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HomeMy WebLinkAboutDocumentation_Regular_Tab 09A1_07/12/2001 -� �� �� r �� F G v �, �; ,, ��j, ,„ ';'�a �' „� << v ° �� cH C���� { MEMORANDUM T4: Michael R. Couuo, Jr., Village Man � FROM: JoAnn Forsythe, Finance Director . DATE: July 6, 2001 SUBJECT: Local Communications Services Tax Pursuant to the attached letter from John C. Randolph, attorney for the Village of Tequesta, regarding the proposed Resolution on the Local Communications Service Tax the Village must decide: • To charge permit fees for the use of its rights-of-way " Or • Take advantage of increasing the amount of the conversion rate the State has computed for the Village After performing calculations on the various taxes that will comprise the new Telecommunications Service Tax I would suggest that we choose to increase the amount of the conversion rate the State has computed for the Village as a way to protect this revenue stream. When the 2001 conversion rate of 4.4% was used to calculate the Village's potential income, the Village had less than a 1% increase in this revenue stream. However, in the following year using the State's reduced conversion rate of 4.1% the Village had a potentia16.7% decrease in that same revenue stream. It is important to note that should the Village choose to increase the amount of the conversion rate the State has computed, the Village must notify the Department of Revenue of such election by certified mail by July 16, 2001. cc: Mary Wolcott, Village Clerk Finance/Communications Svc. Tax Memo To� � . ��R Flagter Center Tower, Suite 1100 Mailing Address T O�-�S'I'ON 505 South Flagler Drive Post Oft'ice Box 3475 Q, C�ry � n/� West Palm Beach, Ftorida 33401 West Palm Beach, Florida 33402-3475 C7� J L VDlh7 .C.ri Zelephone (561) 659-3000 Facsimile (561) 832-1454 Attaraeys aad Counsei�rs Johu G Randolp6, Esq. Direct Dial: (561) 650-0458 �maiL• jrandolph(u�jones-foster.com June 8, 2001 VIA FAX: 575-6203 Mr. Michael R Couzzo, Jr. Village Manager Village of Tequesta Post Office Box 3273 Tequesta, Flarida 33469-0273 . RE: Village of Tequesta Local Communications Services Tax Our File No. 13153.1 Dear Mike: For your considera.tion I have prepazed a Resolution to adopt the additiona10.12°/a allowed by statute under the Communications Services Tax Simplification Law in the event the Village opts not to chazge permit fees for the use of its rights-of-way. I am sending this to you because if the Village chooses to go tlus route it must notify the Department of Revenue of such election by certified mail by July 16, 2001. In addition to the above, a determination has to be made as to whether you want to take advantage of increasing the amount of the conversion rate the Sta.te has computed for the Vitlage. I ha.ve enclosed a draft resolution in regazd to that matter for your consideration. Please conta.ct me so that we can discuss how you wish to move forward with this item. Sincerely, JONES, F S R, JOHNSTON & STLIBBS, P.A. Jo C. Randolph JCR/ssm Enclosures