San Diego Municipal Code Div. 1 Transient Transportation Tax

(“Transient Transportation Tax” added 8–6–1990 by O–17509 N.S.)

(a) Title. This article shall be known as the Transient Transportation Tax Ordinance of The City of San Diego.

(b) Purpose and Intent. It is the purpose and intent of the Council that there be a
tax imposed on the rental of vehicles rented in the City of San Diego, the
proceeds of which are to be used for those purposes set forth in Section
38.0128 of this article.
(Amended 9–10–1990 by O–17524 N.S.)

Except where the context otherwise requires, the definitions given in this section govern the construction of this article.

(a) Person. “Person” means any individual, firm, partnership, joint venture,
association, social club, fraternal organization, joint stock company,
corporation, estate, trust, business trust, receiver, trustee, syndicate, or any
other group or combination acting as a unit.

(b) Transient or Transient Operator. “Transient” or “Transient Operator” means
any person who rents or is entitled to rent a vehicle under a written lease
agreement for a period of 30 days or less.

(c) Passenger Vehicle. As defined in California Vehicle Code section 465, a
“passenger vehicle” means any motor vehicle, other than a motor truck or
truck tractor, designed for carrying not more than ten (10) persons including
the driver and used or maintained for the transportation of persons.

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“Passenger vehicle” shall include a house car (as defined in California
Vehicle Code section 362) and a motorcycle (as defined in California Vehicle
Code section 400).

(d) Rent. “Rent” means the total consideration charged to the transient operator as
shown on the rental agreement for the rental of a vehicle, the rental of which
originates in the City of San Diego, including drop charges, charges for
gasoline, time, and mileage, but exclusive of any federal, state or local taxes.
It shall include all receipts, cash, credits, property and services of any kind or
nature without any deduction therefrom whatsoever. (A “drop charge” is a
charge imposed for the surrender of the vehicle to a location other than point
of origin.)

(e) Collected. “Collected” means the time at which the rent is earned if operator
uses the accrual basis of accounting or the time at which the rent is received if
operator uses the cash basis of accounting. The same basis of accounting used
for keeping the books and records shall be used for reporting and remitting.

(f) Operator. “Operator” means the person who is the proprietor of a vehicle
rental agency located in the City of San Diego, whether in the capacity of
owner, lessee, sublessee, mortgagee in possession, licensee, or any other
capacity. Where the operator performs his functions through a managing
agent (including a resident manager or resident agent) of any type or character
other than an employee without management responsibility, the managing
agent shall also be deemed an operator for the purposes of this article and
shall have the same duties and be subject to the same liabilities, both civil and
criminal, as his principal. Except as provided in section 38.0124(g),
compliance with the provisions of this article by either the principal or the
managing agent shall, however, be considered to be compliance by both.

(g) Vehicle Rental Agency. “Vehicle rental agency” means any firm, person,
corporation or association engaged in the business of renting or offering for
rent in the City of San Diego any vehicle, as defined in this article.

(h) Vehicle. “Vehicle,” as used herein, means a passenger vehicle defined in this
article.
(Amended 9–10–1990 by O–17524 N.S.)

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Effective 1 September, 1990, each transient operator who rents a vehicle from a vehicle rental agency is subject to and shall pay a tax in the amount of three percent (3%) of the rent charged by the operator. Said tax constitutes a debt owed by the transient to the City which is extinguished only by payment to the operator or to the City. The transient shall pay the tax to the operator at the time such transient ceases to rent the vehicle pursuant to the rental agreement. If the rent is paid in installments, a proportionate share of the tax shall be paid with each installment. If for any reason the tax due is not paid to the operator, the City Treasurer may require that such tax shall be paid directly to the City Treasurer. The tax that is imposed under this section shall be imposed on any transient operator who rents a vehicle from the operator of a vehicle rental agency located in the City of San Diego, regardless of whether the rental is to terminate or does terminate outside the city limits of the San Diego. (Amended 9–10–1990 by O–17524 N.S.)

