City of Pacific Grove will Outsource Collection of Business License Fees

City council members approved a resolution to hire an outside consultant, MuniServices, LLC, to manage the collection of city business license taxes.

The firm will begin by handling business license renewals due the first of next month and will then work on going after unlicensed businesses to ensure current compliance to city licensing laws and payment of past license fees and taxes.

Constraints on staff time have kept city employees back from actively seeking out local unlicensed businesses. City officials estimate that there will be at least a 10 percent increase in licensed businesses by outsourcing business license management of which MuniServices, LLC would keep 45 percent of the revenue generated.

According to the Cedar Street Times, “Deputy City ManagerJim Becklenberg and Assistant Finance Officer Catherine Krysyna said they hope the revenue generated would reach anywhere from $30,000 to $100,000 in the current year, and the cost would be around 30 to 40 percent of the revenue collected.”

MuniServices, LLC will charge the city an $18 administrative fee per license. Business owners may see this amount added to their licensing cost.

This information is brought to you by Business Licenses, LLC (www.BusinessLicenses.com), offering business license compliance software, services, and outsourcing. To learn more, visit http://www.businesslicenses.com/services_corporate.php.