CITY OF DAYTON

COUNCIL MEETING

November 7, 2017

A regular meeting of Dayton City Council was held on Tuesday, November 7, 7:00 p.m. in the board meeting room of the Dayton Independent Schools Administration Building, Third & Clay Street. Dayton, KY.

ROLL CALL:

Mayor Boruske                        Aye                  Member Haas             Aye

Member Volter                       Aye                  Member Lynn              Aye

Member Burns                        Aye                  City Adm. Giffen         Aye

Member Neary                       Aye                  City Att. Edge              Aye

Member Baker                        Aye

Audience:

Mandy Metz, 201 Clay Street, would like the powers of the Park Board to stay the same as it is now.  The second reading of 2017#17 is tonight, and Ms. Metz feels this gives too much power to one person, the Mayor.   City Adm. Giffen explained that the Park Board budget is ran through city council just like all of the other city funds.  Council sets the budget, not the Mayor.  The city currently handles the budget and Public Work’s maintains the park.  City Adm. Giffen explained the main thing that triggered this change were issues at the park after city law enforcement suggested an event not be allowed at the park.  Someone drew a weapon at this event.   Luckily no one was hurt.  Also, maintenance of the park was not getting done and that is why Public Works took over the maintenance. We feel the city can more efficiently manage the day to day operation.  This ordinance covers all city parks. This ordinance still allows for a Board of Park Commissioners.  This will be an advisory board.  This Board shall advise the City Council on appropriate park and recreational programs and projects.

Beth Nyman, 625 Tenth Ave., suggested more information be added to the monthly agenda.

Ordinances & Orders:

Second Reading:

 

 CITY OF DAYTON, KENTUCKY

ORDINANCE NO. 2017-#17

AN ORDINANCE AMENDING CODE OF ORDINANCES CHAPTER 95 TO LIST LOCATION OF ALL PARKS, INCREASE CLARITY, REMOVE REDUNDANCIES, AND COMPLY WITH CURRENT STATUTES.

 

This ordinance amends Chapter 95 (titled “Parks”) of the City of Dayton Code of Ordinances.  This Ordinance amends the ordinance to include a name and description of each park owned or operated within the City by the City.  It amends responsibilities for approvals of park use such as setting the Park Hours and permit approval to the Mayor and City administration.  The Ordinance also removes the dedication and regulation for areas north of the Dayton Flood Levee that were commonly known as Dodd Park.  Lastly, the Ordinance replaces the Park Board with a Board of Park Commissioners under KRS 97.455 and sets the Board’s authority and duties as authorized pursuant to Kentucky Revised Statute.
I, Tom Edge, an attorney licensed to practice law in the Commonwealth of Kentucky, acting as attorney for the City of Dayton, Kentucky, do hereby certify that this summary was prepared by me at the direction of the Council of the City of Dayton, and that said summary is a true and accurate summary of the contents of the ordinance.

 

_________________________

TOM EDGE

 

 

Motion by Member Burns, seconded by Member Haas to approve 2017#17 as read.  Comments:  Member Volter can see both sides of this issue.  The administration wants a more comprehensive approach to the parks.  This is one person having a lot of say. I would like to see a hybrid of this ordinance that would combine the best of both ideas.  Mayor Boruske noted the ordinance says Mayor but we know the administration will be running the park.  City Att. Edge responded, all the Park Boards have to be established under one KRS. I don’t think there is a KRS that is going to do what you’re thinking.   City Att. Edge reviewed a lot of different statues when researching this to see what would work.  It’s a statutory grant of power depending on what type of board you setup.

 

Member Neary noted the current ordinance has been in place since 1961. The board will be an advisory board and all the decisions will come to one person.  I understand what the administration wants to do and agree that ever single tax dollar needs to be accounted for. I also agree it’s easier for the administrator to oversee and supervise a park director. Other boards in the city have the authority to decide on spending. How are the funds tracked?  The Park Board has a budget in the budget ordinance.  Mayor Boruske reported the city staff can do a better job.  The city has totally cleaned up the park.  Member Neary would rather try and resolve the situation and work with the park board as it is right now.

 

Member Haas asked if any other cities have a park board.  City Adm. Giffen talked with several cities before going into this process and most are going in the direction we are proposing. Taking back control of the park funds as they already do the day to day.  But, there are still some cities with Park Boards.

 

Roll Call:

 

Member Neary                       Nay                              Member Lynn              Aye

Member Baker                        Nay                              Member Volter           Nay

Member Haas                         Aye                              Member Burns            Aye

 

Tie Vote, Mayor voted Aye.  Motion carried—so ordered.

 

First Reading:

 

CITY OF DAYTON, KENTUCKY

ORDINANCE NO. 2017-#18

 

AN ORDINANCE REPEALING SECTIONS 33.01 AND 33.02 OF THE CITY OF DAYTON CODE OF ORDINANCES

 

WHEREAS, sections 33.01 and 33.02 of the City of Dayton Code of Ordinances establish a City fire department and the positions of Fire Chief and Assistant Chief;

 

            WHEREAS, since enactment, the City has through interlocal agreement created a Fire District with the City of Bellevue thereby making such provisions unnecessary, confusing, and redundant; and

 

WHEREAS, the City desires to cure these defects by repealing Section 33.01 and Section 33.02 of the City of Dayton Code of Ordinances.

 

            BE IT ORDAINED BY THE CITY OF DAYTON, CAMPBELL COUNTY, KENTUCKY AS FOLLOWS:

 

Section I.  That Sections 33.01 and 33.02 of the City of Dayton Code of Ordinances are hereby repealed in full.

 

Section II. This ordinance shall be in full force and effect from and after its adoption, approval and publication as is required by law.  Any Ordinances or parts thereof in conflict herewith are hereby repealed to the extent of such conflict.

