HomeMy WebLinkAboutMinutes 07-28-1994 SpecialCITY COUNCIL
SPECIAL MEETING
July 28, 1994
A Special Meeting of the Cape Canaveral City Council was held on July 28, 1994, at the City
Hall Annex, 111 Polk Avenue, Cape Canaveral, Florida. The meeting was called to order at
6:30 P . M . by Mayor Pro Tem John Porter.
ROLL CALL:
Mayor
Mayor Pro Tem
Councilmember
Councilmember
Councilmember
City Manager
City Attorney
Acting Deputy City Clerk
PUBLIC HEARING
Joy Salamone
Absent
John Porter
Present
Arthur Berger
Present
Leo Nicholas
Present
Rocky Randels
Present
Bennett Boucher
Present
John Kancilia
Present
Susan Stills
Present
1. Ordinance 25 -94 Amending City's Code of Ordinance 70. Taxation, by
repealing and reenacting Article III Occupational License Tax for second and final reading.
Mayor Pro Tem John Porter read the title of the Ordinance.
AN ORDINANCE OF THE CITY OF CAPE CANAVERAL, BREVARD COUNTY,
FLORIDA; AMENDING CHAPTER 70, TAXATION OF THE CODE OF ORDINANCES
OF THE CITY OF CAPE CANAVERAL, BY REPEALING IN ITS ENTIRETY, ARTICLE
III, OCCUPATIONAL LICENSE TAX ADOPTING A NEW ARTICLE; ESTABLISHING A
NEW FEE SCHEDULE; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEAL
OF CONFLICTING ORDINANCES AND RESOLUTIONS; AND PROVIDING FOR AN
EFFECTIVE DATE.
Motion by Mr. Randels, seconded by Mr. Berger to adopt Ordinance No. 25 -94 at second and
final reading. Mr. Randels commented on the guidelines used by the Equity Study Commission
and subsequent results in order to provide a fair and equitable ordinance. According to the
Florida Statutes, the rates could have been increased up to 10 percent, however, the rate
structure was only increased by 9 percent. Mr. Randels reiterated on the performance of the
Equity Study Commission by noting how the group simplified the existing license structure,
reduced the number of categories from 21 to five, established minimum fees, updated license
fees, and restored equity to the occupational license tax structure by utilizing comparable
ordinances from 16 other municipalities.
Mayor Pro Tem Porter acknowledged those in the business community with objections to the
ordinance and also recognized the presence of Mr. Fred Fishback and several members of the
Equity Study Commission who were present to address any questions or concerns.
City of Cape Canaveral, Florida
City Council Special Meeting
July 28, 1994
Page 2
Mr. Arthur E. "Bud" Burns addressed Council with his objections regarding the fees charged
for mini - storage units. Mr. Burns distributed copies of his concerns to Council and staff. His
objection was based on the words "fair and equitable" in the second paragraph of the cover page
of the occupational license. Mr. Burns expressed that his mini- storage facility should not have
been categorized as a dwelling, but as a service.
Mr. Fishback responded to Mr. Burns' objections and addressed the classification of his mini -
storage facility in comparison with a rented dwelling. In concept, a mini - storage facility was
more similar to a rented dwelling that any other category. The concept that the Equity
Commission tried to maintain throughout the process was that a larger business with a greater
number of units or employees should have an occupational fee greater than a business with fewer
units or employees. Mayor Pro Tem Porter questioned Mr. Fishback regarding a former
objection of fees based on per unit or square footage charges. Mr. Fishback answered that a
per unit fee was better related to impact because of the number of units for rent and the amount
of traffic involved. Mr. Berger pointed out that sectioning the overall unit more adequately
benefitted the customer with suitably sized storage for their particular needs. Mr. Berger
suggested that a minimal rate be paid for the size of the overall storage facility in light of the
expense involved in the process of sectioning the overall unit. Mr. Jim Means commented that
Mr. Burns' percentage increase was a rather small increase compared to that experienced by
many of the other businesses.
