HomeMy WebLinkAboutOrd. 2694 - Amending RMC Code Title 4Section 1. Title 4 (Revenue and Finance), Chapter 4.12 (Transient Occupancy Tax), Sections
4.12.010 - 4.12.150 are amended to read in its entirety as follows:
4. .010 Definitions.
Except where the context requires otherwise, the definitions given in this section govern the
construction of this chapter.
"Campground" means an area or a tract of land where one or more spaces are occupied or
intended to be occupied by a camping party and which is customarily occupied for temporary
purposes using tents, tent trailers, or other such structure for sleeping purposes. Campground does
not mean any of the following:
1. Any camp or other housing furnished by an employer exclusively for employees;
2. Any area or tract of land within the curtilage of any private dwelling house rented only
occasionally and incidental to the normal occupancy of the dwelling house;
3. Any area or tract of land operated or used exclusively for religious, charitable, or
educational purposes by any organization that has qualified for an exemption from
property taxes under the laws of the state of California;
4. A campground owned and operated by the state of California.
"Camping party" means a person or group of persons occupying a space at a campground
"Facilitator" means any person or entity who, for a fee, provides a means through which a
transient may book any room or rooms or portion thereof in any hotel or dwelling, or space in any
campground or recreational vehicle park, regardless of whether payment is transferred through or
processed by such platform.
"Hotel" means any structure, or any portion of any structure, which is occupied or intended
or designed for occupancy by transients for dwelling, lodging, or sleeping purposes, including any
hotel, inn, tourist home or house, motel, studio hotel, bachelor hotel, lodginghouse, roominghouse,
apartment house, dormitory, public or private club, mobile home or house trailer at a fixed location,
or other similar structure or portion thereof. A mobile home or house trailer at a fixed location
shall not include a mobile home located within a mobile home park, nor a location where the
mobile home tenant is an employee of the owner or operator of the property on which the mobile
home is located.
"Occupancy" means the use or possession of, or the right to use or possess, any room or rooms
or portion thereof in any hotel or dwelling, or space in any campground or recreational vehicle
park, for lodging or sleeping purposes.
"Operator" means the person who is proprietor of the hotel, campground, or recreational
vehicle park, whether in the capacity of owner, lessee, sublessee, mortgagee in possession,
licensee, or any other capacity. Where the operator performs his functions through a managing
agent of any type or character other than an employee, the managing agent shall also be deemed
an operator for the purposes of this chapter and shall have the same duties and liabilities as his
principal. Compliance with the provisions of this chapter by either the principal or the managing
agent shall, however, be considered to be compliance by both.
"Person" means any individual, camping party, firm, partnership, joint venture, association,
social club, fraternal organization, joint stock company, corporation, estate, trust, business trust,
receiver, trustee, syndicate, or any other group or combination acting as a unit.
"Recreational vehicle" means a motor home, travel trailer, truck camper, or camping trailer,
with or without motive power, designed for human habitation for recreational purposes and is
either self-propelled, truck -mounted, or permanently towable on the highways without a permit.
"Recreational vehicle park" means an area or tract of land where one or more spaces are
occupied or intended to be occupied by owners or users of recreational vehicles and which is
customarily occupied for temporary purposes.
Recreational vehicle park does not mean any of the following:
I A mobile home park as defined in the Health and Safety Code;
2. An area or tract of land used for the placement of manufactured homes as defined in the
Health and Safety Code;
3. Any area or tract of land where spaces are furnished by an employer exclusively for
employees;
4. Any area or tract of land within the curtilage of any private dwelling house rented only
occasionally and incidental to the normal occupancy of the dwelling house;
5. Any area or tract of land used exclusively for religious, charitable, or educational
purposes by any organization that has qualified for an exemption from property taxes
under the laws of the state of California;
6. A recreational vehicle park owned and operated by the state of California.
"Rent" means the consideration charged, whether or not received, for the occupancy of any
room or rooms or portion thereof in any hotel, or space in any campground or recreational vehicle
park, valued in money, whether to be received in money, goods, labor, or otherwise, including all
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receipts, cash, credits, and property and services of any kind or nature, without any deduction
therefrom whatsoever.
