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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
From: Barbara Pachon, Director of Finance
Dept: Finance
OR '1'1 , q1L
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Subject: Resolution approving the City of
San Bernardino's Utility User's Tax
Summer Rebate Program and
Awarding a Contract to CBS Payroll
For the Processing of the Rebate
Checks.
Date: July 16,2001
Synopsis of Previous Council action:
5/30/01
Ways & Means Committee directs Finance Director to explore and develop
options for the administration of a Summer Utility User'sTax Rebate Program
Finance Director reports back to Ways & Means on various options for
administering a Summer Utility User's Tax Rebate Program and is directed
to further develop the preferred options.
Ways & Means Committee directs the Finance Director to bring the rmal
Summer Utility User's Tax Rebate Program to Council for rmal approval
and adoption.
6/20/01
6/26/01
Recommended motion:
Adopt Resolution
Contact person:
Barbara Pachon. Director of Finance
Phone:
ext. 5242
Supporting data attached:
Yes
Ward:
All
FUNDING REQUIREMENTS: Amount: $1.500.000
Source: (Acct. No.) 001-092-5192
Finance:
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Council Notes:
Agenda Item No.
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RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF
THE CITY OF SAN BERNARDINO APPROVING THE UTILITY USER'S
TAX SUMMER REBATE PROGRAM AND AUTHORIZING THE
EXECUTION OF AN AGREEMENT BETWEEN THE CITY OF SAN
BERNARDINO AND CBS PAYROLL FOR THE PROVISION OF UUT
REBATE-CHECK PROCESSING SERVICES.
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF
THE CITY OF SAN BERNARDINO AS FOLLOWS:
SECTION I. The Finance Department is hereby authorized and directed
to implement the Utility User's Tax Summer Rebate Program as outlined in the
attached staff report, a copy of which is attached hereto as Exhibit "A" and
incorporated herein by reference.
SECTION 2. The Mayor of the City of San Bernardino is hereby
authorized and directed to execute on behalf of said City an agreement with CBS
Payroll for the provision of UUT rebate-check processing services to the City of
San Bernardino, a copy of which is attached hereto as Exhibit "B" and
incorporated herein by reference.
SECTION 3. The authorization to execute the above referenced
agreement is rescinded if the parties to the agreement fail to execute it within sixty
(60) days for the passage of this resolution.
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RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF
THE CITY OF SAN BERNARDINO APPROVING THE UTILITY USER'S
TAX SUMMER REBATE PROGRAM AND AUTHORIZING THE
EXECUTION OF AN AGREEMENT BETWEEN THE CITY OF SAN
BERNARDINO AND CBS PAYROLL FOR THE PROVISION OF UUT
REBATE-CHECK PROCESSING SERVICES.
I HEREBY CERTIFY that the foregoing resolution was duly adopted by
the Mayor and Common Council of the City of San Bernardino at a
meeting thereof, held on the _ day of
, 2001, by the following vote to
wit:
COUNCIL MEMBERS
AYES NAYS
ABSTAIN
ABSENT
ESTRADA
LIEN
MC GINNIS
SCHNETZ
SUAREZ
ANDERSON
MC CAMMACK
Rachel G. Clark, City Clerk
The foregoing resolution is hereby approved this _day of
2001.
Approved as to form
and legal content:
Judith Valles, Mayor
City of San Bernardino
JAMES F. PENMAN
City Attorney
By: t.-- )-_ f..~
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EXHIBIT A
STAFF REPORT
SUBJECT
Resolution approving the City of San Bernardino's Utility User's Tax Summer Rebate Program
and awarding a contract to CBS Payroll for the processing of the rebate checks.
BACKGROUND
With the summer months here and a new.round of electricity rate increases in effect, the Mayor
. and Council have been concerned about finding ways to offer both residents and businesses some
degree of financial relief. The Mayor and Council have expressed concerns that with the higher
electricity rates, the City may experience extraordinary growth in the Utility User Tax (UUT)
revenues in FY 2001-2002 that will exceed the increased cost that the City has to pay for
utilities, particularly electric.
