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AN ORDINANCE LEVYING A GROSS RECEIPT TAX, CREATING THE CITY OF JONESBORO ADVERTISING AND TRUST PROMOTION FUND, AND THE CITY OF JONESBORO ADVERTISING AND TOURIST PROMOTION COMMISSION, AND FOR OTHER PURPOSES
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WHEREAS, Act 185 of 1965 amended by Act 123 of 1969 and Act 534 of 1971 authorizes Cities of the First Class to levy a one percent gross receipt tax upon the renting, leasing or otherwise furnishing of hotel and motel accommodations within the corporate limits of said cities, and to create a fund to be known as the City Advertising and Promotion Fund to be used exclusively for advertising and promoting the city, and to be managed by a City Advertising and Promotion Commission, and that
WHEREAS, the City of Jonesboro feels that it is in the best interest of the City to enact an ordinance implementing said act.
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Jonesboro, Arkansas:
Section 1: Definitions.
1. Gross Receipt Tax: A tax of one percent upon the gross receipts of gross proceeds from the renting, leasing or otherwise furnishing of motel or hotel accommodations in the City of Jonesboro, Arkansas.
2. Hotel or Motel Accommodations: The renting, leasing or otherwise furnishing of accommodations in hotels or motels upon a day to day basis or a week to week basis. Provided, however, that this shall not include the renting, leasing or furnishing of accommodations upon month to month tenancies or tenancies of a longer duration.
Section 2: GROSS RECEIPT TAX: From and after the passage and approval of this ordinance a tax in the sum of one percent shall be levied upon the gross receipts of gross proceeds upon the renting, leasing or otherwise the gross receipts or gross proceeds upon the renting, leasing or otherwise furnishing of hotel or motel accommodations for profit within the corporate limits of the City of Jonesboro, Arkansas. The tax herein levied shall be paid by the persons, firms or corporations liable therefore, and shall be collected by City Advertising and Promotion Collection in the same manner and at the same time as the gross receipts tax levied by Act 386 of 1941 as amended. All the provisions of Act 386 of 1941 as amended, and the rules, regulations and forms promulgated and prescribed by the Commissioner of Revenues pursuant to said Act shall, so far as practicable, be applicable with respect to the enforcement and collection of the tax levied pursuant to this ordinance.
Section 3: TAXABLE BUSINESSES:
1. The City Advertising and Promotion Commission shall prepare and maintain a current list of the business establishments in the City of Jonesboro, subject to the above tax.
Section 4: CREATION OF CITY ADVERTISING AND PROMOTION FUND:
1. The funds received by the City of Jonesboro Advertising and Promotion Commission under the provisions of this ordinance shall be paid into a fund to be known as the City of Jonesboro Advertising and Promotion Fund. The monies so collected shall be used exclusively for the advertising and promotion of the City of Jonesboro, Arkansas.
2. All revenues received by the City of Jonesboro Advertising and Promotion Commission pursuant to this ordinance shall be "Special Revenues", and shall be deposited by the City Advertising and Promotion Commission in such bank account or accounts as may be designated by the City of Jonesboro Advertising and Promotion Commission.
Section 5: CREATION OF CITY ADVERTISING AND PROMOTION COMMISSION:
1. The City of Jonesboro Advertising and Promotion Commission is hereby created. The said Commission shall be composed of seven (7) members who shall be qualified electors of the City of Jonesboro. Four (4) members of said Commission shall be hotel, motel owners or managers. The members of said Commission shall be appointed by the Mayor of the City of Jonesboro, with the approval of the Jonesboro City Council the appointment of members of said Commission shall be for the terms of seven (7) years. Provided, however, the first members appointed to said Commission shall serve for terms of one, two, three, four, five, six and seven years respectively, with the term of each member to be determined by lot at the first meeting of said Commission. Successor members shall be appointed for the full term of seven years. In the event of a vacancy occurring on said Commission, it shall be filled by appointment by the Mayor, subject to the approval of the Jonesboro City Council. Each commissioner shall file the oath required by law in the State of Arkansas of public officials. Each commissioner shall furnish to the City of Jonesboro a Five Thousand and No/100 Dollars ($5,000.00) surety bond that will serve to insure the City against misappropriation or mishandling of funds. The surety on said bond shall be a reputable surety corporation. The premium on said bond shall be paid from the City of Jonesboro Advertising and Promotion Fund.
2. Any commissioner appointed under the provision of this ordinance may be removed for cause upon a two-third (2/3) vote of the Jonesboro City Council.
Section 6: ORGANIZATION OF COMMISSION - POWERS AND DUTIES:
1. The City of Jonesboro Advertising and Promotion Commission shall meet within two (2) weeks of its appointment and shall be organized by electing a Chairman, a Secretary and a Treasurer. Thereafter, the Commission shall meet as often as may be necessary, and also be subject to special call by the Chairman.
2. The commissioners shall adopt such rules and regulations as they may deem necessary and expedient for the proper operation of said commission, and they shall have the authority to alter, change or amend such rules and regulations at their discretion.
3. The Commission hereunder appointed shall have the authority to utilize all revenues collected in the City of Jonesboro Advertising and Promotion Fund for purposes set forth in Act 185 of 1965 as amended by Act 123 of 1969, Act 58 of 1970 Extraordinary Session and Act 188 of 1971, subject to approval by City Council of the City of Jonesboro, Arkansas.
4. The commissioners hereunder appointed, in addition to their other powers enumerated herein shall have the right and power to make purchases of all supplies necessary for the management and operation of the Commission.
5. The commissioners shall have authority to employ the necessary personnel to assist in the administration and operation of the City of Jonesboro Advertising and Promotion Fund and shall have the authority to fix the salary or salaries for such personnel. Any employee who shall handle the funds for the Commission shall be required to furnish the City a surety bond in an amount to be determined by the Commission to insure the City against misappropriation of funds.
6. The commissioners shall make quarterly reports to the Mayor and City Council of the City of Jonesboro beginning three (3) months after their oath of office, reporting in full on the operations of the Commission, including an accounting of receipts and disbursements, and shall upon request of the Jonesboro City Council furnish such order and further reports and data as may be required. The commissioners shall select a recognized auditing firm to submit an annual audit of the operations of the Commission to the Mayor and City Council of the City of Jonesboro.
Section 7: All Ordinances and parts of Ordinances in conflict herewith are hereby repealed.
Section 8: The provisions of this Ordinance are hereby declared to be severable. If any provision shall be held to be invalid or to be inapplicable to any persons or circumstances, such invalidity or inapplicability shall not affect the remainder of the provisions of this Ordinance.
Section 9: It has been found, and it is hereby declared, that the City badly needs additional revenues for the advertising and promotion of the City and for the development of a convention center; that this Ordinance and the tax levied by it are the only reasonable means available for the alleviation of these needs; and that the advertisement and promotion of the City and the development of a convention center are essential to the continued development of the City to the welfare of the inhabitants thereof. This Ordinance, therefore, being necessary for the preservation of the public peace, health and safety, an emergency is declared to exist, and this Ordinance shall be in effect from and after its passage and approval.
PASSED and ADOPTED this 21st day of May, 1973.