HomeMy WebLinkAboutAgenda - 09-01-2015 - 6e 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: September 1, 2015
Action Agenda
Item No. 6-e
SUBJECT: Tax Collector's Annual Settlement for Fiscal Year 2014-15
DEPARTMENT: Tax Administration PUBLIC HEARING: (Y/N) No
ATTACHMENT(S): INFORMATION CONTACT:
2014 Settlement Resolution T. Dwane Brinson, Director
Reports (5) 919-245-2726
Order to Collect
Report of Delinquent Property Taxes
(provided to Clerk on CD)
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 2015-2016.
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 2014-2015.
For fiscal year ended June 30, 2015, Orange County's overall current year tax collection
percentage was 99.07%. 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 2014-2015 current year tax collection percentage for real property was
99.09%, personal property was 98.68% and motor vehicles was 86.78%.
The amount of the annual registered motor vehicle levy is significantly lower than in past years.
This is due to the fact that the state-wide "Tag and Tax Together' program was implemented for
vehicle registration renewals that were due in September 2013 and impacted the levy beginning
with registered motor vehicle bills that were due January 1, 2014. The State is now collecting
these ad valorem taxes at the time of registration and is submitting them to the County on a
monthly basis. This levy continues to diminish monthly and eventually will cease to be included
as part of the tax collector's annual settlement.
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 four sections to the report: real property owners, business personal property owners,
individual personal property owners and public personal property owners. With approval of the
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attached resolution, the Board designates said list to be entered into the minutes. The tax claim
is 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 2014-2015 fiscal year. All
uncollected taxes allowed as credits in a settlement are recharged to the tax collector.
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.
• The second settlement report shows all prior years' taxes collected during the 2014-2015
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 2014-2015 the tax
collector was charged with collecting remaining taxes from the years 2005-2013, in
addition to current year 2014 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 2014-2015. The receipt of the annual Medicaid
Reimbursement for Emergency Services for the current year is normally noted in this
report. The reimbursement for 2014-2015 was not received before the end of the fiscal
year and is therefore not included in the Non-Tax Revenue Total. However, the 2014-
2015 reimbursement was received soon after the June 30, 2015 deadline, and the
amount of the reimbursement is known and noted on the report. In addition, the Medicaid
reimbursement for the prior year is included in this report due to the fact that it was
received during the 2014-2015 fiscal year.
• An additional report shows the accounts receivable information for 2014 taxes at the
beginning of the 2015 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
267 1995. NCGS 105-321(f) states, in part, that the governing body of a taxing unit may
direct its tax assessor and tax 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 this item.
SOCIAL JUSTICE IMPACT: There is no Orange County Social Justice Goal impact associated
with this item.
RECOMMENDATION(S): The Manager recommends that 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 2015-2016.
