TREASURER TAX COLLECTOR FISCAL YEAR 2016-2017 Budget Work Session - PowerPoint PPT Presentation

ALAMEDA COUNTY TREASURER – TAX COLLECTOR FISCAL YEAR 2016-2017 Budget Work Session Donald R. White Treasurer – Tax Collector April 12, 2016

Mission Statement FY 2016-2017 • Provide a secure and convenient countywide central banking facility to all County departments and all other depositing agencies, which include all school and community college districts and some special districts that use the county treasury as their depository. • Provide countywide treasury management and administration of all county monies, including the investment of these funds in the Treasurer’s Investment Pool. • Provide billing and collecting services for real estate and personal property taxes. • Provide business licensing services in the unincorporated areas of the County. • Provide in- house administration of the County’s 457(b) and 401(a) deferred compensation programs for eligible county employees.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 2

Services FY 2016-2017 Mandated Services • Receive, account for, and safe keep the cash resources/revenues of the County and all depositing agencies. • Bill and collect property taxes. • Sell in a public auction 5-year tax-defaulted properties. • Bill and collect business license taxes in unincorporated areas. Non-Mandated Services • Invest the Treasurer’s cash pool. • Administer the County’s 457(b) and 401(a) deferred compensation plan programs.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 3

Objectives FY 2016-2017 • Introduce electronic billing (E-billing) by email for secured, supplemental and unsecured property taxes and pay through property tax online services by electronic check or credit card. • Upgrade the Interactive Voice Response (IVR) solution with a new IVR software and operating system to prevent system vulnerability to security breaches and compatibility issues. Add the use of ACH/Echeck to pay property tax payment by phone. • Automate the process for mailing, handling, and collection of taxes on the Utility Tax Roll.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 4

Objectives FY 2016-2017 • Expand the use of image-based lockbox payment processing services to supplemental and unsecured taxes property taxes. • Install remote cashiering and self-service kiosk in the Hayward office for property tax payments and new business license tax applications and renewals for the convenience of South County taxpayers. • Continue to enhance the Treasurer-Tax Collector's website with relevant investment information including monthly investment reports, and annual investment policy.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 5

Objectives FY 2016-2017 • Enhance the current property tax web portal to allow taxpayers to pay multiple tax bills and tax types using multiple payment sources (combination of credit cards and E-checks). • Continue to enhance the capabilities of the cashiering and remittance processing system to remotely accept image check treasury deposits from County departments, schools, and special districts. • Improve reporting standards for the monthly and quarterly investment reports to include significant information from the Treasurer's investment portfolio. • Continue working with ITD on the modernization of the Unsecured Property Tax System in collaboration with the Assessor and Auditor-Controller.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 6

Objectives FY 2016-2017 • Develop new communication methods with various employee age groups regarding deferred compensation plan enrollments, and increase contributions and financial retirement literacy via focused presentations, social media, and web page postings. • Complete the RFP process for a third party plan-level advisor for the Deferred Compensation Plan. • Continue working with ITD on the website redesign to deliver better information and allow better access to property taxes, reports, and information on investments, deferred compensation plans and treasury functions.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 7

Accomplishments for FY 2015-2016 • Enhanced Lockbox Collection Services for secured property taxes. This system has allowed us to speed up the processing time for the tax payments and reduced deposit delay. Tax Payer Tax Collector Tax- Collector’s bank Tax payer mails transmits lockbox file check to Tax with stubs and check Collector’s bank images Tax Collector’s bank  Treasurer - Tax Collector Budget Work Session FY 2016-2017 8

Accomplishments for FY 2015-2016 • Completed a Control Self-Assessment Audit of the Business License Unit to ensure that adequate controls are in place and functioning properly. • The Deferred Compensation plan returned $812,785 in monthly fees to participants in 2015 because of Plan efficiency.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 9

Accomplishments for FY 2015-2016 • Implemented the “Unpaid Prior Year Taxes Due” reminder watermark on the unsecured property tax bills. Taxpayers can see the reminder clearly, which should prompt them to pay their delinquent taxes.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 10