 

 

_____________________________

MAYOR VIRGIL L. BORUSKE

 

ATTEST:

________________________

DONNA LEGER

CITY CLERK/TREASURER

 

 

CITY OF DAYTON, KENTUCKY

ORDINANCE NO. 2017-#19

 

AN ORDINANCE REPEALING CHAPTERS 36 (TITLED “PUBLIC RECORDS”) AND 36A (TITLED “PUBLIC MEETINGS”) OF THE CITY OF DAYTON CODE OF ORDINANCES.

 

WHEREAS, the Kentucky’s Open Record Act (KRS 61.870 et. seq.) and Kentucky’s Open Meeting Act (KRS 61.800 et. seq.) applies to all government units within the Commonwealth of Kentucky including the City of Dayton and all its subservient governmental units or positions;

 

            WHEREAS, the City of Dayton adopted the text of Kentucky’s Open Record Act (KRS 61.870 et. seq.) and Kentucky’s Open Meeting Act (KRS 61.800 et. seq.) verbatim over twenty years ago;

 

WHEREAS, since this time, both Acts have been amended on numerous occasions without the City of Dayton Code of Ordinances being updated;

 

WHEREAS, the City, desiring to eliminate confusion and redundancy, repeals Chapters 36 and 36A of the City of Dayton Code of Ordinances which is where said duplicate and verbatim copies of the Acts were recited;

 

            BE IT ORDAINED BY THE CITY OF DAYTON, CAMPBELL COUNTY, KENTUCKY AS FOLLOWS:

 

Section I.  That Chapter 36 and Chapter 36A of the City of Dayton Code of Ordinances are hereby repealed in full.

 

Section II. This ordinance shall be in full force and effect from and after its adoption, approval and publication as is required by law.  Any Ordinances or parts thereof in conflict herewith are hereby repealed to the extent of such conflict.

 

 

_____________________________

MAYOR VIRGIL L. BORUSKE

 

ATTEST:

 

 

________________________

DONNA LEGER

CITY CLERK/TREASURER

 

Comments:  Member Neary asked for clarification.  City Att. Edge said this is covered by a KRS.  City Att. Edge will send council a copy of the KRS.

 

 

 

 

 CITY OF DAYTON, KENTUCKY

ORDINANCE NO. 2017-#20

 

AN ORDINANCE AMENDING ORDINANCE 2017-#12 SETTING FORTH COMPENSATION AND NUMBER OF AUTHORIZED POSITIONS FOR EMPLOYEES UNDER THE DAYTON JOB CLASSIFICATION SYSTEM.

 

            NOW, THEREFORE BE IT ORDAINED BY THE CITY OF DAYTON, CAMPBELL COUNTY, KENTUCKY AS FOLLOWS:

 

SECTION ONE: Compensation ranges for employees and number of authorized positions under the Dayton Job Classification System shall be as follows:

 

     Position                               (No. Authorized)                     Pay Range   

 

City Administrative Officer                   (1)                    50,000.00 – 82,000.00

Assistant City Administrator                   (0)                    22,000.00 – 36,000.00

City Clerk/Treasurer                             (1)                    35,000.00 – 65,000.00

Ass’t City Clerk/Treasurer                     (2)                    25,000.00 – 39,000.00

Administrative Secretary                        (0)                    24,000.00 – 35,000.00

 

Chief of Police                                     (1)                    45,000.00 – 75,000.00

Police Captain                                                   (0)                    39,000.00 – 59,000.00

Police Lieutenant                                  (1)                    39,000.00 – 60,000.00

Police Sergeant                                      (2)                   39,000.00 – 57,500.00

Police Corporal                                    (1)                    34,700.00 – 53,000.00

Police Officer                                      [(8)] (9)              31,000.00 –50,000.00

Police Recruit                                       (0)                    30,000.00 – 33,500.00

Part-time Patrol Officer                         (2)                    15.00 – 17.00 per hour

Police Clerk                                          (1)                    8.00 –17.00 per hour

 

Superintendent, Public Works                (1)                    35,000.00 – 55,000.00

Crew Leader                                         (0)                    25,000.00 – 33,000.00

Laborer                                                (2)                    10.00 – 19.00 per hour

Laborer (23 hrs/week)                          (0)                    7.00 – 12.00 per hour

Seasonal Laborer (4/1-10/31)                 (2)                    7.00 – 13.00 per hour

 

City Codes Director                              [(1)] (0)              22,000.00 – 43,000.00

City Inspector                                       (0)

Blight Inspector (20 hrs/week)              (0)                    14.90 – 18.00 per hour

Janitor (10 hrs/week)                             (0)                    7.00 – 11.00 per hour

Recreation Director                              (0)

Main Street Manager                              (1)                    30,000.00 – 41,000.00

 

SECTION TWO: Unless otherwise stated, the compensation stated in Section One shall be a yearly amount based upon the normal number of hours required for each position under the Job Classification System and does not include overtime pay as authorized under the Employee Personnel Policy.

 

SECTION THREE: City Council may, by resolution, authorize the payment of a yearend bonus to any or all employees in an amount not to exceed One Hundred Dollars ($100.00)

 

SECTION FOUR: Any and all ordinances including or portions thereof in conflict herewith are hereby repealed.

 

SECTION FIVE: This ordinance shall be signed by the Mayor, attested by the City Clerk, recorded, published, and shall be in effect at the earliest time provided by law.

 

PASSED by City Council of the City of Dayton, Campbell County, Kentucky assembled in regular session.