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RES-2015-042
RESOLUTION APPROVING THE
TAX COLLECTOR'S ANNUAL SETTLEMENT
FOR THE CURRENT YEAR 2014
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 2014 Tax Accounts
2. Settlement of Prior Years (2005-2013) Tax Accounts
3. Tax Collector's Report of 2014 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 1st day of September, 2015.
Earl McKee
Chair, Board of County Commissioners
Attest:
Clerk to the Board of County Commissioners
Settlement for 2014 Tax Accounts
Orange County,Fire and Special Districts 4
Towns of Carrbora,Chapel Hill,and Hillsborough
for Fiscal Year 2014-2015
Orange Fire&Special Town of Town of Town of Grand
County Districts Carrbora Chapel Hill Hillsborough Total
CHARGES
Adjusted Levy-Real 130,330,949.73 25,118,210.61 11,225,102.97 33,528,099.24 4,570,394.56 204,772,757.11
Adjusted Levy-Personal 5,608,713.45 249,139.56 1,258,977.63 471,565.81 7,588,396.45
Adjusted Levy-Motor Vehicles 14755.09 1,330.90 2.598.15 376.99 19,061.13
Adjusted Levy--Personal&Motor Vehicles 812,630.67 812,630.67
Adjusted Levy-Vehicle Fees 840.00 1,499.46 90.00 2,429.46
Interest&Penalties 304,012.70 49,98422 21,544.16 69,969.01 19,900.47 465,410.56
Total 136,258,430.97 25,980,825.50 11,497,957.59 34,861,143.49 5,062,327.83 213,660,685.38
CREDITS
Real Uncollected 1,187,876.83 179,126.64 79,144.07 138,827.34 66,310.66 1,651,285.54
Personal Uncollected 73,760.74 191.02 24,433.36 4,201.58 102,586.70
Motor Vehicles Uncollected 1,950.93 476.25 188.79 34.00 2,649.97
Personal&Motor Vehicles Uncollected 13,011.07 13,011.07
Motor Vehicle Fees Uncollected 150.00 197.31 20.00 367.31
Cash Deposited 134,994,842.47 25,788,687.79 11,417,996.25 34,697,496.69 4,991,761.59 211,890,784.79
Total 136,258,430.97 25,980,825.50 11,497,957.59 34,861,143.49 5,062,327.83 213,660,685.38
COLLECTION CREDIT
Cash Deposited 134,994,842.47 25,788,687.79 11,417,996.25 34,697,496.69 4,991,761.59 211,890,784.79
Prop Tax Appeals Pending Credit - - -
Total Collection Credit 134,994,842.47 25,788,687.79 11,417,996.25 34,697,496.69 4,991,761.59 211,890,784.79
COLLECTION PERCENTAGE
Real 99.09% 99.29% 99.29% 99.59% 98.55%
Personal 98.68% 99.92% 98.06% 99.11%
Motor Vehicles 86.78% 64.22% 92.73% 90.98%
Personal&Motor Vehicles 98.40%
Motor Vehicle Fees 82.14% 86.84% 77.78%
Total 99.07% 99.26% 99.30% 99.53% 98.60%
Collection
Percentage Reported In the CAFR and to the LGC 99 1 o% Combined County,Fire&Special District Overall Collection 99.17%
Timothy Dwane Brinson,Tax Collector for Orange County,Towns of Carrboro,Chapel Hill,and Hillsborough,and applicable firefspecial 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 day of August,2015.
T_Dwane Brinson,Tax Collector
Notary Public My commission expires � y
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SETTLEMENT OF UNPAID TAXES
FOR THE YEARS 2005-2013 5
Orange County,Fire and Special Districts
Towns of Carrboro,Chapel Hill,and Hillsborough
Adjusted Levy Total Uncollected Balance Interest
Collections (Accounts Receivable) Collected
Orange County 3,624,328.17 1,420,322.21 2,204,005.96
Downtown Revitalization 3,780.35 1,423.52 2,356.83
Cedar Grove Fire 13,217.68 5,705.53 7,512.15
Chapel Hill Fire (291.08) (371.70) 80.62
Damascus Fire 298.61 151.92 146.69
Efland Fire 21,494.98 8,266.37 13.228.61
Eno Fire 14,095.00 6,929.63 7,165.37
Little River Fire 5,625.79 3,092.67 2,533.12
New Hope Fire 91319.09 4,518.39 4,800.70
Orange Fire 34,851.60 12,917.60 21,934.00
Orange Grove Fire 10,888.07 6,620.77 4,267.30
South Orange Fire 17,059.49 7,783.08 9,276.41
South Triangle Fire 4,278.19 2,494.72 1,783.47
White Cross Fire 17,413.41 7,386.00 10,027.41
CH Carrboro School District 326,918.84 137,844.08 189,074.76
Total County, Fire, and Special Districts 4,103,278.19 1,625,084.79 2,478,193.40 217,386.59
Town of Carrboro Real 164,194.22 65,437.00 98,757.22
Motor Vehicle and Other Personal Property 266,452.12 38,604.80 180,949.72
Total 430,646.34 104,041.80 279,706.94 14,834.54
Town of Chapel Hill Real 242,761.22 137,453.46 105,307.76
Motor Vehicle and Other Personal Property 344,997.00 68,059.18 276,937.82
Total 587,758.22 205,512.64 382,245.58 22,546.02
Town of Hillsborough Real 154,237.80 50,880.32 103,357.48
Motor Vehicle and Other Personal Property 77,465.94 20,531.66 56,934.28
Total 231,703.74 71,411.98 160,291.76 9,606.50
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, in accordance with G.S. 105-373(b),the amount of taxes remaining unpaid for years 2005 through 2013,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 of such taxes.