Mr. Nicholas asked Council to poll the audience in response to the occupational license in order
to ascertain how many concerns needed to be addressed. Mr. Hans K. Saurenmann questioned
if the discussion referred to taxes or license. He defined a license as a flat fee, however, taxes
were fees based on square feet. Mr. Saurenmann explained that his business was already taxed
and that an occupational license should be a flat fee and that there should not be so many
categories.
Mayor Pro Tem Porter noted the time and since there were several remaining concerns before
Council for discussion, he asked Mr. Kancilia if deferment of the workshop meeting at 7:00
p.m. was in order. Mr. Kancilia agreed that the workshop should be deferred until the
conclusion of the special meeting.
Mr. Burns rebutted Mr. Fishback's answers to his concerns and stated that the occupational
license was cluttered with real estate terms which would cause his license to be renewed at a
higher level. He also reiterated that his occupational license fee was not in the category of his
business. He restated that warehouses were not dwelling units.
Mr. Kancilia stated that occupational licenses were taxes. The State recognized that an
occupational licensing ordinance was a taxing ordinance, not a regulatory ordinance. There were
a number of bases upon which an occupational license tax would be imposed. The basis a city
could not utilize was sales or revenue since these were in the form of an income tax. The
Equity Study Commission had substantially reduced the inequities of the former occupational
City of Cape Canaveral, Florida
City Council Special Meeting
July 28, 1994
Page 3
license structure.
Mr. Nicholas commented that the terminology of dwelling needed to be changed to fit the
classification of amini- storage facility. He suggested that the proposed fee of $2.00 per unit
be lowered based on the actual usage of amini- storage facility in comparison to other usages
in the same category.
Mr. Kancilia explained that the proposed changes to the occupational license ordinance could
not be made without going through the advertising requirements again. Mr. Nicholas questioned
if Tuesday, August 2nd, would be adequate time to implement changes. Ms. Deborah Haggerty,
City Treasurer, stated that her staff would need appropriate time to prepare the licenses since
the statute mandated that the occupational licenses go on sale Monday, August 1st. She also
asked Mr. Kancilia if the occupational license ordinance could pass as stated with the exception
of, perhaps, dwellings for rent which could be addressed at another time. Mr. Kancilia
explained that if certain classifications were omitted the opportunity may be missed to enact a
new rate. Further discussion followed on proposed changes to the classification or cost per unit.
Motion by Mr. Nicholas, seconded by Mayor Pro Tem Porter to amend the ordinance on Page
to in the category "dwellings for rent" in such manner that Council change the category from
"dwellings" to "property for rent" and that Council change the mini- storage complex from
125.00 plus $2.00 per unit" to 125.00 plus $1.00 per unit" and that Council change the last
line "operators of other dwellings not specifically stated" to "operators of other property not
specifically stated" . Mr. Berger questioned why rates were being included in the amendment.
Mr. Nicholas answered that if rates were not changed at this point they could not be changed
for another year. Mayor Pro Tem Porter based his decision on the recommendation of the
Equity Study Commission to lower the rate. Mr. Randels felt that the ordinance should go
forward and delete the mini -- storage classification and no license be purchased until Council
could address the matter. Discussion followed on the consequences of deleting the mini - storage
classification from the ordinance until Council could address the matter. Motion on the
amendment failed with members voting as follows:
Councilmember Berger
Against
Councilmember Nicholas
For
Mayor Pro Tem Porter
For
Councilmember Randels
Against
Mr. Berger suggested that the mini- storage classification be deleted from the main ordinance
until Council could reach an equitable solution for the category. Mayor Pro Tem Porter
proposed that this suggestion be placed in the form of an amendment.
Motion by Mr. Randels, seconded by Mayor Pro Tern Porter for an amendment that a particular
mini - warehouse category remain the same as last year. Mr. Kancilia noted one procedural point
9 n that the amount of the fee for last year should be read into the record as part of the
City of Cape Canaveral, Florida
City Council Special Meeting
July 28, 1994
Page 4
amendment. He also added that if the fee remained the same as last year in order to further
study its equity, the opportunity to increase the fee could not be done for another year. Mr.
