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94-21278 RESO Incomplete , " RESOLUT:ION NO. 94-21278 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE PROFESSIONAL SERVICES AGREEMENTS WITH THE BOOKKEEPERS AND BEVERLY YOUNG FOR RESORT TAX AUDITS. Whereas, the Finance Committee has recommended that the number of audits of businesses subject to the Resort Tax be increased; and, Whereas, such an increase in the number of audits can be accomplished most efficiently by having independent contractors perform these audits for a fee per audit performed plus a percentage of any assessment collected. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Clerk are authorized to execute the professional services agreements (attached hereto as composite exhibit "A") with The Bookkeepers and Beverly Young for the performance of Resort Tax audits for the city. PASSED AND ADOPTED THIS 8th DAY OF September , 1994. Attest: Mayor ~A~l~.~ City Clerk fORM APPROVliJ I LEGAL DEPT, .-:-1 By ~Q Date 1'- 1- "''\ , "I t-II q (P ({ e) \u ~I.l.( 11 ,-:(' < J.~C/I(/ tl ~ ~r~);/~ PI~lI ,t ~v t-t~Q~,J.- -1l-~~fN'~ j;J( <-JI.t./ V'-t' .I:f L.rP ~ftAt!KI(BIl'1' "A") '/.(g a IS' _~...> .s pi 'f/f P IA 11.-1/41 AGREEMENT FOR PROFESSIONAL SERVICES lor~ This agreement is between the City Section (the "City") and provision of professional services required to collect and remit Resort beverage sales in Miami Beach. of Miami Beach, Resort Tax (the "Firm") for the in the review of entities Tax on room rents, food and The city will direct the Firm on the entities to be reviewed and provide the Firm with training and assistance to properly undertake their reviews. The Firm will provide any and all personnel, equipment transportation and other resources necessary to accomplish the reviews as directed by the City. The Firm will be an independent contractor with the city in the performance of these reviews and shall provide all necessary insurances to protect and hold harmless the City as a result of any actions resulting from the performance of the reviews of entities on Miami Beach. In consideration for the review efforts of the Firm, a fee of $500 per review completed will be paid to the Firm. In addition to the fee, the Firm will receive twenty-five percent (25%) of any collection of an assessment arising as a result of their review of an entity required to collect and remit Resort Tax. This agreement will be for one year for the date of its adoption but may be renewed in additional one year increments by mutual consent of the parties. This agreement may be cancelled upon sixty (60) days notice by either party. Adopted this day of , 1994. For the Firm Mayor Attest: For the Firm City Clerk 56 '. " : .. JP The Bookkeeper. i. u accolUl~iQ9' .ervice. f1ra located 1D Coral Gable., Florida. Founded 1n 1989. the CO~uy baa provided .er- vice. to over 300 co.paniea, profea.ionals ud non-prOfit .Dti~- 1.s priaarl1y 1n Da4e anei Browarei COlUlti... COIIIPaD7 personnel bolel . variety of manageaeDt al14 accounting degree. with significant year. of experience in ...11 b~.iQe.. accounting. Cen.ral aanagament and adm1ni.~ative .ervic.. are over.eeD br Mich.el Criffey. co~.ny President (resume attacheell. -SpeeiUe'.ervic:e. for City of Miaa1 Beach ll.aort Tax 1)1v180n are p~yideei under the direction of Elizebeth Bud Ireawae .ttachedl. 