12-26-2024 City Council Special Meeting Minutes Page 1
MINUTES OF THE SPECIAL MEETING OF THE TRINIDAD CITY COUNCIL THURSDAY, DECEMBER 26, 2024 (LIVE)
I. CALL TO ORDER
Mayor Kelly called the live meeting to order at 2:00pm. Council members in attendance: Kelly, Varela, Tuttle.
Breckenridge and Kenny were absent. City Staff in attendance: City Clerk Gabriel Adams. No members of the public attended.
II. PLEDGE OF ALLEGIANCE
III. APPROVAL OF THE AGENDA
Motion (Kelly/Tuttle) to approve the agenda as submitted. Passed 3-0.
IV. ITEMS FROM THE FLOOR – No items from the floor presented.
V. CONSENT AGENDA – None
VI. DISCUSSION/ACTION AGENDA ITEMS
1. Discussion/Decision regarding Resolution 2024-19; Authorizing Staff to Execute Agreements with the California Department of Tax and Fee Administration for Implementation of a Local Transaction and Use Tax, and Resolution 2024-20; Authorizing Examination of Sales or Transactions and Use Taxes Records.
The City received an email from representatives at the California Department of Tax and Fee Administration on Tuesday, November 12 informing the City that preliminary election results indicated that Measure L was likely to receive voter approval, extending the current transactions and use tax in the City of Trinidad.
They further explained that in order for the CDTFA to implement the changes resulting from the approved measure, the City must complete and return all the documents listed in a 12-item checklist provided.
Embedded in the list was a requirement to adopt two template resolutions; The first (2024-19) authorizes staff to submit the Preparatory and Administrative Agreements on the City’s behalf, and the second (2024-20) simply designates the City Manager and Clerk as the City’s representatives authorized to examine sales tax records produced by the CDTFA.
Although the Preparatory and Administrative Agreements authorize the CDTFA to implement the tax continuation, it is becoming customary for State agencies to require additional layers of bureaucracy, in the form of resolutions, to accompany the agreements being submitted.
The current tax measure expires on March 31. The consequence of not meeting the CDTFA submittal deadline of December 27 for the last remaining items is that the tax continuation implementation date would be delayed to July 01, 2025.
Adopting Resolution 2024-19 will ensure the implementation date will be seamless, as planned for April 01.
This tax measure is estimated to bring in nearly $175,000 per year to the City of Trinidad. The cost of missing a full quarter would result in a potential loss of 25%, or $43,750.
Adopting Resolution 2024-20 will designate the City Clerk and City Manager to examine Sales Tax Records produced by the CDTFA, if or when necessary.
There were no public or Council comments.
Motion (Kelly/Varela) to adopt Resolution 2024-19; Authorizing Staff to Execute Agreements with the California Department of Tax and Fee Administration for the Implementation of a Local Transaction and Use Tax, and Resolution 2024-20; Authorizing Examination of Sales or Transactions and Use Taxes Records. Passed 3-0.
ADJOURNMENT: 2:15pm.
Submitted by: Approved by:
_____________________________ _____________________________ Gabriel Adams Cheryl Kelly
Trinidad City Clerk Mayor