The ordinance authorizes the settlement of a lawsuit against Verizon for $2,280,000 due to allegations of under-collecting and under-remitting access line tax payments. This lawsuit was filed in January 2020 under the California False Claims Act.
Ordinance authorizing settlement of the lawsuit filed by the City and County of San Francisco ex rel. Roger Schneider against MCI Communications Services LLC; MCImetro Access Transmission Services LLC; Verizon Business Network Services LLC; and XO Communications Services, LLC (collectively “Verizon”) for $2,280,000; the lawsuit was filed on January 29, 2020, in San Francisco Superior Court, Case No. CGC-20-582552; entitled City and County of San Francisco ex rel. Roger Schneider v. AT&T Corporation, et al.; the lawsuit involves allegations that the defendants knowingly under-collected and under-remitted amounts due under the access line tax in violation of the California False Claims Act.
How it got here
This legislation originated from a lawsuit filed by the City and County of San Francisco against Verizon for under-collection of access line tax.
The City filed a lawsuit in San Francisco Superior Court against Verizon for allegedly under-collecting and under-remitting access line tax amounts, violating the California False Claims Act.
The City Attorney prepared a proposal to settle the lawsuit for $2,280,000, which was then submitted to the Board of Supervisors.
The Government Audit and Oversight Committee reviewed the settlement proposal and recommended it for approval.
The Board of Supervisors passed the ordinance on first reading, authorizing the settlement with Verizon.
The Board of Supervisors finally passed the ordinance, allowing the City to settle the lawsuit for $2,280,000.
The Mayor approved the ordinance, finalizing the settlement agreement with Verizon.
Reconstructed from attached documents & the official record
