Chapter 790 - PUBLIC SERVICE TAX—GENERAL

Sec. 782.104. - Petitions to Value Adjustment Board. Chapter 792 - PUBLIC SERVICE TAX—FUEL OIL Chapter 790 - PUBLIC SERVICE TAX—GENERAL[1]

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Editor's note— Ord. 2002-794-E, § 1, amended the Code by repealing former Ch. 790, §§ 790.101—790.116, in its entirety. Former Ch. 790 pertained to similar subject matter, and derived from the Code of 1965, §§ 39-73—39-80, and 39-83; Ord. 68-106-84, §§ 1, 7; Ord. 69-1-1, §§ 1, 2; Ord. 69-878-594; Ord. 70-650-526; Ord. 71-397-181; Ord. 72-602-280, § 1; Ord. 72-766-353, § 1; Ord. 74-743-278, § 1; Ord. 78-461-192, § 1; Ord. 78-674-328, § 1; Ord. 83-591-400, § 1; Ord. 84-805-421, § 1; Ord. 84-1089-588, § 1; Ord. 90-463-172, § 1; Ord. 90-709-572, § 3; Ord. 91-1248-492, § 1; Ord. 92-132-512, § 1; Ord. 92-1928-1353, § 27; Ord. 93-506-258, § 1; Ord. 93-555-218, § 1; Ord. 93-961-402, § 26; and Ord. 98-225-E, § 1.

Cross reference— Public works and utilities, Tit. XXI.

State Law reference— Public service tax, F.S. § 166.231 et seq.

PART 1. - GENERAL PROVISIONS

Sec. 790.101. - Definitions.

As used in this Chapter:

(a)

Electronic transfer means the use of the Automated Clearing House (the "ACH"), or other electronic transfer system approved on a case by case basis, to send the public service taxes collected directly from the seller's bank to the bank so designated to receive such transfer.

(b)

Seller is a person, firm, corporation, or other legal entity who sells directly to the consumer.

(c)

Remit, remittance and remitting, for purposes of the public service tax imposed by this Chapter, means the sending by the seller and the receipt by the City of all taxes levied and collected pursuant to this Chapter.

(Ord. No. 2002-794-E, § 1)

Sec. 790.102. - Tax imposed; rate; exemption.

There is hereby imposed and levied by the City on each purchase of electricity, metered or bottled gas (natural, liquefied petroleum gas or manufactured), water service in the corporate limits of the City a tax in the amount of ten percent of the payments received by the seller of the service from the purchaser for the purchase of the service. The tax hereby imposed shall not be applied against a fuel adjustment charge, if the charge is separately stated on each bill rendered by the seller to the purchaser for the purchase of a utility service; provided, that fuel adjustment charge shall mean all increases in the cost of a utility service to the purchaser resulting from an increase in the cost of fuel to the seller subsequent to October 1, 1973. In every case, the tax shall be collected from the purchaser of the service and paid by the purchaser for the use of the City to the seller of the service at the time of the purchaser's paying the charge therefor to the seller. The tax shall be collected on all payments received by the seller in payment of bills, statements or invoices rendered by the seller to the purchaser on or after October 1, 1972.

(Ord. No. 2002-794-E, § 1)

Sec. 790.103. - Collection; liability of seller; discontinuance of service.

(a)

It shall be the duty of every seller of electricity, metered or bottled gas (natural, liquefied petroleum gas or manufactured), or water service in acting as the tax-collecting agency for the City, to collect from the purchaser, for the use of the City, the tax hereby imposed and levied at the time of collecting the purchase price charged for each transaction, and to report and pay over, on or before the twentieth day of each calendar month, to the Tax Collector all the taxes imposed, levied and collected during the preceding calendar month, except that for water service as amended or its successor provisions, payment may be quarter annually on or before the twentieth day of the month following the end of each calendar quarter. In the event the twentieth day falls on a Saturday, Sunday or holiday, the time shall be extended additionally to the next business day following the Saturday, Sunday or holiday. The date of receipt of such taxes by the City will be the date postmarked by the U.S. Postal Service, the day received by the Tax Collector, or if by electronic transfer, the date received by the bank so designated to receive electronic transfers as indicated on the bank statement. The prescribed forms on which reports shall be made shall provide for the reporting of a fuel adjustment charge upon which no tax is levied. It shall be unlawful for a seller of a utility service to collect the price of a sale of electricity, gas, or water service without, at the same time, collecting the tax hereby imposed and levied in respect to the purchase or purchases and for a seller of the utility service to fail to state a fuel adjustment charge upon which no tax is levied separately from all other charges upon which the tax is levied at the time the seller collects the charges and tax from the purchaser.