"Short term rental" means occupancy by a transient.
"Space" means an area or tract of land of a campground or recreational vehicle park
designated or used for the occupancy of a camping party or recreational vehicle.
"Transient" means any person who exercises occupancy or is entitled to occupancy by reason
of concession, permit, right of access, license, or other agreement for a period of thirty consecutive
calendar days or less, counting portions of calendar days as full days. Any such person so
occupying any room or rooms or portion thereof in a hotel, or space in any campground or
recreational vehicle park, shall be deemed to be a transient until the period of thirty days has
expired unless there is an agreement in writing between the operator and the occupant providing
for a longer period of occupancy. Any occupant entering into a written month-to-month agreement
shall not be considered a transient. A registration form signed by the occupant showing consecutive
dates of occupancy will suffice as a written agreement between the operator and the occupant. Any
occupant who enters into a written agreement providing for occupancy of thirty or more
consecutive days, but terminates his or her occupancy without paying for at least thirty days, shall
be considered a transient. In determining whether a person is a transient, uninterrupted periods of
time extending both prior and subsequent to the effective date of amendment of this chapter may
be considered.
For the privilege of occupancy in any hotel, campground, or recreational vehicle park, each
transient is subject to and shall pay a tax in the amount of ten percent of the rent charged by the
operator. The operator or facilitator of the hotel, campground, or recreational vehicle park, shall
collect the tax from the transient at the time the rent is paid. The tax constitutes a debt owed by the
transient to the city, which is extinguished only by payment to the operator, facilitator, or to the
city. The transient shall pay the tax to the operator, or facilitator of the hotel, campground, or
recreational vehicle park, at the time the rent is paid. If the rent is paid in installments, a
proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon
the transient ceasing to occupy space in a room or rooms or portion thereof in any hotel, or space
in any campground or recreational vehicle park. If for any reason the tax due is not paid to the
operator or facilitator of the hotel, campground, or recreational vehicle park, the finance officer
shall require that the tax be paid directly to the finance officer of the city. An operator and a
facilitator may come to an agreement about the obligations within this part.
4.12.030 Exemptions.
A. No tax shall be imposed upon the following:
I Any person as to whom, or any occupancy as to which, it is beyond the power of the city
to impose the tax provided in this chapter;
2. Any officer or employee of a foreign government who is exempt by reason of express
provision of federal law or international treaty.
B. No exemption shall be granted except upon a claim therefor made at the time rent is collected
and under penalty of perjury upon a form prescribed by the finance officer of the city.
A.Duties of Operator. Unless using a facilitator, or in the event that the facilitator fails to
collect and remit the tax imposed by this chapter, each operator shall collect the tax imposed by
this chapter to the same extent and at the same time as the rent is collected from every transient.
The amount of tax shall be separately stated from the amount of the rent charged, and each transient
shall receive a receipt for payment from the operator. No operator of a hotel, campground, or
recreational vehicle park shall advertise or state in any manner, whether directly or indirectly, that
the tax or any part thereof will be assumed or absorbed by the operator, or that it will not be added
to the rent, or that, if added, any part will be refunded except in the manner provided in this chapter.
B. Duties of Facilitator.
I. Each facilitator shall collect the tax imposed by this chapter to the same extent and
at the same time as the rent is collected from every transient. The amount of tax shall be separately
stated from the amount of the rent charged, and each transient shall receive a receipt for payment
from the facilitator. No facilitator of a hotel, campground, or recreational vehicle park shall
advertise or state in any manner, whether directly or indirectly, that the tax or any part thereof will
be assumed or absorbed by the operator or the facilitator, or that it will not be added to the rent, or
that, if added, any part will be refunded except in the manner provided in this chapter.
