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HomeMy WebLinkAbout15290 Agreement #04 296 1 AGREEMENT FOR STATE-COUNTY 2 PROPERTY TAX ADMINISTRATION PROGRAM 3 4 This Agreement is entered into this 28th day of June, 2004 by and between the County 5 of Fresno (County) and the State Department of Finance (State). 6 7 WITNESSETH : 8 9 WHEREAS, Revenue and Taxation Code Section 95.35 provides that upon 10 recommendation of the Assessor, and by resolution of the Board of Supervisors, the 11 County may elect to participate in the State-County Property Tax Administration 12 Program, administered by the State; and 13 14 WHEREAS, the Assessor has consulted with the County Tax Collector and the County 15 Auditor-Controller to discuss the needs of the Property Tax Administration Program 16 during the term of this agreement; and 17 18 WHEREAS, in order to participate in the State-County Property Tax Administration 19 Program, the County must enter into an agreement with the State; 20 21 NOW, THEREFORE, the parties agree as follows: 22 23 1. PERIOD OF AGREEMENT 24 25 This Agreement shall commence upon the date of execution by both parties and shall expire one year from that date,or June 30,2005,whichever is later. -1- 1 2. GRANT AMOUNT 2 3 The State agrees to make available to the County a grant in the amount of$1,165,249 for 4 fiscal year 2003-04. 5 6 3. COUNTY REQUIREMENTS 7 8 The County agrees to use the funds received from the State to enhance the property tax 9 administration system. The County agrees not to use the funds to supplant the Assessor's 10 base year level of funding. The County understands and agrees that in order for the County 11 to be eligible to participate in this State-County Property Tax Administration Program, it 12 must maintain a base staffing, including contract staff, and total funding level in the 13 Assessor's Office, independent of the grant proceeds provided pursuant to this Act, equal to 14 the levels in the 1994-95 fiscal year exclusive of the amounts provided to the Assessor's 15 Office pursuant to item 9100-102-001 of the Budget Act of 1994. In a county in which the 16 1994-95 fiscal year funding level for the assessor's office was higher than the 1993-94 17 fiscal year level, the 1993-94 fiscal year staffing and funding levels shall be considered the 18 base year for purposes of this section. 19 20 The 1994-1995 fiscal year base funding and staffing levels, as determined by the Assessor's 21 Office and the Chief Administrative Office of the County, which shall be deemed to satisfy 22 this requirement are as follows: 23 24 25 -2- I Gross Appropriation $5,777,906 2 Total Budgeted Positions 128 3 Additional Temporary Positions 8 4 Additional Contract Positions 1 5 6 4. RECEIPT OF FUNDING 7 8 In fiscal year 2004-05, the County shall receive payment of$1,165,249 within thirty (30) 9 days after the approval of this agreement by both parties. To participate in the program in 10 fiscal years 2004-05 through 2000-07 the County is required to provide written notice to 11 the State. The notice will specify the amount of the grant request and shall be signed by the 12 County's Project Director and Chief Administrative Officer. 13 14 The State shall make payment of the approved grant amount within thirty (30) days after 15 receipt of the Auditor-Controller's verified calculations establishing that the County has 16 satisfied its prior year performance requirements as specified in Section 5. 17 18 5. SATISFACTORY PERFORMANCE 19 20 The County i5 deemed to have satisfactorily met its performance requirements where the 21 result of the following computations is equal to or exceeds the grant amount received by 22 the County: 23 (a) Beginning with the fiscal year 2003-04 roll closure and annually thereafter, the 24 County shall compute, to the extent possible, the total value change in the 25 following categories: -3- I - Transfers 2 - New Construction 3 - Supplemental value added (estimated at 50% of the transfer and new construction values) 4 - Mandatory and non-mandatory audits 5 - Proposition 8 Restorations 6 - Business total (all secured and unsecured personal property and fixture 7 values) 8 - Assessment Appeals values (the difference between the taxpayers' opinion of value and the Assessment Appeals Boards' determinations of values finalized 9 during that fiscal year) 10 11 (b) The total of this value change shall be multiplied by a tax rate of 1% to estimate 12 the total property tax revenue impact of these components. 