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HomeMy WebLinkAboutAgenda - 09-05-2013 - 5eORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: September 5, 2013 Action Agenda Item No. 5 -e SUBJECT: Tax Collector's Annual Settlement for Fiscal Year 2012 -13 DEPARTMENT: Tax Administration PUBLIC HEARING: (Y /N) No ATTACHMENT(S): Resolution Reports (5) Order to Collect Report of Delinquent Property Taxes (provided to Clerk) INFORMATION CONTACT: T. Dwane Brinson, Tax Administrator, 919- 245 -2726 1 PURPOSE: To receive the tax collector's annual settlement on current and delinquent taxes, approve by resolution the accounting thereof, and upon acceptance of the reports, issue the Order to Collect for Fiscal Year 2013 -2014. BACKGROUND: The annual settlement provides in detail the collection for the County, all fire and special districts, and the Towns of Carrboro, Chapel Hill, and Hillsborough during Fiscal Year 2012 -2013. For fiscal year ended June 30, 2013, Orange County's overall current year tax collection percentage was 98.39 %. The overall collection percentage can be broken down further into three property classifications: real property, personal property, and motor vehicles. Orange County's Fiscal Year 2013 — 2014 current year tax collection percentage for real property was 98.94 %, personal property was 99.23% and motor vehicles was 89.20 %. The tax collector is required by North Carolina General Statute (NCGS) 105 -373 to give an annual settlement to the governing body. It is the intent of the Machinery Act to create a direct relationship of responsibility and accountability between the tax collector and governing body. Furthermore, NCGS 105 -373 requires the tax collector to furnish a sworn report to the governing body showing a list of property owners whose taxes remain unpaid for the preceding fiscal year. There are three sections to the report: business personal property owners, individual personal property owners and real property owners. By acceptance of the attached resolution, the Board designates said list to be entered into the minutes. The tax claims are not discharged or written off. These accounts are recharged to the collector as delinquent accounts, and the collector has full authority to use levy and garnishment to affect their collection. Lists have been provided to the Clerk to the Board for the permanent record of all outstanding tax by property classification. Two settlement reports for tax are included. The first shows all taxes charged for collection for the 2012 -2013 Fiscal Year. Per NCGS 105- 373(3)(b) the tax collector is credited with (paraphrased): 1. All sums representing taxes collected and deposited; 2. Releases approved by the governing body; 3. The principal amount of taxes constituting liens on real property; 4. Amount shown on the insolvent list; 5. Discounts as allowed by law; 6. Commissions (if any) lawfully payable to the tax collector as compensation; 7. Outstanding Property Tax Commission appeals. *All uncollected taxes allowed as credits in a settlement are recharged to the tax collector. The second report shows all prior years' taxes collected during the 2012 -2013 fiscal year. NCGS 105 -378 limits the tax collector's use of enforced collection remedies to ten years from the due date of the tax. As such, for Fiscal Year 2012 -2013, the tax collector was charged with collecting remaining taxes from the years 2003 -2011, in addition to current year 2012 taxes. Additional reports are included for review by the governing board. One provides details of all other miscellaneous revenue charged to the Tax Collector for collection during Fiscal Year 2012 -2013. Another report shows the accounts receivable information for 2012 taxes at the beginning of the 2013 Fiscal Year. The final report is a minimal bill report that provides the number of bills and amount of taxes waived in accordance with a resolution approved by the governing board on July 26, 1995. NCGS 105- 321(f) states, in part, that the governing body of a taxing unit may direct its tax assessor and tax collector not to collect minimal taxes where the total principal