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Resolution 2017-16 Resolution No. 2017- A RESOLUTION OF THE UNITED CITY OF YORKVILLE,KENDALL COUNTY,ILLINOIS, APPROVING A RECIPROCAL AGREEMENT ON EXCHANGE OF INFORMATION BETWEEN THE UNITED CITY OF YORKVILLE,ILLINOIS AND THE ILLINOIS DEPARTMENT OF REVENUE WHEREAS,the United City of Yorkville, Kendall County, Illinois is a duly organized and validly existing non home-rule municipality created in accordance with the Constitution of the State of Illinois of 1970 and the laws of this State; and, NOW,THEREFORE,BE IT RESOLVED,by the Mayor and City Council of the United City of Yorkville, Kendall County, Illinois, as follows: Section 1. That the Reciprocal Agreement on Exchange of Information between the United City of Yorkville, Illinois and the Illinois Department of Revenue, attached hereto and made a part hereof,is hereby approved and the Mayor and the City Clerk are hereby authorized to execute and deliver said Agreement on behalf of the United City of Yorkville. Section 2. Resolution No. 2014-36 dated December 9, 2014, is hereby repealed. Section 3. This Resolution shall be in full force and effect from and after its passage and approval as provided by law. Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of AAGtr'L , 2017. CITY CLERK CARLO COLOSIMO KEN KOCH JACKIE MILSCHEWSKI DIANE TEELING CHRIS FUNKHOUSER JOEL FRIEDERS If SEAVER TARULIS Resolution No.2017-16 Page 1 Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this Jt day of A�k((� , 2017. X, MA Off Attest: 14 City Clerk Resolution No.2017- Page 2 4 I September 1,2016 and after RECIPROCAL AGREEMENT ON EXCHANGE OF INFORMATION BETWEEN THE [TOWN][CITY][VILLAGE][COUNTY] OF United City of Yorkville AND THE ILLINOIS DEPARTMENT OF REVENUE The Illinois Department of Revenue (the "Department"), in accordance with the statutes of the State of Illinois,agrees to share under the terms of this Reciprocal Agreement on Exchange of Information (the "Reciprocal Agreement") with the [Town][City][Village][County] of United City of Yorkville (the ["Municipality"]["County"]) financial information obtained pursuant to the Illinois Retailers' Occupation Tax Act, the Service Occupation Tax Act, the Use Tax Act, and the Service Use Tax Act (the "Tax Acts"). For purposes of this Reciprocal Agreement, "financial information" means the following information for each retailer or serviceman in the [Municipality][County]: (1) the business name; (2) the business address; (3) the standard classification number assigned to the business; (4)net revenue distributed to the requesting [municipality][county] that is directly related to the requesting [municipality's][county's] local share of the proceeds under the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act distributed from the Local Government Tax Fund, and, if applicable, any locally imposed retailers' occupation tax or service occupation tax; and (5) a listing of all businesses within the requesting [municipality][county]by account identification number and address. It is further agreed that all information exchanged will be used only for the official purposes of the State and of the [Municipality][County] and shall be kept confidential in accordance with the Tax Acts. Each party agrees to take appropriate steps to protect from unauthorized disclosure the tax information obtained pursuant to this Reciprocal Agreement and to destroy it when no longer needed by shredding or other appropriate means. The [Municipality][County] agrees to follow the procedures to protect the confidentiality of information provided in "Minimum Standards Required to Safeguard Information Given as a Result of a Reciprocal Agreement on the Exchange of Information," which is incorporated into this Reciprocal Agreement as Attachment A. Both parties understand and agree that the Department will not provide any information under this Reciprocal Agreement to the [Municipality][County] unless and until the [Municipality)[County] signs Attachment A. It is agreed that only the chief executive officer of the [Municipality][County] will initiate a Reciprocal Agreement with the Department. Information provided to the [Municipality][County] under this Reciprocal Agreement may be shared with or viewed by only persons who are directly involved in the financial operations of the [Municipality][County], including [Municipal][County] employees, and persons, such as attorneys or accountants, retained by the [Municipality][County]. The information provided shall not, however, be shared with or viewed by any person who is compensated by the [Municipality][County] for services rendered on a contingent basis or any other similar method that may impair that person's independence or the perception of that person's independence. The chief executive officer shall provide the Department with a list of names and official titles of persons designated by him or her as persons exclusively authorized to request, view, or receive financial information on his or her behalf. The list shall be on [Municipal][County] letterhead and shall be signed by the chief executive officer. The information provided by the Department shall not be viewed b r ares v�th'dtiyone Who ui�i � 2 ?_017 Reciprocal Agreement on Exchange of Information—Sales Tax 1 (R-9/16) L0 2,1 Ta o,llooatic<< vivisict' September 1,2016 and after is not on the list. Each person designated to request, view, or receive financial information must acknowledge to the Department that he or she received and reviewed this Reciprocal Agreement and understands the legal and contractual obligation to maintain the confidentiality of this information by signing and returning Attachment B, which attachment shall be incorporated into this Reciprocal Agreement. The Department agrees to provide the[Municipality][County]with a written list showing the names and official titles of Department employees designated by it to request, view, or receive financial information from the [Municipality][County]. Both parties agree to furnish additions to and deletions from the lists as they occur. It is agreed that no information provided under this Reciprocal Agreement will be provided by telephone or pursuant to a telephone request. Both parties understand and agree that the Department will not provide any information under this Reciprocal Agreement to the [Municipality][County] unless and until the [Municipality][County] provides: • a signed copy of this Reciprocal Agreement; • a signed copy of Attachment