Ordinance No. 2109 AN ORDINANCE AMENDING CITY OF MENA ORDINANCE NO, 2049, PROVIDING FOR THE LEVY OF A LOCAL GROSS RECEIPTS TAX AT THE RATE OF THREE (3%) ON THE GROSS RECEIPTS OF HOTELS, MOTELS, AND ONE (1%) ON THE GROSS RECEIPTS OF RESTAURANTS WITHIN THE CITY OF MENA AND CREATING AN ADVERTISING AND PROMOTION COMMISSION.

WHEREAS, on March 24, 2003, the City Council of the City of Mena, Arkansas, adopted Ordinance No. 2049, to levy a three (3%) tax on hotels and motels, and one (1%) tax on restaurants within the City of Mena, Arkansas; and

WHEREAS, Ordinance No, 2049 has a provision, in Section 7, which states that Ordinance No. 2049 will be repealed upon the passage and enactment of a one percent (1%) general improvement city sales tax approved by the voters of Mena. Such tax could be used for but not limited to the following: sewer rehabilitation, parks and recreation, streets, advertising and promotion, and economic development for the City of Mena; and.

WHEREAS, the City Council of the City of Mena has determined that having this section in Ordinance 2049 serves as a deterrent to the possibility of securing future funding for the Advertising and Promotion Commission; and

WHEREAS, in order to enhance the potential of Advertising and Promotion tax revenues, the entire Section 7 of Ordinance No. 2049 needs to be deleted,

NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF MENA, ARKANSAS:

Section 1: That Section 7 of Ordinance No.

2049 shall be deleted.

Section 2: All ordinances or parts of ordinances in conflict herewith are hereby repealed to the extent of that conflict.

Section 3: Ifany section, subsection, sentence, clause, or phrase of this ordinance is, for any reason, held to be unconstitutional, such decision shall not affect the validity of the temaining portion of this ordinance.

Section 4: This Ordinance being necessary to protect the future funding capabilities of the City of Mena Advertising and Promotion Tax, an emergency is hereby declared, and this Ordinance shall be in full force and effect from and after passage and publication.

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Ordinance No. 2109 Page 2 APPROVED AND ADOPTED this 13th day of__December__, 2905, -

CITY OF MENA, ARKANSAS (As x ts San ean., Gry S. Wontgomery, Mayo

Attest:

ine Yelbal Regina er, City Clerk/Treasurer: ‘. ~

Ordinance No. 2109 AN ORDINANCE AMENDING ORDINANCE NOs. 2049, 2050, AND 2109 PROVIDING ¥OR THE LEVY OF A LOCAL GROSS RECEIPTS TAX ON THE GROSS RECEIPTS OF HOTELS, MOTELS, AND RESTAURANTS WITHIN THE CITY OF MENA, ARKANSAS; CREATING AN ADVERTISING AND PROMOTION COMMISSION; DECLARING AN EMERGENCY TO EXIST, AND FOR OTHER PURPOSES WHEREAS, Ordinances No. 2049 and amendments thereto were adopted to levy a local three (3%) tax on the gross receipts of all lodging establishments, and a one (1%) tax on the gross receipts of all restaurants (A & P tax) within the City of Mena, Arkansas; and WHEREAS, as per Arkansas State Statute 26-75-602, as amended, an Advertising and. Promotion Commission was created to oversee the collection of A & P tax revenues, determine the use of, and distribute and spend the tax funds collected; and WHEREAS, Arkansas Code Annotated, 26-75-605 details the make-up of the Commission and the manner of how they are to be appointed. Stating in part that the Commission shall be composed of seven (7) members; of which four (4) members shall be owners or managers of businesses in the tourism industry, at least three (3) of whom shall be owners or managers of hotels, motels, or restaurants; and WHEREAS, however, neither State Statutes nor City Ordinances stipulate that the ‘ Commission members representing the tourism industry must represent an establishment that is located within the City of Mena and be collecting the A & P tax; and WHEREAS, at a City Council Ordinance Review Committee meeting held on July 18, 2016, the City Council determined that it is in the best interests of the City of Mena that members on the Advertising and Promotion Commission representing the tourism industry be ownets ot managers from business establishments located within the City of Mena and collectors of the A & P tax. NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Mena, Arkansas, that:. Section t. Ordinance No. 2049 and amendments thereto shall be amended to state: There is hereby created the City Advertising and Promotion Commission, Arkansas Code Annotated, Section 26-75-605. The Commission shall have all the powers and duties as prescribed by law. The Commission shall be composed of seven (7) members as follows: Four (4) members shall be owners or managers of businesses in the tourism industry, all of whom shall represent a business that is located within. the City of Mena, at least three (3) of whom shall be owners or managers of hotels, motels, or restaurants and -eitgf whoa shall represent 4 business that is located within the City of Mena and collects the A & P tax; the owner or manager may reside outside the City of Mena, but within Polk County and al: of whom shall be appointed by

rane na AMO Page 2 the City Council for staggered terms of four (4) years; two (2) members shall be members of the City Council and shall be selected by the City Council; and one (1) member shall be selected from the public at large, who shall reside within the City, and shall be nominated by the Mayor and approved by the City Council for a term of four (4) years. Section 2. All ordinances or parts of ordinances in conflict herewith are hereby repealed to the extent of such conflict. Section 3, _If any section, subsection, sentence, clause, or phrase of this ordinance is, for any reason, held to be unconstitutional, such decision shall not affect the validity of the remaining portion of this ordinance. Section 4. This Ordinance being necessary for the selection of a diverse and fair representation of the hotel, motel, restaurant, and tourism industry on the City of Mena Advertising and Promotion Commission, an emergency is hereby declared to exist, and this Ordinance shall be in full force and effect from and after passage and publication. PASSED AND ADGPTED this 9” day of August, 2016. CITY OF MENA Go 4 Fits A tex. McKee, Mayor

ATTEST: f

(Ly AOC Lindh Rexroad, City Clerk/Treasurer

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