Randels clarified his motion by stating that on the mini- storage warehouses Council would adopt
the old rate of $62.50 per building for the upcoming year. Mr. Fishback commented that
instead of reconvening the Equity Study Commission for one category that Council set an
amount. Mr. Randels withdrew his amendment and Mayor Pro Tem Porter withdrew his second
to the amendment.
Mr. Berger questioned Mr. Fishback on his recommendation to lower the fee for mini - storage
warehouses. Members of the Equity Study Commission informally recommended $1.50 per unit
as the fee. Mr. Berger then asked Mr. Burns what was his recommendation to solve the fee
problem. Mr. Burns stated that even at the fee of $1.50 per unit, his warehouse fee in the future
would be over $300. Mr. Berger stated that there should be a flat rate for mini - storage
businesses. Further discussion followed regarding mini - storage businesses.
Mr. Nicholas questioned Mr. Kancilia as to the City's ability to raise the occupational licenses
in the future under the State Statute guidelines. Mr. Kancilia answered that after the enactment
of a comprehensive ordinance the fee could not be increased by more than 5 % every other year.
Mr. Porter defined the options available to resolve the problem: 1) Council could keep the fee
at its current level, 2) Council could reduce the fee, or 3) Council could remove the portion
relating to mini - storage warehouses as suggested by Mr. Randels. Mr. Porter polled Council
on each members position based upon these options. Mr. Kancilia noted also that there were
certain housekeeping amendments that still needed to be addressed.
Motion by Mr. Nicholas, seconded by Mayor Pro Tem Porter to amend Page 10 "dwellings for
rent" to "property for rent," change "dwellings" at the bottom of the page to "property," and
on mini - storage businesses change the 125.00 plus $2.00 per unit" to 125.00 plus $1.50 per
unit. " Motion on the amendment failed with members of Council voting as follows:
Councilmember Berger:
Against
Councilmember Nicholas:
For
Mayor Pro Tem Porter:
For
Councilmember Randels:
Against
Mr. Clark asked Council to brief him on the revised occupational license since he was on
vacation during its inception. Mr. Porter explained that the State had mandated that all
municipalities and governmental entities in the entire State of Florida study the structure and
equity of its occupational license fees. He further explained that the City convened a volunteer
group of business men and women from the community to review the City's entire occupational
license structure. Mr. Kurt Ronstrum stated that he not only served on the Equity Study
Commission, but in so doing he voted on fees that would more than double the fees on two (2)
of his businesses.
City of Cape Canaveral, Florida
City Council Special Meeting
July 28, 1994
Page 5
Mr. Fishback questioned Mr. Kancilia on the ad j ustments made to a category classified as
miscellaneous to a fee of $93.75. His concern was that any new business could only be charged
$93.75. Mr. Kancilia explained his reasons for recommending the fee of $93.75 to any "new"
category that had not been included in the previous occupational license ordinance. Mr.
Fishback reiterated his concern and stated that this created inequities in the system.
Mayor Pro Tem Porter addressed the internal housekeeping amendments to the ordinance. Mr.
Randels presented the first amendment under service - oriented businesses on page nine whereby
the category of cleaning and janitorial services was omitted. Motion by Mr. Randels, seconded
by Mr. Nicholas to amend the category of cleaning and janitorial services under service - oriented
business to include a rate of $50.00 with a $1,000 surety bond requirement and to delete the
surety bond for private investigators.
Mr. Nicholas questioned the benefit of surety bonds. Mr. Kancilia responded that surety bonds
were insurance against certain risks and that fidelity bonds protected against dishonesty on the
part of the profession; therefore, if a claim were made against the City, the City could go back
ID
against the bond. He further explained that the bond protected against costs incurred for
enforcement of the ordinance. Further discussion followed on the effectiveness of using a surety
bond. Motion on the amendment carried with members voting as follows:
Councilmember Berger
For
Councilmember Nicholas
For
Mayor Pro Tem Porter
For
Councilmember Randels
For
Motion by Mr. Nicholas, seconded by Mr. Randels to amend the ordinance to delete the
requirement for surety bond from all categories listed in the ordinance which consisted of
cleaning and janitorial., decorating, and detective agencies. Mayor Pro Tem Porter asked Mr.
