Resolution No. 6873
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RESOLUTION NO. 6873
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON REQUESTING THAT THE STATE BOARD OF
EQUALIZATION PERMIT DESIGNATED EMPLOYEES OF THE
CITY OF VERNON AND HINDERLITER, DE LLAMAS AND
ASSOCIATES TO EXAMINE SALES OR TRANSACTION AND
USE TAX RECORDS PERTAINING TO THE CITY OF
VERNON
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WHEREAS, the City Council of the City of Vernon by
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Resolution No. 5775 on June 19, 1990 authorized the execution of an
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Agreement for Sales Tax Audit and Information Services with
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Hinderliter, de Llamas and Associates to provide a sales tax
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management program; and
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WHEREAS, said Agreement authorizes a combination of data
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entry, report preparation, and data analysis to effectively manage
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the municipal sales tax base and recover revenues erroneously
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allocated to other jurisdictions and allocation pools; and
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WHEREAS, in order to perform said services, Hinderliter,
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de Llamas and Associates are required to assist in measuring sales
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and use tax revenues collected through the State Board of
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Equalization (hereinafter the "Board")
and to make a routine
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analysis of business activities throughout the City; and
WHEREAS, California Revenue and Taxation Code section 7056
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provides that the City of Vernon shall adopt a resolution requesting
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that the Board allow designated employees and other persons by
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contract to examine all of the sales or transactions and use tax
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records for the City; and
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WHEREAS, the resolution must certify that the terms of
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such contract meet the requirements of paragraph
(b) (1)
of
~8 California Revenue and Taxation Code section 7056, which provisions
.
.
1 were
incorporated
in
said
Agreement
under
the
heading
2 "Confidentiality"; and
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WHEREAS, the City Clerk has recommended that this
4 resolution be adopted.
5 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
6 CITY OF VERNON AS FOLLOWS:
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SECTION 1: The City Council of the City of Vernon hereby
8 finds and determines that the recitals contained hereinabove are
9 true and correct.
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SECTION 2: The City Council of the City of Vernon hereby
11 requests that the Board permit the following designated employees
12 and persons to examine all of the sales or transaction and use tax
13 records of the Board:
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A. The City Administrator, or other officers or employees
15 designated in writing by the City Administrator.
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B.
Hinderliter, de Llamas & Associates:
Robert
17 Hinderliter, principal; Lloyd de Llamas, Principal.
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SECTION 3: The City council of the City of Vernon hereby
19 certifies that Hinderliter, de Llamas & Associates:
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A.
Has an existing contract with the City to examine
21 sales and use tax records;
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B. Is required by that contract to disclose information
23 contained in, or derived from, those sales and use tax records only
24 to the officer or employee of the City who is authorized under this
25 resolution to examine the information;
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C.
Is prohibited by that contract from performing
27 consulting service for a retailer during the term of that contract;
28 and
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D.
Is prohibited by that contract from retaining the
3 information contained in, or derived from those sales and use tax
4 records, after the contract has expired.
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SECTION 4: The information obtained by examination of
6 Board records shall be used only for purposes related to the
collection by the Board of local sales and use taxes pursuant to the
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contract between the City and the Board, and for the purposes set
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forth in the recitals to this resolution.
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SECTION 5: The City Clerk of the city of Vernon shall
11 certify to the passage of this resolution, and thereupon and
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thereafter the same shall be in full force and effect.
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SECTION 6: The City Clerk shall forward a certified copy
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of this resolution to:
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State Board of Equalization
Attention: Local Tax Administrator
450 N Street MIC 27
P. O. Box 942879
Sacramento, CA 94279-0027
APPROVED AND ADOPTED this 5th day of November, 1996.
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~ .~. ..t.........
---- ~ LEONIS C. MA~ayO
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AT~ ~~
BRUCE V. MALKENHORST, Clty Clerk
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STATE OF CALIFORNIA )
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COUNTY OF LOS ANGELES )
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I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon,
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do hereby certify that the foregoing Resolution, being Resolution
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No. 6873, was duly adopted by the City Council of the City of Vernon
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at a regular meeting of the City Council duly held on Tuesday,
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November 5,1996, and thereafter was duly signed by the Mayor of the
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City of Vernon.
