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Home My WebLink AboutR-88-0141rT-88-144 ' 3/4/88 � �. RESOLUTION NO. j A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH THE FLORIDA LEAGUE OF CITIES, IN SUBSTANTIALLY THE ATTACHED FORM, PROVIDING FOR THE LEAGUE TO COLLECT A CITY LICENSE TAX FROM INSURANCE COMPANIES SELLING INSURANCE IN THE CITY BUT WITH OFFICES OUTSIDE OF THE CITY, WITH REMUNERATION TO THE LEAGUE OF ONE-HALF OF THE LICENSE TAX COLLECTED BY IT. WHEREAS, the City Commission is in the process of adopting an ordinance assessing an occupational license tax on insurance companies selling insurance within the City of Miami but without an office located within the City; and WHEREAS, the Florida League of Cities has the resources and information to identify and contact those insurance companies for billing and collection purposes; and WHEREAS, the League is willing to perform these services for one-half the license tax it collects; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The City Manager is hereby authorized to execute a contract with the Florida League of Cities, in substantially the attached form, providing for the League to collect a City license tax from insurance companies selling insurance in the City but with offices outside the City, with remuneration to the League of one-half of the license tax collected by it. PASSED AND ADOPTED this 18th day of - ATT : NATTY HIRAI CITY CLERK PREPARED AND APPROVED BY: / .9 o� ROBERT F. CLARK CHIEF DEPUTY CITY ATTORNEY RFC:bss:M6i9 XAVIER L. SDI , 1988. , MAYOR APPROVED TO FORM AND CORREC S,S LU A A. DO GHBRTY CITY ATTORNEY CITY COMMISSION MEETING OF GREEMEN1 STATE OF FLORIDA COUNTY OF DADE THIS AGREEMENT, made and entered into the day of , A.D. — 1288 , between the FLORIDA LEAGUE OF CITIES, INC., a corporation not for profit of the State of Florida, with its principal office'in the City of Tallahassee, Florida, hereinafter called the "League," and _ the City of Miami a municipal corporation of the State of Florida, hereinafter called the "City;' WITNESSETH: That for the consideration hereinafter set forth, the League and City agree that: 1. The League will make the necessary investigations and collect unpaid, escaped and delinquent privilege or occupational_ license taxes from corporations, firms or associations transacting any insurance business in the City. 2. The City shall not incur any expense or liability in connection with such investigation and collection except as hereinafter set forth. 3. The League, at its expense, will write all necessary letters and assume all other expenses incurred in the collection of said license taxes. 4. Only such corporations, firms or associations obligated to pay such license taxes under State Law or under any City Ordinance of the City shall be approached or investicated. 5. The League shall retain 50% of the amcmint collected for effecting the collection of such delinquent and escaped privilege, or license, taxes and the balance of 50% of the Dress amount recovered shall be forwarded to the City periodically by statements to said City. The League shall receive no commission or compensation for amounts collected in subsequent years on voluntary payments or payments received from billings by the City from companies from which the League has effected collection under this Agreement 6. During the term of this Agreement the City shall notify the League of any payments or compromise settlements received by the City, of such escaped and delinquent license taxes due from insurance corporations, firms or associations. If any license taxes collected under this Agreement are paid directly to the City, the City shall remit to the League the commis- sion due it under this Agreement, or if sums due are forwarded to the League in the name of the City, the League shall deduct its commission and remit to the City the sums due it under this Agreement 7. This Agreement shall remain in full force and effect until terminated by either party upon giving at least ninety (90) days notice in writing to the other party, and all collections re- ceived during said ninety (90) day period shall be disbursed in accordance with the above - provisions of this Agreement. IN WITNESS WHEREOF, the parties have hereunto caused their names to be signed and their seals to be affixed, this the day and year first above written. FLORIDA LEAGUE OF Cl INC., a Cor- pZ0444a forprofit ofa St, to of Florida BY• . r clttive Director ATST: 6 L--. / - Dep G eral Counsel A Municipal Corporation of the State of Florida BY ATTEST: i — City Clerk N E 98-141. a CITY OF MIAMI, FLORIDA 33 INTER -OFFICE MEMORANDUM TO. The Honorable Mayor and Members of the City Commission FRoM. Cesar H. Odi i,�- City Manager } RECOMMENDATION: DATE: J 1900 FILE: SUBJECT: Recommendation for Re- solution and Award of Contract to Collect REFERENCES: Occupational License Tax from Foreign ENCLOSURES: Insurance Companies It is respectfully recommended that the City Commission adopt the attached resolution awarding a contract with the Florida League of Cities for collection of Occupational Licenses from Insurance companies located outside the City limits but selling insurance in the City. BACKGROUND: The Florida League of Cities contacted the Finance Department concerning utilizing their program to collect license taxes from out of the city (foreign) insurance companies. Pursuant to their recommendation, on January 14, 1988 an Ordinance was passed on first reading by the Commission that expanded the City's licensing authority to insurance companies selling insurance within the City but not having an office within the City. Thus the sale of policies requires the company to obtain the $418.00 license. At this time the City does not have a comprehensive list of companies selling insurance in the city. The Florida League of Cities has the ability to develop a comprehensive list and collect the related license fee. It is therefore recommended that the contract with the Florida League of Cities be approved. me 33-/ . 98�141.