(A) (1) Any service user shall be eligible for an exemption from the taxes imposed by this subchapter if any of the following exist.
(a) He or she is certified as meeting the criteria of disability as established by the Social Security Administration for Supplemental Income for the Aged, Blind or Disabled; and/or
(b) The annual gross income of all persons in the household in which the individual resides is less than the annual amount prescribed by resolution of the City Council.
(2) The exemptions permitted hereunder:
(a) Shall apply only to taxes imposed by this subchapter on the residence in which the service user resides;
(b) Shall not apply to the taxes imposed on any other property owned by the individual; and
(c) Shall not apply to a second utility service account within the household if such service is used for business purposes.
(B) Definition. For the purpose of this section, the following definition shall apply.
GROSS ANNUAL INCOME. Any and all income regardless of source.
(C) The exemption granted by this section shall not eliminate the duty of the service supplier of collecting taxes from the exempt individuals, or the duty of the exempt individuals from paying such taxes to the service supplier, unless an exemption is applied for by the service user and granted in accordance with the provisions of this section.
(D) Any service user who qualifies for an exemption from the taxes imposed by this subchapter because of the provisions of division (A) of this section may file an application with the Tax Administrator for an exemption at any time. The application shall be verified by declaration under penalty of perjury and shall contain such information as may be required by the Tax Administrator.
(E) The Tax Administrator shall review all such applications and shall certify the applicant as exempt if the eligibility requirements for division (A) of this section are met, except that no exemption shall be granted to an applicant who is receiving service from a service supplier through a master meter, or who is sharing or prorating service with other service users even though such service users qualify under the provisions of division (A) of this section, and no exemption shall be granted with respect to any tax imposed by this subchapter which is or has been paid by a public agency or where the applicant receives funds from a public agency specifically for the payment of such tax.
(F) If an applicant is certified as exempt, the Tax Administrator shall promptly transmit the following information to the service supplier.
(1) Name of the exempt applicant.
(2) Account number shown on utility bill.
(3) Address to which exempt service is being supplied.
(4) Any other information as may be necessary for the service supplier to remove the exempt service user from its tax billing procedure.
(G) Upon receipt of such notice, the service supplier shall not be required to continue to bill any further tax imposed by this subchapter from the exempt service user until further notice by the Tax Administrator is given. The service supplier shall eliminate the exempt service user from its tax billing procedure no later than 60 days after receipt of the notice from the Tax Administrator.
(H) If the Tax Administrator determines that an application for exemption is faulty, or that the applicant has failed to truthfully set forth the facts contained therein, application for the exemption shall be denied in writing to the applicant. The applicant shall have ten days thereafter in which to file an amended application for exemption. Upon receipt of the amended application, the Tax Administrator shall determine whether the requirements for exemption have been met and shall notify applicant in writing of such determination.
(I) The Tax Administrator shall notify the service suppliers of the termination of any person's right to exemption hereunder, or the change of any address to which service is supplied to any exempt person.
(J) Taxes billed by the service supplier to the service user prior to removing the service user from its tax billing procedures shall be collected from the service user, and the service user shall pay such taxes to the service supplier. Taxes billed to and paid by the service user between the time that the application for exemption is filed and the service supplier removes the service user from its taxing procedure will not be refunded to the service user.
(K) Exemptions certified by the Tax Administrator shall continue so long as the facts supporting the qualification for exemption shall exist; provided, however, that the exemption shall automatically terminate with any change in the service address or residence of the exempt individual, or assignment of a different account number by the service supplier because of discontinuance or suspension of service at the request of the service user; and provided, further, that such individual may nevertheless apply for a new exemption with each change of address or residence.
(L) The Tax Administrator shall have the power and right to demand evidence of continued eligibility of a service user for exemption under the provisions of this section. The evidence may include, but need not be limited to, copies of business records, letters or statement from the Social Security Administration, copies of income tax returns, and such other evidence concerning the service user or other members of his household as may tend to prove or disprove such eligibility. Failure to provide the evidence as is within the control of a service user to so provide, either directly by him or by his consent or the consent of a member of his household when the evidence is requested of the service user in writing by the Tax Administrator, shall be grounds for the immediate discontinuance of the service user's eligibility for exemption under the provisions of this section. Evidence provided to the Tax Administrator upon request, or voluntarily provided by the service user without request, may not be used against the service user as evidence of violation of the provisions of this section; such evidence may only be used as grounds for termination of the exemption herein provided.
(M) Any service user who has been exempted under this section shall notify the Tax Administrator within ten days of any change in fact or circumstance which might disqualify the individual from receiving the exemption. It shall be a misdemeanor for any person to knowingly receive the benefits of the exemption provided by this section when the basis for the exemption does not exist or ceases to exist.
(N) Notwithstanding any of the provisions hereof, if the Tax Administrator is notified from any source that a new or nonexempt service user is receiving service through a meter or connection exempt by virtue of an exemption issued to a previous user or exempt user of the same meter or connection, the Tax Administrator shall conduct an investigation to ascertain whether or not the provisions of this section have been complied with and, where appropriate, order the service supplier to commence collecting the tax from the nonexempt service user.
(O) The service supplier is authorized to bill the tax imposed by this subchapter to any new user or to any account whose name has been changed, other than by correcting a spelling error or other similar clerical error, until the supplier receives notification of exemption as provided in division (F) of this section. Thereupon, the supplier shall cease billing the exempt user for the tax within 60 days as provided in division (A) of this section.
(P) Notwithstanding the provisions of division (E) of this section, service users who otherwise qualify for an exemption from the tax pursuant to division (A) of this section who reside in mobilehome parks may receive a refund of taxes paid pursuant to this subchapter for services provided through a master meter by filing an application with the Tax Administrator in such form and at such times as are required by the Tax Administrator.
('83 Code, § 3.32.070) (Ord. 908, passed - -85; Am. Ord. 922, passed - -86; Am. Ord. 1053, passed - -91)