040 of 2013 - Enacting Section 3.16.040 to provide for late payment penalties and interest on indebtedness to the 0 13-1
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SALT LAKE CITY ORDINANCE
No. 40 of 2013
(An ordinance providing for late payment penalties and interest on past due indebtedness.)
AN ORDINANCE ENACTING SECTION 3.16.040 OF THE SALT LAKE CITY
CODE TO PROVIDE FOR LATE PAYMENT PENALTIES AND INTEREST ON
INDEBTEDNESS TO THE CITY THAT IS MORE THAN 30 DAYS PAST DUE.
WHEREAS, circumstances often arise in which individuals or entities owing monies to
the city fail to pay such monies in a timely manner; and
WHEREAS. the failure of an individual or entity to pay monies owed to the city in a
timely manner places an undue strain on the city's financial resources and prevents the City from
timely deploying such monies toward other purposes that would be beneficial to the city and city
residents; and
WHEREAS, the City is often required to expend a considerable amount time and
resources in an attempt to collect past due monies owed to the city; and
WHEREAS, the imposition of late payment penalties and interest provides an incentive
for making timely payments; and
WHEREAS, the City Council finds that the imposition of appropriate late fees and
penalties will further the general welfare of the citizens of Salt Lake City.
NOW, THEREFORE, be it ordained by the City Council of Salt Lake City, Utah:
SECTION 1. Section 3.16.040 of the Salt Lake City Code shall be, and hereby is,
enacted to read as follows:
3.16.040: LATE PENALTY AND INTEREST:
A. If payment for any indebtedness owed to the city that goes into the city's general fund is not
received within thirty (30) days of the date such payment is due, then a penalty for late payment
shall be imposed that is equal to ten percent(10%) of the amount due. In addition, for each
subsequent calendar month in which a payment is late, compound interest equal to two percent
(2%) per month shall accrue on the total amount owed to the city.
B. The late penalty and interest provisions set forth in Salt Lake City Code Subsection
3.16.040(A) shall not apply in any instance where such penalty and interest provisions:
1. conflict with federal, state or local law; or
2. conflict with a binding contract between the city and the entity or
individual required to make payments to the city.
SECTION 2. This ordinance shall become effective thirty (30) days after the date of publication.
Passed by the City Council of Salt Lake City, Utah this 18 day of June 2013.
4\,\J
CHAIRPER
ATTEST:
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CITY RECORDER
Transmitted to Mayor on June 18, 2013 .
Mayor's Action: )C Approved. Vetoed.
MAY R
ITY RECORDER
(SEAL)
14
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AIJPROVED AS TO FORM
Bill No. 40 of 2013. �' .
r .:; Date: /I//13 A
Published: 6-26-13
By:
HB_ATTY-#30486-v3-Late_Pees_]mposed.DOC