No tax shall be due or collected in the following cases:

(a) When the transient has exercised rental rights or was entitled to rental rights
for more than 30 days;

(b) When the transient is by treaty or federal or state law exempt from payment of
transient transportation taxes; or

(c) When the rents are directly paid by the United States Government or the State
of California or their respective instrumentalities. This exemption does not
exempt a transient who is employed by an exempt entity from payment of the
tax when the payment is later to be reimbursed by the entity.
(Amended 9–10–1990 by O–17524 N.S.)

(a) Each operator shall collect the tax imposed by this article to the same extent and at the same time as the rent is collected from every transient. If the operator collects the rent but fails to collect the tax imposed by this article for any reason, the City shall require the operator to pay such tax. The amount of tax shall be separately stated from the amount of the rent charged, and each transient shall receive a receipt for payment from the operator. A duplicate of this receipt shall be kept by the operator in accordance with Section 38.0121.

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No operator shall advertise or state in any manner, whether directly or
indirectly, that the tax or any part thereof will be assumed or absorbed by the
operator or that it will not be added to the rent or that, if added, any part will
be refunded except in the manner hereinafter provided. Each operator shall
account separately for and maintain separate monthly summary totals for
taxable and nontaxable rents and for taxes collected. Taxable rents are those
defined in Section 38.0102.

(b) The operator shall maintain its financial and accounting records in accordance
with established accounting principles acceptable to the City Treasurer. In the
event the operator offers paid packages or complimentary services, the
charges shall be accounted for in accordance with the rules and regulations
promulgated by the City Treasurer.
(Amended 9–10–1990 by O–17524 N.S.)

(a) Within thirty (30) days after the effective date of this article, or within thirty (30) days after commencing business, whichever is later, each operator shall register with the City Treasurer and obtain a “Transient Transportation Registration Certificate” to be posted at all times in a conspicuous place on the premises. Said certificate shall include the following:

(1) The name of the operator;

(2) The address of the business;

(3) The date upon which the certificate was issued;

(4) The following statement: “This Transient Transportation Registration
certificate signifies that the person named on the face hereof is
required to collect a transient transportation tax from transient
operators and to remit the same to the City Treasurer and has fulfilled
the requirements of the Transient Transportation Tax Ordinance by
registering with the City Treasurer for the purpose of collecting from
transients the Transient Transportation Tax and remitting said tax to
the City Treasurer. This certificate does not constitute a permit to
operate a vehicle rental business.”

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(b) It shall be unlawful to operate a vehicle rental business without a Transient
Transportation Tax Certificate or to fail to post the certificate in a conspicuous
place at all times.

(Amended 9–10–1990 by O–17524 N.S.)

All operators shall remit monthly the full amount of taxes collected for the previous month with the appropriate approved return form available from the City Treasurer.

Returns and taxes remitted monthly and received by the City Treasurer postmarked
on or before the last day of the following month shall be deemed timely filed and
remitted; otherwise, the taxes are delinquent and subject to the penalties imposed by
Section 38.0116.

Returns shall be made on a calendar month basis unless a reporting basis other than a
calendar month reporting period is approved. An operator that desires to utilize a
reporting period other than a calendar month reporting period must request and obtain
written approval from the City Treasurer prior to the implementation of such
reporting plan.

(a) Calendar Month. Each operator reporting on a calendar month basis shall, on
or before the last day of the following month, make a return to the City
Treasurer on approved forms of the total taxable rents charged and the amount
of tax collected for the previous month and the balance of the tax due. At the
time the return is filed, the full amount of the balance of the tax due shall be
remitted to the City Treasurer.

(b) Other Approved Reporting Periods. Each operator reporting on an approved
basis other than a calendar month basis shall, on or before the same day of the
next month following the close of such reporting period, or on the last day of
that month if no corresponding calendar day exists, make a return to the City
Treasurer on approved forms of the total taxable rents charged and the amount
of tax collected for the month and the balance of the tax due. At the time the
return is filed, the full amount of the balance of the tax due shall be remitted
to the City Treasurer.

