House Bill 1525

AN ACT TO AMEND CHAPTER 938, LOCAL AND PRIVATE LAWS OF 1998, AS AMENDED BY CHAPTER 981, LOCAL AND PRIVATE LAWS OF 1999, AS AMENDED BY CHAPTER 960, LOCAL AND PRIVATE LAWS OF 2001, AS AMENDED BY CHAPTER 923, LOCAL AND PRIVATE LAWS OF 2018, TO EXTEND THE REPEALER FROM JULY 1, 2022, TO JULY 1, 2026, ON THE PROVISION OF LAW THAT AUTHORIZES THE GOVERNING AUTHORITIES OF THE CITY OF RICHLAND, MISSISSIPPI, TO IMPOSE A TAX UPON THE GROSS SALES OF BARS AND RESTAURANTS IN AN AMOUNT NOT TO EXCEED TWO PERCENT FOR THE PURPOSE OF PROVIDING FUNDS FOR THE PROMOTION OF TOURISM, PARKS AND RECREATION WITHIN THE CITY; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Chapter 938, Local and Private Laws of 1998, as amended by Chapter 981, Local and Private Laws of 1999, as amended by Chapter 960, Local and Private Laws of 2001, as amended by Chapter 923, Local and Private Laws of 2018, is amended as follows:

Section 1. As used in this act, the following terms shall have the meanings ascribed to them in this section unless a different meaning is clearly indicated by the context in which they are used:

(a) "Governing authorities" means the governing authorities of the City of Richland, Mississippi.

(b) "Bar" means all places, required by law to possess an on-premises Alcoholic Beverage Control permit, where beer and/or alcoholic beverages are sold for consumption on the premises.

(c) "Restaurant" means all places where prepared food and beverages, including beer and alcoholic beverages, are sold for consumption, whether such food is consumed on the premises or not. The term "restaurant" does not include any school, hospital, convalescent or nursing home, or any restaurant-like facility operated by or in connection with a school, hospital, medical clinic, convalescent or nursing home providing food for students, patients, visitors or their families.

Section 2. (1) For the purpose of providing funds (i) for the amortization or defraying of any indebtedness incurred by the City of Richland in connection with the construction of a multipurpose building to be used for a community center and (ii) to promote tourism, parks and recreation within the city, after the costs connected with the construction of the multipurpose building are paid and completely satisfied and after an election is held approving the funds being used to promote tourism, parks and recreation, the governing authorities of the City of Richland are authorized, in their discretion, to levy and collect from the following persons a tax, which shall be in addition to all of the taxes and assessments imposed. The tax shall be imposed on the following persons:

(a) A tax upon every person, firm or corporation operating a bar in the City of Richland, at a rate not to exceed two percent (2%) of the gross proceeds of the sales of such bar; and

(b) A tax upon every person, firm or corporation operating a restaurant in the City of Richland, at a rate not to exceed two percent (2%) of the gross proceeds of the sales of beer and alcoholic beverages sold for consumption on the premises and all prepared foods of such restaurant.

(2) Persons, firms or corporations liable for the levy imposed under subsection (1) of this section shall add the amount of the levy to the sales price of the products and services set out in subsection (1) of this section and shall collect, insofar as is practicable, the amount of the tax due by them from the person receiving the services or product at the time of payment therefor.

(3) Such tax shall be collected by and paid to the Department of Revenue on a form prescribed by the Department of Revenue in the manner that state sales taxes are computed, collected and paid; and full enforcement provisions and all other provisions of Chapter 65, Title 27, Mississippi Code of 1972, shall apply as necessary to the implementation and administration of this act.

(4) The proceeds of such tax, less three percent (3%) thereof which shall be retained by the Department of Revenue to defray the cost of collection, shall be paid to the governing authorities of the City of Richland, on or before the fifteenth day of the month in which collected.

(5) The proceeds of such tax shall not be considered by the City of Richland as general fund revenues but shall be dedicated to and expended solely for the purposes specified in this section.

