(A) (1) The Commission shall annually submit a budget and request for funds for the operation of the Commission to the city and to the County Fiscal Court.
(a) The annual budget shall be submitted no later than the first day of May of each year.
(b) The first line-item of each annual budget proposed by the Commission shall be an expenditure sufficient to cover all expenses anticipated to be incurred relative to the annual audit.
(c) The proposed annual budget shall be acted upon by both the City Council and Fiscal Court, either through approval or amendment, before the thirtieth day of June of each year.
(d) In the event that any proposed annual budget is not acted upon by the City Council and the Fiscal Court before the June 30 date described above, the Commission budget approved for the preceding year shall be automatically reinstated and the Commission may operate under the terms of such budget until further action of the City Council and Fiscal Court.
(2) The city and the County Fiscal Court shall include the Commission in the annual budget of each entity and shall provide funds for the operation of the Commission by imposing a 3% transient room tax on the rent for every occupancy of a suite, room or rooms, charged by all persons, companies, corporations or other like or similar persons, groups or organizations doing business as motor courts, motels, hotels, inns, bed and breakfasts, shared housing or vacation rentals or like or similar accommodations businesses. The collection and enforcement of the transient room tax from all persons or entities subject thereto shall be the sole responsibility of the County Attorney.
(3) Transient room taxes shall not apply to the rental or leasing of an apartment supplied by an individual or business that regularly holds itself out as exclusively providing apartments. APARTMENT means a room or set of rooms, in an apartment building, fitted especially with a kitchen and usually leased as a dwelling for a minimum period of 30 days or more.
(B) All moneys collected pursuant to this section and KRS 91A.400 shall be collected on a monthly basis and shall be maintained in an account separate and unique from all other funds and revenues collected, and shall be considered tax revenue for the purposes of KRS 68.100 and KRS 92.330.
(C) A portion of the money collected from the imposition of this tax, as determined by the tax levying body, upon the advice and consent of the Chamber of Commerce, may be used to finance the cost of acquisition, construction, operation and maintenance of facilities useful in the attraction and promotion of tourist and convention business, including projects described in KRS 154.30-050(2)(a). The balance of the money collected from the imposition of this tax shall be used for the purposes set forth in KRS 91A.350. Proceeds of the tax shall not be used as a subsidy in any form to any hotel, motel or restaurant, except as provided in KRS 154.30-050(2)(a)3.c. Money not expended by the Commission during any fiscal year shall be used to make up a part of the Commission’s budget for its next fiscal year.
(D) The transient room tax collecting and enforcement entity as described in division (A)(2) above, or an agent or employee designated in writing by such entity, is authorized to examine the books, papers and records of any person, firm, organization or other like or similar accommodation business required herein to file a return. Said examination shall be permitted in order to determine the accuracy of any return made, or if no return was made, to determine the amount of room tax due and owing. The enforcement entity may, at its option, designate other county and city officials and officers to assist it in enforcement and examination of said books, papers and records.
(E) All transient rooms taxes collected by the county, pursuant to division (A)(2) above, shall be paid over to the Commission for deposit into such account as is described in division (B) above, within 30 days of collection.
(1) All transient rooms taxes collected by the city pursuant to this section and division (A)(2) above shall be paid over to the Commission for deposit into such account as is described in division (B) above within 30 days of collection.
(2) All transient rooms taxes collected by the state government, or any agency thereof, and which are at any time transferred either to the government of city or the County of Anderson, shall be in turn transferred to the Commission by the receiving city or county government, for deposit into such account as is described in division (B) above, within 30 days of collection.
(F) The Commission, with the approval of the tax levying body, may borrow money to pay its obligations that cannot be paid at maturity out of current revenue from the transient room tax, but shall not borrow a sum greater than can be repaid out of the revenue anticipated from the transient room tax during the year the money is borrowed. The Commission may pledge its securities for the repayment of any sum borrowed.
(G) The city and/or the County Fiscal Court are authorized and empowered to issue revenue bonds pursuant to KRS Chapter 58 for public projects. Bonds issued for the purposes of KRS 91A.350 to 91A.390 may be used to pay any cost for the acquisition of real estate, the construction of buildings and appurtenances, the preparation of plans and specifications and legal and other services incidental to the project or to the issuance of the bonds. The payment of the bonds, with interest, may be secured by a pledge of and a first lien on all of the receipts and revenue derived, or to be derived, from the rental or operation of the property involved. Bond and interest obligations issued pursuant to this section shall not constitute an indebtedness of the county, consolidated local government or city. All bonds sold under the authority of this section shall be subject to competitive bidding as provided by law, and shall bear interest at a rate not to exceed that established for bonds issued for public projects under KRS Chapter 58.
(Ord. 2018-02, passed 8-20-2018) Penalty, see § 35.99