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HomeMy WebLinkAboutMendocino County Tax Sharing Resolution 24-093RESOLUTION NO. 24-093 RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OF MENDOCINO APPROVING THE MENDOCINO COUNTY MASTER TAX SHARING AGREEMENT AMONG MENDOCINO COUNTY AND THE CITIES OF UKIAH, WILLITS, FORT BRAGG AND POINT ARENA WHEREAS, Mendocino County (“County”) collects Real Property Tax Revenue within its jurisdiction; and WHEREAS, the California Department of Tax and Fee Administration, formerly part of the State Board of Equalization, administers the Statewide general tax on the retail sale or use of merchandise or goods within the State (the “Bradley-Burns Sales Tax”); and WHEREAS, the California Department of Tax and Fee Administration collects the 1% Bradley-Burns Sales Tax on behalf of cities and counties in the State and distributes the revenue to those local governments; and WHEREAS, each Party levies a transient occupancy tax on those territories within its jurisdiction; provided, however, that the County does not levy a separate transient occupancy tax in areas within a City’s jurisdiction; and WHEREAS, the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 (the “CKH Act”) governs changes in organization which changes in organization may need to be approved by the Mendocino LAFCo, and other local agencies; and WHEREAS, the cities of Ukiah, Willits, Fort Bragg and Point Arena (collectively, “the Cities”) anticipate changes in organization within the County, such as Annexations to the Cities, and desire to plan for the orderly and financially viable transition of public services; and WHEREAS, the County and the Cities intend the attached Agreement to provide an equitable approach to distributing certain identified tax revenues in anticipation of changes in organization; and WHEREAS, recognizing that the residents of the Cities are also residents of the County, the County and the Cities acknowledge their shared responsibility to provide adequate services to their shared residents and recognize the importance of the County’s and the Cities’ services and that those services complement each other for the benefit of their residents; and WHEREAS, the Parties recognize the importance of maintaining adequate service levels throughout the County and within the Cities to provide for the health, safety, and welfare of the residents of the County and the Cities. The Parties intend, given the mutual economic and other benefits that flow from annexations to the Cities, to cooperate as provided for in the attached Agreement to address the respective City’s and the County’s fiscal considerations in providing such services and their respective present and future economic and planning needs; and WHEREAS, for certain changes of organizations, such as annexations, Revenue and Taxation (“R&T”) Code Section 99 requires an agreement of the City and the County to a property tax revenue exchange and to provide a resolution of approval of the same by each legislative body to Mendocino LAFCo prior to consideration of the change of organization; and WHEREAS, the County and the Cities have negotiated a master property tax exchange agreement, pursuant to Revenue and Taxation Code section 99(d), that is intended to satisfy the requirements of Revenue and Taxation Code section 99 for future changes of organization as specified in the agreement; and WHEREAS, while not required by R&T Code Section 99, the Parties acknowledge that this Agreement also provides for the exchange of Bradley-Burns Sales Tax and transient occupancy tax which the Parties agree to accept in accordance with the Agreement. NOW, THEREFORE, BE IT RESOLVED that the Mendocino County Board of Supervisors as follows: SECTION 1. The Board hereby approves the Mendocino County Master Tax Sharing Agreement (“the Agreement”), a true and correct, but unsigned, copy of which is attached hereto as Attachment 1. SECTION 2. The Board of Supervisors authorizes the Board Chair to sign the Agreement on behalf of the County of Mendocino. SECTION 3. Pursuant to the terms of the Agreement the County agrees to accept the exchange of property tax revenue in accordance with the Agreement. The foregoing Resolution introduced by Supervisor Williams, seconded by Supervisor McGourty, and carried this 5th day of June, 2024, by the following vote: AYES: Supervisors McGourty, Mulheren, Gjerde and Williams NOES: Supervisor Haschak ABSENT: None WHEREUPON, the Chair declared said Resolution adopted and SO ORDERED. ATTEST: DARCIE ANTLE Clerk of the Board ______________________________ Deputy APPROVED AS TO FORM: JAMES R. ROSS Interim County Counsel ______________________________ _________________________________ MAUREEN MULHEREN, Chair Mendocino County Board of Supervisors I hereby certify that according to the provisions of Government Code Section 25103, delivery of this document has been made. BY: DARCIE ANTLE Clerk of the Board _________________________________ Deputy BOS Agreement *24-085 06/05/2024 of the BoardAtlas Pearson, Senior Deputy