(b)

A seller failing to collect the tax at the time of collecting the price of a purchase shall be liable to the City for the amount of the tax in like manner as if it had actually been paid to the seller; and a seller failing to show separately the amount of the fuel adjustment charge upon which no tax is levied at the time of collecting the charge shall be liable to the City for the amount of tax which would have been collected on the charge if the tax had been levied thereon. When a seller fails to make a report or fails to pay the tax within the time required hereunder, interest and penalties are imposed to the maximum extent permitted by F.S. § 166.234(7), as amended, which interest and penalties shall be payable and collectible in the same manner as if it were a part of the tax imposed. The Director of Finance and Administration shall cause to be brought all suits and actions and to take all proceedings in the name of the City as may be necessary for the recovery of the tax, interest or penalties; provided, that the seller shall not be liable for the payment of the tax upon uncollected charges. If a purchaser fails, neglects or refuses to pay the seller the seller's charge for the purchase or purchases and the tax hereby imposed and levied and as hereby required on account of the purchase for which the charge is made, or either, the seller shall have and is hereby vested with the right, power and authority immediately to discontinue further service to the purchaser until the tax and the seller's bill shall have been paid in full.

(c)

Sellers remitting public service tax collections of $10,000 or more, on average, per month over a period of three consecutive months shall thereafter, beginning in the month immediately following the third consecutive month, make all public service tax remittances to the bank so designated to receive by electronic transfer using the ACH system, or other electronic means as may be approved on a case by case basis. Those sellers meeting this criteria shall continue remittances by electronic transfer regardless of whether the seller's average collections fall below the $10,000 threshold for any subsequent consecutive three month period, unless approval is given by the Tax Collector to discontinue on a case by case basis.

All other sellers may remit by hand-delivery, U.S. postal service or electronic transfer. However, if a seller elects to remit by electronic transfer, that seller shall thereafter always remit by electronic transfer, unless approval is given by the Tax Collector to discontinue on a case by case basis.

(Ord. No. 2002-794-E, § 1; Ord. 2016-140-E, § 16)

Editor's note— Ordinance 2007-839-E, § 18, authorized updated department/division names pursuant to reorganization.

Sec. 790.104. - Records of purchases; inspection.

(a)

Each seller of electricity, metered or bottled gas (natural, liquefied, petroleum gas or manufactured), or water service shall keep applicable records as provided in F.S. § 166.234(1), as amended, showing all purchases in the City of the service, which records shall show the price charged upon each purchase (showing as separate amounts the fuel adjustment charge upon which no tax is collected and all other charges upon which the tax levied hereby is collected), the date thereof and the date of payment thereof, and the records shall be kept open for inspection by the duly authorized agents of the City during business hours on all business days. The duly authorized agents of the City shall have the right, power and authority to audit, examine, and make transcripts of any and all business and/or sales records including those records stored on computer software or otherwise kept by electronic means, in any way pertaining to the sale, within the City limits during such times as they may desire. It shall be the duty of the Tax Collector to inspect the records in order to determine that the tax hereby imposed and levied is being properly reported and paid to the City by each seller of the service.

(b)

Providers of services taxable in accordance with the provisions of this Chapter are subject to audit under F.S. § 166.234, as amended.

(Ord. No. 2002-794-E, § 1)

Sec. 790.105. - Statements and payments where City or independent agency is seller.

Where the purchase of the utility service upon which a tax is imposed and levied by this Chapter is from the City or an independent agency, as seller, it shall be the duty of the official responsible for billing to state the amount of the tax on all statements of charges rendered to the purchasers of the utility service and the tax shall be collected from the purchasers by the Tax Collector at the time of collecting the purchase price charged for each transaction. The Tax Collector shall audit the charges and taxes so collected.

(Ord. No. 2002-794-E, § 1)

Sec. 790.106. - Exemptions.

There are exempted from payment of 100 percent of the tax levied and imposed by this Chapter:

(a)

The United States government, this State and all counties, school districts, and municipalities of the State, and by public bodies exempted by law or court order. Governmental bodies which sell or resell taxable service to nonexempt end users must collect and remit the tax.

(b)

Sales of bottled water.

(c)

Purchases by any recognized church in this State for use exclusively for church purposes, or purchases by a religious institution that possess a Consumer Certificate of Exemption issued under F.S. Ch. 212.

(d)

The purchase of natural gas or fuel oil by a public or private utility, either for resale or for use as fuel in the generation of electricity, or the purchase of fuel oil or kerosene for the use as an aircraft engine fuel or propellant or for use in internal combustion engines.

A purchaser who claims an exemption under subsection (a) or (d) of this Section shall certify to the seller that he or she qualifies for the exemption, which certification may encompass all purchases after a specific date or other multiple purchases.

There are further exempted from payment of 50 percent of the tax levied and imposed by this Chapter purchasers of electrical energy who are determined to be eligible for the exemption provided by F.S. § 212.08(15), by the State of Florida Department of Revenue and who are located within the boundaries of the State Department of Community Affairs designated and approved Enterprise Zone Number EZ 1703-1C93. This exemption shall be effective for a period of five years from the billing beginning not more than 30 days following notification to the applicable utility company by the State of Florida Department of Revenue that an exemption has been authorized pursuant to F.S. §§ 212.08(15) and 166.231(8).

(Ord. No. 2002-794-E, § 1)

Sec. 790.107. - Computation of tax when paid monthly and quarterly—Annually.