At the May 30, 2001, Ways and Means Committee meeting the Mayor and committee members
directed the Finance Department to explore and develop options for rebating a portion of the
UUT billed on electricity for the summer months of July and August. On June 20, 2001, the
Finance Department presented various options for administrating a summer UUT rebate program
and was directed by the committee to further develop and refine the committee's preferred
options.
In summary, the original options presented by the Finance Department to the Committee
included a credit program utilizing the Water Department's billing system, a coupon/application
process, and a true formal rebate program. The major strengths and weaknesses of each option
were presented and discussed with the Committee and these were factored into the Committee's
decision. Outlined below are the two programs approved and recommended by the Ways and
Means Committee. Although costing was estimated for each program, please note that given the
current situation with electricity, there is no reliable way to estimate what the actual UUT will be
collected on electricity. As discussed during budget workshops with the Mayor and Council,
estimates are based on the best, most current information Finance has available.
The table below reflects information provided by Edison regarding the accounts they handle
within the City of San Bernardino for the period of June 2000 through May 2001. Although
Edison does not provide electricity to every City resident and business, they do provide the
majority of electric service within the City, so Finance utilized this information in developing
UUT rebate options:
Annual City Tax Collected
# of Monthly Billings
% ofTota! Annual Tax Collected
Average $$ Monthly City Tax
$4,413,961
7,782
58.2%
$47.47
$3,169,565
57,053
41.8%
$4.63
$7,583,526
64,836
100%
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Pr02ram 1- Issue a credit to Residential Customers. utilizin2 the Water Denartment's
billin2 svstem
The challenge that the City faces in implementing a rebate program is getting the rebate out as
fast as possible to residents and businesses while keeping the cost to administer the program as
low as possible. Utilizing the City of San Bernardino Water Department's billing system to
credit back a minimum flat amount was deemed the best option for getting rebates to City
residents.
The Water Department issues invoices for water services to approximately two-thirds or more of
the City's residents. The Water Department has approximately 40,100 accounts that are invoiced
monthly and approximately 88% of the accounts are residential and the remaining 12% are non-
residential. Included in the total are accounts serviced in the County pocket areas and other
cities. However, city residents and business served by East Valley Water District and other
water districts are not included, so for costing purposes it is assumed that these two variables
cancelled each other out.
Instead of calculating a different rebate amount for each residential account and then dealing
with the administrative problem of processing thousands of checks, it is recommended that
issuing a minimum flat fixed credit in the amount of $10 per month for each residential account
would be best. The credit will be processed as a payment on residential water bills. The City
will have available 1-2 lines in the message box on the water bill to refer customers to a flyer
r- that will be inserted with the water bill explaining the nature of the credit.
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Based on the information provided by Edison, staff estimates the average residential UUT
electric billing will be approximately $10 per month during the summer months of July and
August. If a $10 credit was applied to each residential water billing effective August Ist, it is
estimated that the cost for the credit would be $352,900 per month, or $705,800 for two months.
If the amount of UUT paid by a city resident for July and August is greater than the $10 credit
received on their water invoice, the resident can apply through the City Finance Department to
receive the difference between the $10 credit and the actual amount of their July and August
UUT payments.
Residents who live in multi-family dwellings, rent, or do not receive water service from the City
Water Department, will still be able to receive the minimum $10 credit by applying for a check
through the City Finance Department. Finance will mail applications to as many of these
residents as can be identified using the Water Department's recently completed CASS
certification database. Notices and the application form will also be printed in the newspaper,
and available at City Hall and Libraries.
The IS (Information Services) Department, utilizing the CASS certification database, will be able
to eliminate most of the accounts that the Water Department invoices in the cities of Lorna
Linda, Rialto, and Colton. The IS Department will also compare the CASS database to GIS
information to eliminate as much as possible the potential of "county pocket" residents receiving
the UUT credit. It should be noted however, that it will be impossible to have 100% accuracy in
eliminating all the non-city residents so a few of these accounts may receive the $10 credit in
error.
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The administrative costs associated with this option include approximately $2,500 in cost
associated with printing an informational flyer and inserting it in the water bill; and $5,000 in
costs associated with programming the Water Department billing software to process the credit
and produce necessary reports. The Board of Water Commissioners approved the use of Water
Department resources to support the City's UUT rebate program at their 7/30/01 meeting.
