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CC - Approval of an Amendment to the Existing Professional Services Agreement with Avenu/MuniServices to Continue Quarterly Utility Users Tax (UUT) Compliance, Administrative and Revenue Protection Program Services for an Additional Three-Month Period in An Amount Not-to-Exceed $15,000.
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Meeting Date: August 23, 2021
Contact Person/Dept: Luis Cardet/Finance
Phone Number: (310) 253-5889
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [] Attachments: []
Commission Action Required: Yes [] No [X] Date:
Public Notification: (E-Mail) Meetings and Agendas - City Council (08/18/21);
Department Approval: Onyx Jones, Chief Financial Manager (08/16/21)
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RECOMMENDATION
Staff recommends the City Council approve an amendment to the existing professional services agreement with Avenu/MuniServices to continue quarterly utility users tax (UUT) compliance, administrative and revenue protection program services for an additional period of three months in an amount not-to-exceed $15,000.
BACKGROUND/DISCUSSION
The City relies on specialized expertise to provide consulting services in the compliance, administration, and reporting of user utility taxes (UUT). Avenu/MuniServices has been contracted with the City since 2016 and provides a variety of software and reporting platforms used to identify and address patterns of noncompliance, providing auditing services across a broad spectrum of taxes and fees.
As authorized by the Culver City Municipal Code (CCMC), an 11.0% UUT is levied on electricity, water, gas, cable TV, and both wired and cellular/mobile telephone service. Utility taxes are collectively the third largest revenue source for the General Fund. Forecasts developed by the City’s consultants regarding seasonal and annual fluctuations on impacts to utility consumption, industry changes, etc. become significant to the City’s overall financial planning. FY2021/2022 UUT revenue estimates are projected to increase by $1.6M over the FY2020/2021 Adjusted Budget. This increase is based on projections proved by the Avenu/MuniServices.
Pursuant to CCMC Section 3.07.045, which requires a competitive bidding process be followed after the same vendor has been utilized for a period of five consecutive years, a new Request for Proposals (RFP) is being issued. To ensure continuation of services during this interim period to complete the RFP process, staff recommends City Council authorize an extension to the existing agreement with Avenu/MuniServices for a period not-to-exceed three months.
FISCAL ANALYSIS
Staff requests the City Council authorize up to $15,000 over the course of the three-month extension. Sufficient funds are available in the FY2021/2022 Approved Budget from account 10114400.610100.
ATTACHMENTS
None.
MOTION
That the City Council:
1. Approve an amendment to the existing professional services agreement with Avenu/MuniServices for a period of three months in an amount not to exceed $15,000; and,
2. Authorize the City Attorney to review/prepare the necessary documents; and,
3. Authorize the City Manager to execute such documents on behalf of the City.