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FY2006-09 Increasing Motor Vehicle Registration TaxIntroduced by Manager Gifford Requested by. Manager Drafted by Finance e Department Introduced: 03/02/2006 Public Hearing: 03/16/2006 Adopted: 03/16/2006 KODIAK ISLAND BOROUGH ORDINANCE NO. FY 2006 -09 AN ORDINANCE OF THE KODIAK ISLAND BOROUGH AMENDING KODIAK ISLAND BOROUGH CODE OF ORDINANCES TITLE 3 REVENUE AND FINANCE CHAPTER 3.32 MOTOR VEHICLE REGISTRATION AND TAX SECTION 3.32.010 ESTABLISHED AND SECTION 3.32.020 ALLOCATION AND BY ADDING SECTION 3.32.030 FEE IMPOSED TO INCREASE THE MOTOR VEHICLE REGISTRATION TAX WHEREAS, in Ordinance 79 -42 -0, and recorded in the borough code section 3.32.010 coverage was elected under the biannual motor vehicle registration tax in lieu of ad valorem property tax as established in AS 28.10.431; and WHEREAS, the administration filed a written notice on December 7, 2005 informing the department of motor vehicles of the borough's intent to change the tax charged for vehicles registered on or after January 1, 2007; and WHEREAS, administration must forward a copy of this ordinance to the appropriate agency on or before April 1, 2006; and WHEREAS, the borough may change the tax under this section no more than once every two years per AS 28.10.431 (j); and WHEREAS, the use of the biannual motor vehicle registration tax is allocated to the area wide school system per borough code section 3.32.020; and WHEREAS, if the borough adopts the same fee schedule now used by another Alaska government already in the state system their one -time fee will not be charged for the change, and WHEREAS, the revenue collected will increase by approximately 50% or $100,000 in a fiscal year and WHEREAS, Kenai Peninsula Borough has the lowest rate of all municipality /borough which have elected to set their own tax rates; and NOW, THEREFORE, BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH THAT: Section 1: This ordinance is of a general and permanent nature and shall become a part of the Kodiak Island Borough Code of Ordinances. Section 2: Title 3 Revenue and Finance Chapter 3.32 Motor Vehicle Registration and Tax Section 3.32.010 Established, and Section 3.32.020 Allocation are hereby amended and Section 3.32.030 Fee Imposed is hereby added as follows: Kodiak Island Borough Ordinance No. FY2006 -09 Page 1 of 2 Sections: 3.32.010 Established. 3.32.020 Allocation. 3.32.030 Fee imposed. 3.32.010 Established. The borough hereby elects coverage under the bi- annual motor vehicle registration tax established in AS 28.10.431 et seq. 3.32.020 Allocation. The use of the arnmai -motor vehicle registration tax is allocated to the area wide school system. 3.32.030 Fee imposed. The rate imposed is reflected on the following table: Year's old 1 2 3 4 5 6 7 8 9 Proposed rate for 2007 2007 2006 2005 2004 2003 2002 2001 2000 1999< A Psgr, MH,PK $140 $140 $120 $100 $ 80 $ 60 $ 50 $ 40 $ 30 B Mdtorcycle & Non -Comm Trlr 20 20 18 16 14 12 10 10 10 C Taxi & Commercial 0 - 5000 Ibs 150 150 130 110 90 70 60 50 40 D Tour Buss & Comm 5,001 - 12,000 Ibs 200 200 180 160 140 120 100 75 50 E Commercial 12,001 - 18,000 Ibs 450 450 410 370 330 290 250 230 210 F Commercial 18,001 & over 550 550 500 450 400 350 300 250 220 G Dealer 100 100 100 100 100 100 100 100 100 ATTEST: �a Judith A. Nielsen, CM orough Clerk Chapter 3.32 MOTOR VEHICLE REGISTRATION TAX ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH THIS SIXTEENTH DAY OF MARCH 2006 KODIAK ISLAND BOROUGH Kodiak Island Borough Ordinance No. FY2006 -09 Page 2 of 2