(c) Timely Returns. Returns filed and taxes remitted by mail shall be deemed
timely filed only if the envelope or similar container enclosing the returns and
taxes is addressed to the City Treasurer, has sufficient postage and bears a
United States postmark or a postage meter imprint prior to midnight on the

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last day for reporting and remitting without penalty. If such envelope or other container bears a postage meter imprint as well as a United States Post Office cancellation mark, the latter shall govern in determining whether the filing and remittance are timely.

(d) All taxes collected by an operator pursuant to this Article shall be held in trust
for the account of the City until payment thereof is made to the City
Treasurer.

(e) All returns and payments submitted by each operator shall be treated as
confidential by the City Treasurer and shall not be released except upon order
of a court of competent jurisdiction or to an officer or agent of the United
States, the State of California, the County of San Diego, or The City of San
Diego for official use only.
(Amended 9–10–1990 by O–17524 N.S.)

(a) An operator who is transferring, selling or terminating its business shall notify the City Treasurer in writing of such sale, transfer or termination and the name and address of the purchaser or transferee at least thirty (30) days in advance of the date of transfer, sale or termination, unless the decision to sell, transfer or terminate was made within less than a thirty (30) day period prior to the transfer, sale or termination, in which case the operator shall then immediately notify the City Treasurer. The operator shall, at the same time, notify the purchaser or transferee of their responsibility for unpaid collected taxes as set forth in sections 38.0137 and 38.0138, and further certify in writing to the City Treasurer that the transferee or purchaser was notified of the requirements of this Article regarding its responsibility for unpaid collected taxes.

(b) Cessation of Business. Each operator upon cessation of business for any
reason shall, on or before the same day of the next month following the
cessation of business or on the last day of that month if no corresponding day
exists, make a return to the City Treasurer on approved forms of the total
taxable rents charged, the amount of tax collected for the reporting period,
remittances made, if any, and the balance of the tax due. At the time the return
is filed, the full amount of the balance of the tax due, if any, shall be remitted
to the City Treasurer. After filing the final return and remitting the balance
due, the operator shall make his records of account available for a closeout
audit by the City Treasurer or duly authorized City employee. Returns filed
and taxes remitted and actually received by the City Treasurer on or before
the same day of the next month following the cessation of business or on the
last

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day of that month if no corresponding calendar day exits shall be deemed
timely filed and remitted; otherwise, the taxes are delinquent and subject to
the penalties imposed by Section 38.0116.

(c) The liability of the transferee or purchaser for transient transportation taxes
collected by the transferor or seller is set forth in Sections 38.0137 and
38.0138.

(d) Any operator who fails to comply with the provisions of subsections (a) or (b) hereunder is guilty of a misdemeanor. (Amended 9–10–1990 by O–17524 N.S.)

(a) Delinquency. Any operator who fails to remit any tax imposed by this Article within the time required shall pay a penalty computed at the rate of one percent (1%) for the first day of delinquency and one–third of one percent (1/3 of 1%) for each day thereafter, including Saturdays, Sundays, and holidays, but not to exceed twenty–five percent (25%) of the amount of the tax due and payable for the entire reporting period in addition to the amount of the tax.

(b) Fraud. If the City Treasurer determines that the nonpayment of any remittance
due under this ordinance is due to fraud, a penalty of twenty–five percent
(25%) of the amount of the tax shall be added thereto in addition to the
penalties stated in subparagraph (a) of this section.

(c) Audit Deficiency. If, upon audit by the City, an operator is found to be
deficient in either its return or its remittance or both, the City Treasurer shall
immediately invoice the operator for the amount of the net deficiency plus a
penalty of ten percent (10%) of the net deficiency. If the operator fails or
refuses to pay the deficient amount and applicable penalties within fourteen
(14) days of the date of the City Treasurer’s invoice, an additional penalty
shall be imposed at the rate of one–third of one percent (1/3 of 1%) per day of
the net deficiency, not to exceed fifteen percent (15%) for a combined total
penalty not to exceed twenty–five percent (25%) of the net deficiency.
(Amended 9–10–1990 by O–17524 N.S.)

