CITY OF SEATTLE

ORDINANCE __________________

COUNCIL BILL __________________

AN ORDINANCE relating to the annual budget of the Office of Arts and Culture; amending Section 5.40.120 of the Seattle Municipal Code.

WHEREAS, in November 2002, Ordinance 121006 reorganized the Seattle Arts Commission (SAC) into a new Executive department, the Office of Arts and Cultural Affairs (now called the Office of Arts & Culture (ARTS)); recreated SAC as an advisory body; set forth duties of ARTS and SAC, and the budget role of SAC; and affirmed ARTS use of 20 percent of the City’s Admission Tax revenues; and

WHEREAS, in November 2009, Ordinance 123155 increased the portion of the Admission Tax revenue directed to ARTS from 20 percent to 75 percent, and established these revenues, rather than General Fund resources, as the key source for ARTS funding; and

WHEREAS, Ordinance 123155 clarified that the City Council’s dedication of a portion of the City’s Admission Tax revenues to arts and culture was intended to provide a “relatively stable, reliable and dedicated revenue stream to fund [ARTS] core programs”; and

WHEREAS, Ordinance 123460 clarified the list of funding priorities, required that ARTS develop fiscal policies related to the use of Arts Account funds, and supported short-term use of funds for Department of Parks and Recreation uses until the end of 2012; and

WHEREAS, the Mayor’s proposed budget for 2016 increases the portion of the Admission Tax revenue directed to ARTS from 75 percent to 80 percent, which affects Section 5.40.120 of the Seattle Municipal Code;

NOW, THEREFORE,

BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:

Section 1. Subsection 5.40.120.A of the Seattle Municipal Code, which section was last amended by Ordinance 124539, is amended as follows:

5.40.120 Receipts to General Subfund and Arts Account

A. Receipts shall be allocated as follows:

1. Beginning January 1, 2016, (())all receipts from the admission tax levied in this Chapter 5.40 shall be placed in the General Subfund of the General Fund, except that (( 75 )) 80 percent of all admission tax receipts shall be deposited into the Arts Account of the General Subfund of the General Fund.

2. Beginning January 1, 2017, all receipts from the admission tax levied in this Chapter 5.40 shall be placed in the General Subfund of the General Fund, except that 90 percent of all admission tax receipts shall be deposited into the Arts Account of the General Subfund of the General Fund.

3. Beginning January 1, 2018, all receipts from the admission tax levied in this Chapter 5.40 shall be deposited into the Arts Account of the General Subfund of the General Fund.

* * *

Section 2. If the Mayor determines in any given year’s proposed annual budget that the City’s financial condition and revenue growth is not sufficient to offset the resulting loss of General Subfund resources, then the Mayor shall transmit for the Council’s consideration budget legislation proposing to amend Seattle Municipal Code section 5.40.120 to change the allocation of admission tax receipts to be deposited into the Art Account of the General Subfund of the General Fund.

Section 3. This ordinance shall take effect and be in force 30 days after its approval by the Mayor, but if not approved and returned by the Mayor within ten days after presentation, it shall take effect as provided by Seattle Municipal Code Section 1.04.020.

Passed by the City Council the ____ day of ________________________, 2015, and

signed by me in open session in authentication of its passage this

_____ day of ___________________, 2015.

    _________________________________

    President __________of the City Council

  Approved by me this ____ day of _____________________, 2015.

_________________________________

    Edward B. Murray, Mayor

  Filed by me this ____ day of __________________________, 2015.

____________________________________

    Monica Martinez Simmons, City Clerk

(Seal)