Title
Approval of an Ordinance Amending Title 4 of Olympia Municipal Code Relating to a Uniform Civil Method of Enforcing License and Tax Requirements for People Engaging in Business in the City Of Olympia as it Relates to Compliance, Fees and Fines
Recommended Action
Committee Recommendation:
The Finance Committee recommends approving on second reading, an ordinance amending OMC Chapters 4.44 and 4.60 of the Olympia Municipal Code relating to a uniform civil method of enforcing the City of Olympia’s license and tax requirements for people engaging in business in the City of Olympia as it relates to compliance, fees and fines.
City Manager Recommendation:
Move to approve on second reading, an ordinance amending OMC Chapters 4.44 and 4.60 of the Olympia Municipal Code relating to a uniform civil method of enforcing the City of Olympia’s license and tax requirements for people engaging in business in the City of Olympia as it relates to compliance, fees and fines.
Report
Issue:
Whether to approve on second reading, an ordinance amending OMC Chapters 4.44 and 4.60 of the Olympia Municipal Code relating to a uniform civil method of enforcing the City of Olympia’s license and tax requirements for people engaging in business in the City of Olympia as it relates to compliance, fees and fines.
Staff Contact:
Shawn Ward, Interim Finance Director, 360.753.8465
Presenter(s):
None. Consent calendar item only.
Background and Analysis:
Background and analysis did not change from first to second reading.
In April 2024, the City Council approved a new Tax Review team focused on education and compliance outreach to people engaging in business here. To help in these efforts, we propose administrative updates to Title 3, Title 4 and Title 5. This staff report focuses on Title 4, and there are two other staff reports covering Titles 3 and 5. On November 18, 2024, staff presented these changes to the Finance Committee, who recommended that the City Council approve the changes as proposed.
Title 5, containing chapters related business licensing and taxes, looks to OMC Chapter 4.44 for procedures to address non-compliance with the City’s licensing and tax requirements. Currently OMC Chapter 4.44 focuses on property, zoning, and nuisance related violations and requires amendments to include licensing and tax requirements.
The updates being proposed in Title 4 are administrative in nature and involve providing procedures and administrative fees for business licensing and tax violations.
Climate Analysis:
This agenda item is expected to result in no impact to greenhouse gas emissions.
Equity Analysis:
With the Tax Review program, we aim to ensure more equal access to Olympia’s existing business tax regulations. The code clean-up will improve understanding of the City’s existing licensing and tax obligations by making them clearer and more evident to all.
A second goal of the new program is to improve compliance with the City’s existing license and tax requirements. Many businesses currently comply, and many do not. All taxpayers should meet obligations equitably, and the code clean-up will provide a consistent set of enforcement provisions across business taxes.
Neighborhood/Community Interests (if known):
Members of the community may have an interest in this agenda item as it deals with City requirements for business activity.
Financial Impact:
There is no financial impact associated with this agenda item.
Options:
1. Move to approve on second reading, an ordinance amending OMC Chapters 4.44 and 4.60 of the Olympia Municipal Code relating to a uniform civil method of enforcing the City of Olympia’s license and tax requirements for people engaging in business in the City of Olympia as it relates to compliance, fees and fines.
2. Direct staff to modify the ordinance updating OMC Chapters 4.44 and 4.60.
3. Take other action.
Attachments:
Ordinance