October 6, 2026
Finance Department
DATE: October 6, 2026
TO: Mayor Martinez and Members of the City Council
FROM: Emily Combs, Director of Finance
Mubeen Qader, Deputy Director of Finance
Antonio Banuelos, Accounting Manager
Subject: Agreement with the State of California Franchise Tax Board to Obtain Business Tax Information
FINANCIAL IMPACT: There is no fiscal impact associated with this item.
PREVIOUS COUNCIL
ACTION:
None.
STATEMENT OF THE
ISSUE:
The City of Richmond was selected by the California
Franchise Tax Board (FTB) to participate in its Data
Exchange Program for the 2027–2029 tax years. Under
the proposed agreement, the City will provide business
license information to the FTB and receive tax data that can be used to compare records, identify potentially noncompliant businesses, and support compliance with local business licensing requirements and State tax laws.
RECOMMENDED ACTION: ADOPT a resolution to APPROVE a standard agreement (130812) with the State of California Franchise Tax
Board (FTB) providing for the City’s participation in the FTB’s City Business Tax data program, AUTHORIZE the
city manager or their designee, to execute the agreement – Finance Department (Antonio Banuelos/Mubeen
Qader/Emily Combs 510-620-6740).
DISCUSSION:
The proposed agreement provides for an exchange of information between the City of Richmond and the State of California Franchise Tax Board (FTB), which would assist AGENDA
REPORT
October 6, 2026
each party in identifying individuals or companies that are not properly paying the corresponding tax. In particular, the information obtained will facilitate the City of Richmond Business Tax Division in identifying companies operating without a valid business tax account.
Under this reciprocal agreement, both parties agree to bear their own costs of providing the data, and the City is precluded from obtaining reimbursement. The FTB will use this data to identify companies or individuals not paying State taxes. The City will use this data to identify businesses operating in Richmond without a business tax account.
DOCUMENTS ATTACHED:
Attachment 1 – Resolution
Attachment 2 – State of California Standard Agreement