Title
Adoption of Resolution Authorizing the Interim City Manager to Execute Agreements and All Related Documents with the California Department of Tax and Fee Administration for Implementation of the City's Half-Cent Transactions and Use Tax (Measure F) Approved by the Voters at the November 6, 2018 General Election. (Finance 2410)
Body
To: Honorable Mayor and Members of the City Council
From: David L. Rudat, Interim City Manager
EXECUTIVE SUMMARY
Following the approval of Measure F on November 6, 2018, the City is required to complete certain agreements with the California Department of Tax and Fee Administration (CDTFA) to allow the State to prepare and administer the half-cent transactions and use tax.
BACKGROUND
With the adoption of Resolution 15412 on July 10, 2018, the City placed a half-cent sales tax measure on the November 6, 2018 ballot. On July 10th, the City Council also introduced Ordinance No. 3231 adding Section 3-63 to Division IX (Taxes) of Article II (Taxation) of Chapter III to the City's Municipal Code to impose the additional transactions and use tax subject to the outcome of the election. Measure F, City of Alameda Essential Services Protection Measure, was approved by a majority of the City of Alameda voters on November 6, 2018.
DISCUSSION
After the passage of the half-cent transactions and use tax known as "Measure F City of Alameda Essential Services Protection Measure", staff was notified by the CDTFA that the City Council must enter into two agreements with the Department, so they can prepare and administer the collection of the Measure F dollars.
The first agreement (Exhibit 1) sets forth the scope of work required to prepare to administer and operate City's transactions and use tax. The amount the City will owe the CDTFA for this work will not exceed $175,000.
The second agreement (Exhibit 2) will authorize the CDTFA to exclusively perform all administrative functions related to the ongoing collection of the Measure F...
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