The advantage of doing this kind of program is that administrative costs are kept relatively low.
By issuing a flat amount on the water bill, the need for extra staff to calculate rebate amounts and
enter them into a system so that checks can be processed is eliminated. Additionally, with this
type of program, more residents will receive relief faster than with a formal rebate program and
little or no effort is required on the part of the resident.
It is important for the Mayor and Council to note that this type of program would be considered a
"credit " program rather than a "rebate" program. Residents that engage in significant
conservation practices will benefit more from this program as compared to a formal rebate
program because their rebate or credit amount is not reduced if their usage goes down. If the
amount ofUUT billed for electric is less than $10 for residential customers they are able to use
the excess rebate to offset increased utility costs.
Handling this program as a credit will most likely result in more UUT being credited back to
residential customers than would have been paid under a formal rebate program because there is
little or no effort required by customers, so participation will be close to 100%.
Prolmlm 1- Issue a credit in lieu of a rebate. utilizine: the Water Deoartment's
billine: system
(based on two-month rebate program)
SUMMARY
Residential Residential Total
I sl Month 2nd Month
Total estimated rebate $352,900 $352,900 $705,800
Monthly rebate/credit amount $10 $10 $20
Administrative costs $7,500
Notes: Low administrative cost; fast delivery of rebate to
customers; low effort required by customers; more
UUT rebated back than under a formal rebate
program; customers can apply for any additional
rebate that may be due over the $20 credit
. automatically given.
Proe:ram 2- Formal Rebate Proe:ram For Non-Residential
The second program being recommended is to administer a formal rebate program for businesses
and residential customers who are not serviced by the City's Water Department. These
customers will submit copies of their actual electric bills for July and August showing the
amount that they have been billed for City UUT. Finance will review the submitted information
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and issue a rebate check to the business or resident. Because there is no way for the City to
verify that a resident or business actually paid the UUT on their electric bill without waiting for
the next month's billing, Finance will process the first month rebate request without any
verification. However, Finance will not process a second month rebate without the first month
showing paid on the invoice. As discussed previously with the Ways and Means Committee, it is
difficult to determine the amount that will be rebated back under this program. With rate
increases, the amount of additional UUT billed on electricity for the months of July and August
could reach as much as $1 million per month. However, there is no way to know what level of
participation there will be for requesting rebates under this program.
Finance will mail a rebate application to every applicable business having a valid City business
registration on file. Applications will also be available in the lobby of City Hall, at the Chamber
of Commerce, Libraries, and on the City's website. It is also planned to have a notice and
application form printed in the newspaper. The application will provide businesses with two
options for receiving their rebate. The first option will be to receive a rebate check. The second
option will be to apply the rebate amount to their next business registration fee. Finance is
working with the City Clerk's office to establish procedures for handling this option should a
business choose it.
The administrative costs associated with this option are significantly higher than those of
Program 1. The cost is also highly dependent upon how many residents and business choose to
participate in the program. According to Edison, they generate approximately 7,700 non-
resident bills monthly for accounts in the City of San Bernardino. Assuming that only 50% of
those eligible participate, the City is still looking at processing approximately 3,850 checks per
month (7,700 checks issued for a two month period). The Finance Department's Accounts
Payable Division processes approximately 1,333 checks monthly, so there is no feasible way for
them to handle this additional workload for this program. Processing rebate checks will have to
be contracted out and temporary staff will have to be hired to assist in handling the mail,
telephone calls, visitors and paper processing involved with this program.
Finance did contact two check-processing businesse.s. CBS Payroll, located within the City of
San Bernardino was very interested in assisting the City with the program and provided a
number of suggestions regarding administration of the program. The other firm contacted did
not demonstrate much interest in assisting with this program.
After Finance had several meetings with CBS Payroll, it was determined that CBS could handle
the processing and mailing of all rebate checks after Finance approved the rebate application.
