HomeMy WebLinkAboutMunicipal Resource Consultants 1992-05-20; Amendment 1 2017-09-12COU No. 1314097-A1
AMENDMENT TO CONTRACT BETWEEN
CITY OF UKIAH AND MUNISERVICES, LLC
THIS CONTRACT AMENDMENT No. 1 (the "Amendment") is entered into between City of Ukiah
("City") and MuniServices, LLC ("MuniServices"), (collectively the "Parties").
The City and MuniServices agree as follows:
WHEREAS, the City and MuniServices, entered into a Consultant Services Agreement on or about
May 20, 1992 (hereinafter "Agreement") to perform, among other things, Sales/Use Tax Misallocation
Allocation Audit Services;
WHEREAS, on or about November 8, 2016 the City adopted the City of Ukiah Transactions and
Use Tax, Measure Y (UKHG) which became effective on or about April 1, 2017 (the "District Tax");
WHEREAS, the State Board of Equalization or its successor agency the California Department of
Tax and Fee Administration (collectively, or in the alternative, the "Agency") has taken the position that
general references to "sales and use tax" are insufficient to allow access to information relating the
collection of the District Tax by the Agency;
WHEREAS, the City and MuniServices, without conceding the correctness of the Agency's
interpretation, deem it prudent to comply with the interpretation by amending the Agreement to
specifically refer to the District Tax;
WHEREAS, section 7056 of the California Revenue and Taxation Code imposes conditions on the
access to information related to the collection of sales, transaction, and use tax by the Agency;
NOW THEREFORE, in order to satisfy the requirements of section 7056, the parties hereby amend
the Agreement as follows:
1. The following language is incorporated into the Professional Services Agreement as if set forth therein.
Transaction and Use Tax
"MuniServices qualifies under Section 7056 of the Revenue and Taxation Code to review
(Bradley -Burns) confidential taxpayer information and documentation before the State
Board of Equalization (BOE) or its successor agency, the Department of Tax and Fee
Administration (collectively, or in the alternative, the Agency'.). MuniServices is hereby
authorized by this Agreement to examine transaction tax, sales tax and use tax records of
the Agency, including but not limited to the transaction and use tax that becomes effective
on or about April 1, 2017 known as the City of Ukiah Transactions and Use Tax, Measure
Y (UKHG) pertaining to the ascertainment of those sales or transactions and use taxes to
be collected for the City.
MuniServices is required to disclose information contained in, or derived from, those
transaction, sales and use tax records only to an officer or employee of the City who is
authorized by resolution to examine the information.
MuniServices is prohibited from performing consulting services for a retailer during the
term of this Agreement.
MuniServices is prohibited from retaining the information contained in, or derived from, those
transaction, sales and use tax records, after this Agreement has expired."
2. The City and MuniServices agree that although the scope of work generically refers to "sales and use
tax" those references are meant to include "sales, transaction, and use tax" as part of the scope of
work, including but not limited to any transaction and use taxes adopted after the effective date of the
Agreement.
3. The Parties agree that Agreement is applicable to all Sales, Transaction and Use Tax Ordinances
currently enacted in the City and which may become enacted while the Agreement is in effect.
4. The Parties agree that the City will adopt an updated resolution in substantially the same form as the
template provided as Exhibit A to this Amendment.
5. Except as herein modified, all other provisions of the Agreement, including any exhibits and
subsequent amendments thereto, shall remain in full force and effect.
6. In case of a conflict between the terms of this Amendment and the terms of the Contract, the terms
of this Amendment shall strictly prevail.
IN WITNESS WHEREOF, the Parties have caused this Amendment to be executed by their duly
authorized representatives as of the date set forth below.