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BRUCE V. MALKENHORST, City Clerk
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(SEAL)
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CITY COUNCIL DAVID B. BREARLEY
LEONIS C. MALBURG ~ City Attorney '
Mayor FAX: (818) 330-5818
THOMAS A. YBARRA KEVIN WILSON
Mayor Pro-Tem Director of Community Services & Water
. FAX: (213) 588-2761
Wm. "BILL" DAVIS
Councilman KENNETH J. DeDARIO
Director of Light & Power
H. "LARRY" GONZALES FAX: (213) 583-1983
Councilman
I DAVE TELFORD
W. MICHAEL McCORMICK Fire Chief
Councilman FAX: (213) 581-1385
BRUCE V. MALKENHORST CITY BALL LOUIS ROSENKRANTZ
City Administrator/City Clerk 4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 Police Chief
FAX: (213) 581-7924 TELEPHONE (213) 583-8811 FAX: (213) 581-1178
November. ~.8, 1996
State Board of Equalization
450 N Street MIC 27
P.O. Box 942879
Sacramento, California 94279-0027
Attention: Local Tax Administrator
Re: City of Vernon-Resolution No. 6873
Dear Sir or Madam:
Enclosed herewith for your records is a copy of the above
referenced resolution, approved and adopted by the City Council at
their regularly scheduled meeting held,November 5,.,199:6.
The resolution requests that the Board allow ..designated ,employees
of the firm of Hinderliter, de Llamas and Associates to examine
sales or transaction and use tax records pertaining to the City of
Vernon.
Very truly yours,
C ~Y OF VERNON
oria`~'. os o
Chief Depu y City Clerk
Enclosure ,
ec:`- Robert Hind'erliter
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INTER-OFFICE MEMORANDUM
DATE: July 10, 1996
TO: Chris Romero, Administrative Aide
FROM: Gloria J. Oros o hief Deputy City Clerk;
SUBJECT: RENEWAL OF HI ERLITER deLAMAS AGREEMENT FOR SALES
TAX MANAGEMENT PROGRAM
This is to advise that the Finance Committee approved renewing
the above referenced agreement with the requested increase of
fees at their meeting held June 17, 1996. Monday, I faxed the
amendment to Mr. Hinderliter, and after he reviewed the amended
agreement, he advised that he had changed his mind and was not
going to increase his fee for the 1996-97 fiscal year.
Accordingly, we removed the matter from the City Council Agenda
last night and no action is necessary. The old agreement will
remain in effect.
Thank you for your research in this matter.
GJO/hr
CITY COUNCIL DAVID B. BREARLEY
LEONIS C. MALBURG City Attorney
Mayor FAX: (818) 330-5818
THOMAS A. YBARRA KEVIN WILSON
Mayor Pro-Tem Director of Community Services & Water
FAX: (213) 588-2761
Wm. "BILL" DAVIS
Councilman KENNETH J. DeDARIO
Director of Light & Power
H. "LARRY" GONZALES FAX: (213) 583-1983
Councilman
DAVE TELFORD
W. MICHAEL McCORMICK Fire Chief
Councilman FAX: (213) 581-1385
BRUCE V. MALKENHORST CITY HALL LOUIS ROSENKRANTZ
CityAdministrator/City Clerk 4305 SANTA FE AVENUE, VERNON, CALIFORMA 90058 Police Chief
FAX: (213) 581-7924 TELEPHONE (213) 583-8811 FAX: (213) 581-1178
July 8, 1996
BY FACSIMILE ONLY
909 861-7726
Robert Hinderliter
HdL Companies
1340 Valley Vista Drive, Suite 200
Diamond Bar, California 91765
Dear Mr. Hinderliter:
.Based on your letter of April 24, 1996, the requested increase for
your services for the 1996-97 year has been approved. The City
Attorney has determined that an amendment to the agreement is
necessary, and transmitted herewith is a copy of the proposed
agreement for your review.
Please call me prior to the City Council meeting which will be held
tomorrow at 5 p.m., and advise me if this amendment meets with your
approval.
