Ordinance 2254MAE/lac
12/17/81
ORDINANCE NO. 2254
AN ORDINANCE OF THE CITY OF EDMONDS, WASH-
INGTON, AMENDING SECTIONS 3.20.020 AND
3.20.050D OF THE EDMONDS CITY CODE TO EX-
TEND THE UTILITIES BUSINESS TAX ASSESSED
UPON PERSONS ENGAGED IN THE TELEPHONE BUSI-
NESS TO INCLUDE REVENUES GENERATED FROM
INTRASTATE TOLL CALLS.
WHEREAS, the Washington State Legislature, by enact-
ment of Chapter 144, Laws of 1981, which will take effect on
January 1, 1982, has eliminated a significant source of reve-
nue to the City by providing that "competitive telephone
services" as defined hereinafter shall not be subject to
local and occupation taxes unless a tax is levied on all
sellers of tangible personal property at a uniform rate, and
WHEREAS, at present the City's utilities business
tax upon persons engaged in the telephone business within the
City does not extend to revenues generated from intrastate
toll calls, and
WHEREAS, the City Council finds that it will promote
the general welfare of the City to include revenues derived
from intrastate toll calls as a component of revenues subject
to the City's utilities business tax and that such action
will partially offset the loss of revenue which will result
from enactment of Chapter 144, Laws of 1981, now, therefore
THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON,
DO ORDAIN AS FOLLOWS:
Section 1. Edmonds City Code section 3.20.020 is
hereby amended to include definitions of "competitive tele-
phone service" and "telephone business" as follows:
3.20.020 DEFINITIONS
In construing the provisions of this Chapter, save
when otherwise plainly declared or clearly apparent
from context, the following definitions shall be
applied:
A. Competitive telephone service means the provid-
ing by any person of telephone equipment, appara-
tus, or service, other than toll service, which is
of a type which can be provided by persons that are
not subject to regulation as telephone companies
under Title 80 RCW and for which a separate charge
is made.
B. Gross Income. The value proceeding or accruing
from the sale of tangible property or service, and
receipts (including all sums earned or charged,
whether received or not) by reason of investment of
capital in the business engaged in, including rent-
als, royalties, fees or other emoluments, however
designated (excluding receipts or proceeds from the
use or sale of real property or any interest there-
in, and proceeds from the sale of notes, bonds,
mortgages or other evidence of indebtedness, or
stocks and the like) and without any deduction on
account of the cost of the property sold, cost of
materials used, labor costs, interest or discount
paid, or any expenses whatsoever, and without any
deduction on account of losses.
C. Person or persons. Persons of either sex,
firms, copartnerships, corporations, public utility
districts and other associations or natural per-
sons, whether acting by themselves or by servants,
agents or employees.
D. Taxpayers. Any person subject to the license
fee or tax imposed by this chapter.
E. Tax year or taxable year. The year commencing
January 1 and ending on the last day of December of
the same year or, if approved by the City Clerk as
provided in this chapter, the taxpayer's fiscal
year.
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F. Telephone Business means the business of pro-
viding -access to a local telephone network, local
telephone network switching service, toll service,
or coin telephone services, or providing tele-
phonic, video, data or similar communication or
transmission for hire, via a local telephone
network, toll line or channel, or similar commu-
nication or transmission system. It includes
cooperative or farmer line telephone companies or
associations operating an exchange. "Telephone
business" does not include the providing of
"competitive telephone service", nor the providing
of cable television service.
Section 2. Edmonds City Code section 3.20.050D is
hereby amended to impose this tax on intrastate toll calls as
follows:
3.20.050 OCCUPATIONS SUBJECT TO TAX - AMOUNTS
D. Telephone Business. A tax equal to eight and
one -quarter percent (8.250) of the gross sub-
scribers' exchange monthly service charges billed
to business and residence customers located within
the corporate limits of the City, together with
eight and one -quarter percent (8.25%) of gross
income derived from intrastate toll service pro-
vided to business and residential customers located
within the corporate limits of the City.
Section 3. This ordinance shall be in full
force and effect as of February 1, 1982.
APPR VED:
MAYOR, H. H. HARRISON
ATTEST/AUTHENTICATED:
aZ-O�-441
CITY CLERK, IREN ARNEY MORAN
APPROVED AS TO FORM:
OFFICE OF THE CITY ATTORNEY:
BY
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FILED WITH THE CITY CLERK: December 18, 1981
PASSED BY THE CITY COUNCIL: December 22, 1981
POSTED: December 23, 1981
EFFECTIVE DATE: January 1, 1982
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AFFIDAVIT OF POSTING ORDINANCE
STATE OF WASHINGTON )
) ss:
COUNTY OF SNOHOMISH )
IRENE VARNEY MORAN
, being first duly sworn
on oath deposes and says that s he is over the age of eighteen (18)
years and is competent to testify as to the matter stated herein.
There is no official newspaper or other newspaper printed and
published within
the City.
In accordance
with RCW 35A.12.160,
on
the day
of
199/,
affiant posted true
and
correct copies of the attached Ordinance No.�S , passed by the
City Council on the me day of , 19,fl, at the
official posting places for City notices which are the public
bulletin boards at the following locations:
Edmonds Civic Center
250 Fifth Avenue North
Edmonds, Washington 98020
Edmonds Public Library
Civic Center, 250 Fifth Avenue North
Edmonds, Washington 98020
Edmonds Branch of United States Post Office
201 Main Street
Edmonds, Washington 98020
DATED this day of , 191.
Z�
44
SUBSCRIBED AND SWORN to before me this 3 day of
_ 19k� .
Vota&y Public in and for the
State f hi residing
residing
at