 

First Reading:  11/7/17

Second Reading:  12/5/17

_____________________________

MAYOR VIRGIL L. BORUSKE

ATTEST:

________________________

DONNA LEGER

CITY CLERK/TREASURER

 

CITY OF DAYTON, KENTUCKY

ORDINANCE NO. 2017-#21

 

AN ORDINANCE REPEALING AND REPLACING CHAPTER 110 OF THE CODE OF ORDINANCES RELATING TO THE IMPOSITION, ADMINISTRATION, AND PAYMENT OF AN OCCUPATIONAL AND PAYROLL LICENSE REQUIREMENT BY PERSONS AND BUSINESS ENTITIES CONDUCTING BUSINESSES, OCCUPATIONS, AND PROFESSIONS WITHIN THE CITY OF DAYTON, KENTUCKY.

 

WHEREAS, the City of Dayton is authorized under Kentucky Constitution Section 181 and KRS 92.280(2) to assess and collect Occupational and Business License fees

 

WHEREAS, the Kentucky General Assembly enacted legislation in 2003 creating KRS 67.750 to KRS 67.790 to create uniformity among local governments in the imposition, administration, and enforcement of occupational and payroll taxes on compensation paid to individuals and gross receipts or net profits taxes on businesses;

 

WHEREAS, KRS 67.790 requires local tax districts such as the City of Dayton to comply with the requirements of KRS 67.750 through 67.790; and

 

WHEREAS, the City of Dayton desires to comply with these requirements to simplify the process for local businesses.

 

NOW, THEREFORE BE IT ORDAINED BY THE CITY OF DAYTON, CAMPBELL COUNTY, KENTUCKY AS FOLLOWS:

 

Section I

 

That Chapter 110 of the City of Dayton Code of Ordinances is repealed and replaced as follows:

 

 

CHAPTER 110: BUSINESS LICENSE TAXES

 

• 110.01 DEFINITIONS.

 

As used in this ordinance, the following terms and their derivatives shall have the following meanings unless the context clearly indicates that a different meaning is intended:

 

(1) “Business entity” means each separate corporation, limited liability company, business development corporation, partnership, limited partnership, sole proprietorship, association, joint stock company, receivership, trust, professional service organization, or other legal entity through which business is conducted;

 

(16) “City” means the City of Dayton, Kentucky.

 

(2) “Compensation” means wages, salaries, commissions, or any other form of remuneration paid or payable by an employer for services performed by an employee, which are required to be reported for federal income tax purposes and adjusted as follows:

 

(a) Include any amounts contributed by an employee to any retirement, profit sharing, or deferred compensation plan, which are deferred for federal income tax purposes under a salary reduction agreement or similar arrangement, including but not limited to salary reduction arrangements under Section 401(a), 401(k), 402(e), 403(a), 403(b), 408, 414(h), or 457 of the Internal Revenue Code; and

 

(b) Include any amounts contributed by an employee to any welfare benefit, fringe benefit, or other benefit plan made by salary reduction or other payment method which permits employees to elect to reduce federal taxable compensation under the Internal Revenue Code, including but not limited to Sections 125 and 132 of the Internal Revenue Code;

 

(3) “Fiscal year” means “fiscal year” as defined in Section 7701(a)(24) of the Internal Revenue Code;

 

(4) “Employee” means any person who renders services to another person or business entity for compensation, including an officer of a corporation and any officer, employee, or elected official of the United States, a state, or any political subdivision of a state, or any agency or instrumentality of any one (1) or more of the above. A person classified as an independent contractor under the Internal Revenue Code shall not be considered an employee;

 

(5) “Employer” means “employer” as defined in Section 3401(d) of the Internal Revenue Code;

 

(6) “Gross receipts” means all revenues or proceeds derived from the sale, lease, or rental of goods, services, or property by a business entity reduced by the following:

 

(a) Sales and excise taxes paid; and

 

(b) Returns and allowances;

 

(7) “Internal Revenue Code” means the Internal Revenue Code in effect on December 31, 2008, as amended;

 

(8) “Net profit” means gross income as defined in Section 61 of the Internal Revenue Code minus all the deductions from gross income allowed by Chapter 1 of the Internal Revenue Code, and adjusted as follows:

 

(a) Include any amount claimed as a deduction for state tax or local tax which is computed, in whole or in part,

by reference to gross or net income and which is paid or accrued to any state of the United States, local taxing authority in a state, the District of Columbia, the Commonwealth of Puerto Rico, any territory or possession of the United States, or any foreign country or political subdivision thereof;

 

(b) Include any amount claimed as a deduction that directly or indirectly is allocable to income which is either exempt from taxation or otherwise not taxed;

 

(c) Include any amount claimed as a net operating loss carryback or carryforward allowed under Section 172 of the Internal Revenue Code;

 

(d) Include any amount of income and expenses passed through separately as required by the Internal Revenue Code to an owner of a business entity that is a pass-through entity for federal tax purposes; and

 

(e) Exclude any amount of income that is exempt from state taxation by the Kentucky Constitution or the Constitution and statutory laws of the United States;

 

(9) “Sales revenue” means receipts from the sale, lease, or rental of goods, services, or property;

 

(10) “Tax district” means the City of Dayton, Kentucky;

 

(11) “Taxable gross receipts,” in case of a business entity having payroll or sales revenues both within and without a tax district, means gross receipts as defined in subsection (6) of this section, as apportioned under KRS 67.753;

 

(12) “Taxable gross receipts,” in case of a business entity having payroll or sales revenue only in one (1) tax district, means gross receipts as defined in subsection (6) of this section;

 

(13) “Taxable net profit,” in case of a business entity having payroll or sales revenue only in one (1) tax district, means net profit as defined in subsection (8) of this section;

 

(14) “Taxable net profit,” in case of a business entity having payroll or sales revenue both within and without a tax district, means net profit as defined in subsection (8) of this section, as apportioned under KRS 67.753;

 

(15) “Taxable year” means the calendar year or fiscal year ending during the calendar year, upon the basis of which net income or gross receipts is computed; and

 

 

• 110.02 OCCUPATIONAL LICENSE REQUIRED.

