§ 8-2.1137. Amendment or Repeal.

This article of the Modesto Municipal Code may be repealed or amended by the City Council without a vote of the people. However, as required by Chapter XIIIC of the California Constitution and Government Code section 53750(h), voter approval is required for any amendment provision that would increase the rate of any tax levied pursuant to this article beyond the maximum amount of ten (10) percent of a cannabis business's gross receipts or revise the methodology by which the tax is calculated, if the revision would result in an increased tax being levied on any cannabis business. The people of the City of Modesto affirm that the following actions shall not constitute an increase of the rate of a tax:

(A)

The restoration of the rate of the tax to a rate that is no higher than the maximum ten (10) percent tax rate set by this article, if the City Council has previously acted to reduce the rate of the tax;

(B)

The City Council's adoption of a resolution, as authorized by Section 8-2.1108(A), to raise the tax rate provided the tax rate is not raised to a rate higher than ten (10) percent of a cannabis business's gross receipts;

(C)

An action that interprets or clarifies the methodology of calculating the tax, or any definition applicable to the tax, so long as interpretation or clarification (even if contrary to some prior interpretation or clarification) is not inconsistent with the language of this article;

(D)

The establishment of a class of persons that are exempt or excepted from the tax or the discontinuation of any such exemption or exception (other than the discontinuation of an exemption or exception specifically set forth in this article); or

(E)

The collection of the tax imposed by this article, even if the City had, for some period of time, failed to collect the tax.

(Ord. No. 3672-C.S., § 2, effective 11-28-17)