Transcript The County General Fund and its Relatives

County Government Funding
& Options
Centra In-Service
May 10, 2011
Notie Lansford, Extension Economist
Program Leader, County Gov. Training Program, CTP
Objectives
Identify and Describe the “Funds”
 Discuss Ways to Acquire More Funds
 Discuss Some Ways to Use Funds More
Effectively
 Know Enough “to be Dangerous”
 Identify Additional Resources

Know Your Funds & Options
Know enough to be dangerous!

General Fund

Highway Fund
Cash Funds, e.g.

◦
◦
◦
◦
◦


Treasurer’s Resale Property,
Clerk’s Lien Fee,
Sheriff’s Service Fee,
Sales Tax and Use Tax
Lodging Tax
Sinking Fund for Debt
Others, like County Health Dept., EMS
District, Solid Waste Mgmt, County Library
County General Fund Revenue FY 2008-2010
CountyName
FY 2008
FY 2010
Percent
Change
Alfalfa
Haskell
Latimer
$2,238,427
$1,673,639
-25%
$3,107,612
$2,558,551
-18%
$2,561,690
$2,124,246
-17%
Love
Pushmataha
Dewey
$943,618
$1,300,498
38%
$1,886,549
$2,721,889
44%
$2,178,368
$3,489,741
60%
Average
$6,127,058
$6,355,397
5%
County Highway Fund Revenue, FY 2008-2010
CountyName
Blaine
Beckham
Latimer
Tulsa
Carter
Cimarron
Average
Total Revenue
Percent
2008
2010
Change
$6,655,406.15 $2,872,556.88
-57%
$6,823,918.48 $3,897,725.65
-43%
$6,777,612.57 $3,944,353.95
-42%
$10,588,279.67 $17,955,934.90
$6,287,172.99 $11,210,146.88
$3,480,008.91 $7,915,558.96
$4,664,410
$4,541,671
70%
78%
127%
-1%
County General Fund

Historically, the fund paying for most
courthouse functions
Avg. FY ’04 Ad Valorem Levy
Vo-Tech Sinking Fund
0.02%
JC General Fund
0.54%
Co. Sinking Fund
0.31%
Vo-Tech Building Fund
2.82%
Vo-Tech General Fund
9.94%
Co. General Fund
12.17%
JC Sinking Fund
0.07%
12.17%
Cit y Sinking Fund
1.16%
Co. Healt h Dept .
2.44%
Emergency Med. Dist .
1.07%
Emergency Med. Sinking
0.01%
Count y Library
1.87%
Sch. Sinking Fund
13.89%
Co. Ind. Development
0.00%
Sch. Building Fund
6.11%
Sch. General Fund
47.62%
Sources of Revenue
General Fund
1. Ad Valorem Taxes
A mill levy on tangible, taxable property.
For example:
Fair Cash Value of a Home
$ 80,000
Assessment Ratio
X .12
Assessed Value
$ 9,600
less Homestead Exemption
-1,000
Net Assessed Value
$ 8,600
Tax Rate (80 mills)
X 0.080
Tax Due
$ 688
General Fund Sources
2. County Clerk Fees 28 O.S. § 32
◦ For registration of deeds and various
other instruments, such as leases,
assignments, conveyances, plats, and
mechanic’s liens.
$ 8 for recording the first page
$ 2 for recording each additional page
$ 1 per page for furnishing hard copies
3. Interest on Investment; 68 § 348.1
General Fund Sources
4. County Sales, Use, & Lodging Taxes

County Sales Tax
◦ A maximum of 2%.
◦ Must be approved majority of local voters.
◦ For specified purpose(s).
◦ Applies to the same items as the state sales
tax.

“Use Tax” may be added by resolution of
county commissioners.
County Sales, Use, & Lodging Taxes
continued

