AGENDA MEMORANDUM

Meeting Date:           January 22, 2007

From:                          Bill Pfeilsticker, Finance Director

Subject:                      Ordinance repealing Section 8-13 Franchise Fees of the Code of Ordinances           

Staff Recommendation:       

Staff recommends adoption of the Ordinance to repeal Section 8-13 Franchise Fees of the Code of Ordinances.

Analysis:

Florida Statute 202.24, enacted in 2001, imposes limitations on local taxes and fees imposed on dealers of communications services, and the local government authority to collect franchise fees is thereby preempted by the state.  City revenues previously derived from communications franchise fees are now generated by communications services taxes collected by the state and a portion of those taxes is sent to the City.

Section 8-13 Franchise Fees no longer has validity because the City does not have authority to collect franchise fees from communications dealers.  Therefore, we recommend its repeal.

Options:

1.  Adopt the Ordinance repealing Section 8-13 of the Code of Ordinances, or

2.  Such alternative action as the Commission may deem appropriate

Fiscal Impact: 

None

Submission Date and Time:    1/18/2007 10:06 AM____

Department: ______________________ Prepared by:  ______________________                      Attachments:         Yes____   No ______ Advertised:   ____Not Required ______ Dates:   __________________________                      Attorney Review :       Yes___  No ____ _________________________________            Revised 6/10/04

Reviewed by: Dept. Head ________ Finance  Dept. __________________                                    Deputy C.M. ___________________                                          Submitted by: City Manager ______RS_____________

Account No. _________________ Project No. ___________________ WF No. ______________________ Budget  ______________________ Available _____________________

ORDINANCE NO. ______

AN ORDINANCE OF THE CITY OF LEESBURG, FLORIDA, REPEALING SECTION 8–36 OF THE CODE OF ORDINANCES OF THE CITY OF LEESBURG, FLORIDA; PERTAINING TO FRANCHISE FEES; REPEALING CONFLICTING ORDINANCES; PROVIDING A SAVINGS CLAUSE; AND PROVIDING AN EFFECTIVE DATE. 

BE IT ENACTED BY THE PEOPLE OF THE CITY OF LEESBURG, FLORIDA, that:

SECTION 1.

Section 8–36 of the Code of Ordinances of the City of Leesburg, Florida, concerning franchise fees, is hereby repealed in its entirety.

SECTION 2.   

If  any portion of this ordinance is declared invalid or unenforceable, then to the extent it is possible to do so without destroying the overall intent and effect of this ordinance, the portion deemed invalid or unenforceable shall be severed herefrom and the remainder of this ordinance shall continue in full force and effect as if it were enacted without including the portion found to be invalid or unenforceable. 

SECTION 3. 

All ordinances or parts of ordinances which are in conflict with this ordinance are hereby repealed, to the extent necessary to alleviate the conflict, but shall continue in effect insofar as they are not in conflict herewith, unless repeal of the conflicting portion destroys the overall intent and effect of any of the conflicting ordinances, in which case those ordinances so affected shall be hereby repealed in their entirety.

SECTION 4. 

This ordinance shall become effective upon its passage and adoption according to law. 

PASSED AND ADOPTED at the regular meeting of the City Commission of the City of Leesburg, Florida, held on the _____ day of __________, 2007. 

THE CITY OF LEESBURG

By:________________________________

            Mayor

ATTEST:

_______________________________________

City Clerk