amount does not exceed five dollars ($5.00). FINANCIAL IMPACT: There is no financial impact associated with receipt of the tax collector's annual settlement. RECOMMENDATION(S): The Manager recommends the Board • Receive the Tax Collector's annual settlement, and approve and authorize the Chair to sign the resolution accepting it as reported for entry into the minutes; and • Approve, authorize the Chair to sign, and issue the Order to Collect to the Tax Collector for Fiscal Year 2013 -2014. RES- 2013 -061 RESOLUTION APPROVING THE TAX COLLECTOR'S ANNUAL SETTLEMENT FOR THE CURRENT YEAR 2012 AND PRIOR YEARS BE IT RESOLVED by the Board of Commissioners of Orange County that the following documents attached hereto are received and approved, consisting of the following: 1. Settlement of 2012 Tax Accounts 2. Settlement of Prior Years (2003 -2011) Tax Accounts 3. Tax Collector's Report of 2012 Unpaid Taxes 4. Tax Collector's Report of Minimal Property Tax Bills 5. Report of Collections of Non -Tax Revenue and Miscellaneous Taxes ADOPTED this the 5th day of September, 2013. Barry Jacobs Chair, Board of County Commissioners Attest: Clerk to the Board of County Commissioners K Collection Percentage Reported in the GAFR and to the LGC 98.14% J Combined County, Fire & special District Town of Hillsborough 4,495,860.89 401,211.49 275,916.78 49,812.27 11,599.78 5,234,401.21 Grand Total 193,270,219.57 6,660,123.03 10,358,654.51 1,893,746.43 1,275,60810 369,71 5.75 213,828,067.49 87,98437 1,839,400.31 1,508.40 44,568.44 Settlement for 2012 Tax Accounts 1,095,512.07 125,255.65 Orange County, Fire and Special Districts 5,094,569.63 Towns of Carrboro, Chapel Hill, and Hillsborough 5,234,401.21 213,828,067.49 for Fiscal Year 2012 -2013 210,562,945.29 4,295.56 Orange Fire & Special Town of Town of County Districts Carrboro Chapel Hill CHARGES Adjusted Levy -Real 125,043,411.69 21,647,867.42 10,941,523.52 31,141,556.05 Adjusted Levy - Personal 4,967,928.58 193,910.53 1,097,072.43 Adjusted Levy -Motor Vehicles 7,899,487.74 670,558.30 1,512,691.69 Adjusted Levy -- Personal & Motor Vehicles 1,893,746.43 Adjusted Levy - Vehicle Fees 375,821.14 849,974.79 Interest & Penalties 257,474.06 37,948.56 16,075.64 46,617.71 Total 138,168,302.07 23,579,562.41 12,197,889.13 34,647,912.67 CREDITS Real Uncollected 1,327,304.73 173,68014 112,141.75 138,289.32 Personal Uncollected 38,355.80 1,00538 3,698.86 Motor Vehicles Uncollected 853,521.76 76,745.45 124,645.85 Personal & Motor Vehicles Uncollected 125,255.65 Motor Vehicle Fees Uncollected 57,597.81 93,048.12 Cash Deposited 135,949,11978 23,280,626.62 11,950,398.74 34,288,230.52 Total 138,168,302.07 23,579,562.41 12,197,889.13 34,647,912.67 COLLECTION CREDIT Cash Deposited 135,949,119.78 23,280,626.62 11,950,398.74 34,288,230.52 Prop Tax Appeals Pending Credit 5,419.98 - - - Total Collection Credit 135,954,539.76 23,280,626.62 11,950,398.74 34,288,230.52 COLLECTION PERCENTAGE Real 9$.94 °l0 99.20 °l0 9$.9$ °l0 99.56 °l0 Personal 99.23% 99.48% 99.66% Motor Vehicles 89.20% 88.55% 91.76% Personal & Motor Vehicles 93.39% Motor Vehicle Fees 84.67 °% o 89.05 °o Total 98.39% 98,73% 97.97% 98.96% Collection Percentage Reported in the GAFR and to the LGC 98.14% J Combined County, Fire & special District Town of Hillsborough 4,495,860.89 401,211.49 275,916.78 49,812.27 11,599.78 5,234,401.21 Grand Total 193,270,219.57 6,660,123.03 10,358,654.51 1,893,746.43 1,275,60810 369,71 5.75 213,828,067.49 87,98437 1,839,400.31 1,508.40 44,568.44 40,599.01 1,095,512.07 125,255.65 9,739.80 160,385.73 5,094,569.63 210,562,945.29 5,234,401.21 213,828,067.49 5,094,569.63 210,562,945.29 4,295.56 9,715.54 5,098,865.19 210,572,660.83 98.14% 99.62% 85.29% 80.45% 97.40% 0 Timothy Dwane Brinson, Tax Collector for Orange County, Towns of Carrboro, Chapel Hill, and Hillsborough, and applicable fire /special districts, being duly appointed, respectfully reports that he has made a diligent effort within the time permitted by law to collect the taxes due from persons listed out of their personal property and by other means available to him for collection of such taxes. Sworn to and subscribed before me