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20-079 Amendment #2 dated 8-2-22 HDL for Sales, Use and Transactions Tax Audit Services1 SECOND AMENDMENT TO AGREEMENT 539 BETWEEN THE CITY OF CUPERTINO AND HINDERLITER, DE LLAMAS AND ASSOCIATES (HdL) FOR SALES, USE AND TRANSACTIONS TAX AUDIT SERVICES This Second Amendment to Agreement 539 between the City of Cupertino and Hinderliter, de Llamas and Associates (HdL) is by and between the City of Cupertino, a municipal corporation (hereinafter "City") and Hinderliter, de Llamas and Associates, a California Corporation (“Contractor”) whose address is 120 S. State College Blvd., Suite 200, Brea, CA 92821, and is made with reference to the following: RECITALS: A. On July 08, 2020 Agreement 539 (“Agreement”) was entered into by and between City and Contractor for Hinderliter, de Llamas and Associates a California Corporation for Sales, Use and Transactions Tax audit services. B. On June 28, 2022 the City and Contractor entered the First amendment to the original agreement and the original agreement and first amendment are collectively referred to as “Agreement”. C. City and Contractor desire to modify the Agreement on the terms and conditions set forth herein. NOW, THEREFORE, it is mutually agreed by and between and undersigned parties as follows: 1. A new paragraph is added to the Agreement under Section 6 and reads as follows: Paragraph 6.1 Section 7056 – Confidentiality Requirements Section 7056 of the State of California Revenue and Taxation code specifically limits the disclosure of confidential taxpayer information contained in the records of the California Department of Tax and Fee Administration. This section specifies the conditions under which a CITY may authorize persons other than CITY officers and employees to examine State Sales, Use and Transactions Tax records. The following conditions specified in Section 7056 (b), (1) of the State of California Revenue and Taxation Code are hereby made part of this agreement. A. CONSULTANT is authorized by this Agreement to examine sales, use or transactions and use tax records of the Department of Tax and Fee Administration provided to CITY pursuant to contract under the Bradley-Burns Uniform Sales and Use Tax Law. B. CONSULTANT is required to disclose information contained in, or derived from, those sales, use or transactions and use tax records only to an officer or employee of the CITY who is authorized by resolution to examine the information. 2 C. CONSULTANT is prohibited from performing consulting services for a retailer, as defined in California Revenue & Taxation Code Section 6015, during the term of this Agreement. D. CONSULTANT is prohibited from retaining the information contained in or derived from those sales or transactions and use tax records, after this Agreement has expired. Information obtained by examination of Department of Tax and Fee Administration records shall be used only for purposes related to collection of local sales and use tax or for other governmental functions of the CITY as set forth by resolution adopted pursuant to Section 7056 (b) of the Revenue and Taxation Code. The resolution shall designate the CONSULTANT as a person, authorized to examine sales and use tax records and certify that this Agreement meets the requirements set forth above and in Section 7056 (b), (1) of the Revenue and Taxation Code. 2. Except as expressly modified herein, all other terms and covenants set forth in the Agreement shall remain the same and shall be in full force and effect. SIGNATURES CONTINUE ON THE FOLLOWING PAGE 3 IN WITNESS WHEREOF, the parties hereto have caused this modification of Agreement to be executed. CITY OF CUPERTINO By Title Date APPROVED AS TO FORM Acting City Attorney ATTEST: City Clerk Date HINDERLITER, DE LLAMAS AND ASSOCIATES By Title Date Andrew Nickerson President/CEO 08/02/22 Director of Administrative Services 08/02/22 Michael Woo 08/02/22 for Sales, Use and Transactions Tax Audit Services Final Audit Report 2022-08-02 Created:2022-08-01 By:City of Cupertino (webmaster@cupertino.org) Status:Signed Transaction ID:CBJCHBCAABAAjLORWVe7H30VDrVWMUNTA5JCTn18fXuJ "for Sales, Use and Transactions Tax Audit Services" History Document created by City of Cupertino (webmaster@cupertino.org) 2022-08-01 - 10:05:57 PM GMT- IP address: 35.229.54.2 Document emailed to Janet Liang (janetl@cupertino.org) for approval 2022-08-01 - 10:08:03 PM GMT Email viewed by Janet Liang (janetl@cupertino.org) 2022-08-01 - 10:10:54 PM GMT- IP address: 104.47.73.126 Document approved by Janet Liang (janetl@cupertino.org) Approval Date: 2022-08-01 - 10:11:04 PM GMT - Time Source: server- IP address: 73.158.94.229 Document emailed to Araceli Alejandre (aracelia@cupertino.org) for approval 2022-08-01 - 10:11:07 PM GMT Document approved by Araceli Alejandre (aracelia@cupertino.org) Approval Date: 2022-08-01 - 10:14:29 PM GMT - Time Source: server- IP address: 73.170.27.253 Document emailed to Andrew Nickerson (anickerson@hdlcompanies.com) for signature 2022-08-01 - 10:14:31 PM GMT Email viewed by Andrew Nickerson (anickerson@hdlcompanies.com) 2022-08-02 - 1:11:23 AM GMT- IP address: 172.226.184.18 Document e-signed by Andrew Nickerson (anickerson@hdlcompanies.com) Signature Date: 2022-08-02 - 3:38:52 PM GMT - Time Source: server- IP address: 98.152.155.130 Document emailed to Kristina Alfaro (kristinaa@cupertino.org) for signature 2022-08-02 - 3:38:55 PM GMT Email viewed by Kristina Alfaro (kristinaa@cupertino.org) 2022-08-02 - 4:16:07 PM GMT- IP address: 104.47.73.126 Document e-signed by Kristina Alfaro (kristinaa@cupertino.org) Signature Date: 2022-08-02 - 4:16:25 PM GMT - Time Source: server- IP address: 208.95.236.60 Document emailed to Michael Woo (michaelw@cupertino.org) for signature 2022-08-02 - 4:16:27 PM GMT Email viewed by Michael Woo (michaelw@cupertino.org) 2022-08-02 - 4:27:01 PM GMT- IP address: 104.47.73.126 Document e-signed by Michael Woo (michaelw@cupertino.org) Signature Date: 2022-08-02 - 4:28:17 PM GMT - Time Source: server- IP address: 73.189.58.134 Document emailed to Kirsten Squarcia (kirstens@cupertino.org) for signature 2022-08-02 - 4:28:19 PM GMT Email viewed by Kirsten Squarcia (kirstens@cupertino.org) 2022-08-02 - 4:47:39 PM GMT- IP address: 104.47.73.254 Document e-signed by Kirsten Squarcia (kirstens@cupertino.org) Signature Date: 2022-08-02 - 4:47:47 PM GMT - Time Source: server- IP address: 69.110.137.176 Agreement completed. 2022-08-02 - 4:47:47 PM GMT