Very truly yours,
CITY OF VERNON
loria J . r~ sco
''Chief Dep ty City Clerk
GJO/hr
Enclosure V
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07/08/96- 12:38 FAX 818 330 5818 DAVID B BREARLEY CITY .CLERK I~]002/003
AMENDMENT NO. 1 TO
ACRE MENT FOR SALES TAX AUDIT AND INFORMATION SERVICES
THIS AMENDMENT is made, entered into and executed in
duplicate originals, either copy of which may be .considered and
.used as the. original hereof for all purposes, as of this ~
.day of , 1996,
BY AND BETWEEN CITY;OF VERNON, a municipal
corporation. (hereinafter
.referred to as "CITY")
4305 Santa Fe Avenue
Vernon, CA 90058-0805
AND HINDERLITER, DE .LLAMAS &
ASSOCIATES (hereinafter
referred to as "Contractor")
1340 Valley Vista
Diamond. Bar, CA 9.1765
RECITALS•
WHEREAS., City Council of the City of Vernon by Resolution
No. 5775 on June 19, 1990 authorized the execution of an Agreement
for Sales Tax Audit and Information Services with Contractor to
provide a sales tax management program; and
WHEREAS, Contractor has requested an increase in its
discovery fees from Fifteen Percent (15%) to Twenty-five Percent
(25%); and
WHEREAS, City. desires to renew said Agreement.
NOW, THEREFORE, IN CONSIDERATION OF THESE MUTUAL
COVENANTS, THE PARTIES HERETO AGREE AS FOLLOWS:
SECTION 1: The first paragraph of Section B under
"CONSIDERATION" of said Agreement is hereby amended to read as
follows:
"Contractor shall be .further paid 25% of allnew
Sales and/or Use tax revenue received by the
.07/08/96 12:39 FAX 818 330 5818 DAVID B BREARLEY CITY CLERK ~ 003/003
City as a result of audit and recovery work
performed by Contractor. Said percentage fee
will apply to fund transfers received for back
quarter reallocations and monies, received in the
first eight consecutive reporting-quarters
following completion of the audit by Contractor
.and confirmation of correc~ioris by the State
Board of Equalization."
SECTION 2: All other terms and conditions of said
agreement are renewed and continued until terminated as set forth
therein.
IN WITNESS WHEREOF, the parties hereto have caused this
Amendment No. 1 to be executed on the date first above written by
their respective. officers duly authorized in that behalf.
HINDERLITER, DE. LLAMAS &
ASSOCIATES, a California
Corporation
By:
Title:
CITY OF VERNON
By:
LEONIS C. MALBURG, Mayor
ATTEST:
By:
BRUCE V.~MALKENHORST, City. Clerk
APPROVED AS TO FORM:
By:
DAVID B. BREARLEY, City Attorney
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07i08i96 .14:14
SESSION N0._ 927 ID=CITY ADMIM CITY LERK
DATE TIME SCR-TIME DISTANT STATION ID MODE PAGES .RESULT
07108 14:12 01'43" 19098617726 G3 -S 03 OK 0000
i
CITY COUNCIL ~ Y
LEONIS C. MALBURG
Mayor
THOMAS A. YBARRA
Mayor Pro-Tem `~!s & Water
Wm. "BILL" DAMS
Councilman ` IO
\ rer
H. "LARRY" GONZALES ~ ~ V-
Councilman S~
W. MICHAEL McCORMICK ® Fire Chief
Councilman FAX: (213) 581-1385
BRUCE V. MALKENHORST CITY HALL LOUIS RosENKRANTZ
City Administrator/City Clerk 4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 Police Chief
FAX: (213) 581-7924 TELEPHONE (213) 583-8811 FAX: (213) 581-1178 ~
June 13 , 19 9 6 v 1~/
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Finance Committee
City of Vernon
Honorable Members:
The agreement with Hinderliter, de Llamas & Associates providing for a
Sales Tax Management Program will expire June 30, 1996. There will be
no increase in their basic fee structure for 1996-97; however, the
company is requesting a l0a increase of their misallocated tax. recovery
fees from 15% to 25% which appears to be standard for this type of
service.
