[Adopted 6-26-2006 by Ord. No. 06-93; amended in its entirety 4-23-2018]
A.
CVB
EXHIBITION CENTER BONDS
FISCAL AGENCY AGREEMENT
FISCAL AGENT
FOX CITIES TOURISM ZONE
OPERATORS
PLEDGE AGREEMENT
QUARTERLY PAYMENT DATE
ROOM TAX
ROOM TAX ACT
ROOM TAX COMMISSION
ROOM TAX COMMISSION AGREEMENT
TOURISM FACILITIES BONDS
Definitions.
In addition to the terms defined in this section, the terms used in
this article shall have the definitions, if any, set forth in the
Room Tax Act (as defined below).
The Fox Cities Convention & Visitors Bureau, Inc., a
Wisconsin nonstock corporation, and its successors.
The Redevelopment Authority of the City of Appleton, Wisconsin
Taxable Lease Revenue Bonds, Series 2018 (Fox Cities Exhibition Center
Project), issued to finance or refinance the construction and related
costs of the Fox Cities Exhibition Center, and any additional bonds
issued to refinance said bonds.
An agreement entered into by and among the municipalities,
the Room Tax Commission, and the fiscal agent that sets forth the
duties of the fiscal agent with respect to the room taxes as described
in this article.
A financial institution acting in the capacity as an agent
on behalf of the Village for the receipt and allocation of the room
taxes in accordance with this article.
That geographic area encompassing the City of Appleton, Wisconsin;
the City of Kaukauna, Wisconsin; the City of Neenah, Wisconsin; the
Village of Kimberly, Wisconsin; the Village of Little Chute, Wisconsin;
the Town of Grand Chute, Wisconsin; the Town of Neenah, Wisconsin;
the Village of Fox Crossing, Wisconsin; the City of Menasha, Wisconsin,
the Village of Sherwood, Wisconsin, and that may in the future include
any municipality that hereafter becomes a party to the Room Tax Commission
Agreement.
Hotelkeepers, motel operators, lodging marketplaces, owners
of short-term rentals, and other persons furnishing accommodations
that are available to the public, which are located in the Village
and are obligated to pay room taxes under this article.
Any pledge agreement entered into by the municipalities and
the Room Tax Commission, pursuant to which a portion of the room tax
is pledged to pay a particular project or purpose in furtherance of
the purposes of the room tax set forth in this article, which includes
the Exhibition Center bonds and any tourism facilities bonds.
Each January 31, April 30, July 31, and October 31, each
of which is the last day of the month next succeeding the end of a
calendar quarter.
A tax on the privilege of furnishing, at retail, except sales
for resale, rooms or lodging to transients by the operators, pursuant
to the Room Tax Act.
Section 66.0615 of the Wisconsin Statutes, as amended from
time to time.
The Fox Cities Room Tax Commission created by the municipalities
within the Fox Cities Tourism Zone pursuant to the Room Tax Commission
Agreement in order to coordinate tourism promotion and tourism development
within the Fox Cities Tourism Zone.
The amended and restated Room Tax Commission agreement, dated
as of November 24, 2015 entered into by and among the municipalities
and the Room Tax Commission, as amended from time to time.
Any one or more series of bonds issued to finance or refinance
the construction and related costs of projects undertaken by or on
behalf of the municipalities in furtherance of the tourism facilities
room tax, and any additional bonds issued to refinance said bonds.
B.
Imposition
of room tax.
(1)
Pursuant to the Room Tax Act, there is hereby imposed a 10% room
tax on the privilege of furnishing, at retail, except sales for resale,
rooms or lodging to transients, by the operators. Operators shall
remit all room taxes to the Village's Clerk-Treasurer or to a
fiscal agent on behalf of the Village pursuant to a Fiscal Agency
Agreement in accordance with the requirements of this article and
the Room Tax Act. Such 10% room tax shall be allocated as follows:
(a)
A 2.85% room tax shall be imposed and allocated toward the support
of the CVB, to be used for the promotion of the Fox Cities Tourism
Zone as a tourism destination (the "CVB room tax").
(b)
A 3% room tax shall be imposed (subject to sunset as provided in Subsection C hereof) and allocated toward payment of debt service on the Exhibition Center bonds in accordance with a pledge agreement (the "Exhibition Center room tax").
(c)
A 3% room tax shall be imposed and allocated toward the support of
amateur sports facilities within the Fox Cities Tourism Zone and/or
other facilities which are reasonably likely to generate paid overnight
stays at more than one hotel, motel, or other lodging establishment
within the Fox Cities Tourism Zone (the "tourism facilities room tax").
(d)
A 1.15% room tax shall be imposed and retained by the Village to
be used for general tourism support and development in the Fox Cities
Tourism Zone in accordance with the requirements of the Room Tax Act
(the "municipal room tax").
(2)
The Village or its fiscal agent shall forward the room taxes it has
received, to be used as described above, to the following parties:
the CVB room tax to the CVB, the Exhibition Center room tax as required
under the related pledge agreement, the municipal room tax to the
Village, and the tourism facilities room tax to the Room Tax Commission
or its designees on its behalf (including the CVB), or as otherwise
required under a pledge agreement.
C.
