§ 70.17. MOTOR VEHICLE LICENSE EXCISE SURTAX AND WHEEL TAX.

(A) Motor vehicle license excise surtax.

(1) Creation of Fund. There is hereby created a Municipal License Excise Surtax Fund which shall be a non-reverting fund. Revenues received from the Department of Motor Vehicles from taxes imposed under this section shall be deposited into the Fund.

(2) Tax rates. Effective January 1, 2017, and in accordance with I.C. 6-3.5-10-2(c), the surtax shall be imposed at the following rates:

(a) Passenger rates: $25 per year;

(b) Motorcycles: $12.50 per year;

(c) Trucks with a declared gross weight that does not exceed 11,000 pounds: $25 per year; and

(e) Motor driven cycles: $12.50 per year.

(3) Vehicle definitions. The definitions set forth in the Excise Tax Act, I.C. 6-3.5-10 et seq. and the Wheel Tax Act, I.C. 6-3.5-11 et seq. shall apply to this section.

(4) Uses of Fund. Funds in the Municipal License Excise Surtax Fund may be used for one or more of the following purposes:

(a) To construct, reconstruct, repair, or maintain streets and roads under the city's jurisdiction;

(b) For the city's contribution to obtain a grant from the local Road and Bridge Matching Grant Fund pursuant to I.C. 8-23-30.

(5) Transportation Asset Management Plan. The Mayor shall prepare a Transportation Asset Management Plan, approved by the Indiana Department of Transportation, as required by I.C. 6-3.5-10-2(e) and I.C. 6-3.5-11-2(c) and submit a copy of such plan to the Common Council on or before August 1 of each year.

(6) Accounting of Fund. On or before August 1 of each year, the Clerk-Treasurer shall provide the Common Council an estimate of the surtax revenues to be received by the city under this division (A) during the next calendar year. The city shall include the estimated surtax revenues and the city's budget estimate for the calendar year.

(B) Wheel tax.

(1) Creation of Fund. There is hereby created a Municipal Wheel Tax Fund which shall be a non-reverting fund. Revenues received from the Department of Motor Vehicles from taxes imposed under this section shall be deposited into the Fund.

(2) Tax rates.

(a) Effective January 1, 2017, and in accordance with I.C. 6-3.5-11-2(d), the wheel tax shall be imposed on the following non-exempt vehicles at the following rates:

1. Buses: $40 per year;

2. Recreational vehicles: $12.50 per year;

3. Semi trailers: $40 per year;

4. Tractors: $40 per year;

5. Trailers: $12.50 per year; and

6. Trucks: $40 per year

(b) In accordance with I.C. 6-3.5-11-4, a vehicle is exempt from the wheel tax if the vehicle is:

1. Owned by the state;

2. Owned by a state agency of the state;

3. Owned by a political subdivision of the state;

4. Subject to the annual license excise surtax imposed under I.C. 6-3.5-10; or

5. A bus owned and operate by a religious or nonprofit youth organization and used to transport persons to religious services or for the benefit of its members.

(3) Vehicle definitions. The definitions set forth in the Excise Tax Act, I.C. 6-3.5-10 et seq. and the Wheel Tax Act, I.C. 6-3.5-11 et seq. shall apply to this section.

(4) Uses of Fund. Funds in the Municipal Wheel Tax Fund may be used for one or more of the following purposes:

(a) To construct, reconstruct, repair or maintain streets and roads under the city's jurisdiction;

(b) As a contribution to an authority established under I.C. 36-7-23; and

(c) For the city's contribution to obtain a grant from the Local Road and Bridge Matching Grant Fund under I.C. 8-23-30.

(5) Transportation Asset Management Plan. The Mayor shall prepare a Transportation Asset Management Plan as required in division (A) above.

(6) Accounting of Fund. On or before August 1 of each year, the Clerk-Treasurer shall provide the Common Council an estimate of the wheel tax revenues to be received by the city under this section during the next calendar year. The city shall include the estimated wheel tax revenues in the city's budget estimate for the calendar year.

(C) County road funding. As such time as Porter County provides the City of Valparaiso with a three-year road funding commitment substantially equivalent to the revenue raised under the Excise Tax Act, I.C. 6-3.5-10 et seq. and the Wheel Tax Act, I.C. 6-3.5-11 et seq., then the Common Council shall take action to repeal this section at their next regular meeting after receiving such commitment.

(D) Repeal and modification.

(1) The Common Council shall vote within 45 days after one or more of the following events to maintain or repeal this section:

(a) At such time, Porter County adopts a county-wide wheel tax and a county-wide excise tax; or

(b) At such time the State of Indiana significantly reduces or eliminates funding available from the Local Road and Bridge Matching Grant Fund.

(2) Otherwise, this section may be repealed and the rate set forth herein may be amended only in accordance with the Excise Tax Act, I.C. 6-3.5-10 et seq. and the Wheel Tax Act, I.C. 6-3.5-11 et seq.

(E) Publication. The Clerk-Treasurer is hereby directed to file a copy of Ordinance 10-2016 with the Commissioner of the Bureau of Motor Vehicles and the Department of State Revenue as required by the Excise Tax Act, I.C. 6-3.5-10 et seq. and the Wheel Tax Act, I.C. 6-3.5-11 et seq.

(Ord. 10-2016, passed 6-13-16)