HomeMy WebLinkAboutAGMT - Orange County (County Counsel) [Claims Regarding Property Tax] •
AGREEMENT TO TOLL STATUTE OF LIMITATIONS FOR CLAIMS
REGARDING PROPERTY TAX ADMINISTRATION FEE
This tolling agreement ( "Agreement ") is made and entered into by and between
the County of Orange (the "County) and the City of Seal Beach (the "City ").
RECITALS
A. The County charges cities within the County a property tax administration
fee ( "PTAF ") for assessing, collecting, and allocating property tax revenues pursuant to
Revenue and Taxation Code section 95.3.
B. A dispute has arisen between the County and the City regarding the
interpretation of Revenue and Taxation Code sections 95.3 and 97.75 and the County's
calculation of the amount of PTAF that the City is charged as related to the Triple Flip
(Revenue and Taxation Code section 97.68) and the Vehicle License Fee swap (Revenue
and Taxation Code section 97.70) (the "Dispute ").
C. The parties are monitoring litigation between other counties and cities in
the State regarding the calculation of PTAF, including the City of Alhambra, et al. v. the
County of Los Angeles, et al., Case No. BS 116375 (the "Los Angeles Case "), which
involves issues similar to those raised in the Dispute.
D. The parties are engaged in discussions to resolve the Dispute.
E. The parties desire additional time to evaluate the law as it develops
regarding the issues raised in the Dispute, and wish to preserve their claims and defenses
regarding the Dispute as they exist at the time they enter into this Agreement.
AGREEMENT
NOW, THEREFORE, in consideration of the mutual promises contained in this
Agreement, the parties agree as follows:
1. The parties agree that the statute of limitations for any claim or cause of
action relating to the Dispute referenced in Recital B that would otherwise expire
between the Effective Date of this Agreement, as defined in Paragraph 8, and the
termination of this Agreement is tolled until this Agreement is terminated pursuant to
Paragraph 9 (the "Tolling Period "). This Tolling Period applies to all statutes of
limitation that have not elapsed as of the Effective Date, including any deadline by which
each party may have to submit a claim to the other under the applicable provisions of the
Government Claims Act and/or any City or County ordinance.
2. The parties hereby waive any defense that they may have to any claim or
cause of action relating to the Dispute based on the expiration of the statute of limitations,
laches, estoppel or waiver regarding the passage of time during the Tolling Period. This
waiver shall not be construed as a waiver of any statute of limitations defense that has
- 1 -
92127.1
'g
•
become established as of the Effective Date of this Agreement, or which would arise after
the date of termination of this Agreement, excluding the period during which this
Agreement has operated to toll any applicable statute of limitations.
3. The running of all applicable statute of limitations shall commence again
on the termination of this Agreement pursuant to Paragraph 9, unless there is an
extension of this tolling Agreement executed in writing by and on behalf of the parties
hereto.
4. The parties hereby waive any claim for the recovery of prejudgment
interest that might accrue during the Tolling Period with respect to any claims or causes
of action the parties might assert against each other relating to the Dispute.
5. The parties agree that neither the execution of this Agreement nor the
performance of the provisions of this Agreement shall constitute or be construed as or
constitute evidence of an admission on the part of any party of any liability.
6. Except as set forth herein, nothing contained in this Agreement shall
constitute a waiver of any claims, demands, causes of action, position, rights, remedies or
defenses in law or in equity, by any of the parties.
7. Each individual signing this Agreement on behalf of each party represents
and warrants that he or she is authorized to do so on behalf of the party he or she
represents.
8. The effective date for this Agreement (the "Effective Date ") shall be the
date the City fully executes this Agreement.
9. The Tolling Period established by this Agreement extends from the
Effective Date of this Agreement until the earlier of the following:
i. The expiration of forty -five (45) days from the date one party ( "the
terminating party") delivers to the other ( "the non - terminating
party "), via hand delivery, United States mail, or facsimile
transmission, notice that the terminating party desires to terminate
this Agreement; or
ii. July 1, 2012.
10. This Agreement shall not be offered in evidence in any action or
proceeding except to enforce its terms.
11. The execution of this Agreement does not constitute an agreement by the
parties to be bound by the results or holdings of the Los Angeles Case.
12. Any notices that either party may desire to give to the other party under
this Agreement, including specifically any notice under Paragraph 9(i) above, must be in
writing and may be given by any commercially acceptable means to the party to whom
- 2 -
92127.1
•
the notice is directed at the address of the party as set forth below, or at any other address
as that party may later designate by notice.
To City: City of Seal Beach
211 - 8th Street
Seal Beach, CA 90740
Attention: City Manager
To County: Office of County Counsel
County of Orange
333 W. Santa Ana Blvd.
Santa Ana, California 92702 -1379
With a copy to: County Executive Officer -
Hall of Administration
333 W. Santa Ana Blvd.
Santa Ana, California 92702 -1379
13. This Agreement may be signed in counterpart originals, but a faxed
signature hereon by either party shall be effective for all purpo es.
ORANGE COUNTY, CALIFORNIA r
/ f - /—
DATED: 1 16 4 -69 By: (7,./ /`
THO'G. UK
COUN Y EXECUTIVE • FFI R
APPROVED AS TO FORM:
DATED: 1 1 y 1 / r D 0 c 7 By: 4 T
ORANGE COUNTY COUNSEL
THE CITY OF SEAL BEA•CALIFORNIA
DATED: April 8, 2009 . By: 84�
Y�
David N. earmany
CITY MANAGER
APPROVED AS TO FORM: •
DATED: April 8, 2009 B /
Quinn M. Barrow
CITY ATTORNEY
- 3 -
92127.1