Record No: CB 119928    Version: 1 Council Bill No: CB 119928
Type: Ordinance (Ord) Status: Passed
Current Controlling Legislative Body City Clerk
On agenda: 11/23/2020
Ordinance No: Ord 126228
Title: AN ORDINANCE relating to Admission Tax revenue; amending Section 5.40.120 of the Seattle Municipal Code.
Sponsors: Teresa Mosqueda
Supporting documents: 1. Summary and Fiscal Note, 2. Signed Ordinance 126228, 3. Affidavit of Publication


ORDINANCE __________________

COUNCIL BILL __________________


AN ORDINANCE relating to Admission Tax revenue; amending Section 5.40.120 of the Seattle Municipal Code.


WHEREAS, 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, 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 125496 allocated all Admission Tax revenue to ARTS; and

WHEREAS, Ordinance 125672 added payment of the City’s rent adjustment obligation to Seattle Arena Company, LLC to the purposes for which Admission Tax revenue would be appropriated; and

WHEREAS, Ordinance 125695 clarified that payment of the City’s contractual obligations is not the only purpose for which Admission Tax revenue would be appropriated; and

WHEREAS, for simplicity of administration, depositing Admission Tax receipts where the great majority of the revenues will be spent, namely the Arts and Culture Fund, would be best;



Section 1. Section 5.40.120 of the Seattle Municipal Code, last amended by Ordinance 125695, is amended as follows:

5.40.120 Receipts to ((General)) Arts and Culture Fund

A. Beginning January 1, ((2018)) 2022, all receipts from the admission tax levied in this Chapter 5.40 shall be deposited into the ((General)) Arts and Culture Fund.

B. Admission tax revenue in the ((General)) Arts and Culture Fund shall be annually appropriated:

1. To the Office of Arts and Culture to support the following purposes:

a. Arts-related programs and one-time capital expenditures that keep artists living, working, and creatively challenged in Seattle;

b. Initiatives and programs to build community through the arts and create opportunities for the public to intersect with artists and their work;

c. Initiatives and programs that provide art opportunities for youth in and out of school; and

2. For payment of the City's rent adjustment obligations to Seattle Arena Company, LLC or its permitted successors and assigns under the Lease Agreement (Arena at Seattle Center) between The City of Seattle and Seattle Arena Company, LLC, Attachment 1 to Ordinance 125669 (as may be amended or modified in accordance with its terms) (the "Arena Lease"), and only to the extent that such annual appropriation does not exceed the total admission tax revenues generated through operations of the arena at the Seattle Center for that calendar year, minus the amount of the Rent Adjustment Threshold for Admission Tax revenues identified in Article III, Section 6 of the Arena Lease.

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Section 2.  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 _________________________, 2020, and signed by me in open session in authentication of its passage this _____ day of _________________________, 2020.


President ____________ of the City Council

Approved by me this ________ day of _________________________, 2020.


Jenny A. Durkan, Mayor

Filed by me this ________ day of _________________________, 2020.


Monica Martinez Simmons, City Clerk