To: Board of Supervisors
Department or Agency Name(s): County Administrator’s Office and County Counsel
Staff Name and Phone Number: McCall Miller, 707-565-2431
Vote Requirement: Majority
Supervisorial District(s): Countywide
Title:
Title
Cannabis Business Tax Appeal Hearing Officer Appointment
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Recommended Action:
Recommended action
Adopt a Resolution Appointing the Office of Administrative Hearings as the Hearing Officer for all Cannabis Business Tax Appeals Appealed to the Board of Supervisors.
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Executive Summary:
The Cannabis Business Tax Ordinance, codified in Sonoma County Code Chapter 35 (approved on December 13, 2016 and passed by the voters on March 7, 2017), allows any taxpayer who has received a notice of assessment from the County’s Treasurer-Tax Collector to apply in writing for a hearing on the assessment. Following the hearing to the Treasurer-Tax Collector, any taxpayer aggrieved by any decision of the Treasurer-Tax Collector with respect to the amount of tax, interest, penalties and fees, if any, due may appeal to the Board of Supervisors. For administrative ease, staff recommends the Board appoint the state’s Office of Administrative Hearings to serve as the county’s hearing officer for all Cannabis Business Tax Appeals submitted to the Board of Supervisors.
Discussion:
The Board of Supervisors may appoint a referee to take testimony at the hearing, and to report his findings and recommendations to the Board. The Board of Supervisors can refer any hearing duties to the County hearing officer, and the duties of the hearing officer may be performed by the Office of Administrative Hearings (OAH), as allowed by Chapter 2, Article II, Division 9 of the Sonoma County Code. In order to refer a hearing to the hearing officer, it must be ordered by resolution.
The Office of Administrative Hearings <https://www.dgs.ca.gov/OAH> (OAH) is a quasi-judicial tribunal that hears administrative disputes. Established by the California Legislature in 1945, OAH provides independent Administrative Law Judges (ALJs) to conduct hearings for over 1,500 State and local government agencies. OAH provides both adjudication and alternative dispute resolution services. The current contract with OAH is set to expire in February 2026 and includes hearing and related costs not-to-exceed $48,000 over the term of the agreement.
Staff recommends your Board adopt a Resolution Appointing the Office of Administrative Hearings as the Hearing Officer for all Cannabis Business Tax Appeals Appealed to the Board of Supervisors. The cannabis business tax appeal hearings referred to OAH will follow the County’s administrative procedures.
Strategic Plan:
N/A
Prior Board Actions:
12/13/2016 - Board of Supervisors Approved Cannabis Business Tax Ordinance No. 6188 (passed by voters on 3/7/2017)
8/28/2018 - Board of Supervisors Adopted Cannabis Business Tax Ordinance Amendments
Fiscal Summary
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FY 21-22 Adopted |
FY22-23 Projected |
FY 23-24 Projected |
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Narrative Explanation of Fiscal Impacts:
The current contract with OAH is set to expire in February 2026 and includes hearing and related costs not-to-exceed $48,000 over the term of the agreement.
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Narrative Explanation of Staffing Impacts (If Required):
N/A
Attachments:
Attachment A - Resolution
Related Items “On File” with the Clerk of the Board:
None