Expiration
of Exhibition Center room tax. The Exhibition Center room tax shall
sunset and expire upon payment in full of all outstanding Exhibition
Center bonds and any related outstanding fees or expenses therefor,
at which time the room tax shall be reduced by 3% with such reduction
being deemed to be the share of the room tax allocated to the Exhibition
Center room tax. Notwithstanding the foregoing, operators may not
discontinue collection of the Exhibition Center room tax until the
Village provides notice that the Exhibition Center room tax has been
terminated by operation of this article. After all outstanding Exhibition
Center bonds are paid in full, any excess Exhibition Center room tax
revenues collected that are not needed to pay the Exhibition Center
bonds or any related outstanding fees or expenses shall be forwarded
to the CVB and reallocated to the purposes of the tourism facilities
room tax.
D.
Priority
of payment. In the event any operator fails to remit the entire room
tax amounts due on any quarterly payment date under this article,
the Village directs that the amounts actually received by the Village
(or its fiscal agent) shall be applied in the following priority order:
E.
Tourism
entity. The CVB shall act as the "tourism entity," as that term is
defined in the Room Tax Act, for purposes of providing staff, support
services and assistance to the Room Tax Commission in developing and
implementing programs to promote the Fox Cities Tourism Zone to visitors,
as more fully set forth in an agreement between the Room Tax Commission
and the CVB. The CVB may also hold and administer the tourism facilities
room tax on behalf of the Room Tax Commission in furtherance of the
purpose of the tourism facilities room tax, except when a related
pledge agreement is in effect.
F.
Collection
and administration of room tax; operator reports. This article shall
be administered by the Village's Clerk. The room tax imposed
by this article shall be payable on each quarterly payment date to
the Village (or to a fiscal agent on behalf of the Village pursuant
to a fiscal agency agreement). A report shall be filed by each operator
with the Village's Clerk-Treasurer (or with a fiscal agent) on
or before each quarterly payment date. Such report shall show the
gross room receipts of the preceding calendar quarter from such retail
furnishing of rooms or lodging, the amount of room tax imposed for
such period, and such other information as the Village deems necessary.
Every operator required to file such quarterly report shall, with
its first report, elect to file an annual report based on either the
calendar year or its fiscal year. Such annual report shall be filed
within 90 days after the close of each such calendar or fiscal year.
The annual report shall summarize the quarterly reports, shall reconcile
and adjust for errors in the quarterly reports, and shall contain
certain such additional information as the Village requires. Such
annual reports shall be signed by a representative of the operator
or its duly authorized agent, but need not be verified by oath. The
Village may, for good cause, extend the due date for filing any report,
but in no event shall such extension be longer than one month after
the due date.
G.
Operator
permit required. Every operator is required under this article to
file with the Village's Clerk an application for a permit for
each place of business that is required to pay room tax hereunder.
Every application for a permit shall be submitted to the Village's
Clerk using a form prescribed by the Village and shall set forth the
name under which the operator transacts or intends to transact business,
the location of its place of business, and such other information
as the Village requires. The application shall be signed by the owner
of the operator if a sole proprietor and, if not a sole proprietor,
by an authorized representative of such operator. Together with the
permit application, each operator shall pay the Village an initial
fee of $20 for each permit. A permit issued hereunder is nontransferable.
H.
Penalty for violations. In addition to the schedule of forfeiture described in Subsection J hereof, any operator in violation of the terms of this article by failing to obtain a permit shall be subject to a penalty not to exceed $200 for each violation. Each room or unit separately rented or offered for rent, and each day of such rental or offer for rental of such unit shall be a separate violation. In addition, injunctive relief is hereby authorized to discontinue any violation of this article. Any operator deemed to have violated any of the provisions of this article shall be obligated to pay the costs of prosecution, in addition to actual attorney fees expended in the course of said enforcement. The Village may revoke or suspend any permit issued hereunder for failure to comply with the provisions hereof.
I.
Liability
for room tax on sale or transfer of business. If any operator sells
or transfers all or substantially all of its interest in its hotel,
motel or other lodging accommodation, its successors or assigns shall
withhold sufficient amounts from the purchase price to pay any amount
of room tax liability due through the sale or transfer date until
the operator produces a receipt from the Village's Treasurer
that its liability has been paid in full or a certificate stating
that no room tax amount is due. If a successor operator fails to withhold
such amount from the purchase price as required, such successor operator
shall become liable for payment of the room tax amount it is required
to withhold.
J.
Schedule
of forfeiture. In addition to paying the room taxes due hereunder,
any operator that has failed to pay any room tax when due shall be
required to pay a forfeiture in an amount equal to 25% of the room
tax due from the operator to the Village for the previous year and
unpaid, or $5,000, whichever is less, for failure to pay the room
tax due hereunder.
K.
Confidentiality
of information. To the extent permitted under the law, the information
provided to the Village under § 66.0615(2) of the Wisconsin
Statutes shall remain confidential; provided, however, that the Village
or any employee thereof may use such information in the discharge
of duties imposed by law or of the duties of their office or by order
of a court. Persons violating the provisions of this subsection may
be required to forfeit not less than $100 nor more than $500.
L.
Enforcement.
The Village shall enforce this article in accordance with the Room
Tax Act.