 

Every person and business entity engaged in any business and every employer in the City shall be required to apply for and obtain an occupational license from the City before the commencement of business or in the event of a change of business status.  Licensees are required to notify the City of any change in address, the cessation of business or any other changes that render the information supplied to the City in the license application inaccurate.

 

• 110.03 BUSINESS LICENSE FEE REQUIRED.

 

Every person or business entity engaged in any business for profit and any person or business entity that makes a filing with the Internal Revenue Service or the Kentucky Revenue Cabinet shall be required to file and pay to the City an annual occupational license tax for the privilege of engaging in such activities within the City unless exempt by KRS 92.281 or other applicable statutes.  The amount of the annual occupational license tax shall be in both of the following amounts:

 

(A) Based on the gross receipts of all businesses, trades, professions, or occupations from activities conducted within the City, the amount as outlined in the following table except as excluded herein:

 

TOTAL GROSS RECEIPTS (Dollars)	AMOUNT OF TAX (Dollars)
0-500	25.00
501 – 5,000	70.00
5,001 – 10,000	100.00
10,001 – 25,000	140.00
25,001 – 50,000	170.00
50,001 -100,000	200.00
100,001 – 200,000	270.00
200,001 – 300,000	400.00
300,001 – 400,000	540.00
400,001 – 500,000	680.00
500,001 – 600,000	810.00
600,001 – 700,000	945.00
700,001 – 800,000	1,080.00
800,001 – 900,000	1,220.00
900,001 – 1,000,000	1,350.00
1,000,001 – 2,000,000	1,490.00
2,000,001 – 3,000,000	1,620.00
3,000,001 – 4,000,000	1,750.00
4,000,001 – 5,000,000	1,890.00
5,000,001 – and over	2,030.00

 

(1) Every person having coin-operated amusement and vending machines, as defined in this section, on his or her premises shall pay an annual license tax to the City in the amount of ten dollars ($10.00) per machine instead of the amounts listed in the table above.

 

(2) Every person engaged in the business of leasing or renting real property or portions thereof shall pay an annual license tax to the City in the amount of .01 times his or her gross receipts but not less than the amount of one hundred dollars ($100.00) instead of the amounts listed in the table above.

 

(3) Every person engaged as a vendor of fruit, ice cream, sherbet, peanuts, popcorn, candy, and other articles upon the street, shall pay a license tax as described in (E) below, but not less than the amount of fifty dollars ($50.00) per year or ten dollars ($10.00) per day instead of the amounts listed in the table above.

 

(4) Every person engaged in the business of selling fireworks shall pay an annual license tax to the City in the amount of one thousand dollars ($1,000.00) instead of the amounts listed in the table above.

 

(B) Based on the wages and compensation paid or payable in the City for work done or services performed or rendered in the City by every resident and nonresident who is an employee in amount of two percent (.02) of said wages and compensation.

 

 

• 110.04 APPORTIONMENT.

 

(A) Except as provided in division (D) of this section, gross receipts shall be apportioned as follows:

 

(1) For business entities with both payroll and sales revenue in more than one (1) tax district, by multiplying the gross receipts by a fraction, the numerator of which is the payroll factor, described in division (B) of this section, plus the sales factor, described in division (C) of this section, and the denominator of which is two (2); and

 

(2) For business entities with sales revenue in more than one (1) tax district, by multiplying the gross receipts by the sales factor as set forth in division (C) of this section.

 

(3) For the purpose of divisions (A) through (E) of this section, the business entity shall file an apportionment form provided by the City.

 

(B) The payroll factor is a fraction, the numerator of which is the total amount paid or payable in the City during the tax period by the business entity for compensation, and the denominator of which is the total compensation paid or payable by the business entity everywhere during the tax period. Compensation is paid or payable in the City based on the time the individual’s service is performed within the City.

 

(C) The sales factor is a fraction, the numerator of which is the total sales revenue of the business entity in the City during the tax period, and the denominator of which is the total sales revenue of the business entity everywhere during the tax period.

 

(1) The sale, lease, or rental of tangible personal property is in the City if:

 

(a) The property is delivered or shipped to a purchaser, other than the United States government, or to the designee of the purchaser within the City regardless of the f.o.b. point or other conditions of the sale; or

 

(b) The property is shipped from an office, store, warehouse, factory, or other place of storage in the City and the purchaser is the United States government.

 

(2) Sales revenue, other than revenues from the sale, lease or rental of tangible personal property or the lease or rental of real property, are apportioned to the City based upon a fraction, the numerator of which is the time spent in performing such income-producing activity within the City and the denominator of which is the total time spent, performing that income-producing activity.

 

(3) Sales revenue from the sale, lease, or rental of real property is allocated to the tax district where the property is located.

 

(D) If the apportionment provisions of this section do not fairly represent the extent of the business entity’s activity in the City, the business entity may petition the City or the City may require, in respect to all or any part of the business entity’s business activity, if reasonable:

 

(1) Separate accounting;

 

(2) The exclusion of any one (1) or more of the factors;

 

(3) The inclusion of one (1) or more additional factors which will fairly represent the business entity’s business activity in the City; or

 

(4) The employment of any other method to effectuate an equitable allocation and apportionment of gross receipts.

