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HomeMy WebLinkAboutSupplemental - Questions from Robert Goldberg Dana Engstrom From: Robert Goldberg <rgoldberg@live.com> Sent: Sunday,January 13, 2019 7:07 PM To: Thomas Moore; Sandra Massa-Lavitt; Ellery A. Deaton; Mike Varipapa; Schelly Sustarsic Cc: Dana Engstrom; Community Media Corporation;Jill Ingram;Joe Miller Subject: My Questions and Comments for 1/14/19 Attachments: 1.14.19.Questions.cc.doc Dear Council and Staff, Please find attached questions and comments on several of the listed items for Monday's Council meeting. As always, thank you for your consideration, Robert Goldberg 1 Questions & Comments for 1/14/19 Council Meeting From Robert Goldberg Item F: Street Vendors Section 5.80.090.F requires "sidewalk vendors" to provide a trash can. Shouldn't this requirement just be for "stationary" vendors rather than all vendors? Item H: Agreements with HdL to do audits related to new sales tax payments Comment: I am not clear on why we shouldn't allow the State at least a quarter to find errors in remunerations, as we appear to do now for the existing sales tax. With the start-up of BB in April, there will likely be a large number of tax payment omissions especially by businesses outside of SB that that have to apply/use our local sales tax rate for the first time. This is especially true of new sources of sales tax for us such as car dealerships, and non-city businesses that deliver construction materials and business supplies inside city limits. Last June, HdL estimated the annual BB revenue from these new sources to be $1,275,000 or almost $320,000 per quarter (see attached pdf). HdL's 25% commission to catch these in the first quarter, before the State does, could be as much as $80,000. This commission is not recoverable to the City. On the other hand, unpaid back taxes discovered by the State should be recoverable to the City. Therefore, I think we should allow the State the chance/time to do the auditing job we are already paying them to do by giving them at a least a quarter "heads start" on HdL. Item I: Tobacco Grant According to the FDA, over the past several years, e-cigarettes were the most commonly used tobacco product by youth. This use by children and teens is especially concerning to the FDA because the developing adolescent brain is particularly vulnerable to nicotine addiction. The FDA now believes that youth use of e-cigarettes is reaching epidemic proportions. Our grant application only mentions e-cigarettes once, on page 5, under the heading School Engagement: "SBPD will conduct presentations at the above listed schools discussing the dangers of smoking tobacco and electronic cigarettes." Will any of the enforcement activities directed at retailers under this grant (such Shoulder Tap, and Minor Decoy) include the sale of e-cigarettes? Dana Engstrom From: Robert Goldberg <rgoldberg@live.com> Sent: Sunday, January 13, 2019 7:41 PM To: Thomas Moore; Sandra Massa-Lavitt; Ellery A. Deaton; Mike Varipapa; Schelly Sustarsic Cc: Dana Engstrom; Community Media Corporation; Jill Ingram; Joe Miller Subject: Re: My Questions and Comments for 1/14/19 Attachments: Sales Tax.New Revenue Sources.pdf Attached PDF is referenced in my comments on Item H. From: Robert Goldberg<rgoldberg@live.com> Sent: Sunday,January 13, 2019 7:07 PM To: tmoore@sealbeachca.gov; Sandra Massa-Lavitt; Ellery Deaton; Michael Varipapa; ssustarsic@sealbeachca.gov Cc: Dana Engstrom; Community Media Corporation;Jill Ingram;Joe Miller Subject: My Questions and Comments for 1/14/19 Dear Council and Staff, Please find attached questions and comments on several of the listed items for Monday's Council meeting. As always, thank you for your consideration, Robert Goldberg City of Seal Beach )a �( Transaction Tax Estimate-0.5%and 1.0%Kate �f'-T` � l)Hdu Population Estimate•24,440(2016)Per Capita Income $48,958(2016) C OMPANIE 5 Per Household Income-$60,222(2016) Fiscal Year Total-HDL Cash HDL Projected Estimated Revenue Major Industry Groups 2016-17 2017-18 2018-19 201920 Autos and Transportation 84,528 969031 93,827 95,227 Building and Construction 12,770 16,925 16.739 17,239 Business and Industry 206,561 157,763 113,512 176,112 Food and Drugs 355,240 356,378 354,464 361,564 Fuel and Service Stations 360,873 450,754 490,238 495,138 General Consumer Goods 1,524,343 1,488.230 1,427,295 1,417,295 Restaurants and Hotels 1,005,431 1,026,903 _ 1,079,511 1,123,911 Subtotal 3,549,746 _ 3.592,984 3,635,586 3,686.486 County Pool Allocations. 562,080 466,830 502,956 528,156 State Pool Allocations 2,796 1,181 Transfers&Unidentified 189.00 97 278 278 • Arnenneff Total PUS and Pooh 4,114,811 4,061,092 4,138,820 4,214,920 ' Adjustment for Vehicle Purchases at New Car Dealers by City Residents 700,000 '•,.dents%at Fray to,r000rdkss of where pu.rhnu,a mode E Adjustment tor Building and Construction Materials Delivered Inside City Limits 75,000 tsj ntotenola Mn be d nwnrd re the(7ty fr."',,ado,,nrho w,:)C0t)(Cr to. S O J�.G'e S Adjustment for Business and Industrial Supplies Delivered Inside City limits 500.000 C F TIT)` a:lp[•tka will be deD.-wed.tile the Ctri from Outside vendor,,rho wee Colkct to. C Adjustment for Bulk Fuel Providers Who Deliver Outside City Limits ,D•this u L. • Adjustment of Use Tax Pool Allocations /� IMIV and on/,ne ousrneava Me0.td cotkct to,bVr not to the tone level rs rhe lo.el ornronr oboes Total Adjusted Annual Revenue Projection 5.489,920 Total Adjusted Annual Revenue Projection•1.00% 5.489,920 20%Deduction for first year start up issues (109.798) First Full Year TT Revenue Projection.1.00% $ 5,380,122 Deduction for BOE administration fee $ (31,743) First Full Year TT Revenue Projection• 1 0%Net $ 5,348,379 First Full Year TT Revenue Projection-036 Subtotal 5 2,690,06] Deduction for BOE administration fee $ )30,936) First Full Year TT Revenue Projection-0.5%Net $ 2,659,125 • 6/11/2018 11)E AM LS \