County Lodging Tax
◦
◦
◦
◦
◦
◦
◦
Counties of less than 200,000
Maximum of 5% on lodging rooms.
Approved by majority of voters.
For specified purpose.
General Fund or a cash Revolving Fund
Inapplicable within cities already levying a lodging tax.
Adopted in :
 Blaine, Cimarron, Greer, Johnston, Love, Marshall, McCurtain,
Osage, Pontotoc, Latimer
12
County Sales & Lodging Taxes
BEAVER
HARPER
WOODS
KAY
GRANT
OTTAWA
CRAIG
OSAGE
ROGERS
WOODWARD
MAYES
MAJOR
PAWNEE
ELLIS
DEWEY
BLAINE
PAYNE
CREEK
LOGAN
ROGER
MILLS
CUSTER
LINCOLN
CANADIAN
WAGONER
OKMUL
GEE
OKLAHOMA
MUSKOGEE
OKFUSKEE
BECKHAM
McINTOSH
WASHITA
HASKELL
GRADY
GREER
KIOWA
LATIMER
MCCLAIN
COMANCHE
GARVIN
JACKSON
COAL
TILLMAN
Sales & Use Tax, 67
STEPHENS
COTTON
MURRAY
CARTER
Lodging Tax Counties, 9
ATOKA
PUSHMATAHA
JEFFERSON
LOVE
Sales Tax only, 8
JOHNSTON
BRYAN
CHOCTAW
General Fund Sources
5. Transfer Payments
From State,To Counties
Motor Vehicle License & Registration
Fees
◦ Excise Tax 68 O.S. 2000 § 2103 - …
◦ Annual Registration 47 O.S. 2000 § 1132 - …
◦ 0.83% - County General Fund
General Fund Sources
6. Reimbursements – “pass through”
Visual Inspection (Revaluation)
The cost of the “program of visual
inspection” is shared by all local
jurisdictions collecting an ad valorem
levy. Each jurisdiction’s share is
proportional to its total levy the prior
year. 68 O.S. §§ 2820, 2822-2823
General Fund Sources
6. Reimbursements
District Attorney = County + State Portion
The county must provide the D.A. with
office space; law library and legal
subscriptions; funds for investigation,
prosecution or defense of any action wherein
the county is a party. 19 O.S. §§ 215.36 215.38
The state shall provide for all other expenses
through the District Attorneys Council.
However, the county pays these expenses and
is reimbursed monthly.
General Fund Sources
6. Reimbursements
Election Board
“The salary and fringe benefits paid to
each secretary shall be paid from
county funds on a monthly basis and
shall be reimbursed from funds
appropriated by the Legislature …”
26 O.S. §§ 2-118 - 2-121
Variation Across the State
Heavy Dependence on Property Tax
 Heavy Dependence on Sales Tax
 Sales Tax Placement

◦ General Fund and/or Cash Fund

Diverse Use of Sales Tax
◦ 100% Hospital or Jail
◦ Split 17 Different Ways
 Roads, Rural Fire, Solid Waste, Fair, General, …

S. T. Cash Balance Carried Over
County Highway (Road) Fund
Average County Highway Fund
Revenue Sources,
FY 2007
All Other
17.9%
Gasoline Tax
29.0%
Gross
Production
Tax
18.1%
Special Fuels
0.002%
Diesel Tax
8.2%
Motor Vehicle
Taxes
26.7%
Highway Fund, FY 2004
Hughes
Gross Production Tax
Diesel Tax
Gasoline Tax
Motor Vehicle Fees
Federal
Total
Beginning Cash
Population
Miles of County Roads
Grant
Lincoln
Wagoner
205,029
232,121
853,186
787,776
728,624
3,015,919
170,651
287,324
1,183,133
1,135,400
2,941,485
691,692
345,578
1,307,966
1,125,915
4,616,451
6,814
306,008
1,075,458
954,095
32,813
3,227,479
891,594
410,499
408,636
1,283,412
5,025
1,779.16
32,240
1,547.02
13,992
912.23
60,497
959.61
Highway Fund, FY 2004 per capita & per mile
Hughes
Gross Production Tax
Diesel Tax
Gasoline Tax
Motor Vehicle Fees
Federal
Total
Beginning Cash
Total per Mile of Road
Grant
Lincoln
Wagoner
$15
$17
$61
$56
$52
$216
$34
$57
$235
$226
$0
$585
$21
$11
$41
$35
$0
$143
$0
$5
$18
$16
$1
$53
$64
$82
$13
$21
$3,306
$1,653
$2,984
$3,363
Cash Funds (Special Revenue Funds)
Generally, funded from a fee or limited
number of fees
 Generally, highly restricted as to use.


