REPORT TO COUNCIL
SUBJECT
Title
Adopt a Resolution Authorizing the Examination of Sales and Use Tax Records by Certain Designated Parties for Official Purposes
Report
BACKGROUND
Pursuant to Ordinance No. 810, the City of Santa Clara has entered into a contract with the California Department of Tax and Fee Administration (CDTFA) (formerly the State Board of Equalization) to perform all functions incident to the administration and collection of sales and use taxes. As the City relies on the revenue reported and collected by the CDTFA, authorized representatives of the City examine confidential sales and use tax records pursuant to the requirements and conditions of Section 7056 of the California Revenue and Taxation Code.
One of the requirements of Section 7056 is the adoption of a resolution designating City positions and entities that are authorized to examine the City's sales and use tax records. The most recent resolution was approved by the City Council on August 19, 2014. This memorandum brings forward a new resolution (Attachment 1) with updated access to the City's records.
DISCUSSION
Beginning July 1, 2026, the City has changed its third-party contractor that will perform sales and use tax audits from MuniServices, LLC (dba Avenu MuniServices, LLC) to Hinderliter, De Llamas & Associates (dba HdL Companies). As a result, it is necessary to update the access information with the CDTFA. The attached resolution would grant access to HdL Companies and would also allow MuniServices, LLC to continue to access the City's sales and use tax data to close out its existing audits. For reference, Attachment 2 is the agreement with HdL Companies effective July 1, 2026, and Attachment 3 is the agreement with MuniServices, LLC that expired June 30, 2026.
The resolution also updates the City classification titles that have access to the sales and use tax records.
ENVIRONMENTAL REVIEW
The actions being considered do not constitute a "project" within the meaning of...
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