01 , Alao ...igned to ...iat 1D this effort i. ~. Valerie Bstta. a recent gra4uate oe the Univeraity of Miaai curren~ly enrolled in the Maaters in Accounting progrUl. 57 / IUCIlABL .. GaunT 69U BUOUBU S'nEIT cORAL GABLIS, FLOaXDA 331~& (3051 U5~323. Michael G~iffey hold. a aachlor. degree in PaycbolQg7 froa Florida State University and a Masters in Public Adaini.trat1on fro. Florida International Uni.er,ity. Mr. Griffey haa twenty five year. of prof...ional work exper- ience. He has worked a. a reserech psychologiet in both tbe privata and public aectora and wbila on activa duty in tbe .ilit- ary. Ke was involved in studies of .ental be.lth, pre.chool educ.tion approacb.a, dru~ .nd alcohol ua. and cri.lnal juatice .yste.. over tbe cour.e of s.ven y.ars. A8 . public administrator Mr. Griffey worked for eight year. in ~e public and non profit s.ctors aa a senior ..nager of ..ploy- ..nt and training progr.... Re b.. served aa a conaultant to th. public, private snd non- profit ..ctor. for ..veral n.tional consultin~ firaa and for three year. a. the owner of his own e.plo~ent and treining con- sulting fira. H. i. currently affiliated with Baployer. per.onnel COQaultante, a He. York ba.ed fira. In 19.6 Hr. Criffe, creacad TKB aOO~EPERS as an Info~ationl aocounting seryioe. bu,ine.s tocQainq on a..l1 buain.s.. With offices in Coral Cable.. the bus in... currently servioee epproxi- .ately 150 Client. in South Floride. Mr. Griffey a. the CBO pro- vid.. general aanag...nt .ervic.. to tbe co.pany. Hr. Griffey fa an active .e a m.uer of The Gr.ater lei..i CbUlber of Co_erce, a -aber of the Boerd of Director. of 'lbe Are. 8tage, and a volunteer tutor with the Project Lead literacy pro- vraa. Se is a paat .eaber of Board of Director. of Jo~e Por MiUli, The National Asaoelation of Privet. :tndustZ'7 Councila, The Hational Al11ance of Busin..s Policy committ.. end the Buain..s a.e1atanee Center. Hioba.l Gri~f.v and his wife 'atty have lived iD H1a.i s1nce 1'73 .nd in Coral Cable. for the pest tan rears. Hre. Criffey ia a Certified PUblic Accountant and principal of the fi~ Griffey . A..ooiat.a. 58 1lL1ZA8B111 f. HAND USUMI U1l1...,ofMIIInI.lm '9*1,.7 MV\Il:IIrotNASD. Hclh~orpllll\lonl"''''"..el a1'" IICIIl'Idas ~ilr III Mllml; IlCII<<l<<Iot ilI..--o..-uada& ... _1MQJlM: 1ll$pOIIllbillliu II prlAclpal or member 1Irm. INI- \919 Hol4 "a-Iouajob aalpn\QIlI III tIIo air lIWponatioG Geld. lob palklcl111 widl NIliOllll ARIa.; SCnIot Mwllf I'\IrahIIIq; IIIll AccoIaIIII ~Ic; &.Jdl.Alr. CoclInlI1ct: TaIIllllem1tkm AiltiMe DiIIct<<, ,,*,,1nI ACCOUllIilII: ColIIiIlenll1 AIrUIIoI. DlnloIot 1.lIlIint AoacNnIInIo 1_ J(DlaIl Owner of IIIIIl hSIlIe.A -lIfta IIlIlllnMoilllONiCllllnn. I 59 THE BOOKKEEPERS. 'R . ----". .. P01.LOW1HG IS ,. UPll.ESElITA.TIVS SAMPLE or CLIENTS WHO MAY BE CONTACTED FOR REFERENCES: - llOMEllO BI..'M'O - AllTlS1' ZI11 GRAND AVENUE, MAYP,\.1 COCOllUT <mOVE, nOR'DA 33133 44S-3328 CAllEUXCllANGI - Bl&l"LOY1lIMT SUUIO'I HODES, OWtIn 220 MIRACLE IIILE . 203 CORAL GABLES, PLORlDA 3313. ut-OOu YALS SAMOLE, M.D. - PHYSICIAN 40VAkCE TOWU 6262 SIfflSIT DRI VB SOUTH MIAMI, PLORlDA 331.' 6U-TTU RETAIL BSTATl, INC. 1'40 TDl'LB'l'ON, OWNEIL ZI11 GKAND AYKNUB 1&1. COCONUT tROVE, FLORIDA 33133 441-2111 HOWARD" ICUllftBIL - ATTOIlMBY 328 IIINORCA AVSNUE CORAL GABLES, FLORIDA 3313. 