HomeMy WebLinkAbout09A- City Attorney's Office CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
From: John F. Wilson Subject: Request from City Attorney's Office to authorize
Sr. Asst. City Attorney issuance of a subpoena to the custodian of records
of Verizon Wireless related to collection of the
Dept: City Attorney City of San Bernardino Communication User's Tax
Date: July 29,2010
Synopsis of Previous Council action:
None
Recommended motion:
That City Attorney's office issue said subpoena
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Signature
Contact person: John F. Wilson Phone: 384-5355
Supporting data attached: Staff Reuort Ward: All
FUNDING REQUIREMENTS: Amount: 0
Source: (Acct. No.)
(Acct. Description)
Finance:
Council Notes:
75-0262 Agenda Item No. 9A
FA W ILSOMFinancelsubpoena.RegCounei1Action.wpd
CITY OF SAN BERNARDINO REQUEST FOR COUNCIL ACTION
STAFF REPORT
Subject:
Request from the City Attorney's Office to authorize issuance of a subpoena to the custodian of
records of Verizon Wireless for records related to collection of the City of San Bernardino
Communication User's Tax
Background:
Section 3.46.120(D) of the San Bernardino Municipal Code authorizes the Tax
Administrator to conduct an audit to insure compliance with the requirements of the
Communication User's Tax law. At Section 3.46.130(B) of the Municipal Code, the City,
through action of the Mayor and Common Council, is authorized to issue an administrative
subpoena to compel a person to deliver to the Tax Administrator copies of all records needed to
establish compliance with the law. In the past,these records were obtained by informal request.
We have been advised by our consultant that the vendors, including Verizon, now require formal
action by the requesting party, including the City,before permitting access to their records.
A copy of the subpoena is attached.
Financial Impact:
None
In re: Compliance Review of ) ADMINISTRATIVE SUBPOENA
City of San Bernardino ) For Production of
Communications Utility User Taxes ) Business Records
[San Bernardino Municipal Code§
3.46.130(B); 3.46.120(D); 18 U.S.C.A. §
2703 (c)(2)]
TO: CUSTODIAN OF RECORDS OF VERIZON WIRELESS
FROM: CITY OF SAN BERNARDINO
1. YOU ARE ORDERED TO PRODUCE BUSINESS RECORDS
described in Item 3 as follows:
a. By delivery of a true, legible, and durable copy of the business
records described in item 3 to: Finance Director,City of San Bernardino,
CA 95020.
2. The records are to be produced by no later than 60 days after the issuance
of the subpoena, or 55 days after service, whichever is later. Reasonable costs of
copying and postage are recoverable from the City. The records shall be accompanied
by an affidavit of the custodian or other qualified witness stating in substance each of
the following:
a. the affiant is the duly authorized custodian of records or other
qualified witness and has authority to certify the records;
b. the copy is a true copy of all the records described in the subpoena;
C. if Verizon Wireless has none of the records described,or only part
thereof, the custodian or other qualified witness shall so state in the
affidavit, and deliver the affidavit and such records as are available; and,
d. the City requests the records below on electronic media in any of
the formats: SQL, Access, or Excel, and Text for complete
descriptions of data/codes/fields, etc. Letters, directives, policies,
In re: Compliance Review
of City of San Bernardino Communications
Utility User Tax
notices, etc., may be presented in hard copy or in PDF format:
3. The records to be produced are as follows:
a. A general description (digital format if possible) of all plans
and services that are currently offered to customers in the City of
San Bernardino, including individual,family, mobile broadband,
data, international, messaging, and business plans.
b. A copy of five actual invoices of current customers in San
Bernardino for each such plan, including the portion of the
invoices that lists all charges and taxes. (You may redact the
customer name and calling information),.
C. To the extent that you bundle taxable and non-taxable services
under a single price, and you only tax the taxable portion, please
identify the values used for the taxable and non-taxable services,
based on your business books and records.
d. A current tax matrix (or similar document), which lists the
services and charges for customer billing purposes (e.g.,
regulatory surcharges, late fees, text messaging), indicating
whether the service or charge is deemed taxable or non-taxable
under the City's Communication Tax Ordinance.
e. The current names and addresses of all nonresidential
customers within the City,which,according to Verizon Wireless'
records,are designated as exempt from the City's utility users tax
(digital format if possible).
f. Since June 1, 2008, please provided the amount of UUT paid
to the City for each month, and the amount of UUT billed to
customers within the City for each such month, based on your
business books and records.
g. Please provide a description of any adjustment made by
Verizon to its UUT payments to the City (e.g., credit taken) or to
its billing system since June 1, 2008, which resulted in a
significant increase or decrease in monthly UUT payments(5% or
more).
h. Please provide a description of the current product or
database used by Verizon Wireless to correctly identify or assign
the "geocoding" of the customer's place of primary use as being
In re: Compliance Review
of City of San Bernardino Communications
Utility User Tax
within the City of San Bernardino.
i. Please describe how you currently calculate or apportion bad
debt for purposes of applying the City's UUT to the net taxable
revenues.
j. Please indicate any changes in methodology regarding the
calculation or apportionment of bad debt since June 1,2008, and
provide any documents reflecting such change.
Note: Additional records may be requested as necessary.
Date:
MAYOR