 

(E) When compensation is paid or payable for work done or services performed or rendered by an employee, both within and without the City, the license tax shall be measured by that part of the compensation paid or payable as a result of work done or service performed or rendered within the City. The license tax shall be computed by obtaining the percentage that the compensation for work performed or services rendered within the City bears to the total wages and compensation paid or payable. In order for the City to verify the accuracy of a taxpayer’s reported percentages under this subsection, the taxpayer shall maintain adequate records.

 

(F) All partnerships, S-corporations, and all other entities where income is “passed through” to the owners are subject to this chapter. The occupational license tax imposed in this chapter is assessed against income before it is “passed through” these entities to the owners.

 

(G) If any business entity dissolves, ceases to operate, or withdraws from the City during any taxable year, or if any business entity in any manner surrenders or loses its charter during any taxable year, the dissolution, cessation of business, withdrawal, or loss or surrender of charter shall not defeat the filing of returns and the assessment and collection of any occupational license tax for the period of that taxable year during which the business entity had business activity in the City.

 

(H) If a business entity makes, or is required to make, a federal income tax return, the occupational license tax shall be computed for the purposes of this chapter on the basis of the same calendar or fiscal year required by the federal government, and shall employ the same methods of accounting required for federal income tax purposes.

 

 

• 110.05 EMPLOYERS TO WITHHOLD.

 

(A) Every employer making payment of compensation to an employee shall deduct and withhold upon the payment of the compensation an occupational license tax calculated under § 110.03 imposed against the compensation and wages earned in the City. Amounts withheld shall be paid to the City in accordance with this chapter.

 

(B) Every employer required to deduct and withhold tax under this section shall, for the quarter ending after January 1 and for each quarter ending thereafter, on or before the end of the month following the close of each quarter, make a return and report to the City, and pay to the City, the tax required to be withheld under this section, unless the employer is permitted or required to report within a reasonable time after some other period as determined by the City.

 

(C) Every employer who fails to withhold or pay to the City any sums required by this chapter to be withheld and paid shall be personally and individually liable to the City for any sum or sums withheld or required to be withheld in accordance with the provisions of this section.

 

(D) The City shall have a lien upon all the property of any employer who fails to withhold or pay over to the City sums required to be withheld under this section.  If the employer withholds, but fails to pay the amounts withheld to the City, the lien shall commence as of the date the amounts withheld were required to be paid to the City. If the employer fails to withhold, the lien shall commence at the time the liability of the employer is assessed by the City.

 

(E) Every employer required to deduct and withhold tax under this section shall annually on or before February 28 of each year complete and file on a form furnished or approved by the City a reconciliation of the occupational license tax withheld where compensation is paid or payable to employees. Either copies of federal forms W-2 and W-3, transmittal of wage and tax statements, or a detailed employee listing with the required equivalent information, as determined by the City, shall be submitted.

 

(F) Every employer shall furnish each employee a statement on or before January 31 of each year showing the amount of compensation and occupational license tax deducted by the employer from the compensation paid to the employee for payment to the City during the preceding calendar year.

 

(G) An employer shall be liable for the payment of the tax required to be deducted and withheld under this section.

 

(H) The president, vice president, secretary, treasurer or any other person holding an equivalent corporate office of any business entity subject to this section shall be personally and individually liable, both jointly and severally, for any tax required to be withheld from compensation paid or payable to one or more employees of the business entity, and neither the corporate dissolution or withdrawal of the business entity from the City, nor the cessation of holding any corporate office, shall discharge that liability; provided that the personal and individual liability shall apply to each and every person holding the corporate office at the time the tax becomes or became obligated. No person shall be personally and individually liable under this section unless such person had authority to collect, truthfully account for, or pay over the tax imposed by this chapter at the time that the taxes imposed by this chapter become or became due.

 

(I) Not withstanding divisions (G) and (H) of this section, every employee receiving compensation in the City subject to the tax imposed under §110.03 shall be personally liable for any amount due. In all cases where the employer does not withhold the tax levied under this chapter from the employee, such employee or employees shall be responsible for filing with the City each quarter in the same manner as if they were the employer or as otherwise required by the City. If an employer fails to or is not required to withhold, report, or pay the license tax it shall become the duty of the employee to file with the City. The only employer that is not required to withhold, report, and pay the occupational license tax is the federal government including the United States Postal Service. The payment required to be made by an employee can be made quarterly, for the periods ending March 31, June 31, September 30, and December 31 of each year, or at any time the employee wishes to make an estimated payment for the year in which wages are earned. All license fees must be received by February 28 for the preceding calendar year, together with a copy of the employee’s W -2 form. Employers not required to withhold, report, or pay the license tax must annually, during the month of January of each year, make a return to the City, in which is set forth the name and social security number of each employee of the employer during the preceding calendar year, giving the amount of salaries, wages, commissions, or other compensation earned during such preceding year by each such employee. This list shall include all current full-time employees, part time employees, temporary employees, and terminated employees whether it be voluntary or involuntary.

 

 

• 110.06 RETURNS REQUIRED.

 

(A) All business entity returns for the preceding taxable year shall be made by April 15 of each year, except returns made on the basis of a fiscal year, which shall be made by the fifteenth (15th) day of the fourth (4th) month following the close of the fiscal year. Blank forms for returns shall be supplied by the City or standard forms provided by the Kentucky Secretary of State.

 

(B) Every business entity shall submit a copy of its federal income tax return and all supporting statements and schedules at the time of filing its occupational license tax return with the City.  Whenever, in the opinion of the City, it is necessary to examine the federal income tax return of any business entity in order to audit the return, the City may compel the business entity to produce for inspection a copy of any statements and schedules in support thereof that have not been previously filed.  The City may also require copies of reports of adjustments made by the federal government.

