HomeMy WebLinkAboutORD 547ORDINANCE NO. 547
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, AMENDING CHAPTER 3.28, INCREASING THE
TRANSIENT OCCUPANCY TAX IN SAID CITY FROM 6% TO 6%,
AS APPROVED BY THE VOTERS OF PALM DESERT AT THE
NOVEMBER 8, 1988, SPECIAL ELECTION
The City Council of the City of Palm Desert, California,
DOES HEREBY ORDAIN as follows:
Section 1: That Section 3.28.030 of the Municipal Code of
the City of Palm Desert, California, be and the same hereby is
amended to read as follows:
'3.28.030 Tax Imposed. For the privilege of occupancy in
any hotel, each transient is subject to and shall pay a tax
in the amount of eight percent (8%) (as approved by the
voters of Palm Desert at the November 8, 1988, Special
Election) of the rent charged by the operator or otherwise
payable by the transient. The tax constitutes a debt owed
by the transient to the City, which is extinguished only by
payment to the operator or to the City.
"For purposes of this section, the rent deemed payable on
account of time-share occupancy by a transient shall be the
rental value of the unit or room(s) which accommodated such
occupancy, which rental value shall be computed by
determining the prorata share of the total purchase price of
the time-share right or entitlement (whether or not
involving an estate or an ownership in real property), which
share is allocable to the period of transient occupancy
currently involved, and adding thereto the total amount of
any and all fees, assessments, charges, and expenses charged
by the operator as attributable to the time-share occupancy
of the transient by whatever name such fees, assessments,
charges, or expenses may be denominated, whether 'occupying
fee', 'maintenance or operations charge', 'per diem fee',
'management fee', or like name or otherwise. In making the
computation referred to above of the prorata share of the
total purchase price, in any case wherein the time-share
right or entitlement is in perpetuity, or for life, or
otherwise not for a definite or ascertainable term, such
proration shall be made upon an assumed term of forty (40)
years. 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
when the transient ceases to occupy space in the hotel. If
for any reason the tax due is not paid to the operator of
ORDINANCE NO. 547
the hotel. the tax administrator may require that such tax
sha)1 be paid directly to the tax administrator. Tax on
occupancies in exchange for services of any kind is due and
payable to the City by the operator, the amount of tax being
determined on the basis of eight percent (8%) (as approved
by the voters of Palm Desert at the November 8, 1988,
Special Election) of the current rental value of the
accommodations furnished."
Section 2: Section I of the Ordinance shall be effective
upon approval of a majority of voters of the City of Palm Desert
of a proposition to increase said transient occupancy tax from 6%
to 8%. Said Special Election is to be held November 8, 1988.
PASSED, APPROVED, and ADOPTED by the City Counci 1 of the
City of Palm Desert, California, this 8th day of September, 1988,
by the following vote, to wit:
AYES: CRITES, KELLY, SNYDER, BENSON
NOES: WILSON
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
SHEILA R. L L I G A N ITY CLERK _
CITY OF PALM DESERT-, CALIFORNIA
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;JN M. BENSON, MAYOR