COUNCIL COMMUNICATION
TO: Honorable Mayor and Council
FROM: Jill Olsen, Administrative Services Director
SUBJECT:Title
Action: Resolution No. 24-3795 Approving a Payroll Deduction Agreement with Lake Havasu Unified School District No. 1 to Allow Participation by City Employees in the Extracurricular Tax Credit Program Through Payroll Deductions for Tax Year 2025 (Jill Olsen)
Body
FUNDING SOURCE:
N/A
PURPOSE:
To consider adopting a resolution approving an intergovernmental agreement, Payroll Deduction Agreement, with Lake Havasu Unified School District No. 1 to allow City employees to voluntarily participate in the Extracurricular Activity Tax Credit Program through payroll deduction for the 2025 tax year.
BACKGROUND:
The Extracurricular Activity Fee Tax Credit Program allows City employees to voluntarily request deductions be made from their biweekly pay to contribute to funding extracurricular activity fees. The contribution can be designated for a specific student, activity or to the program. Such contributions qualify for the Arizona State Tax Credit up to $400 for married filing jointly and up to $200 for single/widowed or head of household per Arizona Revised Statutes § 43-1089.01.
COMMUNITY IMPACT:
The program offers parents and other interested parties an opportunity to pay extracurricular fees for school students and to receive an Arizona State Tax Credit.
FISCAL IMPACT:
N/A
ATTACHMENTS:
Resolution No. 24-3795
Payroll Deduction Agreement with Lake Havasu Unified School District No. 1
SUGGESTED MOTION:Recommended Action
I move to adopt Resolution No. 24-3795 approving the Payroll Deduction Agreement with Lake Havasu Unified School District No. 1 to allow participation by City employees in the Extracurricular Activity Tax Credit Program for Tax Year 2025.