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Council debates proposed sales-tax audit contract that would pay third party 45% of newly recovered revenue
Summary
Council members questioned a proposal to hire Azovar Audit Solutions to review local sales-tax coding and reallocate miscoded revenue to Sedro-Woolley; concerns centered on a 45% contingency fee, scope limits, and a vendor clause flagged by a public commenter.
Sedro-Woolley councilmembers debated whether to advance a professional services agreement with a private firm to review the city’s sales-tax allocations. City staff described the proposal as a targeted review to identify miscategorized transactions and reassign them to the city where appropriate, not as a Department of Revenue–style forensic audit. The company is proposed to receive 45% of any newly recovered revenues for a 36-month period.
“45 is a high percentage for 3 years,” a staff speaker said while describing the contract’s fee…
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