DATED: `/`- 1�)--11 12017
CITY OF UKIAH
By:
Name: 5/k(rr :SAW&&/' (0f-- i7
Title: Ci r lLihr�V`f} C -
APPROVED AS TO FO
Offi the ity ttorn y
MUNIS V CES, LC
By:
oug en
SVP i nt Services
Exhibit A
RESOLUTION NO. 2017- 40
A RESOLUTION AUTHORIZING THE EXAMINATION OF SALES OR TRANSACTIONS AND
USE TAX RECORDS
WHEREAS, pursuant to Ordinance Nos. 602 (1969) and 1149 (2014) and the City of Ukiah
entered into a contract with the State Board of Equalization to perform all functions incident to the
administration and collection of the Transactions and Use Tax Ordinances and the local sales
and use taxes; and
WHEREAS, City deems it necessary for authorized representatives of City to examine
confidential sales and transactions and use tax records of the Board or its successor agency, the
California Department of Tax and Fee Administration, (collectively, or in the alternative, the
"Agency") pertaining to sales and transactions and use taxes collected for City by the Agency;
and
WHEREAS, Section 7056 of the California Revenue and Taxation Code sets forth certain
requirements and conditions for the disclosure of Agency records and establishes criminal
penalties for the unlawful disclosure of information contained in, or derived from sales or
transactions and use tax records of the Agency; and
WHEREAS, Section 7056 of the California Revenue and Taxation Code requires that any person
designated by City shall have an existing contract to examine City's sales and transactions and
use tax records.
NOW, THEREFORE IT IS RESOLVED AND ORDERED AS FOLLOWS:
Section 1. That the City Manager or other officer or employee of City designated in writing by
the City Manager to the Agency is hereby appointed to represent City with authority to examine
all of the sales and transactions and use tax records of the Agency pertaining to sales and
transactions and use taxes collected for City by the Agency pursuant to the contract between City
and the Agency. The information obtained by examination of Agency records shall be used for
purposes related to the collection of City's sales and transactions and use taxes by the Agency
pursuant to the contract.
Section 2. That the City Manager, or other officer or employee of City designated in writing by
the City Manager to the Agency, is also hereby appointed to represent City with the authority to
examine those sales and transactions and use tax records of the Agency for purposes related to
the following governmental functions of City:
a) tracking and economic development
b) forecasting and budget related functions
c) detection of misallocations and deficiencies
The information obtained by examination of Agency records shall be used only for those
governmental functions of City listed above.
Section 3. That MuniServices, LLC is hereby designated and authorized to examine all of the
sales and transactions and use tax records of the Agency pertaining to all sales and use taxes
collected for City and any transaction and use taxes collected for City under the following
Transactions and Use Tax Ordinances and any future Transactions and Use Tax Ordinances that
may beenacted inthe Cdv�
City of Ukiah Transactions and Use Tax, Measure Y (UKHG)
The person or entity designated by this section meets all of the following conditions:
a) has an existing contract with City to examine sales and transactions and use tax records;
b\ is required by that contract to disclose information contained in, or derived from those
sales and transactions and use tax records only to an officer or employee authorized under
Section 1 (OF Section 2) of this resolution to examine the information
c) is prohibited by that contract from performing consulting services for a retailer during the
harm ofthmtoontract-
d) is prohibited by that contract from retaining the information contained in, orderived from
those sales and transactions and use tax records after that contract has expired.
BEITFURTHER RESOLVED that the information obtained by examination ofAgency records
shall be used only for purposes related to the collection of City's sales and transactions and use
taxes bythe Agency pursuant to the contracts between City and the Agency and for purposes
relating to the governmental functions of City listed in Section 2 of this resolution.
Section 4. This resolution supersedes all prior sales and transactions and use tax resolutions of
City adopted pursuant to subdivision (b) of Revenue and Taxation Code Section 7056.
PASSED AND ADOPTED on August 16. 2017. by the following Roll Call Vote:
AYES: C000cilmembera Scalmuoimi, Crane, MoIhereo, DobIe, and Mayor Brown
NOES- None
ABSTAIN: None
ABSENT: None
Kristine Lawler, City Clerk
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