CITY OF PEWEE VALLEY, KENTUCKY

ORDINANCE NO. 2 SERIES 2008

AN ORDINANCE AMENDING SECTIONS 112.01 AND 112.03 CONCERNING THE IMPOSITION OF FEES ON COMPANIES WHO ISSUE CERTAIN INSURANCE POLICIES IN THE CITY.

WHEREAS, the City is informed that Oldham County has increased the fee it charges to insurance companies for certain policies, and

                WHEREAS, the City wishes to amend its ordinance to follow match the County ordinance, to make sure those funds come to the City rather than to the County,

NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF PEWEE VALLEY, KENTUCKY:

Section 1. Section 112.02 is hereby amended to read as follows:

112.02 AMOUNT OF FEE FOR COMPANIES ISSUING LIFE INSURANCE

The license fee imposed upon each insurance company which issues life insurance

policies on the lives of persons residing within the corporate limits of the city shall be 10% of the first year’s premiums actually collected within each calendar quarter by reason of the issuance of such policies.

Section 2.              Section 112.03 is hereby amended to read as follows:

112.03 AMOUNT OF FEE FOR COMPANIES ISSUING POLICIES OTHER THAN LIFE INSURANCE

The license fee imposed on each insurance company which issues any insurance policy which is not a life insurance policy shall be 10% of the premiums actually collected within each calendar quarter by reason of the issuance of the policies on risks located within the corporate limits of the city on those classes of business which the company is authorized to transact, less all premiums returned to policyholders; however, any license fee or tax imposed upon premium receipts shall not include premiums received for insuring employers against liability for personal injuries to their employees, or death caused thereby, under the provision of the Workers’ Compensation Act and shall not include premiums received on policies of group health insurance provided for sate employees under KRS 18A.225(2) and 18A.228, or premiums received by any state employee benefit fund created pursuant to KRS Chapter 18A for the purpose of providing health benefits to state employees.  No license fee imposed under this section shall apply to premiums received on health insurance policies issued to individuals nor to policies issued through Kentucky Access created in KRS 304.17B-005.  No license fee imposed under this section shall apply to premiums paid to insurers of municipal bonds, leases or other debt instruments issued by or on behalf of any political subdivision of the state; provided that this exemption shall not apply if the bonds. Leases or other debt instruments are issued for profit or on behalf of for-profit or private organizations.

Section 3               This ordinance shall be effective upon adoption and publication as required by law.

                                First Reading:                       December 3, 2007

                                Second Reading:                 January 7, 2008

                                Adopted this 7th day of January, 2008.

                                                                                                                Bob Rogers, Mayor

ATTEST:

Robin S. O’Bryan, City Clerk

Those in Favor:   Bethany Major,                                                                    Those Opposed:   Dick Filippini

Henry Walser, Will Chambers,

Dana Barrette, Stan Fitch