About the Project

Structure and Operating Rules
Streamlined Sales Tax Project
(Adopted March 30, 2000)

I.	Project Mission
	The Streamlined Sales Tax Project will develop measures to design, test and implement a sales and use tax system that radically simplifies sales and use taxes.
II.	Project Membership
	A.	Membership Composition
		1.	Nature of Project. The Streamlined Sales Tax Project is a project created by and comprised of participating governments of the States and the District of Columbia.
		2.	Definition of State. A "State" is one of the fifty States of the United States of America and the District of Columbia.
	B.	Participating States—Qualifications, Rights and Responsibilities
		1.	Definitions and Qualifications. "Participating States" are those States that support the mission of the project and for which an elected official or body of elected officials has committed the State to participate in the Streamlined Sales Tax Project. A State may become a Participating State at any time. A commitment by a State to participate is evidenced by one or more of the following actions:
			a.	Enactment of legislation authorizing the State's participation in interstate discussions to develop a simplified sales and use tax system;
			b.	Passage of a legislative resolution expressing the intent of the State to participate in interstate discussions to develop a simplified sales and use tax system;
			c.	Issuance of an executive order, letter of intent or similar written document by a governor expressing the intent of the State to participate in interstate discussions to develop a simplified sales and use tax system;
			d.	Execution of a memorandum of understanding or similar written document by a governor and legislative leaders expressing the intent of the State to participate in interstate discussions to develop a simplified sales and use tax system;
			e.	Issuance of a resolution, executive order, letter of intent or similar written document by an elected official or body of elected officials charged under a State Constitution with the administration of the tax laws expressing the intent of the State to participate in interstate discussions to develop a simplified sales and use tax system;
			f.	Action by the Mayor or City Council of the District of Columbia comparable to any of the above actions.
		2.	Resolving Questions of Qualifications. Any question over whether or not a State qualifies as a Participating State shall be resolved by a majority vote of the Participating States whose qualifications are not in question.
		3.	Rights of Participating States. Participating States are entitled to vote at all project meetings. Representatives of Participating States are eligible to serve as officers of the project and on the Steering Committee for the project.
		4.	Responsibilities of Participating States. Participating States are responsible for designating a representative with the authority to vote on behalf of the State and an alternate who may vote in the absence of the representative. Participating States are also asked to consider the dedication of a certain portion of the time of staff members to support the work on the project. Participating States are responsible for ensuring regular participation in project meetings by its representative or alternate. If a Participating State's representative or alternate is absent from two consecutive meetings of the project, the Project Co-Chairs or other designated project officer may contact the representative of the State to clarify whether or not the State intends to continue as a Participating State.
	C.	Observer States—Qualifications, Rights and Responsibilities
		Observer States are those States that wish to be informed of the work of the Streamlined Sales Tax Project, that are not opposed to the mission of the project, but cannot commit to working with other States to fulfill the project mission. States may request to become an Observer State by letter from the governor, the presiding officer of a legislative body, or from the head of the tax agency addressed to the Project Co-Chairs. Observer States may send representatives to project meetings and may participate in project discussions, but shall not exercise the right to vote in project meetings. Observer State representatives are not eligible to serve as Project Co-Chairs, as members of the Project Steering Committee or in other project level offices. However, Observer State representatives may participate in and be invited to serve in leadership positions within project work groups or project subcommittees.
III.	Project Meetings
	A.	Project Meetings—Composition; Quorum; Authority and Voting Procedures
		1.	Authority Rests with Project Meeting. The "Project Meeting" is a meeting of the entire body of the Participating States and Observer States. A majority of the Participating States constitutes a quorum for a Project Meeting. Authority for making decisions binding on the project rests solely with the Project Meeting. Any recommendations of project work groups, committees or the Steering Committee are advisory to the Project Meeting and are not binding on the project except as may be specifically delegated or approved by the Project Meeting.
		2.	Voting. All matters, except for the rules governing the project and the final recommendations of the project, shall be decided by a majority vote of the Participating States with representatives present and voting at a Project Meeting. Rules governing the conduct of the project and the final recommendations of the project to create a simplified sales and use tax system require the approval of a majority of the Participating States.
	B.	Project Meetings—Public Participation
		1.	Open Sessions, Public Comment Period and Closed Sessions. Project Meetings are open to the public except as specified herein. At each Project Meeting, a public comment period shall be conducted to provide an opportunity for members of the public to address the Project Meeting on matters relevant to the Streamlined Sales Tax Project. Project Meetings may be closed for the purposes of considering any of the following matters:
			a.	Personnel issues,
			b.	Information required by the laws of any State to be protected from public disclosure,
			c.	Proprietary information requested by any business to be protected from disclosure,
			d.	The consideration of information incident to the development or conduct of a competitive bidding, request for information, or request for certification process, the disclosure of which would defeat the public interest in a fair and competitive process, and a closed session of the Project Meeting may be convened by the Project Co-Chairs or by a majority vote of the Project Meeting. When a closed session is convened, the reason for the closed session shall be noted in a public session. Any actions taken in the closed session shall be reported immediately upon the reconvening of a public session.
		2.	Meeting Notice. The project shall provide public notice of its meetings at least seven days in advance of such meetings.
		3.	Teleconference Meetings. Project Meetings may be held by teleconference. If held by teleconference, the project shall provide for a physical location from which the public may observe the meeting and address the meeting during public comment periods as provided for in B.1. above.
		4.	Meetings of Work Groups, Committees or Steering Committee. Meetings of a work group, committee, or the Steering Committee are not required to be open to the public.
IV.	Project Officers and Steering Committee
	A.	Project Officers
		The Project Meeting shall elect from among the representatives of Participating States two Project Co-Chairs. The Project Co-Chairs shall preside over all Project Meetings, shall ensure that public notice of meetings is provided in accordance with these rules, shall fulfill such other responsibilities as delegated to them by the Project Meeting, and shall take such other actions consistent with the rules of the project as are necessary to help ensure the project fulfills its mission. The Project Meeting may establish other project offices as it deems necessary.
	B.	Project Steering Committee
		The Project Meeting shall elect from among the representatives of the Participating States a Project Steering Committee comprised of no more than nine (9) members. The Project Steering Committee shall be responsible for:
		1.	Planning agendas for meetings,
		2.	Recommending to the Project Meeting the organization of work groups or project committees,
		3.	Recommending to the Project Meeting such actions and procedures as are necessary for the project to fulfill its mission,
		4.	Assisting with securing resources beneficial to the conduct of the project,
		5.	Assisting and advising the Project Co-Chairs in fulfilling their responsibilities, and
		6.	Establishing registration fees for meetings and work sessions of the project and oversee the expenditure of such fees.
V.	Project Resources
	The project will operate using such staff, in-kind resources and funding as may be provided to it by Participating or Observer States or by the National Governors Association, the National Conference of State Legislatures, the Federation of Tax Administrators, the Multistate Tax Commission or other organizations of state and local governments or officials. The project may also accept funding from any other governmental source. The project by affirmative vote may accept funding from any public charitable foundation that does not have a stake in any particular outcome in the development of measures to design, test and implement a sales and use tax system that radically simplifies sales and use taxes.
VI.	Adoption and Amendment of Rules
	These rules and any amendment to these rules are subject to adoption by a majority of the Participating States.

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