DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: City-wide
SUBJECT:
Amendment and Restatement of Master Interlocal Agreement between the City and Bexar County for Collection of Bingo Cash Prize Fees
SUMMARY:
This Ordinance approves the second amendment of the Amendment and Restatement of Master Interlocal Agreement (“A&R Master ILA”) between City of San Antonio (the “City”) and Bexar County (the “County”), and ratifies a Temporary Agreement between the parties, to provide for City collection of the County Bingo Cash Prize Fees (“Prize Fees”) due and owing for the fourth quarter of 2019 and subsequent quarters.
BACKGROUND INFORMATION:
In June 2019, Texas House Bill 914 amended the Government Code and the Bingo Enabling Act by requiring Bingo License Holders to remit Prize Fees directly to counties and municipalities in addition to the Texas Lottery Commission for its portion. Effective January 1, 2020, Bingo License Holders are required to distribute Prize Fees directly to their local government(s) within 25 days of the end of each quarter.
The governing bodies of the City and the County have each voted for the continued receipt of their share of the Cash Prize Fee collected under the Texas Occupations Code. The City has agreed to administer the Bingo Cash Prize Fee collection for the County, similar to the manner in which County Hotel Occupancy Taxes are collected by the City pursuant to the A&R Master ILA, with collection of the Prize Fees due and owing as of January 1, 2020.
ISSUE:
In order to provide for City collection of the County Prize Fees due and owing for the fourth quarter of 2019, the Parties have entered into a Temporary Agreement that provides for City to collect the County Prize Fees beginning January 1, 2020.
ALTERNATIVES:
The City has the option not to approve the A&R Master ILA, however, this would prevent the City from administering the collection of Bingo Prize Fees for the County.
FISCAL IMPACT:
The fee charged to the County to collect Prize Fees is .65% of the Prize Fee due. The County’s portion of the Prize Fees will be collected in conjunction with the City’s portion of the Prize Fees, and will not require additional personnel.
RECOMMENDATION:
City Staff recommends the approval of the second amendment A&R Master ILA and ratification of the Temporary Agreement between the City and the County for collection of Bingo Cash Prize Fees.