It is hereby recommended that the 10% increase be approved and any
necessary documents be prepared.
Very truly yours,
Bruce V. Malkenhorst
Director of Finance
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June 13, 1996
TO: Gloria Orosco, Chief Deputy City Clerk
FROM: Christopher Romero, Administrative Aide
SUBJECT: SALES TAX CONSULTANTS SURVEY
After further research, we have found that there are primarily
two companies (.Hinderliter, deLlamas and Municipal Resource
Consultants) that provide sales tax recovery services for
municipalities. .Although Hinderliter, deLlamas has increased their
fees to 25%, the fees charged by MRC are also 25%.
Given that both companies charge similar fees, I would
recommend at this time that we renew the Hinderliter, deLlamas
contract through the 1996-97 fiscal year.
I will be evaluating the services, special programs, and
references of both companies over the next year. I will have a
detailed report for you, in addition to a recommendation at this
time next year. If you have any questions, please let me know.
c:\wp5ldir\hindtax
OFFICE OF THE
CITY ADMINISTRATOR
..INTER-DEPARTMENT MEMORANDUM
DATE: June. 3, 1996
TO: Chris Romero, Administrative Aide
FROM: Gloria J. oho, Secretary to City Administrator
RE: Hinderliter, De Llamas & Associates, (HdL Companies) -
Sales Tax Revenue Information
Dear Chris:
The City has been using the consulting services of "HdL" for
approximately 6 years, for the purpose of recovering misallocated
sales tax revenues. The company is presently requesting a 10%
increase of their recovery fees from 15% to 250. Apparently they
addressed a letter to the City on this issue which was received by
staff on April 29. Presently I am having Claudia contact other
consultants for their fees which Bruce would like you to review as
soon as she completes. I would also like you to review the letter
from "HDL" (copy attached) and ascertain if the reason for their ~
increase is due to them providing additional services that we are in
need of, (Claudia should be able to identify any other services that
they have been providing for us), or if it is for services ghat we
will not benefit-from.
.Chris, bottom line is that if the additional services are not
essential and if another firm caiz provide the same services at a
lesser fee that may be an option we will take. As they intend the
new fees to be effective July 1, time is of the essence. I will be
writing to them this date advising that this information was just
submitted for review and that we will be getting back with answer
.very soon.
:CAdmMemo
.:i L. ~ ~ ~ it S ~
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TO: Bruce V. Malkenhorst, City Administrator.
FROM: Gerald W. Forde, Assistant to the City Administrator-
DATE: May 21, 1996
SUBJECT: HINDERLITER, DE LLAMAS & ASSOCIATES
In reference`to the attached letter from Hinderliter, de Llamas & .Associates, their-
percentage for the recovery of misallocations -will be increasing: -from 15 % to
25%. All. other costs will remain-the same, The 10% increase as indicated is to
support a number of `enhancement activities discussed in the attached letter.
Please advise how you wish to handle.
GWF/cg
Enclosure
CITY COUNCIL DAVID B. BREARLEY
LEONIS C. MALBURG City Attorney
Mayor FAX: (818) 330-5818
THOMAS A. YBARRA KEVW WILSON
Mayor Pro-Tem Director of Community Services & Water
FAX: (213). 588-2761
Wm. "BILL" DAMS
Councilman KENNETH J. DeDARIO
Director of Light & Power
H. "LARRY" GONZALES FAX: (213) 583-1983
Councilman
DAVE TELFORD
W. MICHAEL McCORMICK Fire Chief
Councilman TTY/ FAX: (213) 581-1385
BRUCE V. MALKENHORST CI 1 1 LOUIS ROSENKRANTZ
City Administrator/City Clerk 4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 Police Chief
FAX: (213) 581-7924 TELEPHONE (213) 583-8811 FAX: (213) 581-1178
,June 3, 1996
.The HdL Companies
1340 Valley Vista Drive Ste. 200
Diamond Bar, CA 91765
ATT: Robert Hinderliter
RE: Contingency Fee for Transfer Tax
Dear Mr. Hinderliter:
Your letter of April 24, was recently brought to the attention of Mr.