 

(C) Every business entity subject to an occupational license tax governed by the provisions of this chapter shall keep records, render under oath statements, make returns, and comply with rules as the City from time to time may prescribe. Whenever the City deems it necessary, the City may require a business entity, by notice served to the business entity, to make a return, render statements under oath, or keep records, as the City deems sufficient to determine the tax liability of the business entity.

 

(D) The City may require, for the purpose of ascertaining the correctness of any return or for the purposes of making an estimate of the taxable income of any business entity, the attendance of a representative of the business entity or of any other person having knowledge on the premises.

 

(E) The full amount of the unpaid tax payable by any business entity, as appears from the face of the return, shall be paid to the City at the time prescribed for filing the occupational license tax return, determined without regard to any extension of time for filing the return.

 

(F) Every business entity making payments of six hundred dollars ($600) or more to persons other than employees for services performed within the City is responsible for maintaining the records of those payments and for completing IRS Form 1099 on or before February 28 of the year following the close of the calendar year in which such compensation was paid and to remit copies of the IRS Form 1099 or equivalent information to the City on or before February 28 of each year.

 

 

• 110.07 EXTENSIONS.

 

(A) The City may grant any business entity an extension of not more than six (6) months, unless a longer extension has been granted by the Internal Revenue Service or is agreed to by the City and the business entity, for filing its return, if the business entity, on or before the date prescribed for payment of the occupational license tax, requests in writing the extension and pays the amount properly estimated as its tax.  Extension request forms shall be supplied by the City.

 

(B) If the time for filing a return is extended, the business entity shall pay, as part of the tax, an amount equal to twelve percent (12%) per annum simple interest on the tax shown due on the return, but not been previously paid, from the time the tax was due until the return is actually filed and the tax paid to the City. A fraction of a month is counted as an entire month.

 

 

• 110.08 REFUNDS.

 

(A) Where there has been an overpayment of tax under §110.05, a refund or credit shall be made to the employer only to the extent that the amount of the overpayment was not deducted and withheld under §110.05 by the employer. Unless a written application for refund or credit is received by the City from the employer within two (2) years from the date the overpayment was made no refund or credit shall be allowed. Where there has been an overpayment of the maximum tax due under§ 110.05, a refund or credit shall be made to the employee to the extent of overpayment only if a written application for refund is received by the City from the employer or the employee within two years from the date the overpayment was made. All written applications for refunds shall be submitted to the City on a form furnished or approved by the City. Refunds may be withheld from an employee until the employer has filed all required forms and provided all required information to the City. Overpayments of less than $5 shall not be refunded.

 

(B) An employee who has compensation attributable to activities performed outside the City, based on time spent outside the City, whose employer has withheld and remitted to this City, the occupational license tax on the compensation attributable to activities performed outside the City, may file for a refund within two (2) years of the date prescribed by law for the filing of a return. The employee shall provide a schedule and computation sufficient to verify the refund claim and the City may confirm with the employer the percentage of time spent outside the City and the amount of compensation attributable to activities performed outside the City prior to approval of the refund.

 

(C) Where there has been an overpayment of tax under §110.03, a refund or credit shall be made to any person or business entity to the extent of overpayment only if a written application for refund or credit is received by the City from the person or business entity within two (2) years from the date the overpayment was made. No refund shall be made of any tax paid unless a complete return is filed as required by § 110.03.

 

 

• 110.09 FEDERAL AUDIT PROVISIONS.

 

(A) As soon as practicable after each return is received, the City may examine and audit the return. If the amount of tax computed by the City is greater than the amount returned by the business entity, the additional tax shall be assessed and a notice of assessment mailed to the business entity by the City within five (5) years from the date the return was filed, except as otherwise provided in this subsection.

 

(1) In the case of a failure to file a return or of a fraudulent return the additional tax may be assessed at any time.

 

(2) In the case of a return where a business entity understates gross receipts, or omits an amount properly includable in gross receipts, or both, which understatement or omission, or both, is in excess of twenty-five percent (25%) of the amount of gross receipts stated in the return, the additional tax may be assessed at any time within six (6) years after the return was filed.

 

(3) In the case of an assessment of additional tax relating directly to adjustments resulting from a final determination of a federal audit, the additional tax may be assessed before the expiration of the times provided in this subsection, or six (6) months from the date the City receives the final determination of the federal audit from the business entity, whichever is later.

 

(4) The times provided in this subsection may be extended by agreement between the business entity and the City. For the purposes of this subsection, a return filed before the last day prescribed by law for filing the return shall be considered as filed on the last day. Any extension granted for filing the return shall also be considered as extending the last day prescribed by law for filing the return.

 

(B) Every business entity shall submit a copy of the final determination of the federal audit within thirty (30) days of the conclusion of the federal audit.

 

(C) The City may initiate a civil action for the collection of any additional tax within the times prescribed in division (A) of this section.

 

 

• 110.10 PAYMENT OF TAX NOT DELAYED – CLAIMS FOR REFUND OR CREDIT.

 

(A) No suit shall be maintained in any court to restrain or delay the collection or payment of any tax levied by this chapter.

 

(B) Any tax collected pursuant to the provisions of this chapter may be refunded or credited within two (2) years of the date prescribed by law for the filing of a return or the date the money was paid to the City, whichever is the later, except that:

 

(1) In any case where the assessment period contained in§ 110.09 has been extended by an agreement between the business entity and the City, the limitation contained in this subsection shall be extended accordingly.

 

(2) If the claim for refund or credit relates directly to adjustments resulting from a federal audit, the business entity shall file a claim for refund or credit within the time provided for in this section or six (6) months from the conclusion of the federal audit, whichever is later.

 

(C) For the purposes of this subsection and division (D) of this section, a return filed before the last day prescribed by law for filing the return shall be considered as filed on the last day.

