HomeMy WebLinkAbout20009 - RESOLUTIONS - 3/21/2001 RESOLUTION NO. 20009
' OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS,
CALIFORNIA, ENDORSING THE TAX ADMINISTRATOR'S
ACTION TO WAIVE THE UTILITY USERS TAX ASSESSED
BY SOUTHERN CALIFORNIA EDISON ON PALM SPRINGS'
1-6 CUSTOMERS INTERRUPTIBLE POWER PENALTIES
FOR THE LAST YEAR
WHEREAS, the State of California in general and the City of Palm Springs in particular have
been experiencing escalating energy costs and diminished energy availability; and
WHEREAS, one of the methods used by Southern California Edison (SCE) to manage the
demand for electricity is to require businesses with Interruptible Power Agreements being
charged at the 1-6 rate, to shut down upon notice from SCE; and
WHEREAS, the failure of such businesses to shut down their demand for electricity results in
the assessment of substantial penalties to those businesses; and
WHEREAS, SCE has added the City's 5% Utility Users Tax (UUT) to the interruptible power
penalties; and
WHEREAS, the California Public Utility Commission on January 26, 2001 suspended the
penalty provisions of the 1-6 Interruptible Power Program; and
' WHEREAS, the UUT ordinance does not specifically require the collection of the tax on
interruptible power penalties; and
WHEREAS, the Tax Administrator has the authority under the UUT ordinance to adopt rules
and regulations not inconsistent with the ordinance; and
WHEREAS,waiver of the UUT on interruptible power penalties would ameliorate a small part
of the impact of higher energy costs on a number of Palm Springs businesses; and
WHEREAS,the Tax Administrator proposes to waive and/or refund the aforementioned UUT.
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs,
endorsing the Tax Administrator's proposed action to waive Utility Users taxes assessed by
Southern California Edison on 1-6 customers' interruptible power penalties for the last year.
ADOPTED this 21st day of March , 2001.
AYES: Members Hodges, Oden, Reller-Spurgin and Mayor Kleindienst
NOES: Member Jones
ABSENT: None
ATTEST: CITY OF PALM SPRINGS, CALIFORNIA
City Clerk City Manager
REVIEWED &APPROVED AS TO FORM