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HomeMy WebLinkAboutCD Voluntary Collection for Transient Occupancy Tax; Amendment 1DocuSign Envelope ID: 72CD41CD-8B2D-4ADF-89DA-2E16B8F9FiF4 AMENDMENT NO. 1 TO VOLUNTARY COLLECTION AGREEMENT FOR CITY OF SAN RAFAEL, CALIFORNIA TRANSIENT OCCUPANCY TAXES This Amendment No. 1 to the Voluntary Collection Agreement ("VCA") dated November 27, 2019, by and between AIRBNB, INC., a Delaware corporation ("Airbnb"), and the CITY OF SAN RAFAEL, CALIFORNIA (the "Taxing Jurisdiction"), is entered into on 0, ^ , 2020. WHEREAS, Airbnb represents that it provides an Internet -based platform (the "Platform") through which third parties offering accommodations ("Hosts") and third parties booking such accommodations ("Guests") may communicate, negotiate, and consummate a direct booking transaction for accommodations to which Airbnb is not a party ("Booking Transaction"); WHEREAS, certain Booking Transactions between Hosts and Guests completed on the Platform are subject to the San Rafael Transient Occupancy Tax ("TOT"), and/or the Marin County Tourism Business Improvement District ("MCTBID") assessments; and WHEREAS, pursuant to the VCA between the parties, Airbnb has contractually assumed the duty to report, collect and remit the Taxing Jurisdiction's TOT on behalf of such Hosts; and WHEREAS, the parties now desire to amend the VCA to additionally include the reporting, collection, and remittance of applicable MCTBID assessments imposed on Booking Transactions completed by Hosts and Guests on the Platform for occupancy of accommodations located in the City of San Rafael; NOW THEREFORE, the parties mutually agree as follows: 1. Paragraph (D) is hereby modified and amended by adding the following subparagraphs after Paragraph (D): MARIN COUNTY TOURISM BUSINESS IMPROVEMENT DISTRICT (D-1) Pursuant to Marin County Code Chapter 3.70 entitled "Tourism Business Improvement District" (the "MCC Chapter 3.70"), Airbnb agrees to assume the duties of a "lodging establishment" and shall initiate the reporting, collection, and remittance of DocuSign Envelope ID: 72CD41CD-8B2D-4ADF-89DA-2E16B8F9FiF4 applicable Marin County Tourism Business Improvement District ("MCTBID") assessments in the Taxing Jurisdiction commencing on August 1, 2020, pursuant to the terms and conditions of this Agreement, until and unless terminated in accordance with the terms and conditions of this Agreement. Airbnb's assumption of the duties of a "lodging establishment" is only with respect to Booking Transactions between Hosts and Guests completed on the Platform for which MCTBID assessments are applicable, and during the period in which the Agreement is in effect, and solely pursuant to the terms and conditions of this Agreement. (D-2) Solely for the purposes of satisfying any listing, disclosure, or reporting requirements under MCC Chapter 3.70, Airbnb shall be listed as the "lodging establishment." Airbnb expressly waives the right to vote or otherwise participate or take any action relating to the MCTBID assessments, except for acting as the MCTBID collector and remitting MCTBID assessments to the Taxing Jurisdiction as imposed by MCC Chapter 3.70. Any Host shall be entitled to vote, participate, or otherwise take any action that could be taken by a "lodging establishment operator" that collects and remits MCTBID assessments directly to the Taxing Jurisdiction. The Taxing Jurisdiction shall accept transactional records produced by a Host from the Platform as sufficient evidence to substantiate the amount of MCTBID paid by any Host. The Taxing Jurisdiction shall post any notices required to be delivered to any "lodging establishment" on the Taxing Jurisdiction's website. (D-3) All recitals and provisions set forth in this Agreement detailing the parties' duties and obligations pertaining to Airbnb's reporting, collection, and remittance of applicable TOT, with the exception of the Effective Date specific to TOT, shall apply to Airbnb's reporting, collection, and remittance of MCTBID assessments. Airbnb agrees to take all steps necessary to ensure that Airbnb's reporting, collection, and remittance of MCTBID assessments are in full compliance with its duties and obligations under this Agreement. 2. Except as modified herein, the VCA shall remain in full force and effect. 2 DocuSign Envelope ID: 72CD41CD-8B2D-4ADF-89DA-2E16B8F9F1F4 IN WITNESS WHEREOF, Airbnb and the City of San Rafael have executed this Amendment No. 1 effective on the date set forth in the introductory clause above. AIRBNB, INC., a Delaware corporation DOCUSIgned by: By: Mirei Yasumatsu Global Tax Director CITY OF SAN RAFAEL, CALIFORNIA By: D�t' m S hutz, NYlanager 7/6/2020 Date: Date: 7 — 7 — 26) 16 RAP, <1 AFq` ►1, 2 yo ,TrH'ITH P`�`5 CONTRACT ROUTING FORM INSTRUCTIONS: Use this cover sheet to circulate all contracts for review and approval in the order shown below. TO BE COMPLETED BY INITIATING DEPARTMENT PROJECT MANAGER: Contracting Department: Community Development Project Manager: Ethan Guy Extension: x2392 Contractor Name: AirBnB Contractor's Contact: Allison Peck & Leslie Lao Contact's Email: allison.peck@airbnb.com leslie.lao@airbnb.com ❑ FPPC: Check if Contractor/Consultant must file Form 700 Step RESPONSIBLE DESCRIPTION COMPLETED REVIEWER DEPARTMENT DATE Check/Initial 1 Project Manager a. Email PINS Introductory Notice to Contractor N/A 6/26/2020 EBG b. Email contract (in Word) & attachments to City Atty c/o Laraine.Gittens@cityofsanrafael.org ❑x EBG 2 City Attorney a. Review, revise, and comment on draft agreement 6/26/2020 and return to Project Manager N/A ❑x LG b. Confirm insurance requirements, create Job on PINS, send PINS insurance notice to contractor ❑ 3 Project Manager Forward three (3) originals of final agreement to 6/26/2020 ❑x EBG contractor for their signature 4 Project Manager When necessary, * contractor -signed agreement Z N/A agendized for Council approval *PSA > $75,000; or Purchase > $75,000; or Or ❑ Public Works Contract > $175,000 Date of Council approval N/A PRINT Project Manager CONTINUE ROUTING PROCESS WITH HARD COPY 7/6/2020 5 Forward signed original agreements to City City Attorney Attorney with printed copy of this routing form EBG 6 Review and approve hard copy of signed 717/2.0 Zt agreement 7 City Attorney Review and approve insurance in PINS, and bonds 71712DW (for Public Works Contracts) 8 City Manager/ Mayor Agreement executed by Council authorized official- 1 (A\ 9 City Clerk Attest signatures, retains original agreement and wx� forwards copies to Project Manager 6