File #: 14-2564    Name: Introduction and First Reading. Consideration. Out of State Vehicle Registration Fee
Type: Ordinance Status: Agenda Ready
File created: 3/18/2014 In control: City Council Legislative Meeting
On agenda: 4/8/2014 Final action:
Title: Introduction and First Reading. Consideration. Passage on First Reading of an Ordinance to Implement the Local Motor Vehicle License Plate Tax as Included in the FY 2015 Proposed Budget.
Attachments: 1. 14-2564_License Tax Ord Cover Finance, 2. 14-2564_LicenseTax_Ordinance_Finance
City of Alexandria, Virginia
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MEMORANDUM



DATE: APRIL 2, 2014

TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL

FROM: RASHAD M. YOUNG, CITY MANAGER/s/

DOCKET TITLE:
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Introduction and First Reading. Consideration. Passage on First Reading of an Ordinance to Implement the Local Motor Vehicle License Plate Tax as Included in the FY 2015 Proposed Budget.
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ISSUE: Consideration of an ordinance to add a new Article X (Local Motor Vehicle License Plate Tax) to Chapter 2 (Taxation) of Title 3 (Finance, Taxation and Procurement) of The Code of the City of Alexandria, Virginia, 1981, as amended.

RECOMMENDATION: That City Council pass the proposed ordinance (Attachment I) on the first reading on Tuesday, April 8, 2014, and schedule the ordinance for public hearing on Saturday, April 12, 2014. Second reading and final passage may take place on Thursday, May 1, 2014.

DISCUSSION: Section 15.2-973 of the Code of Virginia provides localities with the authority to impose a license tax, in the amount not exceeding $100 annually, upon vehicle owners that do not display current (Virginia) license plates, and not exempt from the requirement of displaying such license plates. While the Finance Department has no license plate enforcement authority, this section of Virginia law allows the City to impose the additional annual tax until such time as the vehicle owner obtains and displays current Virginia license plates. This local motor vehicle license plate tax will be assessed and collected along with the normal vehicle personal property tax. The recommended ordinance is required to pass into law to allow them to become effective on July 1, 2014.

FISCAL IMPACT: The additional $100 license tax is estimated to produce an additional $100,000 in revenues for FY 2015.

ATTACHMENTS: Attachment I: License Tax Ordinance Cover
Attachment II: License Tax O...

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