Ordinance No. __________, Series 2014
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AN ORDINANCE AMENDING LOUISVILLE METRO CODE OF ORDINANCES (LMCO) CHAPTER 122 RELATING TO INCREASING THE INSURANCE LICENSE FEES FROM 5% TO 6%.
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Sponsored By: Council Members Ward-Pugh, Woolridge, Scott, and Owen
WHEREAS, the number and percentage of persons experiencing homelessness is at a record high in Louisville Metro; and
WHEREAS, the number of vacant and abandoned property has increased significantly in past years, causing blight, property devaluation and public health concerns in Louisville Metro; and
WHEREAS, number of person needing affordable housing Metro Louisville has increased significantly in past years, necessitating increased availability for such housing; and
WHEREAS, economic incentives are necessary in order to attract and retain businesses, that will generate jobs and sustainable employment and create viable economic opportunities that will improve the overall quality of life in the Louisville Metro community; and
WHEREAS, Louisville Metro is in acute need of road and sidewalk repair to improve the transportation and accessibility needs of numerous persons who utilize those resources in performing everyday tasks; and
WHEREAS, there has been a serious reduction in state and Federal funding to local governments to help address these needs, requiring a revenue increase which can be partially met with an increase in the tax on fees for insurance premiums; therefore .
BE IT ORDAINED BY THE LEGISLATIVE COUNCIL OF THE LOUISVILLE/JEFFERSON COUNTY METRO GOVERNMENT (THE COUNCIL) AS FOLLOWS:
SECTION I: LMCO Chapter 38 is hereby amended to read as follows:
Pursuant to KRS 67C.147(3) and 91A.080, there is hereby reenacted a license fee on each health insurance company for the privilege of engaging in the business of insurance within the Urban Service Tax District for the calendar year 2003, and thereafter on a calendar year basis. The license fee imposed shall be 5% 6% of the premiums actually collected within each calendar quarter by reasons of the issuance of such health insurance policies on risks located within the District, less all premiums returned to policy holders. The provisions of this section shall not include premiums received for insuring employers against liability for personal injuries to their employees, or the death of their employees, caused thereby, under the provisions of the Worker's Compensation Act. No license fee imposed under this section shall apply to premiums received on policies of group health insurance provided for state employees under KRS 18A.225; premiums received on health insurance policies issued to individuals; policies issued through Kentucky Access created in KRS 304.17B-005; or premiums received on high deductible health plans as defined in 26 U.S.C. 223 (C)(2).
SECTION II: LMCO Chapter 122 is hereby amended to read as follows:
122.02 FEE FOR COMPANIES ISSUING LIFE INSURANCE POLICIES
The license fee imposed upon each insurance company which issues life insurance policies upon the lives of persons residing within Louisville Metro shall be based upon 5% 6%of the first year's premium and applied to the amount of such premiums actually collected within each calendar quarter by reason of the issuance of such policies.
122.03 FEE FOR COMPANIES ISSUING POLICIES OTHER THAN LIFE INSURANCE
(A) The license fee imposed upon each insurance company which issues any insurance policy which is not a life or health insurance policy shall be 5% 6% of the premiums actually collected within each calendar quarter by reason of the issuance of such policies on risks located within Louisville Metro on those classes of business which such company is authorized to transact, less all premiums returned to policyholders. The provisions of this section shall not include premiums received for insuring employers against liability for personal injuries to their employees, or the death of their employees, caused thereby, under the provisions of the Workers' Compensation Act or premiums from policies of health insurance.
SECTION III: This Ordinance shall take effect upon its passage and approval.
_______________________________ H. Stephen Ott Metro Council Clerk |
_____________________________ Jim King President of the Council |
_______________________________ Greg Fischer Mayor |
_____________________________ Approval Date |
APPROVED AS TO FORM AND LEGALITY:
Michael J. O'Connell
Jefferson County Attorney
BY: ____________________________
OrdinanceAmendingLicenseFeesforInsurancePolicies KBB 2013.doc 02072013
Ordinance Amending License Fees for Insurance Policies 2013 Draft 3.docx 021113