(a) Determination of Tax by City Treasurer. If any operator shall fail or refuse to collect the tax or to make, within the time provided in this Article, any report

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or remittance of said tax or any portion thereof required by this Article or if
such operator maintains records which are inadequate to show the amount of
tax due, the City Treasurer shall forthwith assess the tax and penalties
provided for by this Article against the operator.

(b) Jeopardy Determinations. When an operator fails or refuses to make or file a
timely return or remittance of taxes, or when the City Treasurer or duly
authorized employee makes a determination, after having applied necessary
and accepted auditing procedures or by estimation if no records are available,
that an operator is or will be unable to remit any taxes collected or otherwise
due at the prescribed time, the City Treasurer may make a written Jeopardy
Determination which shall be issued to the operator to require the operator to
thereafter furnish additional information or provide adequate security as
necessary to ensure collection of any taxes due or to become due, and to remit
the taxes on a daily or weekly basis. The operator shall thereafter report and
remit all taxes due under the terms and conditions prescribed by the City
Treasurer. The City Treasurer shall cancel the requirements imposed under
the Jeopardy Determination once timely accounting and remittance
procedures have been established and the operator is satisfying all obligations
imposed by law for the remittance of taxes.

(c) Notice. The City Treasurer shall deliver notice of the assessment or of the
Jeopardy Determination to the operator or deposit it in the United States mail,
postage prepaid, addressed to the operator at the last known place of business.
(Amended 9–10–1990 by O–17524 N.S.)

(a) The operator may within fourteen (14) days after the serving or mailing of such notice make application in writing to the City Treasurer for a hearing on the amount assessed pursuant to section 38.0117. If timely application for a hearing is not made, the tax and penalties determined by the City Treasurer shall become final and conclusive and immediately due and payable. If such application is made, the City Treasurer shall give not less than five (5) days written notice in the manner prescribed herein to the operator of the time and place for a hearing before a board consisting of the City Treasurer, the City Auditor and Comptroller and the Financial Management Director or the duly appointed deputy of each. At the hearing, the operator may appear and offer evidence why the specified tax and penalties should not be so fixed. The board shall consider all evidence produced and shall determine the proper tax to be remitted. After the hearing, the City Treasurer shall give written notice to the

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operator in the manner prescribed herein of the determination and the amount
of such tax and penalties. If the amount remaining in dispute thereafter does
not exceed $750.00, the decision of the hearing board shall be final and
conclusive and shall constitute the exhaustion of the operator’s administrative
remedies. Any amount found to be due shall be payable within fourteen (14)
days of the serving or mailing of the determination of the tax due unless a
further appeal is filed with the City Manager as provided in this section within
that fourteen (14) day period for any amount in excess of $750.00.

(b) When an appeal from the hearing board for remaining taxes and penalties
exceeding $750.00 is filed, the City Manager shall cause the appeal to be
assigned to a Hearing Officer, who shall schedule a hearing to be heard as
soon a practicable, but no later than sixty (60) days thereafter. The Hearing
Officer shall be appointed by the City Manager, shall be a member of the
California State Bar and shall not be a City employee. The Hearing Officer
shall be compensated by the City of San Diego for the time spent on deciding
an appeal.

(c) The appellant and the City Manager or designate shall each have the right to
appear in person and be represented by legal counsel, to receive notice, to
present evidence, to call and cross–examine witnesses under oath and to
present argument. The Hearing Officer shall have the power to compel
attendance of witnesses and documents by Subpoena in accordance with the
Civil Code. The formal rules of evidence shall not apply and any relevant
evidence that is the sort of evidence upon which responsible persons are
accustomed to rely in the conduct of serious business affairs shall be
admissible. Hearsay evidence may be considered by the Hearing Officer, but
no findings may be based solely on hearsay evidence unless supported or
corroborated by other relevant and competent evidence. The formal
exceptions to the hearsay rule shall apply.

