(a) Definitions. As used in this Section 5.46, the following terms have the meanings indicated:
(1) “Assessor's Parcel Map” means an official map of the Assessor of the County of Los Angeles designating parcels by assessor’s parcel numbers.
(2) “CPI” means the Consumer Price Index for All Urban Consumers (CPI-U), All Items Index, Los Angeles-Riverside-Orange County, California Area (1982-84=100) published by the United States Department of Labor, Bureau of Labor Statistics.
(3) “Fiscal year” means the fiscal year of the City, which is the period starting July 1 and ending on the following June 30.
(4) “Maximum rate” means the maximum rate of the special parcel tax as calculated pursuant to Subdivision (d) of this Section.
(5) “Non-residential parcel” means any parcel other than a parcel that is improved solely with a residential structure.
(6) “Parcel” means a lot or parcel shown on the current applicable Assessor’s Parcel Map with an assigned assessor’s parcel number.
(7) “Special parcel tax” means the special parcel tax to be levied pursuant to this Section.
(8) “Taxable parcel area” means, with respect to a parcel of taxable property and a fiscal year, the square footage of that parcel, excluding square footage that has been apportioned a share of the warehouse tax for that fiscal year. For purposes of this definition, “square footage that has been apportioned a share of the warehouse tax for that fiscal year” shall be calculated for the applicable fiscal year by dividing the amount of the warehouse tax levied against a parcel by the rate per square foot of the warehouse tax. For example, if the amount of the warehouse tax levied against a parcel is $10,000 in a given fiscal year, and the applicable rate of the warehouse tax in that fiscal year is $0.10 per square foot, then 100,000 square feet of the area of that parcel is square footage that has been apportioned a share of the warehouse tax for that fiscal year.
(9) “Taxable property” means all of the non-residential parcels within the boundaries of the City other than non-residential parcels that (i) are exempt from the special parcel tax pursuant to the Constitution or the laws of the United States or of the Constitution or the laws of the State of California, or (ii) are exempt from the ad valorem property tax or have an ad valorem property tax liability of zero.
(10) “Warehouse tax” means the special parcel tax levied by the City pursuant to Section 5.45 of Article IV of Chapter 5 of this Code. (b) Levy of special parcel tax. An annual special tax is hereby levied by the City on all parcels of taxable property.
(c) Duration. The special parcel tax shall first be collected for fiscal year 2013-14. The final year for which the special parcel tax shall be collected is fiscal year 2022-23.
(1) For fiscal year 2013-14, the maximum rate of the special parcel tax shall be $0.03 per square foot of taxable parcel area.
(2) For fiscal year 2014-15 and each subsequent fiscal year through and including fiscal year 2022-23, the maximum rate of the special parcel tax shall be automatically adjusted based upon changes in CPI. For any fiscal year in which the CPI for the month of March of the immediately preceding fiscal year is greater than the CPI for March, 2013, the maximum rate for such fiscal year shall be equal to the product of (i) the maximum rate for fiscal year 2013-14 multiplied by (ii) a fraction, the numerator of which is the CPI for the applicable month of March and the denominator of which is the CPI for March, 2013. For each fiscal year in which the CPI for the month of March of the immediately preceding fiscal year is not higher than the CPI for March, 2013, the maximum rate for such fiscal year shall not be adjusted and such maximum rate shall be equal to the maximum rate for fiscal year 2013-14. If, in the future, the CPI is changed so that the CPI for March, 2013 differs from the CPI for such month used as of the effective date of this Section, the CPI for such month shall be converted in accordance with the conversion factor published by the United States Department of Labor, Bureau of Labor Statistics. The City Clerk shall submit a written report to the City Council each fiscal year setting forth the adjustments to the maximum rate calculated in accordance with this paragraph.
(e) Annual proceedings. For each fiscal year, the City Council shall determine, by ordinance or resolution, the amount of the special parcel tax to be imposed on each parcel of taxable property. The tax amounts determined by the City Council for a fiscal year shall be calculated based on the applicable maximum rate for such fiscal year but may, at the discretion of the City Council, be determined based on lower rates. The ordinance or resolution shall list each taxed parcel by assessor’s parcel number. The ordinance or resolution shall constitute the official record of the assessment of the special parcel tax, and a copy thereof, together with any other pertinent data, shall be transmitted to the appropriate County officials to facilitate collection of the special parcel tax.
(f) Collection of special parcel tax. The special parcel tax shall be collected by the County Treasurer and Tax Collector in the same manner and subject to the same penalty and procedure as ad valorem property taxes collected by the County Treasurer and Tax Collector. Unpaid special parcel taxes shall bear interest at the same rate as the rate for unpaid ad valorem property taxes until paid.
(g) Special parcel tax not an ad valorem tax. The special parcel tax is not an ad valorem tax. The amount of the special parcel tax to be imposed on a parcel is not calculated or measured based on the value of that parcel.
(h) Statement of specific purpose of special parcel tax; proceeds to be applied only to such specific purpose. The proceeds of the special parcel tax, together with any interest and penalties thereon, shall be applied only to the payment of the costs of (i) City fire protection services and projects, (ii) City health services and projects, and (iii) City police services and projects. Services and projects include, but are not limited to, salaries, benefits, equipment and capital improvements.
(i) Accountability measures. The proceeds of the special parcel tax shall be deposited in a special account, to be created and maintained by the City. For so long as proceeds of the special parcel tax remain unexpended, the Finance Director of the City shall file an annual report with the City Council no later than January 1 of each year, commencing January 1, 2014, stating (i) the amount of special parcel tax funds collected and expended, and (ii) the status of any project required or authorized to be funded pursuant to this Section. Such annual report shall relate to the fiscal year most recently ended, and may be incorporated into or filed with the annual budget, audit or other appropriate routine report to the City Council.
(j) Amendment. The City Council may, by ordinance, amend, repeal, renumber or recodify any or all of the provisions of this Section; provided, however, that no ordinance extending or increasing the special parcel tax shall be effective unless submitted to, and approved by, the voters of the City as required pursuant to the applicable law at the time of such action.
