Resolution Number: 6707-2025
A Resolution of the City Council of the City of Sebastopol Authorizing Examination of Sales or Transactions and Use Tax Records WHEREAS, pursuant to Ordinance Numbers 1152, and Revenue and Taxation Code section 7270 , the City of Sebastopol (City) entered into a contract with the California Department of Tax and Fee Administration (Department) to perform all functions incident to the administration and collection of transaction and use taxes; and
WHEREAS, the City Council of the City of Sebastopol deems it desirable and necessary for authorized officers, employees and representatives of the City to examine confidential sales or transactions and use tax records of the Department pertaining to sales or transactions and use taxes collected by the Department for the City pursuant to that contract; and
WHEREAS, Section 7056 of the California Revenue and Taxation Code sets forth certain requirements and conditions for the disclosure of Department records, and Section 7056.5 of the California Revenue and Taxation Code establishes criminal penalties for the unlawful disclosure of information contained in, or derived from, the sales or transactions and use tax records of the Department; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SEBASTOPOL HEREBY RESOLVES AS FOLLOWS:
Section 1. That the City Manager, Assistant City Manager/City Clerk, and Administrative Services Director Director, or other officer or employee of the City designated in writing by the City Manager to the California Department of Tax and Fee Administration is hereby appointed to represent the City with authority to examine sales or transactions and use tax records of the Department pertaining to sales or transactions and use taxes collected for the City by the Department pursuant to the contract between the City and the Department.
Section 2. The information obtained by examination of Department records shall be used only for purposes related to the collection of City sales or transactions and use taxes] by the Department pursuant to that contract, and for purposes related to the following governmental functions of the City:
(a) Budget Revenue Forecasting
(b) Economic Development management
The information obtained by examination of Department records shall be used only for those governmental functions of the City listed above.
Section 3. That MuniServices, LLC (doing business as doing business as Avenu Insights & Analytics, LLC and/or Neumo) is hereby designated to examine the sales or transactions and use tax records of the Department pertaining to sales or transactions and use taxes collected for the City by the Department. The person or entity designated by this section meets all of the following conditions, which are also included in the contract between the City and the MuniServices, LLC (doing business as Avenu Insights & Analytics, LLC and/or Neumo):
a) has an existing contract with the City to examine those sales or transactions and use tax records; b) is required by that contract to disclose information contained in, or derived from, those sales or transactions and use tax records only to the officer or employee authorized under Section 1 of this resolution to examine the information.
Docusign Envelope ID: FD862B4C-BF61-473A-9771-058E477CCBA7 c) is prohibited by that contract from performing consulting services for a retailer during the term of that contract;
d) is prohibited by that contract from retaining the information contained in, or derived from those sales or transactions and use tax records, after that contract has expired.
BE IT FURTHER RESOLVED that the information obtained by examination of Department records shall be used only for purposes related to the collection of City sales or transactions and use taxes by the Department pursuant to the contract between the City and the Department and for those purposes relating to the governmental functions of the City listed in section 2 of this resolution.
Section 4. That this resolution supercedes all prior resolutions of the City Council of the City of Sebastopol adopted pursuant to subdivision (b) of Revenue and Taxation Code section 7056.
PASSED AND ADOPTED, by the CITY COUNCIL of THE CITY OF SEBASTOPOL, COUNTY OF SONOMA, of the STATE OF CALIFORNIA on this 7
th day of October, 2025.
I, the undersigned, hereby certify that the foregoing Resolution was duly adopted by City of Sebastopol City Council following a roll call vote:
VOTE:
AYES: Councilmember Hinton, Maurer, Vice Mayor McLewis and Mayor Zollman NOES: None
ABSTAIN: None
ABSENT: Councilmember Carter
APPROVED: __________________________________________
Mayor Stephen Zollman
ATTEST: _______________________________________________________________ Mary Gourley, Interim City Manager/City Clerk, MMC
APPROVED AS TO FORM: _______________________________________________ Alex Mog, City Attorney
Docusign Envelope ID: FD862B4C-BF61-473A-9771-058E477CCBA7 AMENDMENT NO. 3 TO AGREEMENT BETWEEN
CITY OF SEBASTOPOL AND MUNISERVICES, LLC
THIS AMENDMENT No. 3 (the “Amendment”) is made as of October 7, 2025 entered into between City of Sebastopol, a municipal corporation (“City”) and MuniServices, LLC, dba Neumo and/or Avenu MuniServices a Delaware limited liability company (“MuniServices” or “CONSULTANT”)), (collectively the “Parties”).
