HomeMy WebLinkAbout75B - AMEND EZ MISC FEE SCHEDUL
REQUEST FOR
COUNCIL ACTION
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CITY COUNCIL MEETING DATE:
CLERK OF COUNCIL USE ONLY:
SEPTEMBER 20, 2004
TITLE:
APPROVED
o As Recommended
o As Amended
o Ordinance on 1 sl Reading
o Ordinance on 2nd Reading
o Implementing Resolution
o Set Public Hearing For
PUBLIC HEARING AMENDING THE
MISCELLANEOUS FEE SCHEDULE TO
IMPLEMENT THE STATE MANDATED FEE
FOR PROCESSING ENTERPRISE ZONE
HIRING TAX CREDI APPLICATIONS
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CONTINUED TO
FILE NUMBER
CITY MANAGER
RECOMMENDED ACTION
Adopt a resolution amending the Schedule of Uniform Fees to implement a
State mandated fee for the processing of Enterprise Zone Hiring Tax Credit
applications.
DISCUSSION
The Santa Ana Enterprise Zone program assists businesses located within
the Enterprise Zone in receiving a state tax credit for a percentage of
the wages that are paid to eligible employees. The Ci ty of Santa Ana
Enterprise Zone is responsible for reviewing applications submitted by
businesses or their tax credit consultants for potentially eligible
employees and issuing Hiring Tax Credi t Vouchers. This program was
legislatively transferred to the State Department of Housing and Community
Development (HCD) as of January 1, 2004. Pursuant to SB 1097, on October
1, 2004, all Enterprise Zones will be assessed a fee of $10 for each
application it processes for issuance of an Enterprise Zone Hiring Tax
Credit Voucher.
FISCAL IMPACT
Funds from the Enterprise Zone Hiring Tax Credit Voucher applications will
be deposi ted into the Trust & Agency Reserve Account - Enterprise Zone
(account no. 99-01-3611-8) and remitted to the State.
APPROVED AS TO FUNDS AND ACCOUNTS:
patricia C. itaker
Executive Director
Community Development Agency
(72nu .
Rod R. Coloma
Executive Direct fkl
75ID'fc~ & Management Services Agency
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bk:9/14/04
RESOLUTION NO. 2004-076
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA ADOPTING A FEE TO REIMBURSE THE
CITY FOR A NEWLY IMPOSED STATE MANDATED
CHARGE ON ENTERPRISE ZONE TAX HIRING
VOUCHERS
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS
FOLLOWS:
Section 1: The City Council hereby, finds, determines and declares as follows:
A. In June of 1993, the City of Santa Ana was designated a State Enterprise
Zone. Over 7,100 acres of the City lie within the Enterprise Zone.
B. As part of the Enterprise Zone program, businesses which hire eligible
employees may qualify for state income tax credits of tens of thousands of dollars per
employee hired. To obtain such a credit, the business must be issued a tax hiring
voucher.
C. Over the last four years, the City has approved almost 10,000 applications
for hiring tax credit vouchers by City businesses located in the City's Enterprise Zone.
D. In large part because of its active hiring tax voucher program, the City of
Santa Ana has been recognized as the top Enterprise Zone performer in the state
E. As of October 1, 2004, the City will be required by a newly adopted State
law to pay to the State of California a $10.00 charge for each voucher application
submitted to the City for processing. It is appropriate that this charge be paid by the
applicant seeking a significant income tax credit rather than by the City's taxpayers in
general.
Section 2: A $10.00 per application fee is hereby established for each person
applying for a Enterprise Zone Hiring Tax Credit. This fee will be collected beginning
October 1, 2004.
Section 3. That without further action of the City Council this fee shall be
incorporated into the City's Miscellaneous Fee Schedule.
ADOPTED this _ day of
,2004.
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Miguel A. Pulido
Mayor
APPROVED AS TO FORM:
Joseph W. Fletcher, City Attorney
By:
Benjamin Kaufman
Chief Assistant City Attorney
AYES: Councilmembers:
NOES: Councilmembers:
ABST AI N: Councilmembers:
NOT PRESENT: Councilmembers:
CERTIFICATION OF ATTESTATION AND ORIGINALITY
I, PATRICIA E. HEALY, Clerk of Council, do hereby attest to and certify the attached
Resolution No. 2004-076 to be the original resolution adopted by the City Council of the
City of Santa Ana on
Date:
Clerk of Council
City of Santa Ana
758-3
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