(d) The Hearing Officer is authorized to rule upon issues of law or fact and to
determine the amount of the tax or penalty in accordance with this Article.
The Hearing Officer shall not have any jurisdiction to waive, mitigate or
suspend the collection of any tax or penalty found to be duly imposed.

(e) The decision of the Hearing Officer shall be issued in writing no later than
thirty (30) days after the conclusion of the hearing. The decision shall be the
final administrative remedy of the appellant and shall be binding upon the
City Manager. Any amounts due shall be immediately payable to the City
Treasurer.

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(f) The City Manager shall promulgate supplementary rules and procedures for
the conduct of the hearing, the forms of notice and proceedings and the
preparation and submission of the record.
(Amended 9–10–1990 by O–17524 N.S.)

It shall be the duty of every operator liable for the collection and payment to the city of any tax imposed by this Article to keep and preserve, for a period of three years within the boundaries of this City, all business records as may be necessary to determine the amount of such tax for which the operator is liable for collection and payment to the City. The City Treasurer and authorized deputies or agents in the exercise of duties imposed by this Article shall have the right to inspect such records at all reasonable times and to apply auditing procedures necessary to determine the amount of tax due to the City. It shall be unlawful to refuse to allow or to permit such audit to be conducted after a lawful demand therefor by the City Treasurer, or the City Auditor when so requested by the City Treasurer. (Amended 9–10–1990 by O–17524 N.S.)

(a) Whenever the amount of any tax or penalty has been overpaid, paid more than once or has been erroneously or illegally collected or erroneously received by the City under this article, the overpayment may be refunded provided a claim in writing under penalty of perjury stating the specific grounds upon which the claim is founded is filed with the City Treasurer within three years of the date of payment. The claim shall be on forms available from the City Treasurer.

(b) An operator may claim a refund or take as a credit against taxes collected and
remitted the amount overpaid, paid more than once or erroneously or illegally
collected or received when it is established in a manner prescribed by the City
Treasurer that the person from whom the tax has been collected was not a
transient; provided, however, that neither a refund nor a credit shall be
allowed unless the amount of the tax so collected has either been refunded to
the transient or credited to rent subsequently payable by the transient to the
operator.

(c) A transient may obtain a refund of taxes overpaid or paid more than once or
erroneously or illegally collected or received by the City by filing a claim in
the manner provided in subparagraph (a) of this section, but only when the
transient having paid the tax to the operator establishes to the satisfaction of

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the City Treasurer that the transient has been unable to obtain a refund from
the operator who collected the tax.

(d) An operator who has remitted an amount in excess of the amount required to
be paid by this article may receive a credit to the extent of the excess. If the
excess is discovered as a result of an audit by the City, no claim need be filed
by the operator. Such credit, if approved by the Treasurer, shall be applied to
any deficiency found or any further tax payments due under the rules
prescribed by the Treasurer.

(e) No refund shall be paid under the provisions of this section unless the
claimant establishes his right thereto by written records showing entitlement
thereto.
(Amended 9–10–1990 by O–17524 N.S.)

(a) Any tax required to be paid by any transient under the provisions of this article shall be deemed a debt owed by the transient to the City and payable through the operator. Any tax collected by an operator which has not been paid to the City shall be deemed funds held in trust for the account of the City which are due and payable by the operator to the City pursuant to the provisions of this article. Any person owing money to the City under the provisions of the article shall be liable to an action brought in the name of The City of San Diego for the recovery of such amount. Upon the concurrence of the City Attorney and the City Auditor and Comptroller, the City Treasurer is authorized to compromise the collection of the amount or establish a schedule of payment for any tax due, or to discontinue the collection of any claim if it appears that further proceedings would be without merit.