2. Pursuant to Government Code section 50990(b), the city hereby adopts and makes
applicable within the city's jurisdictional boundaries the Short -Term Rental Facilitator Act of 2025
(Gov. Code, § 50990 et seq.). The definitions set forth in Government Code section 50991 are
incorporated by this reference and apply to this section.
Upon request by the city, each facilitator must report, in the form and manner
prescribed by the city, the physical address, including nine -digit ZIP Code, of each short-term
rental during the reporting period. The reporting period may be no more frequently than monthly.
4. If the information provided under paragraph 2 is not sufficient for the city to
identify a specific short-term rental at the provided address, the city may request (1) the assessor
parcel number of the short-term rental, (2) the URL associated with the specific short-term rental
listing, and (3) the information exclusively related to the identification of an accessory dwelling
unit, guest house, or single unit of a timeshare or multifamily housing project located at a single
address, which is located at the address or assessor parcel number requested.
5. A facilitator must include in the listing of a short-term rental any applicable local
license number associated with the short-term rental and any transient occupancy tax certification
issued by the city.
6. A facilitator's failure to timely and properly report the information required by this
section in the form and manner prescribed by the City may result in issuance of an administrative
citation under Chapter 1.13 of this code in addition to the penalties under Section 4.12.150.
Within thirty days after the effective date of the ordinance codified in this chapter, or within
thirty days after commencing business, whichever is later, each operator of any hotel, campground,
or recreational vehicle park renting occupancy to transients shall register the hotel, campground or
recreational vehicle park with the finance officer of city and obtain from him a transient occupancy
registration certificate to be at all times posted in a conspicuous place on the premises. The
certificate shall, among other things, state the following:
A. The name of the operator;
B. The name and address of the hotel, campground, or recreational vehicle park;
C. The date upon which the certificate was issued;
D. "This transient occupancy registration certificate signifies that the person named on the
face hereof has fulfilled the requirements of the Uniform Transient Occupancy Tax
Ordinance by registering with the city finance officer for the purpose of collecting from
transients the Transient Occupancy Tax and remitting said tax to the finance officer,
except for taxes remitted by a facilitator pursuant to Section 4.12.040. This certificate
does not authorize any person to conduct any unlawful business, or to conduct any lawful
business in an unlawful manner, nor to operate a hotel, campground, or recreational
vehicle park without strictly complying with all local applicable laws, including but not
limited to those requiring a permit from any board, commission, department, or office
of this city. This certificate does not constitute a permit."
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Each operator or facilitator shall, within twenty (20) days following the close of each month,
make a return to the finance officer, on forms provided by him, of the total rents charged and
received and the amount of tax collected for transient occupancies. At the time the return is filed,
the full amount of the tax collected shall be remitted to the city finance officer. The finance officer
may establish a shorter reporting period for any certificate holder if he deems it necessary in order
to insure collection of the tax, and he may require further information on the return. Returns and
payments are due immediately upon cessation of business for any reason. All taxes collected by
operators pursuant to this chapter shall be held in trust for the account of the city until payment
thereof is made to the city finance officer.
4.12.070 Delinquency—Interest.
A. Any operator or facilitator who fails to remit any tax imposed by this chapter within the time
required shall pay a penalty of ten percent of the amount of the tax in addition to the amount
of the tax.
B. Any operator or facilitator who fails to remit any delinquent remittance on or before a period
of thirty days following the date on which the remittance first became delinquent shall pay a
secondary delinquency penalty of ten percent of the amount of the tax in addition to the
amount of the tax and the ten percent penalty first imposed.
C. If the finance officer determines that the nonpayment of any remittance due under this chapter
is due to fraud, a penalty of twenty-five percent of the amount of the tax shall be added thereto
in addition to the penalties stated in subsections A and B of this section.