this the L - day of August, 2013. Notary Public SETTLEMENT OF UNPAID TAXES FOR THE YEARS 2003-2011 Orange County, Fire and Special Districts Towns of Carrboro, Chapel Hill, and Hillsborough Timothy Dwane Brinson, Tax Collector for Orange County, Towns of Carrboro, Chapel Hill, and Hillsborough, and applicable firefspecial districts, being duly appointed, respectfully reports, in accordance with G.S. 105-373(b), the amount of taxes remaining unpaid for years 2003 through 2011, that he has made a diligent effort within the time permitted by law to collect such taxes out of the personal property of such taxpayers, or by other means available to him for collection ofsuch taxes, Sworn and subscribed before me on this the 11"day of August, 2013 T. I TAW —Notary Public My commission expires a ZUBLIC lick am 1`IZhb'L. — — A Adjusted Levy Total Uncollected Balance Interest Collections (Accounts Receivable) Collected Orange County 3,527,067-57 1,582,528.86 1,944,538.71 Downtown Revitalization 2,336-39 1,716-44 619-95 Cedar Grove Fire 11,44123 6,26877 5,174.46 Chapel Hill Fire 147-83 1940 128.43 Damascus Fire 429,19 37685 52-34 Efland Fire 17,057 34 8,693-10 8,364-24 Eno Fire 11252.22 4,041.90 7,21032 Little River Fire 4,74076 2,927.15 1,813.61 New Hope Fire 7,440-89 4,710,50 2330.39 Orange Fire 28,179,38 12,555.72 15,623-66 Orange Grove Fire 11,488.62 7,771.49 3,717.14 South Orange Fire 15,476.56 8,949.08 6,527.48 South Triangle Fire 3,553,27 1,601.60 1,951.67 White Cross Fire 10,623-63 4,309-60 6,314-03 CH Carrboro School district 280,736-40 150,201-40 130,535.00 Total County, Fire, and Special Districts 3,931,973.28 1,796,671-86 2,135,301.43 202,495.73 Town of Carftro Real 124,628,20 62,345-44 62,28216 Motor Vehicle and Other Personal Property 286,011,59 95,121.44 190,890,15 Total 410,639.79 157,466.88 253,172.91 12,604.78 Town of Chapel Hill Real 175,029,87 103,323.32 71 Y06.55 Motor Vehicle and Other Personal Property 407,784-70 154,733,30 283.051.40 Total 582,814.57 258,056.62 324,757.95 19,421.63 Town of Hillsborough Real 112,892-51 40,237-30 65,770.45 Motor Vehicle and Other Personal Property 90,887-23 37,971-20 52,916.03 Total 203,779.74 78,208.50 118,686.48 9,487.10 Timothy Dwane Brinson, Tax Collector for Orange County, Towns of Carrboro, Chapel Hill, and Hillsborough, and applicable firefspecial districts, being duly appointed, respectfully reports, in accordance with G.S. 105-373(b), the amount of taxes remaining unpaid for years 2003 through 2011, that he has made a diligent effort within the time permitted by law to collect such taxes out of the personal property of such taxpayers, or by other means available to him for collection ofsuch taxes, Sworn and subscribed before me on this the 11"day of August, 2013 T. I TAW —Notary Public My commission expires a ZUBLIC lick am 1`IZhb'L. — — A 2012 -2013 COLLECTIONS OF NON -TAX REVENUE EMS Ambulance Fees Chapel Hill not inclusive of Medicaid Reimbursement $ 2,384,247.37 Medicaid Reimbursement for EMS $ 328,653.00 Schedule B Licenses $ 495.00 Beer & Wine Licenses $ 10,704.45 Rental Vehicle Gross Receipts Tax $ 62,080.32 Emergency Mgmt Collections Amount (all other charges but ambulance) $ 37,987.70 3R Fee Collection $ 3,959,381.78 Waste Center Fee Collection $ 592,741.94 Occupancy Tax Collections $ 1,053,159.48 TOTAL $ 8,429,451.04 Town of Mebane, Motor Vehicle Taxes City of Durham, Motor Vehicle Taxes City of Durham, Motor Vehicle Tag Fees 2012 -2013 Miscellaneous Collections 2012 -2013 COLLECTION OF RENTAL VEHICLE GROSS RECEIPT TAX FOR MUNICIPALITIES Chapel Hill $ 43,229.71 Hillsborough $ 9,452.97 Carrboro $ 1,268.42 TOTAL $ 53,951.10 0 COLLECTIONS OF MISCELLANEOUS AD VALOREM TAXES & MOTOR VEHICLE TAG FEES Fiscal Year 2012 -2013 All Prior Years Adjusted Total Amount Collection Adjusted Total Amount Collection Levy Collected Uncollected Percentage Levy Collected Uncollected Percentage 65,263.76 54,032.39 11,231.37 82.79% 11,410.95 7,350.97 3,897.71 65.84% 655.70 566.32 89.38 86.37% 65.90 - 65.90 0.00% 270.00 225.00 45.00 83.33% 80.90 80.90 0.00% State of North Carolina County of Orange ORANGE COUNTY TAX ADMINISTRATION 228 S CHURTON