HomeMy WebLinkAbout06 - General Plan Update Fiscal & Economic StudiesCITY OF NEWPORT BEACH
d�PRr COMMUNITY AND ECONOMIC Hearing Date: April 09, 2002
DEVELOPMENT 6
PLANNING DEPARTMENT Agenda Item No.:
3300 NEWPORT BOULEVARD Staff Person: George
NEWPORT BEACH, CA 92658 g (949) 644 -3207
(949) 644 -3200; FAX (949) 644 -3229
REPORT TO THE MAYOR AND CITY COUNCIL
SUBJECT: General Plan Update Fiscal & Economic Studies:
Authorization of Examination of Sales and Use Tax Records.
SUMMARY: In conjunction with the approved contract with ADE, Inc. for the
fiscal and economic studies for the General Plan Update, staff
recommends approval of a resolution authorizing the examination by
ADE of sales and use tax records, per Section 7056 of the California
Revenue and Taxation Code.
SUGGESTED ACTION: Approve Resolution authorizing examination by ADE of
sales and use tax records for use in preparation of fiscal and
economic studies related to the update of the City's General
Plan.
Discussion
At the March 12'", 2002 meeting, the Council approved a Professional Services Agreement with
Applied Development Economics, Inc. (ADE) to undertake the fiscal and economic studies related
to the update of the City's General Plan. As part of the research required by these studies, the
consultant has requested access to various sales and use tax data, which per Section 7056 of the
California Revenue and Taxation Code —is deemed confidential and may only be released with
prior City Council authorization.
Specifically, ADE has requested access to detailed sales tax records by State Board of Equalization
(SBE) code, with major businesses listed, for the city as a whole and the sub -areas defined in the
standard MRC (MBIA) reports. Additionally, the consultant has requested access to Transient
Occupancy Tax (TOT) records, in order to research the economic impact of vacation rental
property, and hotel/motel use. Revenue Manager Everroad will be working with the consultant and
other staff to coordinate this aspect of the project.
There are currently two firms (Municipal Revenue Advisors and MBIA MuniServices Company)
that provide ongoing audit services to the City, and they are authorized by resolution to access
the confidential records. Staff recommends approval of the attached resolution authorizing the
examinationbyADE of sales and use tax records, per Section 7056 of the California Revenue and
Taxation Code.
Submittedby: Prepared by:
SHARON Z. WOOD GEORGE A. BERGER, AICP
Assistant City Manager Senior Planner
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Attachment: ResolutionNo.2002-
11
RESOLUTION NO. 2002-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH AUTHORIZING EXAMINATION OF SALES AND USE TAX
RECORDS.
WHEREAS, pursuant to Ordinance _, the City of Newport Beach entered into a
contract with the State Board of Equalization to perform all functions incident to the
administration and collection of local sales and use taxes; and
WHEREAS, the City Council of the City of Newport Beach deems it desirable and
necessary for authorized representatives of the City to examine confidential sales and use
tax records of the State Board of Equalization pertaining to sales and use taxes collected
by the Board for the City pursuant to that contract; and
WHEREAS, Section 7056 of the California Revenue and Taxation Code sets forth
certain requirements and conditions for the disclosure of Board records, and establishes
criminal penalties for the unlawful disclosure of information contained in, or derived
from, the sales and use tax records of the Board.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH HEREBY RESOLVES AS FOLLOWS:
Section 1. That the City Manager, or other officer or employee of the City designated
in writing by the City Manager to the State Board of Equalization (hereafter referred to as
Board), is hereby appointed to represent the City with authority to examine sales and use
tax records of the Board pertaining to sales and use taxes collected for the City by the
Board pursuant to the contract between the City and the Board. The information obtained
by examination of Board records shall be used only for purposes related to the collection
of City sales and use Taxes by the Board pursuant to that contract.
Resolution No. 02 -_
Examination of Sales and Use Tax Records
1E
Section 2. That the firm of Applied Development Economics (ADE), Inc. is hereby
appointed to represent the City with authority to examine those sales and use tax records
of the Board, for purposes related to the following governmental functions of the City:
(a) Preparation of a retail leakage analysis for the City General Plan Update; and
(b) Preparation of a fiscal impact model for use in the City's General Plan Update.
The information obtained by examination of Board records shall be used only for those
governmental functions of the City listed above.
Section 3. That ADE, Inc. is hereby designated to examine the sales and use tax
records of the Board pertaining to sales and use taxes colleted for the City by the Board.
The person or entity designated by this section meets all of the following conditions:
(a) has an existing contract with the City to examine those sales and use tax records;
(b) is required by that contract to disclose information contained in, or derived from,
those sales and use tax records only to the officer or employee authorized under Section 1
or 2 of this resolution to examine the information;
(c) is prohibited by that contract from performing consulting services for a seller
during the term of that contract; and
(d) is prohibited by that contract from retaining the information contained in, or
derived from those sales and use tax records, after that contract is expired.
The information obtained by examination of Board records shall be only used for
purposes relating to the collection of City sales and use taxes by the Board pursuant to the
Resolution No. 02 -_
Examination of Sales and Use Tax Records
contract between the City and the Board and for purposes relating to the governmental
functions of the City listed in Section 2 of this resolution.
This resolution shall take effect immediately upon adoption. Passed and adopted by the
City Council of the City of Newport Beach at a regular meeting held on the day
of 2002.
IUTMTGI
ATTEST:
CITY CLERK
Resolution No. 2002 -
Examination of Sales and Use Tax Records
Resolution No. 02-
Examination of Sales and Use Tax Records
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