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The ordinance amendments presented attempt to clarify reporting timeframes <br />and allow all activities to be performed early enough for the Department of <br />Revenue to make the recalculated distribution of the proceeds September 1st of <br />the same year as the recalculated distributions are reported. The net effect of <br />the change will be to ensure annual recalculation of the gas tax distribution. The <br />year 2001 recalculation would be effective September 1, 2001, thus superseding <br />the Board's approval of the distribution percentages shown on the 2000 local <br />option gas tax chart already sent to the state for the fiscal year 01/02. <br />A second outcome of the October 13th meeting was to inquire whether the <br />Department of Revenue can make the 2000 formula approved last August <br />retroactive to September 1, 2000. That matter has not been resolved and would <br />have implications for other municipalities besides Sebastian. <br />RECOMMENDATION: <br />Open the public hearing and after receiving public input, adopt the ordinance <br />amending Section 209.04 of the Code of Indian River County "Disposition of <br />Proceeds' of the Local Option Gas Tax Ordinance to clarify reporting timeframes <br />and effective dates of recalculated distributions. <br />Attorney Collins advised that he had just spoken with Virginia Gilbert, the Manager <br />of Indian River Shores, who apologized she was unable to attend. She indicated that she was <br />generally in favor of the more definite reporting time frames and supportive of the ordinance. <br />He also spoke to the Department of Revenue with respect to the issue of whether the <br />distribution could be made retroactive to last September l s`. They advised it was up to the <br />parties to the Interlocal Agreements as to whether they want to attempt to make it retroactive <br />or not. To do so would penalize the City of Vero Beach whose growth is not as rapid as the <br />City of Sebastian's. The State will honor whatever the County and the municipalities agree <br />upon. If an agreement cannot be worked out, the statutes provide for recalculation every 10 <br />years based on the last 5 years transportation expenditures. So, it is to no one's advantage <br />to break or drop the existing interlocal agreements. He recommended the public hearing be <br />opened after which any adjustments they wish could be made. He suggested it is time to <br />work together and see it as an effort to get a better reporting system with more timely <br />distributions rather than try to go back and modify the interlocal agreements, which he <br />March 20, 2001 <br />168 <br />BK117PG6L0 <br />