Malkenhorst. Due to-the fact it-was only recently received we are just
now reviewing the overall impact and related costs and will be advising
you if the 10% increase is acceptable to the City of Vernon or if we
will be considering other options. I apologize for the delay in
getting back to you and hope that we are able to continue to do
business in the future.
Very truly yours,
CIT~ OF VERN'O~j
~o
~~DI~
• ~oria Orosco
` Secretary to City Administrator
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cc: C. Romero, Admin. Aide II
CITY COUNCIL DAVID B. BREARLEY
LEONIS C. MALBURG ~ City Attorney
Mayor FAX: (818) 330-5818
THOMAS A. YBARRA WIL'SON
Mayor Pro-Tem Director of Community Services & Water
FAX: (213) 588-2761
Wm. "BILL" DAVIS
Councilman KENNETH J. DeDARI0
Director of Light 8z Power
H. "LARRY" GONZALES FAX: (213) 583-1983
Councilman
DAVE TELFORD
W. MICHAEL McCORMICK Fire Chief
Councilman
CITY HALE, FAX: (213) 581-1385
BRUCE V. MALKENHORST LOUIS ROSENKRANTZ
City Administrator/City Clerk 4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 Police Chief
FAX: (213) 581-7924 TELEPHONE (213) 583-8811 FAX: (213) 581-1178
June 3, 1996
The HdL Companies
1340 Valley Vista Drive Ste. 200
Diamond Bar, CA 91765
ATT: Robert Hinderliter
RE: Contingency Fee for Transfer Tax
Dear Mr. Hinderliter:
Your letter of April 24, was recently brought to the attention of Mr.
Malkenhorst. Due to the fact it was only recently received we are just
now reviewing the overall impact and related costs and will be advising
you if the 10% increase is acceptable to the City of Vernon or if we
will be considering other options. I apologize for the delay in
getting back to you and hope that we are able to continue to do
business in the future.-
Very truly yours,
CIT~ OF VERN~O
~loria Orosco
` Secretary to City Administrator
/gj o
cc: C. Rolxo, Admin. Aide II
D , Revenue Management for Local Government
~ ~ Hinderliter, de Llamas & Associates
HdL Coren & Cone
Apri124,1996
Gerald Forde -
City of Vernon ,
4305 Santa Fe Avenue . `
Vernon, California 90058 ~ -
Dear Gerald:
.Thank your for your business during the last ~ year. The opportunity. to work with you has
been very rewarding and hope that we can continue to meet your revenue management
needs.
Please note that there will be no increase in our basic fee structure for sales and ropert tax
services in 1996-97. HdL's success in expanding both its database and the use of automation ~
has allowed continuous addition of new improvements and services without ~an increase in
the rates for several years..We hope. to maintain that record in the future.
v
The one. fee that will change is -the contingency fee'. for monitoring of -the recently-
implemented documentary transfer tax. Although we did achieve -the degree of automation
tihat was intended for this new service, the co rocessing corrections turned out
to be higher than anticipated. Therefor effective July 1, will have to increase our fee
from 15% of the revenue recovered to a more
reaIis~ o. ne of the enhancements that is
being developed. for this service is use of the data to generate management reports on the rate
and character of property turnover.
Other enhancements that you can anticipate in 1996-97 include added features to the
"Windows" software for sales tax and introduction of "Windows" for property. tax. Several
,:new management reports from the .property tax data .are anticipated. Recent additions
include quarterly appeals impact estimates, and listings of appeals of the'top 25 taxpayers.
The ..^.~xt rev preperty tax report tiYill provide comparisons of property. tax categories far
your city and a group of selected cities. HdL Coren and Cone expanded -its financial services
by providing several redevelopment agencies Lotus software programs for- the calculation of
pass-through agreements, including AB 1290 pass-throughs.
For those of you that have not yet begun .monitoring that category. of revenue, our
franchise/utilities user tax review program has been available since. October. This service is
offered on a contingent -fee basis and includes cable and refuse. franchises a$ well as the more
traditional utility service providers. We are currently performing audits ,for .13 agencies.
