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HomeMy Public PortalAboutLOST Agreement 8-19-13 41k* CITY OF 4t5172.? OFFICE OF CITY ATTORNEY August 19, 2013 Mr. Edward Hughes City Attorney for Tybee Island 301 West Congress Street Savannah, GA 31401 Re: Tybee's Intergovernmental Agreement re: LOST Proceeds Dear Bubba, The Intergovernmental Agreement for LOST Proceeds has been approved by the City of Savannah,and a copy is attached for your files. If you have a,y questions or comments,please feel free to contact me. :If B oo S Iwell City At #rney WBS/smt Attachment c: Stephanie Cutter,City Manager(Savannah) Dyanne Reese, City Clerk(Savannah) Diane Schleicher, City Manager(Tybee Island) Jan LeViner, City Clerk(Tybee Island) P.O. BOX 1027, 6 EAST BAY STREET,GAMBLE BUILDING,3RD FLOOR,SAVANNAH,GA 31401 PHONE 912.52.5.3092 TDD 912.651.6702 FAX 912.525.32,67 bstiliwell@savannahga.gov OFFICE OF THE LAW OFFICES JUL 2 5 2013 CALLAWAY, BRAUN, RIDDLE&HUGHES P.C. A PROFESSIONAL CORPORAllON CITY ATTORNEY TIMOTHY F.CALLAWAY,III 301 WEST CONGRESS STREET REPLY TO: DANA F.BRAUN SAVANNAH.GEORGIA 31401 POST OFFICE BOX 9150 R.KRANNERT RIDDLE SAVANNAH,GEORGA31412 EDWARD M.HUGHES TELEPHONE(912)238-2750 D.SCOTT PORCH,IV FACSIMILE(912)238 2767 THOMAS E.BRANCH,III July 25,2013 Voice Mail Extension-108 E-Mall-Bhuatiesecbrhtaw.com VIA HAND DELIVERY Brooks Stillwell, Esq. City Attorney, City of Savannah 6 East Bay Street Gamble Building, 3rd Floor Savannah, GA 31401 RE: LOST Our File No. 426 Dear Brooks: I am enclosing two originals of the intergovernmental agreement between the City of Savannah and Tybee pertaining to the local option sales tax distribution. Each of the enclosed has been executed by Tybee, so please have them appropriately executed by the City of Savannah and return one original to me and retain the other fully executed copy for Savannah's files. Brooks, I appreciate all of your help on this and also please express my gratitude to Mayor Jackson and Alderman Sprague for their cooperation and efforts throughout this matter. Please let me know if there are any questions. I did not date the intergovernmental agreement;however, unless you disagree or have another suggestion, I assume we can use the date it is ultimately signed by Savannah or the date the understanding was reached, which I would have to look up at this point. Just let me know your preference or insert the date you fell to be most appropriate. I look forward to hearing from you. With kindest regards, I am Very truly yours, Edward M. Hughes EMH/md Enclosures cc: Mayor and Council, via email Ms. Diane Schleicher,via email Ms. Jan LeViner, via email STATE OF GEORGIA COUNTY OF CHATHAM ) INTERGOVERNMENTAL AGREEMENT THIS AGREEMENT made and entered into this day of 2013, by and between the MAYOR AND ALDERMEN OF THE CITY OF SAVANNAH, GEORGIA (hereinafter "Savannah"), and the CITY OF TYBEE ISLAND, GEORGIA (hereinafter"Tybee"). WITNESSETII: WHEREAS, Savannah and Tybee are municipalities located in Chatham County, Georgia, and each is a qualified municipality authorized to participate in distribution of Local Option Sales Tax ("LOST")proceeds;and WHEREAS, during the past year, the municipalities within Chatham County and Chatham County engaged in the statutory process under O.C.G.A. §48-8-89 regarding the distribution of LOST proceeds; and WHEREAS, it was in the interest of Savannah and Tybee, and the other municipalities, that they make a joint offer to Chatham County to resolve the distribution of LOST proceeds, and WHEREAS, in consideration of the agreement of both Savannah and Tybee to make a joint proposal to Chatham County, and later to mutually agree upon a distribution of LOST proceeds with the County, the parties agreed to a distribution of certain of the proceeds between themselves; NOW, THEREFORE, for and in consideration of the mutual covenants and agreements and benefits to the parties, Savannah and Tybee agree as follows: 1. In the event that Tybee's annual receipts from LOST proceeds,as defined below, are less than$1,190,000.00 in any given year, Savannah will make a payment to Tybee in the amount by which Tybee's share of LOST proceeds is less than$1,190,000,provided that no such annual payment shall exceed$117,000. 2. For purposes of this agreement "Tybee's annual receipts from LOST proceeds" received during a year shall include (a) all tax revenues and other proceeds which are distributed by the state or the county to Tybee pursuant to the LOST distribution certificate, and (b) tax revenues and other proceeds received by Tybee which replace all or some sales tax proceeds which were previously collected by the state and paid pursuant to the LOST formula, specifically including, but not limited to all sales or transfer taxes levied on motor vehicles, transfers of motor vehicles,vehicle title fees,and excise taxes on energy sold to manufacturers. 3. Payments shall be due on or before each December 31st of each year based on the revenues received by Tybee during its fiscal year that ended the preceding June 301h• The first such payment shall be due on or before December 31, 2014 based on revenues received by Tybee during its fiscal year ended June 30,2014. 4. This Agreement will remain in place during the duration of the distribution of the LOST pursuant to the Distribution Certificate which was filed with the Department of Revenue in 2013 unless sooner terminated by agreement of the parties hereto. IN WITNESS WHEREOF said parties have hereunto set their hands and affixed their seals the date and year first above written. THE MAYOR AND ALDERMEN OF THE CITY OF SAVANNAH, 9EORGIA By: LI CITY OF OF TYBEE ISLAND, GEORGIA • , _ Attest •