To: Board of Supervisors
From: County Counsel
Meeting Date: May 23, 2023
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Department Contact: |
Christian Curtis |
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707-234-6885 |
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Item Type: Consent Agenda |
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Time Allocated for Item: N/A |
Agenda Title:
title
Approval of First Amendment to BOS Agreement 23-009 with Meyers Nave to Provide Legal Advice and Analysis Regarding the Negotiation of Tax Sharing Agreements Between the County of Mendocino and Other Local Entities, Increasing the Agreement Amount by $15,000 for a Revised Total Amount of $30,000 and Extending the Expiration Date from June 30, 2023, to June 30, 2024
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Recommended Action/Motion:
recommendation
Approve the first amendment to BOS Agreement 23-009 with Meyers Nave to provide legal services and analysis regarding the negotiation of tax sharing agreements between the County of Mendocino and other local entities, increasing the agreement amount by $15,000 for a revised total amount of $30,000 and extending the expiration date from June 30, 2023, to June 30, 2024; and authorize Chair to sign same.
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Previous Board/Board Committee Actions:
On May 25, 2021, the Board of Supervisors created an ad hoc committee to meet with local cities on a possible master tax sharing agreement. On January 10, 2023, the Board of Supervisors approved agreement No. 23-009 with Meyers Nave for a total amount of $15,000.
Summary of Request:
The Board of Supervisors has formed an ad hoc committee of supervisors Gjerde and Mulheren to work with the CEO and cities on the possibility of a master tax sharing agreement. When cities expand by annexing unincorporated areas of the county, the statute requires them to negotiate the amount of annual tax revenue that will be transferred from the county to the city. By default, such agreements are negotiated on a case-by-case basis once the relevant territory has been identified.
As an alternative, Revenue and Tax Code section 99 allows cities and counties to enter into a master agreement that specifies how much tax revenue is transferred for future annexations. These master tax sharing agreements speed up the annexation process by eliminating the need and ability to negotiate tax transfers on a case-by-case basis. They also, however, create a heightened risk of unintended consequences, as such agreements necessarily apply to circumstances that cannot be known at the time they are negotiated. This risk falls disproportionately on the county, as cities retain the ability to decide when and where to initiate annexation.
County Counsel and the CEO have determined that specialized legal services are continuing to be needed to assist the CEO in these negotiations, given the unique and specialized nature of the issues at hand. The City of Ukiah is using the law firm of Colantuono, Highsmith & Whatley, PC, for similar purposes, and the law firm of Meyers Nave can continue to provide counsel with comparable knowledge and experience in this area.
Alternative Action/Motion:
Do not approve and provide direction to staff.
Does This Item Support the General Plan? N/A
Strategic Plan Priority Designation: An Effective County Government
Supervisorial District: All
vote requirement: Majority
Supplemental Information Available Online At: n/a
Fiscal Details:
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source of funding: 1210-862189 |
budgeted in current f/y: No |
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current f/y cost: $30,000 |
if no, please describe: |
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annual recurring cost: N/A |
revenue agreement: No |
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budget clarification: N/A |
Agreement/Resolution/Ordinance Approved by County Counsel: Yes
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CEO Liaison: Executive Office |
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CEO Review: Yes |
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CEO Comments:
FOR COB USE ONLY
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Executed By: Atlas Pearson, Senior Deputy Clerk |
Final Status: Approved |
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Date: May 23, 2023 |
Executed Item Type: Agreement Number: 23-009-A1 |
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