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Documents 10/14/2009 W BCC Workshop Meeting BACK-UP DOCUMENTS October 14, 2009 Collier Co un tv 2010 State Lel!islative Priorities I. Libraries - Support State Aid to Libraries and Cooperatives like Southwest Florida Library Network. II. Home Rule - Support home rule authority of local governments. III. Unfunded Mandates - Oppose state directives requiring local governments to deliver services without providing the necessary funding to cover the expense. IV. Revenue & Expenditure Caps (TABOR) - Oppose legislative or Constitutional restrictions on County authority to determine local tax burden or local financial commitments to services and quality of life. V. Affordable Housing - Support removal of the cap on Sadowski Housing Trust Funds. VI. Impact Fees - Support maintaining home rule authority over administration of the County's existing impact fee program. VII. Transportation · Oppose raiding of the Transportation Trust Fund · Support earlier Receipt of Crash Reports - Include local traffic engineering 1 agencies with police agencies in being able to receive crash reports without current 60-day wait. · Support state legislation that affirms authority of Counties to install red light cameras at intersections and implement enforcement programs. · Support modification to Section 339. 135(4)(a)1, Florida Statutes to strengthen requirement for use of an allocation formula "to assure that no district or county is penalizedfor local efforts to improve the State Highway System." VIII. Revenue Enhancements · Dot.com - Support the tourism industry position on Dot.coms which is to have those companies collect and pay the sales and tourist development tax due on the total amount charged the visitor, not the net amount paid the hotel. The revenue lost to both the state and counties from the actual taxes due and what is currently received is significant. · Support Gas Tax Indexing. · Sl:lpport Partial ~Assessments....-_ IX. Consultants Competitive Negotiation Act (CCNA) - Support legislative changes to CCNA that allow weighing multiple factors including qualifications and price before selecting the top firm and before commencing negotiations; oppose industry interests from further restricting the discretion of local government under the law. X. Alligator Alley - Affirm Board's previous position to oppose leasing of Alligator Alley to private entities. XI. Shared Ochopee/Emergency Medical Services (EMS) Fire Station & Florida Department of Transportation (FDOT) - Support discussing one-time capital allocation from FDOT for cost of facilities and start-up equipment; and seek reimbursement for recurring operating expenses on a long-term contract basis. XII. Offshore Drilling in Gulf of Mexico - Affirm Board's previous position with approval of Resolution 2009-117, which opposes offshore drilling within 25 miles of the Gulf coastline. XIII. Fire District Bills - Oppose Panther Creek Consolidation Legislation and Paradise Coast Consolidation Legislation proposed by independent fire districts in Collier County. 2 XIV. Economic Development - One of Collier County's goals is Economic Development which promotes a full range of high wage/high-skilled employment and business opportunities that will improve the economy, increase the tax base, and encourage innovation and economic diversity. Collier County supports policies to enhance economic development utilizing various programs and tools to induce targeted business expansion, retention, attraction, new capital investment and job creation. · Support a more coordinated and streamlined regulatory process within state level agencies, while supporting local governments and their ability and flexibility to make decisions at the local level that enhance economic development opportunities. · Support funding for Florida's Economic Development Transportation Fund (Road Fund) at $20 million. This is one of Florida's oldest and most successful economic development incentive programs and is designed to keep our state competitive in attracting high wage jobs. Because of rising costs and increased project activity, more allocation is needed in order to improve our competitiveness. · Support the Quick Response Training Program ($5 million) and the Incumbent Worker Training Program ($2 million). The best investment we can make is in our worliforce. Training programs, such as QRT and IWT, ensure that Florida has an available and skilled worliforce to meet the demands of our growing high wage employers. Enacted Leeislation & Issues to Monitor: · SB lOOO/Discretionary Sales Surtaxes/Fire Rescue Services · Seminole Gaming Compact/Revenue sharing (3%) with affected local governments for infrastructure · Beach Renourishment/US. Supreme Court Case - Support public beach access · SB 360 (Growth Management) - Permitting, Transportation Concurrency Exception Areas (TCEA's); Preserve present real-time concurrency program. Mobility Fee (MF) - If there is to be a MF, the County needs to insure that the dollars collected are expended within, and in coordination with, the jurisdiction in which the MF is generated. · Property Insurance · Hometown Democracy 3 THOUGHTS ON PARTIAL YEAR ASSESSMENTS from Abe Skinner, Collier County Property Appraiser 1. A house and pool (etc) are not always C/O'd the same month. You could have a house, pool, spa, screen enclosure, dock, gazebo, detached garage, guest house, and tennis court all completed in different months. Some things, like screen enclosures, sometimes do not get a final C/O. County Code Enforcement investigations can result in improvements that were substantially complete (and used by the current owner) in the late 90's to get a final C/O in 2009. 