CBS will charge $2 per business rebate check and $2.50 per residential rebate check they
process. This price includes obtaining the check stock, the processing and printing of the check,
and finally mailing the check out. If 7,700 businesses participated in the program for two
months, the cost to be paid to CBS would be $15,400. If 5,000 residents participated in this
rebate program for two months, the administrative cost to be paid to CBS would be another
$12,500 approximately. Costs for temporary employees to help with telephone calls, visitors to
City Hall, and application review, would cost approximately $5,000 to $10,000. Cost to insert an
informational flyer in the water bill is estimated to be approximately $2,500.
Processing the rebate checks to businesses will cost less than the residential checks because IS
can provide CBS payroll a disk that contains the names and addresses of all City Businesses
from the Business Registration database. This reduces the amount of manual data entry and
therefore reduces costs. The business registration database to be provided to CBS will only
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contain business name and address. No other confidential information that the City receives as
part of a business registration will be provided.
The advantage of doing this kind of program is that you are able to truly rebate the exact amount
of OUT paid by a business back to them. The major variable with this type of program is
estimating the level of participation that will occur. Additionally, this type of program puts more
of a burden on residents and businesses. If a business does not mail or bring in copies of their
July and August electric bills, they will not receive a rebate. While it is difficult to ascertain the
level of participation that will occur, Finance has provided you with estimated rebate and
administrative costs assuming participation rates of 10%, 50%, and 70%.
Proeram 2- Formal Rebate Proeram
(based on two-month rebate program)
SUMMARY
Non-residential Residential Total
Total estimated rebate:
10% participation $115,500 $ 5,000 $ 120,500
50% participation $577,500 $ 25,000 $ 602,500
70% participation $808,500 $ 35,000 $ 843,500
Monthly average rebat~ estimate $75 $10
Administrative costs:
10% participation $ 10,000
50% participation $ 27,500
70% participation $ 36,200
Notes: Higher administrative cost; higher burden on
residents and businesses to obtain rebate, fewer
rebates given; more accurate rebate returned to
residentnJusiness
Financial Imnact:
As part of the FY 2001-2002 budget process, the Mayor and Council included $1,500,000 in
account number 001-092-5192 for this program. It is estimated that this amount is sufficient to
cover all rebate and administrative costs for this program.
Recommendation:
Adopt resolution approving the City of San Bernardino's Utility User's Tax Summer Rebate
program and award a contract to CBS Payroll for the processing of the rebate checks.
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AGREEMENT
THIS AGREEMENT, made and entered into this day of ,
2001, by and between the CITY of San Bernardino, a municipal corporation, hereinafter
referred to as "CITY" and CBS Payroll, hereinafter referred to as "CONTRACTOR".
WITNESSETH
WHEREAS, CITY desires check processing services for the Summer Utility User's Tax
Rebate Program, and
WHEREAS, CONTRACTOR warrants that it is trained, expert and experienced in the
performance of such check/payment processing services,
NOW, THEREFORE, in consideration of their mutual promises, obligations and
covenants hereinafter contained, the parties hereto agree as follows:
1.
TERM. Unless terminated earlier or cancelled as provided for herein, the term of this
Agreement shall be for the period of July 24th, 2001 through June 30th, 2002.
SCOPE OF SERVICES. The CONTRACTOR agrees to provide services and perform
all work necessary in a manner satisfactory to the CITY as set forth below:
A. CONTRACTOR will issue rebate checks to businesses designated by the City.
The City is responsible for calculating, determining, and verifying the amount of
each rebate check.
i. CONTRACTOR will be responsible for the printing and mailing of
rebate checks to said businesses.
11. CITY will provide CONTRACTOR with a client database in format for
processing on the CONTRACTOR'S system.
iii. CONTRACTOR will have all checks laser signed and agree to return the
laser file to CITY upon completion of the Summer OUT Rebate
Program.
iv. CONTRACTOR understands that the number of participants in the
program will vary and that there is no minimum or maximum number of
check requests
v. CONTRACTOR agrees to return to CITY the client database and will
not use any information obtained for the project for any other marketing
purposes required to fulfill this agreement.
B. CONTRACTOR will issue rebate checks to residents designated by the City.
The City is responsible for calculating, determining, and verifying the amount of
each rebate check.
2.
1. CONTRACTOR will be responsible for the printing and mailing of
rebate checks to said residents.