(b) Recording of a Certificate of Lien. If any amount required to be paid to the
City under this article is not paid when due, the City Treasurer may record in
the office of the San Diego County Recorder a certificate which specifies the
amount of tax and penalties due, the name and address of the operator liable
for the same, a statement that the City Treasurer has complied with all
provisions of this article in the determination of the amount required to be
paid and a legal description of the real property owned by the operator. From
the time of the recording of the certificate, the amount required to be paid
together with penalties constitutes a lien upon all real property in the county
owned by the operator or thereafter acquired before the lien expires. The lien
has the force, effect and priority of a judgment lien and shall continue for ten

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(10) years from the filing of the certificate unless sooner released or otherwise discharged.

(c) Warrant for Collection of Tax. At any time within three (3) years after the recording of a certificate of lien under Section 38.0123(b), the City Treasurer may issue a warrant directed to any sheriff or marshal for the enforcement of the lien and the collection of any tax and penalties required to be paid to the City under this Article. The warrant shall have the same effect as a writ of execution, and be executed in the same manner and with the same effect as a levy and sale pursuant to a writ of execution. The City Treasurer may pay or advance to the sheriff or marshal such fees, commissions and expenses for services as are provided by law for similar services pursuant to a writ of execution.

(d) Seizure and Sale. In lieu of issuing a warrant under subsection (c), at any time
within the three (3) years after an assessment was issued or a certificate of lien
was recorded under section 38.0123(b), the City Treasurer may collect the
delinquent amount by seizing or causing to be seized any property, real or
personal, of the operator and sell any noncash or nonnegotiable property or a
sufficient part of it at public auction to pay the amount of tax due together
with any penalties and any costs incurred on account of the seizure and sale.
Any seizure made to collect taxes due shall only be of property of the operator
not exempt from execution under the provisions of the Code of Civil
Procedure.
(Amended 9–10–1990 by O–17524 N.S.)

(a) Any operator who willfully fails to collect or cause to be collected the transient transportation tax due from a transient is guilty of misdemeanor.

(b) Any operator who willfully fails to file or cause to be filed any return required
by this article, or who files or causes to be filed a false return, or who willfully
fails or refuses to remit or cause to be remitted any tax collected, or who
refuses to allow an audit to be conducted, is guilty of a misdemeanor.

(c) The commencement of criminal proceedings shall neither preclude nor abate
administrative or civil actions to collect taxes due under this article.

(d) Violations under this section are continuing violations and each day the
violation continues constitutes a separate misdemeanor.

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(e) Any operator violating any of the other mandatory provisions of this article
shall be guilty of a misdemeanor.

(f) Violations shall be punishable as misdemeanors by a fine of not more than
one thousand dollars ($1,000) or by imprisonment in the County jail for a
period of not more than six (6) months or by both such fine and
imprisonment.

(g) Non–defense. It shall not be a defense to violations of this article that the
operator, including a resident manager, had forwarded any return due or tax
collected to its principal or corporate headquarters, nor that any failure to file
or remit taxes was based on the direction or inaction of such principal or
corporate headquarters.
(Amended 9–10–1990 by O–17524 N.S.)

If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this article or any part thereof is for any reason held to be unconstitutional, such decision shall not affect the validity of the remaining portions of this article or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be declared unconstitutional. (Amended 9–10–1990 by O–17524 N.S.)

All revenues collected by the City under Section 38.0103 shall be deposited to the General Fund of the City (Fund No. 100) and be used for general governmental purposes as the City Council may from time to time provide in accordance with the City Charter of the City of San Diego and its appropriation ordinances. (Amended 9–10–1990 by O–17524 N.S.)

The City Treasurer may promulgate reasonable rules, interpretations and regulations to implement and enforce the provisions of this article. Designated agents of the City Treasurer shall have the authority to arrest without a warrant any violator of a misdemeanor provision of this article and to issue notices to appear pursuant to the provisions of Penal Code section 836.5. (Amended 9–10–1990 by O–17524 N.S.)

