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AN ORDINANCE OF THE CITY OF OAK PARK HEIGHTS ENACTED TO ESTABLISH A
LOCAL LODGING TAX
THE CITY COUNCIL FOR THE CITY OF OAK PARK HEIGHTS, WASHINGTON
COUNTY, MINNESOTA DOES ORDAIN:
1411.010 Purpose.
In order to increase commerce and to provide for a vibrant City atmosphere that
will attract tourism and convention business to the City, it is essential that the City be marketed
and promoted by a local convention and tourist bureau.
1411.020 Lo&Jni2� Tax Establishment.
In furtherance of that purpose, and pursuant to Minnesota Statutes §469.190, a tax
of 3% is hereby imposed on the gross receipts generated within the City from the furnishing for
consideration of lodging at hotels, motels, rooming houses, tourist courts or resorts, other than
the renting or leasing of lodging for a continual period of 30 days or more.
(1) Collection. Any person, business entity, corporation, partnership or
association (Operator) that provides lodging to others must collect the tax
at the time lodging charges are paid. The amount of tax must be
separately stated from the lodging charges and held in trust for the City
until remitted to the City.
(2) Pavments and Returns. The taxes imposed by this Ordinance must be paid
by the Operator to the City quarterly not later than thirty (30) days after
the end of the calendar quarter in which the taxes were collected. At the
time of payment, the Operator must submit a return upon forms provided
by the City. The return must contain the following minimum information:
a. The total amount of rent collected for lodging during the
period covered by the return.
b. The amount of tax required to be collected and due for the
period.
C. The signature of the person filing the return or that of his
agent duly authorized in writing.
d. The period covered by the return.
e. The amount, if any, of uncollectible rental charges subject
to the lodging tax.
The Operator may offset against the taxes payable with respect to any reporting
period, the amount of taxes imposed by this Ordinance previously paid as a result of any lodging
transaction, the consideration for which became uncollectible, and exclude from charges subject
to the tax, any person whose occupancy is beyond the power of the City to tax by reason of the
federal law or international treaty.
1411.030 Examination of Return, Adiustments, Notices and Demands.
The City shall, after a return is filed, examine the return and make any
examination of the records and accounts of the Operator making the return deemed necessary for
determining its correctness. The tax computed on the basis of the examination is the tax to be
paid. If the tax due is found to be greater than that paid, the excess must be paid to the City
within ten (10) days after receipt of a notice thereof given either personally or sent by registered
mail to the address shown on the return. If the tax paid is greater than the tax found to be due,
the excess must be refunded by the City to the Operator who paid the tax within ten (10) days
after determination of the refund.
1411.040 Failure to File a Return.
Subd. 1. If any Operator required by this Ordinance to file a return fails to do so
within the time prescribed, or makes willfully or otherwise an incorrect, false or fraudulent
return, upon written notice and demand, the Operator must file a return or a corrected return
within ten (10) days of receipt of written notice and must at the same time pay any tax due
together with any administrative and staff expenses incurred by the City in the processing and
collection of the late payment. If a person fails to file a return or corrected return, the City may
make a return or corrected return for the person based upon the knowledge and information and
assess a tax on the basis thereof, which tax (less any payments theretofore made on account of
the tax for the taxable period covered by the return) must be paid due together with any
administrative and staff expenses incurred by the City within ten (10) days of the receipt of
written notice and demand for payment. The amounts due shall become a lien on the property of
the Operator from where the lodging event(s) took place Any return or assessment made by the
City is prima facie correct and valid, and the burden of proving to the contrary rests with any
person in any action or proceeding in respect thereto.
Subd. 2. Upon a showing of good cause, the City may grant an Operator one
thirty (30) day extension of time within which to file a return and make payment of taxes as
required by this Ordinance, provided that interest during the period of extension must be added
to the taxes due at the rate of eight (8) percent per annum.
1411.040 Penalties.
Subd. 1. If any tax imposed by this Ordinance is not paid within the time required
for payment, or an extension, there shall be added a penalty equal to ten (10) percent of the
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amount remaining unpaid plus administrative and City staff time in pursuing and obtaining the
collection of the tax.
Subd. 2. If any person willfully fails to file any return or make any payment
required by this Ordinance, or willfully files a false or fraudulent return or willfully attempts in
any manner to evade or defeat the tax or payment thereof, there shall also be imposed a penalty
an amount equal to fifty (50) percent of any tax (less any amounts paid on the basis of the false
or fraudulent return due together with any administrative and staff expenses incurred by the City)
found due for the period to which the return related. The penalty imposed by this section shall
be collected as part of the tax and are in addition to any other penalties provided by this
Ordinance. All such amounts shall be liens against the property of the operator and may be
collected by the city in the manner prescribed by Minnesota Statute 514.67.
Subd. 3. All payments received will be credited first to penalties, next to interest
and then to the tax due.
Subd. 4. The amount of tax not timely paid, together with any penalty provided
by this Section, will bear interest at the rate of eight (8) percent per annum from the time the tax
should have been paid until payment is made. Any interest and penalty will be added to the tax.
Subd. 5. In the event that any tax remains unpaid for 30 days after it is due, in
addition to the right to institute legal action to collect the amounts due, the City may certify the
tax, together with any penalty, interest and costs, to the County Auditor for collection with the
real estate taxes.
1411.060 Examination of Business Records.
Persons acting on behalf of the City and authorized in writing by the City may
periodically examine the books, papers and records of any Operator in order to verify the
accuracy of any return made or, if no return was made, to ascertain the tax as provided in this
Ordinance. Every such Operator shall give to the City the means, facilities and opportunity for
examinations and investigations as are hereby authorized.
1411.070 Disnosition of Proceeds.
95% of the proceeds must be used to fund a local convention and tourist bureau
for the purpose of marketing and promoting the City as a convention and tourist center and for
that purpose, the City is authorized to enter into an agreement with the Greater Stillwater Area
Convention and Visitor's Bureau.
1411.080 Violations.
Any person who willfully fails to make a return by this Ordinance or who fails to
pay the tax after written demand for payment, or who fails to remit the taxes collected or any
penalty or interest imposed by this Ordinance after written demand for payment, or who refuses
to permit the City's authorized agents to examine the books, records and papers under their
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control, or who willfully makes any incomplete, false or fraudulent return is guilty of a
misdemeanor.
1411.090 Appeal
Subd. 1. Any Operator aggrieved by any notice, order or determination made by
the City under this Ordinance, except for the criminal penalties, must file a petition for review of
such notice, order or determination with the City. The petition shall contain the name of
petitioner, petitioner's address and the location of the lodging subject to the notice, order or
determination. The appeal will be first heard by the City Administrator. Review of the decision
of the City Administrator may be requested of the City Council by the aggrieved party filing a
written notice of review with the City Clerk within ten (10) days after the Administrator's
determination is made to the appellant.
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