A; • a list of names and official titles of persons exclusively authorized to request, view, or receive financial information on[Municipal][County]letterhead,signed by the chief executive officer;and • a completed and signed Attachment B for each person designated by the chief executive officer of the [Municipality][County] as authorized to request,view, or receive financial information. It is further agreed that either party for administrative reasons may refuse to share information. This Reciprocal Agreement may be canceled by either party at any time and will be canceled in the event of any unauthorized use or disclosure(verbally,in writing,or by any other means)of confidential financial information obtained pursuant to this Reciprocal Agreement or failure to abide by the procedures set forth by the Department for safeguarding the confidentiality of such confidential financial information. Illinois Department of Revenue United City of Yorkville (Munici al,[County] LaAADffi42 Director A%,)-\ VtkO DOZ Chief Ex tive of the[Munic'pality][County] 6hQ(Q11�7 Date Clerk of the [Municipality][County] Date M7 Loom 1�>: Reciprocal Agreement on Exchange of Information—Sales Tax (�i!1 s �'' 2 (R-9/16) September 1,2016 and after ATTACHMENT A MINIMUM STANDARDS REQUIRED TO SAFEGUARD INFORMATION GIVEN AS A RESULT OF A RECIPROCAL AGREEMENT ON THE EXCHANGE OF INFORMATION 1. All requests for information under the Reciprocal Agreement on the Exchange of Information(the "Reciprocal Agreement") will be in writing, on letterhead of the [Municipality][County] and addressed to the Local Tax Allocation Division at the Illinois Department of Revenue (the "Department")- 2. Department").2. Information received under the Reciprocal Agreement will be kept in a locked storage facility, e.g., locked file cabinet, closet, or desk that is only accessible by persons authorized under the Reciprocal Agreement to receive information.Any information stored in an electronic format shall be password protected and restricted to only those persons authorized under the Reciprocal Agreement to receive information. 3. Any [Municipality][County] that receives information under the Reciprocal Agreement will promptly notify the Department when a person who has been authorized to receive information under the Reciprocal Agreement, leaves employment of the [Municipality][County] or otherwise is no longer authorized by statute or by the [Municipality][County] to receive the information. 4. Any[Municipality][County]that receives information under the Reciprocal Agreement will report to the Department any possible or suspected breach of confidentiality of the information as soon as possible, but no later than the close of business on the business day following the date of discovery. 5. The proper method for destruction of information that is no longer needed is shredding or destruction of the CDs. 6. Any [Municipality][County] that receives information under the Reciprocal Agreement will not share the information with or allow the information to be viewed by any person who is compensated by the Municipality or County for services rendered on a contingent basis or any other similar method that may impair that person's independence or the perception of that person's independence. ; JUN 12 2017 Reciprocal Agreement on Exchange of Information—Sales Tax 3 (R-9/16) September 1,2016 and after 7. Any person who divulges confidential information in any manner, except in accordance with a proper judicial order or as otherwise provided by law, is guilty of a Class B misdemeanor with a fine not to exceed $7,500.00 per disclosure. Confidential information includes any information collected by the Department from any return or investigation other than name and address of the taxpayer. Disclosure of confidential information to [Municipal][County] Employees, contractors, or vendors who are not explicitly authorized to view such information under the Reciprocal Agreement constitutes unauthorized disclosure. 8. Information received under the Reciprocal Agreement is exempt from disclosure under section 7(1)(a) of the Freedom of Information Act (FOIA). Section 11 of the Retailer's Occupation Tax Act (ROTA) specifically prohibits disclosure of this information. To ensure uniform responses among recipients of confidential tax information, a [Municipality][County] that receives a FOIA request for information received under the Reciprocal Agreement shall (a) deny the request pursuant to section 7(1)(a) of FOIA; (b)notify the Department of Revenue of the request; and(c) keep the Department apprised of any proceedings instituted to compel the release of information under FOIA. The [Town][City][Village][County] of United City of Yorkville agrees to abide by the aforementioned standards in safeguarding the information that it receives pursuant to the Reciprocal Agreement,which it has entered into with the Illinois Department of Revenue. ..It W Signature M AI/op- Title '415117 Date E. - JU! 121 201` i-�I!oc�ation Dlvf�ic�r, Reciprocal Agreement on Exchange of Information—Sales Tax 4 (R-9/16) September 1,2016 and after ATTACHMENT B Acknowledgment of Restrictions on Use and Disclosure of Confidential Financial Information am currently employed as [a][an] with[the [Town][City][Village][County] of United City of Yorkville (the ["Municipality"]["County"])][name of non-government entity]. I am authorized under the Reciprocal Agreement on Exchange of Information between [name of Municipality][name of County] and the Illinois Department of Revenue to request, view, or receive confidential financial information on behalf of the [Municipality][County]. I have received and reviewed the Reciprocal Agreement on the Exchange of Information and I understand its terms. By my signature below I acknowledge that the unauthorized use or disclosure of confidential financial information obtained under the Reciprocal Agreement is prohibited by law. I further acknowledge that any person who divulges confidential financial information in any manner, except pursuant to a court order or as otherwise authorized by law, is guilty of a Class B misdemeanor and subject to a fine of up to $7,500 per disclosure. I understand that disclosing confidential financial information to persons who are not explicitly authorized under the Reciprocal Agreement constitutes unauthorized use and disclosure. Employer: (Please print) Position/Title: (Please print) [Signature] [Date] Reciprocal Agreement on Exchange of Information—Sales Tax 5 (R-9/16)