House Bill 1684

AN ACT TO AUTHORIZE THE GOVERNING AUTHORITIES OF THE CITY OF VICKSBURG, MISSISSIPPI, TO LEVY A FIVE-TENTHS PERCENT SALES TAX UPON THE GROSS PROCEEDS OF ALL RETAIL SALES AND SERVICES; TO PROVIDE REVENUES NOT TO EXCEED TWENTY MILLION DOLLARS FROM THE TAX TO BE EXPENDED BY THE CITY TO PROVIDE FOR A SPORTS COMPLEX AND RECREATIONAL FACILITIES AND OTHER RELATED AMENITIES; TO PROVIDE FOR A DIRECT REFERENDUM ON WHETHER THE TAX MAY BE LEVIED; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. As used in this act, the following terms shall have the following meanings unless a different meaning is clearly indicated by the context in which they are used:
(a) "Bonds" shall include notes, bonds and other obligations authorized to be issued under this act.

          (b) "City" means the City of Vicksburg, Mississippi.
          (c) "Governing authorities" means the governing authorities of the City of Vicksburg, Mississippi.
          (d) "Project" means a state-of-the-art sports complex and related facilities, and the land on which such facilities and improvements are located.

     SECTION 2. (1) It is hereby determined and declared to be in the best interest of the people of the city to promote tourism and improve recreation and economic development, promote family values and reduce juvenile crime by providing a place where everyone in a family could participate in sports, for a state-of-the-arts sports complex and recreation facility, including, but not limited to, the acquisition, improvement or construction of a publicly owned sports complex and/or recreational facility. The governing authorities are authorized, in their discretion, to levy and collect from the persons prescribed under this subsection (1) a special sales tax, which shall be in addition to all of the taxes and assessments imposed. The special sales tax of five-tenths percent (.5%) shall be imposed on all retail sales and services in Vicksburg which are subject to the general rate of state sales tax. This levy is in addition to all other taxes now imposed.
     (2) Persons, firms or corporations liable for the levy imposed under subsection (1) of this section shall add the amount of the levy to the sales price of the products set out in subsection (1) of this section and shall collect, insofar as is practicable, the amount of the tax due by them from the person receiving the services or products at the time of payment therefore.
     SECTION 3. The governing authorities are hereby authorized to issue general obligation bonds of the city in the aggregate principal amount not to exceed Twenty Million Dollars ($20,000,000.00) to raise money for the construction and acquisition of the project and payment of interest on bonds, establishment of reserves to secure such bonds and payment of expenses incident to the issuance of such bonds and to the implementation of the project. The bonds shall be general obligations of the city, but shall not be considered when computing any limitation of indebtedness of the city established by law.
     SECTION 4. Before any tax authorized under this act may be imposed, the governing authorities shall adopt a resolution declaring their intention to levy the tax, setting forth the amount of the tax to be imposed, the date upon which the tax shall become effective and calling for an election to be held on the question. The date of the election shall be fixed in the resolution. Notice of such intention and the election shall be published once each week for at least three (3) consecutive weeks in a newspaper published or having a general circulation in the City of Vicksburg, with the first publication of the notice to be made not less than twenty-one (21) days before the date fixed in the resolution for the election and the last publication to be made not more than seven (7) days before the election. At the election, all qualified electors of the City of Vicksburg may vote, and the ballots used in the election shall have printed thereon a brief statement of the amount and purposes of the proposed tax levy and the words "FOR THE .5% SALES TAX TO FUND THE PROMOTION OF TOURISM AND IMPROVEMENTS TO RECREATION AND ECONOMIC DEVELOPMENT FOR A STATE-OF-THE-ART SPORTS COMPLEX" and, on a separate line, "AGAINST THE .5% SALES TAX TO FUND THE PROMOTION OF TOURISM AND IMPROVEMENTS TO RECREATION AND ECONOMIC DEVELOPMENT FOR A STATE-OF-THE-ART SPORTS COMPLEX" and the voters shall vote by placing a cross (X) or check (ü) opposite their choice on the proposition. When the results of the election shall have been canvassed and certified, the city may levy the tax if sixty percent (60%) of the qualified electors who vote in the election vote in favor of the tax. At least thirty (30) days before the effective date of the tax provided in this section, the governing authorities shall furnish to the Department of Revenue a certified copy of the resolution evidencing the tax.

     SECTION 5. (1) On or before the fifteenth day of the month preceding the date on which the city will begin to levy the tax authorized under Section 2 of this act, the governing authorities shall give written notification to the Chairman of the Department of Revenue of the date on which the tax will become effective.
     (2) The five-tenths percent (.5%) tax must be collected by and paid to the Department of Revenue in the same manner that state sales taxes are computed, collected and paid, and the full enforcement provisions and all other provisions of Chapter 65, Title 27, Mississippi Code of 1972, will apply as necessary for the implementation of this act, including exemptions from the tax such as farm equipment and automobiles.
     (3) Except for any amount retained by the Department of Revenue under Section 27-3-58, Mississippi Code of 1972, the revenue from the special tax collected under this act must be paid to the city on or before the fifteenth day of the month following the month in which collected.
     (4) The proceeds of the tax may not be considered by the city as general fund revenues but must be placed into a special fund apart from the city general fund and any other funds and expended by the city strictly for the purposes prescribed under Section 2 of this act.
     (5) The tax shall be discontinued by the governing authorities on the first day of the month immediately succeeding the date any indebtedness, including interest, incurred by the municipality for the projects or purposes for which the governing authorities levied the tax is retired, or in the event the municipality incurs no indebtedness, the first day of the month after all obligations for such projects or purposes have been paid.
     (6) Accounting for receipts and expenditures of the funds described in this act shall be made separately from the accounting of receipts and expenditures of the general fund and any other funds of the City of Vicksburg. The records reflecting the receipts and expenditures of the funds prescribed in this act shall be audited annually by an independent certified public accountant, and the accountant shall make a written report of his audit to the governing authorities. The audit shall be made and completed as soon as practicable after the close of the fiscal year, and expenses of the audit shall be paid from the funds derived in accordance with this act.

SECTION 6. The governing authorities of the City of Vicksburg are directed to submit this act, immediately upon approval by the Governor, or upon approval by the Legislature subsequent to a veto, to the Attorney General of the United States or to the United States District Court for the District of Columbia in accordance with the provisions of the Voting Rights Act of 1965, as amended and extended.
SECTION 7. This act shall take effect and be in force from and after the date it is effectuated under Section 5 of the Voting Rights Act of 1965, as amended and extended.