANICE C. REYNOLDS, CITY CLERK of the City of Rancho Cucamonga, California, do hereby certify that the foregoing Ordinance was approved by the voters of the City of Rancho Cucamonga, at the General Municipal Election held on the 51h day of November 2024. Election results were certified by the City Council of the City of Rancho Cucamonga on the 18th day of December 2024. Executed this 18' day of December 2024, at Rancho Cucamonga, California. AYES: Hutchison, Kennedy, Michael, Scott, Stickler NOES: None ABSENT: None ABSTAINED: None CJ nice C. Reynolds, City CIA Ordinance No. 1036 - Page 3 of 3