D. In addition to the penalties imposed, any operator or facilitator who fails to remit any tax
imposed by this chapter shall pay interest at the rate of one and one-half percent per month
or fraction thereof on the amount of the tax, exclusive of penalties, from the date on which
the remittance first became delinquent until paid.
E. Every penalty imposed and such interest as accrues under the provisions of this section shall
become a part of the tax required to be paid by this chapter.
4.12.080 Determination of delinquency.
If any operator or facilitator fails or refuses to collect the tax and to make, within the time
provided in this chapter, any report and remittance of the tax or any portion thereof required by
this chapter, the finance officer shall proceed in such manner as he may deem best to obtain facts
and information on which to base his estimate of the tax due. As soon as the finance officer
procures such facts and information as he is able to obtain upon which to base the assessment of
any tax imposed by this chapter and payable by any operator or facilitator who has failed or refused
to collect it and to make the report and remittance, he shall proceed to determine and assess against
the operator the tax, interest and penalties provided for by this chapter. In case such determination
is made, the finance officer shall give a notice of the amount so assessed by serving it personally
or by depositing it in the United States mail, postage prepaid, addressed to the operator so assessed
at his last known place of business. The operator or facilitator may, within ten days after the serving
or mailing of the notice, make application in writing to the finance officer for a hearing on the
amount assessed. If application by the operator or facilitator for a hearing is not made within the
time prescribed, the tax, interest and penalties, if any, determined by the finance officer shall
become final and conclusive and immediately due and payable. If such application is made, the
finance officer shall give not less than five days' written notice in the manner prescribed in this
section to the operator to show cause at a time and place fixed in the notice why the amount
specified therein should not be fixed for the tax, interest and penalties. At the hearing, the operator
or facilitator may appear and offer evidence why the specified tax, interest and penalties should
not be so fixed. After the hearing the finance officer shall determine the proper tax to be remitted
and shall thereafter give written notice to the person in the manner prescribed in this section of the
determination and the amount of the tax, interest and penalties. The amount determined to be due
shall be payable after fifteen days unless an appeal is taken as provided in Section 4.12.090.
4.12.090 Appeal and hearing.
Any operator or facilitator aggrieved by any decision of the finance officer with respect to the
amount of the tax, interest and penalties, if any, may appeal to the city council by filing a notice
of appeal with the city clerk within fifteen days of the serving or mailing of the determination of
tax due. The city council shall fix a time and place for hearing the appeal, and the city clerk shall
give notice in writing to the operator or facilitator at his last known place of address. The findings
of the city council shall be final and conclusive and shall be served upon the appellant in the
manner proscribed in Section 4.12.080 for service of notice of hearing. Any amount found to be
due shall be immediately due and payable upon the service of notice.
4.12.100 Records required.
It is the duty of every operator and facilitator liable for the collection and payment to the city
of any tax imposed by this chapter to keep and preserve, for a period of three years, all records as
may be necessary to determine the amount of such tax as they may have been liable for the
collection of and payment of the city, which records the finance officer shall have the right to
inspect at all reasonable times.
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A. Whenever the amount of any tax, interest or penalty has been overpaid or paid more than once
or has been erroneously or illegally collected or received by the city under this chapter, it may
be refunded as provided in subsections B and C of this section; provided, a claim in writing
therefor, stating under penalty of perjury the specific grounds upon which the claim is
founded, is filed with the finance officer within three years of the date of payment. The claim
shall be on forms furnished by the finance officer.
B. An operator or facilitator may claim a refund or take as credit against taxes collected and
remitted the amount overpaid, paid more than once or erroneously or illegally collected or
received when it is established in a manner prescribed by the finance officer that the person
from whom the tax has been collected was not a transient; provided, however, that neither a
refund nor a credit shall be allowed unless the amount of the tax so collected has either been
refunded to the transient or credited to rent subsequently payable by the transient to the
operator or facilitator.