11. CITY will provide CONTRACTOR with a client database in format for
processing on the CONTRACTOR'S system.
iii. CONTRACTOR will have all checks laser signed and agree to return the
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3.
laser file to CITY upon completion of the Summer OUT Rebate
Program.
IV. CONTRACTOR understands that the number of participants in the
program will vary and that there is no rninimum or maximum number of
check requests required to fulfill this agreement.
v. CONTRACTOR agrees to return to CITY the client database and will
not use any information obtained for the project for any other marketing
purposes.
COMPENSATION. The fees for services described in this agreement are composed of
the following elements:
A.
Processing, printing and mailing of rebate checks to
businesses designated by the CITY:
$2.00/per check
B.
Processing, printing and mailing of rebate checks to
residents designated by the CITY:
$2.50/per check
CONTRACTOR understands that the number of participants in the program will vary
and that there is no minimum or maximum number of check requests required to fulfill
this agreement.
4.
CONTRACTOR will bill the CITY for services rendered upon completion of each
check run and the CITY will remit payment within 30 days of invoice receipt.
TERMINATION. In addition to other methods of termination available under the laws of
the State of California, it is agreed that on or before June 30, 2002, this Agreement may
be terminated upon thirty (30) days written notice of termination, which may be given by
either party to the other party to this Agreement, without cause. After the expiration of
such thirty- (30) day period, CONTRACTOR shall immediately cease all services
hereunder except as may be specifically approved by the CITY. CONTRACTOR shall
be entitled to compensation for all services rendered prior to the termination and for any
services authorized by CITY thereafter in accordance with the aforementioned section
regarding compensation.
NOTICES. Any notice required to be given hereunder shall be in writing with copies as
directed herein and shall be personally served or given by mail. All notices by mail shall
be deemed to have been given when received by the party to be served. Mail notices are
to be sent by United States mail, certified and postage prepaid, addressed to the party to
be served as follow:
TO CITY:
City of San Bernardino
Barbara Pachon, Director of Finance
300 North D Street
San Bernardino, CA 92418-0001
TO CONTRACTOR: CBS Payroll
Ray Duke, Sales Manager
814 N. Arrowhead Ave.
San Bernardino, CA 92418
Either party may change its address by notifying the other party of the change of address
in writing. Notice shall be deemed communicated when received by the party to be
served if served as provided in this section.
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.-- 1 6. INSURANCE. The CONTRACTOR shall procure and maintain, at its cost,
"- 2 comprehensive general liability and property damage insurance, including automobile
and excess liability insurance, against all claims for injuries against persons or damages
3 to property resulting from CONTRACTOR's negligent acts or omissions rising out of or
related to CONTRACTOR's performance under this Agreement. CONTRACTOR shall
4 also carry Workers' Compensation Insurance in accordance with State Workers'
Compensation laws. CONTRACTOR agrees to maintain professional liability insurance
5 to protect CITY from CONTRACTOR'S negligent acts, errors or omissions of a
professional nature. If any claim related to the performance hereunder be asserted against
6 either party hereto, the party claimed against shall receive all reasonable assistance from
the other. The requirements herein for subrogation may be waived by the CITY with
7 respect to such professional liability insurance.
8 The insurance required hereunder shall be kept in effect during the term of this
Agreement and shall not be subject to reduction in coverage below the limits established
9 herein, nor cancellation or termination without thirty (30) days prior written notice by
registered letter to the CITY. The insurer shall waive the right of subrogation against
10 CITY, its officers, employees and agents, and the coverage shall be primary for losses
arising out of CONTRACTOR's performance hereunder and neither the CITY nor its
insurers shall be required to contribute to any such loss. A certificate evidencing the
11 foregoing and naming the CITY as an additional insured shall be delivered to and
approved by the CITY prior to commencement of the services hereunder. The procuring
12 of such insurance or the delivery of policies or certificates evidencing the same shall not
be construed as a limitation of CONTRACTOR'S obligation to indemnify the CITY, its
13 officials and employees.