44Z-7085 COGAJf'S PASTA l caILL DOUG COGAN, OWllD U AUlDIA. CORAL GABLES, FLORIDA 3313. oUl-2810 NIUGHSOI.S HELPING NEIGHBORS LYNl( CAMERON .100 N.W. 11TH TII.RACE MIAMI. FLORIDA 331T2 471-6813 OUAltTB ok all - ATTORNEY ,no AllU 1$ MERRICK WAY, SUITE .51& CORAL CABLES. FLORIDA 33134 4U-Ull GOO'DI1M USIAllCH COkPOU'fIOll LJntU GOODJUM, PDUDEK'\' ONB BlSCAY1fB TOWElL, IUOO MJAMI, 'LOIIDA, 33131 'lit-un ST. MAUS LUTHBU1f CHURCH PASTOR APOLD pllt1ly 3830 LJl:JVNB lOAD CORAL GABLES, 'LORIDA 33134 &U-OUS APPLIED SYSTEM TBCHMOLOGIBS BRAD ALEXAHDiR, OWHD 3350 M.W. S3ID STREET PT. LAUDERDALE, FLORIDA 33308 TS5-UO'l GABLlS DISCOUNT BEVERAGES DOUC GALVI3, OWNIR 7125 SW 41 STREIT. .301 _lAMI, FLORIDA 331&5 868-63211 TsaRY'S PZaPUMIS TIUY APPS, OW1lU 1&463 ,SOUTH DIXIE HIGHWAY MIAMJ. FLORJDA 3311. n8-UIZ COIfIMUTY AMO VOLUNTED ACTIVITIESI o Greater Mf..i Ch..b.. ot C~erce o proJeat L.B.A.D. (~ittrac7 TralDinc tor Adult.) o Area Staco Th.at.r Board of Dlrecto.. 1811 'In.liet in ,Ia.[ 80.814 PACBSETtEK AWARDS TlU MIRACU lSUll.DINC . 220 MlRACLEMIU . sum.!24 . COItALOABJ.,l$, 1'LD1UM3313i mONE (305) 445.!2M · rAX (SO!I) 44J.6G10 -- --------.- 60 u8)8CuVBa EXPBPJENCBa 1979.1981 1981-1983 1983.1989 1989.1990 EDUCATIONa 1986 . .., YOUIII 97%0 $ouchwat 141th Street, Miami, F\odda 33176 305.232-8514 A challen,ln, poIIltion which utillus my extetllive us ac:counttne experience and analytical and infomwlon systems traininl. IJmERlE LABORATORIES; Pcul River, New Yodt Assistanc AMI,st, Mmfcet Rut4n::h . I'rcp;ue quanerly, 1ellL11IIIIUal and annual ~porlS on product leaders to product manqancnt. . Dealan madtct rllT T Idl queuIonnalra. . Administer questionnaires at Industry convendonL l'ORMICA CORPORATION; Wayne, New Jersey A$sfstll>oC AnaI,sc, Sala ~ (J Bald&e1i'l\C . heist In budaetinc prcpatatIona. . AISiat in aU phues fi annual report preparation. AMERICAN CYANAMID; Corporate Hcadquarteq. Wayne, New Jeney TIIX~, TAlC Diwblon . Prepare end pay multi<<atel rala/ \lie al'ld oc:cupaticn tuea. . P1~.,atC end pay vmou. redcral excise taxes (Superfund. HiebwaY IIIe, A1l\ etc.). . Prepare and pay CClporare ~ Income tuea. . COInpute and pay eatlmated federal tax liability on lllCllIhly aad quarterly baD (.ole responsibility for 1988 esti1IIatecl paymenal:Cll3llia, $10 million). . ~Cace with are and IRS audilOC'l. .Omipuftxbheeauam,l.otuIl-2-3. . 0I:Ilgn and Implement teportl from MeCormac:k & Dodgl: fixed A.et SyItcm utilbine Reponwriter. . &tenaive communicatioN and pIOjec:t respoasibiUtiea wkh Ct-mkl'l ~ facllitiel and diatributiCln cenrea. . MaIn&ame c:omputtt maintenance with McCormack tit Do9 FimI AIr<< Sylltml. . COASTAL JlUJl1S MlCI'G., 1NC.(bmedy Bdc:her Oil co.). Miami, FIarida TAlC Aa:ountdnr, Mnrm, DiWion . PIt:~ and pay various Sl:m: and LocallllOtDf NeIa taxes. . Compute and pay admated lelni.lllOnthly Federal exdIc tuea. . Pile ~y Federal c:xcise tax mum. . Field Technical quatiaas on Indusay fiom peaonnel and cIienIL . Maintain c:ustanar ane tiles on computer. . [)alan ~a. to extract iMlrmation from computer IIIirlI 'Eaaylrleve Plua. ' Bachelor dScience - Accounting and Manaremcnt Inbmarian s,.. Dom1nlcan Col\qe, Blauvelt, New York Ptnonal aad PImsslooaI.eferetlCet milable upon request 61 ...-, y... ,.,. ~ 1l_..A 14411........ ....II.WaUl'N (3OS) DUSl4 .................. JIXlIIIRIBNCII: ISl!lO - 1993 STA1B CillII.....,.,\ ~ OF AL<:iOHCtJOBBVDAnmI a. 'l'OIWlCO.. WW4111~ llIaiarTaAulk ~~"'oI"""".c-" · wiIh.,<*",~ ~. ~Ilil (W..... ..