Live Oak, Sutter County Municipal Code Ch. 3.17 Excise Tax on New Development

The City Council finds and declares that the tax imposed by this chapter is levied pursuant to the taxing power of the City solely for the purpose of producing revenue, and not for regulatory purposes. The purpose of this chapter is to levy and collect an excise tax on the privilege of developing and constructing new buildings and structures and receiving City services and benefits. Revenue generated by this tax shall be deposited to the City general fund to be used for any authorized City expenditure.

(Ord. 482 § 2, 2004)

The following words and phrases, whenever used in this chapter, shall be construed as follows:

"City"

means the City of Live Oak.

"Person"

means any domestic or foreign corporation, limited liability company, firm, association, syndicate, joint stock company, partnership of any kind, joint venture, club, trust, society, or individual. "Person" shall not include any Federal, State or local government agency.

(Ord. 482 § 2, 2004)

There is hereby imposed an excise tax on the privilege of developing and constructing new buildings and structures, to be paid by any person applying for and receiving a City building permit for any new or expanded building or structure in the City. The tax amount shall be one percent of the total valuation of all construction work for which the building permit is issued as determined by the City Building official in accordance with the California Building Code. The tax shall be due and payable prior to, and as a condition of, the issuance of any building permit for any new structure. The City shall collect the tax at the same time as the issuance of the building permit.

(Ord. 482 § 2, 2004)

A. Nothing in this chapter shall be construed as imposing a tax upon any person when imposition of such tax upon that person would be in violation of California statute, the Constitution of the State of California, or the Constitution of the United States.

B. The tax imposed by Section 3.17.030 shall not apply to the following:

1. A building permit for construction (including replacement, reconstruction, remodeling and repair) involving an existing building or structure, only to the extent that the construction involves less than 25% of the square footage of the existing structure;

2. A building permit for a garage, shed, carport, gazebo, swimming pool, patio, deck, patio or deck cover and similar structures and outdoor appurtenances accessory to an existing residential building;

3. A building permit for reconstruction or repair of any building or structure that was damaged by earthquake, fire, flood or other natural cause over which the owner had no control, to the extent required to replace the structure that was damaged;

4. Commercial or industrial construction.

(Ord. 482 § 2, 2004)

The excise taxes collected pursuant to this chapter shall be deposited in the City's general fund and may be expended for any general City governmental purpose.

(Ord. 482 § 2, 2004)

This chapter may be amended at any time by a majority vote of the City Council, to include the modification of or deletion of exemptions provided in Section 3.17.040. However, any amendment that increases the rate of the tax above the rate approved by the voters at the March 8, 2005 election, or that extends the tax to privileges other than receiving a building permit, shall become effective only if approved by a majority vote of the City voters voting on the issue.

(Ord. 482 § 2, 2004)