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Fluvanna adopts amendments to food-and-beverage tax ordinance; board and public debate mobile food-unit rules
Summary
The board approved changes to the county code implementing a 4% food-and-beverage tax and clarified collection details and mobile food-unit registration; public commenters warned the new rules and permit paperwork could burden small mobile vendors.
The Fluvanna Board of Supervisors on June 18 approved a set of ordinance amendments to implement a 4% food-and-beverage tax that takes effect Aug. 1 and clarified related administration rules for sellers including mobile food units.
County attorney and staff presented changes requested by the treasurer and commissioner of revenue to clarify collection procedures, an administrative collection allowance and the treatment of mobile sellers. "Sellers can deduct 3% of the amount owed not to exceed a $100 total," staff said, explaining the deduction was intended to offset typical credit-card processing fees for sellers who remit by card. The board previously adopted a policy designating 50% of food-tax revenue for public-school construction.
The ordinance requires sellers to submit an application and monthly remittance to the treasurer; the commissioner of revenue will maintain the list of sellers and may examine seller records. The treasurer will pursue collection where sellers fail to remit. Staff said the commissioner plans to send application and remittance forms to prospective sellers next week.
Mobile food units drew the most public comment at the hearing. A public speaker argued that permitting and fee requirements, coupled with tax collection responsibilities, would impose additional costs and paperwork on part-time and small mobile vendors and could drive them to neighboring counties. "By the time you factor in all these permit fees and the amount of man hours to collect, there is no winner here," the commenter said during the public hearing. Board members and staff responded that the county was trying to balance fairness for local, regular sellers with minimal administrative burden; one supervisor said the planning commission had pared earlier special-use permit ideas down to a simple checklist showing that the vendor holds required state permits, and that the county would not require a new zoning permit each time a truck moved within the county.
The board voted 5-0 to adopt the ordinance amendments (county code sections 20-13-3, 20-13-5, 20-13-6, 20-13-7, 20-13-10, 20-13-11 and 20-13-15 as revised) and to permit mobile food units by right in the county subject to the administrative checklist and affidavit of property permission when operating on private property.
What happens next: staff said the commissioner of revenue will send application and remittance forms to sellers and the treasurer will begin collecting monthly remittances after Aug. 1. The board emphasized it wants a low-burden administrative approach for part-time food sellers while ensuring fairness so local sellers are not undercut by out-of-county vendors who do not collect the tax.
Quotes in this article are attributed to meeting participants and to an unnamed public commenter who spoke at the hearing.