-..._250.... _..a.... ....alI1W+) ~. J....... 9' fIll'I' ~ I.. ~._... r r...~ J e tl'llfl~~ ...,. A .. '."..8;' ......01_...... 62 .., . . ." ," CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139 COMMISSION MEMORANDUM NO. ~/3 -9'1 TELEPHONE: (305) 673-7010 FAX: (305) 673-n82 OFFICE OF THE CITY MANAGER Sept~ 8, 1994 To: Mayor Seymour Gelber and Members of the City commission Roger M. carl~ City Manager From: Subject: Professional services Agreements for AUditing Resort Tax Administrative Recommendation The Administration recommends that the City commission approve the Resolution and authorize the Mayor and City Clerk to execute professional services agreements with The Bookkeepers and Beverly Young for audits of businesses authorized to collect Resort Tax. Backqround The City of Miami Beach has issued licenses to over 2,000 businesses to authorize them to collect the Resort Tax. Of these 2,000 businesses, 800 are collecting and remitting Resort Tax to the City on a monthly basis. The balance, 1,200, are apartments who only rent on an annual basis and are required to report on an annual basis to the city. The City currently employs four auditors to review the records of these businesses to insure that they are reporting correctly. The Finance Committee discussed this issue and recommended that the City contract with private sector firms to increase this audit effort. Analvsis The Finance Department contacted a number of book keeping type firms in the area to see if they would be interested in assisting the City in this audit effort. Unfortunately, certified public accountants cannot provide the service contemplated because they cannot accept any engagement, except for income tax work, on a contingent fee basis. As the concept was to allow the auditor to participate in the collection of any assessment, a contingent fee was established. Most firms contacted were not interested because they did not have the staff resources to undertake such an engagement on a long term basis. The Finance Department was not interested in persons on a seasonal basis due to training requirements. The Finance Department has established a goal of auditing the 800 active accounts every three years and a review of the records of the annual accounts every six years. This schedule would require each auditor to perform over two audits per week. Due to the condition of the records at some of these businesses, these audits can take as long as three weeks and average a week. To meet the departmental goal additional resources must be directed to this 'area. Rather than employing additional staff and incurring salary and benefits costs, the function can be accomplished through contingency agreements with the private sector for this function. The agreements will provide a minimum fee per audit performed and a portion of any assessment collected as a result of their audit effort. It is anticipated that such arrangements will increase the revenues from Resort Tax by over $100,000 annually. The auditors will be compensated with 25% of these additional revenues. AGENDA ITEM c.-~~ q-1,~ q<j DATE 1'. . ";!, ,', Conclusion The contracting for professional services with the private sector is the most efficient means of increasing the coverage on Resort Tax and will produce an incremental benefit to the city. RMC/RJN/cp