 

(D) The authority to refund or credit overpayments of taxes collected pursuant to this chapter is vested exclusively in the City.

 

• 110.11 INFORMATION TO REMAIN CONFIDENTIAL.

 

(A) No present or former employee of any tax district shall intentionally and without authorization inspect or divulge any information acquired by him or her of the affairs of any person, or information regarding the tax schedules, returns, or reports required to be filed with the tax district or other proper officer, or any information produced by a hearing or investigation, insofar as the information may have to do with the affairs of the person’s business. This prohibition does not extend to information required in prosecutions for making false reports or returns for taxation, or any other infraction of the tax laws, or in any way made a matter of public record, nor does it preclude furnishing any taxpayer or the taxpayer’s properly authorized agent with information respecting his or her own return. Further, this prohibition does not preclude any employee of the City from testifying in any court, or from introducing as evidence returns or reports filed with the tax district, in an action for violation of the City’s tax laws or in any action challenging the City’s tax laws.

 

(B) The City reserves the right to disclose to the Commissioner of Revenue of the state or his or her duly authorized agent all such information and rights to inspect any of the books and records of the City if the Commissioner of Revenue of the state grants to the City the reciprocal right to obtain information form the files and records of the Kentucky Revenue Cabinet and maintains the privileged character of the information so furnished. Provided, further, that the City may publish statistics based on such information in such a manner as not to reveal data respecting gross receipts or compensation of any person or business entity.

 

(C) In addition, the City is empowered to execute similar reciproCity agreements as described in division (B) of this section with any other taxing entity, should there be a need for exchange of information in order to effect diligent enforcement of this chapter.

 

(D) Any person violating the provisions of this section by intentionally inspecting confidential taxpayer information without authorization, shall be fined not more than five hundred dollars ($500.00) or imprisoned for not longer than six (6) months, or both.

 

(E) Any person violating the provisions of this section by divulging confidential taxpayer information shall be fined not more than one-thousand dollars ($1,000.00) or imprisoned for not more than one (1) year, or both.

 

• 110.12 USE OF OCCUPATIONAL LICENSE TAX.

 

All money derived from license fees under the provisions of this chapter shall be paid to the City Treasurer and placed to the credit of the General Revenue Fund of the City and shall be used and expended in defraying the: (A) current, general and incidental expenses of the City; and/or (B) capital improvements.

 

 

• 110.13 SEVERABILITY

 

Each section and each provision of each section of this ordinance are severable, and if any provision, section, paragraph, sentence or part thereof, or the application thereof to any person licensee, class or group, is held by a court of law to be unconstitutional or invalid for any reason, such holding shall not affect or impair the remainder of this ordinance, it being the legislative intent to ordain and enact each provision, section, paragraph, sentence and part thereof, separately and independently of the rest.

 

• 110.99 PENALTY.

 

(A) A business entity subject to tax on gross receipts may be subject to a penalty equal to five percent (5%) of the tax due for each calendar month or fraction thereof if the business entity:

 

(1) Fails to file any return or report on or before the due date prescribed for filing or as extended by the City; or

 

(2) Fails to pay the tax computed on the return or report on or before the due date prescribed for payment.

 

(3) The total penalty levied pursuant to this subsection shall not exceed twenty-five percent (25%) of the total tax due; however, the penalty shall not be less than twenty-five dollars ($25.00).

 

(B) Every employer who fails to file a return or pay the tax on or before the time prescribed under§ 110.05 may be subject to a penalty in amount equal to five percent (5%) of the tax due for each calendar month or fraction thereof. The total penalty levied pursuant to this section shall not exceed twenty-five percent (25%) of the total tax due; however, the penalty shall not be less than twenty-five dollars ($25.00).

 

(C) In addition to the penalties prescribed in this section, any business entity or employer shall pay, as part of the tax, an amount equal to twelve percent (12%) per annum simple interest on the tax shown due, but not previously paid, from the time the tax was due until the tax is paid to the City. A fraction off a month is counted as an entire month.

 

(D) Every tax imposed by this chapter, and all increases, interest, and penalties thereon, shall become, from the time the tax is due and payable, a personal debt of the taxpayer to the City.

 

(E) The City may enforce the collection of the occupational tax due under§ 110.03 and any fees, penalties, and interest as provided in divisions (A), (B), (C), and (D) of this section by civil action in a court of appropriate jurisdiction. To the extent authorized by law, the City shall be entitled to recover all court costs and reasonable attorney fees incurred by it in enforcing any provision of this chapter.

 

(F) In addition to the penalties prescribed in this section, any business entity or employer who willfully fails to make a return or willfully makes a false return, or who willfully fails to pay taxes owing or collected, with the intent to evade payment of the tax or amount collected, or any part thereof, shall be guilty of a Class A misdemeanor.

 

(G) Any person who willfully aids or assists in, or procures, counsels, or advises the preparation or presentation under, or in connection with, any matter arising under this chapter of a return, affidavit, claim, or other document, which is fraudulent or is false as to any material matter, whether or not the falsity or fraud is with the knowledge or consent of the person authorized or required to present the return, affidavit, claim, or document, shall be guilty of a Class A misdemeanor.

 

(H) A return for the purpose of this section shall mean and include any return, declaration, or form prescribed by the City and required to be filed with the City by the provisions of this chapter, or by the rules of the City or by written request for information to the business entity by the City.

 

Section II

 

This ordinance shall be in full force and effect from and after its adoption, approval and publication as is required by law.

 

PASSED by City Council of the City of Dayton, Campbell County, Kentucky assembled in regular session.

