HomeMy WebLinkAbout2024-017 - CDTFA Preparatory Agreement, partially executedAGREEMENT FOR PREPARATION TO ADMINISTER AND OPERATECITY'S TRANSACTIONS AND USE TAX ORDINANCEIn order to prepare to administer a transactions and use tax ordinance adopted in accordancewith the provision of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue andTaxation Code, the City of Atascadero, hereinafter called City, and the CALIFORNIADEPARTMENT OF TAX AND FEE ADMINISTRATION, hereinafter called Department, do agreeas follows:1. The Department agrees to enter into work to prepare to administer and operate atransactions and use tax in conformity with Part 1.6 of Division 2 of the Revenue and Taxation Codewhich has been approved by a majority of the electors of the City and whose ordinance has beenadopted by the City.2. City agrees to pay to the Department at the times and in the amounts hereinafter specifiedall of the Department's costs for preparatory work necessary to administer the City's transactions anduse tax ordinance. The Department's costs for preparatory work include costs of developingprocedures, programming for data processing, developing and adopting appropriate regulations,designing and printing forms, developing instructions for the Department's staff and for taxpayers, andother appropriate and necessary preparatory costs to administer a transactions and use tax ordinance.These costs shall include both direct and indirect costs as specified in Section 11256 of theGovernment Code.3. Preparatory costs may be accounted for in a maimer which conforms to the internalaccounting and persoimel records currently maintained by the Department. The billings for costs maybe presented in summary fonn. Detailed records of preparatory costs will be retained for audit andverification by the City.4. Any dispute as to the amount of preparatory costs incurred by the Department shall bereferred to the State Director of Finance for resolution, and the Director's decision shall be final.5. Preparatory costs incurred by the Department shall be billed by the Departmentperiodically, with the final billing within a reasonable time after the operative date of the ordinance.City shall pay to the Department the amount of such costs on or before the last day of the nextsucceeding month following the month when the billing is received.Resolution No. 2024-066Exhibit A(Rev. 07/24)
6. The amount to be paid by City for the Department's preparatory costs shall not exceed onehundred seventy-five thousand dollars ($175,000) (Revenue and Taxation Code Section 7272.)7. Communications and notices may be sent by first class United States mail or through emailat jservices@cdtfa.ca.gov. If and when communications and notices may include confidentialinformation, communications and notices must be sent through encrypted email atjservices@cdtfa.ca.gov or by mail. Communications and notices to be sent to the Department shall beaddressed to:California Department of Tax and Fee AdministrationP.O. Box 942879 MIC: 27Sacramento, California 94279-0027Attention: AdministratorLocal Revenue BranchCommunications and notices to be sent to City shall be addressed to:City ofAtascadero6500 Palma AvenueAtascadero, California 93422Attention: DirectorAdministrative Services Department8. The date of this agreement is the date on which it is approved by the Department of GeneralServices. This agreement shall continue in effect until the preparatory work necessary to administerCity's transactions and use tax ordinance has been completed and the Department has received allpayments due from City under the tenns of this agreement.CITY OF ATtASCADERO^y.\James RJ Le^isCity MafaagerDate:^1/\^ ^t\CALIFORNIA DEPARTMENT OF TAXAND FEE ADMINISTRATIONAdministratorLocal Revenue BranchDate:Resolution No. 2024-066Exhibit A(Rev. 07/24)