In all cases where the seller of electricity, metered or bottled gas (natural, liquefied petroleum gas or manufactured), or water service collects the price thereof at monthly periods or, in the case of water service, at quarter-annual periods, the tax hereby imposed and levied may be computed on the aggregate amount of purchase, except fuel adjustment charges on which no tax is levied, during the monthly or quarter-annual period; provided, that the amount of the tax to be collected shall be the nearest whole cent to the amount computed.

(Ord. No. 2002-794-E, § 1)

Sec. 790.108. - Scope of tax.

The purchase of the utility service upon which a tax is imposed and levied by this Chapter shall embrace and include any part of the transaction of purchase occurring in the City, whether it is the entering into of a contract for the purchase of the utility service, the payment of the charges therefor or the use of lines, poles, pipes, wires or the streets for the transmission or delivery of the utility service.

(Ord. No. 2002-794-E, § 1)

Sec. 790.109. - Penalty and interest.

(a)

It shall be unlawful and an offense for a purchaser to willfully fail, refuse or neglect to pay the tax hereby imposed and levied and for a seller, or an officer, agent or employee of a seller, to willfully make a false report, fail to make a report or fail to pay the tax, or violate any other provision hereof. The person shall, upon conviction, be guilty of a class D offense or a civil fine not to exceed $10,000.

(b)

In addition to the penalty imposed by subsection (a) of this Section, a person who willfully:

(1)

Obtains an exemption number with the intent to avoid paying the tax hereby imposed and levied when the tax would otherwise be payable; or

(2)

Uses an exemption number to avoid paying the tax hereby imposed and levied when the tax would otherwise be payable; or

(3)

Procures or permits either of the foregoing;

shall upon conviction be liable to the City in an amount not to exceed three times the amount of the tax that would have been payable in respect to the purchase or purchases for which the exemption number was used contrary to the provisions of this Chapter. Conviction as used in this paragraph shall mean a finding of guilty by a court of competent jurisdiction whether or not adjudication of guilt is withheld; the term hall also include a plea of nolo contendere by such person.

(c)

Additional fees may be assessed against sellers not complying with any provision of this Chapter, such fee being based upon the actual cost incurred by the City in collecting the public service tax or information due.

(d)

Penalties and interest are authorized to the maximum extent permitted by F.S. § 166.234(7), but in no case shall penalties and interest exceed the amount allowed by such Section.

(Ord. No. 2002-794-E, § 1)

Sec. 790.110. - Impairment of prior obligations.

Nothing contained in this Chapter shall impair or affect the validity of pledges of revenues derived from public service taxes heretofore made by the former government of the City for the debt service requirements of obligations issued by the former government of the City.

(Ord. No. 2002-794-E, § 1)

Sec. 790.111. - Penalty and interest bills less than $15.

The Tax Collector is instructed not to mail a special bill for penalty and interest on the tax hereby imposed when the penalty and interest for late payment is less than $15.

(Ord. No. 2002-794-E, § 1)

Sec. 790.112. - Lists and updates.

Upon written request from any person, within 20 days following receipt of the person's written request, the Tax Collector shall provide a copy of the ordinance adopting any levy and all amendments thereto, and shall advise such person in writing of the types of media on which the lists described in F.S. § 166.233(3) are available and the costs not to exceed the actual cost of duplicating the information as determined by Information Technology Division. The lists and updates as required in F.S. § 166.233(3) shall be provided by the Information Technology Division to the Tax Collector upon request and within the necessary time limits as established therein. The tax collector is responsible for transmitting the information within 20 days following receipt of a written request by any person and payment of the cost.

(Ord. No. 2002-794-E, § 1; Ord. 2011-732-E)

Editor's note— Ordinance 2007-839-E, § 18, authorized updated department/division names pursuant to reorganization.

Sec. 790.113. - Use of certain portions of water service tax.

All of that portion of the tax collected upon water services provided by the City which tax is greater than such tax collected in the base year shall be appropriated to a General Fund—Special Council Reserve Account entitled Septic Tank Rehabilitation and Waterline Extension. The base year shall be fiscal year 1992-1993. The Reserve Account shall be used for the cost of constructing sewer lines or water distribution lines to septic tank failure areas upon appropriation by the Council. The funds in this reserve account shall not lapse but shall carry over from year to year.

Commencing in fiscal year 1993-1994 and continuing each year thereafter, the water services tax collected in the immediately preceding year shall be increased by an assumed normal growth rate factor of four percent, so that only all of that portion of the water services tax described above which is greater than the increased amount shall be placed in the Reserve Account.

To the extent that all or any portion of the water services tax which is to be appropriated or which has been previously appropriated to the reserve fund are needed to satisfy and bond debt service or coverage obligations or other covenants for bonds for which the City's public service tax is now pledged or may be pledged from time to time in the future, the provisions of this Section shall be subordinate to such bond obligations and covenants so that there shall not be appropriated to or there shall be appropriated from, or both, the reserve account any or all of such water services tax as are needed to satisfy such bond obligations and covenants.

(Ord. No. 2002-794-E, § 1)

Sec. 782.104. - Petitions to Value Adjustment Board. Chapter 792 - PUBLIC SERVICE TAX—FUEL OIL