HomeMy WebLinkAbout1853Resolution No. 1853
{Amending or Repealing Resolutions)
CFN = 104 -Finance
Passed -2/7/2012
Tax Credit Threshold Panther Lake Annexation
RESOLUTION NO. -+~---=~-5_3 __
A RESOLUTION of the City Council of the
City of Kent, Washington, authorizing the City of
Kent to 1mpose a sales and use tax as author~zed
by RCW 82.14.415 as a cred1t aga1nst state sales
and use tax, relatmg to annexations, and
authonz1ng the city's Fmance Director to certify the
threshold amount for the 2012 f1scal year.
RECITALS
A. This is not a new tax, but a reallocation of the sales tax
already collected by the state, wh1ch w1ll then be rem1tted to the City to
ass1st with fundmg the costs of the newly annexed area.
B. After providing all appropriate notice and following appropriate
procedure, and follow1ng a favorable vote on the annexat1on propos1t1on,
the Kent City Council adopted 1ts Ordmance No. 3936 on December 8,
2009, approvmg the Panther Lake Annexation Area effective July 1, 2010.
The population w1thm the annexation area determmed at the t1me of
annexat1on was 25,458 people.
C. On February 15, 2011, the City adopted Resolution No. 1839
author1z1ng the City of Kent to impose a sales tax and use tax as
author~zed by RCW 82 14.415 as a credit against state sales and use tax,
relating to annexations, and author1z1ng the City's fmance director to certify
the threshold amount for the 2011 f1scal year.
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Panther Lake Annexation
D. With this Resolution, the City authorizes the Imposition of
Similar annexation sales and use taxes for the 2012 fiscal year.
E. The City Council of the City of Kent, Washmgton, finds and
determines that the proJected cost to prov1de mun1c1pal services to the
annexed area w1ll be at least $10,860,998, and that cost exceeds the
proJected general revenue estimated to be $7,426,133 that the City would
otherw1se rece1ve from the annexat1on on a f1scal year bas1s.
F. Pursuant to RCW 82.14.415, the City of Kent is authorized,
under the circumstances of th1s annexation, to 1mpose a sales and use tax
for the next state f1scal year, wh1ch shall be collected from those persons
who are taxable by the state under Chapters 82.08 and 82.12 RCW, upon
the occurrence of any taxable event w1thin the c1ty, w1th that tax bemg a
cred1t agamst the state tax.
G. The rate of tax 1mposed shall be 0.2 percent, and shall be in
add1t1on to other taxes authonzed by law, and the threshold amount for the
next (th1rd) state f1scal year followmg the annexation and adopt1on of the
tax IS as follows: $3,452,428.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, DOES HEREBY RESOLVE AS FOLLOWS:
RESOLUTION
SECTION 1. -Rate and Threshold Amount. The city of Kent w1ll
contmue the sales and use tax rate to offset municipal serv1ces costs to the
City's newly annexed Panther Lake Annexation area at 0.2 percent, wh1ch
shall be 1n add1t1on to other taxes authonzed by law. The threshold amount
2 Tax Credit Threshold
Panther Lake Annexation
for the Panther Lake Annexation for the state fiscal year 2012 is
$3,452,428.
SECTION 2. -Implementation and certification. The Mayor of the
City of Kent is authorized to 1mplement adm1n1strative procedures as may
be necessary to carry out the proviSions of this Resolut1on. The City's
finance director 1s authonzed to cert1fy the amount for the 2012 fiscal year
to the appropnate agenc1es withm the State of Washington.
SECTION 3. -SeverabilitY. If any section, subsection, paragraph,
sentence, clause or phrase of th1s resolution IS declared unconst1tut1onal or
invalid for any reason, such deciSIOn shall not affect the val1d1ty of the
remammg portions of th1s resolution.
SECTION 4. -Savmgs. Resolution No. 1839 shall remam m full
force and effect unt1l the effective date of th1s ordmance.
SECTION 5. -Rat1f1cation. Any act consistent w1th the authonty
and pnor to the effective date of this resolution is hereby rat1f1ed and
affirmed.
SECTION 6. -Corrections by City Clerk or Code Reviser. Upon
approval of the City Attorney, the City Clerk and the code reviser are
authonzed to make necessary corrections to th1s resolut1on, mcludmg the
correction of clencal errors; references to other local, state or federal laws,
codes, rules, or regulations; or resolution numbenng and
sect10n/subsect1on numbenng.
SECTION 7. -Effective Date. This resolution shall take effect and
be m force 1mmed1ately upon 1ts passage, however the 1mposit1on of the
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Panther Lake Annexation
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sales and use taxes for the 2012 state fiscal year authorized by this
Resolution shall not take effect until the commencement of that f1scal year.
PASSED at a regular open public meeting by the City Council of the
City of Kent, Wash1ngton, th1s 7dv day of Q}vPu/jJ~"-1=, 2012.
tL
7 day of k CONCURRED in by the Mayor of the City of Kent this
C\ ,__j;,_,~fa/uy , 2012.
ATTEST:
APPROVED AS TO FORM: -~ -
Tl~A~bNEY --• ~ w
I hereby certify that th1s is a true and correct copy of Resolution No.
/ 8' 5'3 passed by the City Counc1l of the City of Kent, Washmgton, the
zf}.., day of a~ 12012.
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Panther Lake Annexation