C. A transient may obtain a refund of taxes overpaid or paid more than once or erroneously or
illegally collected or received by the city by filing a claim in the manner prescribed in
subsection A of this section, but only when the tax was paid by the transient directly to the
finance officer, or when the transient, having, paid the tax to the operator or facilitator,
establishes to the satisfaction of the finance officer that the transient has been unable to obtain
a refund from the operator or facilitator who collected the tax.
D. No refund shall be paid under the provisions of this section unless the claimant establishes
his right thereto by written records showing entitlement thereto.
4.12.120 Collection by court action.
Any tax required to be paid by any transient under the provisions of this chapter shall be
deemed a debt owed by the transient to the city. Any such tax collected by an operator or facilitator
which has not been paid to the city shall be deemed a debt owed by the operator or facilitator to
the city. Any person owing money to the city under the provisions of this chapter shall be liable to
an action brought in the name of the city for recovery of such amount.
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This chapter shall be effective thirty days from and after the date of the adoption of the
ordinance codified in this chapter, except that the tax imposed by this chapter shall become
operative and be imposed on July 1, 1982, and shall not apply prior to that date, and from the
effective date of the remainder of this chapter to July 1, 1982, the tax rate imposed shall be the
prior rate of six percent of the rent charged by the operator.
4.12.140 Proceeds deposited in general fund.
Proceeds from the tax imposed pursuant to the terms of this chapter shall be deposited in the
general fund for general city purposes. The city recognizes the importance of promotion of tourism
and of support for, including maintenance and enhancement of use of, the Convention Center, In
each budget year the city council will give the highest priority to continuing its financial support
of the promotion of tourism and conventions. Nothing in this section or this chapter shall be
construed as a dedication of funds for any specific purpose.
4.12.150 Violation—Penalty.
A. Any person violating any of the provisions of this chapter shall be guilty of a misdemeanor
and shall be punishable therefor by a fine of not more than five hundred dollars or by
imprisonment in the city or county jail for a period of not more than six months or by both
such fine and imprisonment.
B. Any operator, facilitator, or other person who fails or refuses to register as required in this
chapter, or to furnish any return required to be made, or who falls or refuses to furnish a
supplemental return or other data required by the finance officer, or who renders a false or
fraudulent return or claim, is guilty of a misdemeanor, and is punishable as set out in
subsection A of this section. Any person required to make, render, sign or verify any report
or claim, who makes any false or fraudulent report or claim with intent to defeat or evade the
determination of any amount due required by this chapter to be made, is guilty of a
misdemeanor and is punishable as set out in subsection A of this section.
Section 2. Severability. If any section, subsection, sentence, clause or phrase of these ordinances
is for any reason held by a court of competent jurisdiction to be invalid or unconstitutional, such
decision shall not affect the validity of remaining portions of the ordinances. The City Council of
the City of Redding hereby declares that it would have passed this ordinance and each section,
subsection, sentence, clause and phrase thereof irrespective of the fact that one or more sections,
subsections, sentences, clauses or phrases may be held invalid or unconstitutional.
Section 3. The passage of this ordinance is not a "project" according to the definition in the
California Environmental Quality Act, and therefore is not subject to the provisions requiring
environmental review.
Section 4. This Ordinance shall take effect thirty (30) days after the date of its adoption, and the
City Clerk shall certify to the adoption thereof and cause publication according to law.
I HEREBY CERTIFY that the foregoing ordinance was introduced and read by the City Council
of the City of Redding at a regular meeting on the 16th day of June, 2026, and was duly adopted
at a regular meeting on the 21 st day of July, 2026, by the following vote:
AYES: COUNCIL MEMBERS: - Audette, Dr, Dhanuka, Munns, Resner, and Littau
NOES: COUNCIL MEMBERS. - None
ABSENT: COUNCIL MEMBERS: - None
ABSTAIN: COUNCIL MEMBERS: - None
MIKE LITTAU, Mayor
,SHARLENE TIPTON, City Clerk
DATE ATTESTED: 2026
BENJAMIN V. STOCK, Interim City
Attorney