e.g. Resale Property Fund – Funded from
interest charged for late payment of taxes.
Treasurer is to use it for collection of
delinquent taxes.
Cash Funds, FY 2004
Hughes
Sheriff Service Fee
Resale Property
Co. Clerk Lien
Assessor Revolving
Sales Tax
Sales Tax Notes:
41,642
34,379
23,583
2,734
None
Grant
65,708
19,459
2,724
13,431
240,888
1.0 cent
Rural Fire
EMS
Sheriff
Lincoln
Wagoner
132,028
115,832
11,414
6,304
1,462,691
167,384
180,753
107,191
14,562
-
1.0 cent
Roads & bridges
Jail, Fire, Fair
Senior Citizen
Econ. Dev.
Em. Mgmt.
Courthouse Imp.
Sales tax
goes into
the
General Fund
1.85 cents
for
courthouse
improvemen
ts, roads,
sheriff, and
general
How to Get More Funding
Treasurer & Sheriff actively involved in
collecting delinquent taxes; “Personal
Property Tax Sale Warrants”
 EMS/Fire/Ambulance mill levy for countywide ambulance service
 Lodging, Use, and Sales Tax
 Increase the Assessment Percentage on
Taxable Property
 Investment policy

How to get more funding

Transfer of Funds if needed
 to avoid paying interest on non-payable warrants

Tribal Joint Ventures
◦ Road and Bridge Projects
◦ Tribal Government Institute
REAP – Rural Economic Action Plan
grants – e.g. OK Water Resources Bd.
 CDBG – Community Development Block
Grants – OK Dept of Commerce
 Circuit Engineering Districts funding page

Ways to Save Money

Sharing Resources
◦ Equipment
◦ Employees

Co-op Purchasing among
◦ Departments
 Paper; internet service; office supplies
 Purchasing in quantity – keep good consumable
inventories
 Blister (individuals wrapped) packs for medications
◦ Counties
 Pharmacy for Prisoners
 Medical supplies
 Joint road projects
Ways to Save Money

Education for Employees
◦ Safety programs offered by ACCO
◦ Wellness programs offered by insurance company
◦ Employment/Management Programs with OSU


Insurance Deductibles
Conserve Energy
 Turn off computers/lights
 Energy efficient light bulbs

Labor Force Management
◦ Full Time vs. Part Time
◦ Contract for services
Ways to Save Money: Be informed

Local
◦ Communicate with each other
 Budgets are part of your everyday life
 Meet to discuss budgets throughout the year
 Understand goals for officer; keep the dialog open
 Don’t assume the largest budget can take the largest cut
◦ Be involved with local economic development
◦ Seek input of constituents

Legislative
◦ Keep in touch with local legislators
◦ Study the impact of pending legislation

State Associations/Government
◦ Attend meeting
◦ Learn from your counter parts in other counties
◦ Utilize technical assistance with SA&I, OTC, OCES’s County
Training Program
Resources
Publications:
http://agecon.okstate.edu/faculty/publications_results.asp?page=1
Fact Sheets:
1. Ad Valorem Taxes
2. Duties & Responsibilities of Elected County Officials
3. Duties & Responsibilities of Non-Elected County Officials
4. …
http://www.rd.okstate.edu/RDPublications.htm#D
1. Abstract of County Government General, Highway, and Special
Revenue Funds in OK (Fiscal Year 2008-2009)
2. Summary - County Sales, Use, & Lodging Taxes, FY 09
3. "Oklahoma Ad Valorem Mill Levies, Fiscal Year 2009“
OCES CTP Training – http://agecon.okstate.edu/ctp/
Courses, Handbooks, Technical Assistance
Other Sources of Information

Oklahoma Tax Commission
◦ http://www.oktax.state.ok.us/oktax/
 Publications

State Auditor and Inspector
◦ http://www.sai.state.ok.us/
 Audit Reports

County Training Program (CTP)
◦ http://www.agecon.okstate.edu/ctp/
 Budget Process, 2 day class
 Building Your Budget, 1 day class
CTP, OSU Contacts







Notie Lansford, Extension Economist
◦ (405) 744-6555 or [email protected]
Ann Embree, Local Government Specialist
◦ (405) 744-9838 or [email protected]
Judy Rudin, Communications Specialist
◦ (405) 744-9812 or [email protected]
Sherri Schieffer, Local Government Specialist
◦ (405) 744-9828 or [email protected]
Suzanne Spears, Local Government Specialist
◦ (918) 762-3253 or [email protected]
Glenda Emerson, Local Government Specialist,
[email protected]
Gloria Cook (405) 744-6160, [email protected]