,- 14 The amount of insurance required hereunder shall be as follows:
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16 I. Workers Compensation to statutory limits;
17 2. Commercial General Liability:
Each occurrence $1,000,000
18 Personal injury $1,000,000
19 Aggregate limit $2,000,000
3. Hired Auto and Non-Owned Auto Liability:
20 Each occurrence $1,000,000
21 Aggregate limit $1,000,000
22 4. Professional Liability:
Each claim and in the aggregate $1,000,000
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24 7. PREVAILING PARTY. If any court action occurs as a result of a dispute between the
parties concerning any element of this agreement, the prevailing party shall be entitled to
25 reasonable attorney's fees. The costs, salary and expenses of the City Attorney and
members of his office in enforcing this agreement on behalf of the CITY shall be
26 considered as "attorney's fees" for the purpose of this paragraph.
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8. ASSIGNMENT; SUBCONTRACTS
28 The experience, knowledge, capability and reputation of CONTRACTOR, its principals
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and employees were a substantial inducement for CITY to enter into this Agreement.
Therefore, CONTRACTOR shall not subcontract, assign or otherwise transfer its rights
and obligations under this Agreement without prior written consent of CITY. Any such
subcontractor or assignment without such consent shall be void and shall, at the option of
CITY, terminate this Agreement. It is understood and agreed that for any such services
provided to CITY, with the CITY's written consent the full cost of such services are not
fixed for any period of time as are CONTRACTOR provided services, and will be passed
along to the CITY. Such services include but are not limited to armored carrier, deposit
courier, and messenger service.
AUTHORITY TO EXECUTE AGREEMENT. Both CITY and CONTRACTOR do
covenant that each individual executing this Agreement on behalf of each party is a
person duly authorized and empowered to execute agreements for such party.
In WITNESS WHEREOF, the parties have executed this Agreement as of the date
stated above.
CITY OF SAN BERNARDINO
Judith Valles, Mayor
ATTEST:
City Clerk of the
City of San Bernardino
APPROVED AS TO FORM
AND LEGAL CONTENT:
ty Attorney of the
ity of San Bernardino
Ray Duke, Sales Manager
CBS Payroll
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CITY OF SANBERNARDINO
FINANCE DEPARTMENT
INTEROFFICE MEMORANDUM
RECEIV -0. C!;'( CI 11.-
TO:
FROM:
SUBJECT:
DATE:
July 19,2001
Attached for your review are various draft mailers for the UUT Rebate Program. The
pink sheet is the flyer that will be inserted into the water bills (the back side of this will
be in Spanish). The other two are the letters and application forms that will be mailed out
to businesses and residents that do not receive City water service or live in multi dwelling
units.
Please let me know if you have any questions or comments. Thank you.
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300 North "D" Street. San Bernardino. CA 92418-0001
www.ci.san-bernardino.ca.us
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July, 2001
Dear Citv Resident:
With the arrival of summer and a new round of electricity rate increases taking effect, the City of
San Bernardino's Mayor and Council have been concerned about finding ways to offer City
residents some degree of financial relief from increased City Utility Users' Taxes (ooT)
resulting from the large increase in electric rates. The City of San Bernardino Summer Utility
Rebate/Credit Program has been developed to address this concern. Residents that pay for water
service through the San Bernardino Municipal Water Department will automatically receive a
$10 rebate on their water bill. City of San Bernardino residents that receive their water service
from other agencies and those residents that rent and do not pay for water service may apply to
receive a rebate directly from the City.
Additionally, if you did receive the $10 rebate on your water bill, but the amount of City of San
Bernardino Utility User's Tax (UUT) applied to your July and/or August electric bill is greater
than $10, you may apply to receive the difference between the $10 automatic rebate and the
amount ofooT applied to your July and/or August electric bill.
To receive vour UUT rebate. complete the following steps:
I. Complete the application on the reverse side ofthis letter.
2. Sign and date the application.
3. A copy of your July and/or August electric bill must be attached. (You may apply to
receive a separate rebate for the months of July and August, or you may submit to receive
the rebate for both months at the same time.)
4. Return your completed application to:
City of San Bernardino-Finance Department
Summer Utility Users Tax Rebate Program
300 N. "D" Street
San Bernardino, CA 92418
If you have any questions, please call (909) 384-5xxx.