The City and MuniServices agree as follows:
WHEREAS, the City and MuniServices, entered into a Consultant Services Agreement, on or about May 14, 1998 (hereinafter “Agreement”); which was subsequently amended through “Amendment No. 1” on June 6, 2019 and “Amendment No. 2” on August 1, 2023; WHEREAS, on November 5, 2024, the voters of the City of Sebastopol approved the adoption of a Measure U Local Sales Tax (“District Tax”), to support the City’s General Fund. The ½ cent Measure U sales tax increase went into effect on April 1, 2025;
WHEREAS, section 7056 of the California Revenue and Taxation Code imposes conditions on the access to information related to the collection of sales, transaction, and use tax by the Agency; NOW THEREFORE, in order to satisfy the requirements of section 7056, the parties hereby amend the Agreement as follows:
I. MuniServices will provide the City with District Tax Audit Services and District Tax Analytic and Reporting Services per the terms of the Agreement.
II. Section 6 is hereby added to the Agreement to read as follows:
6. Confidentiality Requirements Section 7056 of the State of California Revenue and Taxation code specifically limits the disclosure of confidential taxpayer information contained in the records of the California Department of Tax and Fee Administration. This section specifies the conditions under which a CITY may authorize persons other than CITY officers and employees to examine State Sales, Use and Transactions Tax records.
The following conditions specified in Section 7056 (b), (1) of the State of California Revenue and Taxation Code are hereby made part of this agreement.
1. CONSULTANT is authorized by this Agreement to examine sales, use or transactions and use tax records of the Department of Tax and Fee Administration provided to CITY pursuant to contract under the BradleyBurns Uniform Sales and Use Tax Law.
2. CONSULTANT is required to disclose information contained in, or derived from, those sales, use or transactions and use tax records only to an officer or employee of the CITY who is authorized by resolution to examine the information.
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3. CONSULTANT is prohibited from performing consulting services for a retailer, as defined in California Revenue & Taxation Code Section 6015, during the term of this Agreement.
4. CONSULTANT is prohibited from retaining the information contained in, or derived from those sales or transactions and use tax records, after this Agreement has expired. Information obtained by examination of Department of Tax and Fee Administration records shall be used only for purposes related to collection of local sales and use tax or for other governmental functions of the CITY as set forth by resolution adopted pursuant to Section 7056 (b) of the Revenue and Taxation Code. The resolution shall designate the CONSULTANT as a person, authorized to examine sales and use tax records and certify that this Agreement meets the requirements set forth above and in Section 7056 (b), (1) of the Revenue and Taxation Code.
III. The City and MuniServices agree that although the scope of work generically refers to “sales and use tax” those references are meant to include “sales, transaction, and use tax” as part of the scope of work, including but not limited to any transaction and use taxes adopted after the effective date of the Agreement.
IV. The Parties agree that Agreement is applicable to all Sales, Transaction and Use Tax Ordinances currently enacted in the City and which may become enacted while the Agreement is in effect.
V. Except as herein modified, all other provisions of the Agreement, including any exhibits and subsequent amendments thereto, shall remain in full force and effect.
VI. In case of a conflict between the terms of this Amendment and the terms of the Agreement, the terms of this Amendment shall strictly prevail.
IN WITNESS WHEREOF, the Parties have caused this Amendment to be executed by their duly authorized representatives as of the date set forth above.
MUNISERVICES, LLC
By: ______________________________
Sabrina Stover
Chief Financial Officer
CITY OF SEBASTOPOL
By: ______________________________
Name: Stephen Zollman
Title: Mayor
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