Accomplishments for FY 2015-2016 • Web payments are now accepted for secured prior year delinquent taxes. Taxpayers can now view their prior year delinquent balances online instead of calling the Tax Collector. A decrease in taxpayers calls is expected this fiscal year and in future years. • Properties that were not sold during the auction were reoffered within sixty days. The County sold additional tax defaulted properties during the reoffer. This will be an annual event by the Tax Collector.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 11

Accomplishments for FY 2015-2016 • Continued participation in County and ACERA Health Fairs resulting in increased Deferred Compensation plan enrollments.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 12

Workload Measures FY 2016-2017 FY 2014 FY2015 FY2016 FY2017 Actual Actual Estimate Estimate Regular Secured & Supplemental Tax Bills 471,904 471,148 472,000 472,000 Delinquent Secured & Supplemental Tax Bills 44,315 42,062 42,000 42,000 Tax Defaulted Properties for Auction 1,608 1,800 1,800 1,800 Regular Unsecured Tax Bills 55,406 55,234 55,000 55,000 Delinquent Unsecured Tax Bills 11,635 15,882 16,000 16,000 Telephone Assisted Calls 53,484 56,467 56,000 55,000 Business License Taxes 7,058 7,278 7,300 7,300 Deferred Compensation Plan Participants 5,930 6,200 6,500 6,500 Deferred Compensation Plan Assets (millions) $533 $550 $560 $560 Invested Pooled Funds (billions) $3.20 $3.70 $3.80 $3.90 Paper Checks Deposited/Processed 11,744 31,675 21,400 21,000 Image Checks Deposited/Processed 542,442 436,044 268,766 268,000 # of Property Taxes paid by Credit Card (Web/IVR/Mobile) 21,871 24,120 24,500 26,000 # of Property Taxes paid by ACH/E-Check (Web) 59,259 69,893 72,765 73,500 # of Property Taxes paid by Electronic Fund Transfer 217,265 264,309 275,904 286,940 # of Property Taxes paid by Cash/Checks 676,526 291,760 302,367 314,462 # of Property Taxes processed through Lockbox 0 365,225 395,035 410,836 # of Warrants Paid /Redeemed 516,715 505,400 505,400 505,400 Exception Payments – Special Processing 22,920 27,920 29,952 30,000  Treasurer - Tax Collector Budget Work Session FY 2016-2017 13

Financial Summary FY 2016-2017 TREASURER-TAX Change from 2015-2016 FY 2015-2016 FY 2016-2017 COLLECTOR Budget MOE Funding Approved Budget Amount Percent Request Appropriations 11,031,026 11,306,567 275,541 2.50% Revenue 8,772,392 8,785,564 13,172 0.15% Net 2,258,634 2,521,003 262,369 11.62% FTE - Mgmt 19.33 19.33 0.00 0.00% FTE - Non Mgmt 35.14 35.14 0.00 0.00% Total FTE 54.47 54.47 0.00 0.00%  Treasurer - Tax Collector Budget Work Session FY 2016-2017 14

Major Components of Net County Cost Change Component NCC Change Salary and Employee Benefits (1) $335,217 Discretionary Services and Supplies (2) ($1,223) Non-Discretionary Services and Supplies (3) ($58,453) Revenue Accounts (increase) (4) $13,172 Total NCC Change $262,369 1. Increase in S&EB due to salary adjustments from position reclassification, salary step increases and cost of living adjustments. 2. Decrease in DS&S related to reduced banking service costs and contractual agreements on remittance processing equipment. 3. Decrease in Non-DS&S related to reduced ITD costs and combination of other ISF accounts. 4. Increase in revenues related to Charges for Current Services, Tax Collector Fees and revenue decrease from returned check fees resulting from increased use of ACH and credit card payments from property tax payments.  Treasurer - Tax Collector Budget Work Session FY 2016-2017 15