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300 Nonh "D" Street. San Bernardino. CA 92418-0001
www.ci.san-bemardino.ca.us
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July, 2001
Dear Business Owner/Manal!:er:
With the arrival of summer and a new round of electricity rate increases taking effect, the City of
San Bernardino's Mayor and Council have been concerned about finding ways to offer City
businesses some degree of financial relief from increased City Utility Users' Taxes (UUT)
resulting from the large increase in electric rates. The City of San Bernardino Summer Utility
Rebate/Credit Program has been developed to address this concern. This program allows
businesses to apply to receive a full rebate of the City Utility User's Tax that they paid on their
July and August electric bills.
To receive vour UUT rebate. complete the following steps:
1. Complete the application on the reverse side of this letter.
2. Sign and date the application.
3. A copy of your July and/or August electric bill must be attached. (You may apply to
receive a separate rebate for the months of July and August, or you may submit to receive
the rebate for both months at the same time.)
4. You may choose to either receive your rebate in the form of a check, or choose to have
your rebate amount credited toward your next City of San Bernardino Business
Registration fee. If you do not specify a choice, a rebate check will be issued to you.
5. In order to receive a rebate, you must have a valid Business Registration with the City of
San Bernardino. Please contact the City Clerk's Office at (909) 384-5302.
6. Return your completed application to:
City of San Bernardino-Finance Department
Summer Utility Users Tax Rebate Program
300 N. "D" Street
San Bernardino, CA 92418
If you have any questions, please call (909) 384-5xxx.
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The City of San Bernardino Summer Utility Rebate/Credit Program
Dear Resident or Business Owner:
With the approach of summer and a new round of electricity rate increases taking effect, the City of San Bernardino's Mayor
and Council have been concerned about finding ways to offer both City residents and businesses some degree of financial
relief from increased City Utility Users' Taxes (UUT) resulting from the large increase in electric rates. The City of San
Bernardino Summer Utility Rebate/Credit Program has been developed to address this concern.
Residents - The minimum amount of relief given to City of San Bernardino residents paying OUT on electric services is
$10, The maximum amount of relief given is the amount of Utility User's Tax (OUT) billed on the July and August electric
bilL
All residents that receive water service from the San Bernardino Municipal Water Department will receive a $10 payment-
credit on their water bill to offset increased summer UUT costs. There is nothing that you have to do to receive this credit
This credit will automatically be applied to your water bill to reduce your next payment
If the amount of City of San Bernardino Utility Users' Tax (OUT) applied to your July or August electric bill is greater than
$10, you may apply to receive the difference between the $10 credit and the amount of OUT applied to your July and/or
August electric bill. Applications are available in the lobby of City Hall and will be included in the July x issue of the San
Bernardino Sun newspaper.
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Businesses - Businesses may apply for a UUT rebate for the full amount of Utility Users' Tax billed on their July and
August electric bills, Information regarding the application procedure will be mailed to applicable businesses having valid
business registrations on file with the City of San Bernardino. Applications will also be available in the lobby of City Hall, at
, Chamber of Commerce, the Feldheym Public Library, and on the City's website @ www.ci.san-bernardino.ca.us.
lv/ore information will also be included in the July x issue of the San Bernardino Sun newspaper.
Commonlv asked Questions:
Q. What if I do not receive a water bill because I am a renter and my landlord pays the water and/or sewer bill?
A. If you are a renter and do not pay for water or sewer services, you may apply to receive a check for the $10 credit
Applications are available at City Hall and will also be included in the July x issue of The San Bernardino Sun
Newspaper.
Q. How do I receive the $10 credit if I receive my water and sewer service from an agency other than the City of San
Bernardino Municipal Water Department?
A. If you receive your water and sewer services from an agency other than the City of San Bernardino Municipal Water
Department, you may apply to receive a check for the $10 credit. Applications are available in the lobby of City Hall
and will also be included in the July x issue of The San Bernardino Sun Newspaper.
Q. If the credit is to assist residents with increased electric costs and the corresponding City Utility User Taxes. why is
the credit going on the water bill?
A. Using the water bill is the fastest way for the City to get financial relief to as many residents as possible.
Q. How is the City payingfor this credit?
A. Because the City's Utility User Tax (OUT) is calculated as a percentage of your utility bill, the larger your utility
cost, the more you pay in OUT. The City is using the increased revenue gained from increased OUT collections to
fund the rebate/credit program.
