TITLE
Recommendation to request City Council to adopt a City Vehicle Policy regarding the use of City vehicles to require the reporting of personal use and/or elimination of City vehicles.
DISCUSSION
A review of management and City Council use of vehicles conducted in 2003 highlighted the need for a policy regarding the use of City vehicles for personal and/or business purposes. While each department establishes a policy regarding the use of City of Long Beach fleet vehicles, the City Council has yet to adopt a consistent policy regarding council member use of such vehicles.
At issue, as reported by the Press Telegram in 2003, is whether the City should require all council members to switch to a monthly allowance or decide that city vehicles are a part of elected officials' compensation and can be used without restriction. The article cited a memorandum from the City Attorney and former City Auditor Gary Burroughs, "If neither action is taken, they wrote, elected officials will be required to reimburse the city when they use a city vehicle for non-city business."
Many public agencies and employers require employees to report the personal use of company assets, such as cell phones and vehicles. The personal use of these assets is often considered taxable income. By failing to adopt a policy regarding the use and reporting of personal use of City vehicles, the City may be exposed to Internal Revenue Service and other financial liabilities.
I am requesting that the City Council adopt a City Council policy regarding the use of City fleet vehicles in consultation with the City Attorney and City Auditor.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
COUNCILMEMBER TONIA REYES URANGA, SEVENTH DISTRICT