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If an operator who is liable for any tax or penalties under this Article sells or otherwise disposes of his business, his successor shall notify the City Treasurer of the date of sale at least thirty (30) days before the date of sale or, if the decision to sell was made less than thirty (30) days prior to the actual sale, then immediately and shall withhold a sufficient portion of the purchase price to equal the amount of such tax or penalty until the selling operator produces a receipt from the Treasurer showing that the tax or penalty has been paid or a tax clearance certificate from the City Treasurer stating that no tax or penalty is due. If the seller does not present a receipt or tax clearance certificate within thirty (30) days after such successor commences to conduct business, the successor shall deposit the withheld amount with the City Treasurer pending settlement of the seller’s account. (Amended 9–10–1990 by O–17524 N.S.)

If the successor to the business fails to withhold a portion of the purchase price as required, it shall be liable to the City for the payment of the amount required to be withheld. Within thirty (30) days after receiving a written request from the successor for a tax clearance certificate stating that no tax or penalty is due, the City Treasurer shall either issue the certificate or mail notice to the successor at its address as it appears on the records of the City Treasurer of the estimated amount of the tax and penalty that must be paid as a condition of using the certificate. (Amended 9–10–1990 by O–17524 N.S.)

§ Editor’s Note

WHEREAS, by Ordinance No. O–17509 (New Series), adopted August 6, 1990, and
effective September 6, 1990, this City Council established a transient transportation
tax, the proceeds of which are to be deposited to the general fund; and

WHEREAS, said tax is deemed to be in the nature of an impact fee for the additional
impacts of transient vehicles on City services and facilities; and

WHEREAS, the State Board of Equalization has preliminarily concluded that said tax
may be more in the nature of a sales tax, the collection of which may contravene the
provisions of the Bradley–Burns Act, Revenue and Taxation Code section 7203.5,
which would thereby cause that portion of City sales tax revenues collected by the
State to be subvented to the County and not be remitted to the City; and

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WHEREAS, this loss of revenue has the potential to severely disrupt City revenue collections and public services and safety; and

WHEREAS, the State Board of Equalization intends to submit its tentative ruling to the State Attorney General for review; and

WHEREAS, the Bradley–Burns Act will not apply to prevent the loss of revenue to the City for any period when such tax is not collected; and

WHEREAS, the City Council of The City of San Diego deems it essential to defer imposition and collection of the Transient Transportation Tax until this issue is resolved; and

WHEREAS, the City Council therefore considers the potential loss of revenue due to the proposed implementation of this tax to constitute an emergency within the meaning of section 17 of the San Diego City Charter;

NOW, THEREFORE, BE IT ORDAINED, by the Council of The City of San Diego, as follows:

Section 1. That the provisions of Section 2 of Ordinance No. O– 17509 (New Series), adopted August 6, 1990, shall be amended to read as follows:

Section 2. This ordinance shall take effect and be in force on January 1, 1991, or on
the thirtieth day from and after its passage, whichever is later. Section 2. The
imposition of any tax adopted by Ordinance No. O– 17509 (New Series) and its
collection between the dates of September 6, 1990, and the date of adoption of this
ordinance is hereby waived and shall not be collected, notwithstanding any later
administrative or judicial decision or determination to the contrary.

Section 3. This ordinance shall take effect and be in force immediately upon its
adoption pursuant to the provisions of section 17 of the City Charter of San Diego,
the Council having determined that said ordinance constitutes an emergency measure
within the meaning of section 17 in order to provide for the immediate preservation
of the public peace, property, health or safety.

Section 4. The City Clerk shall cause a copy of this ordinance to be inserted as a note
to the provisions of Chapter 3, Article 8, of the San Diego Municipal Code, when
printed.
(“Editor’s Note” added 9–10–1990 by O–17524 N.S.)

Ch. Art. Div.
3 8 1 15

San Diego Municipal Code Chapter 3: Business Regulations, Business Taxes, Permits and Licenses, (9-2016)