Where can I call or go if I have questions?
. ,. If you have additional questions, please call the City of San Bernardino Finance Department at (909) 384-xxxx.
Applications and information will also be available in the lobby of City Hall, 300 N. "D" Street, San Bernardino CA,
92418
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OFFICE OF THE CITY CLERK
RAcHEL G. CLARK, CM.C. - CITY CLERK
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P.O. Box 1318. San Bernardino. CA92402
300 North "D" Street. San Bernardino. CA 92418-0001
909.384.5002' Fax: 909.384.5158
Business Registration Division: 909.384.5302
Passport Acceptance Facility: 909.384.5128
www.ci.san-bernardino.ca.us
July 27, 2001
Ray Duke, Sales Manager
CBS Payroll
814 N. Arrowhead Avenue
San Bernardino, CA 92418
Dear Mr. Duke,
At the Mayor and Common Council meeting of July 23, 2001, the City of San Bernardino
adopted Resolution 2001-238 - Resolution approving the Utility User's Tax Summer Rebate
Program and authorizing the execution of an agreement between the City of San Bernardino and
CBS Payroll for the provision of UUT rebate-check processing services.
Enclosed is one (1) original agreement. Please sign in the appropriate location and return the
original agreement to the City Clerk's Office, Attn: Michelle Taylor, P.O. Box 1318, San
Bernardino, CA 92402, as soon as possible.
Please retain a copy of the agreement for your files.
Please be advised that the resolution and agreement will be null and void if not executed
within 60 days, or by September 21, 2001.
If you have any questions, please do not hesitate to contact me at (909)384-5002.
Sincerely,
Michelle Taylor
Senior Secretary
Enclosure
cc: Barbara Pachon, Director of Finance
CITY OF SAN BERNARDINO
ADOPTED SIIARED VALUES: Integrity. Accountability. Respect for Human Dignity. Honesty
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** FOR OFFICE USE ONLY - NOT A PUBLIC DOCUMENT **
RESOLUTION AGENDA ITEM TRACKING FORM
Meeting Date (Date Adopted): '1-Z-:'-O\ Item # 21
Vote: Ayes 2-'\ Nays-e
Change to motion to amend original documents:
Resolution # Lc::f:::, l - 2?, 'i,(
Abstain -0- Absent 1
Reso. # On Attachments: ,/
Contract tenn: -
Note on Resolution of Attachment stored separately: -
Direct City Clerk to (circle I): PUBLISH, POST. RECORD W/COUNTY
l-dS-q.:::,
1)-;;2.I.a-o I
'1-d-.,,-(j \
Date Sent to Mayor:
Date of Mayor's Signature;
Date of Clerk/CDC Signature:
Date MemolLetter Sent for Signature: \ - ;;J '1-0 \
60 Day Reminder Letter Sent on 30th day:
90 Day Reminder Letter Sent on 45th day:
NullNoid After: ioo D~,I 9-2.\-0 J
By: -
Reso. Log Updated:
Seal Impressed:
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See Attached: L Date Returned: ~ - Z - 0 \
See Attached:
See Attached:
Request for Council Action & Staff Report Attached:
Updated Prior Resolutions (Other Than Below);
Updated CITY Personnel Folders (6413, 6429, 6433, 10584, 10585, 12634);
Updated CDC Personnel Folders (5557):
Updated Traffic Folders (3985, 8234,655,92-389):
Copies Distributed to:
City Attorney ,/
Parks & Rec.
Dev. Services
Code Compliance
Public Services
Police
Water
Notes:
Yes ,,/ No By
Yes No ,/ By
Yes No .r By
Yes NO-T By
Yes No By
EDA
Finance ,/
MIS
Others:
BEFORE FILING. REVIEW FORM TO ENSURE ANY NOTATIONS MADE HERE ARE TRANSFERRED TO THE
YEARLY RESOLUTION CHRONOLOGICAL LOG FOR FUTURE REFERENCE (Contract Term. etc.)
Ready to File; (Y\ '\
-
Date: ~-';;:>-DI
Revised 0111210 I