13 14 (c) This revenue amount shall be factored by the percentage which is derived when 15 dividing the grant amount by the Assessor's annual total budget. 16 17 (d) This amount is then factored by the percentage of the schools' share of added 18 revenue. Where this final result, the schools' share of added revenue, is equal to or greater than 19 the grant amount to the County, the County's performance under this contract shall be 20 deemed met. 21 22 b. RENEGOTIATION OF THE DEFINITION OF SATISFACTORY PERFORMANCE 23 24 At the request of the County, the State agrees to renegotiate in good faith the definition of 25 satisfactory performance as specified in Section 5, if there is any major misfortune or calamity occurring in the County affecting 1%of the assessable parcels in the County. .4- 1 7. PROPOSED USE OF GRANT 2 3 The County agrees to use the funds received from the State to fund appraisal, clerical 4 and support positions, overtime as needed, and to enhance its property tax administration 5 system, as specified in Exhibit A. 6 7 It is understood and agreed that funds received by the County, including accrued 8 interest, pursuant to this program shall be deposited into the Property Tax 9 Administration Program trust fund to be used as required by Revenue and Taxation 10 Code Section 95.35. Any funds remaining in the account at the end of each annual term 11 may be rolled over to the next fiscal year for authorized uses consistent with the 12 provisions of Section 95.35. 13 14 It is also understood that upon satisfaction of the terms set forth in Section 5 for each 15 annual grant, the State will have no further claim on these funds provided the County 16 continues to meet the requirements stipulated in Section 3. 17 18 However, in the event that the County has not expended all of the grant proceeds, the 19 County may, at its option, return to the State all or a portion of any unspent grant 20 proceeds. 21 22 8. FAILURE TO MEET SATISFACTORY PERFORMANCE REQUIREMENTS 23 24 The State is not obligated to make the grant in fiscal years 2004-05 through 2006-07 if the 25 County has not satisfied its performance requirements as established in Section 5, or renegotiated the definition of satisfactory performance. -5- 1 The State may make a grant in any year of this program in a lesser amount than that 2 requested by the County if the State determines that the County would be unable to fully 3 meet its performance requirements as established in Section 5. 4 5 9. REPORTING CRITERIA 6 7 The County will also provide to the State, by June 15 of the following fiscal year, a 8 report showing the schools' share of added revenue as calculated in Section 5. 9 10 10. PROJECT RESPONSIBILITY- COUNTY 11 12 County will provide a Project Director who will be responsible for ensuring the objectives 13 under this agreement are met. The Project Director will monitor County performance. 14 County's Project Director will serve as liaison with the State's Project Director on an as 15 needed basis. 16 17 County's Project Director shall provide direction to the State in the areas relating to County 18 policy, and information and procedural requirements. 19 20 County's Project Director for this agreement shall be: 21 22 Timothy Leming, Assistant Assessor-Recorder Office of the Assessor 23 2281 Tulare St 24 Fresno, CA 93721 25 (559) 488-6879 -6- 1 County shall notify the State in writing of any change in the name or address of County's 2 Project Director. 3 4 11. PROJECT RESPONSIBILITY-STATE 5 6 The State will provide a Project Director who will be responsible for State performance 7 under this agreement. The Project Director shall be a full-time employee of the State. 8 9 The State's Project Director for this agreement will be: 10 11 Connie Squires,Project Budget Manager State of California 12 Department of Finance-Local Government Unit 13 915 L. Street Sacramento,CA 95814 14 (916)322-2263 i5 The State's Project Director will serve as liaison with County's Project Director on an as 16 needed basis. 