Senate Bill 2152

(COMMITTEE SUBSTITUTE)

AN ACT TO AUTHORIZE THE GOVERNING AUTHORITIES OF THE CITY OF BYRAM, MISSISSIPPI, TO LEVY A TAX UPON THE GROSS PROCEEDS DERIVED FROM THE SALES OF RESTAURANTS; TO PROVIDE THAT SUCH TAX SHALL BE IN AN AMOUNT NOT TO EXCEED 2% FOR THE PURPOSE OF PROVIDING FUNDS TO PROMOTE, CONSTRUCT, FINANCE, OPERATE, EQUIP, LEASE AND MAINTAIN NEW AND EXISTING PARKS AND RECREATION FACILITIES AND EQUIPMENT WITHIN THE CITY; TO PROVIDE FOR A REFERENDUM ON WHETHER SUCH TAX MAY BE LEVIED; TO PROVIDE FOR THE ISSUANCE AND REPAYMENT OF DEBT RELATED TO PARKS AND RECREATION WITHIN THE CITY FROM THE PROCEEDS OF THE TAX; AND FOR RELATED PURPOSES.

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

SECTION 1. As used in this act:

(a) "City" means the City of Byram, Mississippi.

(b) "Governing authorities" means the governing authorities of the City of Byram, Mississippi.

(d) "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, medical clinic, 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 to promote, construct, finance, operate, equip, lease and maintain new and existing parks and recreation facilities and equipment in the City of Byram, Mississippi, the governing authorities of the City of Byram are authorized, in their discretion, to levy and collect a tax from every person, firm or corporation operating a restaurant in the City of Byram, at a rate not to exceed two percent (2%) of the gross proceeds of the sales of all prepared food and beverages, including beer and alcoholic beverages, of such restaurant, which shall be in addition to all of the taxes and assessments imposed.

(2) 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 Title 27, Chapter 65, Mississippi Code of 1972, shall apply as necessary to the implementation and administration of this act.

(3) 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 Byram, on or before the fifteenth day of the month in which collected.

(4) The proceeds of such tax shall not be considered by the City of Byram 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 levied, 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. 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 city, 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 referendum. At the referendum, all qualified electors of the City of Byram 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 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 any such referendum shall have been canvassed by the city election commission and certified, the city may levy the tax beginning on the first day of the second month following the referendum, only if at least sixty percent (60%) of the qualified electors who vote in the election vote in favor of the tax. No public funds shall be used for the purpose of promoting the adoption of the referendum and no city employee may promote the referendum during business hours.

SECTION 4. Persons, firms or corporations liable for the tax imposed under this act shall add the amount of the tax to the sales price and shall collect, insofar as practicable, the amount of tax due from the person receiving the services or products at the time of the payment therefor.

SECTION 5. 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 Byram. 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. (1) For the purpose of providing funds to promote, construct, finance, operate, equip, lease and maintain new and existing parks and recreation facilities and equipment within the city, the governing authorities are authorized to issue bonds or occur other indebtedness in an aggregate principal amount that is not in excess of the amount for which debt service is capable of being paid by the tax levied pursuant to this act.

(2) Except as otherwise provided in this section, bonds issued pursuant to this section shall be issued in accordance with the provisions of Sections 21-33-301 through 21-33-329 and Sections 31-25-1 through 31-25-107 or as allowed by other applicable state law. Bonds authorized to be issued pursuant to this section shall not be included in the limitation on indebtedness imposed in Section 21-33-301 or any other limitation on indebtedness of the city. Bonds issued pursuant to the provisions of this section and interest income therefrom shall be exempt from all taxation by the State of Mississippi.

SECTION 7. This act shall be repealed from and after July 1, 2033.

SECTION 8. This act shall take effect and be in force from and after its passage.