Report Prepared by: Craig J. Cornwell City Attorney
Title
SUBJECT: Merced Vital City Services Protection Measure Tax Administration Agreements with the California Department of Tax and Fee Administration (CDTFA)
REPORT IN BRIEF
Considers adopting Resolutions authorizing the Tax Administration of the Merced Vital City Services Protection Measure.
RECOMMENDATION
City Council - Adopt a motion:
A. Adopting Resolution 2024-46, A Resolution of the City Council of the City of Merced, California, Authorizing City Manager to Execute Agreements with the California Department of Tax and Fee Administration for Implementation of a Local Transactions and Use Tax; and,
B. Adopting Resolution 2024-47, A Resolution of the City Council of the City of Merced, California, Authorizing Examination of Sales or Transactions and Use Taxes Records; and,
C. Authorizing the City Manager to execute the necessary documents; and,
D. Approving a Supplemental Appropriation in the amount of $175,000 in Fund 2001-Measure C to cover the CDTFA prepatory agreement costs; and,
E. Authorizing the Finance Officer to make the necessary budget adjustments.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions other than as recommended by staff; or,
3. Deny; or,
4. Continue to a future meeting.
AUTHORITY
Charter of the City of Merced, Section 200.
Revenue and Taxation Code Section 7270.
CITY COUNCIL PRIORITIES
As provided for in the 2023-24 Adopted Budget.
DISCUSSION
On October 2, 2023, the City Council adopted Resolution 2023-73, which authorized the submission of a ballot measure to convert an existing sales tax of one-half percent to a special tax to be in effect until March 31, 2044, without raising current tax rates, to the qualified voters of the City at the special municipal election held on March 5, 2024. The voters of the City approved the ballot measure in said election.
Section 7270 of the Revenue and Taxation Code requires t...
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