Sworn and subscribed before me on this the day of August, 2015
T. Dwane Brinson_Tax Collector
Notary Public My commission expires ,
Notary Public
ty
I
2014-2015 Miscellaneous Collections 6
2014-2015 COLLECTIONS OF NON-TAX REVENUE
EMS Ambulance Fees
not inclusive of Medicaid Reimbursement $ 2,446,719.97
2014-2015 COLLECTION OF RENTAL VEHICLE GROSS RECEIPT
*Medicaid Reimbursement for EMS $ 394,834.00 TAX FOR MUNICIPALITIES
Schedule B Licenses $ 295.00 Chapel Hill $ 50,745.09
Beer&Wine Licenses $ 14,091.50 Hillsborough $ 8,547.63
Rental Vehicle Gross Receipts Tax $ 64,761.61 Carrboro $ -
Emergency Mgmt Collections TOTAL $ 59,292.72
(all other charges but ambulance) $ 48,827.75
3R Fee Collection $ 2,692,958.73
Waste Center Fee Collection $ 1,231,718.27
Occupancy Tax Collections $ 1,350,345.02
TOTAL $ 8,244,551.85
*NOTE.This amount is for 2013-2014 received 7114114.The 2014-2015 amount is
$423,489.50 and was received 7/12/15,which is outside of this fiscal year.
COLLECTIONS OF MISCELLANEOUS AD VALOREM TAXES&MOTOR VEHICLE TAG FEES
Note: Registered Motor Vehicle taxes are now collected at the State level. Collection information for both Durham and Mebane will eventually dwindle to zero.
Fiscal Year 2014-2015 All Prior Years
Adjusted Total Amount Collection Adjusted Total Amount Collection
Levy Collected Uncollected Percentage Levy Collected Uncollected Percentage
Town of Mebane, Motor Vehicle Taxes 135.74 97.58 38.16 71.89% 8,976.27 3,754.66 5,221.61 41.83%
City of Durham, Motor Vehicle Taxes - - - 0.00% 286.72 74.46 212.26 25.97%
City of Durham, Motor Vehicle Tag Fees 0.00% 75.00 15.00 60.00 20.00%
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ORANGE COUNTY TAX ADMINISTRATION
228 S CHURTON STREET, SUITE 200, PO BOX 8181
HILLSBOROUGH,NORTH CAROLINA 27278
Telephone(919)245-2100 Fax (919)644-3091
T. Dwane Brinson, Director
State ot'North Carolina
County of Orange
Tax Collector's Report of FY 2014-2015
Accounts Receivable—Real/Personal Property
Timothy Dwane Brinson, Tax Collector for Orange COL111ty, 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 2014 real and personal property as Of July 1,
2015 is $1,769,900.59.
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Timothy Dwane Brinson
Orange County Tax Collector
Sworn to and subscribed before me this
the day of August, 2015.
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TAX COLLECTOR'S REPORT
OF MINIMAL PROPERTY TAX BILLS
Fiscal Year 2014-2015
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 25. The total
amount of taxes waived is $18.94. The total number of real estate and personal
property notices less than five dollars ($5.00) is 2107. The total amount of taxes waived
is $2,201.69.
Timothy Dwane Brinson
Orange County Tax Administrator
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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 and 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 2006 through 2015 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 2006
through 2015 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, Greater 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 1st day of September, 2015
Earl McKee
Chair, Board of County Commissioners
Attest:
Clerk to the Board of County Commissioners