HomeMy WebLinkAbout2001-07-23 Ordinance 4710ORDINANCE NO. 4710
ORDINANCE OF THE COUNCIL OF THE CITY OF PALO
ALTO CLARIFYING AND RESTATING CERTAIN BUDGETARY
ACTIONS RELATING TO THE INTENDED REBATE OF A
PORTION OF THE UTILITY USERS TAXES
WHEREAS, on June 11, 2001, the City Council adopted the
Budget for fiscal year 2001-02; and
WHEREAS, while adopting the 2001-02 Budget, the Council
deferred the question of whether or not to rebate a portion of
the Utility Users Taxes (UUT) relating to the increased cost of
gas and electricity; and
WHEREAS, Exhibit "B" of the Budget Adoption Ordinance
(No. 4706) included an item reflecting the anticipated rebate
and its affect on General Fund revenues; and
WHEREAS, the Utility Users Tax revenues
as shown in the General Fund Summary tables
Adoption Ordinance (No. 4706) incorporated
taxpayers; and
of $7.02 million
of the Budget
a rebate to
WHEREAS, on July 16, 2001, the City Council formally
approved the UUT rebate in the following motion:
"1.
010718 cI 0032475
Approve
(UUT)
a General
rebate to
Fund
gas
Utility Users Tax
and electricity
customers as follows:
a. The rebate would be a refund in
of a credit on the bills of
electric customers.
the form
gas and
b. The credit will appear on bills beginning
August 1, 2001 and will be equal to the
UUT amount that customers would have paid
as a result of the June 1, 2001 gas rate
increase of 67 percent, and the July 1,
2001 electric rate increase of 43
percent.
c. The rebate or credit would continue
through June 30, 2002.
1
2. Direct staff to prepare an ordinance to
implement this action in the General Fund
Budget and present it to Council on July 23,
2001;" and
WHEREAS, the Council desires to clarify that the UUT
rebate will be limited for high volume users to the first
threshold of five percent (5%); and
WHEREAS, the Council desires to further clarify that the
2001-02 Budget, as adopted on June 11, 2001, including
Exhibi t "B" thereof, reflects the effect on General Fund
revenues of the Council's action of July 16, 2001, to approve
the UUT rebate, and to restate that portion of the Budget so
affected.
NOW, THEREFORE, the Council of the City of Palo Alto
does ORDAIN as follows:
SECTION 1. The Council hereby clarifies that its action
of July 16, 2001 approving a UUT rebate, as stated above, will
be limited for high volume users to the first threshold of five
percent (5%).
SECTION 2. The Council hereby clarifies that the 2001-
02 Budget, as adopted on June 11, 2001, including Exhibit "B"
thereof, reflects the effect on the General Fund revenues of the
Council's action of July 16, 2001, to approve the UUT rebate.
SECTION 3. The Utili ty Users Tax revenues of
$7,024,000, the net surplus of $1,246,000 and the projected
Budget Stabilization Reserve of $22,542,000 will not change as a
result of this action.
SECTION 4. This is not a proj ect for purposes of the
California Environmental Quality Act.
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010718 cl 0032475 2
SECTION 5. This
immediately upon adoption.
ordinance
INTRODUCED AND PASSED: July 23, 2001
shall
AYES: BURCH, EAKINS, FAZZINO,
OJAKIAN, WHEELER
KLEINBERG,
NOES:
ABSENT: BEECHAM
ABSTENTIONS:
APPROVED AS TO FORM:
Senior Asst. City Attorney
tHIS DOCUMENT IS CERT1FIED TO BE AN
ORD!i\l,1\NC~ DULV PASSED BY THE COUNCIL :,'
or ".,!;: CITY OF PALO ALTO AND \1'; <.
n-;;:::"U\i-fER POST~J!lfiEfOUNC1L .
CH;',,'i:m:RS ON ~_ (WITHIN 11
DAYS m· ITS PASS/l/ E) ..
"I certify (or decillre) under penalty
of pe~jtlry that the foregoing is true gIl ~~recr~
010718 cI 0032475 3
be effective
LYTLE, MOSSAR,