75-73    ELECTRIC CONSUMERS TAX

A. Definitions


Consumer
means every person who, individually or through agents, employees, officers, representative or permitees, makes a taxable purchase of electricity in this jurisdiction.


Kilowatt hours (kWh) delivered means 1000 watts of electricity delivered in a one-hour period by an electric provider to an actual consumer, except that in the case of eligible customer-generators (sometimes called co generators) as defined in Virginia Code Section 56-594, it means kWh supplied from the electric grid to such customer-generators, minus the kWh generated and fed back to the electric grid by such customer-generators.

 

Person means any individual, corporation, company or other entity.

 

Residential consumer means the owner or tenant of property used primarily for residential purposes, including but not limited to, apartment houses and other multiple-family dwellings.


Service provider
means the person who delivers electricity to a consumer.


Used primarily
relates to the larger portion of the use for which electric utility service is furnished.


B.  Electric Utility Consumers Tax

1. In accordance with Virginia Code Section 58.1-3814, effective January 1, 2001, there is hereby imposed and levied a monthly tax on each purchase of electricity delivered to consumers by a service provider, classified as determined by such provider, as follows:

 

a. Residential consumers: such tax shall be $0.00 plus the rate of $0.003 on each kWh delivered to residential consumers by a service provider, not to exceed $3.00 monthly.

 

b. Non-residential consumers: such tax on non- residential consumers shall be at the rates per month for the classes of non-residential consumers as set forth below:

 

  i. Commercial consumers –  such tax shall be $0.00 plus the rate of $0.00 on each

     kWh delivered monthly to commercial consumers not to exceed $3.00 monthly.

 

ii. Industrial consumers –  such tax shall be $0.00 plus the rate of $0.00 on each kWh

    delivered monthly to industrial consumers, not to exceed $3.00 monthly.

 

c. The conversion of tax pursuant to this ordinance to monthly kWh delivered shall not be effective before the first meter reading after December 31, 2000, prior to which time the tax previously imposed by this jurisdiction shall be in effect.

 

2 .Exemptions:  The following consumers of electricity are exempt from the tax imposed by this ordinance.

 

a. Any public safety agency as defined in   Virginia Code Section 58.1-3813.

 

b. The United States of America, the Commonwealth and the political subdivisions thereof, including this jurisdiction.

 

3. Billing, collection, and remittance of tax. The service provider shall bill the electricity consumer tax to all users who are subject to the tax and to whom it delivers electricity and shall remit the same to this jurisdiction on a monthly basis. Such taxes shall be paid by the service provider to this jurisdiction in accordance with Virginia Code Section 58.1-3814, paragraphs F. and G., and Virginia Code Section 58.1-2901.  If any consumer receives and pays for electricity but refuses to pay the tax imposed by this section, the service provider shall notify this jurisdiction of the name and address of such consumer.  If any consumer fails to pay a bill issued by a service provider, including the tax imposed by this section, the service provider must follow its normal collection procedures and upon collection of the bill or any part thereof must apportion the net amount collected between the charge for electric service and the tax and remit the tax portion to this jurisdiction.

 

Any tax paid by the consumer to the service provider shall be deemed to be held in trust by such provider until remitted to this jurisdiction.

 

4. Computation of bills not on monthly basis.  Bills shall be considered as monthly bills for the purposes of this ordinance if submitted 12 times per year of approximately one month each.  Accordingly, the tax for a bi-monthly bill (approximately 60 days) shall be determined as follows:  (i) the kWh will be divided by 2; (ii) a monthly tax will be calculated using the rates set forth above; (iii) the tax determined by (ii) shall be multiplied by 2; (iv) the tax in (iii) may not exceed twice the monthly ”maximum tax”.