Berger due to his personal involvement with being required to provide surety bonds in his
business if a surety bond was effective. Mr. Berger felt that a surety bond was no longer
required. Motion carried on the amendment with members voting as follows:
Councilmember Berger
Abstained
Councilmember Nicholas
For
Mayor Pro Tem Porter
For
Councilmember Randels
For
Mayor Pro Tem Porter called the question on the main motion for Ordinance No. 25 -94.
Motion on the ordinance carried with members voting as follows:
Councilmember Berger
Against
Councilmember Nicholas
For
Mayor Pro Tem Porter
For
City of Cape Canaveral, Florida
City Council Special Meeting
July 28, 1994
Page 6
Councilmember Randels For
There being no further business, the meeting adjourned at 8:05 P.M.
r�
Approved this 6th day of
September
, 1994.
ATTEST:
J. Porter, MAYOR PRO TEM
Susan Stills, ACTING DEPUTY CITY CLERK
FORM
COUNTY.
86 MEMORANDUM OF VOTING CONFLICT FOR
MI INIrAPAI _AND OTHFR LOCAL PUBLIC OFFICERS
4ST NAME --F I F-ST NAME -M 1 ll 1] LZ NAM L
-A . - r 7 - - - n - -- - -- - --
WHO MUST FILE FORM 8B
This form is for use by any person serving at the county, city, or other local level of government on an appointed or elected board,
council, commission, authority, or committee. It applies equally to members of advisory and non - advisory bodies who are presented
with a voting conflict of interest under Section. 112.3143, Florida Statutes.
Your responsibilities under the law when faced with voting on a measure in which you have a conflict of interest will vary greatly
depending on whether you hold an elective or appointive position. For this reason, please pay close attention to the instructions on
this form before completing the reverse side and filing the form.
INSTRUCTIONS FOR COMPLIANCE WITH SECTION 112.3143, FLORIDA STATUTES
A person holding elective or appointive county, municipal, or other local public office MUST ABSTAIN from voting on a measure
which inures to his or her special private gain. Each elected or appointed local off cer also is prohibited from knowingly voting on a
measure which inures to the special gain of a principal (other than a government agency) by whom he or she is retained (including
the parent organization or subsidiary of a corporate principal by which he or she is retained); to the special private gain of a relative;
to the special private gain of a business associate. Commissioners of Community redevelopment agencies under Sec. 163.356 or
163.357, F.S., and officers of independent special tax districts elected on a one -acre, one -vote basis are not prohibited from voting in
that capacity.
For purposes of this law, a "relative" includes only the officer's father, mother, son, daughter, husband, wife, father -in -law, mother -
in -law, son -in -law, and daughter -in -law. A "business associate" means any person or entity engaged in or carrying on a business
enterprise with the officer as a partner, joint venturer, coowner of property, or corporate shareholder (where the shares of the corpo-
ration are not listed on any national or regional stock exchange).
* * * * * * * * * * * * * * * *
ELECTED OFFICERS:
In addition to abstaining from voting in the situations described above, you must disclose the conflict:
PRIOR TO THE VOTE BEING TAKEN by publicly stating to the assembly the nature of your interest in the measure on
which you are abstaining from voting; and
WITHIN 15 DAYS AFTER THE VOTE OCCURS by completing and filing this form with the person responsible for recording
the minutes of the meeting, who should incorporate the form in the minutes.
APPOINTED OFFICERS:
* * * * * * * * * *
Although you must abstain from voting in the situations described above, you otherwise may participate in these matters. However,
you must disclose the nature of the conflict before making any attempt to influence the decision, whether orally or in writing and
whether made by you or at your direction.
IF YOU INTEND TO MAKE ANY ATTEMPT TO INFLUENCE THE DECISION PRIOR TO THE MEETING AT WHICH THE
VOTE WILL BE TAKEN:
• You must complete and file this form (before making any attempt to influence the decision) with the person responsible for
recording the minutes of the meeting, who will incorporate the form in the minutes.
A copy of the form must be provided immediately to the other members of the agency.
* The form must be read publicly at the next meeting after the form is filed.