HomeMy WebLinkAbout20-76 RESOLUTIONr
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RESOLUTION NO. AO- %
A RESOLUTION REFERRING PROPOSED ORDINANCES IMPOSING A
LOCAL OCCUPATION TAX AND INCREASING LOCAL UTILITY FRANCHISE
TAXES TO A VOTE OF THE PEOPLE.
WHEREAS, the general rund revenues of the City of Fayette-
ville are insufficient to meet the annually increasing general
fund expenses of the city, including the cost of providing
essential services such as fire and police protection to the
inhabitants of the city; and
WHEREAS, a local occupation tax and an increase in local
franchise taxes would provide a supplement to existing general
fund revenues on an interim basis until such time as statewide
local enabling legislation or constitutional amendments are
adopted to increase the ability of municipalities to support
themselves; and
WHEREAS, the Board of Directors has determined that the
question of imposing a local occupation tax and increasing local
utility franchise taxes should be referred to a vote of the
people
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS
OF THE CITY OF FAYETTEVILLE, ARKANSAS:
Section 1. That a special election be, and the same is
hereby, called to be held in the city on the 25th day of May,
1976, at which election there will be submitted to the electors
of the city the question of imposing a local occupation tax
and increasing local utility franchise taxes.
Section 2. That the question shall be placed on the
ballot for the election in substantially the following form.
FOR adoption of ordinances imposing a local occupation
tax and increasing local utility franchise taxes
Q
AGAINST adoption of ordinances imposing a local occupation
tax and increasing local utility franchise taxes Q
It is proposed that the Board of Directors adopt an•
ordinance whereby an occupation tax is imposed upon
all persons doing business within the city according
to the following schedule: (a) Each professional
shall pay an occupation license tax in the amount
of $50.00; (b) Each non-professional employer shall
pay an occupation license tax in the amount of $15.00,
plus $6.00 per employee; each professional employer
shall pay an occupation tax of $6.00 per employee,
provided, the maximum tax per employer shall not be in
excess of $500.00; and (c) Every other person except
employees and except persons working less than 30 hours
per week shall pay an occupation license tax in the
amount of $15.00. The tax would be payable annually.
It is further proposed that the annual utility franchise
taxes presently levied against Southwestern Electric
Power Company, Arkansas Western Gas Company and Ozarks
Electric Cooperative Corporation be increased from 3%
to 4% of gross revenues from residential (domestic)
and commercial consumers, that a 1% utility franchise
tax be imposed on industrial consumers and that the
franchise tax levied against Southwestern Bell Telephone
Company be increased from $37,500.00 to $75,000.00 for
the year 1976, and to a minimum of $100,000.00 per annum
thereafter. These additional franchise taxes would
be passed on by utility companies to their consumers.
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Section 3. That the election shall be held and conducted
and the vote cast and the results declared under the law and
in the manner provided for municipal elections so far as the
same may be applicable. Only qualified electors of the city
shall have the right to vote at the election.
Section 4. That a copy of this resolution shall be
furnished to the Washington County Board of Election Commissioners
so that the necessary election officials and supplies may be
provided.
PASSED AND APPROVED THIS ,f0tADAY OF
ATTEST:
CITY CLERK
APPROVED:
'"fr -I-"'
, 1976.