Nancy Hicks can provide you with an evaluation on whether. it is something that you should
consider implementing.
A new software, program for business licenses has been in development since last November iJ
and is in "test mode" this month, It is being released to five of our clients who are "beta"
sites for the program. It-will be available to other clients in September o~ October of 199b.
I~ECEI~ED APR ~ 91996 .
1340 Valley Vista Drive I Suite 200 I Diamond Bar, CA 191765 I [909] 861-4335 I Fnx [909] 861-7726 '
The software is a complete system for processing business licenses including issuance,
renewals, payment .processing, tracking and will overlay with other databases including
HdL's sales and property tax programs, to help identify unlicensed businesses. The'program
is a "Windows" application and will run.alone or on a network. If your agency is interested
in looking at the test package or want some tentative pricing information, .give Nancy Hicks a
call.
Once again, thank you for allowing us to serve. you. Please feel free to call any of us with
your thoughts: on how ~we can make our services more useful for your specific needs.
Sincerely, - -
l7~
HdL Companies
CITY COUNCIL DAVID B. BREARLEY
LEONIS C. MALBURG City Attorney
Mayor FAX: (818) 330-5818
THOMAS A. YBARRA KEVIN WILSON
Mayor Pro-Tern Director of Community Services & Water
FAX: (213) 588-2761
Wm. "BILL" DAVIS
Councilman KENNETH J. DeDARIO
Director of Light & Power
H. "LARRY" GONZALES FAX: (213) 583-1983
Councilman ;I
W. MICHAEL McCORMICK DAVE TELFORD
Fire Chief
Councilman FAX: (213) 581-1385
BRUCE V. MALKENHORST CITY HALL LOUIS ROSENKRANTZ
City Administrator/City Clerk 4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 Police Chief
FAX: (213) 581-7924 TELEPHONE (213) 583-8811 FAX: (213) 581-1178
June 3, 1996
The HdL Companies
1340 Valley Vista Drive Ste. 200
Diamond Bar, CA 91765
ATT: Robert Hinderliter
RE: Contingency Fee for Transfer Tax
Dear Mr. Hinderliter:
Your letter of April 24, was recently brought to the attention of Mr.
Malkenhorst. Due to the fact it was only recently received we are just
now reviewing the overall impact and related costs and .will be advising
you if the 10% increase is acceptable to the City of Vernon or if we
will be considering other options. I apologize for the delay in
getting back to you and hope that we are able to continue to do
business in the future.
Very truly yours,
CI~ OF VERNON~
'DLL ~j21~~~
Gloria Orosco
Secretary to City Administrator
/gjo
CC: C. Romero, Admin. Aide II
OFFICE OF THE
CITY ADMINISTRATOR
INTER-DEPARTMENT MEMORANDUM
DATE: June 3, 1996
TO: Chris Romero, Administrative Aide
FROM: Gloria J. o ~ o, Secretary to City Administrator
RE: Hinderliter, De Llamas & Associates, (HdL Companies) -
Sales Tax Revenue Information
Dear Chris:
The City has been using the consulting services of "HdL" for
approximately 6 years, for the purpose of recovering misallocated
sales tax revenues. The company is presently requesting a 10°s
increase of their recovery fees from 15% to 25%. Apparently they
addressed a letter to the City on this issue which was received by
staff on April 29. Presently I am having Claudia contact other
consultants for their fees which Bruce would like you to review as
soon as she completes. I would also like you to review the letter
from "HDL" (copy attached) and ascertain if the reason for their
increase is due to them providing additional services that we are in
need of, (Claudia should be able to identify any other services that
they have been providing for us), or if it is for services that we
will not benefit from.
Chris, bottom line is that if the additional services are not
essential and if another firm can provide the same services at a
lesser fee that may be an option we will take. As they intend the
new fees to be effective July 1, time is of the essence. I will be
writing to them this date advising that this information was just
submitted for review and that we will be getting back with answer
very soon.