STREET, SUITE 200, PO BOX 8181 HILLSBOROUGH, NORTH CAROLINA 27278 Telephone (919) 245-2725 Fax (919) 644-3332 T. Dwane Brinson, Director Tax Collector's Report of FY 2012-2013 Accounts Receivable—Real/Personal Property Timothy Dwane Brinson, Tax Collector for Orange County, Towns of Carrboro, Chapel Hill, and Hillsborough, and applicable Fire Districts being duly appointed, deposes and says: A complete list of persons owning real and personal property whose tax remain unpaid and the principal amount due has been filed with the Clerk to the Board of County Commissioners and is available for inspection. The principal amount of 2012 real and personal property as of July 1, 2013 is $3,265,122.20. Timothy Dwane Brinson Orange County Tax Collector Sworn to and subscribed before me this the H416 ay of August, 2013. a 7 -- ? � 4,W N�0- t " blic My Commission expires PUBLIC 7 TAX COLLECTOR'S REPORT OF MINIMAL PROPERTY TAX BILLS Fiscal Year 2012-2013 North Carolina General Statute 105-321(f) is a provision authorizing the governing board of a taxing unit that collects its own taxes to adopt a resolution foregoing the collection of bills that do not exceed a specified amount, up to five dollars ($5.00). The Orange County Board of Commissioners has adopted, by resolution effective July 26, 1995, a policy change to permit the County Assessor and Tax Collector to waive the billing and collection of tax notices that do not exceed five dollars ($5.00), and that the tax collector keep record of such and report the total amount as part of annual settlement. The total number of motor vehicle notices less than five dollars ($5.00) is 5726. The total amount of taxes waived is $12,863.94. The total number of real estate and personal property notices less than five dollars ($5.00) is 2079. The total amount of taxes waived is $2,171.49. Timothy Dwane Brinson Orange County Tax Administrator ORDER OF THE BOARD OF COUNTY COMMISSIONERS IN ACCORDANCE WITH G.S. 105 -321 State of North Carolina County of Orange ORDER OF THE BOARD OF COUNTY COMMISSIONERS IN ACCORDANCE WITH G.S. 105 — 373 & 105 — 321 To: Timothy Dwane Brinson Tax Collector of Orange County, Towns of Carrboro, Chapel Hill, and Hillsborough, and applicable Fire Districts You are hereby authorized, empowered, and commanded to collect the taxes remaining unpaid as set forth in the 2003 through 2013 tax records filed in the office of the Tax Collector, and in the tax receipts herewith delivered to you in the amounts and from the taxpayers likewise therein set forth. You are further authorized, empowered, and commanded to collect the 2003 through 2013 taxes charged and assessed as provided by law for adjustments, changes, and additions to the tax records and tax receipts delivered to you which are made in accordance with law. Such taxes are hereby declared to be a first lien on all real property of the respective taxpayers in Orange County, Town of Carrboro, Town of Chapel Hill, Town of Hillsborough, Fire Districts of Orange, Efland, South Orange, New Hope, Eno, Orange Grove, Chapel Hill, Little River, Cedar Grove, Southern Triangle, Damascus, and White Cross, and this order shall be a full and sufficient authority to direct, require and enable you to levy on and sell any real and personal property, and attach wages and /or other funds, of such taxpayers, for and on account thereof, in accordance with law. You are further authorized to call upon the Sheriff to levy upon and sell personal property under execution for the payment of taxes. Within available funds in the budget ordinance and personnel positions established, the Tax Collector may hire employees, and they shall have the authority to perform those functions authorized by the Machinery Act of Chapter 105 of North Carolina General Statutes and other applicable laws for current and previous years' taxes. County personnel presently in the Tax Collector's office will continue to serve in their respective collection positions. Witness my hand and official seal, this 5th day of September, 2013. Barry Jacobs Chair, Board of County Commissioners Attest: Clerk to the Board of County Commissioners 9