Montague Municipal Code Ch. 3.16 New Construction Tax

Sections:

• 3.16.010 Purpose—Authority. 3.16.020 Definitions. 3.16.030 Amount of tax. 3.16.040 Annual adjustment of amounts. 3.16.050 Payment. 3.16.060 Use of proceeds.

The city council declares that the license taxes required to be paid by this chapter are assessed pursuant to Section 37101 of the Government Code of the State of California and the taxing power of the city and solely for the purpose of producing revenue. The continued increase in the development of dwelling units in the city, with the consequent increase in the requirements of the city in providing public facilities and services of the city, has created an urgency in that there are insufficient funds available to meet these increased requirements. (Ord. 151 § 1, 1978)

For the purposes of this chapter, the following words and phrases shall have the meanings respectively ascribed to them by this section:

A. “Family” means one or more persons occupying a premises and living as a single nonprofit housekeeping unit. A family shall be deemed to include necessary servants.

B. “Multiple dwelling structure” means any structure, facility or premises designed for occupation by more than one family, with each such family living independently of each other in a room or suite of rooms separated by a common wall or floor. Each such room or suite of rooms shall constitute a habitation unit. “Multiple dwelling structure” includes condominiums, apartment houses, duplexes and similar structures. “Multiple dwelling structure” excludes hotels, motels, boardinghouses, rest homes and similar facilities designed for temporary occupancy.

C. “Person” means any person, firm, association, partnership, corporation, whether public or private, or any other local entity.

D. “Single-family residence” means any detached structure designed for occupation by one family. “Single-family residence” includes mobile home spaces designed to be used for parking a mobile home on a temporary, semipermanent or permanent basis. (Ord. 151 § 2, 1978)

Every person constructing or causing to be constructed or to be altered through the services of any employee, agent or independent contractor, or otherwise, any new single-family residence, multiple dwelling structure in the city for which a building permit is issued on or after July 1, 1978, shall pay a license tax computed as follows:

A. Single-family residence. two percent of the gross assessed valuation as determined by the county building department at the time the building permit is issued;

B. Multiple dwelling structures. four hundred fifty dollars for each habitation unit to be contained in such multiple dwelling structure;

C. For the alteration of dwelling structures, the license tax shall be computed only on the additional habitation units, if any, resulting from alteration;

D. Modular homes. two percent of the gross assessed valuation as determined by the county building department at the time the building permit is issued. (Ord. 179-82, 1982; Ord. 151 § 3, 1978)

On July 1, 1980, and on each July 1st thereafter, the license tax amounts specified in Section 3.16.030(B) will automatically increase or decrease from the amounts then applicable by the same percentage as the percentage of increase or decrease in construction costs and the increase or decrease therein shall be based on the Engineering News-Record Construction Cost Index. (Ord. 151 § 4, 1978)

The license taxes established pursuant to Section 3.16.030 shall be due and payable at the office of the building inspector, City Hall, Montague, California, upon issuance of a building permit for the construction of a single-family residence, multiple dwelling structure; provided, however, that there shall be a refund of such taxes in the event that the building permit is not used for such construction. No refund after commencing. (Ord. 151 § 5, 1978)

All of the sums collected pursuant to this chapter shall be deposited in the general fund and shall be used as stated in Section 3.16.010. (Ord. 151 § 6, 1978)