A. The city collector may make an assessment for taxes not paid or remitted by a person required to pay or remit. A notice of the assessment, which shall refer briefly to the amount of the taxes and penalties imposed and the time and place when such assessment is due and payable, shall be submitted to the utility users tax appeals board for confirmation or modification. The utility users tax appeals board shall consist of the city manager, city controller, and city attorney, or their assistants. The city collector shall mail a copy of such notice of assessment to the person selling the service and to the service user at least ten (10) days prior to the date of the hearing and shall post such notice for at least five consecutive days prior to the date of the hearing on the bulletin board near the city clerk's office in the City Hall. Any interested party having any objections may appear and be heard at the hearing, provided his or her objection is filed in writing with the city clerk prior to the time set for the hearing. At the time fixed for considering said assessment, the utility users tax appeals board shall hear the same together with any objection filed as aforesaid, and thereupon may confirm or modify the assessment. The decision of the utility users tax appeals board shall be final and conclusive.
B. Whenever the city collector determines that a service user has notified a service supplier that he or she is refusing to pay the tax imposed by this chapter, or that a service user has failed to pay the amount of the tax to such person for a period of four or more billing periods where the service supplier bills monthly, or two or more billing periods where the service supplier bills bimonthly; or whenever the city collector deems it in the best interest of the city, he or she may relieve the service supplier of the obligation to collect taxes due under this chapter named service users for specific billing periods.
The city collector shall notify the service user that he or she has assumed responsibility to collect the taxes due for the stated periods and demand payment of such taxes. The notice shall be served on the service user by handing it to him or her personally or by deposit of the notice in the United States mail, postage prepaid thereon, addressed to the service user at the address to which the billing was made by the service supplier; or, should the service user have changed his or her address, to his or her last known address. If a service user fails to remit the tax to the city collector within fifteen (15) days from the date of the service of the notice upon him or her, which shall be the date of mailing if service is not accomplished in person, a penalty of twenty-five (25) percent of the amount of the tax set forth in the notice shall be imposed, but not less than ten dollars ($10.00). In addition to the penalty imposed, a service user who fails to remit any tax imposed by this chapter shall pay interest at the rate of one percent per month or fraction thereof on the amount of the tax, exclusive of penalties, from the date upon which the penalty was imposed to the date upon which the tax and penalty are paid. The penalty and all interest imposed shall become part of the tax herein required to be paid. (Prior code § 41.06.059)