17 18 The State shall notify the County in writing of any changes in the name or address of the 19 State's Project Director. 20 21 12. EXCLUSIVE AGREEMENT 22 23 This agreement constitutes the complete and exclusive statement of understanding between 24 the parties which supersedes all previous agreements, written or oral, and all other 25 communications between the parties relating to the subject matter of this agreement. -7- 1 13. CHANGES AND AMENDMENTS 2 3 The County and the State reserve the right to change any portion of the work required 4 under this agreement or to amend such other items and conditions as it may become 5 necessary. Any such revisions shall be accomplished only with the written approval of 6 the County, by its Board of Supervisors, and the State. However, modifications to the 7 work criteria in Section 5 and/or the reallocation of resources in Exhibit A may be 8 achieved with the written approval of the Fresno County Administrative Officer, the 9 Fresno County Assessor, and the State. 10 it 14. NOTICES 12 13 14 All notices or demands required or permitted to be given or made hereunder shall be in 15 writing and shall be deemed to have been given if made by hand delivery with signed 16 receipt, or as shown on the receipt when mailed by first-class, registered or certified mail, 17 postage prepaid, addressed to the County and State at their respective addresses designated 18 below or at such other address as County or State shall have furnished in writing to the 19 other. 20 21 22 23 24 25 -8- 1 The designated addresses of respective parties for the purpose of notice are as follows: 2 3 COUNTY: STATE: 4 Fresno County State of California 5 Office of the Assessor Department of Finance—Local Government Unit 6 2281 Tulare St. 915 L. St. Fresno, CA 93721 Sacramento,CA 95814 7 Attn: Timothy Leming Attn: Matt Paulin 8 Assistant Assessor-Recorder Principal Budget Analyst 9 Fresno_County Chief Administrative Office 10 2281 Tulare St. 11 Fresno,CA 93721 12 Attn: Bart Bohn Chief Administrative Officer 13 14 15 16 17 18 19 20 21 22 23 24 25 -9- I IN WITNESS WHEREOF: the parties hereto have executed this Agreement, by their officers 2 hereunto duly authorized,on this day of_ 12004. 3 COUNTY OF FRESNO REVIEWED AND RECOMMENDED FOR APPROVAL: 4 n 13 2004 ROBERT C. WERNER 5 BY: FRESNO COUNTY ASSESSOR- 6 CHAIRMAN, BOARD OF RECORDER SUPERVISORS 7 ATTEST: 8 CLERK OF THE BY: BOARD OF SUPERVISORS 9 10 STATE: BY: (/ STATE DEPARTMENT OF FINANCE f i Deputy 12 13 APPROVED AS TO LEGAL FORM: BY: L-Ta COUNTY COUNSEL 14 15 - BY: 16 Deputy 17 18 APPROVED AS TO ACCOUNTING FORM: 19 VICKI CROW, CPA 20 AUDITOR- CONTROLLER/TREASURER-TAX 21 COLLECTOR 22 23 BY: 24 Fund: 2050/31000 25 Organization: 04200100 Account/Prog: 0110 -10- Exhibit A Fresno County Assessor's Office Property Tax Administration Program Estimated Grant Allocation, Fiscal Year 2003-04 FY 2003-04 Grant Amount $1,165,249 Roll-over Funding from 2002-03 $3,136,385 Total Funds Available $4,301,634 Proposed Expenditures: Salaries and Benefits (12 Positions) $627,968 Supervisor Assessment Standards (1) Senior Appraiser (1) Staff Appraisers (5) Office Assistants (3) Cadastral Technician (2) Auditor's Office Disbursement $50,000 (Personnel, Hardware, Software, Services & Supplies) Mileage for Field Appraisers $18,000 Postage $4,000 Petroleum Consultant Contracts $139,500 Transportation, Travel, and Education $15,000 Electronic Document and Workflow System $300,000 Reserve for purchase of Automated Property Tax System $10,781 (Current year) Reserve for purchase of Automated Property Tax System $3,136,385 (Prior years) Total Proposed Expenditures $4,301,634 Exhibit A pg.2 In conjunction with the Fresno County Auditor-Controller/Treasurer- Tax Collector, we continue to seek implementation of a fully integrated Computer Aided Mass Appraisal(CAMA) system and Tax Manager System. Several California counties are currently working with vendors in the hopes of developing a generic core system that would be appropriate for California and would be available to other interested counties. Preliminary estimates have run as high as six million dollars for Fresno County to purchase and implement one of these systems. Our current carryover brings us almost halfway to this estimate. I