A. Notwithstanding any other provision of this Chapter, in order to attract new businesses that provide significant numbers of higher-wage jobs, the following Utility User's Tax Rebate Program is hereby established:
1. Any new business that creates, after January 1, 2000, between 5 to 49 new, permanent full-time jobs within the City (50% of such new jobs shall pay at least $25,000 per year in wages and/or commissions, except that the dollar requirement for said jobs shall not apply to manufacturing and distribution businesses) shall be eligible for a rebate on the amount of Utility User's Tax, paid by such business on electrical, gas, video, and telephone communication services, imposed by this Chapter according to the following schedule:
a. First year -- 75% rebate
b. Second year -- 50% rebate
c. Third year -- 25% rebate
d. Fourth and subsequent years -- No rebate.
2. Any new business that creates, after January 1, 2000, 50 or more new, permanent full-time jobs within the City (50% of such new jobs shall pay at least $25,000 per year in wages and/or commissions, except that the dollar requirement for said jobs shall not apply to manufacturing and distribution businesses) shall be eligible for a rebate on the amount of Utility User's Tax, paid by such business on electrical, gas, video, and telephone communication services, imposed by this Chapter according to the following schedule:
a. First year -- 80% rebate
b. Second year -- 60% rebate
c. Third year -- 40% rebate
d. Fourth and subsequent years -- No rebate.
3. Any new business not included under subsections (1) or (2) above, which provides, after January 1, 2000, at least a 25% increase in assessed valuation of the business' real property over the previous tax year as shown by the County Tax Assessor's records, or which generates at least $40,000 in sales tax revenues per year remitted to the City, shall be eligible for a rebate on the amount of Utility User's Tax, paid by such business on electrical, gas, video, and telephone communication services, imposed by this Chapter according to the following schedule:
a. First year -- 75% rebate
b. Second year -- 50% rebate
c. Third year -- 25% rebate
d. Fourth and subsequent years -- No rebate.
4. A new business qualified under subsections (1) or (2) above shall also be eligible for an additional rebate of 1% on the amount of Utility User's Tax paid, for each San Bernardino resident that is hired to fill the new, permanent full-time jobs created within the City. Eligibility for any such additional rebates shall be established by determining the residency of the new employees at the end of each year of rebate eligibility. This determination shall be verified by the Economic Development Agency with such supporting documentation as may be required by the Economic Development Agency. In no case shall the total rebate paid to any claimant exceed the total amount of Utility User's Tax paid on the period claimed, nor rebates be paid for any term other than the schedule established in subsections (1) or (2) above.
5. To claim a rebate under this section, the claimant shall submit a completed verified claim form to the Economic Development Agency with such supporting documentation as may be required by the Economic Development Agency to determine claimant's eligibility and to establish the amount of utility user's tax paid by claimant on the period claimed, and the commencement date of the "first year" as that term is used herein. A claim for a rebate shall be submitted annually to the Economic Development Agency not later than three months after the close of the year for which such refund is sought. The verified claim must be signed by an authorized officer of the claimant. The rebate shall be paid at the recommendation of the Economic Development Agency and subject to approval of the Department of Finance and Management Services.
6. No rebates shall be paid if the subject business is no longer in operation in the City of San Bernardino.
7. "First year" as used in this section, shall mean for a new business, the twelve- month period immediately following the date of commencement of business at the location for which a claim for rebate is filed.
(Ord. MC-1065, 3-07-00)
B. Not withstanding any other provision of this Chapter, in order to encourage the physical expansion and/or creation of significant numbers of higher-wage jobs by existing San Bernardino businesses, the following Utility User's Tax Rebate Program is hereby established to complement the program recently adopted for new businesses.