:CAdmMemo
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MEIViQRAND~TIVT
TO: Bruce V o Malkenhorst9 City. Administrator
~R®M:: Gerald W. Forde, Assistant to the City Administrator
DATE> May 21, 1996
SUBJECT: HINDERLITER, DE LLAMAS & ASSOCIATES
In reference to the attached letter from Hinderliter, de Llamas & Associates, heir
percentage for the recovery of misallocations will be increasing from 15 % to
25 All other costs will remain the same. The 10% increase as indicated is to
support a number `of enhancement activities discussed in .the attached letter.
Please advise how you wish to `handles
GWF/cg
.Enclosure
Revenue Management for Local Government .
S ~ ~ Hiriderliter de Llama's & Associates
- : ~ `-HdL ~oren~& Cone ~ '
Apr124, ~ 1996 : -
Gerald Forde- -
City of Vernon. :
43Q5 Santa Fe Avenue. .
~Vernon;'California 90058 -
,
Tear Gerald.
Thank your for -your business during the last ~ year:", The opportunity to 1work with you has , ,
been very.. rewarding and hope that we can continue to .meet your revenue management
needs,
Pleasenote'that~there will be no increasen ourbasicfee stiucturefor saps and`yfoperty tax.. ~t~
services i~ 1996-97. HdL's success _in expanding both its database and the use of automation ~ Uji,
has ..allowed continuous" addition of new improvements and services without ~an increase .in
the rates for several years. W,e hope to maintain:that record in the future. ` % .
,The: one fee that will change is,' the contingency fee , for moziitoring of -the :.recently- -
implemented documentary transfer #ax:" Although we did achieve.-:the degree. of automation
that was intended for this new service, the co x~vsl~d,' rocessing corrections turned oufi
" to b`e higher than anticipated., Therefox = effective July_ 1, < ~ will have ~to increase our" fees
from 15%'of the revenue recovered to a more
r`"
a
is1>.e o.. ne of"the enhancements that is',"
' being developed for this service is use of the data to generate management reports on the rate
and character of property turnover. - ~ ,
Other enhancements "that "you can anticipate ~ yin 1~~96-97include, added features ~to the
Windows software. fo'r sales tax and introduction of Windows., -for property tax. Several
,,zlew management reports -from :the property tax data are anticipated.. Recent additions:
include quarterly appeals impact estimates; .and listings of appeals: of the` top 25 -taxpayers. ' "
ov -?~+~P~*T r P 4 nv rP nr4 .a,i~ rln nn r v 4 0 ~
" The n.,..t p.o~.rzj tun a,v~vat EiY .11 proL iuv-ce::~puriuvnv of p.opert,. ~~X' cut~.~orae~ for..
your city and a group'of selected cities. 'HdL Coren and Cone expanded its financial services.. .
by providing several redevelopment agenexes Lotus software programs:for the calculation of
` `pass-thrpugli agreements, including AB 1290, pass-throughs
" For. those- Hof you that have not yet begun .'monitoring,ahat category of revenue, our
franchise/utilities user tax review program has been available since October. This service is
` offered on a contingent fee basis and includes cable and refuse franchises a$ well as the more
traditional: utility. service providers: We -are currently "performing audits "for ,13 agencies. ;
Nancy,Hicks.can provide you with an evaluation on whether: it is something that you should-
consider implementing.
Anew software program for; b~lsiness licenses has been in development since last November:
and ism :.test mode this month It is being released to five of our clients who are :beta
sites for the program. It will be available to other clients in September oY October of 196: ~ .
~~:AP~ 9 1996
130 Valley Vista Drive "l Suite 200 I I)ianiond_Bar, CA' 19.1765 ; I [909] -861-4,335 I rnx [909] 861-7726 '
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The software is a complete system for processing business licenses ;including issuance,
renewals,, payment processing, tracking and will overlay with ether databases including
_ HdL's sales and property tax;programs, to help identify unlicensed businesses. The program
is a "Windows° application and will rune. alone: or~ on a network. If your agency is interested
in looking at the test package or want some tentative pricing information; dive Nancy Hicks,a
call.
Qnce again; thank you ,for allowing us to serve you: Please feel free to ;call any of us with
your thoughts~on how~we can make our services more useful for your specific ri~eds:. ; _
Sincerely,
i
~HdL Companies ~ ~ ~
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