2. A pool and spa could be C/O'd in December 2009, and the house not C/O'd until February 2010. Customarily, to do right by the taxpayer, we would not assess the pool and spa until the house was complete...but we would have to assess it when it was completed seeing as we would need to scrutinize completion dates so carefully. But what is the true value of a substantially complete (a.k.a. C/O'd) pool if the homeowner (by County Codes) is not allowed use it until their house is complete 2-3 months later? 3. In the event that we have another disaster like Hurricane Wilma, there would be additional negative income to the County in terms of tax revenue if we had to also partially assess demolitions and poor condition of structures. 4. Does this give the taxpayer the right to multiple valuation (VAB) appeals on the assessment date of each component? And yet another appeal to the "finished project"? 5. The appeal process will be an ongoing 365 day a year process (costing the taxpayers MUCH more money in the long run) because whenever that value has been determined, they have the right to appeal. If a house is completed Oct 30 and a statement is sent in November, they have the right to appeal, but the regular "TRIM" period for that year would have already expired. We would have the added expense of monthly or quarterly Proposed Tax notice mailings, and the County Clerk's office would have to add staff to deal with the increased appeal process also. 6. If the owner has some, but not all, improvements completed in 2009, how does that figure into his homestead exemption cap for 2010? 7. What portion of the homestead exemption gets transferred with portability if they move? Especially if the C/O dates of multiple structures on the parcel cross tax years? Let's say the homeowner moves out of his old house in November 2009, and at that point has $200,000 of capped assessment eligible to port to his new homestead. The new house is not completed until April, 2010. How much of that cap gets transferred if he will only be assessed on that house for part ofthe year? 8. We!'!y to visit the property as soon as we can after the completion date of any improvements. That could mean multiple visits to the same parcel in one tax year, increased number of staff, increasing work hours for each appraiser and data entry clerks, increase in office supply costs, gas for the cars, wear and tear on vehicles, etc. 9. Would a structure be assessed by how many months, days, quarters, etc. it was completed? Let's say it was monthly. We will have the same problems with the Jan 1 'substantially complete' argument, except it will be every month. A taxpayer with a pool C/O issued Oct 1 pays just as much as a taxpayer whose pool C/O was issued Oct 30, but the first one gets to enjoy his new pool for 29 days longer. THOUGHTS ON PARTIAL YEAR ASSESSMENTS, Page 2 10. Apartment complexes could have one tax bill based on 2 buildings that were completed in March, then another tax bill because 3 more buildings were completed in June, etc. 11. Commercial buildings that were previously assessed as a shell, and then increased each year as interior finish is completed could potentially have an appraiser physically make a field check for a value change each month. 12. At the VAB appeal process, how could we support the value of a partial assessment as of January 1? By using only sales of properties that were also partially assessed? The income approach to value is based on a properties calendar year income stream and could not be separated out to base on a partial year (in our county income during 'season' could be higher than income during summer.) 13. For Tangible Personality Property (TPP) it would be next to impossible to administer because of the nature of how TPP is appraised. It has the potential to create illegal inequity to the taxpayer between smaller accounts (local small businesses valued by the cost approach) and larger accounts (large corporations such as Embarq or FP&L which are valued by the income approach.) There are the same reasons as #12 above. Most TPP returns are based on books and records that are kept for the taxpayers 1040 income tax return, which in turn can only be filed based on January 1. Partial year assessment could require that a business keep a second set of books. 14. Some TPP items are only assessed on info provided to our office by the taxpayer. If he does not file a return with our office, we are still required to assess the property. We would not know what month during the year those assets came on-line. 15. Local businesses could have a greater advantage with their recordkeeping than large corporations. A large telephone company often does not know exactly in which jurisdiction particular tangible items are installed. Final value of that company is often allocated to each county based on a number of other factors, i.e., number of access lines. 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