1. Any business currently operating in San Bernardino shall be eligible for a Utility User's Tax rebate if, after January 1, 2000, it meets the criteria of at least two of the categories below:
a. Category A: Expansion Criteria
(i) The business expands by completing a permitted expansion at its current location, resulting in an increase of at least 25% of the current construction valuation of the existing building; or
(ii) The business relocates within the City of San Bernardino, and the relocation is to a facility with at least 25% more square feet than the previous location.
b. Category B: Job Criteria
The business creates and maintains at least 5 new, permanent full-time jobs (50% of such new jobs shall pay at least $25,000 per year in wages and/or commissions, except that the dollar requirement for said jobs shall not apply to manufacturing and distribution businesses) in addition to the jobs already existing at the current location(s) within the city, and sustains that job increase over the previous 12 month period prior to the application for the rebate
c. Category C: Sales Tax Criteria
The business generates at least $10,000 more in sales or use tax revenues to the City than was generated in the previous 12 month period prior to application for the rebate.
d. If qualified under this section, the business shall be eligible for a rebate on the amount of paid Utility User's Tax paid by such business on electrical, gas, video, and telephone communication services, imposed by this Chapter according to the following schedule:
(i) 1st year - 75% rebate
(ii) 2nd year - 50% rebate
(iii) 3rd year - 25% rebate
(iv) 4th and subsequent years - no rebate
e. In no case shall any qualified business receive a rebate that exceeds the amount of additional sales or use tax revenues received by the City during the previous 12 month period prior to application for the rebate. Additionally, if the business is receiving assistance from the Economic Development Agency under an Owner Participation Agreement (OPA) or Disposition and Development Agreement (DDA), and the combined annual value of Agency assistance provided together with proposed Utility Tax Rebate exceeds the amount of additional annual sales tax revenue to the City, then the business shall not be eligible for the rebate.
2. Any business currently operating in San Bernardino, and not qualified under Subsection (1) above or Subsection (3) below, shall be eligible for
a. Utility User's Tax rebate if it creates, after January 1, 2000 and maintains at least 50 new, permanent full-time jobs (50% of such new jobs shall pay at least $25,000 per year in wages and/or commissions, except that the dollar requirement for said jobs shall not apply to manufacturing and distribution businesses) in addition to the jobs already existing at the current location(s) within the city, and sustains that job increase over the previous 12 month period prior to application for the rebate. If qualified, the business shall be eligible for a rebate of Utility User's Tax paid on the following scale:
(i) 1st year -- 75% rebate
(ii) 2nd year -- 50% rebate
(iii) 3rd year - 25% rebate
(iv) 4th and subsequent years - no rebate
3. Any business currently operating in San Bernardino shall be eligible for a Utility User's Tax rebate if, after January 1, 2000, it adds a new additional location within the City of San Bernardino, and continues to operate the previously existing location or locations within the City for the previous 12 month period prior to application for the rebate. For purposes of this program, the additional location shall be considered "new business" and shall be eligible for rebates in accordance with the program already established for new businesses
(Chapter 3.44.131(A) of the Municipal Code)
4. Any business currently operating in San Bernardino and qualified under Subsections (1) or (2) above shall also be eligible for an additional rebate of 1% on the amount of Utility User's Tax paid for each San Bernardino resident that is hired to fill the new, permanent full-time jobs created within the City that meet the wage criteria. Eligibility for any such additional rebates shall be established by determining the residency of the new employees at the end of each year of rebate eligibility. This determination shall be verified by the Economic Development Agency with such supporting documentation as may be required by the Economic Development Agency. In no case shall the total rebate paid to any claimant exceed the total amount of Utility User's Tax paid for the period claimed, nor shall rebates be paid for any term other than the schedule established by this section.
5. To claim a rebate under this section, the claimant shall submit a completed verified claim form to the Economic Development Agency with such supporting documentation as may be required by the Economic Development Agency to determine claimant's eligibility and to establish the amount of utility user's tax paid by claimant on the period claimed, and the commencement date of the "first year" as that term is used herein. A claim for a rebate shall be submitted annually to the Economic Development Agency not later than three months after the close of the year for which such refund is sought. The verified claim must be signed by an authorized officer of the claimant. The rebate shall be paid at the recommendation of the Economic Development Agency and subject to approval of the Department of Finance and Management Services.
6. No rebates shall be paid if the subject business is no longer in operation in the City of San Bernardino.
7. "First year" as used in this section, shall mean for an existing business, the twelve-month period immediately proceeding following the date the claim for rebate is filed.
(Ord. MC-1625, 2-21-24; Ord. MC-1117, 3-05-02; Ord. MC-1078, 8-08-00)