Section 3. Before any tax authorized under this act may be imposed, the governing authorities shall adopt a resolution declaring its intention to levy the tax, setting forth the amount of such tax to be imposed, the date upon which such tax shall become effective and calling for a referendum to be held on the question. The date of the election shall be the first Tuesday after the first Monday in November 1998. Notice of such intention shall be published once each week for at least three (3) consecutive weeks in a newspaper published or having a general circulation in the county, with the first publication of such notice to be made not less than twenty-one (21) days before the date fixed in the resolution for the election and the last publication to be made not more than seven (7) days before the election. At the election, all qualified electors of the City of Richland may vote, and the ballots used in such election shall have printed thereon a brief statement of the amount and purposes of the proposed tax levy and the words "FOR THE ECONOMIC AND COMMUNITY DEVELOPMENT TAX" and, on a separate line, "AGAINST THE ECONOMIC AND COMMUNITY DEVELOPMENT TAX," and the voters shall vote by placing a cross (X) or check (b) opposite their choice on the proposition. When the results of any such election shall have been canvassed by the election commission of the county and certified, the city may levy the tax beginning on the first day of January 1999, if a majority of the qualified electors who vote in the election vote in favor of the tax.

Section 4. Accounting for receipts and expenditures of the funds described in this act must be made separately from the accounting of receipts and expenditures of the general fund and any other funds of the City of Richland. The records reflecting the receipts and expenditures of the funds prescribed in this act shall be audited annually by an independent certified public accountant, and the accountant shall make a written report of his audit to the governing authorities. The audit shall be made and completed as soon as practicable after the close of the fiscal year, and expenses of such audit shall be paid from the funds derived pursuant to this act.

Section 5. (a) The authority for the purpose of providing funds, as prescribed in Section 2(1)(i) of this act, shall be repealed the multipurpose building authorized to be constructed by this act has been completed, and either all principal, interest, costs and other expenses for all bonds, notes or other borrowings to pay the cost of constructing such building have been paid and are completely satisfied, or there exists in any special account established to retire such bonds, notes or other borrowings, an amount on deposit which, together with any earnings on investments to accrue to the account, is equal to or greater than the amount necessary to pay such indebtedness.

(b) After all costs of construction of the multipurpose building have been paid and are completely satisfied as prescribed in paragraph (a) of this section, the governing authorities may utilize the tax to promote tourism, parks and recreation within the city if the proposed utilization of the tax is approved in an election that is held, as prescribed in paragraph (c) of this section, on the question of whether such tax may be imposed for the promotion of tourism, parks and recreation within the city.

(c) Before any tax authorized under this act may be imposed for the promotion of tourism, parks and recreation within the city, the governing authorities shall adopt a resolution declaring their intention to levy the tax, setting forth the amount of the tax to be imposed, the date upon which the tax shall become effective and calling for an election to be held on the question, and the date of the election shall be fixed in the resolution. Notice of such intention and the election shall be published once each week for at least three (3) consecutive weeks in a newspaper published or having a general circulation in the City of Richland, with the first publication of the notice to be made not less than twenty-one (21) days before the date fixed in the resolution for the election and the last publication to be made not more than seven (7) days before the election. At the election, all qualified electors of the City of Richland may vote, and the ballots used in the election shall have printed thereon a brief statement of the amount and purposes of the proposed tax levy and the words "FOR THE TAX" and, on a separate line, "AGAINST THE TAX" and the voters shall vote by placing a cross (X) or check (ü) opposite their choice on the proposition. When the results of the election shall have been canvassed and certified, the city may levy the tax if sixty percent (60%) of the qualified electors who vote in the election vote in favor of the tax. At least thirty (30) days before the effective date of the tax provided in this section, the governing authorities shall furnish to the Department of Revenue a certified copy of the resolution evidencing the tax.

(d) Accounting for receipts and expenditures of the funds described in this section must be made separately from the accounting of receipts and expenditures of the general fund and any other funds of the City of Richland. The records reflecting the receipts and expenditures of the funds prescribed in this act shall be audited annually by an independent certified public accountant, and the accountant shall make a written report of his audit to the governing authorities. The audit shall be made and completed as soon as practicable after the close of the fiscal year, and expenses of such audit shall be paid from the funds derived pursuant to this act.

Section 6. This act shall be repealed from and after July 1, * * *~~2022~~ 2026.

SECTION 2. This act shall take effect and be in force from and after its passage.