 

First Reading: Nov. 7, 2017

Second Reading:

_____________________________

MAYOR VIRGIL L. BORUSKE

ATTEST:

 

________________________

DONNA LEGER

CITY CLERK/TREASURER

 

 

Administrator’s Report:

 

Request for a handicap parking space from David Vickers, 212 Third Avenue.  Mr. Vickers does not have off street parking and has all the proper documentation.  Motion by Member Haas, seconded by Member Burns.  All in favor. Motion carried—so ordered.

 

Request for a handicap parking space from Dee Weier, 434 Sixth Avenue.  Mrs. Weier is just having her current handicap sign moved from one spot to another.  All of her paperwork is in compliance and she does not have off street parking.  Motion by Member Baker, seconded by Member Volter.  All in favor. Motion carried—so ordered.

 

The Pattern Book is an ordinance that sets the design and zoning for single and multifamily development in Manhattan Harbour. City Adm. Giffen talked with the county about combining those into one document.  Nothing will be changed.  Motion by Member Neary, seconded by Member Volter to start the process of combining the two. Comments: The document will then go to Planning & Zoning sometime in December or January, and back to council for approval. All in favor.   Motion carried—so ordered.

 

An estimated budget for the Vine Street Park was passed out to council.  The playground equipment should be installed by Christmas, then the retaining wall, fencing and sidewalk in the spring.  At the September meeting council approved the pricing from GameTime. The total cost of $37,878.37 falls in the price range that was approved in the September meeting.  Motion by Member Volter, seconded by Member Lynn to approve payment.  Comments:  Member Baker felt this was a lot more expensive than previously thought and the moving of the park has taken an extra year. For the safety of the community, Member Burns would like to expedite the installation of the fencing.   All in favor. Motion carried—so ordered.

 

Update on the Riverfront Commons Grant & Design.  Currently we are working on where the trail will start. We’re addressing two phases of the project right now.  There will be a meeting again next week.

 

GRW-Surveying crew has started work on the avenue.  This is who we hired to survey the sidewalk improvements on the avenue and the sidewalk on Dayton Pike.  Hopefully the survey will be finished after the first of the year so we can start construction.

 

A lot of rumors are going around about Manhattan Harbour, Gateway Apartments.  Everything is fine.  I’ve been in contact with the developers on a weekly basis.  They should be finishing the foundation in the next couple of weeks.  Weather permitting they’ll do framing through the winter.

 

Developers are in the final stages of completing the road towards the Marina.  They have a letter of intent from a national developer for the 10-12 acres on the Eastern side of the development.

 

The city hired Phillip Liles Jr., he has 27-30 years-experience.  Mr. Liles will be working on Code Enforcement/Parking issues.  He is technically a Police Officer.  He starts on Monday.

 

Member Neary questioned a line item in the budget “Vacant Property Registration”.   City Clerk/Treas., Donna Leger, explained most of the properties we send the paperwork to are vacant properties and the paperwork is returned back to the city. The PVA website is reviewed to see if they have a better mailing address but usually there is no change.   Collecting this money is a challenge.

 

 

 

 

 

Department Head’s Report:

 

Donna Leger, Clerk/Treas., submitted a copy of the current financials.  The real estate tax bill are due tomorrow and Light Up Dayton will be held at the old YMCA building, 2^nd & Berry, on Sunday, Dec. 3, starting at 2:00 p.m.

 

Michael Auteri, Fire Chief, submitted a copy of his report.  The new pumper truck should be delivered in June 2018.  The other engine is for sale.

 

Bob Yoder, Main Street Manager, reported Duke Energy gave $51,300 in grant money to two properties in Dayton. The Lodge at Sixth & Vine will use their money for a fire escape and the owners of 301 Sixth Avenue will use their money for rehabbing the structure to add a coffee shop. The city received 14 trees through an Urban Forest Grant.  The trees will be planted at Gil Lynn Park, on Clay Street, and on Main Street.  Two residents have also requested a tree.  The Dayton Holiday Market will be held Friday-Sunday from Nov. 24-Dec. 23 at the Ramee Building, Sixth & Berry.  Vendors will be selling crafts and gifts for the holiday.

 

David Halfhill, Police Chief, submitted a copy of his report.  October has been a busy month.  Officer Getz graduated from the academy after twenty-three weeks of training.  He is now in field training.

 

Unfinished Business:

 

Member Volter responded to a request last month, where a land owner in the city wants to donate a vacant lot to the city for a community garden.  Member Volter noted the community garden in the 1100 block of Third Ave. is over grown and looks bad. I can’t see having two locations for a community garden.  I don’t think the city should be tied down to maintaining this property as a community garden for several years.  Would they donate the land with no restrictions?  Member Haas agreed, we’d like to have the land but with no restrictions.  Member Baker will speak with the land owner.

 

Member Baker reported on the meeting at Lincoln Elementary School in reference to the heroin epidemic.  The meeting was well attended.  It was put on by St. Elizabeth and the Northern Kentucky Health Dept.  The focus was on treatment, needle exchange, and addiction control. On November 11^th volunteers will do a door hanging event. This will have helpful information for anyone in need. Chief Halfhill advised that the Police Officers have been handing out these door hangers since July.

 

New Business:

 

Member Volter asked if the TIF Map and TIF Zone can be expanded. If it can does it have to be continuous?  City Att. Edge said yes, but it’s a significant process. We would almost have to start from scratch.   Do we know why the Eagles and the Ramee Building not was included in the TIF Zone?  City Adm. Giffen said he was not sure, but neither was St. Bernard Church.

 

Adjournment:

 

Motion by Member Volter, seconded by Member Neary to adjourn.  Motion carried—so ordered.

 

Respectfully submitted,

Donna Leger

Clerk/Treas.

 

ATTEST:

Virgil L. Boruske

Mayor