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File #: 25-566    Version: 1 Name: Adopt Resolution to Extend the Agreement with HdL Business License Administration Contract for a Not to Exceed $1,497,500 and Extend the Term through December 31, 2026
Type: Staff Report Status: Agenda Ready
In control: City Council
Meeting Date: 2/2/2026 Final action:
Enactment date: Enactment #:
Title: Adopt a Resolution to Approve and Authorize the City Manager to Execute Amendment No. 3 with Hinderliter De Llamas & Associates (HdL) for Business License Tax and Tobacco Retail License Fees & Operations Management Services by Increasing the Contract by $594,200 for a Total Not-to-Exceed of $1,497,500 and Extend the Term through December 31, 2026
Attachments: 1. A - DRAFT Resolution (HdL), 2. B - Draft Amendment 3 to HdL Agreement
Date Ver.Action ByActionResultAction DetailsMeeting DetailsVideo/Audio
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Title
Adopt a Resolution to Approve and Authorize the City Manager to Execute Amendment No. 3 with Hinderliter De Llamas & Associates (HdL) for Business License Tax and Tobacco Retail License Fees & Operations Management Services by Increasing the Contract by $594,200 for a Total Not-to-Exceed of $1,497,500 and Extend the Term through December 31, 2026

Staff report
SUMMARY

Hinderliter De Llamas & Associates (HdL) services include business license program administration, including processing new business licenses and tobacco license accounts and renewals, payment processing, on-line services, business support, and collection services. In October 2021, the City entered into an agreement with HdL for a term of three-years with two (2) one-year options to extend the agreement.

RECOMMENDATIONS
Staff recommend that the City Council approve and authorize the City Manager to execute Amendment No. 3 with HdL for business license tax administration, tobacco retail license services, and operations management services by increasing the contract by $594,200 for a total not-to-exceed $1,497,500 and extend the term through December 31, 2026.

BACKGROUND

The City implements a Business License Tax program to monitor and regulate business activities to ensure they meet public safety standards, zoning laws, and other relevant ordinances. The Business License Tax program also helps gather economic data, which aids the City in assessing planning and future development opportunities. The City collects and processes approximately 10,000 current and active business licenses and tobacco and retail licenses and generates approximately $6.5 million in annual tax revenue.

In December 2018, the City entered into a service agreement with HdL for business license tax administration, which included operations management services, compliance services, and payment processing services.

In October 2021, the City entered into a new contract with HdL for business license tax administratio...

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