HomeMy WebLinkAboutD-1760-05 City Food/Beverage Tax FundSPONSOR(S): Councilor Kevin Kirby
ORDINANCE NO. D-1760-05
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF CARMEL~ INDIANA~
IMPOSING A CITY OF CARMEL MUNICIPAL FOOD AND BEVERAGE TAX
WHEREAS, the Governor of the State of Indiana has sought the cooperation and assistance of
Boone, Hamilton, Hancock, Henclricks, Johnson, Morgan and Shelby Counties (the "Surrounding.
Counties"), and the municipalities contained therein, in the financing of the construction of a world-class
convention center and stadium facility in Indianapolis, Indiana (the "Project"); and
WHEREAS, the Indiana General Assembly has recognized that the Surrounding Counties and the
municipalities contained therein face unique and distinct challenges and opportunities related to the
Project; and
WHEREAS, the Indiana General Assembly, through the passage of HEA 1120-2005, has
recognized that a unique approach is required to ensure that the Surrounding Counties and the
municipalities contained therein have sufficient revenue sources to allow them to meet challenges and
opportunities related to the Project; and
WHEREAS, Indiana Code 6-9-35-3, as added by HEA 1120-2005 (the "Act") authorizes the
Carmel Common Council to adopt an ordinance imposing a municipal food and beverage tax (the
"Carmel Municipal Food and Beverage Tax") on transactions described in Indiana Code Sections 6-9-35-
8 and 6-9-35-9, as added by the Act (the "Food and Beverage Transactions"), that occur anywhere within
the City of Carmel, Indiana (the "City"); and
WHEREAS, the Act provides that the rate of the Carmel Municipal Food and Beverage Tax shall
be one percent (1%) of the gross retail income received from Food and Beverage Transactions, and that
the amounts received pursuant to the Food and B6verage Tax (the "Food And Beverage Tax Revenues")
are to be paid monthly by the State Treasurer to the City's fiscal officer; and
WHEREAS, the Act requires the City's fiscal officer to establish a "food and beverage tax
receipts fund" (the "Tax Fun. d") and to deposit therein the Fpod and Beverage Tax Revenues. and any
interest earned thereon; and
WHEREAS, the Act requires such monies as are deposited in the Tax Fund to be used for the
purposes set forth in lC 6-9-35-14, as added by the Act (the "Tax Funded Projects"); and
WHEREAS, the Common Council desires, in compliance with and pursuant to the Act, to: (i)
impose the Carmel Municipal Food and Beverage Tax on all Food and Beverage Transactions that occur
within the City; (ii) establish a Tax Fund and deposit therein all Food And Beverage Tax Revenues and all
interest earned thereon; and, (iii) use the monies contained in the Tax Fund for Tax Funded Projects.
Page One of Three Pages
Prepared by Douglas C. Haney, Carmel City Attorney [AACr5/r7/05 9.'$4 a.m.I
SPONSOR(S): Councilor Kevin Kirby
NOW, THEREFORE, BE IT ORDAINED, by the Common Council of the City of Carmel,
Indiana, as follows:
Section 1. The foregoing Recitals are incorporated herein by this reference.
Section 2. The Carmel Municipal Food and Beverage Tax is hereby imposed on all Food and
Beverage Transactions occurring anywhere within the City at the rate of one percent (1%) of the gross
retail income from such Food and Beverage Transactions.
Section 3. The Carmel Municipal Food and Beverage Tax shall apply to all Food and Beverage
Transactions occurring after the last day of the month succeeding the month in which this Ordinance is
adopted.
Section 4. There is hereby established a Tax Fund to be known as "The Municipal Food and
Beverage Tax Fund," into which the Clerk-Treasurer shall deposit all Food And Beverage Tax Revenues
and all interest earned thereon.
Section 5. Pursuant to Indiana Code 6-9-35-13, as added by the Act, the Clerk-Treasurer shall be
responsible for maintaining the Tax Fund and for depositing therein the Food And Beverage Tax
Revenues and any interest earned thereon.
Section 6. The Clerk-Treasurer, as Clerk to the Common Council, shall, upon passage of this
Ordinance, immediately send a certified copy of same to the Commissioner of the Department of State
Revenue.
Section 7. If either the Marion County city-county council does not adopt all of the ordinances
required to be adopted by it under Indiana Code 5-1-17-25 on or before June 30, 2005, or the Hamilton
County Council does not adopt an ordinance imposing a food and beverage tax on or before June 30,
2005, this Ordinance shall no longer be in effect.
Section 8. All City ordinances or parts thereof incofisistent with any provision of this Ordinance
are hereby repealed, to the extent of such inconsistency only, as of the effective date of this Ordinance.
Section 9. Should any provision or portion of this Ordinance be declared by a court of competent
jurisdiction to be invalid for any reason, the remaining provisions shall not be affected so long as they can,
without the invalid provision, be given the effect intended by the Common Com~cil in adopting this
Ordinance. To this end, the provisions of this Ordinance are severable.
Section 10. This Ordinance shall become effective upon proper passage, signing by the Mayor and
such publication as is required by law.
Ordinance D-1760-05
Page Two of Three Pages
Prepared by Bouglas C. Haney, Carmel City Attorney [AACTS/r?/05 9:34
SPONSOR(S): Councilor Kevin Kirby
-~*.
PASSED by the Common Council of' the City of Carmel, Indiana, this ~'~ day of
2005, by a vote of ~ ayes and ~ nays.
,~ COMMON COUNCIL FOR THE CITY OF CARM~N~_ .~"""~_
P~,s(ding O~-~ cer ~ ,//Jofie~~G. riffiths // - ~
dan ayo
nald Mar attem
F~ck ~er / Richm'd L. Sha¢
ATTEST:
Diana L. Cordray, IAMC, Clerk-Treasurer
Presented by me tot, Joe Mayor of' the City of Carmel, Indiana, this o~ ~ day of ".'J, 2005,
att', ~-'~ O'clock, ~'~ .M.
Diana L. Cordray, 1AMC, Clerk-Treasurer
App,roved by me, Mayor o~he City of Carmel, Indiana, this ¢~ day of ~
200"at /'~"~-- O'c'°ck' 'V 'M' /JCu-- ~. ' /
Jam/es Brainard, Mayor ..... ~
~ATT~ES~:J ~/
M.~ Di,qna L. Cordray, IAMC, Clerk-Treasurer
Ordinance D-1760-05
Page Three of Three Pages
Prepared by Douglas C. Haney, Carmel City Attorney £AACT 5/~Z/05 9:$4 a.m.]
Cky of Carmel
Office of the
Clerk-Treasurer
June 30, 2005
Commissioner Joe Eckart
Indiana Department of Revenue
State Office Building
302 W. Washington Street
Indianapolis, Indiana 46204
Dear Commissioner Eckart:
I have enclosed a certified copy of Ordinance D-1760-05 which was adopted
by the Carmel Common Council on June 28, 2005. This ordinance enables
the City of Carmel to collect a one per cent (1%) Food and Beverage Tax
pursuant to IC 6-9-35-14.
If you should have any questions, please contact me at 571-2414.
Carmel Clerk Treasurer
ONE CIVIC SQUARE
CARMEL, INDIANA 46032
317/571-2414