AGENDA #6n

MEMORANDUM

TO:                  Mayor and Town Council

FROM:            W. Calvin Horton, Town Manager

SUBJECT:       Revisions to Privilege License Fees

DATE:             June 27, 2005

 

The attached ordinance amendment would increase fees for privilege licenses under the gross receipts provision of State law.

 

BACKGROUND AND DISCUSSION

 

On April 27, 2005, in response to a report from the Subcommittee of the Citizens Review Advisory Committee, we presented a recommendation for increasing fees for privilege licenses based on gross receipts.  The Town’s fee scale was lower than the fee scale for neighboring communities.  See Attachment 1. 

 

The table below shows the current fees and the recommended fees:

 

 

RECOMMENDATION

 

That the Council enact the attachment ordinance amendment.

 

ATTACHMENT

 

1. Memorandum of April 27, 2005 (p. 3).

AN ORDINANCE AMENDING CHAPTER 10 OF THE CODE OF ORDINANCES CONCERNING PRIVILEGE LICENSE FEES BASED ON GROSS RECEIPTS (2005-06-27/O-7.1)

 

BE IT ORDAINED by the Council of the Town of Chapel Hill as follows:

 

Section 1. Article I., Chapter 10 of the Town Code is hereby revised to read as follows:

 

Sec. 10-5.4. Schedule D businesses.

 

All businesses not specifically listed in Schedules A, B, or C of this section will fall under the miscellaneous category of Schedule D. The rate for the privilege license tax for any Schedule D business will be based on the gross receipts of the business. The privilege license tax for a particular Schedule D business is based on the following table:

 

 

Section 2. This ordinance shall become effective July 1, 2005.

This the 27^th day of June, 2005.